BEIJING, March 8, 2022 /PRNewswire/ -- Gaotu Techedu Inc.
(NYSE: GOTU) ("Gaotu" or the "Company"), a technology-driven
education company and online large-class tutoring service provider
in China, today announced its
unaudited financial results for the fourth quarter and fiscal year
ended December 31, 2021.
Fourth Quarter 2021 Highlights[1]
- Net revenues were RMB1,274.3
million, compared with net revenue of RMB2,211.0 million in the same period of
2020.
- Net revenues of online K-12 academic subject tutoring services
were RMB1,125.2 million,
compared with net revenue of online K-12 academic subject
tutoring services of RMB1,975.2
million in the same period of 2020.
- Gross billings[2] were RMB1,006.5 million, compared with gross billings
of RMB3,146.5 million in the same
period of 2020.
- Gross billings of online K-12 academic subject tutoring
services were RMB771.7 million,
compared with gross billings of online K-12 academic subject
tutoring services of RMB2,923.0
million in the same period of 2020.
- Net income was RMB285.9
million, compared with net loss of RMB627.0 million in the same period of 2020.
- Non-GAAP net income was RMB324.4
million, compared with non-GAAP net loss of RMB554.4 million in the same period of 2020.
- Net operating cash inflow was RMB245.8 million, compared with net operating
cash inflow of RMB636.4 million in
the same period of 2020.
Fourth Quarter 2021 Key Financial and Operating Data
(In thousands of RMB, except for percentages)
|
|
Three Months Ended
December 31,
|
|
|
|
2020
|
|
|
2021
|
|
|
Pct.
Change
|
|
Net
revenues
|
|
|
2,211,041
|
|
|
|
1,274,267
|
|
|
|
(42.4%)
|
|
Online K-12
academic subject tutoring services
|
|
|
1,975,162
|
|
|
|
1,125,200
|
|
|
|
(43.0%)
|
|
Comprehensive
tutoring services[3]
|
|
|
235,879
|
|
|
|
149,067
|
|
|
|
(36.8%)
|
|
Gross
billings
|
|
|
3,146,502
|
|
|
|
1,006,509
|
|
|
|
(68.0%)
|
|
Online K-12
academic subject tutoring services
|
|
|
2,922,984
|
|
|
|
771,682
|
|
|
|
(73.6%)
|
|
Comprehensive
tutoring services
|
|
|
223,518
|
|
|
|
234,827
|
|
|
|
5.1%
|
|
Net (loss)
income
|
|
|
(627,033)
|
|
|
|
285,858
|
|
|
NM
|
|
Non-GAAP net (loss)
income
|
|
|
(554,354)
|
|
|
|
324,387
|
|
|
NM
|
|
Net operating cash
inflow
|
|
|
636,367
|
|
|
|
245,833
|
|
|
|
(61.4%)
|
|
[1] For a
reconciliation of non-GAAP numbers, please see the table captioned
"Reconciliations of non-GAAP measures to the most comparable GAAP
measures" at the end of this press release. Non-GAAP gross profit,
non-GAAP income (loss) from operations, non-GAAP net income (loss)
exclude share-based compensation expenses.
|
[2] Gross
billings is a non-GAAP financial measure, which is defined as the
total amount of cash received for the sale of course offerings in
such period, net of the total amount of refunds in such period. See
"About Non-GAAP Financial Measures" and "Reconciliations of
non-GAAP measures to the most comparable GAAP measures" elsewhere
in this press release.
|
[3] In
compliance with the New Regulations previously disclosed, the
Company used the new presentation to better provide its performance
after the business restructuring. Comprehensive tutoring services
mainly include professional education, vocational education,
digital products and other tutoring services. Retroactive
adjustments to historical data have also been made to provide a
consistent basis of comparison for the financial
results.
|
Fiscal Year Ended December 31,
2021 Highlights
- Net revenues were RMB6,561.7
million, compared with net revenues of RMB7,124.7 million in 2020.
- Net revenues of online K-12 academic subject tutoring services
were RMB6,000.6 million, compared
with net revenues of online K-12 academic subject tutoring services
of RMB6,237.4 million in
2020.
- Gross billings were RMB5,184.2
million, compared with gross billings of RMB9,008.1 million in 2020.
- Gross billings of online K-12 academic subject tutoring
services were RMB4,514.5 million,
compared with gross billings of online K-12 academic subject
tutoring services of RMB8,003.1
million in 2020.
- Net loss was RMB3,103.5
million, compared with net loss of RMB1,392.9 million in 2020.
- Non-GAAP net loss was RMB2,758.2
million, compared with non-GAAP net loss of RMB1,154.5 million in 2020.
