ByteDance reportedly on track for US$50 billion profit

The Beijing-based parent company of TikTok said to be on track to hit that milestone after amassing net income of around US$40 billion over the year’s first three quarters

ByteDance Ltd is on track for profits of nearly US$50 billion in 2025, capping a record year for a Chinese social media leader making major inroads into e-commerce and new markets.

The Beijing-based parent company of TikTok is on track to hit that milestone after amassing net income of around US$40 billion over the year’s first three quarters, people familiar with the matter said. It’s already surpassed its internal target for 2025, the people said, asking to remain anonymous to discuss private financials. That would take the company’s earnings close to that of US rival Meta Platforms Inc, which is projected to earn nearly US$60 billion this year.

TikTok’s success has come under scrutiny in the U.S. after ex-president Biden led an effort to ban the Chinese-owned social media phenomenon from that country, citing what he called national security concerns. ByteDance is now close to finalising a plan to hive off the video service in the US, which will ensure the platform stays in the U.S. while loosening the Chinese company’s control.

TikTok chief executive officer Shou Chew told employees that ByteDance signed binding agreements to create a joint venture majority-owned by American investors including Oracle Corp, according to an internal memo reviewed by Bloomberg. Chinese regulators have yet to say whether they will approve the transaction — a key requirement for a deal to proceed.

Despite scrutiny in the US, TikTok has expanded globally at a rapid pace — including in the US. It has been pushing aggressively into e-commerce and live-stream shopping, including partnering with major American tech companies such as Amazon.com Inc. The same day that Chew announced an agreement had been reached, TikTok held its first-ever Oscars-style red carpet show, The TikTok Awards, in Los Angeles.

It’s unclear how much ByteDance has increased revenue this year. The company had targeted around a 20% rise in 2025 sales to US$186 billion, Bloomberg News has reported.