Beijing Kingsoft Office Software (688111) Q1 2025 earnings summary

Executive summary

• Achieved revenue of RMB 1.30 billion in Q1 2025, up 6.22% year-over-year; net profit attributable to shareholders was RMB 403 million, up 9.75% year-over-year; adjusted net profit (excluding non-recurring items) was RMB 390 million, up 10.72% year-over-year.

• WPS personal business revenue grew 10.86% year-over-year, with global monthly active devices reaching 647 million, up 7.92% year-over-year.

• WPS 365 business revenue surged 62.59% year-over-year, while WPS software business revenue declined 20.99% due to changes in procurement processes.

Financial highlights

• Operating cash flow was RMB 35.2 million, down 77.05% year-over-year, mainly due to seasonal customer payments and increased staff-related cash outflows.

• Basic and diluted EPS were both RMB 0.87, up 10.13% year-over-year.

• R&D investment reached RMB 470 million, up 16.17% year-over-year, accounting for 36.13% of revenue.

• Total assets at quarter-end were RMB 15.90 billion, nearly flat from year-end 2024.

• Shareholders’ equity attributable to listed company shareholders was RMB 11.79 billion, up 3.81% from year-end 2024.

Outlook and guidance

• Focus remains on expanding AI-driven user engagement and accelerating organizational digital transformation through WPS 365.

• Continued emphasis on localizing overseas business and adapting to procurement policy changes in the domestic market.