Fiscal Year 2021 Key Financial and Operating Data
(In thousands of RMB, except for percentages)
|
|
Fiscal Year Ended
December 31,
|
|
|
|
2020
|
|
|
2021
|
|
|
Pct.
Change
|
|
Net
revenues
|
|
|
7,124,744
|
|
|
|
6,561,747
|
|
|
|
(7.9%)
|
|
Online K-12
academic subject tutoring services
|
|
|
6,237,399
|
|
|
|
6,000,639
|
|
|
|
(3.8%)
|
|
Comprehensive
tutoring services[3]
|
|
|
887,345
|
|
|
|
561,108
|
|
|
|
(36.8%)
|
|
Gross
billings
|
|
|
9,008,090
|
|
|
|
5,184,215
|
|
|
|
(42.4%)
|
|
Online K-12
academic subject tutoring services
|
|
|
8,003,115
|
|
|
|
4,514,549
|
|
|
|
(43.6%)
|
|
Comprehensive
tutoring services
|
|
|
1,004,975
|
|
|
|
669,666
|
|
|
|
(33.4%)
|
|
Net loss
|
|
|
(1,392,930)
|
|
|
|
(3,103,465)
|
|
|
|
122.8%
|
|
Non-GAAP net
loss
|
|
|
(1,154,484)
|
|
|
|
(2,758,206)
|
|
|
|
138.9%
|
|
Larry Xiangdong Chen,
the Company's founder, Chairman and CEO, commented, "In the
fourth quarter, we achieved considerable profitability in both GAAP
and non-GAAP terms, as well as positive net operating cash flow,
after we restructured our business in the third quarter. Our net
profit was RMB285.9 million and our
non-GAAP net profit was RMB324.4
million, which gave us a record-high non-GAAP net profit
margin of 25.5%. All of these indicate that the business
restructuring and organizational adjustments we performed in the
third quarter of 2021 delivered significant results, confirming
that we chose the right strategic direction. In the meantime, we
maintained a strong cash position. As of December 31, 2021, our cash and cash equivalents,
restricted cash, and short-term wealth management investments
totaled approximately RMB3.7
billion."
"Looking back, 2021 was undeniably an eventful year. However,
within a short period of time, we completed our restructuring and
ended the year with a strong quarterly profit. Looking ahead into
2022, we will continue to comply with government policies, continue
to focus on vocational and professional education, and digital
products, continue to focus on the effective growth of our
business, and continue to focus on bringing a better learning
experience to more customers."
Shannon Shen, CFO of the
Company, added, "Following the restructuring which was
completed in the third quarter, our new strategic focus achieved
rapid and healthy growth. Both net revenues and gross billings
generated from our comprehensive tutoring services increased
quarter-over-quarter. Their gross billings secured a 72.8% growth.
The increase reflects our prompt and decisive restructuring, strong
organization, solid talent pool, and deep industry experience. In
the future, we will continue to explore new businesses and remain
dedicated to refining our products and services, with the goal of
offering superior-quality courses and services that exceed our
students' expectations."
Financial Results for the Fourth Quarter of 2021
Net Revenues
Net revenues were RMB1,274.3
million, compared with net revenues of RMB2,211.0 million in the fourth quarter of 2020.
The decrease was mainly due to the cessation of K-9 academic
subject tutoring services as a result of the impact of government
policies as previously disclosed.
Cost of Revenues
Cost of revenues decreased by 37.3% to RMB386.7 million from RMB616.4 million in the fourth quarter of 2020,
mainly due to a decrease in compensation for instructors and tutors
as a result of the restructuring in the third quarter of 2021, as
well as decreases in learning material cost and rental
expenses.
Gross Profit and Gross Margin
Gross profit was RMB887.6 million,
compared with gross profit of RMB1,594.7
million in the fourth quarter of 2020. Gross profit margin
decreased to 69.7% from 72.1% in the same period of 2020. The
decrease was mainly attributable to the decrease of net revenues,
as a result of the impact of government policies as previously
disclosed.
Non-GAAP gross profit was RMB908.2
million, compared with non-GAAP gross profit of RMB1,613.6 million in the same period of 2020.
Non-GAAP gross profit margin decreased to 71.3% from 73.0% in the
same period of 2020.
Operating Expenses
Operating expenses were RMB629.3
million, which decreased from RMB2,290.8 million in the fourth quarter of
2020.
Selling expenses decreased to RMB373.0
million from RMB1,798.4
million in the fourth quarter of 2020, primarily due to
a decrease in marketing expenses as a result of the impact of
government policies as previously disclosed, and a decrease in
compensation for sales and marketing staff as a result of the
restructuring in the third quarter of 2021.
Research and development expenses decreased to RMB125.0 million from RMB274.7 million in the fourth quarter of 2020,
primarily due to a decrease in compensation for research and
development personnel as a result of the restructuring in the third
quarter of 2021.
