VNET Group, Inc. · NASDAQ:VNET
VNET — Q1 2026 Earnings Presentation
31 slides from VNET's earnings presentation, May 26, 2026
Slide 1: VNET Group, Inc. Earnings Presentation for 1Q26
VNET Group, Inc. Earnings Presentation for 1Q26 May 26, 2026
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by VNET Group, Inc. (the “Company”) solely for informational purposes and has not been independently verified. No representations, warranties or undertakings, express or implied, are made by the Company or any of its affiliates, advisers or representati
Slide 3: Sharon Liu, Rotating President of VNET
Sharon Liu Rotating President of VNET
Slide 4: 1Q26 Earnings Highlights
1Q26 Earnings Highlights • Wholesale IDC Business: by 1Q26 end, capacity in service was 907MW (+18MW, +2.0% QoQ), capacity utilized was 687MW IDC Business Growth (+64MW, +10.2% QoQ); the utilization rate was 75.7% Remained Strong • Retail IDC Business: remained stable, retail MRR per cabinet was RMB
Slide 5: Key IDC Customer Order Wins
Key IDC Customer Order Wins Capacity Contracted/ Region IDC Code Signing Time Customer Sector Project Type under MoU (MW) N-OR Campus 02 110 1Q26 to Date Internet Wholesale Greater Beijing Area N-OR Campus 03 400 1Q26 to Date Internet Wholesale N-HB04 7 1Q26 Local Services Wholesale Greater Beijing
Slide 6: Data Centers by Region
Data Centers by Region Wholesale Capacity in Service (907MW) Region % Greater Beijing Area 65.7% Yangtze River Delta 34.3% Total 100.0% Wholesale Capacity under Construction (516MW) Ulanqab Region % Greater Beijing Greater Beijing Area 91.5% Area Beijing-Tianjin-Hebei Yangtze River Delta 8.5% Total
Slide 7: Wholesale Data Centers at a Glance - Key Growth Driver
Wholesale Data Centers at a Glance - Key Growth Driver Total Capacity in Service & Capacity Utilized (MW) Utilization Rate (1) 889 907 76.2% 75.9% 74.3% 75.7% 783 70.1% 674 687 573 623 582 511 3/31/2025 6/30/2025 9/30/2025 12/31/2025 3/31/2026 437 Mature & Ramp-up Capacity Contribution & Utilization
Slide 8: Wholesale Data Centers – Backlog Growth
Wholesale Data Centers – Backlog Growth (MW) 2,480 Company’s Expansion Pipeline to 2,181 +32 359 Support Long-term Growth Held for Future Development +36 327 (Long-term) 1,792 1,794 Robust Infrastructure and Operational +184 697 Capabilities Enabling Rapid Capacity Held for Future Development -127 2
Slide 9: Retail Data Centers at a Glance - Solid Foundation
Retail Data Centers at a Glance - Solid Foundation Total Capacity in Service (Cabinet) Utilization Rate (1) 51,960 52,131 52,288 49,863 50,170 63.7% 63.9% 64.8% 64.0% 64.1% 3/31/2025 6/30/2025 9/30/2025 12/31/2025 3/31/2026 3/31/2025 6/30/2025 9/30/2025 12/31/2025 3/31/2026 MRR per Retail Cabinet (2
Slide 10: Resource Pipeline for the Next 12 Months
Resource Pipeline for the Next 12 Months 1Q26 Capacity 2Q26E-3Q26E Capacity 4Q26E-1Q27E Capacity Next 12M Total Region IDC Code Tenure Status (MW) (MW) (MW) (MW) Yangtze River Delta E-JS Campus 03B Owned Under Construction - 44 - 44 N-HB Campus 02 Owned Under Construction - - 59 59 N-HB Campus 03 Ow
Slide 11: Peter Zhang, SVP, Operational Finance of VNET
Peter Zhang SVP, Operational Finance of VNET
