Q1 net revenues decreased by 11.7%
year-over-year
Q1 gross billings (non-GAAP) decreased by 34.2%
year-over-year
Q1 net income reached RMB179.4 million
BEIJING, May 31, 2022
/PRNewswire/ -- Sunlands Technology Group (NYSE:
STG) ("Sunlands" or the "Company"), a leader in China's online post-secondary and professional
education, today announced its unaudited
financial results for the first quarter ended
March 31, 2022.
First Quarter 2022 Financial and
Operational Snapshots
- Net revenues were RMB613.3
million (US$96.7 million),
representing an 11.7% decrease year-over-year.
- Gross billings (non-GAAP) were RMB390.6
million (US$61.6 million),
representing a 34.2% decrease year-over-year.
- Gross profit was RMB516.6 million
(US$81.5 million), representing a
12.1% decrease year-over-year.
- Net income was RMB179.4 million
(US$28.3 million), compared with net
loss of RMB53.3 million in the first
quarter of 2021.
- Net income/loss margin, defined as net income/loss as a
percentage of net revenues, increased to 29.3% from -7.7% in the
first quarter of 2021.
- New student enrollments[1] were 117,182,
representing a 19.5% decrease year-over-year.
- As of March 31, 2022, the
Company's deferred revenue balance was RMB2,170.9 million (US$
342.5 million).
[1] New
student enrollments for a given period refers 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). In June 2019, we introduced low-price courses,
including "mini courses" and "RMB1 courses," to strengthen our
competitiveness and improve customer experience. We offer such
low-price courses mainly in the formats of recorded videos or short
live streaming.
|
"We are pleased to have carried our momentum into 2022, with our
first quarter net profit hitting a new high of RMB179.4 million, a significant improvement
compared to a net loss of RMB53.3
million in the prior year period and 19.0% higher
quarter-over-quarter. This was driven by the ongoing strong
execution of our balanced growth and profitability strategy as well
as our extensive course resources, which continue to effectively
fulfill our users' learning demands," said Mr. Tongbo Liu, Chief Executive Officer of
Sunlands.
"As we focused on healthy and sustainable growth with an
emphasis on student acquisition efficiency, we strategically scaled
back on our marketing activities, as evidenced by a 51.4%
year-over-year decrease in sales and marketing expenses. This led
to 19.5% and 34.2% year-over-year decreases in new student
enrollments and gross billings, respectively. Despite that, we
continued to forge ahead, optimizing our product mix and expanding
our course catalogs for our master's degree-oriented and
professional skills programs while striving to provide our students
with an optimal learning experience. In light of the increasingly
tough job market in the first quarter, we concentrated more on
designing and developing new courses to provide a diverse range of
skills training for our students to enhance their overall
competitiveness and thereby increase their employment
opportunities. Going forward, we will remain dedicated to
empowering each of our students' individual success by constantly
evolving and enriching our product offerings to satisfy their
needs, which we believe will benefit our long-term growth and
contribute to China's economic development against macro
headwinds," concluded Mr. Liu.
Ms. Selena Lu Lv, Chief Financial Officer of Sunlands,
commented, "We are excited to start the year with encouraging first
quarter results. Our net revenues reached RMB613.3 million during the quarter, above the
top end of our guidance range despite an 11.7% year-over-year
decrease, as we remain unwavering regarding meaningful and
sustainable growth instead of blind pursuit of scale expansion amid
the existing complex macroeconomic environment. Meanwhile, we
continued to manage our costs responsibly, thanks to which our
operating expenses in the first quarter declined by 48.1%
year-over-year. As a result, we sustained our profitability in this
quarter, with net profit margin reaching 29.3%, representing a
substantial 37.0 percentage point increase year-over-year. Notably,
we also maintained positive operating cash flow in the first
quarter at RMB10.1 million. We are
confident that our improved operational efficiency and
profitability, combined with our unremitting efforts to diversify
course offerings and enhance service quality, will drive our future
growth while creating additional value for our students, employees
and shareholders."
Financial Results for the first quarter of
2022
Net Revenues
In the first quarter of 2022, net revenues decreased by 11.7% to
RMB613.3 million (US$96.7 million) from RMB694.3 million in the first quarter of 2021.
The decrease was mainly driven by the year-over-year decline in
gross billings.
Cost of Revenues
Cost of revenues decreased by 9.1% to RMB96.7 million (US$15.3
million) in the first quarter of 2022 from RMB106.4 million in the first quarter of 2021.
The decrease was primarily due to: (i) declined compensation
expenses related to our cost of revenues personnel; and (ii)
reduced insurance-related costs incurred for our integrated online
education service package purchased by students.
Gross Profit
Gross profit decreased by 12.1% to RMB516.6 million (US$81.5
million) in the first quarter of 2022 from RMB587.9 million in the first quarter of
2021.
