Zhihu ZH 2025Q2 Earnings Preview Upside Risk Amid Profitability Push

Forward-Looking Analysis
Analysts expect Zhihu to report Q2 2025 earnings with revenue of $117.71 million, in line with its Q4 2024 performance. For 2025, Zhihu is projected to achieve net income profitability, with an estimated net income of $8 million, driven by its focus on high-quality content and operational efficiency. Earnings growth is expected to outpace revenue gains, with EPS forecast to rise by 59.7% annually. On the Q1 2025 earnings call, Zhihu reported an EPS of -$0.02, showing a 93.09% improvement year-over-year. Long-term forecasts project a 62.3% annual revenue growth and a 5.7% return on equity in three years.

Historical Performance Review
In Q1 2025, Zhihu reported revenue of $709.36 million and a gross profit of $451.10 million. Despite this, the company recorded a net income loss of $10.11 million, translating to an EPS of -$0.04. While top-line performance remained strong, profitability remained a challenge, underscoring the need for continued cost management and monetization of high-quality content.

Additional News
Zhihu’s Investor Relations site offers comprehensive financial reports and stock information, supporting transparency for investors. On June 10, 2025, the company held its Q1 earnings call, where management highlighted progress in content quality and user engagement. Analysts remain optimistic about Zhihu’s long-term growth trajectory, with expectations for profitability by the end of 2025. The company is also preparing to release its Q2 2025 earnings on August 27th, with market anticipation focused on continued progress in monetization and operational efficiency.

Summary & Outlook
Zhihu’s 2025Q1 performance showed strong revenue but continued losses, with a net income of -$10.11 million and an EPS of -$0.04. Gross profit stood at $451.10 million, highlighting the company’s ability to manage costs relative to its top-line growth. Analysts expect Q2 revenue of $117.71 million and a path to profitability by year-end, with a projected net income of $8 million. The shift toward high-quality content and operational improvements are key catalysts for future growth. While revenue growth is forecast at 2.4% annually, EPS is expected to rise by 59.7%, signaling stronger earnings power. With a long-term return on equity forecast of 5.7% in three years, Zhihu remains in a neutral-to-bullish outlook, provided it continues to execute on its strategic priorities.