Sunlands Technology Group Announces Unaudited Fourth Quarter and Full Year 2024 Financial Results
Sunlands Technology Group (NYSE: STG) reported its Q4 and full year 2024 financial results, showing mixed performance. Q4 2024 saw net revenues decrease 10.8% to RMB483.5 million (US$66.2 million), with net income declining to RMB57.8 million from RMB155.2 million year-over-year. Net income margin dropped to 12.0% from 28.6%.
For full year 2024, net revenues decreased 7.8% to RMB1,990.2 million, while net income fell to RMB342.1 million from RMB640.8 million in 2023. However, new student enrollments reached a record 674,649, up from 616,341 in 2023. The company's deferred revenue balance stood at RMB916.5 million as of December 31, 2024.
Looking ahead, Sunlands projects Q1 2025 net revenues between RMB470-490 million, representing a 6.4% to 10.2% year-over-year decrease. The company continues its share repurchase program, having bought back 689,935 ADSs for approximately US$3.9 million.
Sunlands Technology Group (NYSE: STG) ha riportato i risultati finanziari del quarto trimestre e dell'intero anno 2024, mostrando una performance mista. Nel quarto trimestre del 2024, i ricavi netti sono diminuiti del 10,8% a RMB483,5 milioni (US$66,2 milioni), con un utile netto che è sceso a RMB57,8 milioni da RMB155,2 milioni rispetto all'anno precedente. Il margine di utile netto è sceso al 12,0% dal 28,6%.
Per l'intero anno 2024, i ricavi netti sono diminuiti del 7,8% a RMB1.990,2 milioni, mentre l'utile netto è sceso a RMB342,1 milioni da RMB640,8 milioni nel 2023. Tuttavia, le nuove iscrizioni di studenti hanno raggiunto un record di 674.649, in aumento rispetto ai 616.341 del 2023. Il saldo dei ricavi differiti dell'azienda si è attestato a RMB916,5 milioni al 31 dicembre 2024.
Guardando al futuro, Sunlands prevede ricavi netti per il primo trimestre del 2025 compresi tra RMB470 e 490 milioni, rappresentando una diminuzione annuale del 6,4% al 10,2%. L'azienda continua il suo programma di riacquisto di azioni, avendo riacquistato 689.935 ADS per circa US$3,9 milioni.
Sunlands Technology Group (NYSE: STG) informó sobre sus resultados financieros del cuarto trimestre y del año completo 2024, mostrando un rendimiento mixto. En el cuarto trimestre de 2024, los ingresos netos disminuyeron un 10.8% a RMB483.5 millones (US$66.2 millones), con una caída en la utilidad neta a RMB57.8 millones desde RMB155.2 millones en comparación con el año anterior. El margen de utilidad neta cayó al 12.0% desde el 28.6%.
Para todo el año 2024, los ingresos netos disminuyeron un 7.8% a RMB1,990.2 millones, mientras que la utilidad neta cayó a RMB342.1 millones desde RMB640.8 millones en 2023. Sin embargo, las nuevas inscripciones de estudiantes alcanzaron un récord de 674,649, un aumento respecto a los 616,341 en 2023. El saldo de ingresos diferidos de la empresa se situó en RMB916.5 millones al 31 de diciembre de 2024.
Mirando hacia adelante, Sunlands proyecta ingresos netos para el primer trimestre de 2025 entre RMB470 y 490 millones, lo que representa una disminución interanual del 6.4% al 10.2%. La empresa continúa con su programa de recompra de acciones, habiendo recomprado 689,935 ADS por aproximadamente US$3.9 millones.
선랜즈 테크놀로지 그룹 (NYSE: STG)은 2024년 4분기 및 전체 연도 재무 결과를 발표하며 혼합된 성과를 보였습니다. 2024년 4분기에는 순수익이 10.8% 감소하여 RMB483.5백만(미화 66.2백만 달러)에 이르렀고, 순이익은 전년 대비 RMB155.2백만에서 RMB57.8백만으로 감소했습니다. 순이익 마진은 28.6%에서 12.0%로 떨어졌습니다.
