VNET Group (NASDAQ:VNET) Releases Earnings Results, Misses Expectations By $0.04 EPS

17 Mar 2026, 11:00 by Danessa Lincoln · The Markets Daily

VNET Group (NASDAQ:VNET – Get Free Report) announced its earnings results on Monday. The information technology services provider reported $0.00 EPS for the quarter, missing the consensus estimate of $0.04 by ($0.04), reports. VNET Group had a negative net margin of 5.99% and a negative return on equity of 3.42%. The company had revenue of $384.07 million for the quarter, compared to analysts’ expectations of $368.64 million.

Here are the key takeaways from VNET Group’s conference call:

VNET reported strong 4Q25 and FY25 results with 4Q revenue of CNY 2.69bn (+19.6% YoY), 4Q adjusted EBITDA of CNY 805.1m (+11.6% YoY), FY25 revenue of CNY 9.95bn (+20.5%) and raised 2026 guidance of CNY 11.5–11.8bn revenue and CNY 3.55–3.75bn adjusted EBITDA.
Wholesale momentum and capacity are driving growth — wholesale capacity in service reached 889 MW (+107 MW QoQ), full‑year deliveries totaled 404 MW, utilization was 70.1%, and the company holds ~2.2 GW of wholesale resources with a plan to deliver 450–500 MW in the next 12 months.
Demand and wins remain solid — VNET secured five wholesale orders (135 MW) in 4Q and retail metrics improved (MRR per cabinet up to CNY 9,420), while adjusted cash gross margin rose to 42.3% and adjusted EBITDA margin stayed around 30.0%, reflecting operational efficiency gains.
Company is accelerating capital recycling and investment with 2025 CapEx of ~CNY 8.24bn, 2026 CapEx guidance of CNY 10–12bn, successful private REITs/green ABS monetizations (~CNY 6.36bn + CNY 860m), and a financing mix of project loans, operating cash (~CNY 2bn/year), REITs and equity while maintaining net debt/adj LQA EBITDA of 4.3x.

VNET Group Stock Down 9.3%

VNET Group stock opened at $9.53 on Tuesday. The company has a debt-to-equity ratio of 2.88, a current ratio of 0.90 and a quick ratio of 0.90. VNET Group has a fifty-two week low of $4.65 and a fifty-two week high of $14.48. The firm has a fifty day moving average price of $11.10 and a two-hundred day moving average price of $9.89. The firm has a market cap of $2.56 billion, a price-to-earnings ratio of -31.77, a P/E/G ratio of 0.82 and a beta of 0.01.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. BNP Paribas Financial Markets lifted its position in shares of VNET Group by 674.8% in the 2nd quarter. BNP Paribas Financial Markets now owns 3,343,088 shares of the information technology services provider’s stock worth $23,067,000 after acquiring an additional 2,911,604 shares during the period. JPMorgan Chase & Co. raised its stake in shares of VNET Group by 1,750.9% in the fourth quarter. JPMorgan Chase & Co. now owns 2,502,622 shares of the information technology services provider’s stock valued at $21,172,000 after purchasing an additional 2,367,410 shares in the last quarter. Bank of America Corp DE lifted its holdings in shares of VNET Group by 288.5% during the 2nd quarter. Bank of America Corp DE now owns 2,577,675 shares of the information technology services provider’s stock worth $17,786,000 after acquiring an additional 1,914,201 shares during the period. UBS Group AG boosted its position in shares of VNET Group by 73.2% during the 3rd quarter. UBS Group AG now owns 4,283,660 shares of the information technology services provider’s stock valued at $44,250,000 after acquiring an additional 1,809,987 shares in the last quarter. Finally, National Bank of Canada FI acquired a new stake in shares of VNET Group during the 3rd quarter valued at about $11,843,000. 72.83% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on VNET. Weiss Ratings restated a “sell (d-)” rating on shares of VNET Group in a report on Monday, December 29th. Bank of America reaffirmed a “buy” rating on shares of VNET Group in a research note on Monday. Finally, Jefferies Financial Group reiterated a “buy” rating and set a $23.55 price objective on shares of VNET Group in a research report on Monday. Two analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. According to MarketBeat.com, VNET Group presently has a consensus rating of “Hold” and a consensus target price of $18.08.

Get Our Latest Stock Report on VNET Group

Key VNET Group News

Here are the key news stories impacting VNET Group this week:

Positive Sentiment: Q4 revenue beat consensus driven by AI-related demand: VNET reported $384.1M in Q4 revenue versus the ~$368.6M street estimate, and multiple outlets highlighted stronger-than-expected cloud/AI-driven demand that lifted top-line growth. MSN: VNET tops revenue forecasts
Neutral Sentiment: Operational milestone — company delivered a record 404MW in 2025 and says it exceeded its full-year revenue and adjusted EBITDA targets, signalling execution on expansion plans. PR Newswire: Q4 & FY2025 results
Negative Sentiment: EPS missed consensus: reported break-even EPS ($0.00) vs. consensus $0.04, a disappointment for earnings-focused traders and a key reason for the sell-off. Zacks: Break-even EPS
Negative Sentiment: 2026 guidance came in below expectations: management guided to ~15.6%–18.6% revenue growth for 2026 while accelerating wholesale IDC expansion — the guidance was viewed as conservative versus some analyst models, prompting downward re-pricing. Seeking Alpha: 2026 guidance and expansion
Negative Sentiment: Growth-capex and leverage concerns: the accelerated wholesale IDC buildout may require significant capital and could pressure margins/FCF near-term; VNET’s balance sheet metrics (notably high debt-to-equity) and negative net margin raise investor caution. MarketWatch: Guidance miss and slide

About VNET Group

(Get Free Report)

VNET Group, Inc (NASDAQ: VNET) is a leading carrier-neutral internet data center (IDC) services provider in China. Established in 1999 and headquartered in Beijing, the company delivers a full spectrum of infrastructure solutions that support the growing digital economy. Its core offerings include data center colocation, managed hosting, network connectivity, and disaster recovery services designed to meet the performance and reliability requirements of enterprise and internet content customers.