Gaming stocks in Hong Kong experienced broad declines during the trading session. At the time of writing, KINGSOFT (03888) dropped 3.22% to HK$22.24, while TENCENT (00700) fell 3.07% to HK$489. ZENGAME (02660) also declined by 1.57%, trading at HK$2.50.

Market attention was drawn to online rumors suggesting new game license approval rules that would reject applications for genres such as palace intrigue, official conflict, and chess/card games. However, according to industry sources cited by media reports, these purported restrictions have actually been standard policy since 2019, with no recent regulatory changes in the gaming sector. A senior gaming industry professional from Shenzhen indicated that the overall tone for the gaming industry remains positive and optimistic recently.

Separately, CMB International Securities projected TENCENT would deliver solid first-quarter results, forecasting a 10% year-on-year revenue increase to RMB 198.4 billion. The brokerage expects non-IFRS net profit to grow 9% to RMB 66.8 billion, primarily driven by strong performance in core gaming and marketing businesses, though partially offset by increased AI investments. The institution noted that TENCENT's core operations continue benefiting from AI integration while maintaining robust growth momentum. While AI investments may impact short-term profit margins, they also create near-term catalysts and promise long-term empowerment for core business segments.