Profit for China’s internet industry surged 43% in the first five months of the year in a show of vitality as tech giants emerged from a two-year crackdown despite a slower-than-expected post-COVID economic recovery, reports the South China Morning Post.
Profits for internet firms reached RMB 57.6 billion ($7.9 billion) from January to May, according to a report released by the Ministry of Industry and Information Technology (MIIT) on Saturday. Last year, the agency reported industry profits of RMB 49.5 billion for the same period, which would have been a 16% gain without any revisions or change in methodology. The MIIT did not account for the discrepancy.
Revenue was also up slightly at 2.8% to RMB 531 billion, according to the report, which looks at companies providing internet-related services with annual revenue of at least RMB 20 million.