Core Viewpoint - The report from CMB International forecasts a 10% year-on-year revenue growth for Kuaishou-W (01024) in Q4, driven by robust growth in online marketing and e-commerce [1] Group 1: Revenue and Profit Forecast - Kuaishou's revenue in the last quarter grew by 14% year-on-year, aligning with both CMB International's and market expectations [1] - Adjusted net profit increased by 26%, exceeding CMB International's and market expectations by approximately 3% and 2% respectively, primarily due to improved operational efficiency [1] Group 2: AI Impact - The value of AI empowerment across Kuaishou's business segments is becoming evident, with AI revenue surpassing 300 million RMB in Q3, again exceeding expectations [1] - AI has contributed to an additional 4% to 5% growth in domestic advertising revenue, indicating a positive outlook on AI development [1] Group 3: Target Price and Rating - CMB International has slightly raised its profit forecasts for 2025 to 2027 by up to 2% and increased the target price from 84 HKD to 88 HKD, maintaining a "Buy" rating [1]

Core Viewpoint - Kuaishou-W (01024) is expected to see a 10% year-on-year revenue growth in Q4, driven by robust growth in online marketing and e-commerce [1] Group 1: Financial Performance - Kuaishou's revenue grew by 14% year-on-year in the last quarter, aligning with market expectations [1] - Adjusted net profit increased by 26%, exceeding the bank's and market's expectations by approximately 3% and 2% respectively, primarily due to improved operational efficiency [1] Group 2: Future Outlook - The profit forecast for 2025 to 2027 has been slightly raised by up to 2% [1] - The target price has been increased from HKD 84 to HKD 88, maintaining a "Buy" rating [1] Group 3: AI Impact - The value of AI empowerment across Kuaishou's business is becoming evident, with AI revenue surpassing RMB 300 million in Q3, exceeding expectations [1] - AI has also contributed to an additional 4% to 5% growth in domestic advertising revenue, indicating a positive outlook on AI development [1]

Core Viewpoint - Kuaishou's Q3 revenue reached 35.6 billion yuan, representing a year-on-year growth of 14%, exceeding the expectation of 35.4 billion yuan set by CICC [1] - The non-IFRS net profit attributable to shareholders was 4.99 billion yuan, higher than the expected 4.82 billion yuan [1] - The gross merchandise volume (GMV) grew by 15% year-on-year to 385 billion yuan, surpassing the forecast of 384 billion yuan [1] Financial Performance - Q3 revenue: 35.6 billion yuan, up 14% year-on-year [1] - Non-IFRS net profit: 4.99 billion yuan, exceeding expectations [1] - GMV: 385 billion yuan, a 15% increase year-on-year [1] Future Outlook - CICC raised its 2025 non-IFRS net profit forecast by 3% to 20.6 billion yuan due to effective cost control by Kuaishou [1] - The rating remains "outperform" with a target price of 89 HKD [1]

Core Insights - Kuaishou reported a total revenue of 35.554 billion yuan for Q3, marking a year-on-year growth of 14.2% [1] - Operating profit increased by 69.9% year-on-year to 5.299 billion yuan, while adjusted net profit rose by 26.3% to 4.986 billion yuan [1] Revenue Breakdown - Revenue from other services, including e-commerce and Keling AI, grew by 41.3% to 5.9 billion yuan [1] - Online marketing service revenue increased by 14% to 20.1 billion yuan [1] - Live streaming revenue saw a modest growth of 2.5% to 9.6 billion yuan [1] - Keling AI generated over 300 million yuan in revenue during Q3, while e-commerce GMV grew by 15.2% to 385 billion yuan [1] User Engagement - The average daily active users reached 416 million, with monthly active users at 731 million [1] AI Integration and Market Position - Kuaishou's CEO attributed financial performance to the deep integration of AI capabilities across various business scenarios [2] - The video generation sector is experiencing rapid technological iteration and product exploration, with Keling AI positioned in the leading tier globally [2] - Keling AI launched the 2.5 Turbo model, enhancing multiple dimensions such as text response and aesthetic quality [2] Product Strategy and Future Outlook - Kuaishou aims to focus on AI film creation, enhancing technology and product capabilities [2] - The company is optimistic about the commercialization of video generation, particularly in consumer applications [3] - Kuaishou plans to explore consumer application scenarios while enhancing the experience for professional creators [3]