2024년 전체로는 순수익이 7.8% 감소하여 RMB1,990.2백만에 이르렀고, 순이익은 2023년의 RMB640.8백만에서 RMB342.1백만으로 감소했습니다. 그러나 신규 학생 등록은 2023년의 616,341명에서 674,649명으로 증가하여 기록을 세웠습니다. 회사의 이연 수익 잔액은 2024년 12월 31일 기준으로 RMB916.5백만에 달했습니다.
앞으로 선랜즈는 2025년 1분기 순수익을 RMB470-490백만으로 예상하며, 이는 전년 대비 6.4%에서 10.2% 감소하는 수치입니다. 회사는 689,935 ADS를 약 390만 달러에 재매입하며 주식 매입 프로그램을 계속 진행하고 있습니다.
Sunlands Technology Group (NYSE: STG) a publié ses résultats financiers pour le quatrième trimestre et l'année complète 2024, montrant des performances mitigées. Au quatrième trimestre 2024, les revenus nets ont diminué de 10,8 % pour atteindre 483,5 millions RMB (66,2 millions USD), avec un bénéfice net tombant à 57,8 millions RMB contre 155,2 millions RMB l'année précédente. La marge bénéficiaire nette est tombée à 12,0 % contre 28,6 %.
Pour l'année complète 2024, les revenus nets ont diminué de 7,8 % pour atteindre 1.990,2 millions RMB, tandis que le bénéfice net est tombé à 342,1 millions RMB contre 640,8 millions RMB en 2023. Cependant, les nouvelles inscriptions d'étudiants ont atteint un record de 674.649, en hausse par rapport à 616.341 en 2023. Le solde des revenus différés de l'entreprise était de 916,5 millions RMB au 31 décembre 2024.
En regardant vers l'avenir, Sunlands prévoit des revenus nets pour le premier trimestre 2025 entre 470 et 490 millions RMB, représentant une diminution de 6,4 % à 10,2 % par rapport à l'année précédente. L'entreprise continue son programme de rachat d'actions, ayant racheté 689.935 ADS pour environ 3,9 millions USD.
Sunlands Technology Group (NYSE: STG) hat seine Finanzzahlen für das vierte Quartal und das Gesamtjahr 2024 veröffentlicht, die eine gemischte Leistung zeigen. Im vierten Quartal 2024 sanken die Nettoumsätze um 10,8% auf 483,5 Millionen RMB (66,2 Millionen USD), während der Nettogewinn von 155,2 Millionen RMB im Vorjahr auf 57,8 Millionen RMB zurückging. Die Nettogewinnmarge fiel von 28,6% auf 12,0%.
Für das gesamte Jahr 2024 sanken die Nettoumsätze um 7,8% auf 1.990,2 Millionen RMB, während der Nettogewinn von 640,8 Millionen RMB im Jahr 2023 auf 342,1 Millionen RMB fiel. Die neuen Einschreibungen von Studenten erreichten jedoch mit 674.649 einen Rekord, gegenüber 616.341 im Jahr 2023. Die aufgeschobene Umsatzbilanz des Unternehmens belief sich zum 31. Dezember 2024 auf 916,5 Millionen RMB.
Blickt man in die Zukunft, prognostiziert Sunlands für das erste Quartal 2025 Nettoumsätze zwischen 470 und 490 Millionen RMB, was einem Rückgang von 6,4% bis 10,2% im Vergleich zum Vorjahr entspricht. Das Unternehmen setzt sein Aktienrückkaufprogramm fort und hat 689.935 ADS für etwa 3,9 Millionen USD zurückgekauft.
- Record new student enrollments of 674,649 in 2024, up 9.5% year-over-year
- Fourth consecutive year of profitability with net income of RMB342.1 million in 2024
- Healthy operating cash flow and enhanced financial resilience
- Strong cash position with RMB783.2 million in cash and short-term investments
- Q4 2024 net revenues decreased 10.8% year-over-year to RMB483.5 million
- Full year 2024 net income declined 46.6% to RMB342.1 million from RMB640.8 million
- Net income margin dropped to 17.2% in 2024 from 29.7% in 2023
- Deferred revenue decreased to RMB916.5 million from RMB1,113.9 million year-over-year
- Negative Q1 2025 revenue guidance projecting 6.4-10.2% decline
Insights
Sunlands Technology Group's Q4 and full-year 2024 results present a mixed but concerning financial picture. While the company maintained profitability, there's a sharp deterioration in key metrics that investors should note.
