China's Recent Video-Game Approvals Positive for Sector -- Market Talk
Dow Jones
Jul 07
0256 GMT - An increase in Chinese approvals for video games is positive for domestic game companies, including Tencent Holdings and NetEase, Morningstar equity analyst Ivan Su says in a research note. China's National Press and Publication Administration issued 429 video-game licenses in 2Q, representing a 32% increase from a year earlier, the analyst says. "We expect the regulatory environment to continue improving throughout the rest of 2025," Su says. Given the typical two-to-three-quarter lag between license approvals and revenue generation, the industry should comfortably achieve double-digit growth in the coming quarters, he adds. (tracy.qu@wsj.com)
(END) Dow Jones Newswires
July 06, 2025 22:56 ET (02:56 GMT)
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