Tencent Q4 Earning: recovery is on the way, time to buy
$TENCENT(00700)$ released Q4 2022 and its full-year earnings after Mar,22. Sales slightly beat market consensus, the effect of reducing costs and increasing efficiency continues, and the margin promoted better than expected. Offline business still affected, while games and entertainment performed steadily. Fortunately, video content is entering an accelerated monetizing period, ads revenue growing strong recovery potential. We expect further recovery in 2023.Overview of Q4 performanceRevenue 144.95 billion yuan, up 1% year-on-year, higher than the market expectation of 144.50 billion yuan. Among them,The overall income of value-added services was 70.4 billion
What investors should know from Tencent's Q4 Earnings?
$TENCENT(00700)$ has released its earnings of Q4 and 2021 full year. Overview of overall performance Q4 revenue was 144.19 billion yuan, a year-on-year increase of 7.9%, slightly lower than the consensus of 145.3 billion. After Q3's 13.4% life-time low growth rate, it continues reduced to single digits. Gross profit decreased rapidly in Q4 to 57.8 billion yuan, down 2% year-on-year, Leading Gross Margin to 40% from a 45-47% level in the previous three quarters, which also lowered the annual gross margin to 44%. Net profit during the period reached 95.7 billion yuan, compared with 59.4 billion yuan in the same period last year. Mai