On May 6, the AI application sector in Hong Kong stocks strengthened again, with Meitu, Inc. (01357.HK) standing out. During the session, the stock once surged over 17%–18%. As of the time of writing, shares were trading at approximately HKD 4.66, up about 11%, with an intraday high of HKD 4.95. Trading volume expanded significantly compared to the previous session, reflecting rising investor interest. Earlier in the morning session, the stock had climbed more than 18%, marking a notably strong performance.

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Subscription Ecosystem Expands, User Base Reaches Record High

User growth remains the foundation of this round of earnings expansion. As of March 2026, Meitu’s paid subscription users exceeded 17.9 million, representing a year-on-year increase of 30.2% and a new historical high.

Structurally, user growth is driven by a “dual-engine” dynamic. On one hand, productivity scenarios are scaling rapidly, with related paying users increasing 52.9% year-on-year to approximately 2.34 million. On the other hand, lifestyle applications continue to contribute the bulk of users, reaching 15.56 million, up 27.4% year-on-year.

This structural shift indicates that Meitu is transitioning from a “tool-based imaging app” toward a “productivity platform,” with improving user value density rather than relying solely on traffic expansion.

Core Business Maintains Strong Growth, Revenue Mix Tilts Toward AI

Supported by user growth, the company’s core business remains robust. In Q1 2026, revenue from imaging and design products increased by 34.3% year-on-year to RMB 852 million, extending its strong growth trajectory.

By segment, productivity applications revenue rose 45.4% year-on-year, significantly outpacing the overall business, while lifestyle application revenue grew 35.5%, continuing to serve as the revenue backbone. This shift sends a clear signal: AI-driven productivity tools are becoming the primary engine of revenue growth and are driving optimization of the company’s business mix.

First Disclosure of Key AI Monetization Metrics Improves Growth Quality

Beyond traditional financial metrics, the market focused on Meitu’s first disclosure of AI productivity application ARR (Annual Recurring Revenue). As of March 2026, this metric reached approximately RMB 580 million, up 56.2% year-on-year, significantly faster than overall business growth.

The disclosure of ARR is meaningful. On one hand, it demonstrates the strong recurring monetization capability of AI-driven services; on the other, it signals that Meitu’s AI products have moved from a “feature experimentation” phase into a stage of “scaled revenue contribution.” Meanwhile, user engagement depth is also increasing rapidly. In March 2026, spending on AI compute credits rose 59% compared to December 2025, indicating growing reliance on AI functionalities.

Expansion of AI Use Cases Opens Long-Term Growth Potential

At the product level, Meitu is expanding its application boundaries through diversified AI tools. The company has introduced multi-agent collaboration models covering scenarios such as short-form drama production, e-commerce content generation, and self-media creation, while continuously iterating its design tools and automation capabilities.

These developments suggest that Meitu is no longer limited to “beautification and photo editing,” but is moving up the value chain into broader content production, securing a position within the AI-driven creative ecosystem.

Conclusion: From Tool to Platform, AI Reshapes Valuation Logic

Overall, Meitu’s sharp share price rally reflects a resonance between “earnings validation” and a strengthened AI narrative. On one hand, both user base and revenue sustained growth of over 30%, demonstrating solid fundamentals. On the other hand, AI productivity business metrics such as ARR provide quantifiable evidence, significantly enhancing market confidence in its long-term monetization capability.

Against the backdrop of accelerating AI adoption, Meitu is transitioning from a traditional imaging tool company into an AI-driven content production platform. As user monetization and engagement depth continue to improve, its valuation framework may shift from a “traffic-driven tool” to an “AI productivity platform”—which could be the core driver behind sustained capital inflows.

How to Buy Meitu on uSMART

After logging into the uSMART HK app, click the “Search” button in the top-right corner of the page, enter the ticker code(01357.HK), and navigate to the details page to view transaction details and historical trends. Click the “Trade” button in the bottom-right corner, select the trade type, and submit your order after filling in the transaction conditions.

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