Tencent On Wednesday, the fourth quarter jumped online and on the bottom line, driven by surge in gaming and advertising revenue.

Here is how Tencent estimates in the fourth quarter of 2024:

• income: RMB 172.4 billion (US$23.9 billion), with an expected RMB 168.9 billion.
• Profits attributable to the holders of the company’s equity: 51.3 billion yuan, compared with an expected 46.03 billion yuan.

Revenue rose 11% year-on-year, while profits rose 90% compared to the same period in 2023.

Tencent is known as one of the largest gaming companies in the world. In the fourth quarter, China’s domestic sports meeting revenue increased by 23% year-on-year to RMB 33.2 billion. Tencent said the hike was due to a low base in the previous year, as well as the growth of some of its popular games, including Kings Honors and the Peacekeeping Elite.

The annual growth rate of domestic games accelerates in December quarter Compared with the previous three months.

International Olympic Games revenue increased by 15% year-on-year to 16 billion. Over the past few years, Tencent has stepped up efforts in games like PUBG Mobile as macroeconomic and regulatory headwinds slowed in the domestic gaming market.

While Tencent is one of the world’s largest gaming companies, the tech giant will also focus on becoming a key AI player in China over the past two years, launching various AI models.

On Tuesday, the company launched the Hunyuan3D-2.0 model, which can turn text or images into 3D graphics. In February, Tencent launched the Turbo S, an AI model designed to answer user queries as soon as possible.

INvestors is still paying attention to how Tencent plans to make profits in its AI investment.

The company’s AI driving force symbolizes the competitive situation of China’s tech giants, which released its efficient AI model earlier this year.

The AI ​​update has been released tightly and quickly from companies such as Alibaba and Baidu.

Last week, Alibaba launched a new version of AI Assistant app Powered by its own QWEN AI inference model. Baidu on Sunday Two new models have been released Includes new inference models.

Tencent is using its own AI model as well as its competitors’ models. The company’s internal AI chatbot is called Yuanbao, which is based on its own Hunyuan basic model and DeepSeek’s R1. Tencent is also trying to integrate DeepSeek’s technology into some of its other products, including WeChat’s search capability in China.

This breaking news report is being updated.