Kuaishou’s Q3 Profit Surpasses Expectations, Driven by AI Advancements
By Sherry Qin, The Wall Street Journal – November 19, 2025
Beijing-based short-video giant Kuaishou has reported a remarkable 37% increase in net profit for the third quarter of 2025, significantly exceeding market expectations. This robust financial performance has been largely attributed to the company’s strategic focus on artificial intelligence technology, particularly its Kling AI video-generation tool, which has enhanced content creation and monetization.
Kuaishou, which ranks as China’s second-largest short-video platform following Douyin, the sister app of TikTok, has seen its Hong Kong-listed shares surge over 50% this year. Investors remain optimistic about the company’s long-term growth prospects, especially in light of the rapid adoption and monetization of its AI-driven products.
The company’s sustained profit growth was supported by steady expansion in its core advertising and e-commerce businesses. However, the standout driver was the increased integration and monetization of Kling AI, a proprietary tool designed to assist creators and businesses in producing more engaging and visually appealing video content. This innovation not only improves user experience but also creates new revenue streams by enabling advertisers to craft more effective campaigns.
Kuaishou’s aggressive investment in AI reflects the intensifying competition within the short-video industry, where platforms vie to attract and retain users through advanced technologies. By developing homegrown AI solutions, Kuaishou aims to differentiate itself and maintain its competitive edge amid a dynamic digital landscape.
The company’s success story underscores a broader trend among Chinese technology firms, which are increasingly harnessing artificial intelligence to drive product innovation and improve monetization models. As Kuaishou continues to capitalize on these developments, it signals a promising future for the integration of AI in social media and digital advertising sectors.
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