Kingdee International Announces FY2025 Interim Results

(August 11, 2025) Kingdee International Software Group Company Limited (“Kingdee International”, “Kingdee” or the “Company”; Stock Code: 268.HK) today announced the unaudited condensed consolidated interim results of the Company and its subsidiaries (the “Group”) for the six months ended June 30, 2025 (the “Reporting Period”).

During the Reporting Period, the Group continued to advance its “Subscription First” strategy, achieving revenue of approximately RMB3,192 million, representing a year-on-year increase of approximately 11.2%. Cloud services revenue was approximately RMB 2,673 million, representing a year-on-year i ncrease of approximately 11.9%. Cloud subscription revenue reached approximately RMB1,684 million up 22.1% year-on-year. Gross profit margin improved by 2.4 percentage points to approximately 65.6%. The loss attributable to owners of the Company narrowed to approximately RMB98 million, representing a year-on-year reduction of approximately 55.1%. Annual recurring revenue (ARR) from Kingdee’s cloud subscription services reached approximately RMB3.73 billion, marking a year-on-year increase of approximately 18.5%. Contract liabilities related to cloud subscription services also increased approximately by 24.7% year-on-year.

As a global leader in enterprise management cloud SaaS, Kingdee continued to gain strong industry recognition across multiple sectors. According to the latest enterprise application market tracking report released by IDC, Kingdee ranked No. 1 in China across several segments, including SaaS ERP, Financial Cloud, Financial & Accounting Application Cloud, Treasury Management Cloud, EPM, Tax, and PLM Cloud. It has also maintained the No. 1 market share in IDC China’s growing enterprise application software segment for 21 consecutive years. In addition, Kingdee became the first and only Chinese vendor listed in Gartner’s Market Guide for Discrete Manufacturing PLM Software. In Gartner’s report on high-productivity aPaaS, Kingdee ranked first in China and was the only Asia-Pacific vendor among the global top 10. Kingdee was also named among the Top 10 Generative AI Model Vendors in the China market by Gartner, and remains the only Chinese enterprise management software vendor included in Gartner’s report on AI Code Assistants. Furthermore, Kingdee was honored with the First Prize of the Wu Wenjun Artificial Intelligence Science and Technology Award, the highest accolade in China’s AI sector, underscoring the Group’s outstanding capabilities in AI-driven technological innovation.

(1)Cloud Subscriptions Leading the Industry with Continued High-Quality Growth

Kingdee Cloud Cosmic and Kingdee Cloud Constellation have become the preferred choices for numerous SOEs and Fortune 500 companies, achieving significant breakthroughs in key areas such as high-value domestic substitution in the large enterprise market, dual-layer ERP for group enterprises, and penetrative supervision and treasury management for central SOEs. During the period, 304 new customers were signed, including leading enterprises such as Geely Holding, Mengniu Group, Moutai Tech Development, China Meheco Group, China Paper, Jianlibao, and Longxin Mining. Key projects including AirChina Group, Dongfeng Motor, Yunnan Energy Investment, and Shanxi Coking Coal were successfully implemented, assisting customers in building world-class management systems. During the Reporting Period, Kingdee Cloud Cosmic and Kingdee Cloud Constellation together recorded revenue of approximately RMB845 million, representing a year-on-year increase of approximately 34.3%. Among this, cloud subscription revenue was approximately RMB276 million, up approximately 41.1% year-on-year. The Net Dollar Retention rate (NDR) was 108%.

Kingdee Cloud Galaxy continued to lead the growing enterprise market, serving over 46,000 customers, representing a year-on-year increase of approximately 9.5%. Newly signed customers included national and provincial-level “Little Giant” enterprises and industry leaders such as Hytera, Lao Pu Gold, Tsingteng Micro, Zelos Technology , Sechi Technologies, and Fourier Intelligence. During the period, Kingdee Cloud Galaxy recorded cloud subscription revenue of approximately RMB740 million, representing a year-on-year growth of approximately 19.0%. The Net Dollar Retention rate (NDR) was 94%.

