Cheetah Mobile Announces Fourth Quarter and Fiscal Year 2024 Unaudited Consolidated Financial Results

Core Viewpoint - Cheetah Mobile Inc. reported strong financial results for Q4 2024, with significant revenue growth and a focus on AI and robotics, positioning itself for future opportunities in the service robot market [2][8]. Financial Highlights - Total revenues for Q4 2024 reached RMB 237.1 million (US$ 32.5 million), representing a year-over-year increase of 41.7% and a quarter-over-quarter increase of 23.4% [8]. - Gross profit for Q4 2024 was RMB 172.8 million (US$ 23.7 million), up 74.4% year-over-year and 32.5% quarter-over-quarter [8]. - The operating loss for Q4 2024 was RMB 207.1 million (US$ 28.4 million), compared to RMB 60.9 million in the same period last year [8]. - Non-GAAP operating loss improved to RMB 42.5 million (US$ 5.8 million) from RMB 49.1 million year-over-year [8]. - Cash flow from operating activities was RMB 283.0 million (US$ 38.8 million) in Q4 2024, indicating strong liquidity with cash and cash equivalents of RMB 1,833.0 million (US$ 251.1 million) as of December 31, 2024 [8]. Yearly Performance - For the fiscal year 2024, total revenues grew by 20.5% year-over-year to RMB 806.9 million (US$ 110.5 million) [8]. - Gross profit for the year rose by 24.6% to RMB 545.2 million (US$ 74.7 million) [8]. - The net loss attributable to Cheetah Mobile shareholders was RMB 617.6 million (US$ 84.6 million), slightly higher than RMB 602.9 million in 2023 [8]. Management Insights - The CEO emphasized the company's commitment to high-quality growth and the upcoming launch of AgentOS, a voice interaction system for service robots, which aims to enhance its position in the robotics market [2]. - The CFO noted the reduction in non-GAAP operating losses and strong cash flow, indicating a focus on achieving breakeven and profitability in the future [2]. Segment Performance - In Q4 2024, the Internet business generated RMB 160.2 million, while AI and other segments contributed RMB 76.9 million to total revenues [19]. - The operating profit margin for the Internet business was 16.4%, while the AI segment reported a significant operating loss margin of (296.6)% [19]. Future Outlook - The company aims to become a top 3 service robot provider globally within three years by leveraging its strong product technology and scalable robotics solutions [2].