Cloud-based business, Cloud Factory, reports a surge in profits throughout the first half of 2025.
Cloud Factory Technology Holdings Ltd., a company listed on the Hong Kong Stock Exchange (2512.HK), has recently demonstrated strong financial performance and strategic expansions. For the six months ended June 30, 2025, the company expects a consolidated profit attributable to owners in the range of RMB 14.0 million to RMB 16.0 million, an increase compared to approximately RMB 12.3 million for the same period in 2024.
This improvement is mainly due to reduced listing expenses and ongoing efforts to lower operational costs. The company's revenue from its Edge Computing services segment has also seen growth, with annual revenue reaching approximately RMB 708 million in 2024, reflecting a 1.7% year-on-year growth.
In terms of business expansion, Cloud Factory has made significant strides, achieving key technological breakthroughs in its EdgeCDN services. The company recently completed a share subscription, issuing nearly 46 million new shares to raise about HK$228 million. This capital will be used to enhance core business operations, expand intelligent computing services, and establish an intelligent computing center, boosting their market position and operational capacity.
Strategically, Cloud Factory has also announced the formation of a joint venture with Shannon Semiconductor (300475.SZ) to develop the intelligent computing power services market. The joint venture is expected to contribute to the growth of Cloud Factory's business in this sector. However, specific details about the joint venture are yet to be disclosed.
On the day of the announcement, Cloud Factory's shares opened lower but closed at HK$4.22 by the midday break, with a 0.5% increase.
In summary, Cloud Factory Technology Holdings Ltd. shows strengthened financial results, expansion in edge computing technology and services, and is investing heavily to grow its intelligent computing capabilities. The company's joint venture with Shannon Semiconductor is aimed at the development of the intelligent computing power services market and is expected to contribute to the growth of Cloud Factory's business in this sector. However, no recent information is available about the joint venture with Shannon Semiconductor.
The financial growth of Cloud Factory Technology Holdings Ltd. is not limited to strong financial performance; it also includes expansion in their edge computing business through technological breakthroughs in EdgeCDN services. This growth is complemented by the company's strategic investment, raising HK$228 million through a share subscription, which will be used to strengthen their core business operations, extend intelligent computing services, and establish an intelligent computing center, thereby enhancing market position and operational capacity.
