The global artificial intelligence (AI) infrastructure investment is currently in a period of high-intensity expansion. The combined capital expenditure cap for the four major cloud service providers—Microsoft (US.MSFT), Amazon (US.AMZN), Alphabet (US.GOOG), and Meta (US.META)—is expected to reach approximately $72.5 billion by 2026, representing a 77% increase from 2025. According to data from the China Academy of Information and Communications Technology, the domestic computing power leasing market reached RMB 68 billion (all in RMB unless otherwise specified) in the first quarter of 2026, a year-on-year increase of 62%. During the same period, demand for AI computing power surged 417% year-on-year, while effective supply grew only 128%, causing the supply-demand gap to continue widening.
Against this backdrop, DeXiang New Cloud Computing (00199) announced that on September 28, its indirectly wholly-owned subsidiary entered into an agreement to acquire 80% equity interest in Guangzhou Zhaoqi Xiyang Technology for a cash consideration of RMB 83.616 million. The target company has received 26 high-performance servers, totaling 336 GPUs, with a total equipment value of approximately RMB 487.6 million, and has signed two computing power scheduling contracts with an AI infrastructure company in Shanghai, with a total service fee amounting to RMB 648.96 million. The first contract has already commenced delivery and payment collection, while the deposit for the second contract has been received. As of September 3, RMB 16.552 million has been collected from customers.
From a profitability perspective, upon full execution of the two contracts, the monthly contract value will be no less than RMB 10.816 million, amounting to approximately RMB 129.79 million annually. Based on unaudited management estimates, the annual gross profit is expected to be around RMB 47.79 million, representing a gross margin of 36.82%, with EBITDA of approximately RMB 124.99 million and a profit margin of 96.3%. The difference reflects equipment depreciation, and EBITDA does not equate to distributable profit. In terms of financing, the target company has secured factoring financing of RMB 517.6 million at a nominal annual interest rate of 0.255%, with customers required to prepay service fees monthly. The total contract value over five years exceeds the factoring principal, interest, and management fees (approximately RMB 563.41 million) by about RMB 85.55 million.
Global AI capital expenditure remains high, and high-end GPU computing power continues to face supply shortages. The Neocloud model is shifting from fixed leasing to a “long-term guaranteed + Token elasticity” model, while domestic policies strongly support coordinated development of computing and electricity. Amid the persistent computing power supply-demand imbalance, the group has entered the scheduling services market with a clear strategy combining delivered equipment, contracted customers, and secured financing. Overall, DeXiang New Cloud Computing is a highly flexible transformation play. In the short term, its stock price is driven by GPU acquisitions and computing power contracts; in the medium term, the key lies in AI segment revenue from the interim report, monthly cash collections, and progress of the Nantong AIDC; in the long term, it hinges on Token/MaaS platformization. As the two contracts are fully executed and monthly collections gradually materialize, the group’s transition from asset investment to revenue realization has become increasingly clear, and the effectiveness of its medium- to long-term transformation is worth anticipating. By Tang Shing-hing, Chairman of the Hong Kong Analysts Association and Executive Partner at Ebo Capital Asia Limited
*The author is a licensed person under the SFC and does not hold any position in the aforementioned stocks.
*Articles published in ETNet under named or unnamed authors reflect the authors' personal opinions and do not represent ETNet's stance. ETNet serves as a platform providing free expression of views.
Against this backdrop, DeXiang New Cloud Computing (00199) announced that on September 28, its indirectly wholly-owned subsidiary entered into an agreement to acquire 80% equity interest in Guangzhou Zhaoqi Xiyang Technology for a cash consideration of RMB 83.616 million. The target company has received 26 high-performance servers, totaling 336 GPUs, with a total equipment value of approximately RMB 487.6 million, and has signed two computing power scheduling contracts with an AI infrastructure company in Shanghai, with a total service fee amounting to RMB 648.96 million. The first contract has already commenced delivery and payment collection, while the deposit for the second contract has been received. As of September 3, RMB 16.552 million has been collected from customers.
From a profitability perspective, upon full execution of the two contracts, the monthly contract value will be no less than RMB 10.816 million, amounting to approximately RMB 129.79 million annually. Based on unaudited management estimates, the annual gross profit is expected to be around RMB 47.79 million, representing a gross margin of 36.82%, with EBITDA of approximately RMB 124.99 million and a profit margin of 96.3%. The difference reflects equipment depreciation, and EBITDA does not equate to distributable profit. In terms of financing, the target company has secured factoring financing of RMB 517.6 million at a nominal annual interest rate of 0.255%, with customers required to prepay service fees monthly. The total contract value over five years exceeds the factoring principal, interest, and management fees (approximately RMB 563.41 million) by about RMB 85.55 million.
Global AI capital expenditure remains high, and high-end GPU computing power continues to face supply shortages. The Neocloud model is shifting from fixed leasing to a “long-term guaranteed + Token elasticity” model, while domestic policies strongly support coordinated development of computing and electricity. Amid the persistent computing power supply-demand imbalance, the group has entered the scheduling services market with a clear strategy combining delivered equipment, contracted customers, and secured financing. Overall, DeXiang New Cloud Computing is a highly flexible transformation play. In the short term, its stock price is driven by GPU acquisitions and computing power contracts; in the medium term, the key lies in AI segment revenue from the interim report, monthly cash collections, and progress of the Nantong AIDC; in the long term, it hinges on Token/MaaS platformization. As the two contracts are fully executed and monthly collections gradually materialize, the group’s transition from asset investment to revenue realization has become increasingly clear, and the effectiveness of its medium- to long-term transformation is worth anticipating. By Tang Shing-hing, Chairman of the Hong Kong Analysts Association and Executive Partner at Ebo Capital Asia Limited
*The author is a licensed person under the SFC and does not hold any position in the aforementioned stocks.
*Articles published in ETNet under named or unnamed authors reflect the authors' personal opinions and do not represent ETNet's stance. ETNet serves as a platform providing free expression of views.
