Autohome Inc. (NYSE:ATHM) released fourth-quarter results on Thursday that came in below analyst forecasts.
Despite the earnings miss, the company’s shares rose 2.00% in after-hours trading as investors reacted positively to a newly announced $200 million share buyback plan and ongoing strategic transformation efforts.
The Chinese automotive platform reported adjusted earnings of RMB2.59 ($0.37) per ADS for the quarter, missing the analyst consensus estimate of RMB2.82.
Revenue reached RMB1.46 billion ($209.1 million), falling short of the expected RMB1.84 billion and declining 18% year over year from RMB1.78 billion in the same period a year earlier.
The drop in revenue was largely attributed to lower advertising spending by internal combustion engine (ICE) automakers as sales volumes in that segment continued to contract.
Revenue from media services decreased to RMB333.8 million ($47.7 million) from RMB436.8 million a year earlier, while leads generation services revenue declined to RMB667.8 million ($95.5 million) from RMB758.4 million.
Revenue from online marketplace and other services fell to RMB460.3 million ($65.8 million), down from RMB588.2 million recorded in the fourth quarter of 2024.
Chi Liu, Chairman and Chief Executive Officer, stated, “2025 was a pivotal year in our evolution, transforming from an automotive information platform into a comprehensive automotive service ecosystem. Moving forward, we remain committed to improving the user experience, continuously enhancing our service and transaction ecosystem, and driving high-quality and sustainable development of Autohome.”
The company’s board approved a new share repurchase program allowing up to $200 million in buybacks over the next 18 months. Under an earlier program launched in September 2024, Autohome repurchased 7,116,939 ADSs for about $184.5 million.
For the full year 2025, revenue declined 8% to RMB6.45 billion ($922.6 million) from RMB7.04 billion in 2024. Adjusted net income dropped to RMB1.61 billion ($229.8 million), compared with RMB2.05 billion the previous year.