Kuaishou Technology, a Beijing-based short-video and livestreaming platform operator, said in an August 19 filing that second-quarter net income fell 36% year on year to 3.2 billion yuan (US$467 million).

Higher revenue-sharing payouts to creators and AI-related research and development spending drove costs up 35%.

Revenue was largely unchanged at 35.5 billion yuan (US$5.27 billion), in line with analyst estimates.

Weaker income from Kuaishou’s livestreaming business offset most of the growth in its online marketing services business.

The company also said it was cautious about the short-term outlook because the operating environment had become more complex and challenging.

Sales growth for Kling AI, Kuaishou’s text-to-video product, slowed to 200% from 300% in the previous quarter.

Kuaishou said it would continue to expand Kling AI’s model capabilities and pursue more commercial opportunities.

Alibaba Group Holding Ltd and Tencent Holdings Ltd were among investors in a US$2.8 billion financing round for Kling AI.

🔗 Source: Bloomberg

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