China's VNET Q2 revenue rises on wholesale growth; signs compute-energy deal with CATL

VNET

18/08/2026 11:09

Overview
China internet data center provider's Q2 revenue rose 14.2% yr/yr, driven by wholesale growth
Adjusted EBITDA for Q2 increased 25.4% yr/yr
Company signed strategic cooperation agreement with CATL to develop integrated compute-energy ecosystems

Outlook
VNET keeps outlook unchanged
VNET expects 2026 net revenues of RMB11.5 bln to RMB11.8 bln
Company sees 2026 adjusted EBITDA of RMB3,550 mln to RMB3,750 mln
VNET expects 2026 capital expenditure of RMB10 bln to RMB12 bln

Result Drivers
WHOLESALE IDC GROWTH - Co said 14.2% yr/yr revenue increase was mainly driven by 29.3% growth in wholesale IDC revenues
CAPACITY EXPANSION - Co said rapid expansion of wholesale capacity and new customer orders supported revenue growth
HIGHER DEPRECIATION - Co said gross profit declined mainly due to increased depreciation costs from rapid capacity expansion

Company press release: ID:nPn94bNF3a

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
 
RMB 2.78 bln
 
Q2 Loss Per Share
 
RMB 0.09
 
Q2 Net Loss
 
RMB 135.60 mln
 
Q2 Adjusted EBITDA
 
RMB 918.30 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for VNET Group, Inc. is $15.10, about 90.7% above its August 17 closing price of $7.92

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)