GDS Holdings Ltd

Latest Results (17.05.2026):

GDS Holdings Ltd — fourth quarter of 2025: GDS reported Q4 2025 net revenue of RMB2,921.7 million, an 8.6% year‑over‑year increase, but posted a Q4 net loss of RMB462.8 million (15.8% margin) largely driven by a RMB1,561.2 million impairment of long‑lived assets; adjusted EBITDA (non‑GAAP) was RMB1,365.6 million (46.7% margin), up 5.2% Y‑o‑Y. For the full year 2025, revenue rose 10.8% to RMB11,432.3 million and the company returned to net income of RMB959.4 million with adjusted EBITDA of RMB5,403.5 million (47.3% margin).

Top-line and Q4 performance

Q4 2025 net revenue: RMB2,921.7M (+8.6% Y‑o‑Y). Full‑year 2025 net revenue: RMB11,432.3M (+10.8% Y‑o‑Y). Q4 gross profit was RMB612.4M with a gross margin of 21.0% (down from 21.5% a year ago), impacted by higher utility costs.

Profitability and non‑GAAP results

Q4 2025 net loss: RMB462.8M (net loss margin 15.8%). Q4 adjusted EBITDA (non‑GAAP): RMB1,365.6M (+5.2% Y‑o‑Y) with a 46.7% adjusted EBITDA margin (slightly lower than prior year). Full‑year adjusted EBITDA: RMB5,403.5M (+10.8%), margin 47.3%.

One‑time and equity‑related items

Q4 included a RMB1,561.2M impairment of long‑lived assets (major driver of the GAAP loss). At the same time, share of results of equity investees delivered RMB1,230.7M in income in Q4, mainly reflecting a dilution gain from the DayOne Series C transaction. There was also a RMB62.2M loss on deconsolidation in Q4.

Operational metrics

End of Q4 2025: total area committed/pre‑committed 670,106 sqm (+6.4% Y‑o‑Y); area in service 668,283 sqm (+8.9% Y‑o‑Y); area utilized 504,843 sqm (+11.4% Y‑o‑Y). Utilization rate rose to 75.5% (from 73.8%).

Liquidity, debt and capital raises

Cash as of Dec 31, 2025: RMB14,306.0M. Short‑term debt: RMB3,648.9M; long‑term debt: RMB42,561.6M. In 4Q and full‑year 2025 the company completed financing actions including DayOne share sale and a US$300M convertible preferred placement; management noted proceeds and recent financings (~US$685M combined) to support expansion.

Outlook for 2026

Guidance for full‑year 2026: revenue RMB12,400–12,900M (≈ +8.5% to +12.8% Y‑o‑Y); adjusted EBITDA RMB5,750–6,000M (≈ +6.4% to +11.0% Y‑o‑Y). Expected 2026 capex around RMB9,000M (before potential asset monetization).

Management view

Management framed 2025 as a year of strong bookings, move‑ins and asset monetization activity, and sees accelerating demand from the AI era while emphasizing disciplined, capital‑efficient growth into 2026.