Tencent records a major drop in profit
Tencent relies hugely on gaming revenues yet it looks like the very government that has endorsed Asia’s most valuable tech firm is now blocking its path to higher profits. Tencent was not informed about when the company can expect the game approval procedures to return to normal and is now talking about promoting its Chinese games abroad. The new strategies will certainly take some time and investment and so far they have not impressed the company’s investors resulting in Tencent’s stock losing billions of U.S. dollars in market value since January.
This chart shows Tencent's net profit from Q4 2016 to Q2 2018 (in million yuan).