Cheetah Mobile Inc. Q4 FY2025 earnings call

• 2025 saw total revenue grow 43% yoy, with AI and others accounting for half of total revenues in Q4. Achieved four-year non-GAAP operating profitability.
• Internet business remained resilient, generating approx RMB 460,000 in adjusted operating profit per working day.
• Robotics is a key structural growth, with 2025 robotics revenue up 31%, Q4 robotics revenue 60 million RMB, up 94% yoy and 43% qoq. Voice robots in China had 100% yoy growth for three consecutive quarters. Introduced new version of voice robots with built-in skills. Smart wheelchair for developed regions introduced, with framework agreements signed and initial shipments expected in 2026 Q2.
• Internet business built utility applications serving hundreds of millions of users, focused on turning AI capabilities into practical tools. Introduced EasyClaw and is building EasyQL into an agentic operating system.
• Global DNA is a core competitive advantage, with continued expansion of AI tools and robotics businesses internationally.

In 2025, total revenue grew 43% year over year. Internet business revenue increased 19% to $615 million, contributing 65% of segment revenue, generating approximately RMB 115 million in adjusted operating profit in 2025. AI and other segments revenue increased 85% to $535 million, accounting for 46.5% of total revenue, with robotics making up 27% of this segment's revenue and 13% of total revenue. Robotics revenue grew 31% in 2025, with voice robots in China achieving 100% year-over-year growth for three consecutive quarters, and robotics revenue in the fourth quarter reaching about 60 million RMB, up 94% year-over-year and 43% quarter-over-quarter.

• No specific financial guidance for 2026 provided.
• Robotics business expected to maintain strong growth momentum as commercial validation deepens.
• AI-enabled products to gradually enhance engagement and monetization efficiency across software ecosystem.
• Will increasingly apply AI internally to accelerate development and improve operational efficiency.

Q: The company has been moving in the direction of AI agents for a long time...

A: Thomas answered about AI Agents layout in 2025, launched 元气 AI Bot, Open Cloud-related products, has user group, EZCloud has unique places in vertical industry solutions, positioning EZCloud as an AI agent...

Q: In the long run, in the execution chain of AI Agents, which layer is more likely to focus on the sustainable economic value...

A: Answered about economic value concentration in different layers, company's EZCloud is in application layer, will stick to independent development path but not exclude cooperation in super platform ecosystem...

Q: The company has achieved a very good performance in 2025. I mainly want to know about the users and use cases of our EZCloud product...

A: Answered that token usage is core measurement indicator, token usage has increased a lot since Spring Festival, user activity of EZCloud is significantly higher than past tools...

Q: About the robot business, we are currently growing very fast. Robot currency business is already experiencing profit. So we would like to ask the company, from the overall perspective, what is the profit path of the robot business in the next one to two years...

A: Answered about robot business profit path, focusing on voice-to-speech robots in commercial scenarios, machine currency growth in overseas market, smart wheelchair product with framework agreements and expected commercialization in 2026 Q2, overall investment period still in investment period but income expected to continue grow...

Q: The company has clearly achieved an improvement in operating efficiency in 2025. The company also mentioned increasing the development and operation efficiency in the internal wide application AI. I would like to ask the management team if they can share whether the AI in the internal application has brought an improvement in efficiency that can be quantified...

A: Answered that average age of all employees decreased since AI application, R&D cost dropped and efficiency improved, EZCloud launch and robot field projects based on AI internal promotion...

Q: I would like to talk about the commercialization of EZCloud...

A: Answered that EZCloud commercialization is natural model based on token consumption, cooperated with various model manufacturers, both domestic and international versions, users willing to pay for efficiency improvement...

Q: I see that the company is doing very well in its overseas business. Your robot and EasyCloud are expanding to the overseas market. I would like to ask, Have these businesses formed a more realistic effect? If we look at it further, is the company more inclined to use a single product to break through, or does it want to build up a multi-product ecosystem...

A: Answered that integrating all services into Easy Cloud, aiming at different users with customization and individualization to form ecosystem in future, single point will build different agents and skills for different users...

Q: The company's income in 2025 is called 24 years to achieve an accelerated growth. I would like to ask if this trend has a feasibility in 26 years and what are the driving factors behind this core? The second question is, in terms of business, the robot business is a focus of attention in the current market. Can you ask the management to take a closer look at what the main source of the robot's income growth in 2026 will be? Will it be like the volume of cloud robots or these B products, or will there be some new application scenarios or new product expansion? The last question is also about voice robots, because voice robots have already landed in China relatively quickly. Will the overseas market in the future be able to have this kind of copy or scale-up of an entry? How is the current progress of the company's expansion overseas?

A: Thomas answered about 2025 revenue growth feasibility in 2026, business combination is healthy with new business contribution improving. Main sources of robot income growth in 2026 include steady robot coin business, scale-up deployment of domestic voice-over robots and new product Xiaomi Live, commercialization of smart wheelchair product with framework agreement. Voice robots in overseas market are making attempts in high-end retail scenarios to expand customers and bring new business growth...

Q: We can see that since the third quarter, the company has started to make profit in consecutive quarters, and then the whole year has also achieved profit. I would like to ask the management to look at whether we have confidence in the trend of continuing to profit in the quarter and the whole year in 2026. I have a small question就是考虑到公司在Easy Cloud等AI Agent方面仍在加大投入 行业也处于一个早期阶段 竞争比较激烈 管理层如何在持续投入与盈利能力之间做平衡 能不能给我们分享一个具体的框架 比如说在当前阶段 我们公司是更优先考虑利润率 收入增长还是市场份额...

A: Thomas answered that 2026 important management goal is to make business discipline and investment output efficiency core, promote business development with reasonable rhythm, not pursue large-scale pre-investment without discipline, ETH Cloud follows mature new business optimization and investment methods, funding configuration tends to use profits and cash flow from existing businesses to support new businesses...

Q: We see that the income and profits of the company's entire Internet business in the fourth quarter are significantly better than expected. The operating margin also increased by about 30% from last year. We see that the profitability has been significantly improved. Based on the data that has already been distributed, we would like to know how the management team will further promote the value of Internet business in the company as a whole...

A: Answered that Internet business continues to be stable profit and cash flow source, provides solid foundation for overall business, its value still has room to be recognized by market, core judgment is to maintain open attitude and focus on business development...