Z.ai Revenue Soars 400% as Cloud Services Drive Growth
Z.ai, a Chinese artificial intelligence firm, announced a remarkable 400% increase in revenue for the first half of the year, fueled by significant growth in its cloud deployment services. For the six months ending June 30, revenue soared to 953.89 million yuan (US$142 million), rising from 724.3 million yuan the previous year. Specifically, cloud deployment services experienced a staggering 2,736% year-over-year growth, reaching 825 million yuan, up from 29 million yuan. Although total losses decreased by 12.1% to 2.07 billion yuan, the adjusted net loss rose by 12.1% to 1.96 billion yuan. On Monday, shares of Z.ai, listed in Hong Kong, climbed 9.63% to HK$1,195, despite being down approximately 60% from a peak of HK$2,980 in June, when its market cap neared HK$1 trillion (US$127.5 billion). Bloomberg analysts project a 514% increase in full-year sales from last year's 724.3 million yuan.
Key facts
- Z.ai first-half revenue rose 400% to 953.89 million yuan (US$142 million).
- Cloud-based deployment services revenue jumped 2,736% year on year to 825 million yuan.
- Total loss narrowed 12.1% to 2.07 billion yuan for the six months ended June 30.
- Adjusted net loss increased 12.1% to 1.96 billion yuan.
- Shares closed up 9.63% at HK$1,195 on Monday.
- Stock is down about 60% from record high of HK$2,980 reached in June.
- Market capitalization briefly approached HK$1 trillion (US$127.5 billion) in June.
- Analysts expect full-year sales to expand 514% from last year's 724.3 million yuan.
Entities
Institutions
- Z.ai
- Bloomberg
Locations
- China
- Hong Kong