Kingsoft Corporation Limited (HKEx: 03888) announced its unaudited first-quarter results for the three months ended March 31, 2026, revealing a 284% year-on-year surge in profit attributable to owners of the parent, reaching RMB1.09 billion. The company’s total revenue increased 3% year-on-year to RMB2.42 billion, with the office software and services segment contributing 67% of total revenue, up 24% to RMB1.61 billion.
The growth in office software was primarily driven by the continued enhancement of AI features, which effectively boosted monthly active users, conversion rates, and average revenue per paying user for the WPS individual business. The WPS 365 business expanded its coverage of private and local state-owned enterprises, while orders from large-scale customers increased. In the WPS software business, government AI products were rolled out across government departments, supporting digital and intelligent transformation.
Chairman Jun Lei commented, “Kingsoft Office Group continued to deepen its core strategy of ‘AI, Collaboration, and Internationalization,’ and steadily advanced the implementation of AI service capabilities across office scenarios.”
In contrast, revenue from online games and other businesses declined 22% year-on-year to RMB803.5 million, primarily due to decreased revenue from existing games. However, new game Goose Goose Duck, released in January, focused on growing its user base and is still in early monetization. The classic JX3 Online maintained a stable active user base, with innovative events during the Spring Festival and Lantern Festival, and an expansion pack released in April. The flagship version completed graphics quality optimization and advanced gameplay iteration.
CEO Tao Zou noted, “After release in January, Goose Goose Duck has focused on growing its user base, and is still in the early monetization stage.”
Gross profit for the quarter increased 1% to RMB1.93 billion, while operating profit was RMB395.3 million, down from RMB601.5 million in the same period last year. Basic earnings per share were RMB0.79, compared to RMB0.21 a year ago.
Looking ahead, Kingsoft plans to continue deepening its AI capabilities, focusing on Agent products and empowering intelligent office scenarios through WPS 365. The online games business will increase R&D investment in core games and leverage AI to enhance content creation. For more details, visit http://www.kingsoft.com.
The results underscore the growing importance of AI in driving business growth for Chinese software companies, as Kingsoft’s office segment outperforms amid a challenging gaming environment.
