According to the Zhihu-W (02390) quarterly performance report for the three months ended June 30, 2024, the total revenue for the second quarter of 2024 was 0.934 billion yuan (RMB), with a gross margin of 0.5565 billion yuan and a net loss of 80.595 million yuan, a year-on-year narrowing of 71.1%. After adjustment, the net loss narrowed by 79.9% to 44.595 million yuan, with a net loss per share of 0.3 yuan.

It is reported that the gross margin increased from 53.8% in the same period of 2023 to 59.6%, mainly due to the enhancement of our commercialization capabilities and the improvement of operational efficiency. The average monthly active users (MAUs) for the second quarter of 2024 was 80.6 million people, with an average monthly subscription of 14.7 million people.

Mr. Zhou Yuan, Chairman and CEO of Zhihu, said, "Our strategic decisions and efficient execution have brought excellent financial performance in the second quarter of 2024. At the same time, we have made significant progress in improving the core user experience, with increasing user retention rate and daily active user duration. Under the premise of a trustworthy community, we launched the "Zhihu Direct Answer" at the end of June, marking an important milestone in our progress in the field of AI search. The continuous improvement of user retention rate and positive feedback from users demonstrate our unique advantages and tremendous development potential in this field."

Mr. Wang Han, CFO of Zhihu, added, "The second quarter was the quarter with the lowest loss since our initial public offering in the United States. This quarter, we achieved a high level of return on investment in all business lines while maintaining disciplined spending. In addition, we are committed to improving shareholder returns in various ways. Looking ahead, we will continue to strengthen strategic execution while pursuing long-term sustainable profitability."