Fourth quarter net revenues fell
Net income margin contraction is particularly alarming, falling from
The
The only bright spot appears in student enrollment metrics, with annual new enrollments increasing to 674,649 (up
Cash position has weakened, with combined cash, cash equivalents and short-term investments declining to
Sunlands' operational results reveal important dynamics in China's competitive online education landscape. The disconnect between growing student numbers and declining revenues highlights a fundamental market shift.
The record 674,649 new student enrollments in 2024 demonstrates market demand for Sunlands' offerings, but the revenue decline suggests intensifying price competition or a strategic pivot toward lower-priced interest-based courses. This appears to be a deliberate repositioning rather than a market share loss.
CEO Liu's statement that "interest-based courses became the core growth point" confirms this product mix evolution. The transition from higher-margin post-secondary professional certification courses to interest-based learning aligns with China's shifting educational priorities and demographic patterns but typically comes with lower revenue per student.
The
Increased sales and marketing expenses (
The
BEIJING, March 21, 2025 (GLOBE NEWSWIRE) -- Sunlands Technology Group (NYSE: STG) (“Sunlands” or the “Company”), a leader in China’s adult online education market and China’s adult personal interest learning market, today announced its unaudited financial results for the fourth quarter and full year ended December 31, 2024.
Fourth Quarter 2024 Financial and Operational Snapshots
- Net revenues were RMB483.5 million (US
$66.2 million ), compared to RMB541.7 million in the fourth quarter of 2023. - Gross billings (non-GAAP) were RMB412.4 million (US
$56.5 million ), compared to RMB415.5 million in the fourth quarter of 2023. - Gross profit was RMB401.8 million (US
$55.0 million ), compared to RMB468.0 million in the fourth quarter of 2023. - Net income was RMB57.8 million (US
$7.9 million ), compared to RMB155.2 million in the fourth quarter of 2023. - Net income margin1 was
12.0% in the fourth quarter of 2024, compared to28.6% in the fourth quarter of 2023. - New student enrollments2 were 172,200, compared to 164,654 in the fourth quarter of 2023.
- As of December 31, 2024, the Company’s deferred revenue balance was RMB916.5 million (US
$125.6 million ), compared to RMB1,113.9 million as of December 31, 2023.
Full Year 2024 Financial and Operational Snapshots
- Net revenues were RMB1,990.2 million (US
$272.7 million ), compared to RMB2,159.6 million in 2023. - Gross billings (non-GAAP) were RMB1,555.4 million (US
$213.1 million ), compared to RMB1,504.6 million in 2023. - Gross profit was RMB1,672.6 million (US
$229.2 million ), compared to RMB1,894.1 million in 2023. - Net income was RMB342.1 million (US
$46.9 million ), compared to RMB640.8 million in 2023. - Net income margin was
17.2% , compared to29.7% in 2023. - New student enrollments were 674,649, compared to 616,341 in 2023.
“Over the past year, we have leveraged our deep expertise in adult education and keen market insights to drive continuous innovation and enhancement in our products and services. By expanding our course offerings and improving service quality, we welcomed about 675,000 new students in 2024——a historic record that underscores our significant market expansion potential and strengthens our leading position in the industry. Looking ahead, we remain committed to a student-centric approach, staying attuned to evolving market demands, and consistently enhancing the learning experience to sustain long-term growth,” said Mr. Tongbo Liu, Chief Executive Officer of Sunlands.
“Throughout the year, we focused on sustainable growth, operational efficiency, and cost optimization. As a result, we delivered annual net revenues of RMB1,990.2 million and net income of RMB342.1 million, marking the fourth consecutive year of profitability. Our operating cash flow maintained healthy growth and enhanced financial resilience. During the year, the interest-based courses became the core growth point, aligning with broader economic and demographic trends, we are well-positioned to capitalize on its growth potential. With solid cash flow and diversified products, we are confident in our ongoing growth,” said Mr. Hangyu Li, Finance Director of Sunlands.
