Kanzhun (BZ) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenue reached RMB 1.92 billion, up 29% year-on-year, driven by strong user and enterprise customer growth, with average MAU at 54.6 million and 5.9 million paid enterprise customers.

• Adjusted net income for Q2 2024 was RMB 719 million, up 26.4% year-on-year, with net income at RMB 417 million, up 34.8%.

• 28 million new verified users were added in H1 2024, and enterprise user growth was especially strong in lower-tier cities and among large enterprises.

• Management reaffirmed commitment to shareholder returns via share repurchases and highlighted resilience despite macro headwinds.

Financial highlights

• Adjusted operating profit was RMB 660 million, up 52% year-on-year, with adjusted operating margin at 34.4%, a historical high.

• Gross margin rose to 84.1%; cost of revenues increased 17% year-on-year to RMB 317 million.

• Net cash from operating activities grew 14% year-on-year to RMB 869 million; cash and equivalents totaled RMB 14.3 billion as of June 30, 2024.

• Online recruitment services revenue was RMB 1,892.7 million, up 28.7% year-on-year; other services revenue was RMB 24 million, up 42.9%.

Outlook and guidance

• Q3 2024 revenue expected between RMB 1.9 billion and RMB 1.92 billion, up 18.2% to 19.5% year-on-year.

• Full-year non-GAAP operating profit target set at RMB 2.3 billion, up ~40% year-on-year.

• Management focuses on user expansion, improved paying ratio, ARPPU growth, and operating efficiency.