Kingsoft Cloud Holdings Limited (NASDAQ:KC) reported second-quarter results that exceeded analysts’ expectations, highlighting robust performance in its main business areas. Shares dipped 0.95% following the earnings release.
For Q2, Kingsoft Cloud posted a loss of RMB0.11 per share, significantly better than the anticipated RMB0.97 loss. Revenue totaled RMB2.35 billion, above the consensus forecast of RMB2.2 billion.
The company’s results reflect a continued emphasis on core operations, particularly in office software and services. Revenue from this segment rose 14% year-over-year to RMB1,355.7 million, while the online games and other businesses declined 26% YoY to RMB951.8 million, largely due to a strong comparison from last year.
“In the second quarter, we advanced core businesses steadily in line with established strategy and firmly positioned for the future,” said Mr. Jun Lei, Chairman of the Company. “Kingsoft Office focused on ’AI, collaboration, and internationalization’, continued to strengthen the allocation of R&D resources in related fields.”
Total Q2 revenue reached RMB2,307.4 million, representing a 7% year-over-year decline. Despite this, Kingsoft made substantial progress with its AI initiatives, rolling out WPS AI 3.0 and the native Office intelligent agent, ‘WPS Lingxi’, during the quarter.
The online games division continued developing its flagship IPs and exploring new genres. Its self-developed sci-fi mech title, Mecha BREAK, launched a global public beta in July, topping Steam’s “Most Played” and “Trending Games” charts on launch day.
Looking ahead, Kingsoft Cloud plans to boost R&D spending on AI and collaboration, while continuing to nurture its gaming IP portfolio and advance international expansion.
Kingsoft Cloud Holdings stock price
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