Financial Results for the Fourth Quarter of 2024
Net Revenues
In the fourth quarter of 2024, net revenues decreased by
Cost of Revenues
Cost of revenues increased by
Gross Profit
Gross profit decreased by
Operating Expenses
In the fourth quarter of 2024, operating expenses were RMB351.3 million (US
Sales and marketing expenses increased by
General and administrative expenses decreased by
Product development expenses decreased by
Net Income
Net income for the fourth quarter of 2024 was RMB57.8 million (US
Basic and Diluted Net Income Per Share
Basic and diluted net income per share was RMB8.55 (US
Cash, Cash Equivalents, Restricted Cash and Short-term Investments
As of December 31, 2024, the Company had RMB507.2 million (US
Deferred Revenue
As of December 31, 2024, the Company had a deferred revenue balance of RMB916.5 million (US
Share Repurchase
On December 6, 2021, the Company’s board of directors authorized a share repurchase program, under which the Company may repurchase up to US
Financial Results for the Year 2024
Net Revenues
In the year of 2024, net revenues decreased by
Cost of Revenues
Cost of revenues increased by
Gross Profit
Gross profit decreased by
Operating Expenses
In the year of 2024, operating expenses were RMB1,374.7 million (US
Sales and marketing expenses increased by
General and administrative expenses decreased by
Product development expenses decreased by
Net Income
Net income for 2024 was RMB342.1 million (US
Basic and Diluted Net Income Per Share
Basic and diluted net income per share was RMB50.12 (US
Outlook
For the first quarter of 2025, Sunlands currently expects net revenues to be between RMB470 million to RMB490 million, which would represent a decrease of
Exchange Rate
The Company’s business is primarily conducted in China and all revenues are denominated in Renminbi (“RMB”). This announcement contains currency conversions of RMB amounts into U.S. dollars (“US$”) solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to US$ are made at a rate of RMB7.2993 to US
Conference Call and Webcast
Sunlands’ management team will host a conference call at 5:30 AM U.S. Eastern Time, (6:30 PM Beijing/Hong Kong time) on March 21, 2025, following the quarterly results announcement.
For participants who wish to join the call, please access the link provided below to complete online registration 15 minutes prior to the scheduled call start time. Upon registration, participants will receive details for the conference call, including dial-in numbers, a personal PIN and an e-mail with detailed instructions to join the conference call.
Registration Link:
https://register-conf.media-server.com/register/BI963ce8382d11400da9b8169f6aedb28e
Additionally, a live webcast and archive of the conference call will be available on the Investor Relations section of Sunlands' website at https://ir.sunlands.com/.
About Sunlands
Sunlands Technology Group (NYSE: STG) (“Sunlands” or the “Company”), formerly known as Sunlands Online Education Group, is a leader in China’s adult online education market and China’s adult personal interest learning market. With a one to many live streaming platform, Sunlands offers various degree- or diploma-oriented post-secondary courses as well as professional certification preparation, professional skills and interest courses. Students can access the Company's services either through PC or mobile applications. The Company's online platform cultivates a personalized, interactive learning environment by featuring a virtual learning community and a vast library of educational content offerings that adapt to the learning habits of its students. Sunlands offers a unique approach to education research and development that organizes subject content into Learning Outcome Trees, the Company's proprietary knowledge management system. Sunlands has a deep understanding of the educational needs of its prospective students and offers solutions that help them achieve their goals.
About Non-GAAP Financial Measures
We use gross billings, EBITDA, non-GAAP operating cost and expenses, non-GAAP income from operations and non-GAAP net income per share, each a non-GAAP financial measure, in evaluating our operating results and for financial and operational decision-making purposes.
We define gross billings for a specific period as the total amount of cash received for the sale of course packages, net of the total amount of refunds paid in such period. Our management uses gross billings as a performance measurement because we generally bill our students for the entire course tuition at the time of sale of our course packages and recognize revenue proportionally over a period. EBITDA is defined as net income excluding depreciation and amortization, interest expense, interest income, and income tax expenses. We believe that gross billings and EBITDA provide valuable insight into the sales of our course packages and the performance of our business.
