Gaotu Techedu Announces First Quarter 2024 Unaudited Financial Results

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BEIJING, May 21, 2024 /PRNewswire/ -- Gaotu Techedu Inc. (NYSE: GOTU) ("Gaotu" or the "Company"), a technology-driven education company and online large-class tutoring service provider in China, today announced its unaudited financial results for the first quarter ended March 31, 2024.

First Quarter 2024 Highlights[1]

  • Net revenues were RMB946.9 million, increased by 33.9% from RMB707.3 million in the same period of 2023.

  • Gross billings[2] were RMB729.4 million, increased by 35.3% from RMB539.0 million in the same period of 2023.

  • Loss from operations was RMB77.7 million, compared with income from operations of RMB95.1 million in the same period of 2023.

  • Net loss was RMB12.3 million, compared with net income of RMB113.9 million in the same period of 2023.

  • Non-GAAP net income was RMB3.0 million, decreased by 97.7% from RMB133.6 million in the same period of 2023.

  • Net operating cash outflow was RMB197.4 million, compared with RMB216.4 million in the same period of 2023.

 

First Quarter 2024 Key Financial and Operating Data

(In thousands of RMB, except for percentages)



For the three months ended March 31,


2023



2024



Pct. Change

Net revenues


707,292




946,885



33.9 %

Gross billings


538,951




729,360



35.3 %

Income/(loss) from operations


95,139




(77,702)



(181.7) %

Net income/(loss)


113,853




(12,297)



(110.8) %

Non-GAAP net income


133,595




3,039



(97.7) %

Net operating cash outflow


(216,408)




(197,435)



(8.8) %











[1] For a reconciliation of non-GAAP numbers, please see the table captioned "Reconciliations of non-GAAP measures to the most comparable
GAAP measures" at the end of this press release. Non-GAAP income (loss) from operations and non-GAAP net income (loss) exclude share-based
compensation expenses.

[2] Gross billings is a non-GAAP financial measure, which is defined as the total amount of cash received for the sale of course offerings in such
period, net of the total amount of refunds in such period. See "About Non-GAAP Financial Measures" and "Reconciliations of non-GAAP measures
to the most comparable GAAP measures" elsewhere in this press release.

 

Larry Xiangdong Chen, the Company's founder, Chairman and CEO, commented, "We remained laser-focused on refining our educational product and expanding our customer acquisition channels. On the product front, we worked diligently to align our offerings more closely with user needs and made significant progress in diversifying our portfolio to better address user needs and improve learning efficiency. On the customer acquisition front, we expanded customer outreach by tapping into diverse channels, and boost acquisition efficiency by streamlining and optimizing teaching processes tailored to our product and content characteristics. Our cash position remained strong, with a total of RMB3.8 billion in cash, cash equivalents, restricted cash as well as short and long-term investments, RMB374.6 million higher than the same time point last year. Our strong performance in the first quarter has strengthened our confidence to continue strategic investment in educational products and learning services, talent development and organizational enhancements, and expansion into diverse customer acquisition channels.