tech · SCMP

MiniMax Revenue Surges 283% But Trails Full-Year Forecasts Amid AI Competition

SCMP · 1 SOURCESabout 2 hours ago2 MIN

Summary

Chinese AI company MiniMax reported a 283 percent surge in first-half revenue to US$116.6 million, powered by a 703 percent jump in enterprise business . The Shanghai-based firm, which listed in Hong Kong, generated roughly 32 percent of the US$363.77 million analysts expect for full-year 2026, indicating it trails its annual forecast . Despite narrowing total losses by 11 percent to US$358 million, adjusted net losses more than doubled to US$293 million .

Key Points

Revenue from enterprise-facing services including the Open Platform jumped 703 percent year on year to US$73.9 million, accounting for 63.4 percent of total revenue
MiniMax's gross profit more than quintupled to US$20.8 million, with gross margin expanding to 17.9 percent from 12.1 percent a year earlier
The company's annual recurring revenue reached approximately US$300 million by May, doubling from February levels
Founded in 2021, MiniMax develops the M-series large language models, the H3 video-generation model, and consumer app Hailuo AI
Shares of Hong Kong-listed MiniMax closed at HK$303 on Wednesday, up 1.13 percent, ahead of the earnings announcement

Why It Matters

MiniMax's results underscore the intense competition in China's AI sector as firms race to capture enterprise customers and convert free users into paying subscribers . For Hong Kong investors, MiniMax's performance as a newly listed tech contender signals both the opportunities and challenges of investing in AI companies that are still burning cash while pursuing aggressive growth targets .