美股盘前中概股多数上涨，金山云涨近8%，万国数据涨近5%，京东涨近3%，携程、小鹏汽车涨超 2%。 ...

Investment Rating - The report maintains an "Overweight" rating for Kingsoft Cloud with a target price of $18.50 for KC US and HKD 10.00 for 3896 HK [1][2][16] Core Insights - Kingsoft Cloud's stock price has increased by 140% since the release of its Q3 2024 results, outperforming the Chinese internet index fund which rose by 8% during the same period [1][12] - The company's strategic shift towards artificial intelligence and its integration within the Xiaomi and Kingsoft Group ecosystems are yielding positive financial results [1][12] - The growth prospects for Kingsoft Cloud's AI revenue are considered more certain compared to many other AI stocks due to its unique relationships and increasing demand for GPU computing power [1][12] - The introduction of third-party computing providers is expected to negatively impact Kingsoft Cloud's profit margins due to the complexities in supply chain management [1][12] Summary by Sections Investment Thesis - Kingsoft Cloud's AI revenue has shown significant growth, with total AI revenue rising from RMB 360 million in Q3 2024 to RMB 474 million in Q4 2024 (approximately 500% year-on-year) and RMB 530 million in Q1 2025 (228% year-on-year) [3][12] - The company has achieved three consecutive quarters of triple-digit year-on-year growth in AI revenue, which has improved overall profitability, with adjusted EBITDA margins increasing from 2% in Q1 2024 to 16% in Q1 2025 [3][12] Financial Projections - Revenue forecasts for 2025 have been raised to RMB 9,355 million, reflecting a 17% increase from previous estimates [4][16] - Adjusted net loss for 2025 is projected to be RMB 874 million, revised from RMB 602 million due to the new computing procurement model [4][12] - The target price is based on a 4x EV/Sales multiple for 2025, positioned between the average multiples of U.S. single-business cloud service providers (5.9x) and small-cap SaaS stocks (3.8x) [8][12] Valuation - The target price for Kingsoft Cloud is set at $18.50 based on a 4x EV/Sales multiple for 2025, reflecting a positive adjustment in valuation due to the company's narrative shift [1][8][12] - The report indicates that Kingsoft Cloud's valuation should be adjusted upwards due to the positive changes in the company's narrative and financial performance [1][12]

Macro Dynamics - The State Council has announced the fourth national agricultural census to be conducted in 2026, focusing on rural households and agricultural production conditions [1] - The People's Bank of China will conduct a 10 trillion yuan reverse repurchase operation to maintain liquidity in the banking system, with a term of 3 months [2] Automotive Industry - The retail sales of passenger cars in China reached 1.93 million units in May, a year-on-year increase of 13%, with cumulative sales of 8.80 million units in 2023, up 9% [3] - The Ministry of Commerce emphasizes the importance of the automotive industry as a pillar of the national economy and plans to enhance policies to stimulate automotive consumption [6] Sports and Tourism - The ongoing Jiangsu Province City Football League has led to a surge in tourism, with a 305% increase in scenic area bookings from June 2 to June 8 [4] Rare Earth Exports - The Ministry of Commerce stated that China will approve export license applications for rare earths that meet regulations, emphasizing the dual-use nature of these materials [5] Financial Institutions - Citigroup announced a global simplification initiative, reducing approximately 3,500 technical staff in its global technology solutions centers, but operations in China will remain unaffected [7] Market Data - The ChiNext Index rose by 1.17%, with significant gains in CPO and computing power rental concepts, while the pharmaceutical sector experienced a pullback [8] - The financing balance of the two markets increased by 22.62 billion yuan, with the Shanghai Stock Exchange reporting a balance of 907.55 billion yuan [9] Company Dynamics - Wens Foodstuff Group reported a 14.23% year-on-year increase in pig sales revenue for May, totaling 5.32 billion yuan [12] - Yara International's supervisor is under investigation for insider trading, but the company's operations remain normal [13] - Haitai Development is planning to acquire a controlling stake in Zhixueyun Technology [14] - Wentech Technology's shareholder plans to reduce its stake by up to 3% [15]

Group 1 - The U.S. stock market opened with positive momentum, with the Dow Jones Industrial Average rising by 58 points, the S&P 500 increasing by 0.27%, and the Nasdaq gaining 0.3% [1] - The Nasdaq Golden Dragon China Index saw a rise of 0.7%, indicating a positive sentiment towards Chinese stocks listed in the U.S. [1] - Specific companies such as Kingsoft Cloud (KC.O) and GDS Holdings (GDS.O) experienced significant stock price increases, with Kingsoft Cloud rising by 9% and GDS Holdings increasing by 6.7% [1]

