BEKE KE Holdings Inc.
Price Chart
Executive Summary
KE Holdings (BEKE) reported Q1 2026 GAAP EPS of RMB1.15 (US$0.17) per ADS and net revenues of RMB18.9B, a 19.0% YoY decline from RMB23.3B. Revenues missed the analyst consensus of RMB18.55B by only 1.9% (in-line), but GTV dropped 15.6% YoY, driven by a 37.2% plunge in new home GTV. Net income rose 46.7% YoY to RMB1,255M, but this is on a much lower revenue base and reflects cost cuts rather than top-line growth. The key takeaway is the diverging performance: revenue declines offset by margin expansion, creating a mixed picture with a negative bias given the top-line contraction.
Key Financial Metrics
Actionable Insight
The 15.6% GTV decline and 37% new home plunge signal ongoing weakness in China's housing market, which could pressure forward estimates. Monitor upcoming Q2 2026 data for signs of stabilization; the margin improvement suggests cost control is strong, but without top-line growth, the stock may remain range-bound. The active agent decline is a leading indicator for future GTV.
Key Facts
- Net revenues fell 19.0% YoY to RMB18.9B (US$2.7B), slightly above consensus of RMB18.55B.
- GAAP net income per ADS was RMB1.15 (US$0.17), a 51.3% YoY increase from RMB0.76, but a 31.9% decline from the consensus estimate of $0.91 on an absolute basis (implied by RMB6.9 RMB/USD).
- Total GTV dropped 15.6% YoY; new home GTV collapsed 37.2% YoY, signaling severe weakness in the developer segment.
- Existing home GTV fell 7.9% YoY, with commission revenue from Lianjia stores down 14.1%.
- Gross margin improved to 24.1% from 20.7% YoY, and operating income doubled to RMB1,273M from RMB591M, driven by cost optimization.
- Active agents declined 7.6% YoY to 453,438, continuing a trend of headcount reduction.
- The company repurchased ~US$195M of shares in Q1, up ~40% YoY.
- Cash and investments totaled RMB53.9B (US$7.8B), providing a strong balance sheet buffer.
Financial Impact
Net revenue missed consensus by ~1.9%, but the YoY decline of 19% is the more relevant metric. Cost cuts drove a 46.7% net income increase, but on a shrinking top line — the market is likely to focus on the revenue and GTV declines.
Risk Factors
- Further deterioration in China's real estate market could accelerate revenue decline.
- Continued reduction in agent count may limit the platform's ability to capture a rebound.
- Guidance was not provided in the release; absence of forward outlook increases uncertainty.
Market Snapshot
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3297245 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
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May 20, 2026
3d ago
|
6-K
| $18.05 awaiting T+5 | awaiting T+5 | — | $16.40 (−9.14%) |
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May 19, 2026
4d ago
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Press Release
| $17.81 awaiting T+5 | awaiting T+5 | — | $16.40 (+7.92%) |
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May 18, 2026
5d ago
|
6-K
| — | awaiting T+5 | — | — |
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May 15, 2026
8d ago
|
Press Release
| $18.86 awaiting T+5 | awaiting T+5 | — | $16.40 (+13.02%) |
|
May 11, 2026
12d ago
|
6-K
| $19.19 $17.80 | ▼ −7.24% | ▼ −7.16% | $16.40 (−14.54%) |
|
May 8, 2026
15d ago
|
6-K
| $18.87 $18.86 | ▼ −0.05% | ▼ −1.52% | $16.40 (−13.09%) |
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May 7, 2026
16d ago
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Press Release
| $18.41 $19.59 | ▲ +6.41% | ▲ +4.91% | $16.40 (−10.92%) |
|
May 4, 2026
19d ago
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6-K
| $17.46 $19.19 | ▲ +9.91% | ▲ +6.97% | $16.40 (−6.07%) |
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Apr 27, 2026
26d ago
|
6-K
| $16.03 $17.46 | ▲ +8.92% | ▲ +8.52% | $16.40 (+2.31%) |
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Apr 24, 2026
29d ago
|
6-K
| $16.18 $17.13 | ▲ +5.87% | ▲ +4.96% | $16.40 (+1.36%) |
US Market Status
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