Tencent Music Entertainment Group
NYSE: TME · COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION
Updated 2026-06-05
Tencent Music Entertainment Group (TME) Financial statements
SEC filings — annual and quarterly data.
Income statement — annual
| Item | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $4.36B | $10.98B | $18.98B | $25.43B | $29.15B | $31.24B | $28.34B | $27.75B | $28.40B | $32.90B |
| Revenue growth (YoY) | — | +151.8% | +72.9% | +34.0% | +14.6% | +7.2% | -9.3% | -2.1% | +2.3% | +15.8% |
| Cost of revenue | $3.13B | $7.17B | $11.71B | $16.76B | $19.85B | $21.84B | $19.57B | $17.96B | $16.38B | $18.37B |
| Gross profit | $1.23B | $3.81B | $7.28B | $8.67B | $9.30B | $9.40B | $8.77B | $9.79B | $12.03B | $14.54B |
| Gross margin | 28.3% | 34.7% | 38.3% | 34.1% | 31.9% | 30.1% | 31.0% | 35.3% | 42.3% | 44.2% |
| R&D | $449.00M | $797.00M | $937.00M | $1.16B | $1.67B | $2.34B | $2.58B | $2.52B | $2.28B | $2.32B |
| SG&A | $783.00M | $1.52B | $2.26B | $2.70B | $3.10B | $4.01B | $4.41B | $4.12B | $3.81B | $1.60B |
| Operating income | $103.00M | $1.59B | $2.04B | $4.62B | $4.71B | $3.80B | $4.44B | $6.06B | $8.71B | $9.74B |
| Operating margin | 2.4% | 14.5% | 10.7% | 18.2% | 16.2% | 12.2% | 15.7% | 21.8% | 30.7% | 29.6% |
| EBITDA | $329.00M | $1.98B | $2.41B | $4.61B | $5.55B | $4.75B | $5.65B | $5.72B | $9.81B | $14.77B |
| EBITDA margin | 7.5% | 18.0% | 12.7% | 18.1% | 19.1% | 15.2% | 19.9% | 20.6% | 34.6% | 44.9% |
| EBIT | $93.00M | $1.60B | $2.04B | $4.09B | $4.73B | $3.75B | $4.49B | $5.00B | $8.84B | $13.40B |
| Interest expense | $0.00 | $0.00 | $35.00M | $64.00M | $97.00M | $121.00M | $115.00M | $124.00M | $124.00M | $122.00M |
| Income tax | — | — | — | — | — | — | — | — | — | — |
| Effective tax rate | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Net income | $82.00M | $1.33B | $1.83B | $3.98B | $4.16B | $3.03B | $3.68B | $4.92B | $6.64B | $11.06B |
| Net income growth (YoY) | — | +1517.1% | +38.2% | +117.2% | +4.3% | -27.1% | +21.4% | +33.8% | +35.0% | +66.4% |
| Profit margin | 1.9% | 12.1% | 9.7% | 15.7% | 14.3% | 9.7% | 13.0% | 17.7% | 23.4% | 33.6% |
Frequently asked questions
What is Tencent Music Entertainment Group's revenue?
Tencent Music Entertainment Group's trailing twelve-month revenue is $33.44B. Revenue is the top line the whole model builds on, and at this scale the question shifts from how fast it grows to whether margins hold as it compounds.
How profitable is TME?
In its most recent fiscal year, TME ran a gross margin of 44.18%, an operating margin of 29.59%, and a net margin of 33.60%. Margins this high mean most of each extra dollar of revenue drops through to profit, which is the signature of real pricing power.
How much free cash flow does TME generate?
TME produced $9.86B in free cash flow in its most recent fiscal year. Free cash flow is what is left after running and reinvesting in the business, and it is the cash that actually funds buybacks, dividends, and a stronger balance sheet.
Is TME's balance sheet healthy?
TME holds $8.49B in cash and equivalents against $3.50B in long-term debt, on $80.34B of shareholder equity. Cash on hand exceeds long-term debt, so the balance sheet adds little financial risk to the thesis.