Kuaishou Technology Class B · HKEX:1024
Kuaishou Technology Class B — Kuaishou Technology B — Q1 2025 Earnings Presentation
34 slides from Kuaishou Technology Class B's earnings presentation, May 27, 2025
Slide 1: 1Q 2025 Management Presentation
1Q 2025 Management Presentation May 2025
Slide 2: Disclaimer
Disclaimer By attending the meeting that includes this presentation, or by reviewing the presentation material, you agree to be subject to the following restrictions: The information involved in this presentation has been prepared by the representatives of Kuaishou Technology (the “Company” and toge
Slide 3: Contents
CONTENTS 1 Overview 2 Business Development 3 Financial Results 4 Environment, Social & Governance (ESG) 5 Appendix 3
Slide 4: 1. Overview
1. Overview
Slide 5: World's 2nd Largest Short Video Platform Driven by AI
1.1 World’s 2nd Largest (1) Short Video Platform Driven by AI Large and highly engaged user community with a new record-high 408 million average DAUs; 134 mins average daily time spent per DAU in Q1 Officially launched Kling AI 2.0, reinforcing its leadership position and accelerating its commercial
Slide 6: Operating Highlights
1.2 Operating Highlights Massive User Base Highly Engaged Community Interactive Platform 408 million 133.8 minutes ~10 billion Average daily time spent per Average daily short video and Average DAUs(1) DAU(1) live streaming interactions(1) (3) 712 million 332.3 RMB billion 39.2 billion Average MAUs(
Slide 7: Robust Revenue Growth and First-Ever Quarter of Overseas Operating Profit
1.3 Robust Revenue Growth and First-Ever Quarter of Overseas Operating Profit • 1Q25 revenues grew by 10.9% YoY to RMB32.6 billion. Other services revenue (including e-commerce) increased by 15.2% YoY in 1Q25. • Adjusted net profit was RMB4.6 billion. Overseas business achieved its first-ever quarte
Slide 8: 2. Business Development
2. Business Development
Slide 9: AI Strategy: A Core Driver Empowering Our Content and Commercial Ecosystem
2.1 AI Strategy: A Core Driver Empowering Our Content and Commercial Ecosystem • Large models have deepened our understanding of content and user interests, enabling precise matching of user demand with content value, and increasing user time spent and activity on our platform. • Integrating AI acro
Slide 10: Kling AI: Global Leading Large Video Generation Model
2.1 Kling AI: Global Leading Large Video Generation Model • Significant upgrade to large video generation model: the launch of Kling AI 2.0 maintains its global leading position in performance, with the introduction of the breakthrough concept of MVL to optimize editing function. • Full refresh to K
Slide 11: Kling AI: Feet on the Ground While Gazing at the Stars
2.1 Kling AI: Feet on the Ground While Gazing at the Stars Expanding User Base Future Outlook for Kling AI Pioneering a New Frontier Video Creation Rapid increase in AI-Generated Video 10,000+ Infrastructure for the AI Era Content Production In King AI’s Kling AI corporate Empowering creators to pro
Slide 12: Setting a New Record in User Community Scale
2.2 Setting a New Record in User Community Scale • In 1Q25, average DAUs increased by 3.6% YoY to 408 million, a new record high; average daily time spent per DAU was 134 minutes; Average MAUs were 712 million, up 2.1% YoY. • Refined user growth strategy to lower user acquisition costs; enriched con
Slide 13: Rich Content Supply, Continuously Optimized Product Features
2.2 Rich Content Supply, Continuously Optimized Product Features • Created a festive online community full of Chinese New Year atmosphere for our over 400 million users with engaging interactive features and an extensive content matrix. • Developed a series of characteristic events to enhance the pe
Slide 14: Enhanced Monetization Efficiency for Online Marketing Services
2.3 Enhanced Monetization Efficiency for Online Marketing Services • In 1Q25, revenue from online marketing services reached RMB 18 billion, up 8.0% YoY, accounting for 55.1% of total revenue. • End-to-end empowerment of online marketing solutions with AI enhanced the conversion efficiency of market
Slide 15: Boosting Marketing Conversion Efficiency with AI-Empowered Online Marketing Solutions
2.3 Boosting Marketing Conversion Efficiency with AI-Empowered Online Marketing Solutions • Our AI platform optimizes end-to-end online marketing solutions — encompassing AIGC for material production, marketing placement smart agent, and large marketing recommendation models — boosting client conver
Slide 16: Solid E-commerce Growth, Three-in-one Business Model
2.4 Solid E-commerce Growth, with Enhanced Three-in-one Business Model Combining Live Streaming, Shopping Mall and Short Video • 1Q25 GMV increased by 15.4% YoY to RMB 332.3 billion; the number of e-commerce monthly active paying users reached 135 million; the number of newly onboarded merchants ros
Slide 17: Continued Prosperity on the Supply and Demand Side of E-commerce
2.4 Continued Prosperity on the Supply and Demand Side of E- commerce Supply side Demand side 30%+ 135 m YoY increase in newly onboarded merchants in 1Q25 Number of monthly active paying users in 1Q25 Merchant development and support: Increased omni-domain user base: • Continued to enhance support f
