(Reuters) – China’s Tencent Music Entertainment (TME.N) narrowly missed market estimates for quarterly revenue on Monday as the COVID-19 crisis hurt the company’s social entertainment services business, sending its shares down 4.5% in extended trade overnight.
FILE PHOTO: Tencent Music Entertainment celebrates the company’s IPO at the New York Stock Exchange (NYSE) in New York, U.S., December 12, 2018. REUTERS/Bryan R Smith
Monthly average revenue per subscriber paying for the company’s social entertainment services fell 13% in the first quarter ended March 31. These services include karaoke platform “WeSing” and “Kugou Live”, where users live-stream music performances and concerts.
However, the number of paying users in the segment surged 18.5% to 12.8 million.
Tencent Music, controlled by Chinese tech giant Tencent Holdings (0700.HK), gets nearly three quarters of its revenue from this business, unlike peers including Spotify (SPOT.N) who make most of their money…
Source Reuters Tech News
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