bodyType

customContents

entityId

printArticlePageQuery

filter

article

body

urlAlias

articleSectionsContent

articleSeoArticle

articleSourceHeaderArticle

contentSchemaRenderContent

contentSubHeadlineContent

contentHeadlineContent

mainImagePrintArticleArticle

authorBlockPrintArticleArticle

contentSponsorTagContent

articlePianoPaywallContent

scmpYoutubeContent

hooksTrackPageViewArticle

query printArticlePageQuery(
  $entityId: String!
  $customContents: [CustomContentInput]
  $bodyType: BodyFormatTypeEnum
) {
  article(filter: {entityId: $entityId}) {
    entityId
    body(customContents: $customContents, type: $bodyType) {
      json
    }
    urlAlias
    ...articleSectionsContent
    ...articleSeoArticle_3o8td4
    ...articleSourceHeaderArticle
    ...contentSchemaRenderContent
    ...contentSubHeadlineContent
    ...contentHeadlineContent
    ...mainImagePrintArticleArticle
    ...authorBlockPrintArticleArticle
    ...contentSponsorTagContent
    ...articlePianoPaywallContent
    ...scmpYoutubeContent
    ...hooksTrackPageViewArticle
    id
  }
}

fragment articlePianoPaywallContent on Content {
  __isContent: __typename
  ...hooksPaywallPromiseContent
}

fragment articleSectionsContent on Content {
  __isContent: __typename
  sections {
    value {
      ...helpersCheckIfNewsSectionInFirstIndexSection
      ...entityLink
      name
      id
    }
  }
}

fragment articleSeoArticle_3o8td4 on Article {
  ...hooksArticleSeoArticle
  ...helpersCheckIsPostiesArticle
  ...helpersGetArticleTypeArticle
  entityId
  publishedDate
  updatedDate
  summary {
    text
  }
  subHeadline {
    text
  }
  body(customContents: $customContents, type: $bodyType) {
    text
  }
  keywords
  sections {
    value {
      name
      id
    }
  }
  topics {
    name
    entityId
    id
  }
  urlAlias
  authors {
    name
    id
  }
  images {
    style(filter: {style: "768x768"}) {
      url
    }
  }
  readingTime
}

fragment articleSourceHeaderArticle on Article {
  urlAlias
  ...entityLink
}

fragment authorBlockPrintArticleArticle on Article {
  ...defaultArticleDateContent
  ...authorNamesArticle
}

fragment authorNameAuthor on Author {
  ...entityLink
  name
  entityUuid
}

fragment authorNamesArticle on Article {
  authorLocations
  authors {
    entityId
    location
    ...authorNameAuthor
    id
  }
}

fragment blockquoteQuoteContent on Content {
  __isContent: __typename
  ...contentShareWidgetContent
}

fragment checkersCheckContentContainsStarlingImageContent on Content {
  __isContent: __typename
  topics {
    entityId
    id
  }
}

fragment contentHeadlineContent on Content {
  __isContent: __typename
  headline
  socialHeadline
  ...contentHeadlineTagContent
  ...helpersUseContentSponsorContent
}

fragment contentHeadlineTagContent on Content {
  __isContent: __typename
  ...hooksContentHeadlineTagContent
}

fragment contentNewsletterWidgetContent on Content {
  __isContent: __typename
  topics {
    relatedNewsletters {
      ...helpersMassageToNewsletterItemNewsletter
      id
    }
    id
  }
  sections {
    value {
      relatedNewsletters {
        ...helpersMassageToNewsletterItemNewsletter
        id
      }
      id
    }
  }
  ... on Article {
    relatedNewsletters {
      ...helpersMassageToNewsletterItemNewsletter
      id
    }
  }
}

fragment contentSchemaRenderContent on Content {
  __isContent: __typename
  ...blockquoteQuoteContent
  ...imageContent
  ...inlineWidgetContent
  ...photoGalleryWidgetContent
  ...scmpYoutubeContent
}

fragment contentShareWidgetContent on Content {
  __isContent: __typename
  entityId
  urlAlias
  shortUrl
  socialHeadline
  headline
}

fragment contentSponsorTagContent on Content {
  __isContent: __typename
  ...helpersUseContentSponsorContent
}

fragment contentSubHeadlineContent on Content {
  __isContent: __typename
  subHeadline {
    json
  }
  summary {
    json
  }
  ...contentSchemaRenderContent
}

fragment defaultArticleDateContent on Content {
  __isContent: __typename
  ...hooksArticleDateUtilsContent
}

