Core Viewpoint - VNET Group, Inc. has successfully closed a US$430 million offering of 2.50% convertible senior notes due 2030, aimed at funding capital investments and general corporate purposes [1][7]. Summary by Sections Notes Offering - The offering consists of US$430 million in aggregate principal amount of 2.50% convertible senior notes, maturing on April 1, 2030 [1][2]. - Interest on the notes will be paid semi-annually starting October 1, 2025 [2]. Repurchase and Redemption Rights - Holders can require the company to repurchase their notes for cash on April 3, 2028, or under certain conditions related to fundamental changes [3]. - The company may redeem the notes in cash starting April 10, 2028, under specific conditions [3]. Conversion Terms - The notes are initially convertible at a rate of 72.7273 ADSs per US$1,000 principal amount, equating to an initial conversion price of approximately US$13.75 per ADS, representing a 25.0% premium over the closing price on March 12, 2025 [5]. - Conversion is restricted until 40 days after the original issuance and subject to certain conditions thereafter [4]. Regulatory Compliance - The notes are offered in offshore transactions outside the U.S. and are not registered under the Securities Act, thus cannot be sold in the U.S. without an exemption [6]. Use of Proceeds - The net proceeds from the notes offering will be utilized for capital investment in wholesale IDC projects, working capital, and general corporate purposes [7]. Company Overview - VNET Group, Inc. is a leading carrier-neutral and cloud-neutral internet data center services provider in China, offering hosting, IDC services, cloud services, and business VPN services [8]. - The company operates in over 30 cities in China, serving a diverse customer base of over 7,500 enterprise clients across various industries [9].

BEIJING, March 13, 2025 /PRNewswire/ -- VNET Group, Inc. (Nasdaq: VNET) ("VNET" or the "Company"), a leading carrier-neutral and cloud-neutral internet data center services provider in China, today announced the pricing of its offering (the "Notes Offering") of US$430 million in aggregate principal amount of 2.50% convertible senior notes due 2030 (the "Notes"). The Notes Offering is expected to close on or about March 17, 2023, subject to the satisfaction of customary closing conditions.The Notes will bear ...

BEIJING, March 13, 2025 /PRNewswire/ -- VNET Group, Inc. (Nasdaq: VNET) ("VNET" or the "Company"), a leading carrier-neutral and cloud-neutral internet data center services provider in China, today announced the commencement of a proposed offering by the Company of US$400 million aggregate principal amount of its convertible senior notes due 2030 (the "Notes"), subject to market and other conditions (the "Notes Offering"). The Notes will be senior, unsecured obligations of the Company, and will accrue inter ...

VNET Group (VNET) Q4 2024 Earnings Call March 12, 2025 08:38 PM ET Company Participants Xinyuan Liu - GM, Board Secretary and Head - Investor Relations & ESGJu Ma - Rotating President and GM - AIDC Strategic Business GroupQiyu Wang - Chief Financial OfficerEdison Lee - Head - HK/China Tech, Telecom & Software Research Conference Call Participants Shuyun Che - Research AnalystXinyi Wang - Equity Research Analyst - Greater China Telecom & Data CenterYang Liu - AnalystTimothy Zhao - AnalystDaley Li - Vice Pres ...

Vnet Group (NASDAQ:VNET) Q4 2024 Earnings Conference Call March 12, 2025 8:00 AM ET Company Participants Xinyuan Liu ??? Head-Investor Relations Ju Ma ??? Rotating President Qiyu Wang ??? Chief Financial Officer Conference Call Participants Shuyun Che ??? CICC Sara Wang ??? UBS Yang Liu ??? Morgan Stanley Edison Lee ??? Jefferies Timothy Zhao ??? Goldman Sachs Daley Li ??? Bank of America Securities Operator Thank you for standing by for the Fourth Quarter and Full Year 2024 Earnings Conference Call for VNE ...

VNET Group, Inc. Earnings Presentation for 4Q24 and FY2024 March 12, 2025 Disclaimer This presentation has been prepared by VNET Group, Inc. (the "Company") solely for informational purposes and has not been independently verified. No representations, warranties or undertakings, express or implied, are made by the Company or any of its affiliates, advisers or representatives as to, and no reliance should be placed upon, the accuracy, fairness, completeness or correctness of the information or opinions prese ...

