SHENZHEN, China (CelebrityAccess) — Tencent Music Entertainment Group reported solid revenue and user growth for the third fiscal quarter of 2019.
According to unaudited financial statements from Tencent, revenue for the quarter hit RMB6.51 billion (US$910 million,) up by 31.0% year-over-year.
For the same period, Tencent reported operating profits of RMB1.19 billion (US$166 million) up an impressive increase of 11.9% from the same period in 2018.
Tencent also reported major upticks in paid subscribers for its streaming services, with aggregate subscribers hitting 35.4 million, up 42.2% from 2018.
“We continued our solid performance in the third quarter, driven by healthy growth from both online music and social entertainment services. We are particularly pleased to report accelerating growth of our online music paying users, representing a 42.2% year-over-year increase, as the net increase in the third quarter reached 4.4 million, achieving another quarterly high and outpacing the record growth in the second quarter,” Tencent said in their filing.
Monthly active mobile users increased more slowly, from 655 million in 2018 to 661 million in 2019, an improvement of .9% while monthly actives of the non-music aspects of their social media platform saw growth of 7.6% for the quarter.
“In the third quarter, we continued to invest in product innovations to further expand our user base and increase user engagement. We pioneered the introduction of short videos to music streaming pages for users to enjoy while listening to music. We also added new social and gamification features within our social entertainment applications to facilitate connections among users. In addition, we continued to enrich our content ecosystem to extend further beyond songs to include a wider range of offering, including long-form audio, PGC and UGC short videos, music-centric variety shows and original music for games, films and TV shows as well as from our musician program. From talent discovery, content distribution and promotion, to fan-based economy, our platform continues to benefit from the unique virtuous cycle of synergies between online music and social entertainment,” said Tencent Music’s Chief Strategy Officer Tony Yip.