Executive Summary

• Tencent reported 1Q19 revenues of ¥85.47 billion (USD 12.4 billion), up 16.2% year over year and below the ¥88.41 billion consensus estimate. Adjusted EPS was ¥2.19 (USD $0.32), up 14.2% year over year and beating the ¥1.99 consensus estimate.
• Combined Weixin and WeChat monthly average users (MAU) were 1.1 billion, up 6.9% year over year and fee-based registered value-added service (VAS) subscriptions were 165.5 million, up 12.5% year over year.
• Tencent started disclosing results for a new FinTech and Business services segment, which recorded ¥21.8 billion (USD $3.2 billion), whose revenues grew 44% year over year, driven by commercial payments, other services such as microloan products and the cloud business.