VNET Group (NASDAQ: VNET) shares soared 5.29% in pre-market trading on Thursday following the release of its third quarter 2025 financial results and an upward revision of its full-year guidance.

The Chinese internet data center services provider reported a 21.7% year-over-year increase in total net revenues to RMB2.58 billion (US$362.7 million) for Q3 2025. This growth was primarily driven by the company's wholesale IDC business, which saw an impressive 82.7% year-over-year revenue increase. Adjusted EBITDA rose 27.5% to RMB758.3 million (US$106.5 million), with an adjusted EBITDA margin of 29.4%, up from 28.0% in the same period last year.

Despite posting a net loss of RMB307.0 million (US$43.1 million) for the quarter, investors appeared to focus on VNET's strong operational performance and optimistic outlook. The company raised its full-year 2025 guidance, now expecting total net revenues between RMB9,550 million to RMB9,867 million, representing a year-over-year growth of 16% to 19%. Additionally, VNET projects adjusted EBITDA to be in the range of RMB2,910 million to RMB2,945 million, indicating a year-over-year growth of 20% to 21%.

VNET's CEO, Josh Sheng Chen, highlighted the company's strong quarter and emphasized its strategy to capitalize on AI-driven demand. The firm secured new wholesale orders totaling 63MW and approximately 2MW in retail orders from various industries during Q3, with momentum accelerating into Q4 as evidenced by an additional 32MW wholesale order from an internet sector customer.