Gaotu Techedu reported strong revenue growth in Q2 2024, with net revenues increasing 43.6% YoY to RMB1.01 billion. Gross billings surged 87.4% YoY to RMB1.65 billion, while deferred revenue reached RMB1.6 billion, up 71.5% YoY. However, the company recorded a net loss of RMB429.6 million compared to a net income of RMB56.2 million in Q2 2023.The significant revenue growth was driven by strong market demand and improved product recognition. However, operating expenses jumped 144.2% to RMB1.16 billion due to workforce expansion and increased marketing spending. Gross profit margin declined to 69.0% from 73.8% YoY as costs rose from expanding instructor teams and learning materials.Looking ahead, Gaotu expects Q3 2024 revenues between RMB1.19-1.21 billion, representing 50.5-53.0% YoY growth. The company maintains a strong financial position with RMB4.1 billion in cash and investments as of June 30, 2024. Management remains focused on core education businesses, product expansion, and operational efficiency to drive sustainable growth.

Gaotu Techedu reported strong revenue growth in Q2 2024, with net revenues increasing 43.6% YoY to RMB1.01 billion. Gross billings surged 87.4% YoY to RMB1.65 billion, while deferred revenue reached RMB1.6 billion, up 71.5% YoY. However, the company recorded a net loss of RMB429.6 million compared to a net income of RMB56.2 million in Q2 2023.The significant revenue growth was driven by strong market demand and improved product recognition. However, operating expenses jumped 144.2% to RMB1.16 billion due to workforce expansion and increased marketing spending. Gross profit margin declined to 69.0% from 73.8% YoY as costs rose from expanding instructor teams and learning materials.Looking ahead, Gaotu expects Q3 2024 revenues between RMB1.19-1.21 billion, representing 50.5-53.0% YoY growth. The company maintains a strong financial position with RMB4.1 billion in cash and investments as of June 30, 2024. Management remains focused on core education businesses, product expansion, and operational efficiency to drive sustainable growth.