Core Insights - Kuaishou's Q3 2025 financial report shows a total revenue increase of 14.2% year-on-year to 35.6 billion yuan, with core business revenue growing by 19.2% [1] - The average daily active users (DAU) reached 416 million, marking a historical high for three consecutive quarters [1] - The integration of AI capabilities across various business scenarios has significantly enhanced operational efficiency and financial performance [1] Revenue Growth - Total revenue for Q3 2025 was 35.6 billion yuan, a 14.2% increase year-on-year [1] - Core business revenue, including online marketing services and e-commerce, grew by 19.2% [1] - Operating profit increased by 69.9% to 5.3 billion yuan, while adjusted net profit rose by 26.3% to 5 billion yuan, achieving an adjusted net profit margin of 14% [1] User Engagement - Average DAU reached 416 million, with monthly active users at 731 million [1] - User engagement metrics improved, with daily private message penetration among dual users increasing by over 3% year-on-year [1] AI Integration - AI technologies, including the OneRec model, have been applied to enhance content understanding, recommendation distribution, and marketing decision optimization [2] - The OneRec model contributed approximately 4-5% incremental revenue growth in online marketing services [2] - Automation and intelligence upgrades in both external and internal marketing processes have improved efficiency for small and medium-sized clients [2] E-commerce Performance - E-commerce GMV grew by 15.2% year-on-year to 385 billion yuan [3] - The platform's initiatives have led to increased user repurchase frequency and enhanced user trust in the e-commerce ecosystem [3] - The introduction of the OneSearch model improved product matching and user understanding, resulting in a nearly 5% increase in search order volume [3] Video Production Capabilities - Kuaishou's AI video production platform, Keling, launched the 2.5Turbo model, significantly enhancing video generation capabilities [4] - The model reduces video generation costs by approximately 30%, improving creator efficiency [4] - Keling AI has served over 45 million global users, generating over 200 million videos and 400 million images [6] Content Ecosystem and Live Streaming - The community interaction on Kuaishou has strengthened, with daily private message penetration among dual users increasing by over 3% [7] - Live streaming revenue reached 9.6 billion yuan, with a healthy growth in signed agency institutions and streamers [8] - Kuaishou's overseas business continues to grow steadily, particularly in Brazil, with increased user engagement and marketing efficiency [8]

Group 1 - The Hang Seng Tech Index has decreased by 0.82% as of November 20, 2025, with mixed performance among constituent stocks, where Baidu Group-SW led with a rise of 2.79% and Kingsoft fell by 8.98% [1] - Kuaishou Technology reported a 14.2% year-on-year revenue growth in Q3, reaching 35.6 billion yuan, with operating profit increasing by 69.9% to 5.3 billion yuan [1] - The Hang Seng Tech Index ETF has seen a 4.59% increase over the past three months, with a current trading price of 0.8 yuan [1] Group 2 - CITIC Securities predicts a rebound in the Hong Kong stock market in 2026, driven by a recovery in fundamentals and significant valuation discounts [2] - The report suggests five long-term investment directions, including the technology sector, healthcare, resource commodities, essential consumer goods, and sectors benefiting from RMB appreciation [2] Group 3 - The latest size of the Hang Seng Tech Index ETF is 4.278 billion yuan [3] - The ETF has reached a new high with 5.639 billion shares outstanding, and has seen continuous net inflows over the past 15 days totaling 69.6169 million yuan [4] - The top ten weighted stocks in the Hang Seng Tech Index account for 68.89% of the index, including Alibaba-W, SMIC, and Tencent Holdings [4]

Core Viewpoint - Kuaishou reported strong Q3 performance with total revenue of 35.6 billion RMB, a year-on-year increase of 14.2%, driven by a 19.2% growth in core commercial revenue, indicating sustained business vitality and profitability [1][2][3]. Revenue and Profitability - Total revenue for Q3 reached 35.6 billion RMB, with a gross profit of 19.4 billion RMB, reflecting a gross margin of 54.7% [2]. - Operating profit surged to 5.3 billion RMB, marking a 69.9% increase year-on-year, while adjusted net profit rose by 26.3% to 5 billion RMB [2][3]. User Engagement and E-commerce Growth - Daily Active Users (DAU) hit a record high of 416 million, continuing a trend of growth over three consecutive quarters [3]. - E-commerce Gross Merchandise Volume (GMV) grew by 15.2% year-on-year, reaching 385 billion RMB [3]. AI Integration and Business Transformation - AI has begun to show quantifiable operational and financial impacts across Kuaishou's business chain, enhancing content understanding, recommendation, and marketing decision-making [4][5]. - The introduction of AI models like OneRec and G4RL contributed approximately 4-5% incremental revenue to online marketing services [5][6]. Kuaishou's AI Business Development - Kuaishou's AI division, Keling AI, launched the 2.5 Turbo model, achieving significant improvements in video generation capabilities and reducing costs by about 30% [6][8]. - Keling AI's revenue exceeded 3 billion RMB in Q3, with a user base surpassing 45 million and over 200 million videos generated [6][8]. Market Outlook and Future Strategies - The visual effects market for AI applications is projected to grow significantly, with Kuaishou focusing on AI-driven content creation and marketing [8]. - Kuaishou plans to enhance its C-end applications by integrating video generation with social interactions, aiming for broader commercialization [9].

