EarningsQ2 2026 Earnings Report
DE:NNND Q2 2026 EPS Results
Actual EPS€0.99
Consensus EPS€0.97
Beat/MissBeat by +€0.02
One Year Ago EPS€0.91
DE:NNND Q2 2026 Revenue Results
Actual Revenue€26.80B
Expected Revenue€26.98B
Beat/MissMissed by -€172.90M
YoY Revenue Growth+18.40%
Earnings Announcement Details
QuarterQ2 2026
Date08/12/2026
TimeBefore Open
Conference CallWednesday, August 12, 2026
DE:NNND Upcoming Earnings
Tencent Holdings 's next earnings date is estimated for November 10, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
DE:NNND Q2 2026 Earnings Call
0:00 / 0:00
Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented solid core operating results—double-digit revenue and gross profit growth, strong games and ad momentum, accelerating cloud and promising AI product traction (Hunyuan 3, WorkBuddy, CodeBuddy and Xiaowei). At the same time, management disclosed a large, deliberate acceleration of AI infrastructure spending that materially increased CapEx, raised R&D and marketing outlays, compressed free cash flow and put near-term margin pressure on reported results. Management framed the AI investments as strategic with fallback monetization options (leasing capacity, Model-as-a-Service) and highlighted encouraging early adoption metrics (token usage, product rankings, user retention). Overall the positives (sustained growth, segment wins, clear AI product adoption and strategic optionality) outweigh the near-term financial headwinds caused by heavy, intentional AI investment, supporting a constructive but watchful outlook.Company Guidance
Top-line and profit growth
Total revenue RMB 204.8–205.0 billion, up 11% year-on-year; gross profit RMB 118.0–118.4 billion, up 13% year-on-year; non-IFRS operating profit ~RMB 75.6–76.0 billion, up ~9% year-on-year; non-IFRS net profit attributable ~RMB 68.0–68.4 billion, up 9% year-on-year; diluted EPS RMB 7.433, up 9%.
Strong segment performance and user engagement
Communications/social combined MAU (Weixin/WeChat) reached ~1.4 billion (up year-on-year and quarter-on-quarter); video accounts total time spent grew >20% QoQ; value-added services revenue RMB 98 billion, up 8% YoY; Mini Shops GMV increased and monetization features expanded.
Games momentum and new releases
Domestic games strong: Delta Force and VALORANT PC each hit lifetime-high average DAU; Roco Kingdom World among top new titles (noted as a top new-release by average DAU/gross receipts); Runaway Evolution launched July 9; Arrows Puzzle Escape was the most downloaded mobile game globally in Q2 (Miniclip).
Marketing services and ad product improvements
Marketing services revenue RMB 44 billion, up 22% YoY, driven by higher eCPM and impressions; AI-driven ad tech (AI Marketing Plus) scaled and ad recommendation system parameters enlarged improving targeting and conversion.
Cloud and AI-related commercial traction
FinTech & Business Services revenue RMB 60 billion, up 9% YoY; cloud revenue growth accelerated from high-teens to low-20s % YoY in Q2 benefiting from AI demand, GPU rental, Model-as-a-Service, and WorkBuddy/CodeBuddy token usage; international cloud expanded (example: large telecom migration).
Hunyuan & product AI adoption
Hunyuan 3 production version delivered major quality gains versus preview: ~6x average daily token usage versus preview; consistently ranks among top 3 models on OpenRouter by token usage; integrated into WorkBuddy, CodeBuddy, Yuanbao, Weixin assistant and game tooling; WorkBuddy and CodeBuddy cited as leaders in China by monthly interactions with high retention and willingness to pay.
Gross margin improvement in core VAS
Overall gross margin 58%, up 1 percentage point YoY; VAS gross margin improved to 64%, up 4 percentage points YoY, driven by higher mix of internally developed, high-margin games.
Strategic compute procurement and optionality
Substantially stepped up compute procurement to support model training and inference; management highlights fallback monetization options (renting capacity via Tencent Cloud / Model-as-a-Service) and the opportunity to monetize tokens through WorkBuddy.
DE:NNND Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed