--- title: "News: Tencent's adjusted profit increased by 11% in the first quarter, continuing to increase investment in AI" type: "News" locale: "en" url: "https://longbridge.com/en/news/286358644.md" description: "Tencent Holdings Limited announced its financial report for the first quarter of 2023, with revenue increasing by 9.1% year-on-year to CNY 196.46 billion, and non-International Financial Reporting Standards (IFRS) net profit attributable to shareholders rising by 10.7% to CNY 67.9 billion. Revenue from the gaming business grew by 6%, while advertising and enterprise services revenue increased by nearly 20%. The company has increased its AI investments, with capital expenditures reaching CNY 31.9 billion, a growth of 16%. The stock price fell slightly on Thursday, down over 22.8% year-to-date" datetime: "2026-05-14T04:50:44.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/286358644.md) - [en](https://longbridge.com/en/news/286358644.md) - [zh-HK](https://longbridge.com/zh-HK/news/286358644.md) --- # News: Tencent's adjusted profit increased by 11% in the first quarter, continuing to increase investment in AI Internet giant **Tencent Holdings Limited** (0700.HK) announced on Wednesday that for the first quarter ending in March, revenue grew by 9.1% year-on-year to CNY 196.46 billion, with non-International Financial Reporting Standards (Non-IFRS) net profit attributable to shareholders rising by 10.7% to CNY 67.9 billion. Under International Financial Reporting Standards, net profit increased by 21.5% to CNY 58.09 billion. In terms of gaming business, domestic market game revenue grew by 6% year-on-year to CNY 45.4 billion, which was below market expectations. Management explained that this was mainly due to the later timing of the Spring Festival this year, causing some revenue to be deferred to the second quarter. However, the company indicated that evergreen games like "Honor of Kings" and "Peacekeeper Elite," along with new games like "Delta Force," drove double-digit growth in domestic game revenue. International market game revenue rose by 13% to CNY 18.8 billion. In contrast, advertising and enterprise services continued to be the main drivers of growth. Among them, marketing service revenue increased by nearly 20% year-on-year to CNY 38.17 billion, benefiting from upgrades to AI-driven advertising recommendation models and enhanced marketing capabilities within the WeChat ecosystem. Revenue from financial technology and enterprise services rose by 9% to CNY 59.89 billion, with enterprise service revenue growth reaching 20%, reflecting the continued increase in demand for AI-related cloud services. Tencent is also increasing its investment in AI. Capital expenditure for the first quarter reached CNY 31.9 billion, a year-on-year increase of 16% and a quarter-on-quarter increase of 63%. The company disclosed that excluding the impact of AI products such as Mix Yuan, Yuan Bao, CodeBuddy, and WorkBuddy, its adjusted operating profit could have grown by 17% to CNY 84.4 billion. The company also revealed that the new generation large model Hy3 preview launched in April has become one of the most popular models on the OpenRouter platform in terms of reasoning, agent, and coding capabilities. Tencent's stock price opened higher but fell during the day, reporting CNY 462.2 at noon, down 0.09%. Year-to-date, it has fallen over 22.8%. _Li Shida_ ### Related Stocks - [HERO.US](https://longbridge.com/en/quote/HERO.US.md) - [03033.HK](https://longbridge.com/en/quote/03033.HK.md) - [GAMR.US](https://longbridge.com/en/quote/GAMR.US.md) - [159869.CN](https://longbridge.com/en/quote/159869.CN.md) - [00700.HK](https://longbridge.com/en/quote/00700.HK.md) - [TCEHY.US](https://longbridge.com/en/quote/TCEHY.US.md) - [80700.HK](https://longbridge.com/en/quote/80700.HK.md) - [HTCD.SG](https://longbridge.com/en/quote/HTCD.SG.md) - [TCTZF.US](https://longbridge.com/en/quote/TCTZF.US.md) ## Related News & Research - [09:08 ETGIGABYTE Announces OLED Monitor Bundle with Xbox Game Pass Ultimate, Elevating Gaming Across Every Genre](https://longbridge.com/en/news/286571363.md) - [GCL Global Holdings Shares Leap Nearly 90% After Fresh $10M Boost from ADATA](https://longbridge.com/en/news/287077649.md) - [AI face is taking over — and driving plastic surgeons crazy](https://longbridge.com/en/news/286641783.md) - [Intelligent Protection Management Corp. Launches IPM Private Cloud AI Offering | IPM Stock News](https://longbridge.com/en/news/286896871.md) - [The $2.6 Billion Power Play: How Akamai Is Weaponizing Debt to Build the AI Edge](https://longbridge.com/en/news/287098482.md)