Gaotu(GOTU)2023-05-29 16:00Financial Performance - Net revenues for Q1 2023 were RMB707.3 million, a decrease of 2.4% from RMB724.6 million in Q1 2022[2] - Gross billings increased by 69.4% year-over-year to RMB539.0 million, up from RMB318.1 million in the same period of 2022[2] - Income from operations surged by 275.9% to RMB95.1 million, compared to RMB25.3 million in Q1 2022[2] - Net income rose by 112.1% to RMB113.9 million, up from RMB53.7 million in the same period of 2022[2] - Non-GAAP net income increased by 44.4% to RMB133.6 million from RMB92.5 million in Q1 2022[2] - The company expects total net revenues for Q2 2023 to be between RMB648 million and RMB668 million, representing a year-over-year increase of 20.5% to 24.2%[17] - Gross profit increased by 7.0% to RMB547.3 million, with a gross profit margin of 77.4%, up from 70.6% in Q1 2022[8] - Net income attributable to Gaotu Techedu Inc.'s ordinary shareholders was RMB 113,853 for the three months ended March 31, 2023, compared to RMB 53,718 for the same period in 2022, reflecting a growth of 112%[32] - Non-GAAP net income for the three months ended March 31, 2023, was RMB 133,595, compared to RMB 92,543 for the same period in 2022, an increase of 44%[35] - The company reported a basic net income per ordinary share of RMB 0.66 for the three months ended March 31, 2023, compared to RMB 0.31 for the same period in 2022[32] Operational Efficiency - Customer acquisition efficiency improved by 73.8% year-over-year, contributing to the increase in gross billings[5] - Operating expenses decreased by 7.0% to RMB452.2 million from RMB486.4 million in Q1 2022[9] Cash Flow and Assets - The company reported a net operating cash outflow of RMB216.4 million in Q1 2023, primarily due to seasonal factors and year-end bonus payments[14] - Total current assets as of March 31, 2023, were RMB 4,073,058, a slight decrease from RMB 4,166,477 as of December 31, 2022[27] - Total assets decreased to RMB 4,803,432 as of March 31, 2023, from RMB 4,876,175 as of December 31, 2022[30] - Total liabilities decreased to RMB 1,578,701 as of March 31, 2023, from RMB 1,780,346 as of December 31, 2022[30] - Cash and cash equivalents increased to RMB 1,216,834 as of March 31, 2023, from RMB 819,911 as of December 31, 2022[27]