Kingdee Cloud Stellar and Kingdee Jingdou Cloud maintained rapid growth, with the number of customers reaching 85,000 and 386,000 respectively, representing year-on-year growth of 35.1% and 15.0%, further consolidating their leadership in the SME market. The combined cloud subscription revenue from SME products amounted to approximately RMB537 million, representing a year-on-year increase of approximately 23.8%. The Net Dollar Retention rates (NDR) of Kingdee Cloud Stellar and Kingdee Jingdou Cloud were 93% and 88%, respectively.

(2)AI-Driven Technological Innovation Accelerating Scenario-Based Deployment of Intelligent Agents

Guided by the “AI First” strategy, Kingdee has continued to deeply embed AI technologies across all its SaaS products, services, and operational processes, reconstructing enterprise management through AI. During the Reporting Period, AI contract value exceeded RMB150 million. The Group launched the Cosmic AI Agent Platform 2.0, along with a series of native AI agents such as GoldenKey Financial Report Assistant, ChatBI (Conversational Data Intelligence Agent), Travel Assistant, Recruitment Agent, BOSS Assistant, and Quotation Agent. Key clients such as Hisense Group, Tongwei, China Jinmao, and CRRC Tangshan signed up to explore the deep integration of AI with core business operations.

Notably, Kingdee and HBIS Group jointly established the “AI + Management Innovation Center” to develop an intelligent management platform, accelerating the company’s transition to an intelligent management model characterized by real-time perception, smart decision-making, and precise execution. BTMT adopted the “BOSS Assistant + Indicator Platform” AI suite from Kingdee Cloud Galaxy to build a new data-driven + intelligent decision-making model based on the Amoeba Management concept. The system enabled real-time identification of root causes behind operational anomalies, reducing diagnostic time from 2–3 person-days to instant insights, thereby doubling decision-making efficiency.

Kingdee AI Assistant for SME has reached an active user base of 170,000 enterprises. Kingdee Cloud Stellar launched AI-powered tax and financial applications, helping thousands of SMEs improve overall bookkeeping efficiency by 80%, invoicing efficiency by 40%, and tax filing efficiency by 60%.

Furthermore, Kingdee strengthened AI collaboration with strategic partners such as Volcano Engine, Alibaba Cloud, and Huawei Cloud to enhance R&D efficiency and large model inference performance, jointly creating applied AI use cases.

(3)Accelerating Global Expansion and Building an Overseas Ecosystem of Partners

Kingdee actively advanced its globalization strategy during the Reporting Period, with strong expansion into overseas markets such as Southeast Asia and the Middle East. Kingdee Cloud Galaxy signed 259 customers which are Chinese enterprises going global and local overseas companies, including Amlogic, UGREEN, SKYWIN Energy, and PT WALSIN EVERISING, spanning industries such as modern services, equipment manufacturing, and electronic high-tech. Notably, Kingdee provided Singapore-based enterprise SKYWIN with a digital foundation tailored to the bulk commodity trading industry, enabling full-process collaboration between spot and futures transactions, intelligent monitoring and early warning, and centralized global cash management. Kingdee has added localized financial & tax applications and language packages for regions and countries including Singapore, Vietnam and Middle East. At the same time, Kingdee introduced global banking partners including Standard Chartered, HSBC, and Deutsche Bank to deepen cooperation in intelligent treasury services, cross-border payments, and fintech innovation, empowering Chinese enterprises in their globalization journey.

Mr. Xu Shaochun, Chairman of the Board and CEO of Kingdee, stated that AI+SaaS is reshaping the industry landscape, unlocking unprecedented possibilities in enterprise management, and injecting strong growth momentum into Kingdee. Looking ahead, the Group will move forward with greater confidence, remaining firmly committed to its core strategies of “AI First, Subscription First, and Globalization.” By integrating AI technologies with management intelligence, Kingdee aspires to empower every enterprise and individual around the world, driving the global rise of Chinese management models. The Group is firmly on track to becoming a globally leading enterprise management AI company by 2030.