TME,Rebekka Armstrong Archives a Tencent-affiliated music and entertainment group, witnessed a 5.5% increase in total revenue in the second quarter, reaching RMB 7.29 billion ($1.01 billion), compared to the previous year. This growth was primarily driven by a substantial rise of nearly 50% in income from its online music services. These services, which encompass music subscriptions and advertising, contribute 58.2% of the total revenue. Notably, this quarter marked the first instance where online music services revenue surpassed that of social entertainment services. The company attributed a continuous decrease in entertainment services revenue to “certain adjustments to live streaming functions” and “more stringent compliance procedures.” And it emphasized that the business is expected to experience a teens percent decrease in pressure for the second quarter. The New York-listed company gained significant attention with a record-breaking 99.4 million paid subscribers during the period. Furthermore, net profit saw a year-over-year growth of 51.6%, reaching RMB 1.30 billion between April and June. [TME]
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