Kanzhun Limited posted stronger-than-expected financial results for the second quarter of 2026, with revenue rising 14% year-on-year to RMB 2.4 billion. Adjusted operating income grew 19% to RMB 1.05 billion, while the adjusted operating margin expanded to a record 43.8%, up 1.9 percentage points from the prior-year period. Gross margin also improved to 87%, reflecting continued operational efficiency.
Net income surged 173% to RMB 1.9 billion, primarily due to RMB 1.5 billion in investment income from an associated company that went public in January 2026. Excluding these gains and share-based compensation, adjusted net income rose 9% to RMB 1.03 billion. Operating cash flow declined 10% year-on-year to RMB 945 million.
The company’s paying enterprise customer base grew 11% year-on-year to 7.2 million on a trailing 12-month basis as of June 30, 2026. Monthly active users on the BOSS Zhipin platform exceeded 70 million in the quarter. Share-based compensation totaled RMB 186 million, representing 7.8% of revenue, down from 10.9% a year earlier.
Kanzhun maintained its cash position at RMB 18.8 billion as of June 30, 2026, excluding securities investments. Segment expenses showed mixed trends, with sales and marketing costs rising 38% year-on-year to RMB 581 million, driven by investments in FIFA World Cup sponsorship and sales team expansion. Research and development spending increased 3% to RMB 431 million, while general and administrative expenses fell 30% to RMB 219 million.
The company approved an annual cash dividend of approximately $230 million and repurchased $300 million worth of shares year-to-date in 2026, representing over 4.7% of outstanding shares. Cumulatively, Kanzhun has bought back more than 10% of its total shares outstanding. Total shareholder returns for 2026 reached $530 million, exceeding 100% of the prior year’s adjusted net income.
For the third quarter of 2026, Kanzhun guided revenue to RMB 2.41 billion to RMB 2.5 billion, implying 11.4% to 15.6% year-on-year growth. The adjusted operating margin is expected to remain near Q2’s 43.8% level, with a slight increase projected for the full year. Research and development spending is targeted at 20% to 25% of revenue. The company’s OfferToday business in Hong Kong aims for annual revenue of $100 million to $115 million over a five-year period.
Shares of Kanzhun fell 1.88% in premarket trading to $15.15, following a previous close of $15.44. The stock has traded between $12.57 and $25.26 over the past 52 weeks. The company’s market capitalization stands at $6.9 billion, with a P/E ratio of 13.34 and a PEG ratio of 0.18.
