Tencent Music - SW (01698) Net profit attributable to non-IFRS equity holders in the second quarter was 2.69 billion yuan, up 4.4% year on year

According to the Zhitong Finance App, Tencent Music - SW (01698) announced results for the second quarter of 2026, with total revenue of RMB 8.93 billion (US$1.32 billion), an increase of 5.8% over the previous year. The net profit attributable to the company's equity holders was 2.47 billion yuan, an increase of 2.57% over the previous year. The diluted earnings per American Depositary Share was $1.57. Net profit attributable to equity holders in non-IFRS companies was $2.69 billion, up 4.4% year over year.

Among them, revenue from music-related services increased 11.0% year-on-year to RMB 7.61 billion (US$1.12 billion), thanks to steady growth in marketing and consumer service revenue (such as offline performance-related services) and music-related membership service revenue. Revenue from music-related membership services increased 8.1% year over year to RMB 4.79 billion (US$706 million). The integration of the Himalayas has led to an increase in revenue from music-related membership services. Furthermore, the continued expansion of Super Membership has also contributed to an increase in revenue from music-related membership services. Benefiting from the company's successful hosting of many concerts for strategically collaborating artists, revenue from offline performance-related services achieved strong year-on-year growth.

In the first half of 2026, it achieved total revenue of 16.828 billion yuan, an increase of 6.52% over the previous year; net profit attributable to the company's equity holders was 4.562 billion yuan.

Peng Jiaxin, executive chairman of Tencent Music Entertainment Group, said, “The results of the second quarter confirm that our strategy of 'integrating two wings' content and platform continues to bear fruit. Concerts, peripheral products, and other IP-derived experiences have driven sales from marketing and consumer services to once again achieve steady growth, fully demonstrating our ability to continue to unleash the value of high-quality music IP. By integrating the Himalayas, we are further expanding our digital audio business landscape, expanding user reach, and enriching the ecological layout. Facing the continuous evolution of the industry, we will continue to adhere to copyright protection, create a healthy industry ecosystem, and promote the long-term realization of creative value.”

Liang Zhu, CEO of Tencent Music Entertainment Group, said, “In the face of a rapidly changing market environment, we have always been committed to building a comprehensive ecosystem centered on music and audio experiences, where users can discover content, connect with each other, and be inspired. Differentiated content and a vibrant community ecosystem continue to increase the activity of core users, and also drive the steady growth of the super membership business. The addition of the Himalayas is an exciting milestone, enabling us to provide our users with a richer audio experience and better service. In the future, we will lead the development direction of music and audio entertainment, unlocking long-term growth potential.”