General and administrative expenses decreased to RMB95.9 million from RMB217.7 million in the fourth quarter of 2020,
primarily due to a decrease in compensation for general and
administrative staff as a result of the restructuring in the third
quarter of 2021.
Impairment loss on long-lived assets and disposal loss on assets
was RMB14.1 million and RMB21.3 million respectively for the fourth
quarter of 2021, compared with nil and nil for the same period of
2020, primarily due to negative impact of government policies as
previously disclosed.
Income (Loss) from Operations
Income from operations was RMB258.3
million, compared with the loss from operations of
RMB696.1 million in the fourth
quarter of 2020. The increase was primarily due to a decrease
in compensation for staff as a result of the restructuring, as well
as decrease in other operating related expenses.
Non-GAAP income from operations was RMB296.8 million, compared with non-GAAP loss
from operations of RMB623.4 million
in the fourth quarter of 2020.
Interest Income and Realized Gains from
Investment
Interest income and realized gains from investments, on
aggregate, were RMB15.9 million,
compared with RMB18.6 million in the
fourth quarter of 2020.
Other Income
Other income was RMB11.2 million,
compared with other income of RMB54.1
million in the fourth quarter of 2020. The decrease was
mainly due to the value-added tax exemption offered by the
government in the fourth quarter of 2020, which was no longer
offered after April 2021.
Net Income (Loss)
Net income was RMB285.9 million,
compared with net loss of RMB627.0
million in the fourth quarter of 2020.
Non-GAAP net income was RMB324.4
million, compared with non-GAAP net loss of RMB554.4 million in the fourth quarter of
2020.
Cash Flow
Net operating cash inflow for the fourth quarter of 2021 was
RMB245.8 million. The inflow of net
operating cash this quarter was primarily due to a decrease in
employee compensation as a result of the restructuring in the third
quarter of 2021, as well as decrease in other operating related
expenses.
Basic and Diluted Net Income per ADS
Basic and diluted net income per ADS were RMB1.11 and RMB1.09, respectively, in the fourth quarter of
2021.
Non-GAAP basic and diluted net income per ADS were RMB1.26 and RMB1.23, respectively, in the fourth quarter of
2021.
Share Outstanding
As of December 31, 2021, the
Company had 171,337,528 ordinary shares outstanding.
Cash and Cash Equivalents, Restricted Cash, Short-term
Investments and Long-term Investments
As of December 31, 2021, the
Company had cash and cash equivalents, restricted cash and
short-term investments of RMB3,671.1
million in the aggregate, compared with a total of
RMB8,217.2 million of cash and cash
equivalents, short-term investments and long-term investments as of
December 31, 2020. Restricted cash
mainly represented the upfront tuition fee in the government
custodian account, and will be released as the courses are being
delivered.
Other Payables
As of December 31, 2021, other
payables in non-current liabilities totaled RMB35.8 million, among which RMB26.6 million were payables related to the
purchase of the Zhengzhou
properties.
Financial Results for the Fiscal Year of 2021
Net Revenues
Net revenues were RMB6,561.7
million, compared with net revenues of RMB7,124.7 million in 2020. The decrease was
mainly due to the cessation of K-9 academic subject tutoring
services as a result of the impact of government policies as
previously disclosed.
Cost of revenues
Cost of revenues was RMB2,397.6
million, compared with cost of revenues of RMB1,762.5 million in 2020. The increase was
mainly due to severance costs for the reduction of instructors and
tutors in the third quarter of 2021.
Gross Profit and Gross Margin
Gross profit was RMB4,164.1
million, compared with gross profit of RMB5,362.2 million in 2020. Gross profit margin
decreased to 63.5%, from 75.3% in 2020. The decrease was
attributable to the decrease of net revenues and the severance
costs for the reduction in staffing recognized in the third quarter
of 2021, as a result of the impact of government policies as
previously disclosed.
Non-GAAP gross profit was RMB4,282.3
million, compared with non-GAAP gross profit of RMB5,428.6 million in 2020. Non-GAAP gross profit
margin decreased to 65.3%, from 76.2% in 2020.
Operating Expenses
Operating expenses were RMB7,344.5
million, compared with operating expenses of RMB7,117.2 million in 2020.
Selling expenses decreased to RMB5,129.3
million from RMB5,816.2
million in 2020, primarily due to a decrease in
marketing expenses due to the impact of government policies as
previously disclosed, which were partially offset by an increase in
compensation, which includes severance costs to sales and marketing
staff as a result of the personnel reduction in the third quarter
of 2021.
Research and development increased by 70.6% to RMB1,252.9 million from RMB734.5 million in 2020, primarily due to an
increase in compensation, which includes severance costs in the
third quarter of 2021, for education content development
professionals and technology development personnel.
