Kingdee International Software Group Company Limited released a positive profit alert for the six months ended 30 June 2026, projecting a solid top-line expansion and a swing to profit.
Revenue • Management expects revenue of RMB3.61 – 3.64 billion, up approximately 13%–14% from RMB3.19 billion in the prior-year period. • Performance was underpinned by the company’s “AI-first, Subscription-first, Globalization” strategy, which drove rapid subscription uptake and robust demand for AI-native products.
Profitability • Profit attributable to owners is forecast at RMB40 – 60 million, reversing a RMB98 million loss a year earlier. • On a non-IFRS basis—excluding share-based compensation, associate results, acquisition-related amortisation, fair-value changes, goodwill impairment and related tax effects—adjusted profit is expected at RMB105 – 125 million versus a RMB51 million loss in 1H25. • Management cites subscription economies of scale and AI-driven efficiency gains as key contributors to the earnings turnaround.
Cash Flow • Net cash inflow from operating activities is projected at RMB130 – 150 million, compared with a RMB18 million outflow in the same period last year, reflecting improved working-capital management and stronger operating leverage.
Outlook and Next Steps The figures are preliminary, unaudited and subject to review. The company will release its full interim results in due course. Shareholders and potential investors are advised to exercise caution when dealing in the company’s securities.
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