Company: TME
Filing Date: 2025-04-23
Form Type: 20-F
Source: 0000950170-25-056949
Chunk: 6

Company: Tencent Music Entertainment Group
Filing Date: 2025-04-23
Form: 20-F
Item: Item 3
Chunk 6
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a)Represents the elimination of the investments in the VIEs and our PRC subsidiaries. 
b)Represents the elimination of intercompany balance between Tencent Music Entertainment Group, the VIEs, and our subsidiaries. 
c)Represents the Services Charges between Tencent Music Entertainment Group, the VIEs and our PRC subsidiaries, which were eliminated at the consolidation level. The intercompany revenues and costs in relation to the Service Charges to the VIEs by our PRC subsidiaries amounted to RMB14,353 million, RMB15,312 million RMB19,026 million (US$2,607 million), for the years ended December 31, 2022, 2023 and 2024, respectively. 
d)The cash flows which have occurred between Tencent Music Entertainment Group, the VIEs and our PRC subsidiaries represents the intercompany services fees which were eliminated at the consolidation level. In 2022, 2023 and 2024, the VIEs transferred RMB16,415 million, RMB16,610 million and RMB18,820 million (US$2,578 million), respectively, to our PRC subsidiaries as Service Charge, which were eliminated at the consolidated level. 
e)Represents the elimination of intercompany advances and loans between Tencent Music Entertainment Group, the VIEs and our PRC subsidiaries. The intercompany advances from the WOFEs to the VIEs, which were eliminated at consolidated level, amounted to RMB364 million, RMB69 million and RMB149 million (US$20 million), for the years ended December 31, 2022, 2023 and 2024, respectively. The loans payments from/to the WOFEs to/from the VIEs, which were eliminated at consolidated level, amounted to RMB31 million, RMB20 million and nil, for the years ended December 31, 2022, 2023 and 2024, respectively. 
Restrictions on Foreign Exchange and the Ability to Transfer Cash between Entities, Across Borders and to U.S. Investors
Tencent Music Entertainment Group’s ability to pay dividends, if any, to its shareholders and ADS holders and to service any debt it may incur will depend upon dividends paid by our PRC subsidiaries. Under PRC laws and regulations, our PRC subsidiaries are subject to certain restrictions with respect to paying dividends or otherwise transferring any of their net assets offshore to Tencent Music Entertainment Group. In particular,