Kanzhun Ltd Annual Report - How They Did This Year

I’m putting together a guide to help you understand how Kanzhun Ltd—the company behind the popular recruitment platform BOSS Zhipin—performed this year. I’ll skip the jargon and focus on what matters to you as an investor.

1. What does this company do?

Kanzhun runs BOSS Zhipin, a leading online recruitment platform in China. Think of it as a digital matchmaker for the job market. Their app connects job seekers directly with employers through instant messaging. By using AI to help people chat, they make hiring faster and more efficient than traditional job boards.

2. How they categorize their business

They group their customers by how much they spend on the platform each year:

• Key Accounts: Large enterprises (over RMB 50,000).
• Mid-Sized Accounts: Businesses spending between RMB 5,000 and RMB 50,000.
• Small-Sized Accounts: Smaller businesses spending less than RMB 5,000.

This structure keeps the business stable. By serving everyone from tiny shops to massive corporations, they don't rely on any single type of employer. They make money by charging employers for job postings and messaging tools.

3. Financial health and shareholder focus

Kanzhun is an established company that has started returning cash to investors. In 2025, they launched an annual dividend policy, paying out about $77.9 million. They also continue to buy back their own stock, which suggests management believes the shares are a good value. Their core recruitment business generates enough cash to fund both platform improvements and these payouts.

4. The "VIE" Structure: What you’re actually buying

When you buy Kanzhun stock, you aren't buying a direct piece of the Chinese operating company. Because Chinese laws restrict foreign ownership in internet sectors, Kanzhun uses a "VIE" structure. You are buying shares in a Cayman Islands holding company that has contracts to receive the profits from the Chinese business.

Moving money out of China is subject to strict government rules on currency. As of late 2025, about RMB 804.9 million (roughly $115 million) is restricted. This money is tied up in legal reserves and cannot easily be sent to international shareholders.

5. Major risks to keep in mind

• Regulatory Hurdles: The company operates in a complex legal environment and faces constant scrutiny over data privacy and cybersecurity. If they fail to follow government rules, they could face fines, be forced to stop operations, or be blocked from adding new users.
• The "Delisting" Risk: They are subject to U.S. laws regarding auditor inspections. If U.S. regulators cannot inspect the company’s books—which requires cooperation from Chinese authorities—the stock could be banned from trading on U.S. exchanges.
• Currency Risk: They earn money in Chinese Renminbi (RMB) but trade in U.S. dollars. If the exchange rate shifts, your investment value changes, even if the company performs well.

6. Competitive positioning

Kanzhun stays ahead by focusing on a mobile-first experience that prioritizes real-time chat. While they face intense competition and strict regulations, their ability to pay dividends shows they are generating real cash. Their success depends on keeping a large, active user base to ensure the platform remains valuable for both job seekers and employers.

Investor Takeaway: Kanzhun is a cash-generative business with a clear dividend policy, but it comes with unique structural and regulatory risks. Before investing, weigh the company's strong market position in China against the complexities of the VIE structure and the potential for government-led changes in the tech sector.