Tencent Wins Its First Gaming License Since China Froze Approval

Chinese gaming giant granted publishing licenses to 70 online games, including titles belonging to Tencent Holding Ltd TCEHY, NetEase, Inc NTES, and other developers, Reuters reports.
Tencent bagged its first commercial game license in a year and a half for an action game titled "Metal Slug: Awakening," the list published by the National Press and Public Administration showed.
Unlike in most other countries, video games need approvals from regulators before a release in China, which is also the largest gaming market.
When Beijing cracked down on the gaming industry last August, it initiated a nine-month freeze on the license approval process.
NetEase, China's second-largest gaming company behind Tencent, also received a license this month for a role-playing game titled "Journey to the West: Return," its second license since the freeze was lifted in April after securing one in September.
A Tencent subsidiary also received a license in September, but it was for an educational game with no monetization.
Tencent reported a revenue drop for the second straight quarter as China's economic slowdown and regulatory crackdown hit its ad and gaming businesses.
Revenue fell 2% to 140.1 billion yuan ($19.8 billion), below the consensus of 141.4 billion yuan.
Net income came in at 39.9 billion yuan, above the 25.2 billion yuan estimate.
Price Action: TCEHY shares traded higher by 5.22% at $38.93 on the last check Thursday.