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Financial statements

Zhihu Inc. financial statements

Income statement, balance sheet and cash flow statement for the last 5 fiscal years, taken from the XBRL data Zhihu Inc. files with the SEC in its annual reports.

In USD millions, except per-share amounts. Outflows in the cash flow statement are negative.

Income statement

FY2021FY2022FY2023FY2024FY2025
Revenue464523591493393
Cost of revenue221261268194157
Gross profit244262323299236
Research and development97.211112710075.1
Selling and marketing257294288219179
General and administrative10890.258.945.236
Operating expenses462495474365308
Operating income-218-233-151-65.9-72.5
Other non-operating income-0.690.876.945.884.38
Pre-tax income-203-227-117-24.4-24.8
Income tax0.852.061.67-1.293.1
Net income to minority interests0.40.580.39-0.32
Net income-204-229-119-23.5-27.6
EBITDA-215-229-148-62.9-69.8
EPS, basic-0.96-0.75-0.40-0.09-0.11
EPS, diluted-0.96-0.75-0.40-0.09-0.11
Shares, basic (weighted)240305299274240
Shares, diluted (weighted)240305299274240

Balance sheet

FY2021FY2022FY2023FY2024FY2025
Cash and equivalents339656297548482
Short-term investments35111424973.8120
Receivables13112193.657.651.2
Other current assets42.728.932.722.415.3
Total current assets1,3081,061898751677
Property, plant and equipment1.551.061.531.160.77
Lease right-of-use assets19.914.55.660.986.02
Goodwill11.618.326.917.3
Intangible assets10.711.617.37.474.23
Long-term investments36.297.0122.7
Other non-current assets2.223.261.130.091.92
Total assets1,3821,110957785742
Accounts payable16113314611497.4
Accrued liabilities49.241.148.237.726.9
Deferred revenue37.651.642.832.326.6
Short-term debt5.01
Total current liabilities298265274209181
Lease liabilities12.96.290.510.252.23
Other non-current liabilities11.511.917.20.540.67
Total liabilities324284295211188
Paid-in capital2,0951,9741,9001,7961,885
Retained earnings-986-1,140-1,227-1,216-1,297
Treasury stock-4.9-22.8-15.4-39.3
Other comprehensive income-53.2-9.54-2.91.7-4.82
Shareholders' equity1,056820648567544
Minority interests1.185.8814.38.1610.1
Total equity1,057826662575554
Total liabilities and equity1,3821,110957785742

Cash flow statement

FY2021FY2022FY2023FY2024FY2025
Net income-204-229-118-23.1-27.9
Depreciation and amortization3.373.663.513.012.72
Stock-based compensation86.154.223.28.1212.5
Deferred income tax-0.17-0.35-0.54-0.412.91
Change in receivables-58.8-19.39.0728.512.9
Cash from operations-69.1-162-58.5-38.4-52
Capital expenditures-1.17-0.1-1.2-0.37-0.19
Purchases of investments-1,007-1,529-1,061-1,249-1,918
Cash from investing-492506-237351-16.6
Stock issued3.62.840.640.16
Share buybacks-18.6-52.1-54.9-23.9
Cash from financing765-15.7-51.4-55.3-18.8
Exchange rate effect-15.714.75.992.04-2.62
Net change in cash188343-341259-90.1
Free cash flow-70.3-162-59.7-38.8-52.2
Interest paid0.21
Income taxes paid1.570.240.55

Key metrics

Worked out from the statements above. Latest values use fiscal 2025. Valuation uses the share price of $3.80 on September 28, 2026.

Profitability

MetricValueHow it is calculated
Gross margin59.9%Gross profit / revenue.
Operating margin-18.5%Operating income / revenue.
EBITDA margin-17.8%EBITDA (operating income + depreciation and amortization) / revenue.
Pre-tax margin-6.3%Pre-tax income / revenue.
Net margin-7.0%Net income / revenue.
FCF margin-13.3%Free cash flow (cash from operations - capital expenditures) / revenue.
Operating cash flow margin-13.2%Cash from operations / revenue.
Return on equity (ROE)-5.0%Net income / average shareholders' equity (opening and closing). Not shown when equity is negative.
Return on assets (ROA)-3.6%Net income / average total assets.
Return on invested capital (ROIC)-141.6%Approximation: operating income x (1 - tax rate) / average (total debt + equity - cash). Tax rate is the effective rate when between 0% and 50%, else 21%.
R&D / revenue19.1%Research and development expense / revenue.
Stock-based pay / revenue3.2%Stock-based compensation (from the cash flow statement) / revenue.
Capex / revenue0.0%Capital expenditures / revenue.
D&A / revenue0.7%Depreciation and amortization / revenue.