General and administrative expenses increased to RMB720.3 million from RMB566.6 million in 2020, primarily due to
an increase in compensation to general and administrative staff,
which includes severance costs in the third quarter of 2021.
Impairment loss on long-lived assets and disposal loss on assets
was RMB95.8 million and RMB146.2 million respectively for 2021, compared
with nil and nil for 2020, primarily due to negative impact of
government policies as previously disclosed.
Loss from Operations
Loss from operations was RMB3,180.3
million, compared with loss from operations of RMB1,755.0 million in 2020.
Non-GAAP loss from operations was RMB2,835.1 million, compared with non-GAAP loss
from operations of RMB1,516.6 million
in 2020.
Interest Income and Realized Gains from
Investment
Interest income and realized gains from investments, on
aggregate, was RMB97.2 million,
compared with RMB73.8 million in
2020.
Other Income
Other income was RMB20.9 million,
compared with other income of RMB253.6
million in 2020. The decrease was mainly due to the
value-added tax exemption offered by the government in 2020, which
was no longer offered after April
2021.
Net Loss
Net loss was RMB3,103.5 million,
compared with net loss of RMB1,392.9
million in 2020.
Non-GAAP net loss was RMB2,758.2
million, compared with non-GAAP net loss of RMB1,154.5 million in 2020
Cash Flow
Net operating cash outflow was RMB4,185.8
million, compared with operating cash inflow of RMB603.3 million in 2020. The decrease was
primarily due to the decrease of paid course enrollments, the
increase in tuition fee refunds and the severance costs for the
reduction in staffing paid in the third quarter of 2021, as a
result of the impact of government policies as previously
disclosed.
Basic and Diluted Net Loss per ADS
Basic and diluted net loss per ADS were RMB12.11 in 2021.
Non-GAAP basic and diluted net loss per ADS were RMB10.77 in 2021.
Conference Call
The Company will hold an earnings conference call on
Tuesday, March 8, 2022, at
8:00 AM U.S. Eastern Time
(9:00 PM on the same day,
Beijing/Hong Kong Time). Dial-in
details for the earnings conference call are as follows:
International:
|
1-412-317-6061
|
US:
|
1-888-317-6003
|
Hong Kong:
|
800-963976
|
Mainland
China:
|
4001-206115
|
Passcode:
|
9435187
|
A telephone replay will be available two hours after the
conclusion of the conference call through March 15, 2022. The dial-in details are:
International:
|
1-412-317-0088
|
US:
|
1-877-344-7529
|
Passcode:
|
7384980
|
Additionally, a live and archived webcast of this conference
call will be available at http://ir.gaotu.cn/home.
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of 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" and similar statements. Among other things,
the Company's strategic and operational plans, contain
forward-looking statements. The Company 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 reports to shareholders, in press releases and other written
materials and in oral statements made by its officers, directors or
employees to third parties. Statements that are not historical
facts, including statements about the Company's beliefs and
expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from those
contained in any forward-looking statement, including but not
limited to the following: the Company's ability to continue to
attract students to enroll in its courses; the Company's ability to
continue to recruit, train and retain qualified teachers; the
Company's ability to improve the content of its existing course
offerings and to develop new courses; the Company's ability to
maintain and enhance its brand; the Company's ability to maintain
and continue to improve its teaching results; and the Company's
ability to compete effectively against its competitors. Further
information regarding these and other risks is included in the
Company's reports filed with, or furnished to the U.S. Securities
and Exchange Commission. All information provided in this press
release and in the attachments is as of the date of this press
release, and the Company undertakes no duty to update such
information or any forward-looking statement, except as required
under applicable law.
About Gaotu Techedu Inc.
Gaotu is a technology-driven education company and online
large-class tutoring service provider in China. The Company offers vocational
education, professional education and digital products. Gaotu
adopts an online live large-class format to deliver its courses,
which the Company believes is the most effective and scalable model
to disseminate scarce high-quality teaching resources to aspiring
students in China. Big data
analytics permeates every aspect of the Company's business and
facilitates the application of the latest technology to improve
teaching delivery, student learning experience, and operational
efficiency.
About Non-GAAP Financial Measures
The Company uses gross billings, non-GAAP gross profit, non-GAAP
income (loss) from operations and non-GAAP net income (loss), each
a non-GAAP financial measure, in evaluating its operating results
and for financial and operational decision-making purposes.
The Company defines gross billings for a specific period as the
total amount of cash received for the sale of course offerings in
such period, net of the total amount of refunds in such period. The
Company's management uses gross billings as a performance
measurement because the Company generally bills its students for
the entire course fee at the time of sale of its course offerings
and recognizes revenue proportionally as the classes are delivered.