Core Insights - Kuaishou's Q3 2025 financial report shows a total revenue increase of 14.2% year-on-year to 35.6 billion yuan, with core business revenue growing by 19.2% [1] - Operating profit increased by 69.9% year-on-year to 5.3 billion yuan, and adjusted net profit rose by 26.3% to 5 billion yuan, achieving an adjusted net profit margin of 14% [1] - The average daily active users reached 416 million, marking a historical high for three consecutive quarters, while monthly active users reached 731 million [1] Business Performance - The online marketing service revenue for Q3 2025 reached 20.1 billion yuan, a 14% year-on-year increase, with AI technologies contributing approximately 4-5% to this growth [3][4] - E-commerce GMV grew by 15.2% year-on-year to 385 billion yuan, supported by various policies and tools that enhanced user engagement and retention [4][5] AI Integration - Kuaishou continues to deepen the integration of AI across its content and commercial scenarios, enhancing efficiency in key areas such as content understanding and marketing optimization [3][4] - The launch of the OneSearch generative search architecture improved product matching and user understanding, leading to a nearly 5% increase in search order volume [5] Content Ecosystem - The platform's community interaction improved, with daily private message penetration among dual users increasing by over 3% year-on-year [9] - Kuaishou's content ecosystem was enriched through various events and collaborations, including a live broadcast with Beijing TV that attracted over 5.4 million concurrent viewers [9] Live Streaming and International Growth - Live streaming revenue reached 9.6 billion yuan, with a healthy growth in the number of signed agencies and streamers [17] - Kuaishou's international business, particularly in Brazil, showed steady growth, with increased user engagement and successful marketing strategies [17]

Core Viewpoint - CICC has raised the 2025 Non-IFRS net profit forecast for Kuaishou-W (01024) by 3% to 20.6 billion yuan due to effective cost control, maintaining an outperform rating and a target price of 89 HKD, indicating a potential upside of 40% [1] Group 1: Financial Performance - In Q3 2025, Kuaishou reported revenue of 35.6 billion yuan, a year-on-year increase of 14%, with Non-IFRS net profit reaching 4.99 billion yuan, and GMV growing 15% to 385 billion yuan, aligning with CICC's expectations [1] - Advertising revenue in Q3 increased by 14% year-on-year, driven by improvements in conversion efficiency from full-site promotion and UAX (fully automated delivery) [2] Group 2: E-commerce Development - Total GMV in Q3 2025 grew by 15%, with over 32% of GMV coming from the general merchandise category, which outpaced the overall market growth; short video e-commerce also showed healthy growth [2] - The number of active users in the e-commerce segment increased, with higher repurchase frequency and enhanced user stickiness [2] Group 3: AI Strategy and Revenue Growth - The AI multimodal foundational model achieved significant revenue growth in Q3, generating over 300 million yuan, with an annual revenue forecast of 140 million USD [3] - AI models have enhanced Kuaishou's advertising and e-commerce capabilities, contributing to a 4-5% increase in domestic advertising revenue in Q3, with AIGC advertising material consumption exceeding 3 billion yuan [3] Group 4: Cost Control and International Expansion - Management expenses in Q3 were significantly lower than expected, primarily due to lower SBC costs, with the sales expense ratio decreasing by 4 percentage points to 29.3% [4] - In the overseas market, Kuaishou's e-commerce transaction volume and order quantity in Brazil showed year-on-year growth in Q3 [4]

Core Viewpoint - Company has raised the Non-IFRS net profit forecast for 2025 by 3% to 20.6 billion yuan due to effective cost control, maintaining an outperform rating and a target price of 89 HKD, indicating a potential upside of 40% [1] Group 1: Financial Performance - In Q3 2025, company reported revenue of 35.6 billion yuan, a year-on-year increase of 14%, with Non-IFRS net profit reaching 4.99 billion yuan, and GMV increasing by 15% to 385 billion yuan, aligning with expectations [1] - Advertising revenue in Q3 increased by 14% year-on-year, showing a sequential acceleration from 13% in Q2, driven by improved conversion efficiency from full-site promotion and UAX [2] Group 2: E-commerce Development - Total GMV in Q3 2025 grew by 15%, with over 32% of GMV coming from the general merchandise category, which outpaced the overall market growth; short video e-commerce also showed healthy growth [2] - The company noted an increase in the repurchase frequency of active e-commerce users, indicating enhanced user stickiness [2] Group 3: AI Strategy and Revenue Growth - In Q3, the AI multimodal foundational model achieved significant revenue growth, generating over 300 million yuan, with an annual revenue forecast of 140 million USD [3] - AI models have strengthened the company's advertising and e-commerce capabilities, contributing to a 4-5% increase in domestic advertising revenue in Q3, with AIGC advertising material consumption exceeding 3 billion yuan [3] Group 4: Cost Control and International Expansion - Management expenses in Q3 were significantly lower than expected, primarily due to lower SBC costs, with the sales expense ratio decreasing by 4 percentage points to 29.3% due to improved marketing efficiency [4] - In the overseas market, the e-commerce transaction scale and order quantity in Brazil showed year-on-year growth in Q3 [4]