China's Weimob H1 loss widens, hit by share-based compensation and tax

Weimob

18/08/2026 10:20

Overview
China SaaS and AI marketing platform's interim revenue rose 12.1% yr/yr for first half 2026
Net loss attributable widened for the period, impacted by share-based compensation and amortization
Adjusted EBITDA declined 8.2% yr/yr, adjusted net profit fell 34.2%

Outlook
Company did not provide specific financial guidance for the current or future periods

Result Drivers
SHARE-BASED COMPENSATION – Loss widened to RMB181.6 mln from RMB47.2 mln, primarily reflecting RMB109 mln in share-based compensation and RMB41 mln of tax effects
AI APPLICATION GROWTH - Co attributed 89.2% yr/yr surge in AI Application revenue to product optimization and new launches
TARGETED MARKETING EFFICIENCY - Improved operational efficiency and reduction of low-margin businesses drove Targeted Marketing segment revenue up 20.9% yr/yr
INCREASED COSTS - Gross profit margin fell as rapid growth in AI Application business led to higher costs

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
RMB 869.40 mln
 
H1 Net Loss Attributable
 
RMB 157.20 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy"
Wall Street's median 12-month price target for Weimob Inc is HK$2.33, about 82.7% above its August 17 closing price of HK$1.28
The stock recently traded at 37 times the next 12-month earnings vs. a P/E of 33 three months ago

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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.)