Core Viewpoint - The rapid growth of Kingsoft Cloud's performance is driven by the explosion of AI technology and the recovery of industry cloud demand, with significant increases in revenue and AI business contributions [1][3]. Financial Performance - In Q1 2025, Kingsoft Cloud achieved revenue of 1.97 billion yuan, a year-on-year increase of 10.9% [2][3]. - The adjusted EBITDA for Q1 2025 reached 320 million yuan, reflecting an 8.6-fold increase year-on-year, with an EBITDA margin of 16.2%, up 14.3 percentage points [3]. - The company reported a net loss of 316 million yuan in Q1 2025, an improvement of 11.7% compared to the same period in 2024 [3]. AI Business Growth - AI business revenue surged by 228% year-on-year to 525 million yuan, accounting for 39% of public cloud revenue, making it the largest revenue source for the company [4][6]. - The AI revenue includes significant contributions from large model training and inference services, which represent over 60% of AI income [4]. Strategic Partnerships - Kingsoft Cloud's collaboration with Xiaomi has been fruitful, with revenue from the Xiaomi ecosystem reaching 500 million yuan, a 50% increase year-on-year, and accounting for 25% of total revenue [5][6]. - The joint development of the "MiLM-13B" large model has been successfully implemented in smart devices, achieving over 100 million daily calls [6]. Future Outlook - Management anticipates that AI business revenue will exceed 2 billion yuan in 2025, representing over 45% of total revenue, and aims for AI revenue to account for over 30% of total revenue by 2030 [6]. - The company plans to continue deepening its collaboration with the Xiaomi ecosystem to explore new AI opportunities and enhance value for stakeholders [6].

Core Viewpoint - Kingsoft Cloud's Q1 2025 performance fell short of expectations, with significant declines in key metrics such as gross margin and profit, leading to a sharp drop in stock prices in both US and Hong Kong markets [1][2]. Financial Performance - In Q1 2025, Kingsoft Cloud reported revenue of 1.97 billion yuan, a year-on-year increase of 10.9% but a quarter-on-quarter decline of 11.7%, which was below market expectations [1]. - The gross profit for Q1 was 318 million yuan, a year-on-year increase of 8.5% but a quarter-on-quarter decline of 25.3%, resulting in a gross margin of 16.2%, down 2.9 percentage points from the previous quarter [2]. - The net loss narrowed to 316 million yuan from 364 million yuan year-on-year, but widened from a loss of 200 million yuan in the previous quarter [2]. Business Segmentation - Public cloud services generated revenue of 1.354 billion yuan, a year-on-year increase of 14.0% but a quarter-on-quarter decline of 4.0% [1]. - Industry cloud revenue significantly slowed, reaching 617 million yuan, with a year-on-year increase of 4.8% but a quarter-on-quarter decline of 25.0% [1]. - AI business emerged as a core growth driver, with revenue of 525 million yuan, a staggering year-on-year increase of 228% [1]. Market Outlook - Citibank downgraded Kingsoft Cloud's revenue forecasts for 2025, 2026, and 2027 by 2% due to weaker-than-expected Q1 performance, lowering the target price from $21.5 to $19 [2]. - Nomura's report highlighted that Kingsoft Cloud is expected to benefit from the accelerating AI investment cycle in China, projecting a 20% year-on-year revenue growth in 2025, primarily driven by a 91% increase in AI revenue [3].

Group 1 - The core viewpoint of the article indicates a decline in the stock prices of Kingsoft-related companies, specifically Kingsoft Cloud and Kingsoft Software [1] - As of the report, Kingsoft Cloud (03896.HK) has dropped by 7.59% [1] - Kingsoft Software (03888.HK) has also experienced a decline, falling by 7.49% [1]

