China’s Spotify analogue Tencent Music Entertainment Group posted 6.8% increase in total revenues for the third quarter of 2024, hitting 7.02 billion Chinese yuan (around US$1 billion).
TME attributed the increase to higher music subscriptions, although this was partially offset by lower revenues from “social entertainment services and others”.
Revenues in this segment comprises live streaming, karaoke and other interactive products, decreased by 23.9% to US$219 million.
Group-wide net profit surged 35% year over year to US$244 million.
Executive chairman Cussion Pang stated: “Our commitment to high-quality growth is reflected in another solid quarterly performance.
“The steady expansion of our music subscribers and diversified music services continue to drive overall growth and profitability.
“We are encouraged by the growing synergies between our platform and well-established content ecosystem, which have become a vital force in empowering us to seize new opportunities for long-term, sustainable growth.”
TME floated on the New York Stock Exchange in December 2018, when it raised around $1.1 billion.
Shares are expected to open 5.2% lower at $10.95 US trading commences today.