YXT.COM Group (YXT) Q2 2026 earnings summary

Executive summary

• Achieved nearly ninefold growth in AI product-related revenue, with monthly recurring revenue from AI products reaching CNY 4.4 million as of June 30, 2026, up from CNY 500,000 a year earlier, driven by AI-native transformation and focus on large enterprise accounts.

• Strategic focus on integrating AI into existing business lines and launching AI-native solutions drove significant business transformation and revenue growth.

• AI adoption improved operational efficiency, gross margin, and cash flow, supporting a successful transformation.

• Net loss narrowed significantly to CNY 14.4 million, an 80.5% reduction from the prior year; adjusted net loss was CNY 12.2 million, down 80.9%.

• Subscription customer base grew to 2,391, with net revenue retention rate increasing to 102.6%.

Financial highlights

• Total revenues increased by 6% year-over-year to CNY 162.1 million for the first half of 2026.

• Corporate learning solutions revenue was CNY 158.2 million, up from CNY 152.4 million year-over-year, with subscription-based revenue at CNY 151.8 million.

• Gross margin expanded to 70.1%, up five percentage points from 65.1% a year earlier.

• Cost of revenues decreased by 9.1% year-over-year to CNY 48.5 million; sales and marketing expenses decreased by 3%.

• General and administrative expenses dropped 78% to CNY 11.9 million due to lower professional fees and share-based compensation.

Outlook and guidance

• Expectation of continued gross margin expansion in the second half of 2026 and future years, driven by ongoing AI transformation and operational efficiencies.

• Focus remains on large enterprise customers, scaling AI-related products, and balancing AI innovation investment with disciplined cost control.