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Tencent Holdings ( TCEHY ), China’s leader in messaging and gaming, is set to report Q4 earnings Thursday before the market open, with double-digit growth in both EPS and revenue expected by Wall Street. Tencent is among the China’s Internet leaders along with e-commerce king Alibaba ( BABA ) and search leader Baidu ( BIDU ). Other China Internet leaders include e-commerce company JD.com ( JD ) and gaming company NetEase ( NTES ). The consensus estimate is for Tencent to report revenue of $4.26 billion, or 27.76 billion yuan, up 32% in local currency. Earnings per share minus items are expected to rise 32% as well in local currency, to 13 cents, or 0.83 yuan, as polled by Thomson Reuters. Tencent is China’s leader in online gaming, followed closely by NetEase. On Feb. 24 NetEase reported Q4 earnings that beat estimates. Tencent is also the leader in mobile chat services with its popular WeChat program. On Nov. 10, Tencent reported its strongest revenue growth in five quarters with its Q3 earnings report, though profit fell short of expectations, due mainly to aggressive investments in mobile. Tencent is traded over the counter in the U.S., with its primary stock listing in Hong Kong, where it is a component of the blue-chip Hang Seng index. On the OTC, Tencent was near 19.50, down a fraction, in afternoon trading in the stock market today . China e-commerce company JD.com reported Q4 earnings on March 1 that showed strong revenue growth and a lower-than-expected loss, defying concerns of economic weakness in that country. JD offers a wide range of electronics, apparel, home appliances, food and beverages and other general merchandise and competes in China’s burgeoning e-commerce arena against Alibaba. A year ago, JD formed a strategic partnership with Tencent. Scalper1 News
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