Tencent Music Reaches 100 Million Subscribers, Sees Revenue Increase in Latest Quarter

Tencent Music Entertainment (TME), China’s largest operator of music streaming services, has officially notched 100 million paying subscribers. The company revealed that number and other financials in its latest earnings report.

New numbers: Subscribers to the service hit 100 million in June, an increase of 20% year-over-year. That rise in user subscriptions contributed to a large increase in quarterly revenues from music subscriptions of 37% year-over-year to 2.89 billion yuan ($399 million).

The company also saw a total revenue increase of 5.5% year-over-year to 7.29 billion yuan ($1.01 billion) in the quarter ending June 30. Net profit attributable to equity holders came in at 1.30 billion yuan ($179 million), a 52% YoY increase.

What they're saying: "We have seen users become increasingly accustomed and willing to pay for copyrighted music, whether for songs they want to listen to or for premium listening features they enjoy. This trend is evidenced by the all-time high paying ratio and [average revenue per uses] recorded by our online music services in the quarter," shared Cussion Pang, executive chairman of TME. "Such achievements led to revenues from online music services exceeding that of social entertainment services for the first time in our company’s history. This marks a significant step along TME’s growth trajectory."