Kingsoft Cloud Reports Q1 2025 Financial Growth

Kingsoft Cloud Holdings Ltd. ( (KC) ) has released its Q1 earnings. Here is a breakdown of the information Kingsoft Cloud Holdings Ltd. presented to its investors.

Kingsoft Cloud Holdings Limited is a prominent cloud service provider in China, known for its extensive cloud infrastructure and innovative cloud-native products tailored for specific industries. The company recently released its unaudited financial results for the first quarter of 2025, showcasing a notable increase in revenue and a significant focus on AI-related investments.

In the first quarter of 2025, Kingsoft Cloud reported a 10.9% year-over-year increase in revenue, reaching RMB1,970.0 million. This growth was primarily driven by the expansion in AI business, which saw a 228% increase in gross billing. Despite a seasonal decline in revenue from the previous quarter, the company managed to improve its adjusted gross profit by 9.6% year-over-year.

Key financial metrics highlighted in the report include an adjusted EBITDA profit of RMB318.5 million, reflecting a margin of 16.2%. The company also managed to narrow its adjusted operating loss by 56% compared to the same period last year. However, the net loss for the quarter stood at RMB316.1 million, showing an improvement from the previous year’s loss but an increase from the last quarter.

Looking ahead, Kingsoft Cloud remains optimistic about its growth prospects, particularly in the AI sector. The management is committed to continuing investments in AI and enhancing its service offerings to maintain high-quality and sustainable business development.