The earnings call highlighted strong financial performance in the music business, driven by subscription growth and strategic partnerships, but also noted challenges in the social entertainment segment and non-music subscriber monetization.

Company Guidance

During Tencent Music Entertainment Group's First Quarter 2025 Earnings Conference Call, the company highlighted several key metrics and strategic initiatives contributing to their robust performance and future growth prospects. In Q1 2025, revenues reached RMB 7.4 billion, marking a 9% year-over-year increase. Online music revenues grew by 16% to RMB 5.8 billion, driven by a 17% year-over-year rise in music subscription revenues to RMB 4.2 billion. Monthly ARPPU increased to RMB 11.4, up from RMB 10.6 in Q1 2024. The company also saw strong growth in advertising revenues, particularly from innovative ad-supported models, and a 23% rise in non-IFRS net profit to RMB 2.2 billion. Furthermore, Tencent Music's SVIP membership program, premium sound offerings, and strategic partnerships with record labels contributed to increased user engagement and ARPPU expansion. Looking ahead, the company plans to focus on high-quality growth, leveraging its dynamic music ecosystem, and expanding its advertising business and SVIP memberships to drive sustainable growth in 2025.

Strong Topline Growth

Tencent Music Entertainment Group reported robust topline growth in Q1 2025 with revenues reaching RMB 7.4 billion, a 9% year-over-year increase.

Significant Increase in Music Subscription Revenues

Music subscription revenues increased by 17% year-over-year to RMB 4.2 billion, driven by the expansion of the SVIP membership program and reduced promotional activity.

Gross Margin Improvement

Gross margin improved to 44.1%, an increase of 3.2 percentage points year-over-year, supported by the growth of subscription and advertising revenues.

Partnerships and Content Expansion

The company renewed multiyear contracts with Sony Music Entertainment and expanded collaborations with other labels, enhancing their music library and user experience.

Increased Net Profit

Non-IFRS net profit increased by 23% to RMB 2.2 billion, highlighting effective monetization and improved operating efficiency.

SVIP Membership Growth

SVIP membership penetration and ARPPU demonstrated strong growth momentum, contributing significantly to overall ARPPU expansion.

Tencent Music Entertainment Group (TME) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

Daily Earnings Calendar >

TME Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Aug 18, 2025	2025 (Q2)	0.20 / -	1.07	―	―	―
May 13, 2025	2025 (Q1)	0.18 / 0.38	0.126	204.40% (+0.26)	―
Mar 18, 2025	2024 (Q4)	0.17 / 0.17	0.115	51.81% (+0.06)	―
Nov 12, 2024	2024 (Q3)	0.16 / 0.14	0.103	36.49% (+0.04)	―
Aug 13, 2024	2024 (Q2)	0.15 / 0.15	0.114	30.49% (+0.03)	―
May 13, 2024	2024 (Q1)	0.13 / 0.13	0.101	24.66% (+0.02)	―
Mar 19, 2024	2023 (Q4)	0.13 / 0.12	0.1	15.28% (+0.02)	―
Nov 14, 2023	2023 (Q3)	0.11 / 0.10	0.092	12.12% (+0.01)	―
Aug 15, 2023	2023 (Q2)	0.12 / 0.11	0.074	54.72% (+0.04)	―
May 16, 2023	2023 (Q1)	0.10 / 0.10	0.051	97.30% (+0.05)	―

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

TME Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
May 13, 2025	$14.33	$14.69	+2.51%
Mar 18, 2025	$12.90	$14.91	+15.58%
Nov 12, 2024	$11.41	$10.79	-5.43%
Aug 13, 2024	$12.97	$10.98	-15.34%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.