Shares declined 9.3% as investors reacted negatively to cautious commentary on near-term volume growth and slower move-in rates despite solid bookings, suggesting concerns over deceleration and margin sustainability.

• Total new bookings reached 1.8 gigawatts through 1Q, with 340 megawatts booked year-to-date against the 2026 target of at least 500 megawatts.
• Construction resumed aggressively with over 100,000 sqm (approx. 400 megawatts) initiated, largely pre-committed, but move-in area expanded by just 16,000 sqm in 1Q, with a slightly lower forecast for the current quarter.
• Adjusted gross profit yield remained stable at around 11%, consistent with prior periods, but pricing and returns bear watching amid substantial upcoming capacity additions.
• Pro forma revenue and adjusted EBITDA excluding onetime items grew 12%-13%, yet market appears skeptical on translating bookings into near-term cash flow growth given operational timing.
• RMB 770 million in organic CapEx spent in 1Q, alongside proceeds of RMB 4.8 billion from equity sales and convertible issuance, supporting a healthy balance sheet.