For some courses, the Company continues to provide students with 12
months to 36 months access to the pre-recorded audio-video courses
after the online live courses are delivered. The Company believes
that gross billings provides valuable insight into the sales of its
course packages and the performance of its business. As gross
billings have material limitations as an analytical metrics 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.
Non-GAAP gross profit, non-GAAP income (loss) from operations
and non-GAAP net income (loss) exclude share-based compensation
expenses, and such adjustment excludes the impact on income tax.
The Company believes that these non-GAAP financial measures provide
meaningful supplemental information regarding its performance and
liquidity by excluding share-based expenses that may not be
indicative of its operating performance from a cash perspective.
The Company believes that both management and investors benefit
from these non-GAAP financial measures in assessing its performance
and when planning and forecasting future periods. These non-GAAP
financial measures also facilitate management's internal
comparisons to the Company's historical performance. A limitation
of using non-GAAP measures is that these non-GAAP measures exclude
share-based compensation charges that have been and will continue
to be for the foreseeable future a significant recurring expense in
the Company's business.
The presentation of these non-GAAP financial measures is not
intended to be considered in isolation from or as a substitute for
the financial information prepared and presented in accordance with
GAAP. For more information on these non-GAAP financial measures,
please see the table captioned "Reconciliations of non-GAAP
measures to the most comparable GAAP measures" set forth at the end
of this release.
The accompanying tables have more details on the reconciliations
between GAAP financial measures that are most directly comparable
to non-GAAP financial measures.
Exchange Rate
The Company's business is primarily conducted in China and the significant majority of revenues
generated are denominated in Renminbi ("RMB"). This announcement
contains currency conversions of RMB amounts into U.S. dollars
("USD") solely for the convenience of the reader. Unless otherwise
noted, all translations from RMB to USD are made at a rate of
RMB6.3726 to USD1.0000, the effective noon buying rate for
December 30, 2021 as set forth in the
H.10 statistical release of the Federal Reserve Board. No
representation is made that the RMB amounts could have been, or
could be, converted, realized or settled into USD at that rate on
December 30, 2021, or at any other
rate.
For further information, please contact:
Gaotu Techedu Inc.
Investor Relations
E-mail: ir@gaotu.cn
Christensen
In China
Ms. Vivian Wang
Phone: +852 2232 3978
E-mail: gotu@christensenir.com
In the US
Ms. Linda Bergkamp
Phone: +1-480-614-3004
Email: lbergkamp@christensenir.com
Gaotu Techedu
Inc.
|
Unaudited
condensed consolidated balance sheets
|
(In thousands of
RMB and USD, except for share, per share and per ADS
data)
|
|
|
|
As of
December
31,
|
|
|
As of December
31,
|
|
|
|
2020
|
|
|
2021
|
|
|
2021
|
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
|
355,224
|
|
|
|
728,934
|
|
|
|
114,386
|
|
Restricted
cash
|
|
|
—
|
|
|
|
168,189
|
|
|
|
26,393
|
|
Short-term
investments
|
|
|
7,331,268
|
|
|
|
2,774,000
|
|
|
|
435,301
|
|
Inventory
|
|
|
48,074
|
|
|
|
15,595
|
|
|
|
2,447
|
|
Prepaid expenses and
other current assets
|
|
|
722,682
|
|
|
|
250,068
|
|
|
|
39,241
|
|
Total current
assets
|
|
|
8,457,248
|
|
|
|
3,936,786
|
|
|
|
617,768
|
|
|
|
|
|
|
|
|
|
|
|
Non-current
assets
|
|
|
|
|
|
|
|
|
|
Operating lease
right-of-use assets
|
|
|
806,591
|
|
|
|
353,877
|
|
|
|
55,531
|
|
Property, equipment
and software, net
|
|
|
704,338
|
|
|
|
680,009
|
|
|
|
106,708
|
|
Land use rights,
net
|
|
|
28,983
|
|
|
|
28,178
|
|
|
|
4,422
|
|
Long-term
investments
|
|
|
530,729
|
|
|
|
—
|
|
|
|
—
|
|
Deferred tax
assets
|
|
|
48,324
|
|
|
|
—
|
|
|
|
—
|
|
Rental
deposit
|
|
|
51,499
|
|
|
|
22,544
|
|
|
|
3,538
|
|
Other non-current
assets
|
|
|
58,080
|
|
|
|
3,272
|
|
|
|
514
|
|
TOTAL
ASSETS
|
|
|
10,685,792
|
|
|
|
5,024,666
|
|
|
|
788,481
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
|
|
|
Accrued expenses,
deferred revenue and other current
liabilities (including accrued expenses, deferred
revenue
and other current liabilities of the consolidated VIE
without
recourse to the Group of RMB3,347,616 and RMB1,404,025
as of December 31, 2020 and December 31, 2021,
respectively)
|
|
|
4,040,116
|
|
|
|
1,680,258
|
|
|
|
263,670
|
|
Current portion of
operating lease liabilities (including
current portion of operating lease liabilities of
the
consolidated VIE without recourse to the Group of
RMB125,986 and RMB41,479 as of December 31, 2020
and December 31, 2021, respectively)
|
|
|
152,622
|
|
|
|
80,010
|
|
|
|
12,555
|
|
Income tax payable of
the consolidated VIE without
recourse to the Group
|
|
|
4,654
|
|
|
|
—
|
|
|
|
—
|
|
Total Current
liabilities
|
|
|
4,197,392
|
|
|
|
1,760,268
|
|
|
|
276,225
|
|
Gaotu Techedu
Inc.
