DBAPPSecurity
Hangzhou vendor selling vulnerability scanning, WAF, and database/log auditing tools in China.
On the record
Checkpoint: H1 2026 interim results, testing whether revenue growth and AI share hold up
The call
Revenue is flat, losses are shrinking mostly through headcount cuts, and AI remains a small, company-reported slice of a business squeezed by bigger domestic rivals.
DBAPPSecurity sells security software like vulnerability scanning and database protection to Chinese companies, protected by China's preference for domestic vendors. However, larger competitors like Qi An Xin, Huawei, and Alibaba Cloud sit behind the same Chinese wall and have more money, better customer relationships, and faster AI tools, so the protection does not help DBAPPSecurity stand out. Sales have been stuck flat for two years, the company cut staff by 19 percent to stay profitable, and AI automation is turning the core products into commodities that anyone can build, so the one thing that could reverse this is a breakthrough in AI security that customers actually pay extra for, but NSFOCUS is already winning that race.
Why
01
AI pressure: NSFOCUS's AI-native security tools and agentic SOC automation. AI automation commoditizes scanning and log auditing while NSFOCUS gets third-party validation DBAPPSecurity lacks, whose AI is 2.7% of revenue. Could AI do the core job? Yes, likely.
02
Bigger players: Qi An Xin, Huawei, Alibaba Cloud, Tencent Security. Bigger rivals sell the same scanning, WAF, and audit tools inside China's same regulatory shield, with deeper government ties. Could a giant copy it? Yes, easily.
03
What protects it. China's rules keep Western cybersecurity vendors out, but that wall protects every domestic rival equally, not DBAPPSecurity specifically.
What would change this call
DBAPPSecurity's H1 2026 interim results (due within 6 months of July 2026). Shows whether revenue growth and profitability are genuinely re-accelerating or stalling again.
Whether AI-related revenue share rises past ~2.7% with third-party (not company-reported) validation. Shows whether its AI push is a real differentiator or just marketing framing.
Whether NSFOCUS or Qi An Xin secure new Forrester/independent AI-security recognition DBAPPSecurity lacks. Shows whether larger rivals are widening the AI-capability gap.
Whether AI-related revenue share rises past ~2.7% with third-party (not company-reported) validation. Shows whether its AI push is a real differentiator or just marketing framing.
Whether NSFOCUS or Qi An Xin secure new Forrester/independent AI-security recognition DBAPPSecurity lacks. Shows whether larger rivals are widening the AI-capability gap.
Key numbers
- FY2025 revenue CNY 2.151B, up 5.32% YoY
- FY2025 net loss CNY -57.5M, narrowed 70.94%
- Headcount down ~19% from 2022 to 2025
Named risks
- Three years of flat-to-declining revenue (2023-2025) with only marginal 2025 uptick.
- Persistent net losses despite 70% narrowing in FY2025, still CNY -57.5M.
- AI revenue remains only ~2.7% of total, company-reported and unaudited by third parties.
- Sustained ~19% headcount reduction 2022-2025 may erode delivery capacity.
- Not currently on US BIS Entity List but sits in blast radius of steady cadence of actions against Chinese cyber firms.
Rivals, as read in July 2026
| Rival | Direction | Evidence |
|---|---|---|
| Qi An Xin | losing to | Qi An Xin market cap ~CNY 16.4B vs DBAPPSecurity ~CNY 3.5B as of July 2026, 4-5x larger |
| NSFOCUS | losing to | NSFOCUS featured in Forrester AI-native cloud security China report, June 2026, ahead on external AI validation |
| Huawei | losing to | Named among cloud/platform giants leading broader China cybersecurity market per July 2026 MarketsandMarkets report |
| Alibaba Cloud | losing to | Cited alongside Huawei, Tencent as market-leading incumbent with deeper enterprise relationships |
| Tencent Security | losing to | Listed as leading player in China cybersecurity market per Mordor Intelligence, January 2026 |
| Topsec | contesting | Profiled as direct MSS competitive peer alongside DBAPPSecurity in Dec 2024 market report |
Questions people ask
- Is DBAPPSecurity profitable in 2026?
