Yonyou Network Technology (600588) Q4 2025 earnings summary

Executive summary

• Revenue reached RMB 9.18 billion in 2025, up 0.3% year-over-year; cloud services revenue grew 3.1% to RMB 7.06 billion.

• Net loss attributable to shareholders was RMB 1.39 billion, a reduction of RMB 672 million year-over-year; Q4 achieved a quarterly profit.

• Gross margin improved to 49.6%, up 2.1 percentage points year-over-year.

• Operating cash flow turned positive at RMB 812 million, a significant improvement from last year’s outflow.

• AI-related contract value reached RMB 1.67 billion, with over 400 enterprise AI customers signed.

Financial highlights

• Adjusted net loss (excluding non-recurring items) was RMB 1.60 billion, a reduction of RMB 441 million year-over-year.

• Basic and diluted EPS were both -0.41, compared to -0.62 last year.

• Weighted average ROE improved to -18.73%, up 4.32 percentage points year-over-year.

• Total assets at year-end were RMB 21.63 billion, down 10.45% from the prior year.

• Net assets attributable to shareholders were RMB 7.60 billion, down 7.86% year-over-year.

Outlook and guidance

• Strategic focus on becoming a global top-three enterprise software and intelligent services provider.

• 2026 priorities: deepen customer success, expand ecosystem, accelerate global and AI-driven growth, and continue product and delivery innovation.

• Risks include industry downturns, intensified competition, AI-driven industry changes, and increased cybersecurity requirements.