fragment entityLink on BaseWithApplicationAndUrlAlias {
  __isBaseWithApplicationAndUrlAlias: __typename
  __typename
  entityId
  entityUuid
  urlAlias
  urlRedirect {
    toUrl
    id
  }
  application {
    entityId
    id
  }
  ... on Section {
    fullSectionPath {
      entityId
      id
    }
    parentSection
  }
  ...helpersAppBarVariantBase
  ...helpersApplicationBase
  ...helpersCheckIsPlusArticle
  ...helpersStyleSectionContent
}

fragment helpersAppBarVariantBase on BaseWithApplicationAndUrlAlias {
  __isBaseWithApplicationAndUrlAlias: __typename
  ...helpersCheckIsLiveArticle
  ...helpersCheckIsPlusPage
  ...helpersCheckIsPostiesArticle
  ...helpersCheckIsPostiesPage
  ...helpersCheckIsPostMagazineArticle
  ...helpersCheckIsStyleArticle
  ...helpersSectionContent
  ...helpersStyleSectionContent
}

fragment helpersApplicationBase on BaseWithApplicationAndUrlAlias {
  __isBaseWithApplicationAndUrlAlias: __typename
  ...helpersCheckIsPostiesArticle
  ...helpersCheckIsPostiesPage
  ...helpersCheckIsPlusPage
}

fragment helpersCheckIfNewsSectionInFirstIndexSection on Section {
  name
}

fragment helpersCheckIsAmpEnabledArticle on Article {
  entityId
  types {
    value {
      entityId
      id
    }
  }
  sections {
    value {
      entityId
      id
    }
  }
  disableOffPlatformContent
  sponsorType
  published
  ...helpersCheckIsPlusArticle
  ...helpersCheckIsPostiesArticle
}

fragment helpersCheckIsLiveArticle on Article {
  flattenTypeIds
  liveArticle {
    status
    id
  }
}

fragment helpersCheckIsMainTopicContent on Content {
  __isContent: __typename
  topics {
    entityId
    id
  }
}

fragment helpersCheckIsPlusArticle on Content {
  __isContent: __typename
  ... on Article {
    paywallTypes {
      entityUuid
      id
    }
  }
}

fragment helpersCheckIsPlusPage on Page {
  urlAlias
}

fragment helpersCheckIsPostMagazineArticle on Article {
  sections {
    value {
      entityId
      id
    }
  }
}

fragment helpersCheckIsPostiesArticle on Article {
  sections {
    value {
      entityId
      id
    }
  }
}

fragment helpersCheckIsPostiesPage on Page {
  urlAlias
}

fragment helpersCheckIsStyleArticle on Content {
  __isContent: __typename
  sections {
    value {
      entityId
      id
    }
  }
}

fragment helpersGetArticleTypeArticle on Content {
  __isContent: __typename
  ... on Article {
    types {
      value {
        entityId
        id
      }
    }
  }
}

fragment helpersMassageToNewsletterItemNewsletter on Newsletter {
  entityId
  name
  alternativeName
  description {
    text
  }
  summary {
    text
  }
  homepageDescription {
    text
  }
}

fragment helpersSanitizeArticleTypeEntityIdsArticle on Article {
  types {
    value {
      entityId
      id
    }
  }
}

fragment helpersSanitizeAuthorTypesArticle on Article {
  authors {
    types
    id
  }
}

fragment helpersSanitizedAuthorEntityIdsArticle on Article {
  authors {
    entityId
    id
  }
}

fragment helpersSectionContent on Section {
  fullSectionPath {
    entityId
    id
  }
}

fragment helpersStyleSectionContent on Section {
  fullSectionPath {
    entityId
    id
  }
}

fragment helpersUseContentSponsorContent on Content {
  __isContent: __typename
  topics {
    entityId
    sponsor {
      ...sponsorTagSponsor
      name
      type
      id
    }
    id
  }
  ... on Article {
    sponsorType
  }
  ...helpersCheckIsMainTopicContent
}

fragment hooksArticleDateUtilsContent on Content {
  __isContent: __typename
  createdDate
  publishedDate
  updatedDate
}

fragment hooksArticleSeoArticle on Article {
  ...helpersCheckIsPostiesArticle
  ...helpersCheckIsPostMagazineArticle
  ...helpersCheckIsStyleArticle
  ...hooksContentHeadlineTagContent
  ...helpersCheckIsAmpEnabledArticle
  entityId
  headline
  socialHeadline
  types {
    value {
      entityId
      id
    }
  }
  authors {
    entityId
    id
  }
  images {
    generic_og: style(filter: {style: "og_image_scmp_generic"}) {
      url
    }
    styles(filter: {styles: ["og_image_posties_article", "og_postmag", "og_image_style", "og_image_scmp_analysis", "og_image_scmp_explainer", "og_image_scmp_editorial", "og_image_scmp_fact_check", "og_image_scmp_debate", "og_image_scmp_live", "og_image_scmp_obituary", "og_image_scmp_opinion", "og_image_scmp_review", "og_image_scmp_series", "og_image_scmp_generic"]}) {
      url
      style
    }
    type
  }
  urlAlias
}