Growth

MetricValueHow it is calculated
Revenue growth, 1y-20.3%Revenue vs the same period a year earlier. Only from a positive base.
Revenue CAGR, 3y-9.1%Compound annual growth of revenue over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Gross profit growth, 1y-21.1%Gross profit vs the same period a year earlier. Only from a positive base.
Gross profit CAGR, 3y-3.5%Compound annual growth of gross profit over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Book value growth, 1y-4.0%Book value vs the same period a year earlier. Only from a positive base.
Book value CAGR, 3y-12.8%Compound annual growth of book value over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Total assets growth, 1y-5.5%Total assets vs the same period a year earlier. Only from a positive base.
Total assets CAGR, 3y-12.6%Compound annual growth of total assets over 3 fiscal years: (end / start)^(1/3) - 1. Only when both values are positive.
Share count change, 1y-12.3%Change in diluted weighted shares vs a year earlier. Negative means buybacks shrank the share count; positive means dilution.
Share count change per year, 3y-7.7%Change in diluted weighted shares, per year over 3 years. Negative means buybacks shrank the share count; positive means dilution.

Balance sheet health

MetricValueHow it is calculated
Current ratio3.73xCurrent assets / current liabilities.
Quick ratio3.60x(Cash + short-term investments + receivables) / current liabilities.
Cash ratio3.32x(Cash + short-term investments) / current liabilities.
Liabilities / assets25.3%Total liabilities / total assets.
Working capital$495.3MCurrent assets - current liabilities.
Goodwill and intangibles / assets0.6%(Goodwill + intangible assets) / total assets.
Tangible book value$539.8MShareholders' equity - goodwill - intangible assets.

Efficiency

MetricValueHow it is calculated
Asset turnover0.51xRevenue / average total assets.
Fixed asset turnover408xRevenue / average property, plant and equipment.
Receivables turnover7.22xRevenue / average receivables.
Days sales outstanding51 days365 x average receivables / revenue.
Days payables246 days365 x average accounts payable / cost of revenue.

Per share

MetricValueHow it is calculated
EPS, diluted-$0.11Net income per diluted share, as reported (split-adjusted). Over the last twelve months: the four quarters summed, or net income / latest diluted shares when a quarter has no reported EPS.
EPS, basic-$0.11Net income per basic share, as reported (split-adjusted).
Revenue per share$1.64Revenue / diluted weighted shares.
FCF per share-$0.22Free cash flow / diluted weighted shares.
Operating cash flow per share-$0.22Cash from operations / diluted weighted shares.
Book value per share$2.27Shareholders' equity / shares outstanding (diluted weighted shares when not reported).
Tangible book per share$2.25Tangible book value / shares outstanding.
Cash per share$2.51(Cash + short-term investments) / shares outstanding.

Valuation

MetricValueHow it is calculated
Market cap$337.4MShare price x shares outstanding.
Enterprise value-$264.7MMarket cap + total debt - cash - short-term investments.
P/S0.86xMarket cap / revenue.
P/B0.62xMarket cap / shareholders' equity. Only when equity is positive.
Price / tangible book0.63xMarket cap / tangible book value, when positive.
FCF yield-15.5%Free cash flow / market cap.
Earnings yield-8.2%Net income / market cap (the inverse of P/E).
Shareholder yield7.1%(Dividends paid + share buybacks) / market cap.
What was Zhihu Inc.'s revenue in fiscal 2025?

Zhihu Inc. reported revenue of $393.1M for fiscal 2025, 20.3% lower than the year before.

Was Zhihu Inc. profitable in fiscal 2025?

No. It reported a net loss of $27.6M.

How much free cash flow did Zhihu Inc. generate in fiscal 2025?

Cash from operations of $52.0M minus capital expenditures of $189.0K left free cash flow of -$52.2M.

Source: SEC EDGAR XBRL company facts. Where a company tags only year-to-date figures, quarters are worked out as differences. Where a line is not tagged it is left empty, never estimated.

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