|
Unaudited
condensed consolidated balance sheets
|
(In thousands of
RMB and USD, except for share, per share and per ADS
data)
|
|
|
|
As of
December
31,
|
|
|
As of December
31,
|
|
|
|
2020
|
|
|
2021
|
|
|
2021
|
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
Non-current
liabilities
|
|
|
|
|
|
|
|
|
|
Non-current portion of
operating lease liabilities (including
non-current portion of operating lease liabilities of
the
consolidated VIE without recourse to the Group of
RMB527,692 and RMB158,824 as of December 31, 2020
and December 31, 2021, respectively)
|
|
|
644,143
|
|
|
|
276,035
|
|
|
|
43,316
|
|
Deferred tax
liabilities of the consolidated VIE without
recourse to the Group
|
|
|
78,697
|
|
|
|
71,616
|
|
|
|
11,238
|
|
Deferred revenue and
other payables of the consolidated VIE
without recourse to the Group
|
|
|
35,705
|
|
|
|
35,805
|
|
|
|
5,619
|
|
TOTAL
LIABILITIES
|
|
|
4,955,937
|
|
|
|
2,143,724
|
|
|
|
336,398
|
|
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS'
EQUITY
|
|
|
|
|
|
|
|
|
|
Ordinary
shares
|
|
|
113
|
|
|
|
114
|
|
|
|
18
|
|
Treasury stock, at
cost
|
|
|
(139,572)
|
|
|
|
—
|
|
|
|
—
|
|
Additional paid-in
capital
|
|
|
7,595,049
|
|
|
|
7,793,234
|
|
|
|
1,222,928
|
|
Accumulated other
comprehensive loss
|
|
|
(59,905)
|
|
|
|
(143,111)
|
|
|
|
(22,457)
|
|
Statutory
reserve
|
|
|
40,380
|
|
|
|
40,380
|
|
|
|
6,337
|
|
Accumulated
deficit
|
|
|
(1,706,210)
|
|
|
|
(4,809,675)
|
|
|
|
(754,743)
|
|
TOTAL
SHAREHOLDERS' EQUITY
|
|
|
5,729,855
|
|
|
|
2,880,942
|
|
|
|
452,083
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES
AND TOTAL SHAREHOLDERS'
EQUITY
|
|
|
10,685,792
|
|
|
|
5,024,666
|
|
|
|
788,481
|
|
Gaotu Techedu
Inc.
|
Unaudited
condensed consolidated statements of operations
|
(In thousands of
RMB and USD, except for share, per share and per ADS
data)
|
|
|
|
For the three
months ended December 31,
|
|
|
For the year ended
December 31,
|
|
|
|
2020
|
|
|
2021
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
2021
|
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
Net
Revenues:
|
|
|
2,211,041
|
|
|
|
1,274,267
|
|
|
|
199,960
|
|
|
|
7,124,744
|
|
|
|
6,561,747
|
|
|
|
1,029,681
|
|
Online K-12 academic
subject
tutoring services
|
|
|
1,975,162
|
|
|
|
1,125,200
|
|
|
|
176,568
|
|
|
|
6,237,399
|
|
|
|
6,000,639
|
|
|
|
941,631
|
|
Comprehensive tutoring
services[3]
|
|
|
235,879
|
|
|
|
149,067
|
|
|
|
23,392
|
|
|
|
887,345
|
|
|
|
561,108
|
|
|
|
88,050
|
|
Cost of
revenues
|
|
|
(616,363)
|
|
|
|
(386,652)
|
|
|
|
(60,674)
|
|
|
|
(1,762,548)
|
|
|
|
(2,397,604)
|
|
|
|
(376,236)
|
|
Gross
profit
|
|
|
1,594,678
|
|
|
|
887,615
|
|
|
|
139,286
|
|
|
|
5,362,196
|
|
|
|
4,164,143
|
|
|
|
653,445
|
|
Operating
expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling
expenses
|
|
|
(1,798,357)
|
|
|
|
(373,035)
|
|
|
|
(58,537)
|
|