- No. DBAPPSecurity reported a net loss of CNY 57.5 million for FY2025, though this was a 70.94% improvement from FY2024's loss, according to the company's March 2026 annual report. Revenue grew only 5.32% YoY to CNY 2.151 billion, showing stagnation rather than a turnaround.
- Has DBAPPSecurity been laying off staff?
- Yes. Headcount fell from 4,350 employees in December 2022 to 3,516 by December 2025, a roughly 19% reduction over three years, per stockanalysis.com data as of July 2026. The company frames this alongside AI-driven cost efficiency gains.
- Could AI replace DBAPPSecurity's core products?
- AI-driven SOC automation threatens to commoditize DBAPPSecurity's vulnerability scanning, log/database auditing, and WAF workflows. Rival NSFOCUS was already featured in a June 2026 Forrester report on AI-native cloud security in China, while DBAPPSecurity's own AI revenue was just ~2.7% of total sales in 2025.
- Who is DBAPPSecurity's biggest competitor?
- Qi An Xin (688561.SS) is the largest direct peer, with a market cap of roughly CNY 16.4 billion as of July 2026, about 4-5 times DBAPPSecurity's ~CNY 3.5 billion valuation. Cloud giants Huawei, Alibaba Cloud, and Tencent Security also dominate the broader China cybersecurity market.
- Who owns DBAPPSecurity?
- DBAPPSecurity (688023.SS) is a standalone, publicly traded Shanghai STAR Market company with no parent. Wanjia Asset Management held roughly 9.3-9.5% of shares as of December 2025, according to Financial Times data, with other institutional holders including Harfor Fund and China Asset Management.
- Is DBAPPSecurity's revenue growing?
- Growth has stalled. Revenue was CNY 2.17B in FY2023, dropped to CNY ~2.04B in FY2024 (down 5.87%), then rose slightly to CNY 2.151B in FY2025 (up 5.32%). Q1 2026 revenue grew just 4.44% YoY to CNY 324.93 million, per stockanalysis.com as of July 2026.
Timeline
- 2026-06-03NSFOCUS interviewed in Forrester report on AI-native cloud security ecosystem in China
- 2026-03-25FY2025 results: revenue CNY 2.151B (+5.32%), net loss narrowed 70.94% to CNY -57.5M
- 2025-11-04DBAPPSecurity announces Malaysia market entry via Fortesys Sdn Bhd partnership
- 2025-03-24US BIS adds 80 entities to Entity List, targeting China's AI and advanced computing capabilities
- 2024-12-13Research and Markets profiles DBAPPSecurity, NSFOCUS, Qi-Anxin, Topsec as China MSS peers
- 2024-10-21US BIS adds 26 entities to Entity List including Chinese tech/cyber firms
- 2024FY2024 revenue declines to CNY ~2.04B, down 5.87% YoY
- 2022-12Headcount peaks at 4,350 employees before multi-year decline begins
Revision history
26 July 2026
First assessed. Losing its protection. The text above is fixed as of this date and is not edited afterwards.
In the same band
Sources
- AI Strategy Shows Results, Revenue Grows Slightly, Net Loss Narrows Significantly by Over 70% (2026-03-25)
- DBAPPSecurity (SHA:688023) Revenue (2026-07-14)
- DBAPPSecurity Co. Ltd. A Company Profile & Executives (2026-02-02)
- 688023) Number of Employees (2026-07-05)
- gurufocus.com (2026-07-25)
- DBAPPSecurity Co Ltd, 688023:SHH profile (2026-07-15)
- NSFOCUS Interviewed in Forrester's 2026 Navigate The AI-Native Cloud Security Ecosystem in China (2026-06-03)
- China Managed and Professional Security Services Market (2024-12-13)
- DAS-Security_Leading Cybersecurity Products and Services Provider_安恒信息 (2025-11-04)
- China Cybersecurity Market Report 2025-2030 (2026-07-06)
- Commerce Adds 26 Entities to the Entity List (2024-10-21)
- Commerce Further Restricts China's Artificial Intelligence, Advanced Computing Capabilities (2025-03-24)