ZKH GROUP LTD (NYSE:ZKH) Misses Q2 2025 Revenue and EPS Estimates

ZKH Group Ltd (NYSE:ZKH) reported second-quarter 2025 financial results that fell short of analyst expectations on both revenue and earnings per share, contributing to a notable pre-market reaction. The company, a business-to-business industrial products trading platform based in Shanghai, posted revenue of 2.17 billion yuan, slightly below the consensus estimate of 2.19 billion yuan. More significantly, the reported loss per share came in at -0.215 yuan, compared to the anticipated -0.202 yuan, reflecting a wider-than-expected loss.

The market response was immediate and telling, with shares rising over 3% in pre-market trading. This upward movement suggests investors may be looking beyond the headline misses and focusing on other positive aspects of the report or broader market conditions affecting the stock.

Key Financial Performance Metrics

The quarterly results reveal several important data points for investors to consider:

• Revenue of 2.17 billion yuan represented a marginal miss of approximately 0.8% against analyst projections
• The earnings per share figure of -0.215 yuan exceeded the estimated loss by roughly 6.6%, indicating higher costs or lower margins than anticipated
• The company's performance must be viewed in the context of its recent trading patterns, with the stock showing minimal movement over the past week but declining approximately 4.2% over the past month

Press Release Highlights

According to the company's announcement, ZKH continues to position itself as a leading maintenance, repair, and operations procurement service platform in China. The unaudited results for the quarter ended June 30, 2025, were released without specific forward guidance, which is neither unusual nor particularly concerning for companies at this stage of their development cycle. The absence of explicit guidance means investors must rely on analyst projections for future performance benchmarks.

Market Context and Outlook

Analyst estimates provide some framework for evaluating ZKH's trajectory beyond the current quarter. For the third quarter of 2025, revenue is projected at 2.75 billion yuan with an expected loss per share of -0.192 yuan. Full-year 2025 estimates anticipate revenue of 9.79 billion yuan and a per-share loss of -0.141 yuan. These projections will serve as important reference points as the company continues to execute its business strategy in the competitive MRO procurement space.

The pre-market price movement following the earnings release suggests that while the company missed expectations, investors may be focusing on other factors such as growth potential, market position, or operational improvements that weren't fully captured in the quarterly numbers. This reaction underscores the complex nature of how markets digest earnings information, where expectations, actual results, and future prospects all contribute to price discovery.

For more detailed earnings information and analyst estimates, readers can review additional data at the ZKH earnings and estimates page.

This article provides financial information for educational purposes only and should not be construed as investment advice or a recommendation to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making investment decisions.