According to the Zhitong Finance App, Jinshanyun (03896) announced results for the first quarter of 2024. Total revenue reached RMB 1,775.7 billion, a steady increase of 3.1% over the previous month. Gross profit was RMB 293.3 million, a significant increase of 51.0% year over year. Non-GAAP EBITDA was $33.2 million, turning year-on-year and month-on-month losses into profits.

Among them, public cloud service revenue increased 12.9% month-on-month to RMB 1,1887.4 billion. This increase was mainly due to revenue contributions from artificial intelligence customers. Revenue from public cloud services increased 2.9% year over year. The year-on-year increase was mainly due to increased demand for artificial intelligence, and was partially offset by a reduction in the scale of CDN services.

Mr. Zou Tao, CEO of Jinshanyun said, “2024 is an important milestone in our high-quality sustainable development process. Our adjusted EBITDA turned a loss into profit, reaching RMB 33.2 million, which is equivalent to an adjusted EBITDA margin of 1.9%. Our revenue has resumed continuous growth over the past two quarters, and our adjusted gross margin has increased for seven consecutive quarters. Over the past year, we have made good progress in optimizing our business portfolio, seizing artificial intelligence opportunities, investing in cutting-edge technology, and strictly controlling costs and expenses. We have invested several billion yuan in artificial intelligence. This quarter, AI revenue accounted for about 13% of public cloud service revenue, compared to 8% in the previous quarter.”

Mr. He Haijian, Chief Financial Officer of Jinshan Cloud, added, “We are pleased to have achieved growth in terms of both revenue expansion and improved profitability. In the current quarter, our adjusted gross margin was 16.8%, up 6.4 percentage points from 10.4% in the same quarter of 2023; adjusted gross profit was RMB 299.1 million, up 53.8% from RMB 194.4 million in the first quarter of 2023. Adjusted EBITDA turned a loss into a profit, reaching RMB 33.2 million, a significant improvement from the negative RMB 130.5 million in the same quarter of 2023. ”