Kingsoft Cloud Holdings Ltd. ( (KC) ) has released its Q3 earnings. Here is a breakdown of the information Kingsoft Cloud Holdings Ltd. presented to its investors.
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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 various industries. In its latest earnings report for the third quarter of 2025, Kingsoft Cloud reported significant financial improvements, highlighting accelerated revenue growth and a positive shift in profitability. The company’s revenue surged by 31.4% year-over-year to RMB2,478.0 million, driven by a substantial increase in public cloud services and AI-related business. The strategic collaboration with the Xiaomi-Kingsoft ecosystem also contributed significantly, with an 83.8% rise in revenue from this partnership.
The financial results showcased a remarkable turnaround, with adjusted operating profit reaching RMB15.4 million, a significant improvement from the previous year’s loss. The adjusted net profit also turned positive at RMB28.7 million, compared to a loss in the same quarter last year. The company’s gross billing of AI business grew by 120% year-over-year, reflecting the increasing demand for AI solutions. The adjusted EBITDA margin improved to 33.4%, primarily due to better cost management and non-recurring income.
Kingsoft Cloud’s strategic focus on AI and cloud service integration has opened up new market opportunities, particularly in the public cloud sector, which saw a 49.1% revenue increase. The company’s investment in AI infrastructure and products has been a key driver of this growth, despite the higher costs associated with expanding its AI business.
Looking ahead, Kingsoft Cloud remains optimistic about the rapid adoption of AI across its ecosystem and various verticals, which is expected to unlock further growth opportunities. The management’s outlook suggests continued focus on leveraging AI to enhance its cloud services and expand its market presence.