NASDAQ$VNET

VNET Group Inc · Q2 2025 earnings

Q2 2025 earnings · · Before market open · Investor relations

Briefing

VNET wholesale IDC boom drives 22% revenue growth but higher interest costs swing to net loss

VNET Group reported Q2 2025 results on August 21 with total net revenue of RMB2.43 billion ($339.8 million), up 22.1% year over year, led by wholesale IDC revenue surging 112.5% to RMB854.1 million as in-service capacity reached 674MW (+101MW QoQ). Adjusted EBITDA grew 27.7% to RMB732.5 million with a 30.1% margin. Despite strong operating metrics, VNET swung to a net loss attributable to shareholders of RMB11.9 million from RMB63.7 million profit a year ago, primarily due to higher interest expense and taxes. Management reaffirmed 2025 revenue guidance of RMB9.15–9.35 billion and adjusted EBITDA of RMB2.76–2.82 billion.

  • Q2 revenue of RMB2.43B (+22.1% YoY); wholesale IDC revenue up 112.5% to RMB854.1M.
  • Wholesale capacity in service reached 674MW (+101MW QoQ); utilized capacity 511MW (+74MW QoQ).
  • Adjusted EBITDA of RMB732.5M (+27.7% YoY) at 30.1% margin; adjusted cash gross margin 43.6%.
  • Net loss attributable to VNET of RMB11.9M vs. RMB63.7M profit prior year on higher interest and taxes.
  • 2025 revenue guidance reaffirmed at RMB9.15–9.35B; adjusted EBITDA RMB2.76–2.82B (+14–16% YoY).

Headline financials

Total Revenue

¥2.43B

Previous: ¥275M+784.2%
EPS (adj)

-¥0.01

Previous: ¥0.06-116.7%
Wholesale utilization rate

75.9%

No prior period
Wholesale capacity in service (MW)

674

No prior period
Adjusted EBITDA

¥733M

No prior period
Net Income

-¥11.9M

Previous: ¥8.79M-235.5%
Operating Income

¥173M

Previous: ¥26.9M+543.8%
Gross Profit

¥548M

Previous: ¥58.7M+833.6%
Cash & Equivalents

¥2.92B

No prior period

Revenue & EPS history

VNET · Revenue · Quarterly

¥2.43B

Q2 2025+784.2%vs Q2 2024
Beat estimate in 8 of 13 quarters(62%)
ActualEstimate

Revenue by segment

VNET · ¥2.43B total across 3 segments · Q2 2025

  • Retail IDC
    ¥959M
  • Wholesale IDC
    ¥854M
  • Non-IDC
    ¥621M

Forward guidance

Full-year 2025 net revenue expected RMB9.15–9.35B (+11–13% YoY) and adjusted EBITDA RMB2.76–2.82B (+14–16% YoY, or +18–20% excluding a 2024 disposal gain).

Tailwinds

  • Hyperscale 2.0 framework targets 10GW capacity by 2036 for AI-era data centers.
  • Board authorized up to $50M ADS repurchase program over 12 months.

Headwinds

  • Higher interest expense and tax burden pressured bottom-line profitability in Q2.
  • Ramp-up wholesale utilization fell to 20.8% as new capacity came online.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2025

Historical avgQ2 2025

-2.1%

Avg return

Earnings day

-0.7%

Avg return

5 days after

-0.8%

Avg return

30 days after

35%

17 / 49 earnings

Positive

+24.2%

Q2 2021

Best reaction

-22.8%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026
Q4 2025-9.5%-16.1%-14.3%
Q3 2025-1.0%+7.5%+5.2%
Q2 2025-8.0%-2.1%+20.7%
Q1 2025-10.8%-8.6%+15.6%
Q4 2024-7.6%-4.5%-53.5%
Q3 2024+17.0%-0.3%-3.8%
Q2 2024+13.5%+33.7%+73.1%
Q4 2023-4.9%+1.2%-3.1%
Q3 2023-22.8%-18.6%-14.8%
Q2 2023+6.6%+14.6%+6.0%
Q1 2023-8.0%-4.3%+4.3%
Q4 2022-2.9%+3.6%+0.3%
Q3 2022-3.6%-6.9%+8.4%
Q2 2022+8.1%+0.4%+7.5%
Q1 2022-14.1%+0.4%+14.3%
Q4 2021-19.9%-4.0%-18.0%
Q3 2021-20.7%-26.7%-45.3%
Q2 2021+24.2%+9.1%+10.7%
Q1 2021+5.4%+6.6%+8.5%
Q4 2020-14.9%-3.7%-13.4%
Q3 2020+20.8%+20.9%+30.5%
Q2 2020-4.2%-10.3%-12.2%
Q1 2020+0.9%-9.5%-11.8%
Q4 2019+0.1%-3.9%-13.2%
Q3 2019-6.4%-6.9%-10.0%
Q2 2019+13.9%+11.9%+23.5%
Q1 2019+12.8%+10.4%-16.2%
Q4 2018-1.2%+3.2%-6.6%
Q3 2018-8.4%-8.3%-18.8%
Q2 2018+0.2%+16.5%-1.0%
Q1 2018-1.8%+13.2%+26.7%
Q4 2017-0.7%-5.2%-20.2%
Q3 2017-3.2%-11.0%+26.0%
Q2 2017-4.0%+1.5%+33.8%
Q1 2017-4.8%-3.9%-0.4%
Q4 2016-19.9%-18.9%-23.0%
Q3 2016+1.4%-1.8%-8.0%
Q2 2016-15.7%-17.5%-23.6%
Q1 2016+5.3%+11.9%-14.6%
Q4 2015+1.6%
Q3 2015-0.7%
Q2 2015+4.0%
Q1 2015-9.6%
Q4 2014-0.3%
Q2 2014
Q4 2013-3.9%
Q4 2012+0.9%
Q4 2009-1.7%
Q4 2010-1.7%
Q4 2011-1.7%

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