Tencent shares in Hong Kong surged over 5 percent Thursday after reporting earnings which topped analyst expectations.
The Chinese technology giant saw its market capitalization, or value, rise over $22 billion as shares traded at 416.4 Hong Kong dollars ($53) during afternoon trade. At the open, Tencent shares were at 424 Hong Kong dollars, nevertheless pared some of those gains.
On Wednesday, Tencent reported a 48 percent year-on-year rise in revenues in addition to a 61 percent year-on-year rise in net profit for the first quarter of 2018. The company beat market expectations on the top in addition to bottom line, in addition to saw its operating margin — which was a concern for investors coming into the numbers — rise by 3 percent.
Tencent’s gaming, video streaming, in addition to WeChat messaging businesses all saw strong growth.
Still, shares of the company are still over 12 percent lower via the record high hit in January.