South African tech investor Naspers’ earnings plummet due to falling contribution from Tencent

JOHANNESBURG (Reuters) – Technology investor Naspers reported a 78% plunge in annual profits on Tuesday, led by a drop in the contribution of China’s Tencent, which accounts for the bulk of the South American investor’s profits and revenue. African.

Its overall earnings per share, a measure of earnings, from continuing operations fell to 119 cents US for the year ended March 31, from 547 cents a year ago.

Naspers, whose global investments are housed in Amsterdam-listed Prosus, derives more than two-thirds of its revenue from Tencent.

His investment in Tencent, where he owns more than a quarter of the company, also masks the losses Naspers is making on a range of investments spanning 100 countries and businesses ranging from online classifieds to food delivery, fintech to education.

It recorded revenues of $6.8 billion and its losses from e-commerce businesses, including classifieds, fintech and food delivery, amounted to $639 million.

(Reporting by Promit Mukherjee; editing by Edmund Klamann and Jason Neely)

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