TLDR

  • Q4 2025 total revenue reached RMB8.64 billion, marking a 15.9% YoY increase and surpassing analyst projections of RMB8.44 billion
  • Revenue from online music services climbed 21.7% to RMB7.10 billion, with non-subscription income advancing 40.8%
  • Adjusted earnings per ADS of RMB1.41 fell short of the RMB1.54 consensus forecast
  • Paying users for online music increased 5.3% YoY to 127.4 million; SVIP membership exceeded 20 million
  • Adjusted net profit for full-year 2025 rose 25% to RMB9.59 billion; board approved approximately $368 million in annual dividends

Tencent Music Entertainment (TME) delivered Q4 2025 financial results on Tuesday showing revenue strength alongside earnings that trailed projections.

The quarter’s total revenue registered at RMB8.64 billion ($1.24 billion), representing a 15.9% year-over-year climb. This figure exceeded the RMB8.44 billion analyst consensus. Meanwhile, adjusted earnings per ADS reached RMB1.41 ($0.20), falling below the anticipated RMB1.54.


TME Stock Card
Tencent Music Entertainment Group, TME

Online music carried the revenue performance forward. This division expanded 21.7% year over year to RMB7.10 billion.

Within that segment, music subscriptions contributed RMB4.56 billion, growing 13.2% YoY. TME attributed this performance to enhanced membership benefits, such as priority access to live events and official artist merchandise.

Non-subscription music revenue emerged as the highlight, soaring 40.8% YoY to RMB2.54 billion. Live performances and advertising services led this growth.

User metrics showed positive momentum. Online music paying users expanded 5.3% YoY to 127.4 million, while monthly average revenue per paying user increased 7.2% to RMB11.9.

TME’s SVIP subscriber count surpassed 20 million by year-end 2025. This premium tier represents a key strategic focus for the company.

Gross margin improved to 44.7%, compared to 43.6% in the corresponding period of the previous year.

Full-Year 2025 Results

Across the entire year, TME generated revenue of RMB32.90 billion, advancing 15.8% YoY. Adjusted net profit totaled RMB9.59 billion, representing a 25% increase from the previous year.

Q4 net profit attributable to equity holders amounted to RMB2.20 billion, up 12.6% YoY. Non-IFRS net profit stood at RMB2.49 billion, rising 9%.

TME concluded 2025 holding RMB38.04 billion in cash and investments, reflecting a robust liquidity position.

Executive Chairman Cussion Pang said the company “executed our content-and-platform strategy with discipline, delivering accelerated revenue growth and sustained margin expansion” in 2025.

Dividend and Analyst View

TME’s board approved an annual cash dividend of roughly $368 million, equivalent to $0.24 per ADS.

The latest analyst recommendation on TME is a Buy rating, accompanied by a HK$71.00 price target. The company maintains listings on both the NYSE under ticker TME and the Hong Kong Stock Exchange under 1698.

At the time of the earnings announcement, TME’s Hong Kong-listed shares traded up 0.62%.