Tencent Posts Upbeat Q2 Earnings

China's Tencent Holdings

posted better-than-expected second-quarter earnings. Tencent's quarterly net income jumped 59% y/y to 5.84 billion yuan ($949 million), versus 3.68 billion yuan, in the year-ago period. However, analysts were expecting earnings of 5.73 billion yuan. Its revenue surged 37% to 19.75 billion yuan versus 14.38 billion yuan. Analysts expected revenue of 19.20 billion yuan. Revenue from social networks gained 47%. Global monthly active users of WeChat jumped 10.7% versus the earlier quarter to 438.2 million. Monthly active WeChat users also climbed 57% y/y. Online games contributed 56% of revenue in the quarter, versus a contribution of 46% in the year-ago period. Tencent shares gained 0.17% to $17.30 in after-hours trading.