tiprankstipranks
Advertisement
Advertisement

Kingsoft Cloud Posts Strong 2025 AI-Driven Growth and Higher Margins Despite Net Loss

Story Highlights
  • Kingsoft Cloud’s 2025 results showed 22.8% revenue growth, driven by booming AI and public cloud demand.
  • Non-GAAP profitability improved with two straight quarters of operating profit, even as GAAP net losses persisted.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Kingsoft Cloud Posts Strong 2025 AI-Driven Growth and Higher Margins Despite Net Loss

Claim 55% Off TipRanks

Kingsoft Cloud Holdings ( (KC) ) has issued an update.

Kingsoft Cloud reported unaudited results for the fourth quarter and fiscal year ended December 31, 2025, highlighting rapid AI-led growth and improving profitability metrics. The company’s AI business gross billing grew 95% year over year in the quarter, driving total revenue up 23.7% to RMB2.76 billion and public cloud revenue up 34.9% to RMB1.90 billion, though gross margin dipped to 16.9% due to higher depreciation on AI-related infrastructure.

Enterprise cloud revenue rose modestly, while strong cost controls and a richer AI and enterprise mix lifted non-GAAP operating profit to RMB54.6 million, marking a second consecutive profitable quarter on that basis. For 2025, revenue increased 22.8% to RMB9.56 billion, supported by AI demand and enterprise projects, and non-GAAP EBITDA margin expanded to 28.4%, underscoring Kingsoft Cloud’s strengthening position in China’s AI cloud market despite continued GAAP net losses and elevated capital and operating expenses.

The most recent analyst rating on (KC) stock is a Buy with a $15.60 price target. To see the full list of analyst forecasts on Kingsoft Cloud Holdings stock, see the KC Stock Forecast page.

Spark’s Take on KC Stock

According to Spark, TipRanks’ AI Analyst, KC is a Neutral.

The score is held back primarily by weak financial quality (ongoing losses, higher leverage, and negative free cash flow). Offsetting this are strong technical momentum and a positive earnings-call narrative showing accelerating growth and improving adjusted profitability, while valuation remains mixed due to a negative P/E and no dividend support.

To see Spark’s full report on KC stock, click here.

More about Kingsoft Cloud Holdings

Kingsoft Cloud Holdings is a leading cloud service provider in China, listed on NASDAQ and HKEX, offering public and enterprise cloud services with a growing focus on AI-driven intelligent computing. The company serves AI-related customers and enterprise clients, investing heavily in data center capacity, servers and network equipment to support surging AI workloads and cloud demand.

Average Trading Volume: 1,517,179

Technical Sentiment Signal: Buy

Current Market Cap: $4.23B

For detailed information about KC stock, go to TipRanks’ Stock Analysis page.

Disclaimer & DisclosureReport an Issue

Looking for investment ideas? Subscribe to our Smart Investor newsletter for weekly expert stock picks!
Get real-time notifications on news & analysis, curated for your stock watchlist. Download the TipRanks app today! Get the App
1