Youdao Q2 FY26 swings to profit of RMB 73.8 million; revenue rises 3.5% to RMB 1.5 billion yr/yr - DAO News | RalliesYoudao Q2 FY26 swings to profit of RMB 73.8 million; revenue rises 3.5% to RMB 1.5 billion yr/yr
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DAO• Q2 FY26 results
- Youdao posted Q2 net income attributable to ordinary shareholders of RMB 73.8 million, swinging from a loss; diluted EPS was RMB 0.61.
- Total net revenues rose 3.5% to RMB 1.5 billion, driven by a 20.9% increase in learning services to RMB 795.6 million.
- Gross margin widened 5.9 percentage points to 48.9%, while operating income more than doubled to RMB 111.5 million.
- Smart devices net revenues fell 31.5% to RMB 86.8 million on lower demand; online marketing services slipped 7.7% to RMB 584.4 million.
- CEO Feng Zhou cited record operating profit, an eighth straight profitable quarter, and deeper AI rollout across learning and advertising.
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