These non-GAAP financial measures should not be considered in isolation from, or as a substitute for, their most directly comparable financial measures prepared in accordance with GAAP. A reconciliation of the historical non-GAAP financial measures to their respective most directly comparable GAAP measure has been provided in the tables included below. Investors are encouraged to review the reconciliation of the historical non-GAAP financial measures to their respective most directly comparable GAAP financial measures. As gross billings, EBITDA, operating cost and expenses excluding share-based compensation expenses, general and administrative expenses excluding share-based compensation expenses, sales and marketing expenses excluding share-based compensation expenses, product development expenses excluding share-based compensation expenses, income from operations excluding share-based compensation expenses, and basic and diluted net income per share excluding share-based compensation expenses have material limitations as an analytical metric and may not be calculated in the same manner by all companies, it may not be comparable to other similarly titled measures used by other companies. In light of the foregoing limitations, you should not consider gross billings and EBITDA as a substitute for, or superior to, their respective most directly comparable financial measures prepared in accordance with GAAP. We encourage investors and others to review our financial information in its entirety and not rely on a single financial measure.
Safe Harbor Statement
This press release contains forward-looking statements made under the “safe harbor” provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident” and similar statements. Sunlands may also make written or oral forward-looking statements in its reports filed with or furnished to the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any statements that are not historical facts, including statements about Sunlands' beliefs and expectations, are forward-looking statements that involve factors, risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include, but not limited to the following: Sunlands' goals and strategies; its expectations regarding demand for and market acceptance of its brand and services; its ability to retain and increase student enrollments; its ability to offer new courses and educational content; its ability to improve teaching quality and students’ learning results; its ability to improve sales and marketing efficiency and effectiveness; its ability to engage, train and retain new faculty members; its future business development, results of operations and financial condition; its ability to maintain and improve technology infrastructure necessary to operate its business; competition in the online education industry in China; relevant government policies and regulations relating to Sunlands’ corporate structure, business and industry; and general economic and business condition in China. Further information regarding these and other risks, uncertainties or factors is included in Sunlands' filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of the press release, and Sunlands does not undertake any obligation to update such information, except as required under applicable law.
For investor and media enquiries, please contact:
Sunlands Technology Group
Investor Relations
Email: sl-ir@sunlands.com
SOURCE: Sunlands Technology Group
| SUNLANDS TECHNOLOGY GROUP UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Amounts in thousands, except for share and per share data, or otherwise noted) | ||||||
| As of December 31, | As of December 31, | |||||
| 2023 | 2024 | |||||
| RMB | RMB | US$ | ||||
| ASSETS | ||||||
| Current assets | ||||||
| Cash and cash equivalents | 763,800 | 507,229 | 69,490 | |||
| Restricted cash | 2,578 | - | - | |||
