Gaotu Techedu Posts RMB69.7M Cash Gain, Guides Q2 Revenue Up 13.6%–15%
GOTU•Gaotu Techedu reported a RMB69.7 million year-over-year cash increase and achieved profitability in Q1 for the second consecutive year, driven by strong revenue growth and disciplined spending. The offline segment delivered improved retention and classroom utilization, and second-quarter revenue is guided to RMB1,578–1,598 million, up 13.6%–15.0% year-over-year.
1. Q1 Financial Performance
Gaotu Techedu generated profitability for the first quarter for the second consecutive year, supported by disciplined resource allocation. Revenue growth remained strong, and the company increased its cash balance by RMB69.7 million year-over-year, bolstering investments in product development and technology.
2. Offline Business Progress
The offline learning segment showed improved student retention and higher classroom utilization, validating localized curricula and data systems. Management plans disciplined expansion into new cities, focusing on user demand, teacher supply, and effective resource deployment.
3. Q2 Revenue Outlook
For the second quarter, Gaotu Techedu forecasts revenue between RMB1,578 million and RMB1,598 million, representing a 13.6% to 15.0% year-over-year increase. This guidance reflects confidence in sustained demand and operational leverage from cost efficiencies.
4. AI Integration and Efficiency
Artificial intelligence supports curriculum development, content creation, and operational workflows, enhancing teaching services and productivity. The company has maintained operational efficiency for six consecutive quarters through AI-driven cost control and streamlined processes.
