PC revenue down five per cent year-on-year for Tencent

PC revenue down five per cent year-on-year for Tencent

PC titles generated RMB12.9bn in the last financial quarter for Chinese tech and entertainment giant Tencent.

The represents a five per cent dip year-on-year and an eight per cent decline quarter-to-quarter.

The firm places the year-on-year drop on consumers moving more towards mobile games, with the quarter-to-quarter drop is due to "weak seasonality".

Tencent remains bullish though, boasting of increased daily active users in China for MOBA giant League of Legends. This is, in part, due to Chinese team Royal Never Give Up walking away with the trophy at May's Mid-Season Invitational in Paris.

"During the second quarter of 2018, we deepened user engagement with increased daily active users and time spent across our social, games and media platforms," Tencent CEO and Chair Ma Huateng said.

"While our mobile game revenue was impacted by transient factors, we saw healthy growth in the number of people playing our mobile games each day in China and overseas. Our video subscription counts more than doubled year-on-year, maintaining our industry-leading position in China. Looking forward, we remain committed to investing in new technologies and creating innovative products to make our users' lives simpler and better."

No doubt the company will be faring slightly worse in three months time when it reports on its next round of financials. China's regulatory body has been blocking releases of new games since March, which doesn't bode well for a company whose primary market is China and makes half its annual revenue from games.

PCGamesInsider Contributing Editor

Alex Calvin is a freelance journalist who writes about the business of games. He started out at UK trade paper MCV in 2013 and left as deputy editor over three years later. In June 2017, he joined Steel Media as the editor for new site In October 2019 he left this full-time position at the company but still contributes to the site on a daily basis. He has also written for, VGC, Games London, The Observer/Guardian and Esquire UK.