Tencent Q3 profit doubles on online gaming boom
SHANGHAI, Nov 11 (Reuters) - China's top online game operator Tencent Holdings (0700.HK) said on Wednesday that its quarterly net profit doubled to a record high thanks to surging popularity of its online games.
Tencent reported a third-quarter net profit of 1.42 billion yuan ($208 million), up from 737.1 million yuan a year earlier. The result was slightly ahead of the average forecast of 1.36 billion yuan, according to two analysts polled by Thomson Reuters I/B/E/S.
Revenue from China's online game market grew 39.5 percent in the second quarter to 6.18 billion yuan ($905.2 million), according to data from research firm Analysys International.
Tencent, the market leader with 20 percent of the market, followed by Shanda Games (GAME.O) and NetEase.com (NTES.O), faces increased uncertainty due to tougher regulation of the fast-growing industry by heavy-handed officials concerned about negative influence of such games.
Tencent shares have nearly tripled this year, outpacing the 55 percent rise on the Hong Kong Stock Exchange .HSI, reflecting its fast growth in the industry. (Reporting by Melanie Lee; Editing by Jean Yoon and Chris Lewis)
