Tencent, Weibo Report Q2 Jump in Revenue and Active Users

Two of China’s most watched tech companies, each a key player in the country’s social media sphere, have reported an increase in both users and revenue for their respective second quarters.

Weibo’s net revenue for the second quarter jumped 48 percent year-on-year, helped by advertising and marketing revenue’s 47 percent rise. Overall net income for the quarter reached $81 million and monthly active users of the platform increased by 43 million to 566 million in total.

Tencent’s second quarter revenue was up 20 percent year-on-year to 138.3 billion yuan ($21.3 billion), and its social media platform, WeChat, saw monthly active users rise 3.8 percent on the year to 1.25 billion, in spite of a recent temporary suspension in new user registrations in order for the company to ensure compliance with data collection regulations.

Tencent President, Martin Lau, warned in a call following the company’s results that China’s internet industry should prepare for more regulation and uncertainty in the short-term, adding he was confident the end goal of China’s government was to navigate a sustainable path forward for the industry in the long term.

“The government does recognise [the industry’s] importance on the economic side, on the social side and also the contribution of the industry to global competitiveness,” he said.

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