Revenue from Tencent’s smartphone titles fell 19 per cent from last quarter for the three-month period ending June 30th.

But mobile still accounted for the bulk of Tencent revenue, accounting for $2.54 billion. Tencent also claims the number of daily active users increased year-on-year "at a double-digit rate."

The publishing giant reports an across-the-board improvement in overall revenue, however. Total revenue for Q2 is up 30 per cent year-on-year, hitting $11.1 billion. First half revenues went a step further, increasing 39 per cent on last year to reach $22.2 billion.

PC revenue also dropped five per cent year-on-year for Tencent, attributed to “weak seasonality,” in addition to users moving more towards mobile. 

Tencent is also looking at improving monetisation in competitive games like Arena of Valor and PUBG Mobile outside of its Chinese home market.

PUBG Mobile, in particular, has seen the soft-launch of a “lite” version in the Philippines.

Steady on

"During the second quarter of 2018, we deepened user engagement with increased daily active users and time spent across our social, games and media platforms,” said chairman and CEO Ma Huateng.

“While our mobile game revenue was impacted by transient factors, we saw healthy growth in the number of people playing our mobile games each day in China and overseas."

“Looking forward, we remain committed to investing in new technologies and creating innovative products to make our users' lives simpler and better."

The coming quarter may be rougher for Tencent, however, with the news that Chinese regulators have frozen approvals for new game releases. The block began in March and shows no sign of abating.