Breaking News

Tencent boosts Prosus profit, e-commerce trading decline widens

Tencent boosts Prosus profit, e-commerce trading decline widens

AMSTERDAM/JOHANNESBURG, Nov 22 (Reuters) – Prosus, which owns a $175 billion minority stake in Chinese world wide web gaming and social media team Tencent, posted an 8% increase in first-fifty percent buying and selling financial gain to $2.9 billion as revenue rose rapidly in its total portfolio.

Occasionally as opposed to SoftBank and its Vision Fund, Prosus NV (PRX.AS), owns stakes in a large variety of buyer online businesses, with returns from Tencent Holdings (0700.HK) dominating its overall effectiveness.

Though its net revenue spiked after Prosus booked a a single-time profit of $12.3 billion on the sale of section of its Tencent stake, working losses at firms it controls elevated.

Register now for No cost endless accessibility to

Prosus explained in a assertion on Monday that revenues at its e-commerce portfolio experienced risen by 53% to $4.2 billion, even though that segment’s buying and selling reduction increased to $372 million from a loss of $214 million in the identical interval a 12 months in the past.

The e-commerce portfolio, which does not incorporate returns from its keeping in Tencent, spans a group of companies that Prosus possibly owns or controls in labeled advertising and marketing, food delivery, academic technology and fintech and payments.

Prosus approximated the marketplace value of the e-commerce organizations at close to $49 billion.

It confirmed greater profitability in its classifieds enterprises, and robust advancement at its food items shipping and delivery organizations, which features iFood in Brazil and Swiggy in India.

The figures were being in line with indications the enterprise experienced offered in a Nov. 16 pre-announcement. go through much more

Bob Van Dijk, the Prosus CEO, stated he did not hope China’s new moves to crack down on huge engineering companies to effect potential earnings negatively.

“In spite of some regulation coming up … Tencent is in my perspective the best-positioned internet organization in the most appealing net market place in the world,” he told reporters on a simply call.

In August, Prosus set up a cross-keeping framework with Naspers (NPNJn.J), below which Prosus shareholders have 60% of their underlying assets but Naspers retains command. They share a one board.

In its different earnings report, Naspers, South Africa’s major firm by market place capitalization, posted 50 percent-year profits of $17.2 billion, up 29% from a 12 months back. examine far more

Sign-up now for No cost unlimited access to

Reporting by Toby Sterling and Promit Mukherjee Editing by Kim Coghill, Muralikumar Anantharaman and Alexander Smith

Our Requirements: The Thomson Reuters Trust Principles.