Kingsoft Cloud Holdings (NASDAQ:KC), an independent cloud service provider in China, announced its unaudited financial results for the fourth quarter and full year ended December 31, 2025, on March 25, 2026.
For the fourth quarter of 2025, Kingsoft Cloud reported total revenue of RMB2,761.4 million, representing a 23.7% increase compared to the fourth quarter of 2024.
This growth was primarily fueled by the public cloud segment, which saw revenues climb 34.9% to RMB1,902.4 million.
Most notably, the company’s AI-related business reached a critical milestone, with AI gross billing surging 95% year-over-year to RMB926 million.
The shift in product mix toward higher-value AI and public cloud services contributed to a substantial rise in non-GAAP earnings.
Adjusted EBITDA for the quarter reached RMB785.2 million, a 118.3% increase from the prior-year period, representing an adjusted EBITDA margin of 28.4%.
On a non-GAAP basis, the company achieved an operating profit of RMB54.6 million for the quarter.
However, the company’s aggressive investment in next-generation infrastructure impacted its GAAP figures.
Depreciation expenses rose materially during the quarter, driven by the acquisition of specialized AI servers.
This increase in depreciation put downward pressure on GAAP gross margins even as the core business reached new heights in operational efficiency.
Elsewhere, Kingsoft Cloud maintained a strong liquidity position to support its 2026 expansion plans, ending the year with cash and cash equivalents of RMB6,018.0 million.