Tencent Earnings: TCEHY Stock Jumps on Q1 Beats

Tencent (OTCMKTS:TCEHY) earnings for the first quarter of 2020 have TCEHY stock higher on Wednesday. This is after reporting revenue of $108 billion yuan, which is above Wall Street’s estimate of $101.4 billion yuan. Furthermore, the company reported adjusted earnings per share (EPS) of $2.99 yuan per share, while analysts were expecting $2.35 yuan per share for the quarter.

Tencent Earnings: TCEHY Stock Jumps on Q1 Beats

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Now let’s see what else is worth mentioning from the most recent Tencent earnings report.

  • Adjusted EPS was up 5.3% from $2.84 yuan during Q1 2019.
  • Revenue for the quarter comes in 26% higher compared to $85.47 billion yuan during the same time last year.
  • Operating income of $37.36 billion yuan is 1.7% better year-over-year than $36.74 billion yuan.
  • Tencent’s earnings also includes a net income of $29.4 billion yuan
  • That compares to $27.86 billion yuan from the first quarter of 2019.

Ma Huateng, chairman and CEO of Tencent, said this about the TCEHY stock earnings report:

“During this difficult period, we seek to provide online services that keep people connected, informed, productive, and entertained. So far, our businesses have proved resilient and cash flow-generative, enabling us to increase our investment to fulfill our mission of “Tech for Good”. We are allocating time and resources, including over RMB2 billion of donations, to contribute to COVID-19 relief initiatives in China and globally.”

The Tencent filing does not include guidance for fiscal year 2020. This is likely due to effect of the novel coronavirus on the business.

TCEHY stock was up 4.5% as of Wednesday’s close.

Nick Clarkson is a web editor at InvestorPlace. As of this writing, he did not hold a position in any of the aforementioned securities.

Article printed from InvestorPlace Media, https://investorplace.com/2020/05/tencent-earnings-tcehy-stock-jumps-on-q1-beats/.

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