Slide 18: Live Streaming Sustained Healthy Momentum
2.5 Live Streaming Sustained Healthy Momentum • 1Q25 live streaming revenue returned to its positive growth trajectory, increasing 14.4% YoY to RMB9.8 billion; focused on fostering a healthy, sustainable live-streaming ecosystem propelled by high-quality content. • Refined operations in core categor
Slide 19: Deepened Overseas Penetration, First-ever Quarter of Overseas Operating Profit
2.6 Deepened Overseas Penetration, First-ever Quarter of Overseas Operating Profit • Ongoing optimization of customer acquisition channels has driven DAUs in Brazil to grow steadily; the average daily time spent per DAU continued to grow steadily both YoY and QoQ； • 1Q25 overseas revenues increased
Slide 20: Local Services: Maximized Value-for-Money, Rapid Growth
2.7 Local Services: Maximized Value-for-Money, Rapid Growth in Supply and Demand • Deepened presence and refined operations in lower-tier cities；local services GMV sustained rapid YoY growth in Q1，with over 65% of this growth coming from lower-tier cities；the number of active merchants and available
Slide 21: 3. Financial Results
3. Financial Results
Slide 22: Financial Highlights
3.1 Financial Highlights 1Q25 GPM was 54.6%, adjusted NPM was 14.0%， Overseas segment achieved first-ever quarter of Solid profitability while firmly investing in AI operating profit Repurchased 29.19 million shares this year(1), valued at Total available funds reached RMB 94.0 billion, marking ~HK$
Slide 23: Steady Revenue Growth, GPM Improving QoQ
3.2 Steady Revenue Growth, GPM Improving QoQ • 1Q25 revenues grew by 10.9% YoY, including 55.1% from online marketing services, 30.1% from live streaming and 14.8% from other services (including e-commerce); • In 1Q25, online marketing services revenue grew by 8.0% YoY, live streaming revenue grew b
Slide 24: Steady Growth in Operating Efficiency
3.3 Steady Growth in Operating Efficiency • S&M as a percentage of revenue decreased by 1.5 ppts YoY to 30.4% in 1Q25, primarily attributable to improved operational efficiency; • As the strategy of improving quality and efficiency continued, R&D and administrative expenses decreased QoQ, as a perce
Slide 25: Steady and Healthy Profitability for Domestic Business, First Overseas Operating Profit
3.4 Steady and Healthy Profitability for Domestic Business, First-Ever Quarter of Overseas Operating Profit • 1Q25 Domestic business operating profit grew by 8.9% YoY to RMB4.35 billion. • 1Q25 Overseas business turned from loss to profit, with an operating profit of RMB28 million in Q1, marking its
Slide 26: Continuous YoY Growth in Group-Level Operating Profit and Adjusted Net Profit
3.5 Continuous YoY Growth in Group-Level Operating Profit and Adjusted Net Profit • The group’s operating profit increased by 6.6% YoY to RMB4.26 billion, with a 13.1% margin. • The group’s adjusted net profit grew by 4.4% YoY to RMB4.58 billion, with a 14.0% adjusted net profit margin. Operating Pr
Slide 27: 4. Environment, Social & Governance (ESG)
2.7 AI LLM to Empower More Business Scenarios • For Self-developed LLMs, following the KwaiYii 13 billion and 66 billion models, we focused on developing and training the 175 billion model in Q4, which significantly surpassed GPT-3.5 in overall performance. The overall performance of AI text-to-imag
Slide 28: ESG Recognition
4.1 ESG Recognition Leading ESG Ratings ESG-related Certifications, Awards, and Honors • MSCI ESG Rating Upgraded from “BBB” to 2024 Hong Kong Listed Companies II Research: 2024 Best ESG Program “A” with a Leading Score Among Peers “Award of Excellence in ESG” • Achieved "B" Rating in CDP Climate Da
Slide 29: Regularly Publishes Transparency Reports Across Different Areas
4.2 Regularly Publishes Transparency Reports Across Different Areas, Ensuring Compliant, Transparent Operations Public release of reports on intellectual property, minor protection, and anti- Public Release of Policies on Information Security, Supplier Management, fraud governance, serving as indust
Slide 30: 5. Appendix
5. Appendix
Slide 31: Income Statement
Income Statement RMB million 2025Q1 % of revenue 2024Q4 % of revenue 2024Q1 % of revenue YoY change QoQ change Revenues 32,608 100.0% 35,384 100.0% 29,408 100.0% 10.9% (7.8%) Cost of revenues (14,816) (45.4%) (16,261) (46.0%) (13,288) (45.2%) 11.5% (8.9%) Gross profit 17,792 54.6% 19,123 54.0% 16,12
Slide 32: Adjusted Net Profit and Adjusted EBITDA
Adjusted Net Profit and Adjusted EBITDA RMB million 2025Q1 2024Q4 2024Q1 Profit for the period 3,979 3,974 4,120 Add: SBC 604 636 292 Net fair value changes on investments (3) 91 (24) Adjusted net profit 4,580 4,701 4,388 Adjusted net profit margin 14.0% 13.3% 14.9% Adjusted net profit 4,580 4,701 4
Slide 33: Balance Sheet
Balance Sheet March 31, December 31, March 31, December 31, RMB million RMB million 2025 2024 2025 2024 ASSETS EQUITY AND LIABILITIES Non-current assets Share capital - - Share premium 268,159 268,733 Property and equipment 16,139 14,831 Treasury shares (707) (341) Right-of-use assets 8,061 8,891 Ot
Slide 34: Thank you!
IR Contacts Thank you! Kuaishou Technology Investor Relations Email: ir@kuaishou.com
Kuaishou Technology B — Q1 2025 Earnings Presentation on 6ix