Kanzhun (BZ) investor relations material

Executive summary

• Achieved strong user and revenue growth in Q1 2026, with over 15 million newly verified users and 7.1 million paid enterprise customers, up 10.9% year-over-year.

• Revenue reached CNY 2.1 billion (RMB2,068.8 million), up 8% year-over-year, driven by user expansion, improved paying ratio, and stable ARPPU.

• Adjusted operating income rose 18% year-over-year to RMB 815 million, with an adjusted operating margin of 39.4%.

• Net income for Q1 2026 was RMB1,125.8 million, up 119.8% year-over-year, with record profit margin supported by strong operating leverage.

• AI adoption accelerated platform efficiency, user retention, and revenue, especially in closed-loop services.

Financial highlights

• Revenue for Q1 2026 was CNY 2.1 billion (RMB2,068.8 million), up 8% year-over-year.

• Adjusted net income increased 12% to CNY 856 million (RMB856.2 million); adjusted net margin improved to 41.4%.

• Gross margin improved by 1.8 percentage points to 85.6%–85.7%.

• Net cash from operating activities was CNY 1.2 billion (RMB1,190.1 million), up 19% year-over-year; cash position at CNY 19.8 billion (RMB19,826.5 million) as of March 31, 2026.

• Free cash flow in Q1 2026 was RMB 1.13 billion.

Outlook and guidance

• Q2 2026 revenue expected between CNY 2.38–2.42 billion (RMB2.38–2.42 billion), up 13.2%–15.1% year-over-year.

• Full-year revenue growth and cash collection expected to accelerate, with at least double-digit year-over-year growth.

• Modest margin expansion anticipated despite continued investment in AI and marketing.

• Plans to allocate at least 50% of prior year's adjusted net income to buybacks and dividends for 2026–2028.