17 Education & Technology Group Inc. Q3 FY2024 earnings call

• The company continued business progress with consistent growth in schools subscribing to teaching and learning SaaS under subscription models.
• Q3 revenue grew 32% to RMB59.6 million. GAAP and non-GAAP losses narrowed, with adjusted net loss non-GAAP at RMB5.7 million.
• District-level projects: Beijing Xicheng District project completed delivery and revenue recognition; Shanghai Minghang project's second phase wrapped up with strong user engagement.
• School-based subscription projects: 89% of schools with expiring contracts renewed, 37% expanded service scope. Refined teaching and learning SaaS solutions, enhancing personalized learning and error correction features.

In the third quarter of 2024, 17EdTech's core teaching and learning SaaS business made substantial progress. Revenue for the quarter was RMB59.6 million, a 32% increase compared to the same quarter last year. The teaching and learning SaaS segment contributed significantly to overall revenue. District-level projects like the Beijing Xicheng District project successfully delivered and the Shanghai Minghang project's second phase wrapped up. The teaching and learning SaaS business for district-level projects had steady progress with new contract acquisitions, and school-based subscription projects saw 89% of expiring contracts renewed with 37% expansion in service scope.

• Enhance core business and explore new growth opportunities by prioritizing operational efficiency, sustainability, and innovation.
• Aim to deliver competitive, high-quality education solutions that meet customer needs and contribute to regional educational development, leveraging digital learning methods to enhance efficiency and foster individual growth.

• Forward-looking statements are based on current expectations and market conditions, involving known and unknown risks, uncertainties, and factors beyond the company's control that could materially affect actual results. Further information on risks is in the company's SEC filings.