Tencent's China Games Power Q2 Growth
Domestic game revenue rose 17% in Tencent's second quarter, while international games slipped on reported exchange rates despite growing in constant currency.
The 60-second version
Tencent's Q2 revenue rose 11% to RMB204.8 billion as domestic games accelerated sharply, while currency movements obscured modest growth in international games.
Key points
- Domestic games generated RMB47.3 billion, up 17% year on year, with Tencent citing Delta Force, Valorant PC and Mobile, and Roco Kingdom: World.
- International games produced RMB18.6 billion, down 0.8% as reported but up 4% in constant currency.
- Tencent attributed overseas gains in Wuthering Waves and Valorant PC to an offset from lower revenue at certain Supercell games.
- Domestic and international games together accounted for RMB65.9 billion, roughly one-third of group revenue.
Verdict. Domestic gaming was a clear growth engine; international operations grew only modestly after removing currency effects, and all figures and title-level explanations remain unaudited company disclosures.
Quarter at a glanceGaming supplied a major share of growth
Tencent reported RMB204.8 billion in second-quarter revenue, up 11% year on year. Domestic and international games contributed RMB65.9 billion combined, or roughly one-third of group revenue, based on the two disclosed game-revenue lines.
Domestic portfolioChina games delivered the acceleration
Domestic game revenue rose 17% to RMB47.3 billion. CNBC noted that this accelerated from 6% growth in the first quarter. Tencent attributed the Q2 increase to growth across most major games, with notable contributions from Delta Force, Valorant PC and Mobile, and Roco Kingdom: World.
| Delta Force | Tencent cited it as a notable domestic contributor and said its average daily active users reached a lifetime high. |
|---|---|
| Valorant | PC and mobile were cited as domestic contributors; the PC version also reached a lifetime high in average daily active users. |
| Roco Kingdom: World | Tencent cited the new release as a contributor and said it led new China mobile titles year to date by average daily active users and gross receipts. |
International portfolioCurrency masked modest underlying growth
International game revenue was RMB18.6 billion, down 0.8% as reported but up 4% in constant currency. Reported revenue uses the exchange rates that affected Tencent's accounts; constant currency holds rates stable to isolate operating movement. The latter is an analytical comparison, not the revenue recorded in the statements.
The quarter therefore shows two different trajectories: sharp acceleration in China and modest international growth beneath a foreign-exchange headwind. The next test is whether domestic strength remains broad, newer releases retain players, and international reported growth catches up with its constant-currency trend.
Primary sourcesTencent: 2026 Second Quarter Results·CNBC: Tencent Q2 earnings