Tencent Sees Slowing Game Growth as It Improves Platform
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Tencent Holdings Ltd. expects growth in mobile-game revenue to plateau as Asia’s biggest Internet company works to improve quality and expand titles at a business that generates more than half of its sales.
“Consequently, it’s possible that our smartphone game revenue will be more or less stable around current run rates for the next couple of quarters,” Chief Strategy Officer James Mitchell said on a conference call yesterday. The stock fell after it was cut to neutral by analysts at HSBC Holdings Plc, who cited the games forecast.