17 Education & Technology Group Inc. Q2 FY2024 earnings call

• The company achieved a 165% quarter-to-quarter revenue growth in the second quarter, driven by expansion and contract winnings. - Operational loss showed a diminishing trend in the first half of 2024, and net loss on a GAAP basis narrowed compared to the same period last year. - Personalized teaching and learning solutions using data-driven SaaS offerings improved academic metrics like homework completion rates. - User engagements for subscription modes of comprehensive solutions improved, with high retention rates on renewed projects. - Collaborated with over 500 strategic partners in 95 cities across 27 provinces, and initiated partnerships in Qingdao. - District-level projects showed consistent growth, with a Shanghai district having over 23 million homework assignments completed. - Actively formulated the country's first dot matrix pen group standard. - Integrated personalized learning data across scenarios, with 330,000 active student users and over 35 million completed homework assignments.

In the second quarter of 2024, net revenues were RMB67.5 million. Cost of revenues was RMB56.7 million. Gross profit was RMB10.8 million. Total operating expenses were RMB71.0 million. Loss from operations was RMB60.2 million. Net loss was RMB55.7 million. Adjusted net loss non-GAAP was RMB42.6 million. Cash and cash equivalents and term deposits were RMB410.7 million as of June 30, 2024.

• The company's Board of Directors renewed the share repurchase program on September 4th, 2024, authorizing repurchase of up to $10 million of ADS or common shares in the next 12 months. - Will continue to explore and innovate, cultivate product optimization and channel innovation to strengthen core competitiveness, and provide competitive educational solutions for digital transformation.

• Forward-looking statements are based on current expectations and market conditions, subject to known and unknown risks, uncertainties, and factors beyond the company's control. - Risks may cause actual results to differ materially, and more information is in the company's SEC filings.

Q: Are there any questions?

A: Operator states no question at this time