Operating Expenses
In the first quarter of 2022, operating expenses were
RMB345.8 million (US$54.6 million), representing a 48.1% decrease
from RMB666.6 million in the first
quarter of 2021.
Sales and marketing expenses decreased by 51.4% to RMB295.0 million (US$46.5
million) in the first quarter of 2022 from RMB606.4 million in the first quarter of 2021.
The decrease was mainly due to: (i) lower spending on branding and
marketing activities; and (ii) declined compensation expenses
related to our sales and marketing personnel.
General and administrative expenses decreased by 9.1% to
RMB38.5 million (US$6.1 million) in the first quarter of 2022 from
RMB42.3 million in the first quarter
of 2021. The decrease was mainly due to: (i) a decrease in rental
expenses; and (ii) declined compensation expenses related to
general and administrative personnel.
Product development expenses decreased by 31.0% to RMB12.4 million (US$1.9
million) in the first quarter of 2022 from RMB17.9 million in the first quarter of 2021.
Product development expenses were mainly comprised of compensation
expenses.
Other Income
Other income decreased by 54.9% to RMB9.6
million (US$1.5 million) in
the first quarter of 2022 from RMB21.3
million in the first quarter of 2021. The decrease was
primarily because value-added tax exemption offered by the relevant
authorities as part of the national COVID-19 relief effort came to
an end in April 2021.
Net Income
Net income for the first quarter of 2022 was RMB179.4 million (US$28.3
million), compared with net loss of RMB53.3 million in the first quarter of 2021.
Basic and Diluted Net Income Per Share
Basic and diluted net income per share was RMB27.16 (US$4.28)
in the first quarter of 2022.
Cash, Cash Equivalents and Short-term Investments
As of March 31, 2022, the Company
had RMB637.7 million (US$100.6 million) of cash and cash equivalents
and RMB219.9 million
(US$34.7 million) of short-term
investments, compared with RMB676.7
million of cash, cash equivalents and restricted cash and
RMB184.2 million of short-term
investments as of December 31,
2021.
Deferred Revenue
As of March 31, 2022, the Company
had a deferred revenue balance of RMB2,170.9
million (US$342.5 million),
compared with RMB2,348.2 million as
of December 31, 2021.
Capital Expenditures
Capital expenditures were incurred primarily in connection with
information technology infrastructure equipment and leasehold
improvements necessary to support the Company's operations. Capital
expenditures were RMB0.9 million
(US$0.1 million) in the first quarter
of 2022, compared with RMB1.7 million
in the first quarter of 2021.
Outlook
For the second quarter of 2022, Sunlands currently expects net
revenues to be between RMB520 million
to RMB540 million, which would
represent a decrease of 14.2% to 17.4% year-over-year.
The above outlook is based on the current market conditions and
reflects the Company's current and preliminary estimates of market
and operating conditions and customer demand, which are all subject
to substantial uncertainty.
Exchange Rate
The Company's business is primarily conducted in China and all revenues are denominated in
Renminbi ("RMB"). This announcement contains currency conversions
of RMB amounts into U.S. dollars ("US$") solely for the convenience
of the reader. Unless otherwise noted, all translations from RMB to
US$ are made at a rate of RMB6.3393
to US$1.00, the effective noon buying
rate for March 31, 2022 as set forth
in the H.10 statistical release of the Federal Reserve Board. No
representation is made that the RMB amounts could have been, or
could be, converted, realized or settled into US$ at that rate on
March 31, 2022, or at any other
rate.
Conference Call and Webcast
Sunlands' management team will host a conference call
at 7:30 AM U.S. Eastern Time, (7:30 PM Beijing/Hong
Kong time) on May 31, 2022, following the quarterly
results announcement.
The dial-in details for the live conference call are:
International:
|
+1-412-902-4272
|
US toll
free:
|
+1-888-346-8982
|
Mainland China toll
free:
|
400-120-1203
|
Hong Kong toll
free:
|
800-905-945
|
Hong Kong:
|
+852-3018-4992
|
Please dial in 10 minutes before the call is scheduled to begin.
When prompted, ask to be connected to the call for "Sunlands
Technology Group." Participants will be required to state their
name and company upon entering the call.
A live webcast and archive of the conference call will be
available on the Investor Relations section of Sunlands' website at
http://www.sunlands.investorroom.com/.
A replay of the conference call will be available 1 hour after
the end of the conference call until June
07, 2022, by dialing the following telephone numbers:
International:
|
+1-412-317-0088
|
US Toll
Free:
|
+1-877-344-7529
|
Replay Access
Code:
|
7410658
|
About Sunlands
Sunlands Technology Group (NYSE: STG) ("Sunlands" or the
"Company"), formerly known as Sunlands Online Education Group, is
the leader in China's online
post-secondary and professional education. With a one to many, live
streaming platform, Sunlands offers various degree and
diploma-oriented post-secondary courses as well as online
professional courses and educational content, to help students
prepare for professional certification exams and attain
professional skills. Students can access its 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 expense, non-GAAP loss/income from
operations and Non-GAAP net loss/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 loss/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 measure 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, non-GAAP net loss/income
exclude share-based compensation expenses, and basic and
diluted net loss/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 the 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
The Piacente Group, Inc.
