(Yicai Global) March 23 -- Chinese internet giant Tencent Holdings’ music streaming service saw a 40 percent increase in paying subscribers in the fourth quarter of last year from the same period in 2019, as digital music licensing gains ground in the country and users become more willing to pay.

Tencent Music Entertainment Group had 56 million paying members in the three months ended Dec. 31, the firm said in its 2020 earnings report released yesterday. The subscription ratio reached 9 percent for the first time that quarter, up from 6.2 percent the same period the previous year.

Revenue soared 29 percent in the fourth quarter year on year to CNY2.76 billion (USD424 million), mainly underpinned by strong growth in subscription and advertising revenues.

Profit for the year nudged up 0.9 percent year on year to CNY4.95 billion (USD759 million), while revenue climbed 14.6 percent to CNY29.15 billion (USD4.47 billion).

Shenzhen-based Tencent Music is preparing for a secondary listing in Hong Kong that may be worth USD5 billion, Bloomberg reported on Feb. 5, citing a source familiar with the matter.

The firm’s New York stock price [NYSE: TME] closed up 1.48 percent at USD30.87 yesterday, giving it a market valuation of USD51 billion. Its shares have gained 60 percent so far this year.

Editor: Kim Taylor