ZKH Group (ZKH) Q4 2025 earnings summary

Executive summary

• Achieved accelerated GMV and revenue growth in Q4 2025, returning to profitability with adjusted net profit of RMB 14.9 million and net profit of RMB 4.8 million, alongside a significant customer base expansion and AI-driven operational gains.

• Customer base grew to over 73,800 in Q4 2025, a 59.8% YoY increase, with strong SME and international segment expansion.

• AI investments, including the launch of H-Nimble, delivered measurable productivity improvements and commercial impact.

• Positive operating cash flow recorded in Q4 and for the full year, enhancing financial resilience.

Financial highlights

• Q4 2025 GMV grew 8.5% YoY to RMB 2.92 billion; Q4 revenue rose 7.9% YoY to RMB 2.56 billion; full-year revenue reached RMB 8,987.7 million, up 2.6% YoY.

• Q4 gross margin was 15.5% (down from 17.1% YoY); full-year gross margin was 16.4%.

• Q4 non-GAAP adjusted net profit reached RMB 14.9 million, a turnaround from a loss YoY; Q4 net profit was RMB 4.8 million.

• Full-year operating loss narrowed to RMB 213.3 million; adjusted net loss narrowed to RMB 85.9 million; FY net loss was RMB 139.7 million.

• Cash and equivalents at year-end totaled RMB 1.92 billion; Q4 operating cash flow was RMB 116.1 million; FY net cash from operations was RMB 13.7 million.

Outlook and guidance

• Expect double-digit YoY GMV growth in Q1 2026 and targeting full-year profitability in 2026.

• Private label GMV share goal set at 10% for 2026, with 30% long-term ambition.

• Management expects ongoing AI adoption and platform scaling to drive operational efficiency and sustainable growth.