Slide 12: 1Q26 Financial Highlights
1Q26 Financial Highlights RMB MM 1Q25 4Q25 1Q26 YoY QoQ Total net revenues 2,246 2,687 2,691 19.8% 0.2% Gross profit 565 540 616 8.9% 14.0% Adjusted cash gross profit (1) 968 1,138 1,211 25.1% 6.5% Adjusted cash gross margin 43.1% 42.3% 45.0% 1.9 pps. 2.7 pps. Adjusted EBITDA (2) 682 805 892 30.6% 1
Slide 13: Total Net Revenues Breakdown
Total Net Revenues Breakdown (RMB MM) Total Net Revenues YoY +18.3% +22.1% +21.7% +19.6% +19.8% Wholesale IDC Revenues YoY +86.5% +112.5% +82.7% +47.1% +58.1% 2,687 2,691 2,582 2,434 2,246 671 607 627 621 605 1,020 999 1,038 959 968 956 978 1,064 854 673 1Q25 2Q25 3Q25 4Q25 1Q26 (1) (1) (2) Wholesal
Slide 14: Healthy Margins through Efficiency Enhancement
Healthy Margins through Efficiency Enhancement Adjusted Cash Gross Profit & Margin (1) Adjusted EBITDA & Margin (2) (RMB MM) (RMB MM) 43.1% 43.6% 40.7% 42.3% 45.0% 30.4% 30.1% 29.4% 30.0% 33.1% +25.1% YoY +30.6% YoY +6.5% QoQ +10.7% QoQ 1,211 892 1,138 1,062 805 1,051 758 968 732 682 1Q25 2Q25 3Q25
Slide 15: Strong Liquidity Position
Strong Liquidity Position Net Operating Cash Flow Cash Position (1) (RMB MM) (RMB MM) Credit line availability: RMB6,205MM unused 8,798 2,063 2,005 718 1,919 6,581 379 5,456 357 1,608 1,738 1,723 8,080 (2) 6,202 2,081 5,099 (2) 293 2,081 455 119 268 196 174 (2) 2023 2024 2025 1Q26 12/31/2023 12/31/2
Slide 16: Well Laddered Debt Profile
Well Laddered Debt Profile Total Debt & Net Debt / Adj. LQA EBITDA (1) Debt Breakdown by Maturity (RMB MM) 11,342 2,917 6.2x 6.1x 5.6x 3.8x 3.9x 4,148 4,555 4.1x 4.3x 3.8x 8,425 3.4x 1,917 3.0x 1,811 4,148 1,327 2,638 1,811 1,327 2022 2023 2024 2025 1Q26 2026 2027 2028 2029 2030 and thereafter Total
Slide 17: Capex Paid by Year
Capex Paid by Year Capital Expenditure (1) Highlights (RMB MM) FY2026 Guidance: 10,000 – 12,000 ◼ The majority of the RMB1.91 billion in capex for the 1Q26 was 8,240 allocated to the expansion of our wholesale IDC business. 4,982 3,578 ◼ Driven by the robust growth of our wholesale business, we plan
Slide 18: Guidance
Guidance RMB MM FY2025 Actual FY2026 Guidance Implied YoY Total Net Revenues 9,949 11,500 - 11,800 15.6% - 18.6% Adjusted EBITDA (1) 2,978 3,550 - 3,750 19.2% - 25.9% Capex 8,240 10,000 - 12,000 21.4% - 45.6% Delivery Plan (MW) 404 450 - 500 11.4% - 23.8% Source: Company data Notes: (1) Adjusted EBI
Slide 19: ESG Initiatives – Commitment to Sustainability
ESG Initiatives – Commitment to Sustainability Commitment to achieve both targets of operational carbon neutrality in Scope 1 and Scope 2 emissions, and 100% renewable energy usage by 2030 Scored 73, and ranked top 7% of the IT services industry globally in the 2025 S&P Corporate Sustainability Asse
Slide 20: Appendix
URSIELS VNET Appendix
Slide 21: Differentiated Business Model with Comprehensive Offerings
Differentiated Business Model with Comprehensive Offerings Managed Hosting Services Cloud Services VPN Services (1) (IDC) • Co-location • Multi-Protocol Label Switching (MPLS) & • Interconnectivity Software-Defined Wide Area Network (SD-WAN) • Hybrid IT Services Solutions • Other Value-added Service