fragment hooksContentHeadlineTagContent on Content {
  __isContent: __typename
  __typename
  ... on Article {
    types {
      value {
        name
        entityId
        description {
          text
        }
        id
      }
    }
    ...helpersCheckIsStyleArticle
  }
  flag
  sections {
    value {
      name
      id
    }
  }
  ...hooksContentHelperContent
}

fragment hooksContentHelperContent on Content {
  __isContent: __typename
  ...helpersSanitizeArticleTypeEntityIdsArticle
  ...helpersSanitizeAuthorTypesArticle
  ...helpersSanitizedAuthorEntityIdsArticle
  flag
}

fragment hooksPaywallPromiseContent on Content {
  __isContent: __typename
  entityId
  ...helpersCheckIsPostiesArticle
}

fragment hooksTrackPageViewArticle on Article {
  entityId
  publishedDate
  headline
  sections {
    value {
      name
      id
    }
  }
  urlAlias
  authors {
    name
    id
  }
  entityUuid
}

fragment imageContent on Content {
  __isContent: __typename
  headline
  ...checkersCheckContentContainsStarlingImageContent
}

fragment inlineWidgetContent on Content {
  __isContent: __typename
  ...contentNewsletterWidgetContent
}

fragment mainImagePrintArticleArticle on Article {
  images {
    title
    url
    isSlideshow
    size_652x446: style(filter: {style: "652x446"}) {
      url
    }
  }
}

fragment photoGalleryDialogContent on Content {
  __isContent: __typename
  __typename
  ...contentShareWidgetContent
}

fragment photoGalleryWidgetContent on Content {
  __isContent: __typename
  ...photoGalleryDialogContent
}

fragment scmpYoutubeContent on Content {
  __isContent: __typename
  entityId
  urlAlias
  publishedDate
}

fragment sponsorTagSponsor on Sponsor {
  name
  type
  images {
    url
  }
}


sections

types

disableOffPlatformContent

sponsorType

published

headline

socialHeadline

authors

images

publishedDate

updatedDate

summary

subHeadline

keywords

topics

readingTime

authorLocations

entityUuid

Iris Deng

Celia Chen

Tencent Holdings reported on Wednesday a 175 per cent rise in profit for the fourth quarter, beating market estimates as the internet giant deals with increased scrutiny from the Chinese government’s crackdown on Big Tech companies.
The Shenzhen-based company’s net profit reached 59.3 billion yuan (US$9.1 billion) in the three months ended December, up from 21.6 billion yuan during the same period in 2019 and 80 per cent above analyst estimates, according to Bloomberg data.
Total revenue rose 26 per cent to 133.7 billion yuan, from 105.8 billion yuan a year earlier, slightly ahead of the consensus estimate of 133.1 billion yuan by 22 analysts, according to Bloomberg data.
The company, which runs the world’s largest video games business and China’s biggest social media operation, said its profit for the full year was up 71 per cent, reaching 159.8 billion yuan in 2020, higher than the 130.2 billion yuan consensus estimate. Total revenue in 2020 grew 28 per cent for the year to 482.1  billion yuan, beating the 481 billion yuan estimate by 53 analysts polled by Bloomberg.
The tech giant’s shares fell 0.8 per cent on Wednesday ahead of the earnings announcement amid a declining market, closing at HK$623.50 (US$80.30). Tencent has lost HK$1.42 trillion in market value since its January 25 peak, more than the GDP of Algeria, pushing back Tencent’s prospects of becoming the first Asian company to reach a US$1 trillion valuation.
China’s antitrust regulator fines Big Tech for unreported M&A deals
Tencent founder and CEO Pony Ma Huateng emphasised the company’s expansion in industrial internet and cloud services and in gaming overseas.
“While 2020 was a year of unprecedented challenges, solid results across all our businesses testify to our focus on user value, technology innovation and business sustainability,” Ma said in a statement.
Despite continued growth, Tencent is facing more hurdles in its home market, where it has been ensnared in China’s crackdown on Big Tech. Regulatory scrutiny has recently hit both the company’s gaming business and financial services, two important areas for the tech giant.
A merger of the country’s two largest video game live-streaming companies, Huya and Douyu, is currently being reviewed by Chinese regulators and the US Securities and Exchange Commission. Huya is seeking to acquire its rival for US$6 billion, but both companies are backed by Tencent and make up nearly 90 per cent of the market by number of users, according to iResearch. Reuters reported on Tuesday that local regulators are requiring Tencent to “offer concessions” for approval, but Douyu executives told analysts in an earnings call that the merger was still on track for approval.
Tencent tests Beijing’s antitrust redline with game streaming merger
Gaming makes up a significant chunk of Tencent’s revenue, growing 36 per cent to 156 billion yuan in 2020, aided in part by lockdowns during the Covid-19 pandemic. Video games made up 29.2 per cent of Tencent’s income last quarter with 39.1 billion yuan, 29 per cent more than the same period in 2019. Mobile games alone took in 36.7 billion yuan for the quarter and 146.6 billion yuan for the year.
“While the e-commerce sector is under pressure from the anti-monopoly investigation, we view the gaming industry as stable, as the sector has experienced strict censorship policies in 2018 and most of the top-ranking games have used anti-addiction systems since then,” Barclays analyst Gregory Zhao wrote in a recent note.
Tencent’s fintech business is another critical area for the company that could be a regulatory target. Revenue for fintech and business services rose 29 per cent last quarter to 38.5 billion yuan, bolstered by commercial payments, with more daily active consumers pushing up the number of transactions. WeChat’s monthly active users reached 1.2 billion in 2020.


