Cheetah Mobile Announces First Quarter 2025 Unaudited Consolidated Financial Results

Core Viewpoint - Cheetah Mobile Inc. reported strong financial results for Q1 2025, with total revenue increasing by 36.1% year-over-year, driven by robust performance in its Internet business and AI segments [2][5]. Financial Performance - Total revenues reached RMB 259.0 million (US$ 35.7 million), reflecting a 36.1% increase year-over-year and a 9.2% increase quarter-over-quarter [5]. - Gross profit rose by 67.2% year-over-year to RMB 189.5 million (US$ 26.1 million) [5]. - Operating loss significantly narrowed to RMB 26.5 million (US$ 3.7 million) from RMB 80.6 million in the same period last year [5]. - Net loss attributable to Cheetah Mobile shareholders was RMB 33.4 million (US$ 4.6 million), down from RMB 80.0 million year-over-year [5]. Segment Performance - Revenue from the Internet business increased by 46.0% year-over-year, while the AI and Others segment grew by 22.9% year-over-year and 29.8% quarter-over-quarter [2][5]. - The operating margin for the Internet business improved to 15.5%, up from 7.9% a year ago [2]. Management Insights - The CEO emphasized the company's commitment to AI and robotics, highlighting the potential of agentic AI as a transformative force [2]. - The CFO noted disciplined execution and cost optimization as key factors in reducing losses while maintaining revenue growth [2]. Liquidity and Investments - As of March 31, 2025, the company had cash and cash equivalents of RMB 1,699.2 million (US$ 234.2 million), indicating strong liquidity [5]. - Long-term investments stood at RMB 813.1 million (US$ 112.1 million) [5].