|
|
(5,816,214)
|
|
|
|
(5,129,267)
|
|
|
|
(804,894)
|
|
Research and
development expenses
|
|
|
(274,726)
|
|
|
|
(124,977)
|
|
|
|
(19,612)
|
|
|
|
(734,450)
|
|
|
|
(1,252,877)
|
|
|
|
(196,604)
|
|
General and
administrative expenses
|
|
|
(217,670)
|
|
|
|
(95,913)
|
|
|
|
(15,051)
|
|
|
|
(566,565)
|
|
|
|
(720,253)
|
|
|
|
(113,023)
|
|
Impairment loss on
long-lived assets
|
|
|
—
|
|
|
|
(14,104)
|
|
|
|
(2,213)
|
|
|
|
—
|
|
|
|
(95,844)
|
|
|
|
(15,040)
|
|
Disposal loss on
assets
|
|
|
—
|
|
|
|
(21,270)
|
|
|
|
(3,338)
|
|
|
|
—
|
|
|
|
(146,245)
|
|
|
|
(22,949)
|
|
Total operating
expenses
|
|
|
(2,290,753)
|
|
|
|
(629,299)
|
|
|
|
(98,751)
|
|
|
|
(7,117,229)
|
|
|
|
(7,344,486)
|
|
|
|
(1,152,510)
|
|
(Loss) income from
operations
|
|
|
(696,075)
|
|
|
|
258,316
|
|
|
|
40,535
|
|
|
|
(1,755,033)
|
|
|
|
(3,180,343)
|
|
|
|
(499,065)
|
|
Interest
income
|
|
|
1,273
|
|
|
|
4,296
|
|
|
|
674
|
|
|
|
3,372
|
|
|
|
31,460
|
|
|
|
4,937
|
|
Realized gains from
investments
|
|
|
17,334
|
|
|
|
11,582
|
|
|
|
1,817
|
|
|
|
70,403
|
|
|
|
65,763
|
|
|
|
10,320
|
|
Other
income
|
|
|
54,109
|
|
|
|
11,215
|
|
|
|
1,760
|
|
|
|
253,646
|
|
|
|
20,906
|
|
|
|
3,281
|
|
(Loss) income
before provision for
income tax and share of results of
equity investees
|
|
|
(623,359)
|
|
|
|
285,409
|
|
|
|
44,786
|
|
|
|
(1,427,612)
|
|
|
|
(3,062,214)
|
|
|
|
(480,527)
|
|
Income tax (expenses)
benefits
|
|
|
(5,474)
|
|
|
|
449
|
|
|
|
70
|
|
|
|
34,619
|
|
|
|
(40,949)
|
|
|
|
(6,426)
|
|
Share of results of
equity investees
|
|
|
1,800
|
|
|
|
—
|
|
|
|
—
|
|
|
|
63
|
|
|
|
(302)
|
|
|
|
(47)
|
|
Net (loss)
income
|
|
|
(627,033)
|
|
|
|
285,858
|
|
|
|
44,856
|
|
|
|
(1,392,930)
|
|
|
|
(3,103,465)
|
|
|
|
(487,000)
|
|
Net (loss) income
attributable to
Gaotu Techedu Inc.'s ordinary
shareholders
|
|
|
(627,033)
|
|
|
|
285,858
|
|
|
|
44,856
|
|
|
|
(1,392,930)
|
|
|
|
(3,103,465)
|
|
|
|
(487,000)
|
|
Net (loss) income
per ordinary share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
(3.88)
|
|
|
|
1.67
|
|
|
|
0.26
|
|
|
|
(8.72)
|
|
|
|
(18.17)
|
|
|
|
(2.85)
|
|
Diluted
|
|
|
(3.88)
|
|
|
|
1.63
|
|
|
|
0.26
|
|
|
|
(8.72)
|
|
|
|
(18.17)
|
|
|
|
(2.85)
|
|
Net (loss) income
per ADS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
(2.59)
|
|
|
|
1.11
|
|
|
|
0.17
|
|
|
|
(5.81)
|
|
|
|
(12.11)
|
|
|
|
(1.90)
|
|
Diluted
|
|
|
(2.59)
|
|
|
|
1.09
|
|
|
|
0.17
|
|
|
|
(5.81)
|
|
|
|
(12.11)
|
|
|
|
(1.90)
|
|
Weighted average
shares used in net
income per share
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
161,704,940
|
|
|
|
171,204,907
|
|
|
|
171,204,907
|
|
|
|
159,725,779
|
|
|
|
170,790,979
|
|
|
|
170,790,979
|
|
Diluted
|
|
|
161,704,940
|
|
|
|
175,669,582
|
|
|
|
175,669,582
|
|
|
|
159,725,779
|
|
|
|
170,790,979
|
|
|
|
170,790,979
|
|
Note: Three ADSs represent two ordinary shares.
