Xiao‑I Corporation Crosses into Profitability on Run‑Rate Basis; Pre‑Announces 2024 Revenue Up 19% and Guides to Full‑Year Profit in 2025
Xiao-I (NASDAQ: AIXI) has pre-announced strong financial results for 2024, reporting revenue of US$70.3 million, a 19% year-over-year increase. The growth was driven by increased adoption of its Hua Zang large language model (LLM) as a Model-as-a-Service offering and rising AI hardware sales.
Key financial metrics include:
- Gross margin improvement to 69% (from 67% in 2023)
- Net loss narrowed to US$12.9 million (52% improvement from 2023)
- Achieved positive operating income in Q4 2024
The company projects full-year profitability for 2025, supported by high-margin recurring revenue streams. Additionally, Xiao-I awaits a ruling from the Shanghai High People's Court regarding its patent infringement lawsuit against Apple Inc., which could provide non-operating upside to 2025 results.
Xiao-I (NASDAQ: AIXI) ha pre-annunciato risultati finanziari solidi per il 2024, riportando ricavi di 70,3 milioni di dollari USA, con un aumento del 19% rispetto all'anno precedente. La crescita è stata guidata dall'aumento dell'adozione del suo modello linguistico di grandi dimensioni Hua Zang (LLM) come offerta Model-as-a-Service e dall'aumento delle vendite di hardware AI.
I principali indicatori finanziari includono:
- Un miglioramento del margine lordo al 69% (rispetto al 67% nel 2023)
- Una perdita netta ridotta a 12,9 milioni di dollari USA (miglioramento del 52% rispetto al 2023)
- Un reddito operativo positivo raggiunto nel Q4 2024
La società prevede la redditività per l'intero anno nel 2025, supportata da flussi di entrate ricorrenti ad alto margine. Inoltre, Xiao-I attende una sentenza dalla Corte Suprema del Popolo di Shanghai riguardo alla sua causa per violazione di brevetto contro Apple Inc., che potrebbe fornire un potenziale vantaggio non operativo ai risultati del 2025.
Xiao-I (NASDAQ: AIXI) ha preanunciado resultados financieros sólidos para 2024, reportando ingresos de 70,3 millones de dólares estadounidenses, un aumento del 19% en comparación con el año anterior. El crecimiento fue impulsado por una mayor adopción de su modelo de lenguaje grande Hua Zang (LLM) como una oferta de Model-as-a-Service y el aumento en las ventas de hardware de IA.
Los principales indicadores financieros incluyen:
- Mejora del margen bruto al 69% (desde el 67% en 2023)
- Pérdida neta reducida a 12,9 millones de dólares estadounidenses (mejora del 52% en comparación con 2023)
- Ingreso operativo positivo alcanzado en el cuarto trimestre de 2024
La compañía proyecta rentabilidad para todo el año 2025, respaldada por flujos de ingresos recurrentes de alto margen. Además, Xiao-I espera un fallo del Tribunal Supremo del Pueblo de Shanghai sobre su demanda por infracción de patente contra Apple Inc., lo que podría proporcionar un potencial beneficio no operativo para los resultados de 2025.
Xiao-I (NASDAQ: AIXI)는 2024년 강력한 재무 결과를 사전 발표하며 7030만 달러의 수익을 보고했으며, 이는 전년 대비 19% 증가한 수치입니다. 이러한 성장은 Hua Zang 대형 언어 모델(LLM)의 서비스 모델로서의 채택 증가와 AI 하드웨어 판매 증가에 의해 촉진되었습니다.
주요 재무 지표는 다음과 같습니다:
- 총 마진이 67%에서 69%로 개선됨
- 순손실이 1290만 달러로 축소됨 (2023년 대비 52% 개선)
- 2024년 4분기에 긍정적인 운영 수익을 달성함
회사는 2025년 전체 연도에 대한 수익성을 예상하고 있으며, 이는 고마진 반복 수익원에 의해 지원됩니다. 또한, Xiao-I는 Apple Inc.에 대한 특허 침해 소송과 관련하여 상하이 고급 인민법원의 판결을 기다리고 있으며, 이는 2025년 결과에 비운영적인 긍정적 영향을 미칠 수 있습니다.
Xiao-I (NASDAQ: AIXI) a préannoncé de solides résultats financiers pour 2024, rapportant un chiffre d'affaires de 70,3 millions de dollars américains, soit une augmentation de 19 % par rapport à l'année précédente. Cette croissance a été stimulée par une adoption accrue de son modèle de langage large Hua Zang (LLM) en tant qu'offre Model-as-a-Service et par l'augmentation des ventes de matériel d'IA.
Les principaux indicateurs financiers incluent:
- Amélioration de la marge brute à 69 % (contre 67 % en 2023)
- Perte nette réduite à 12,9 millions de dollars américains (amélioration de 52 % par rapport à 2023)
- Revenu opérationnel positif atteint au quatrième trimestre 2024
L'entreprise prévoit une rentabilité pour l'année complète 2025, soutenue par des flux de revenus récurrents à forte marge. De plus, Xiao-I attend un jugement de la Cour suprême populaire de Shanghai concernant son procès pour violation de brevet contre Apple Inc., ce qui pourrait fournir un potentiel avantage non opérationnel aux résultats de 2025.
