- Kingsoft Cloud Holdings Ltd (NASDAQ:KC) reported fourth-quarter FY21 revenue growth of 38.3% year-on-year to $417.4 million, beating the consensus of $408.2 million.
- Revenues from public cloud services rose 12.4% Y/Y to $240.2 million, and enterprise cloud services increased 110.6% Y/Y to $177.1 million.
- EPS loss was $(0.02). Net loss was $(75.7) million, and non-GAAP net loss was $(87.3) million.
- The non-GAAP gross margin contracted 370 bps to 1.2% due to the adverse impact from CDN services. The non-GAAP EBITDA margin loss was (10.5)% versus (0.9)% last year.
- Kingsoft held $1.05 billion in cash and equivalents and generated $5.97 million in operating cash flow.
- CEO Yulin Wang admitted sector-wide demand slowdown from the China internet space negatively affected its public cloud services revenue leading to the down-sizing of CDN services.
- Kingsoft also explores a dual primary listing on the Hong Kong Stock Exchange.
- Outlook: Kingsoft sees Q1 revenue of $328 million - $344 million, above the consensus of $320.8 million.
- Price Action: KC shares traded higher by 1.78% at $6.28 in the premarket session on the last check Thursday.
