Kingsoft Cloud Holdings Earnings Call Transcripts
Fiscal Year 2026
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Q1 2026 saw revenue rise 37% year-over-year to RMB 2.7 billion, with AI business now the main growth driver and public cloud revenue up 47%. Adjusted EBITDA margin improved to 28%, while supply chain constraints and rising costs remain key risks.
Fiscal Year 2025
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Q4 2025 saw record revenue and strong AI-driven growth, with Public Cloud up 35% and adjusted EBITDA margin at 28%. Profitability improved, CapEx for 2026 will exceed RMB 10 billion, and demand from external AI customers is expected to accelerate growth.
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Q3 2025 saw 31% year-over-year revenue growth, driven by AI and Intelligent Computing Cloud, with public cloud revenue up 49%. Margins improved, and adjusted net profit turned positive. Strong ecosystem partnerships and strategic investments underpin confidence in continued AI-driven growth.
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Q2 2025 revenue grew 24% year-over-year to RMB 2.35 billion, driven by a 120% surge in AI-related billings and strong ecosystem partnerships. Public cloud revenue rose 32%, while adjusted gross margin declined to 14.9% due to higher AI-related costs. Second half revenue growth is expected to accelerate.
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Revenue grew 11% year-over-year to RMB 1.97 billion, led by a 200%+ surge in AI business and strong ecosystem partnerships. Public cloud rose 14%, enterprise cloud 5%, and non-GAAP EBITDA margin improved to 16.2%. Margin expansion is expected in the second half as AI projects scale.
Fiscal Year 2024
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Q4 2024 saw record revenue growth of 30% year-over-year, first-ever non-GAAP operating profit, and a 500% surge in AI business, now 34% of public cloud revenue. Strong momentum from Xiaomi and Kingsoft ecosystem, with robust cash flow and major AI investments planned for 2025.
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Q3 2024 saw 16% year-over-year revenue growth, robust AI-driven expansion, and improved profitability, with AI now 31% of public cloud revenue. Strong cash flow, rising ecosystem contributions, and positive outlook for Q4 support continued market share gains.
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Q2 2024 saw revenue rise 6.5% QoQ and 3.1% YoY, with gross margin at a record 17.1% and AI now 26% of public cloud revenue. CapEx is focused on AI, supported by strong cash flow and expanded financing, while recurring AI revenue and long-term contracts drive future growth.