Kingsoft Corporation Limited (HKEx: 03888) reported a 284% year-over-year increase in profit attributable to owners of the parent, reaching RMB 1,091.3 million for the first quarter ended March 31, 2026. The surge was driven by strong performance in the office software and services segment, which saw revenue rise 24% to RMB 1,613.2 million, accounting for 67% of total revenue of RMB 2,416.7 million.
The company's chairman, Mr. Jun LEI, attributed the growth to the strategic focus on 'AI, Collaboration, and Internationalization' within the Kingsoft Office Group. The continued enhancement of AI features effectively drove growth in WPS AI monthly active users, conversion rates, and average revenue per paying user. The WPS 365 business also expanded its coverage among private enterprises and local state-owned enterprises, with increasing orders from large-scale customers. Additionally, demand for localization in the WPS software business grew, as government AI products were refined and rolled out across departments to support digital and intelligent transformation.
In contrast, the online games and others segment recorded revenue of RMB 803.5 million, a 22% decline year-over year, primarily due to decreased revenue from existing games. However, new game Goose Goose Duck, released in January, focused on growing its user base and is still in the early monetization stage. The classic JX3 Online maintained a stable active user base, with innovative in-game events and an expansion pack released in April. The company continues to invest in R&D to enhance game quality and consolidate its core user ecosystem.
CEO Mr. Tao ZOU noted that the group recorded a 3% year-on-year increase in total revenue. Gross profit rose 1% to RMB 1,929.9 million. Basic earnings per share for the quarter were RMB 0.79, up from RMB 0.21 in the same period last year.
Looking ahead, Kingsoft Office Group plans to deepen its AI capabilities layout, focus on the implementation of Agent products, and empower intelligent office scenarios through WPS 365 while advancing international expansion. The online games business will strengthen R&D investment in core games and leverage AI to enhance content creation, aiming to provide players with a high-quality gaming experience.
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