Tencent Reports Its First Yearly Revenue Drop to Date

The company's revenue in 2022 declined by 1% but its international gaming business saw a 3% growth.

Tencent has released its financial results for the year that ended on December 31, 2022.

The earnings report shows that the Chinese giant's yearly revenue in 2022 amounted to 554.6 billion yuan (approximately $80.6 billion), marking a 1% decrease compared to the previous year. As highlighted by Reuters, this is the first time Tencent has experienced a drop in revenue since going public in 2004.

In 2022, Tencent also faced a decline in both its operating and net profit. The operating profit fell by 13% year-over-year, totaling 235.7 billion yuan ($34.3 billion) and the net profit decreased by 17% year-over-year, amounting to 188.7 billion yuan ($27.4 billion).

In terms of its gaming business, the revenue from domestic games saw a 4% decline, reaching 123.9 billion yuan ($18 billion), while the revenue from international games increased by 3%, reaching 46.8 billion yuan ($6.8 billion). Overall, the gaming sector remained a significant contributor to Tencent's earnings, constituting 43% of its total revenue in 2022.

During the fourth quarter, the company's revenue from mobile games fell by 2%, totaling 39.2 billion yuan ($5.7 billion). However, in the same period, the revenue from PC games increased by 8% and amounted to 11.5 billion yuan ($1.7 billion).

You can learn more by reading the full report here. Also, don't forget to join our 80 Level Talent platform and our Telegram channel, follow us on Instagram and Twitter, where we share breakdowns, the latest news, awesome artworks, and more.

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