| Short-term investments | 142,084 | 276,029 | 37,816 | |||
| Prepaid expenses and other current assets | 109,018 | 96,916 | 13,277 | |||
| Deferred costs, current | 14,274 | 4,139 | 567 | |||
| Total current assets | 1,031,754 | 884,313 | 121,150 | |||
| Non-current assets | ||||||
| Property and equipment, net | 786,670 | 758,215 | 103,875 | |||
| Intangible assets, net | 975 | 723 | 99 | |||
| Right-of-use assets | 135,820 | 110,154 | 15,091 | |||
| Deferred costs, non-current | 68,773 | 56,657 | 7,762 | |||
| Long-term investments | 61,354 | 260,083 | 35,631 | |||
| Deferred tax assets | - | 24,699 | 3,384 | |||
| Other non-current assets | 33,160 | 26,319 | 3,606 | |||
| Total non-current assets | 1,086,752 | 1,236,850 | 169,448 | |||
| TOTAL ASSETS | 2,118,506 | 2,121,163 | 290,598 | |||
| LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||
| LIABILITIES | ||||||
| Current liabilities | ||||||
| Accrued expenses and other current liabilities | 409,691 | 404,865 | 55,469 | |||
| Deferred revenue, current | 553,812 | 382,047 | 52,340 | |||
| Lease liabilities, current portion | 8,019 | 8,317 | 1,139 | |||
| Long-term debt, current portion | 38,654 | 6,154 | 843 | |||
| Total current liabilities | 1,010,176 | 801,383 | 109,791 | |||
| SUNLANDS TECHNOLOGY GROUP UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS-continued (Amounts in thousands, except for share and per share data, or otherwise noted) | |||||||
| As of December 31, | As of December 31, | ||||||
| 2023 | 2024 | ||||||
| RMB | RMB | US$ | |||||
| Non-current liabilities | |||||||
| Deferred revenue, non-current | 560,111 | 534,463 | 73,221 | ||||
| Lease liabilities, non-current portion | 157,269 | 137,040 | 18,774 | ||||
| Deferred tax liabilities | 3,742 | 5,724 | 784 | ||||
| Other non-current liabilities | 6,994 | 7,309 | 1,001 | ||||
| Long-term debt, non-current portion | 104,665 | 35,386 | 4,848 | ||||
| Total non-current liabilities | 832,781 | 719,922 | 98,628 | ||||
| TOTAL LIABILITIES | 1,842,957 | 1,521,305 | 208,419 | ||||
| SHAREHOLDERS’ EQUITY | |||||||
| Class A ordinary shares (par value of US | |||||||
| authorized; 3,131,807 and 3,131,807 shares issued as of December 31, 2023 | |||||||
| and 2024, respectively; 2,702,523 and 2,600,779 shares | |||||||
| outstanding as of December 31, 2023 and 2024, respectively) | 1 | 1 | - | ||||
| Class B ordinary shares (par value of US | |||||||
| authorized; 826,389 and 826,389 shares issued and outstanding | |||||||
| as of December 31, 2023 and 2024, respectively) | - | - | - | ||||
| Class C ordinary shares (par value of US | |||||||
| authorized; 3,332,062 and 3,332,062 shares issued and outstanding | |||||||
| as of December 31, 2023 and 2024, respectively) | 1 | 1 | - | ||||
| Treasury stock | - | - | - | ||||
| Statutory reserves | - | 11,083 | 1,518 | ||||
| Accumulated deficit | (2,171,284) | (1,840,285) | (252,118) | ||||
| Additional paid-in capital | 2,305,042 | 2,294,381 | 314,329 | ||||
| Accumulated other comprehensive income | 143,276 | 136,164 | 18,654 | ||||
| Total Sunlands Technology Group shareholders’ equity | 277,036 | 601,345 | 82,383 | ||||
| Non-controlling interest | (1,487) | (1,487) | (204) | ||||
| TOTAL SHAREHOLDERS’ EQUITY | 275,549 | 599,858 | 82,179 | ||||
| TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | 2,118,506 | 2,121,163 | 290,598 | ||||
| SUNLANDS TECHNOLOGY GROUP UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Amounts in thousands, except for share and per share data, or otherwise noted) | ||||||||
| For the Three Months Ended December 31, | ||||||||
| 2023 | 2024 | |||||||
| RMB | RMB | US$ | ||||||
| Net revenues | 541,724 | 483,477 | 66,236 | |||||
| Cost of revenues | (73,751) | (81,687) | (11,191) | |||||
| Gross profit | 467,973 | 401,790 | 55,045 | |||||
| Operating expenses | ||||||||
| Sales and marketing expenses | (305,802) | (314,847) | (43,134) | |||||