Gaotu Techedu
Inc.
|
Reconciliations of
non-GAAP measures to the most comparable GAAP
measures
|
(In thousands of
RMB and USD, except for share, per share and per ADS
data)
|
|
|
|
For the three
months ended December
31,
|
|
|
For the year ended
December 31,
|
|
|
|
2020
|
|
|
2021
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
2021
|
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
Net
revenues
|
|
|
2,211,041
|
|
|
|
1,274,267
|
|
|
|
199,960
|
|
|
|
7,124,744
|
|
|
|
6,561,747
|
|
|
|
1,029,681
|
|
Less: other
revenues(1)
|
|
|
74
|
|
|
|
306
|
|
|
|
48
|
|
|
|
1,289
|
|
|
|
911
|
|
|
|
143
|
|
Add: VAT and
surcharges
|
|
|
139,270
|
|
|
|
76,684
|
|
|
|
12,033
|
|
|
|
434,090
|
|
|
|
402,979
|
|
|
|
63,236
|
|
Add: ending deferred
revenue and refund liability
|
|
|
2,854,448
|
|
|
|
1,074,848
|
|
|
|
168,668
|
|
|
|
2,854,448
|
|
|
|
1,074,848
|
|
|
|
168,668
|
|
Less: beginning
deferred revenue and refund liability
|
|
|
2,046,483
|
|
|
|
1,418,984
|
|
|
|
222,669
|
|
|
|
1,392,203
|
|
|
|
2,854,448
|
|
|
|
447,925
|
|
Less: deferred
revenue from the Tianjin
Puxin acquisition.
|
|
|
11,700
|
|
|
|
—
|
|
|
|
—
|
|
|
|
11,700
|
|
|
|
—
|
|
|
|
—
|
|
Gross billings
(non-GAAP)
|
|
|
3,146,502
|
|
|
|
1,006,509
|
|
|
|
157,944
|
|
|
|
9,008,090
|
|
|
|
5,184,215
|
|
|
|
813,517
|
|
Note (1): Include miscellaneous revenues generated from services
other than courses.
|
|
For the three
months ended December 31,
|
|
|
For the year ended
December 31,
|
|
|
|
2020
|
|
|
2021
|
|
|
2021
|
|
|
2020
|
|
|
2021
|
|
|
2021
|
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
|
RMB
|
|
|
RMB
|
|
|
USD
|
|
Gross
profit
|
|
|
1,594,678
|
|
|
|
887,615
|
|
|
|
139,286
|
|
|
|
5,362,196
|
|
|
|
4,164,143
|
|
|
|
653,445
|
|
Share-based
compensation expense in
cost of revenues
|
|
|
18,932
|
|
|
|
20,591
|
|
|
|
3,231
|
|
|
|
66,422
|
|
|
|
118,145
|
|
|
|
18,540
|
|
Non-GAAP gross
profit
|
|
|
1,613,610
|
|
|
|
908,206
|
|
|
|
142,517
|
|
|
|
5,428,618
|
|
|
|
4,282,288
|
|
|
|
671,985
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) income from
operations
|
|
|
(696,075)
|
|
|
|
258,316
|
|
|
|
40,535
|
|
|
|
(1,755,033)
|
|
|
|
(3,180,343)
|
|
|
|
(499,065)
|
|
Share-based
compensation expenses
|
|
|
72,679
|
|
|
|
38,529
|
|
|
|
6,046
|
|
|
|
238,446
|
|
|
|
345,259
|
|
|
|
54,179
|
|
Non-GAAP (loss)
income from
operations
|
|
|
(623,396)
|
|
|
|
296,845
|
|
|
|
46,581
|
|
|
|
(1,516,587)
|
|
|
|
(2,835,084)
|
|
|
|
(444,886)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss)
income
|
|
|
(627,033)
|
|
|
|
285,858
|
|
|
|
44,856
|
|
|
|
(1,392,930)
|
|
|
|
(3,103,465)
|
|
|
|
(487,000)
|
|
Share-based
compensation expenses
|
|
|
72,679
|
|
|
|
38,529
|
|
|
|
6,046
|
|
|
|
238,446
|
|
|
|
345,259
|
|
|
|
54,179
|
|
Non-GAAP net
(loss) income
|
|
|
(554,354)
|
|
|
|
324,387
|
|
|
|
50,902
|
|
|
|
(1,154,484)
|
|
|
|
(2,758,206)
|
|
|
|
(432,821)
|
|
View original
content:https://www.prnewswire.com/news-releases/gaotu-techedu-announces-fourth-quarter-and-fiscal-year-2021-unaudited-financial-results-301497385.html
SOURCE Gaotu Techedu Inc.