Principal Activities

Principally engaged in the provision of Value-added Services (“VAS”), Online Advertising services and FinTech and Business Services.

Latest Results

The Group's profit attributable to shareholders for the 6 months ended 30-06-2026 amounted to RMB 114.12 billion, an increase of 10.3% compared with previous corresponding period. Basic earnings per share was RMB 12.6387. No dividend declared. Turnover amounted to RMB 401.24 billion, an increase of 10.1% over the same period last year, gross profit margin up 0.9% to 57.2%. (Announcement Date: 12 Aug 2026)

Business Review - For the six months ended June 30, 2026

As we entered into the third quarter of the year, we are making substantial progress towards building a new, AI-empowered Tencent in terms of intelligence, applications, and infrastructure. At the intelligence level, Hy3’s production version provides users a widely used model with strong cost-performance metrics, and serves as a stepping-stone toward the Hy family of models attaining state-of-the-art capabilities in the future. At the application level, our WorkBuddy AI office productivity service and CodeBuddy AI coding tool are achieving breakout user growth and are the clear leaders in their fields in China today1. At the infrastructure level, we substantially stepped up our procurement of compute, which will enable us to convert usage of our applications and models into revenue going forward.At the same time, we continue to enhance our existing services, with sustained marketing services revenue growth, several successful recently released games, and rapidly increasing video views on Weixin Video Accounts.

Below are some highlights from our key products and services for recent months:

•We released the full Hy3 production version in July 2026, which delivered a substantial step-up in performance versus the Hy3 preview version, and significantly outperforms most similar-sized models. Since its launch, Hy3 has consistently ranked among the top 3 models globally in terms of token consumption on OpenRouter2.

•WorkBuddy is achieving rapid user growth and healthy user retention rates, with high user willingness to pay for tokens via subscriptions and top-ups. WorkBuddy’s market leadership is underpinned by its robust harness engineering, wide range of model availability, and industry-leading Skills library.

•In recent weeks, we have begun a small-scale prototype test for Xiaowei, the agentic AI inside Weixin. Xiaowei is powered by a customised model, WeLM, built for user privacy, Weixin-specific use cases and inference efficiency.

•Video Accounts’total time spent grew more than 20% year-on-year in the second quarter of 2026, benefitting from enriched content for younger users, upgraded interactive features and a new multi-variable content ranking system.

•Our domestic evergreen games3, Delta Force and VALORANT PC, achieved lifetime highs in average DAU in the second quarter of 2026. Our new game, Roco Kingdom:World, ranked first by average DAU4 and by gross receipts5 among all new mobile titles released in China year-to-date.

•Miniclip attained breakout success in international markets as Arrows–Puzzle Escape became the most downloaded mobile game globally in the second quarter of 20266, generating robust in-app advertising revenues.

•We upgraded our automated campaign management solution, AIM+, with AI-powered end-to-end execution capabilities for mini shop and mini drama advertisers.

Business Outlook - For the six months ended June 30, 2026

Looking ahead, we will continue to leverage AI to drive innovation, create long-term value, and build a more sustainable future for all.

Source: Tencent Hold (00700) Interim Results Announcement