Slide 22: Dual-Core Growth Strategy of IDC Business
Dual-Core Growth Strategy of IDC Business Wholesale Retail Hyperscale IDC Interconnectivity Services Retail Colocation Full-Stack Services Targeting hyperscalers which require huge amount of space and power to Covering large and loyalty customer base across verticals including: financial services, s
Slide 23: Wholesale Capacity in Service – Yangtze River Delta
Wholesale Capacity in Service – Yangtze River Delta Capacity in Service Capacity Utilized Total Capacity Region IDC Code Tenure Utilization Rate (2) Commitment Rate (3) (MW) (MW) Committed (1) (MW) E-JS Campus 01 Phase 1 Owned 28 27 28 95.0% 100.0% E-JS Campus 01 Phase 2 Owned 16 13 16 79.0% 100.0%
Slide 24: Wholesale Capacity in Service – Greater Beijing Area
Wholesale Capacity in Service – Greater Beijing Area Capacity in Service Capacity Utilized Total Capacity Region IDC Code Tenure Utilization Rate (2) Commitment Rate (3) (MW) (MW) Committed (1) (MW) BJ15 Owned 9 0 0 0.0% 0.0% N-HB02 Phase 1 Owned 28 27 28 96.9% 100.0% N-HB Campus 01A Owned 35 6 6 16
Slide 25: Wholesale Capacity Under Construction & Held for Future Development
Wholesale Capacity Under Construction & Held for Future Development Under Construction Capacity under Total Capacity Region IDC Code Tenure Pre-commitment rate (2) Ready for Service Construction (MW) Pre-committed (1) (MW) Yangtze River Delta E-JS Campus 03B Owned 44 44 100.0% 2H26 (1) (2) N-HB Camp
Slide 26: Key P&L Items
Key P&L Items Three months ended Amount in thousands March 31, 2025 December 31, 2025 March 31, 2026 RMB RMB RMB US$ Net revenues 2,246,220 2,687,089 2,691,136 390,133 Cost of revenues (1,680,879) (2,146,705) (2,075,269) (300,851) Gross profit 565,341 540,384 615,867 89,282 Sales and marketing expen
Slide 27: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Three months ended Amount in thousands March 31, 2025 December 31, 2025 March 31, 2026 RMB RMB RMB US$ Gross profit 565,341 540,384 615,867 89,282 Plus: depreciation and amortization 402,399 596,766 595,092 86,270 Plus: share-based compensation expenses 109 507 297 4
Slide 28: Key Balance Sheet Items
Key Balance Sheet Items As of As of Amount in thousands December 31, 2025 March 31, 2026 RMB RMB US$ Cash, cash equivalents and restricted cash 6,201,685 8,080,028 1,171,358 Short-term investments 379,198 718,207 104,118 Accounts and notes receivable, net 2,222,106 2,682,764 388,919 Property and equ
Slide 29: Key Cash Flow Items
Key Cash Flow Items Three months ended Amount in thousands March 31, 2025 December 31, 2025 March 31, 2026 RMB RMB RMB US$ Net cash generated from operating activities 195,713 546,424 173,676 25,178 Net cash used in investing activities (1,884,770) (555,618) (2,218,780) (321,656) Net cash generated
Slide 30: Definitions
Definitions Term Definition IDC business refers to managed hosting services, consisting of the wholesale IDC business and the retail IDC business. Beginning in the first quarter of 2024, our IDC business was IDC Business subdivided into wholesale IDC business and retail IDC business according to the
Slide 31: THANKS!
http://ir.vnet.com THANKS! Email: ir@vnet.com IR Contact: Xinyuan Liu