Xiao-I (NASDAQ: AIXI) hat starke Finanzzahlen für 2024 vorab angekündigt und einen Umsatz von 70,3 Millionen US-Dollar gemeldet, was einem Anstieg von 19% im Vergleich zum Vorjahr entspricht. Das Wachstum wurde durch eine erhöhte Akzeptanz seines Hua Zang großen Sprachmodells (LLM) als Model-as-a-Service-Angebot und steigende Verkäufe von KI-Hardware vorangetrieben.
Wichtige Finanzkennzahlen umfassen:
- Verbesserung der Bruttomarge auf 69% (von 67% im Jahr 2023)
- Nettoverlust auf 12,9 Millionen US-Dollar verringert (52% Verbesserung gegenüber 2023)
- Positives Betriebsergebnis im 4. Quartal 2024 erzielt
Das Unternehmen prognostiziert für 2025 eine Rentabilität für das gesamte Jahr, unterstützt durch margenstarke wiederkehrende Einnahmequellen. Darüber hinaus wartet Xiao-I auf ein Urteil des Obersten Volksgerichts von Shanghai bezüglich seiner Klage wegen Patentverletzung gegen Apple Inc., das 2025 zu einem nicht operativen Vorteil führen könnte.
- Revenue growth of 19% YoY to US$70.3 million
- Gross margin expansion to 69% from 67%
- 52% reduction in net loss to US$12.9 million
- Achieved operating profitability in Q4 2024
- Potential upside from Apple patent lawsuit
- Still operating at a net loss of US$12.9 million
- Macroeconomic volatility may impact 2025 profit projections
- Potential trade policy shifts could affect business performance
Insights
Xiao-I's pre-announcement reflects a significant financial transformation with
The
Management's guidance for full-year profitability in 2025 represents a watershed moment for AIXI's investment thesis. The shift to recurring revenue streams (particularly the MaaS model) provides better revenue visibility and typically commands higher valuation multiples than one-time sales.
The pending Apple litigation represents a binary event with asymmetric upside. While impossible to quantify potential damages without details on the specific patents and Apple's alleged infringement, a favorable ruling could substantially impact AIXI's balance sheet strength and future R&D capabilities.
The cautionary note about macroeconomic volatility is standard risk disclosure, but investors should recognize that as a relatively small company (
Margin expansion from Hua Zang LLM MaaS and AI hardware sets the stage for sustainable earnings growth
Driven by accelerating adoption of its Hua Zang large language model (LLM) as a Model‑as‑a‑Service (MaaS) offering and rising sales of AI‑powered consumer hardware, Xiao‑I generated approximately
Key Financial Highlights
- Revenue:
- Gross Margin: Improved to 69 % (vs. 67 % in 2023) on higher‑margin MaaS mix and scale efficiencies.
- Net Loss: Narrowed to
- Run‑Rate Profitability: Positive operating income achieved in Q4 2024 positions the Company for sustained profitability.
Management Commentary
"A year ago we set out to prove that our technology platform could scale profitably," said a Company spokesperson. "By the fourth quarter of 2024 we crossed into operating profitability on a run‑rate basis, and the momentum in both Hua Zang MaaS deployments and AI hardware sales gives us confidence to guide for full‑year profitability in 2025. We will continue to focus on high‑margin, recurring revenue streams while prudently investing in innovation that deepens our competitive moat."
Litigation Update – Additional Upside Potential
As previously disclosed, Xiao‑I has sued Apple Inc. for alleged patent infringement related to voice‑assistant technologies. All hearings concluded in 2024, and the parties are awaiting a ruling from the Shanghai High People's Court. A favorable judgment could provide non‑operating upside to the Company's 2025 financial results; however, no potential award is included in current guidance.
Disclaimer for the Projection and Guidance
The projection is based on current business progress and assumes no material non-cash impairments or similar losses. However, given the heightened macroeconomic volatility in 2025, including potential trade policy shifts and demand fluctuations, management may adjust expectations in response to operational realities. Investors should remain cognizant of these risks impacting profit realization timelines.
About Xiao-I Corporation
Xiao-I Corporation is a leading cognitive intelligence enterprise in China that offers a diverse range of business solutions and services in artificial intelligence, covering natural language processing, voice and image recognition, machine learning, and affective computing. Since its inception in 2001, the Company has developed an extensive portfolio of cognitive intelligence technologies that are highly suitable and have been applied to a wide variety of business cases. Xiao-I powers its cognitive intelligence products and services with its cutting-edge, proprietary AI technologies to enable and promote industrial digitization, intelligent upgrading, and transformation. For more information, please visit: www.xiaoi.com.
Forward-Looking Statements
This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "estimate" or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the following: the Company's ability to achieve its goals and strategies, the Company's future business development and plans for future business development, including its financial conditions and results of operations, product and service demand and acceptance, reputation and brand, the impact of competition and pricing, changes in technology, government regulations, fluctuations in general economic and business conditions in China, and assumptions underlying or related to any of the foregoing and other risks contained in reports filed by the Company with the U.S. Securities and Exchange Commission ("SEC"). For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the SEC, including under the section entitled "Risk Factors" in its annual report on Form 20-F filed with the SEC on April 30, 2024, as well as its current reports on Form 6-K and other filings, all of which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.
For investor and media inquiries, please contact:
Ms. Berry Xia
Email: ir@xiaoi.com
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SOURCE Xiao I Corporation
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