Kingsoft Cloud has submitted responses to SEC comments regarding its 2023 Annual Report disclosures. The company provided detailed clarifications on the consolidation conditions of its VIE structure under U.S. GAAP, emphasizing how contractual arrangements grant them power to direct VIEs' activities and obligations to absorb losses.The company also expanded its civil liability enforcement disclosures to include Hong Kong jurisdiction, detailing the challenges investors might face in enforcing U.S. court judgments in the Cayman Islands, mainland China, and Hong Kong. The response outlined specific conditions under which foreign judgments may or may not be recognized in these jurisdictions.Regarding financial performance, Kingsoft Cloud disclosed that its public cloud services revenue decreased 18.3% to RMB4,381.7 million in 2023, primarily due to a 30.5% reduction in CDN delivery services. While Public Cloud Service Premium Customers increased from 197 to 214, average revenue per customer declined from RMB26.7 million to RMB20.1 million, partially offset by growth in AI-related customer revenue.

Kingsoft Cloud has submitted responses to SEC comments regarding its 2023 Annual Report disclosures. The company provided detailed clarifications on the consolidation conditions of its VIE structure under U.S. GAAP, emphasizing how contractual arrangements grant them power to direct VIEs' activities and obligations to absorb losses.The company also expanded its civil liability enforcement disclosures to include Hong Kong jurisdiction, detailing the challenges investors might face in enforcing U.S. court judgments in the Cayman Islands, mainland China, and Hong Kong. The response outlined specific conditions under which foreign judgments may or may not be recognized in these jurisdictions.Regarding financial performance, Kingsoft Cloud disclosed that its public cloud services revenue decreased 18.3% to RMB4,381.7 million in 2023, primarily due to a 30.5% reduction in CDN delivery services. While Public Cloud Service Premium Customers increased from 197 to 214, average revenue per customer declined from RMB26.7 million to RMB20.1 million, partially offset by growth in AI-related customer revenue.