(Yicai Global) May 15 -- Net profit at Tencent Holding increased 17 percent annually to CNY27.2 billion (USD4 billion) in the first quarter despite a slight fall in gaming income as China restricted the release of new titles.
Revenue increased 16 percent to CNY86.5 billion, the Shenzhen-based internet giant said in a statement. Gaming income fell 1 percent to CNY28.5 billion for the period. The recent release of the battle royale mobile game Game For Peace is expected to boost second-quarter income.
The expansion in net profit was driven by digital value-added services, advertising, fintech and company services growth.
The company included fintech and company service revenue in its financial report for the first time. The section grew by nearly half to CNY21.8 billion, driven by increased digital payments and cloud services. Advertising revenue jumped by one-quarter to CNY13.4 billion, while the number of value-added service subscribers grew 13 percent to 165.5 million.
The company has released several big gaming titles in the second quarter and more are expected, the firm said. Game For Peace has earned USD20 million a mere five days after its release on May 8, according to SensorTower Research.
Game For Peace is China's first monetized version of PlayerUnknown's Battlegrounds after Tencent became the exclusive Chinese publisher for the world-renowned title last year.
Editor: William Clegg