Kingsoft Office(SH:688111) Minsheng Securities·2025-08-26 01:32Investment Rating - The report maintains a "Recommended" rating for Kingsoft Office (688111.SH) [4][6] Core Views - Kingsoft Office reported a revenue of 2.657 billion yuan for the first half of 2025, representing a year-on-year growth of 10.12%, while the net profit attributable to shareholders was 747 million yuan, up 3.57% year-on-year [1] - The WPS personal business showed strong revenue resilience, achieving 1.748 billion yuan in revenue, a year-on-year increase of 8.38% [2] - WPS 365 business experienced rapid growth with a revenue of 309 million yuan, marking a significant year-on-year increase of 62.27% [2] - The company has successfully built a cloud, collaboration, and AI office application service system, creating a new intelligent office model [1] Summary by Sections WPS Personal Business - Revenue reached 1.748 billion yuan, with a growth of 8.38% year-on-year - Global monthly active devices for WPS Office reached 651 million, an increase of 8.56% year-on-year [2] WPS 365 Business - Revenue of 309 million yuan, with a remarkable growth of 62.27% year-on-year - The introduction of AI features such as intelligent document libraries and smart search has significantly enhanced product capabilities [2][3] WPS Software Business - Revenue was 542 million yuan, showing a slight decline of 2.08% year-on-year - The company continues to lead in the government and enterprise market for domestic office software [3] AI Development - WPS AI 3.0 has nearly 30 million monthly active users, with new features enhancing user engagement and opening new monetization opportunities [3] - The report anticipates continued growth in personal subscription users and ARPU driven by AI capabilities [4] Financial Forecast - Projected revenues for 2025, 2026, and 2027 are 6.109 billion, 7.295 billion, and 8.717 billion yuan respectively, with corresponding EPS of 4.12, 5.18, and 6.25 yuan [4][5]