Financial Performance - Total net revenues for Q4 2024 increased by 18.3% to RMB2.25 billion (US$307.8 million) from RMB1.90 billion in Q4 2023[6] - Adjusted EBITDA for Q4 2024 rose by 63.8% to RMB721.3 million (US$98.8 million), with an adjusted EBITDA margin of 32.1%, up from 23.2% in Q4 2023[26] - Full-year 2024 net income increased to RMB248.4 million (US$34.0 million), a significant recovery from a net loss of RMB2.60 billion in 2023[9] - Total net revenues for the full year of 2024 were RMB8.26 billion (US$1.13 billion), an increase of 11.4% from RMB7.41 billion in 2023[31] - Net revenues from IDC business increased by 16.1% to RMB5.78 billion (US$791.8 million) from RMB4.98 billion in 2023[31] - Gross profit for the full year of 2024 was RMB1.83 billion (US$251.0 million), representing a 41.8% increase from RMB1.29 billion in 2023[33] - Adjusted EBITDA for the full year of 2024 was RMB2.43 billion (US$332.9 million), a 19.1% increase from RMB2.04 billion in 2023[37] - Net income attributable to VNET Group, Inc. for the full year of 2024 was RMB183.2 million (US$25.1 million), compared to a net loss of RMB2.64 billion in 2023[38] - Basic and diluted earnings per share for the full year of 2024 were RMB0.11 (US$0.02) and RMB0.02 (US$0.003), respectively[39] Revenue Breakdown - Wholesale IDC business revenues surged by 125.4% to RMB665.2 million (US$91.1 million) in Q4 2024, compared to RMB295.1 million in the same period of 2023[21] - Retail IDC business revenues slightly decreased by 1.1% to RMB964.8 million (US$132.2 million) in Q4 2024[21] Operating Expenses - Total operating expenses in Q4 2024 were RMB267.9 million (US$36.7 million), significantly lower than RMB2.50 billion in the same period of 2023[23] - Total operating expenses for the full year of 2024 were RMB1.16 billion (US$159.3 million), significantly reduced from RMB3.26 billion in 2023[35] Capacity and Utilization - Capacity in service reached 486MW as of December 31, 2024, up from 332MW a year earlier, with 406MW under construction[9] - Utilization rate of wholesale capacity was 72.6% as of December 31, 2024, compared to 65.8% a year prior[9] - Commitment rate for capacity in service was 98.7% as of December 31, 2024, compared to 98.1% a year earlier[9] Cash Flow and Financing - The company obtained new debt financing and refinancing facilities totaling RMB5.68 billion (US$777.7 million) during the full year of 2024[40] - Cash and cash equivalents decreased from RMB 2,243,537 to RMB 1,492,436, a decline of 33.5%[53] - Cash, cash equivalents, and restricted cash at the end of the period totaled RMB 5,098,987 thousand, up from RMB 3,024,214 thousand at the beginning of the period[60] - Financing activities generated net cash of RMB 2,757,673 thousand, primarily from proceeds of bank borrowings and issuance of ordinary shares[60] Assets and Liabilities - Total assets increased from RMB 30,385,903 to RMB 32,357,042, representing a growth of 6% year-over-year[53] - Current liabilities decreased from RMB 11,437,132 to RMB 9,343,415, a reduction of approximately 18.3%[53] - Non-current assets rose from RMB 20,562,425 to RMB 25,536,894, reflecting a significant increase of 24.2%[53] - Total current assets decreased from RMB 9,823,478 to RMB 6,820,148, a decline of 30.5%[53] - Total non-current liabilities increased from RMB 12,434,388 to RMB 16,092,808, an increase of 29.2%[53] Shareholder Equity - Total shareholders' equity increased from RMB 6,014,415 to RMB 6,514,383, an increase of 8.3%[54] - Long-term borrowings increased from RMB 5,113,521 to RMB 7,767,390, a rise of 51.8%[53] - Accumulated deficit improved from RMB (11,016,323) to RMB (10,859,888), a reduction of 1.4%[53] Quarterly Performance - Net revenues for the three months ended December 31, 2024, were RMB 2,246,389, representing a 5.9% increase from RMB 2,120,794 in the previous quarter[55] - Operating income for the three months ended December 31, 2024, was RMB 98,869, a significant increase from RMB 11,767 in the previous quarter[55] - The net loss attributable to VNET Group, Inc. for the three months ended December 31, 2024, was RMB 11,096, a significant improvement from a net loss of RMB 2,442,788 in the same period last year[55] - Basic loss per share for the three months ended December 31, 2024, was (0.01), compared to (2.65) in the same period last year[55] Other Financial Metrics - Adjusted cash gross profit for Q4 2024 was RMB923.9 million (US$126.6 million), reflecting a 24.6% increase year-over-year[17] - Adjusted cash gross profit for the full year of 2024 was RMB3.34 billion (US$457.2 million), compared to RMB2.98 billion in 2023[34] - The adjusted cash gross margin for the three months ended December 31, 2024, was 41.1%, compared to 40.6% in the previous quarter[57] - Interest income for the twelve months ended December 31, 2024, was RMB 27,958, down from RMB 41,802 in the previous year[55] - The company recognized an impairment of goodwill amounting to RMB 1,364,191 for the twelve months ended December 31, 2023[57] Capital Expenditures - The company incurred RMB 1,017,474 thousand in capital expenditures for property and equipment during the reporting period[60]