However, China’s fintech industry remains clouded by uncertainty since regulators started cracking down last year. Bloomberg reported earlier this month, citing anonymous sources, that Tencent will probably be pushed into putting its financial services into a holding company, similar to what is being asked of rival Ant Group, the owner of Alipay and an affiliate of Alibaba Group Holding, owner of the South China Morning Post. Current industry scrutiny started when regulators scuttled Ant’s planned initial public offering last November, which was set to become the world’s largest IPO.
Spinning off all of its fintech endeavors could be a more complicated task for Tencent, however, as they are spread out across the company’s entire ecosystem, only converging on its ubiquitous WeChat app, the country’s second-largest mobile payment platform. WeChat saw transactions reach US$250 billion in 2020 through its in-app mini-programs alone, which does not count the trillions of dollars in transactions made through WeChat Pay in other shops every year.
“We have strong self discipline and principals in fintech,” Tencent president Martin Lau Chi-ping said during the earnings call. “Our risk management is tighter and risk is lower than our peers and our expectations. We will focus on creating meaningful products for users and small- and medium-sized enterprises rather than rushing to monetise.”
Tencent insists it is a collaborator, not disrupter, in fintech
Advertising revenues were also up, recovering along with demand after being impacted by the pandemic. Tencent reported 24.7 billion yuan in ad revenue in the fourth quarter, a 22 per cent rise driven by social ads on WeChat.
The company’s investment strategy continues to pay off, as well. The company said additional gains of 32.9 billion yuan in the fourth quarter came primarily from increased valuations of investee companies, which include Chinese and overseas start-ups in areas such as gaming, social media and e-commerce.
Investments paid off handsomely last year, with related gains reaching 57.1 billion yuan, owing to rising share prices of fast-growing tech companies such as Meituan, Kuaishou and Pinduoduo. But a draft of new antitrust rules from Beijing could curb future mergers and acquisitions. Tencent chief strategy officer James Mitchell played down the potential impact of new regulations.
“The overwhelming majority of [Tencent] investments are actually minority, non-controlling stakes. Generally speaking, we haven’t used outright mergers or acquisitions actively,” he said during the earnings call. “We will also continue to focus investments primarily on minority stakes, in which we partner with entrepreneurs who are actually running the businesses day to day, rather than on outright mergers or acquisitions.”
Additional reporting by Josh Ye


Tencent posts 175 per cent rise in fourth-quarter profit, as it faces tighter scrutiny from Chinese regulators and seeks new growth opportunities

A cyclist wearing a protective mask rides past the Tencent Holdings logo at the company’s headquarters in Shenzhen on March 20. Photo: Bloomberg

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Tencent’s fourth-quarter profit beat estimates by 80 per cent, reaching US$9.1 billion 
The tech giant’s continued growth faces increasing challenges in its home market, where regulatory scrutiny is hitting its gaming and financial services empire


Tencent reported a 175 per cent rise in fourth-quarter profit, beating analyst estimates, as increasing scrutiny from Chinese regulators threatens to slow its expansion in gaming and financial services.


Tencent posts 175 per cent rise in fourth-quarter profit, as it faces tighter scrutiny from Chinese regulators and seeks new growth opportunities

Tencent’s fourth-quarter profit beat estimates by 80 per cent, reaching US$9.1 billion The tech giant’s continued growth faces increasing challenges in its home market, where regulatory scrutiny is hitting its gaming and financial services empire

Tencent’s fourth-quarter profit beat estimates by 80 per cent, reaching US$9.1 billion

The tech giant’s continued growth faces increasing challenges in its home market, where regulatory scrutiny is hitting its gaming and financial services empire