Tencent surprises with profit surge

The recent campaign by the Chinese leadership against its tech companies (as reported by China.Table) at least seemed to have hardly any effect on its biggest player. Notwithstanding the increasing regulatory pressure, Tencent was able to significantly increase profits in the second quarter. Net income climbed by 29 percent to 42.6 billion yuan (5.6 billion euros). Analysts had expected much lower figures. According to news agency Reuters, the increase was driven by high demand for box office hits such as Honor of Kings and PUBG, as well as a boom in the advertising business. Sales climbed by a fifth to 18.2 billion euros.