| Product development expenses | (7,636) | (4,492) | (615) | |||||
| General and administrative expenses | (35,469) | (31,956) | (4,378) | |||||
| Total operating expenses | (348,907) | (351,295) | (48,127) | |||||
| Income from operations | 119,066 | 50,495 | 6,918 | |||||
| Interest income | 9,347 | 11,149 | 1,527 | |||||
| Interest expense | (1,610) | (758) | (104) | |||||
| Other income, net | 8,527 | 7,058 | 967 | |||||
| Gain on disposal of subsidiaries | 43,468 | - | - | |||||
| Income before income tax expenses | ||||||||
| and loss from equity method investments | 178,798 | 67,944 | 9,308 | |||||
| Income tax expenses | (19,958) | (8,275) | (1,134) | |||||
| Loss from equity method investments | (3,639) | (1,863) | (255) | |||||
| Net income | 155,201 | 57,806 | 7,919 | |||||
| Less: Net loss attributable to non-controlling interest | - | - | - | |||||
| Net income attributable to Sunlands Technology Group | 155,201 | 57,806 | 7,919 | |||||
| Net income per share attributable to ordinary shareholders of | ||||||||
| Sunlands Technology Group: | ||||||||
| Basic and diluted | 22.59 | 8.55 | 1.17 | |||||
| Weighted average shares used in calculating net income | ||||||||
| per ordinary share: | ||||||||
| Basic and diluted | 6,870,714 | 6,761,323 | 6,761,323 | |||||
| SUNLANDS TECHNOLOGY GROUP UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Amounts in thousands) | |||||||
| For the Three Months Ended December 31, | |||||||
| 2023 | 2024 | ||||||
| RMB | RMB | US$ | |||||
| Net income | 155,201 | 57,806 | 7,919 | ||||
| Other comprehensive (loss)/income, net of tax effect of nil: | |||||||
| Change in cumulative foreign currency translation adjustments | (15,243) | 24,246 | 3,322 | ||||
| Unrealized loss on available-for-sale investments investments | - | (24,083) | (3,299) | ||||
| Total comprehensive income | 139,958 | 57,969 | 7,942 | ||||
| Less: comprehensive income attributable to non-controlling interest | - | - | - | ||||
| Comprehensive income attributable to | |||||||
| Sunlands Technology Group | 139,958 | 57,969 | 7,942 | ||||
| SUNLANDS TECHNOLOGY GROUP RECONCILIATION OF GAAP AND NON-GAAP RESULTS (Amounts in thousands) | ||||||
| For the Three Months Ended December 31, | ||||||
| 2023 | 2024 | |||||
| RMB | RMB | |||||
| Net revenues | 541,724 | 483,477 | ||||
| Less: other revenues | (47,982) | (81,373) | ||||
| Add: tax and surcharges | 17,657 | 21,694 | ||||
| Add: ending deferred revenue | 1,113,923 | 916,510 | ||||
| Add: deferred revenue in connection with disposal of subsidiaries | 23,220 | - | ||||
| Add: ending refund liability | 143,744 | 112,342 | ||||
| Less: beginning deferred revenue | (1,277,040) | (920,593) | ||||
| Less: beginning refund liability | (101,591) | (119,618) | ||||
| Less: beginning refund liability in connection with disposal of subsidiaries | 1,820 | - | ||||
| Gross billings (non-GAAP) | 415,475 | 412,439 | ||||
| Net income | 155,201 | 57,806 | ||||
| Add: income tax expenses | 19,958 | 8,275 | ||||
| depreciation and amortization | 7,717 | 7,319 | ||||
| interest expense | 1,610 | 758 | ||||
| Less: interest income | (9,347) | (11,149) | ||||
| EBITDA (non-GAAP) | 175,139 | 63,009 | ||||
| SUNLANDS TECHNOLOGY GROUP UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Amounts in thousands, except for share and per share data, or otherwise noted) | |||||||
| For the Years Ended December 31, | |||||||
| 2023 | 2024 | ||||||
| RMB | RMB | US$ | |||||
| Net revenues | 2,159,584 | 1,990,204 | 272,657 | ||||
| Cost of revenues | (265,528) | (317,570) | (43,507) | ||||
| Gross profit | 1,894,056 | 1,672,634 | 229,150 | ||||
| Operating expenses | |||||||
| Sales and marketing expenses | (1,142,154) | (1,216,912) | (166,716) | ||||
| Product development expenses | (33,723) | (25,008) | (3,426) | ||||
| General and administrative expenses | (143,286) | (132,809) | (18,195) | ||||
