The Chinese know how to monetize online entertainment. Tencent reported for the third quarter of 2017, during which it earned $4 billion (¥ 27 billion) on online games.
This is 48% more than in the same quarter a year ago and 13% more than in May-July.
Mobile games have become the main catalyst for growth. The revenue from them amounted to $2.8 billion (¥18.2 billion). For money, Tencent has allocated three titles: Honor of Kings, Contra Return and Legend of XuanYuan Mobile.
The company’s revenues from PC games have also grown. Revenue from them amounted to $2.2 billion (¥14.6 billion). Here, Dungeon Fighter Online and League of Legends were mainly responsible for the cash register.
In general, the company’s sales and marketing expenses have grown no less than the revenue from games. During the reporting period, it spent 47% more on project promotion compared to last year and 13% more compared to last quarter. In total, $753 million (¥5 billion) was spent on promotion in the third quarter. But here we are talking about Tencent’s total marketing expenses, and not just for the gaming segment.
The company’s overall revenues for the third quarter totaled $9.8 billion (¥65 billion).
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