Zhitong Finance App News, Zhihu-W (02390) released quarterly results for the quarter ended September 30, 2023. The collective period achieved total revenue of 1,022 million yuan (RMB, same below), an increase of 12.1% year on year; net loss of 278 million yuan, a year-on-year decrease of 6.5%; adjusted net loss (non-GAAP) of 225 million yuan, a year-on-year decrease of 10.1%; the average monthly active users (MAUs) reached 111 million; the average monthly subscription membership reached 14.8 million, up 35.9% year on year.

According to the announcement, gross profit increased 23.4% to 549 million yuan from 444 million yuan in the same period in 2022. Gross margin increased to 53.7% from 48.7% in the same period in 2022, mainly due to the Group's increased commercialization efforts and increased efficiency in the use of cloud services and bandwidth.

Mr. Zhou Yuan, Chairman and CEO of Zhihu, said, “In the third quarter of 2023, the significant progress we have made in commercialization and the active atmosphere of the Zhihu community have once again promoted sustainable business growth. Driven by the rapid development of paid membership and vocational training businesses, total revenue continued to grow year over year this quarter. We will invest more resources in the medium to long term to achieve a multi-engine commercialization strategy. This strategy has enabled us to achieve resilient revenue growth this year in the face of macroeconomic uncertainty. I will improve the execution of my strategy and make every effort to narrow my losses. Zhihu will continue to promote the integration of cutting-edge AI technology with products and business operations to improve content quality and user experience.”

Mr. Sha Dachuan, Chief Financial Officer of Zhihu, added, “We achieved another excellent quarter, with total revenue increasing 12.1% year over year. Among the various revenue sources, paid membership revenue increased 39.2% year on year, while vocational training revenue increased rapidly by 85.6% year on year. We continue to improve our cost efficiency and further increase our gross profit margin. Despite the challenging economic situation, we are fully prepared to pursue our growth strategy and achieve our financial goals.”