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Kingdee International Software Group Company (268) investor relations material
Kingdee International Software Group Company H1 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Revenue increased 11.2% year-over-year to RMB 3,192 million in H1 2025, driven by strong cloud subscription growth and AI integration, with operational efficiency gains.
Cloud subscription revenue grew 22.1% year-over-year, now representing 52.8% of total revenue, with high gross margins exceeding 95%.
Net loss attributable to owners narrowed by 55.1% year-over-year to RMB 97.7 million, with basic loss per share at RMB 2.78 cents.
Operating cash outflow improved to RMB 18.2 million, down from RMB 166 million year-over-year.
AI-powered products and services were launched, contributing to a contracted AI service value of RMB 150 million in H1 and supporting global expansion.
Financial highlights
Gross profit margin increased by 2.4 percentage points to 65.6%, with gross profit at RMB 2,095.3 million.
Cloud subscription revenue reached RMB 1,684.3 million, now 52.8% of total revenue.
Net operating cash outflow improved 89% year-over-year to RMB 18.2 million.
Administrative expenses rose 39% year-over-year, mainly due to headcount optimization and higher fixed costs.
No interim dividend declared for the period.
Outlook and guidance
Management targets profitability by 2025 and aims for global leadership in enterprise management AI by 2030.
AI revenue is projected to account for 30% of total revenue by 2030.
Subscription and AI revenue together are targeted to reach 80%-90% of total revenue in the coming years.
International revenue is expected to reach 5%-10% of total revenue within three to five years.
Focus remains on "AI First, Subscription First, and Globalization" strategies to drive transformation.
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