Latest Search
Quote
| Back Zoom + Zoom - | ||||
|
<Research>Haitong Int'l: TENCENT 4Q24 Adj. NP Beats; TP Raised 20% to $600
Recommend 16 Positive 26 Negative 11 |
||||
|
||||
|
Haitong International released a research report on TENCENT (00700.HK), which reported 4Q24 revenue exceeding expectations by 2%, given strong performance in games and ads businesses. Adjusted operating profit met expectations, while adjusted net profit surpassed forecasts by 4%, with a net profit margin of 32.1% aligning with expectations. Haitong International anticipated that Tencent’s gross margins across various business segments will continue to trend upward, underpinned by a favorable mix shift in games/ ads efficiency improvement, cloud margin enhancement and higher margin business lines like mini games/ EC service fees. Meanwhile, operating expenses are expected to escalate due to marketing costs for AI and other products, as well as increased R&D expenses from GPU depreciation and workforce expansion. The broker predicted Tencent’s adjusted net profit for 1Q25 and the full year of FY2025 to touch RMB62 billion and RMB251 billion, respectively, implying YoY growth of 24% and 13%. Haitong International raised its target price for TENCENT by 20% to HKD600 and maintained an Outperform rating. AAStocks Financial News |
||||
Copied to Clipboard
 |
||||