Kingsoft Cloud Q1 2025 Earnings Call Summary Company Overview - **Company**: Kingsoft Cloud - **Quarter**: Q1 2025 - **Revenue**: RMB 1.97 billion, an 11% year-over-year increase [2][3][11] Key Financial Highlights - **Public Cloud Revenue**: Grew 14% YoY to RMB 1.35 billion, driven by strong performance in core business segments [2][3][11] - **AI Business**: Gross billing surged over 200% YoY to RMB 525 million, accounting for 39% of public cloud revenue [2][3][11] - **Xiaomi and Kingsoft Ecosystem Revenue**: Increased by approximately 50% YoY to RMB 500 million, contributing 25% of total revenue [2][3][4][5] - **Non-GAAP Gross Profit**: Rose 9.6% YoY to RMB 327 million, with a non-GAAP EBITDA margin of 16.2%, a 14.3 percentage point increase YoY [2][3][11] - **Non-GAAP Operating Profit**: Resulted in a loss of RMB 55.8 million due to lower enterprise cloud profits and upfront investments in computing resources [2][3][11] - **Enterprise Cloud Revenue**: Increased by 5% YoY to RMB 616 million but saw a 25% sequential decrease due to seasonal slowdowns [2][3][11] Strategic Partnerships - **Xiaomi Collaboration**: Kingsoft Cloud serves as the exclusive strategic cloud platform within the Xiaomi ecosystem, enhancing AI capabilities and driving revenue growth [4][5][10] AI Business Development - **AI Infrastructure**: Accelerating construction of computing clusters with flexible capital deployment, expected to launch services in Q2 2025 [3][6] - **AI Applications**: Advancing AI in public service and healthcare sectors, including a platform for mutual recognition of test results in Wuhan [8][9] Capital Expenditure and Cost Management - **Capital Expenditure**: Reached RMB 605 million, with total cost of revenue increasing by 11% YoY to RMB 1,081.7 million [2][12][13] - **Cost Control**: CRC costs decreased by 6% YoY due to effective cost management [2][13] Market Challenges and Outlook - **Seasonality Impact**: Q1 growth was affected by seasonal factors, including the Chinese New Year, impacting project initiation [17] - **Chip Demand Issues**: Ongoing semiconductor shortages may affect Capex momentum, but short-term impacts are minimal due to prior inventory preparations [24][28] - **Future Growth**: Anticipated better margin profiles driven by AI projects and partnerships, particularly with Xiaomi, in subsequent quarters [21] Industry Trends - **Shift to Smaller Models**: The trend towards smaller AI models is influencing cloud revenue dynamics, with overall cloud usage remaining substantial [25][29] - **Competitive Pricing Pressure**: Aggressive price competition in AI cloud leasing services is impacting gross margins, particularly for new projects [32] Conclusion Kingsoft Cloud's Q1 2025 performance reflects strong growth in public cloud and AI segments, supported by strategic partnerships and effective cost management. However, market challenges such as seasonality and chip demand issues may impact future growth trajectories. The company remains focused on leveraging its ecosystem and advancing AI capabilities to drive long-term value creation.

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性 或完整性亦不發表任何聲明，並明確表示概不就因本公告全部或任何部分內容而產生或因倚賴 該等內容而引致的任何損失承擔任何責任。 董事會謹此就馮先生於任期內向本公司作出的貢獻向其表達衷心謝意。 委任非執行董事 董事會欣然宣佈，張鐸先生（「張先生」）已獲委任為本公司非執行董事及公司治理 委員會成員，自本公司將於二零二五年六月九日舉行的股東週年大會結束起生效。 Kingsoft Cloud Holdings Limited 金山云控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：3896） （納斯達克股票代碼：KC） (I) 非執行董事辭任；及 (II) 委任非執行董事 非執行董事辭任 金山云控股有限公司（「本公司」）董事（「董事」）會（「董事會」）宣佈，馮宏華先生 （「馮先生」）因需要更專注和致力從事其他要務，已提出辭任非執行董事，自本公 司將於二零二五年六月九日舉行的股東週年大會結束起生效。在馮先生辭任後， 彼亦不再擔任董事會轄下公司治理委員會（「公司治理委員會」）的成員。 馮先生確認，彼並無向本公司提出任何申索，與董事會 ...

Group 1: HuanShi Logistics IPO - HuanShi International Logistics Holdings Limited submitted its IPO application to the Hong Kong Stock Exchange on May 27, aiming to list on the main board [1] - The company operates a comprehensive cross-border logistics service with over 6,000 cross-border routes covering approximately 200 countries and regions [1] - Revenue for HuanShi Logistics was reported at $2.06 billion, $776 million, and $1.25 billion for the years 2022, 2023, and 2024 respectively, indicating significant financial improvement [1] Group 2: Kingsoft Cloud Q1 Performance - Kingsoft Cloud announced a total revenue of 1.97 billion yuan for the first quarter ending March 31, 2025, representing a year-on-year growth of 10.9% [2] - Adjusted EBITDA increased 8.6 times to 320 million yuan, with an adjusted EBITDA margin of 16.2%, up 14.3 percentage points year-on-year, driven by the rising contribution of AI revenue [2] - The growth in AI technology application positions Kingsoft Cloud favorably in the competitive cloud computing market [2] Group 3: Basic Semiconductor IPO - Shenzhen Basic Semiconductor Co., Ltd. submitted its IPO application to the Hong Kong Stock Exchange on May 27, focusing on the research, development, manufacturing, and sales of silicon carbide power devices [3] - The company is recognized as the only Chinese enterprise with comprehensive capabilities in silicon carbide chip design, wafer manufacturing, module packaging, and gate driver design and testing [3] - The IPO is expected to enhance the company's R&D and production capabilities, promoting technological breakthroughs and market expansion in China's silicon carbide power device industry [3] Group 4: Qingke Investment Strategy - Qingke Chuangye announced the subscription of financial products totaling 16 million yuan on May 28, issued by Yinhe Jinhui [4] - Prior to this, the company had subscribed to financial products totaling 64 million yuan between April 17, 2024, and November 18, 2024 [4] - This investment strategy aims to optimize the company's capital allocation and improve capital efficiency [4]