Kingsoft Cloud Holdings (NASDAQ:KC) Posts Mixed Q3 2025 Results, Beats on EPS but Misses on Revenue

Kingsoft Cloud Holdings Limited (NASDAQ:KC), a prominent cloud service provider in China, has released its unaudited financial results for the third quarter of 2025. The earnings report reveals a mixed performance, with the company beating earnings per share estimates but falling short on revenue expectations. The market's immediate reaction appears to reflect this duality.

Earnings and Revenue Performance

The company's third-quarter financial results present a clear divergence between its profitability and top-line growth.

• Earnings Per Share (Non-GAAP): Kingsoft Cloud reported a profit of $0.14 per share. This figure significantly surpassed analyst expectations, which had projected a loss of $0.74 per share.
• Revenue: The company posted revenue of 2.48 billion for the quarter. This result came in slightly below the analyst consensus estimate of 2.53 billion.

The positive EPS surprise indicates effective cost management or other income streams that drove profitability beyond forecasts. However, the revenue miss suggests that top-line growth may be facing headwinds or progressing slower than the market anticipated.

Market Reaction

The initial market response to the earnings release has been negative. In pre-market trading, the stock is down approximately 1.11%. This price action suggests that investors are focusing more heavily on the revenue shortfall than on the unexpected profit. Short-term performance metrics show a stock that has been relatively stagnant, with a slight gain of 3.66% over the past two weeks being offset by a minor loss of 3.11% over the past month. The immediate sell-off indicates that the failure to meet sales targets is the dominant narrative for traders following the earnings announcement.

Press Release Summary

The company's press release served primarily to announce the unaudited financial results for the quarter ending September 30, 2025. It reaffirmed Kingsoft Cloud's position as a leading cloud service provider in China. The release did not include a specific financial outlook or guidance for the upcoming quarters, focusing instead on the historical results of Q3 2025.

Analyst Outlook and Future Estimates

With no company-provided guidance in the press release, investor attention will turn to existing analyst projections for future performance. Current estimates for the next quarter and full year present a challenging picture.

• Q4 2025 Estimates:
  • Estimated Revenue Growth: -48.46%
  • Estimated Sales: 2.85 billion
• Full-Year 2025 Estimates:
  • Estimated Revenue Growth: -310.90%
  • Estimated Sales: 9.76 billion

These projections indicate that analysts anticipate significant revenue contraction in the near term. The market's tepid reaction to the Q3 earnings may also be factoring in this pessimistic forward-looking view from the analyst community.

For a detailed breakdown of historical earnings, future estimates, and analyst ratings, you can review the data available on the Kingsoft Cloud earnings and estimates page.

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Disclaimer: This article is for informational purposes only and does not constitute investment advice, financial analysis, or a recommendation to buy or sell any security. The information presented should not be used as the sole basis for making any investment decisions.