#China #Beijing #financial results #iHuman Inc. #edutainment apps

iHuman Inc. Reports Second Quarter 2025 Financial Performance

On September 18, 2025, iHuman Inc. (NYSE: IH), a prominent provider of technology-driven intellectual development products in China, unveiled its unaudited financial results for Q2 2025. This report not only showcases the company’s fiscal performance but also outlines strategic innovations and collaborations that aim to enhance its global footprint in the education sector.

Financial Highlights

During the second quarter, iHuman achieved revenues totaling RMB 200.2 million (approximately $27.9 million). This figure reflects a decline compared to RMB 215.1 million achieved in the same quarter of the previous year, attributed mainly to a decreased newborn population and conservative consumer spending in China. Despite the decrease in revenue, iHuman's gross profit stood at RMB 135.7 million, indicating a gross margin of 67.8%. Furthermore, the net income for the quarter rose significantly to RMB 31.9 million, up from RMB 24.7 million last year, demonstrating effective cost management and operational efficiencies.

The average total Monthly Active Users (MAUs) in the second quarter was reported as 23.72 million, slightly down from 24.57 million from the previous year, signaling a need for continuous engagement strategies in a competitive market.

Product Innovations

Dr. Peng Dai, the CEO of iHuman, emphasized the advancements made in their flagship application, iHuman Chinese, which saw the introduction of several new features aimed at enriching the learning experience for children. A notable addition is the photo recognition feature that allows young users to easily look up unfamiliar Chinese characters by simply photographing them. This tool not only simplifies learning but also integrates cultural insights, enriching the educational experience.

Additionally, iHuman unveiled a new speaking feature that employs intelligent voice analysis to give real-time feedback on pronunciation. This innovative approach aims to bolster children's confidence and fluency during verbal expression, transforming ordinary practice into engaging learning experiences.

Global Expansion and New Partnerships

Expanding its reach, iHuman has partnered with Cricket Media, a respected brand in the children’s literature space across the U.S. This collaboration will leverage Cricket’s extensive library to create an interactive app called Reading Stars, designed to motivate young readers with personalized pathways and engaging activities. This partnership is expected to enhance iHuman's brand visibility in the U.S. and facilitate deeper integration into the educational and consumer markets.

Moreover, iHuman’s entertainment segment is experiencing growth through its animation studio Kunpeng. Their beloved franchise, Cosmicrew, continues to attract large audiences on streaming platforms, culminating in a new season release that has garnered significant viewership. The synergy between educational applications and entertainment content promotes a unique engagement model that holds promise for user retention and satisfaction.

Future Outlook

Looking ahead, iHuman is dedicated to harnessing artificial intelligence across its operations to boost efficiency and user experience. With an industry-leading product lineup and strong financial health, the company is well-positioned to seize new opportunities. The disciplined execution of their strategic initiatives underlines their commitment to achieving sustainable growth in the edutainment sector. The vibrant road ahead emphasizes consistent innovation, user engagement, and a broader international presence.

In conclusion, iHuman Inc. remains committed to evolving its educational tools and content, ensuring that learning is not only effective but also enjoyable for children. The integration of technology in intellectual development continues to be at the forefront of iHuman’s mission, ultimately enhancing the parenting experience and nurturing future generations.