KINGSOFT (03888) released its interim results, reporting a net profit attributable to shareholders of 1.639 billion yuan, a year-on-year increase of 100.81%.

KINGSOFT (03888) announced its financial results for the three and six months ended June 30, 2026. In the second quarter of 2026, the group achieved a revenue of RMB 2.51 billion, a year-on-year increase of 8.8%; profit attributable to owners of the parent was RMB 548 million, a year-on-year increase of 2.92%; earnings per share were RMB 0.4. In the first half of 2026, the group recorded a revenue of RMB 4.927 billion, a year-on-year increase of 6.06%; profit attributable to owners of the parent was RMB 1.639 billion, a year-on-year increase of 100.81%; earnings per share were RMB 1.19. In this quarter, WPS personal business revenue reached RMB 1.039 billion, a year-on-year increase of 17%. In terms of the domestic market, as of June 2026, the cumulative number of annual paid individual users reached 48.25 million, a year-on-year increase of 15%. The group continues to enhance its AI capabilities and integrate them with WPS Office components, further improving user productivity and experience. AI capabilities are gradually becoming a significant driver of paid conversion and user value enhancement for individual users. In the overseas market, WPS Office launched two major features: end-to-end cloud integration for cross-device synchronization and an AI-embedded document assistant. The end-to-end cloud integration achieves seamless connectivity across devices, while the AI assistant integrates full-text translation, spell checking, and intelligent polishing, supporting translation across more than 100 languages, thus accelerating the expansion of AI services among overseas users. In the first half of 2026, revenue from the office software and services business was RMB 3.313 billion, a 25% increase compared to the same period last year. Its key business segments grew at different rates. The steady growth of WPS personal business is mainly due to enhanced AI capabilities, further improving user experience and product value, driving an increase in the paid conversion rate. The robust growth of WPS 365 business is mainly attributed to the ongoing upgrades of AI-driven products and the widespread application of AI capabilities in corporate business scenarios. The growth of WPS software business is mainly benefited from the continual release of demand for domestic innovation and the further implementation of digital and intelligent solutions among government and enterprise clients. In the first half of 2026, research and development costs totaled RMB 1.873 billion, a year-on-year increase of 11%. This increase is primarily due to the rise in the number of employees in the office software and services business, reflecting its strategic investment in technology and product innovation.