The following is a summary of the Sunlands Technology Group (STG) Q1 2024 Earnings Call Transcript:

Financial Performance:

• Sunlands reported Q1 net revenue of RMB2253.2 million with slight decrease compared to previous year but showed an increased net income of RMB1,470 million.

• Net income margin for the quarter stood at 21.5%.

• Company's cash and short-term investments increased by 8.2% from the year-end, totaling RMB983.2 million.

• Despite a decline in gross billings, company saw an increase in revenue from sales of goods including books and learning materials.

• Operating expense in Q1 2024 was RMB341.1 million, a 6.4% increase from Q1 2023.

• Sunlands predicted a year-over-year decrease of 5% to 8.8% for Q2 2024 net revenues, expected to be between RMB480 million and RMB500 million.

Business Progress:

• An impressive surge in enrolment was observed for Q1, increasing by 22.8% to over 175,000 students.

• Post-secondary programs now account for 14.3% of the total revenue.

• Their interest programs and educational travel adventure projects launched last year performed well, with current revenues surpassing 65% of earnings for the whole of 2023.

• Primary source of revenue remains the sector which includes professional certifications, professional skills, and interest programs, contributing 74.4% to the total revenue.

• Sunlands is steadily increasing the integration of AI and large models into its business operations.

More details: Sunlands Technology IR

Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.