Core Viewpoint - VNET Group, Inc. reported strong financial results for Q4 and full year 2024, driven by significant growth in its wholesale IDC business, which is benefiting from increased demand for AI-driven services in China [2][8][27]. Financial Highlights - Total net revenues for Q4 2024 were RMB2.25 billion (US$307.8 million), an increase of 18.3% from RMB1.90 billion in Q4 2023 [8][13]. - Net revenues from the IDC business rose by 28.3% to RMB1.63 billion (US$223.3 million) compared to RMB1.27 billion in the same period of 2023 [14]. - Wholesale IDC revenues surged by 125.4% to RMB665.2 million (US$91.1 million) from RMB295.1 million in Q4 2023 [8][28]. - Retail IDC revenues slightly decreased by 1.1% to RMB964.8 million (US$132.2 million) from RMB975.2 million in Q4 2023 [8][28]. - Adjusted EBITDA for Q4 2024 was RMB721.3 million (US$98.8 million), reflecting a year-over-year increase of 63.8% [21]. Operational Highlights - The company secured multiple significant orders in Q4 2024, including a 32MW order from an internet customer in the Yangtze River Delta and a 100MW framework agreement in Ulanqab [2]. - Capacity in service increased to 486MW as of December 31, 2024, up from 332MW a year earlier [8]. - The utilization rate of wholesale capacity was 72.6% as of December 31, 2024, compared to 65.8% a year prior [8]. Full Year Financial Results - Total net revenues for the full year 2024 reached RMB8.26 billion (US$1.13 billion), an increase of 11.4% from RMB7.41 billion in 2023 [27]. - Net income attributable to VNET Group, Inc. for 2024 was RMB248.4 million (US$34.0 million), a significant recovery from a net loss of RMB2.60 billion in 2023 [35]. - Adjusted cash gross profit for the full year was RMB3.34 billion (US$457.2 million), up 12.1% from RMB2.98 billion in 2023 [31]. Business Outlook - The company anticipates total net revenues for 2025 to be between RMB9,100 million to RMB9,300 million, representing year-over-year growth of 10% to 13% [38]. - Adjusted EBITDA for 2025 is expected to range from RMB2,700 million to RMB2,760 million, indicating a growth of 11% to 14% year-over-year [38].

Core Viewpoint - VNET Group, Inc. is set to report its unaudited fourth quarter and full year 2024 financial results on March 12, 2025, before U.S. market opens [1] Company Overview - VNET Group, Inc. is a leading carrier- and cloud-neutral internet data center services provider in China, offering hosting, IDC services, cloud services, and business VPN services [4] - The company operates in over 30 cities across China, serving a diverse base of more than 7,000 enterprise customers from various industries, including internet companies, government entities, and small to mid-sized enterprises [4]

Group 1 - The article emphasizes the value investment strategy focusing on Asia-listed stocks, particularly those with significant discrepancies between market price and intrinsic value, including deep value balance sheet bargains and wide moat stocks [1] - VNET Group (NASDAQ: VNET) is highlighted as a stock still worthy of a Buy recommendation, with favorable corporate and market developments influencing this view [1] - The author provides insights and updates on investment opportunities in the Hong Kong market, targeting deep value and high-quality businesses [1]