On August 24th, the fitness technology company KEEP (03650.HK) announced its interim results for the six months ending June 30, 2026. During the reporting period, KEEP achieved total revenue of RMB 825 million, a year-on-year increase of 0.4%, alongside an adjusted net profit of RMB 5.88 million under the non-IFRS framework. The company recorded a gross profit of RMB 422 million, with an overall gross margin of 51.1%.

During the period, revenue from self-branded fitness products grew 21.7% year-on-year to RMB 483 million, with the gross margin improving by 5.3 percentage points to 40.1%. Online membership and paid content revenue reached RMB 247 million, while advertising and other revenue amounted to RMB 96 million, up 9.3% year-on-year. In terms of user metrics, KEEP reported average monthly active users of 18.58 million and average monthly paying subscribers of 2.17 million, translating to a membership penetration rate of 11.7%. The ARPU rose from RMB 6.1 in the same period last year to RMB 7.4, a year-on-year increase of 21.3%. Additionally, average monthly workout duration per MAU grew 15.3% year-on-year, with sustained improvements in both MAU and DAU exercise rates.

AI Capabilities Surge as Model Applications Materialize

In the first half of 2026, KEEP's AI strategy accelerated its implementation. In April, the company launched its proprietary vertical large model for sports and health, Keepace.ai. This model integrates the platform's decade-long accumulation of hundreds of millions of exercise data points, sports science literature, and expert knowledge, focusing on three core capabilities: training course generation, exercise knowledge Q&A, and exercise data interpretation. In August, Keepace.ai completed national and Beijing municipal large model registrations, concurrently disclosing the MoveBench evaluation benchmark for sports and health large models. Under this evaluation framework, Keepace.ai scored higher than all participating models in two tasks, with its overall score matching that of top-tier general-purpose large models in the industry.

Currently, Keepace.ai has been progressively integrated into core exercise scenarios within the KEEP App. The Keep exercise course Agent now covers key categories including gym equipment, yoga, and running, with over 8,000 AI-powered courses launched in the first half of the year. The voice-based running companion Agent, built on Keepace.ai, enables rich two-way interactions. In the newly iterated Keep App 9.1, AI has been embedded throughout the entire exercise journey—before, during, and after workouts. According to the financial report, daily Token call volume on the KEEP App surged from 8.4 billion in March to 18.5 billion in July, achieving a doubling in growth.

On the B-end commercialization front, KEEP stated that its sports and health large model is highly compatible with AI service integration needs in sectors such as fitness hardware manufacturers, insurance, and healthcare. The company's layered assets—combining a "sports science resource library, a registered vertical model, and proven Agent capabilities"—position it to serve as an AI solution provider for the sports and health industry.

Consumer Products See Strong Growth with Aggressive Overseas Expansion

The financial report shows that in the first half of 2026, KEEP's self-branded fitness product revenue reached RMB 483 million, up 21.7% year-on-year, with gross margin improving from 34.8% to 40.1% compared to the same period last year. Notably, sports equipment revenue grew 49% year-on-year, now accounting for over 60% of total consumer product revenue. On the product front, KEEP continued to focus on indoor fitness scenarios, expanding categories such as muscle building, body shaping, and yoga, with GSV growth rates of 63%, 49%, and 33% respectively across these three categories.

In terms of sales channels, KEEP maintained steady performance on Tmall and JD.com, while distribution channels grew 35% year-on-year and Douyin channel scale expanded by more than 50%. The financial report also revealed that overseas revenue exceeded RMB 22 million in the first half of the year, primarily driven by Amazon and TikTok as major channels, with a focus on sports equipment. The company is actively pursuing collaborations with additional overseas e-commerce platforms.

KEEP stated that it will continue advancing its "AI-driven sports and health ecosystem." In the second half of the year, the company plans to further deploy Keepace.ai across App scenarios including customized courses, in-workout guidance, and post-workout review, while expanding multimodal processing capabilities and exploring commercialization opportunities for AI memberships and B-end services. For the consumer products business, KEEP will continue refining its category and channel strategies around core exercise scenarios while accelerating overseas market expansion.