On May 30, GLONGHUI (VNET.US) announced unaudited financial results for the first quarter of 2024. Revenue for the first quarter of 2024 reached RMB 1.9 billion (US$262.9 million), compared to RMB 1.81 billion for the same period in 2023. IDC's net revenue reached RMB 1.28 billion (US$177.9 million), compared to RMB 1.22 billion for the same period in 2023.

“2024 started well, thanks to our continued implementation of a dual-core, high-quality development strategy in the first quarter,” said Josh Sheng Chen, founder, co-chairman and interim CEO of VNET. “We won bids from new and existing customers, and captured growing demand driven by artificial intelligence from all walks of life, and the IDC business gained strong momentum. It's worth mentioning that we received a new order of around 15MW from one of our existing customers, which we plan to complete within 2024. In terms of IDC's wholesale business, by the end of the first quarter, the capacity in use reached 332 MW, and the utilization rate increased to 71.0%. Looking ahead, we will continue to drive qualitative growth while driving the development of China's digital economy with reliable IDC services, high power density deployment capabilities, and a loyal and expanding customer base.”

Qiyu Wang, Chief Financial Officer of VNet, commented, “We began 2024 with solid first quarter results. Our revenue in the first quarter increased 5.1% year over year to RMB 1.9 billion, mainly driven by a 59.1% year-on-year increase in wholesale revenue. By 2024, our focus will remain on high-quality growth and seizing A! The boom brings market opportunities while providing sustainable long-term value to our stakeholders.”