| Total operating expenses | (1,319,163) | (1,374,729) | (188,337) | ||||
| Income from operations | 574,893 | 297,905 | 40,813 | ||||
| Interest income | 31,094 | 38,824 | 5,319 | ||||
| Interest expense | (7,657) | (5,293) | (725) | ||||
| Other income, net | 34,097 | 26,296 | 3,603 | ||||
| Impairment loss on long-term investments | (61) | - | - | ||||
| Gain/(loss) on disposal of subsidiaries | 43,715 | (838) | (115) | ||||
| Income before income tax expenses | |||||||
| and loss from equity method investments | 676,081 | 356,894 | 48,895 | ||||
| Income tax expenses | (25,166) | (1,300) | (178) | ||||
| Loss from equity method investments | (10,084) | (13,512) | (1,851) | ||||
| Net income | 640,831 | 342,082 | 46,866 | ||||
| Less: Net income attributable to non-controlling interest | 1 | - | - | ||||
| Net income attributable to Sunlands Technology Group | 640,830 | 342,082 | 46,866 | ||||
| Net income per share attributable to ordinary shareholders of | |||||||
| Sunlands Technology Group: | |||||||
| Basic and diluted | 92.88 | 50.12 | 6.87 | ||||
| Weighted average shares used in calculating net income | |||||||
| per ordinary share: | |||||||
| Basic and diluted | 6,899,456 | 6,824,824 | 6,824,824 | ||||
| SUNLANDS TECHNOLOGY GROUP UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Amounts in thousands) | |||||||
| For the Years Ended December 31, | |||||||
| 2023 | 2024 | ||||||
| RMB | RMB | US$ | |||||
| Net income | 640,831 | 342,082 | 46,866 | ||||
| Other comprehensive income/(loss), net of tax effect of nil: | |||||||
| Change in cumulative foreign currency translation adjustments | 15,391 | 16,971 | 2,325 | ||||
| Unrealized loss on available-for-sale investments | - | (24,083) | (3,299) | ||||
| Total comprehensive income | 656,222 | 334,970 | 45,892 | ||||
| Less: comprehensive income attributable to non-controlling interest | 1 | - | - | ||||
| Comprehensive income attributable to | |||||||
| Sunlands Technology Group | 656,221 | 334,970 | 45,892 | ||||
| SUNLANDS TECHNOLOGY GROUP RECONCILIATION OF GAAP AND NON-GAAP RESULTS (Amounts in thousands) | |||||
| For the Years Ended December 31, | |||||
| 2023 | 2024 | ||||
| RMB | RMB | ||||
| Net revenues | 2,159,584 | 1,990,204 | |||
| Less: other revenues | (176,014) | (287,179) | |||
| Add: tax and surcharges | 62,352 | 77,734 | |||
| Add: ending deferred revenue | 1,113,923 | 916,510 | |||
| Add: deferred revenue in connection with disposal of subsidiaries | 23,220 | 3,423 | |||
| Add: ending refund liability | 143,744 | 112,342 | |||
| Less: beginning deferred revenue | (1,690,946) | (1,113,923) | |||
| Less: beginning refund liability | (133,066) | (143,744) | |||
| Less: beginning refund liability in connection with disposal of subsidiaries | 1,820 | - | |||
| Gross billings (non-GAAP) | 1,504,617 | 1,555,367 | |||
| Net income | 640,831 | 342,082 | |||
| Add: income tax expenses | 25,166 | 1,300 | |||
| depreciation and amortization | 30,648 | 29,467 | |||
| interest expense | 7,657 | 5,293 | |||
| Less: interest income | (31,094) | (38,824) | |||
| EBITDA (non-GAAP) | 673,208 | 339,318 | |||
1 Net income margin is defined as net income as a percentage of net revenues.
2 New student enrollments for a given period refer to the total number of orders placed by students that newly enroll in at least one course during that period, including those students that enroll and then terminate their enrollment with us, excluding orders of our low-price courses, such as “mini courses” and “RMB1 courses”, which we offer in the form of recorded videos or short live streaming, to strengthen our competitiveness and improve customer experience.
FAQ
What caused STG's net income to decline in Q4 2024?
How many new students did STG enroll in 2024?
What is STG's revenue guidance for Q1 2025?
How much has STG spent on its share repurchase program?
