Tencent Q1 2026: Revenue Up 9% as AI Investment Surges

Tencent posted Q1 2026 revenue of RMB 196.46 billion and non-IFRS operating profit of RMB 75.63 billion, both up 9% year over year.

Management said AI-related products and investments were weighing on profitability, even as the underlying business performed stronger without those costs.

Tencent is ramping up R&D and capital expenditure to embed AI across its ecosystem, including products like Yuanbao, CodeBuddy, and WorkBuddy.

Capex is expected to keep rising, especially in the second half of 2026, as Tencent funds its broader AI push from core-business profits.