Kingdee stock reports 13.6 percent revenue growth in H1 2026

Published on 10/07/2026 at 06:54 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Kingdee stock delivered 189.0 percent AI-native revenue growth in the first half of 2026. Adjusted profit reached CNY 116 million as margins improved.

Kingdee, KYG525681477, Illustration mit AI erstellt.

Kingdee stock (ISIN KYG525681477) is anchored by first-half revenue growth of 13.6 percent to CNY 3.625 billion. In its August 11, 2026 release, Kingdee reported a sharper increase in AI-native product revenue and a return to positive earnings for the period.

AI revenue leads the recovery

AI-native product revenue rose 189.0 percent year over year to CNY 296 million in the six months ended June 30, 2026, according to Kingdee. Cloud services generated CNY 3.116 billion, equal to 86.0 percent of group revenue, while subscription revenue increased 20.4 percent to CNY 2.028 billion.

The recurring-revenue picture also strengthened. Annual recurring revenue reached CNY 4.413 billion, up 18.3 percent, and gross profit increased 17.2 percent to CNY 2.456 billion as the gross margin rose to 67.7 percent, the company said in the same release.

Profit turns positive

Kingdee reported profit attributable to owners of CNY 54 million for the first half, compared with a loss in the prior-year period. Adjusted profit attributable to owners reached CNY 116 million, while operating cash inflow was CNY 142 million, according to Kingdee.

The figures explain why analysts continue to focus on cloud subscription scale rather than legacy license sales. They also show the remaining valuation sensitivity: stronger AI adoption is improving growth and margins, but the market still needs sustained earnings conversion to support higher multiples.

Analyst targets reset lower

According to MarketScreener, Nomura cut its Kingdee price target to HKD 11.87 from HKD 18.49 on August 14, 2026, while keeping a Buy rating. The same page lists a Buy consensus from 17 analysts and an average target of HKD 11.57.

That consensus target stands 58.2 percent above the HKD 7.315 reference price, a gap that reflects both the expected cloud expansion and the execution risk attached to the transition. For investors, subscription growth, AI monetization and reported cash generation are the three operating figures most closely tied to that valuation debate.

Kingdee stock holds at HKD 7.315

Kingdee stock was trading at HKD 7.315 on HKEX on October 7, 2026, at 11:55 a.m. HKT, with a daily change of 0.000 percent. The primary listing is Hong Kong ticker 0268.