VNET Group (NASDAQ: VNET) shares surged 5.29% in pre-market trading on Thursday following the release of its third-quarter 2025 financial results and an upward revision to 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. Despite posting a net loss of RMB307.0 million (US$43.1 million), VNET's adjusted EBITDA rose 27.5% to RMB758.3 million (US$106.5 million), with an improved adjusted EBITDA margin of 29.4%.

Investors appear to be focusing on VNET's strong top-line growth and its 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 anticipates adjusted EBITDA to be in the range of RMB2,910 million to RMB2,945 million, projecting a year-over-year growth of 20% to 21%. The revised guidance and robust order momentum, including new wholesale orders totaling 63MW, suggest continued growth potential, particularly in the AI-driven demand for data center services.