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ZKH

ZKH Group Limited

ZKH

ZKH Group Limited • NYSE
$3.27 ▲ 0.00% (+0.00)
Market Cap $530.26 M
52w High $4.03
52w Low $2.50
Dividend Yield 0%
P/E -16.35
Volume 92.12K
Outstanding Shares 162.16M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $2.328B ▲ $422.515M ▼ $-24.307M ▲ -1.044% ▲ $-0.15 ▲ $-20.954M ▲
Q2-2025 $2.167B ▲ $428.944M ▲ $-53.509M ▲ -2.47% ▲ $-0.33 ▲ $-36.832M ▲
Q1-2025 $1.935B ▼ $412.931M ▼ $-66.723M ▼ -3.448% ▼ $-0.41 ▼ $-67.121M ▼
Q4-2024 $2.37B ▲ $437.586M ▼ $-29.102M ▲ -1.228% ▲ $-0.18 ▲ $-18.896M ▲
Q3-2024 $2.281B $493.761M $-81.751M -3.584% $-0.5 $-76.193M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $1.823B ▲ $6.387B ▲ $3.429B ▲ $2.957B ▼
Q2-2025 $1.754B ▲ $6.26B ▲ $3.266B ▲ $2.994B ▼
Q1-2025 $1.684B ▼ $6.122B ▼ $3.085B ▼ $3.037B ▼
Q4-2024 $1.968B ▼ $6.611B ▼ $3.513B ▼ $3.098B ▲
Q3-2024 $1.985B $6.742B $3.661B $3.081B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q2-2025 $-53.509M ▲ $0 $0 $0 $0 ▲ $0
Q1-2025 $-66.723M ▼ $0 $0 $0 $-255.155M ▼ $0
Q4-2024 $-29.102M ▲ $0 $0 $0 $0 $0
Q3-2024 $-81.751M ▼ $0 $0 $0 $0 $0
Q2-2024 $-66.289M $0 $0 $0 $0 $0

Five-Year Company Overview

Income Statement

Income Statement Revenue has grown steadily over the past few years, roughly doubling since the early period and continuing to edge higher each year. Gross profit has also climbed, suggesting that scale and better sourcing are helping, even as the company invests heavily in growth. Operating losses have narrowed sharply and recently flipped to a small operating profit, which is a meaningful milestone. That said, bottom‑line net income is still negative and some underlying profit measures remain weak, so the business is in a transition phase rather than firmly profitable. Overall, the trend is clearly improving, but the earnings profile is still investment‑heavy and not yet stable.

Balance Sheet

Balance Sheet The balance sheet has strengthened compared with a few years ago. Total assets have grown at a measured pace, reflecting gradual expansion rather than aggressive balance‑sheet risk‑taking. Cash levels look reasonable for a company at this stage and provide a cushion as it works toward consistent profitability. Debt remains modest relative to the size of the business, keeping financial leverage under control. Notably, shareholder equity moved from negative back to clearly positive, likely helped by fresh capital and improved performance, which reduces solvency concerns compared with the past.

Cash Flow

Cash Flow Cash generation has improved meaningfully. Operating cash flow was negative for several years but has recently turned positive, indicating that the core business is starting to fund more of its own growth. Free cash flow has followed a similar pattern, moving from sizeable outflows to a modest inflow. Capital spending is relatively light, which fits a platform and technology‑driven model and limits the need for heavy ongoing physical investment. Still, the company only has a short track record of positive cash flow, so the durability of this improvement remains an important watchpoint.

Competitive Edge

Competitive Edge ZKH operates in the large but traditionally fragmented MRO procurement market and is positioning itself as a digital, one‑stop platform rather than a simple distributor. Its breadth of product selection, national fulfillment network, and ability to integrate deeply into customers’ procurement processes create meaningful switching costs and stickiness. A major edge is its extensive industrial data set and AI‑driven tools, which can improve search, recommendations, and inventory management in ways that are hard for smaller rivals to copy. Network effects are building as more customers and suppliers join, reinforcing its scale advantage and brand recognition in China. On the other hand, the company faces competition from both traditional distributors and large e‑commerce or industrial platforms, and must execute well on service quality and pricing to defend its position, especially as it pushes into overseas markets like the United States.

Innovation and R&D

Innovation and R&D Innovation and technology are central to ZKH’s strategy. The company has built an AI‑driven procurement platform, with specialized tools that help customers standardize materials, choose products, and automate workflows, all powered by a large proprietary data dictionary. This creates a data and software moat that deepens as usage increases. At the same time, ZKH is investing in its own smart manufacturing base to develop and test private‑label products, which can enhance quality control, margins, and differentiation. Partnerships, such as integration with major online platforms, and a focus on sustainability add further layers to its innovation ecosystem. The flip side is that this strategy requires ongoing R&D and technology spend, and the payoff depends on continued adoption and successful monetization of these tools over time.

Summary

ZKH is a fast‑growing, technology‑driven MRO platform that is moving from a heavy investment phase toward a more sustainable business model. Revenues and gross profits have grown consistently, losses have narrowed, and cash flow has improved to the point of modest positivity, although the company is not yet firmly profitable. The balance sheet is in better shape than a few years ago, with positive equity, manageable debt, and adequate cash, giving it room to keep investing. Competitively, ZKH benefits from scale, data, AI capabilities, a growing private‑label portfolio, and strong integration with customers, but it still must fend off both domestic and international rivals and prove it can win overseas. Future value creation will hinge on its ability to turn its AI and data advantages, manufacturing base, and partnerships into durable, high‑margin revenue while maintaining financial discipline and navigating macro and competitive risks. This overview is descriptive only and should not be taken as investment advice.

NEWS

November 20, 2025 · 5:00 AM UTC

ZKH Group Limited Announces Third Quarter 2025 Unaudited Financial Results

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November 10, 2025 · 5:00 AM UTC

ZKH Group Limited to Announce Third Quarter 2025 Financial Results on Thursday, November 20, 2025

Read more