Core Viewpoint - Citigroup maintains a "Buy" rating on Kuaishou-W (01024) with a target price of HKD 88, despite challenges in its core e-commerce business, due to the strong performance of Keling AI [1] Group 1: Keling AI Performance - Kuaishou announced that Keling AI's monthly revenue exceeded USD 20 million in December 2025, indicating an annualized revenue run rate of USD 240 million [1] - The strong performance in December is likely attributed to the launch of Kling Video version 2.6, which features a popular "action control" function that gained significant traction in overseas markets for AI-generated video content [1] - The monthly revenue of over USD 20 million slightly surpassed Citigroup's expectations, reflecting a robust revenue outlook for 2026, with potential annual revenue exceeding USD 25 million [1]

Group 1 - The core viewpoint of the article is that despite challenges in the core e-commerce business, Citigroup maintains a "Buy" rating for Kuaishou-W (01024) with a target price of HKD 88 due to the strong performance of Keling AI [1] - Kuaishou announced that Keling AI's monthly revenue exceeded USD 20 million in December 2025, indicating an annualized revenue run rate of USD 240 million [1] - The strong performance in December is likely attributed to the launch of Kling Video version 2.6, which features a popular "motion control" function that has gained significant traction in overseas markets for AI-generated video content [1] Group 2 - Citigroup's initial expectations for Keling's performance in December were positive, but the actual monthly revenue of over USD 20 million slightly exceeded their expectations, reflecting a robust revenue outlook for 2026 [1] - The company believes that Keling AI has the potential to exceed USD 250 million in annual revenue for the year [1]

Core Viewpoint - Citigroup reports that Kuaishou's Keling AI is expected to exceed monthly revenue of $20 million by December 2025, indicating an annualized revenue run rate of $240 million [1] Group 1: Financial Performance - Keling AI's strong performance in December is likely attributed to the launch of Kling Video version 2.6, which features popular motion control capabilities in overseas markets for AI-generated video content [1] - The monthly revenue of over $20 million slightly surpasses Citigroup's expectations, reflecting a robust revenue outlook for 2026, with potential annual revenue exceeding $250 million [1] Group 2: Investment Rating - Due to the outstanding performance of Keling AI, Citigroup maintains a "Buy" rating on Kuaishou, with a target price set at HKD 88 [1]

Core Viewpoint - Kuaishou Technology announced that its Keling AI is expected to exceed $20 million in revenue for December 2025, corresponding to an annual recurring revenue (ARR) of $240 million [1] Group 1: Financial Performance - Citigroup had previously anticipated a strong performance for Keling AI in December, and the actual results slightly exceeded their expectations, indicating a solid revenue outlook for 2026 [1] - Analysts, including Brian Gong, noted that the strong performance in December may be attributed to the launch of Kling Video 2.6, which features a new "motion control" function that has gained popularity in overseas markets for AI-generated video content [1] - The annual revenue for Keling AI is projected to potentially exceed $250 million [1] Group 2: Market Position and Ratings - Despite facing some adverse factors in Kuaishou's core e-commerce business, the strong performance of Keling AI has led Citigroup to maintain a buy rating on Kuaishou's Hong Kong stock [1]

Core Viewpoint - Kuaishou-W (01024) shares increased nearly 5%, reaching HKD 81.95 with a trading volume of HKD 536 million, following the announcement of Keling AI's revenue performance for December 2025, which exceeded expectations [1] Group 1: Company Performance - Keling AI announced that its revenue for December 2025 surpassed USD 20 million, leading to an annual recurring revenue (ARR) of USD 240 million [1] - Previously, Keling AI reported an ARR of over USD 10 million in March 2025, just ten months after its official launch [1] - The strong performance in December is attributed to the launch of Keling Video 2.6, which features a new "motion control" capability that has gained popularity in overseas markets for AI-generated video content [1] Group 2: Market Expectations - Citigroup had anticipated a strong performance from Keling AI in December, and the actual results slightly exceeded their expectations, indicating a robust revenue outlook for 2026 [1] - Citigroup estimates that Keling's total revenue for the year could exceed USD 250 million [1]

Core Insights - Kuaishou's subsidiary, Keling AI, reported a revenue of $20 million in December, slightly exceeding Citigroup's expectations, indicating a robust revenue outlook for 2026 [1] - The strong performance in December is attributed to the launch of Kling Video 2.6, which features a new "motion control" function that has gained popularity in overseas markets for AI-generated video content [1] - Analysts project that Keling AI's annual revenue may exceed $250 million, despite challenges faced by Kuaishou's core e-commerce business [1] - Based on Keling AI's impressive performance, Citigroup maintains a buy rating on Kuaishou's Hong Kong stock [1]