Brandi Piacente
Tel: +1-212-481-2050
Email: sunlands@tpg-ir.com
Yang Song
Tel: +86-10-6508-0677
Email: sunlands@tpg-ir.com
UNAUDITED CONDENSED
CONSOLIDATED BALANCE SHEETS
|
(Amounts in thousands,
except for share and per share data, or otherwise noted)
|
|
|
|
As of December
31,
|
|
As of March
31,
|
|
|
2021
|
|
2022
|
|
|
RMB
|
|
RMB
|
|
US$
|
ASSETS
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
626,715
|
|
637,700
|
|
100,595
|
Restricted cash
|
|
50,008
|
|
-
|
|
-
|
Short-term
investments
|
|
184,159
|
|
219,897
|
|
34,688
|
Prepaid expenses and other
current assets
|
|
176,349
|
|
128,322
|
|
20,242
|
Deferred costs,
current
|
|
89,353
|
|
74,632
|
|
11,773
|
Total current
assets
|
|
1,126,584
|
|
1,060,551
|
|
167,298
|
Non-current
assets
|
|
|
|
|
|
|
Property and equipment,
net
|
|
857,648
|
|
848,379
|
|
133,828
|
Intangible assets,
net
|
|
2,761
|
|
2,531
|
|
399
|
Right-of-use
assets
|
|
362,335
|
|
356,752
|
|
56,276
|
Deferred costs,
non-current
|
|
109,020
|
|
98,692
|
|
15,568
|
Long-term
investments
|
|
54,844
|
|
53,690
|
|
8,469
|
Deferred tax
assets
|
|
39,265
|
|
34,706
|
|
5,475
|
Other non-current
assets
|
|
40,163
|
|
43,426
|
|
6,850
|
Total non-current
assets
|
|
1,466,036
|
|
1,438,176
|
|
226,865
|
TOTAL ASSETS
|
|
2,592,620
|
|
2,498,727
|
|
394,163
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' DEFICIT
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
Accrued expenses and
other current liabilities (including accrued expenses
|
|
|
|
|
|
|
and other
current liabilities of the consolidated VIEs without recourse
to
|
|
|
|
|
|
|
Sunlands
Technology Group of RMB197,467 and RMB197,459 as of
|
|
|
|
|
|
|
December
31, 2021 and March 31, 2022, respectively)
|
|
586,043
|
|
508,757
|
|
80,254
|
Deferred revenue,
current (including deferred revenue, current of the consolidated
VIEs
|
|
|
|
|
|
|
without
recourse to Sunlands Technology Group of RMB295,958 and
|
|
|
|
|
|
|
RMB286,579
as of December 31, 2021 and March 31, 2022,
respectively)
|
|
1,266,948
|
|
1,136,859
|
|
179,335
|
Lease liabilities,
current portion (including lease liabilities, current portion of
the
|
|
|
|
|
|
|
consolidated VIEs without recourse to Sunlands Technology
Group of RMB8,366
|
|
|
|
|
|
|
and RMB13,168 as of December 31, 2021 and March 31, 2022,
respectively)
|
|
14,310
|
|
19,589
|
|
3,090
|
Long-term debt, current
portion (including long-term debt, current portion of
the
|
|
|
|
|
|
|
consolidated VIEs without recourse to Sunlands Technology
Group of nil and nil
|
|
|
|
|
|
|
as of December 31, 2021 and March 31, 2022,
respectively)
|
|
38,654
|
|
38,654
|
|
6,098
|
Total current
liabilities
|
|
1,905,955
|
|
1,703,859
|
|
268,777
|
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
March 31,
|
|
|
|
2021
|
|
2022
|
|
|
|
RMB
|
|
RMB
|
|
US$
|
|
Non-current
liabilities
|
|
|
|
|
|
|
|
Deferred
revenue, non-current (including deferred revenue,
non-current
|
|
|
|
|
|
|
|
of the consolidated VIEs without recourse to Sunlands
Technology Group of
|
|
|
|
|
|
|
|
RMB257,071 and RMB255,618 as of December 31, 2021 and
March 31, 2022,
|
|
|
|
|
|
|
|
respectively)
|
|
1,081,231
|
|
1,034,089
|
|
163,124
|
|
Lease
liabilities, non-current portion (including lease liabilities,
non-current portion
|
|
|
|
|
|
|
|
of the consolidated VIEs without recourse to Sunlands
Technology Group of
|
|
|
|
|
|
|
|
RMB318,598 and RMB318,184 as of December 31, 2021 and
March 31, 2022,
|
|
|
|
|
|
|
|
respectively)
|
|
404,133
|
|
401,986
|
|
63,412
|
|
Deferred tax liabilities (including deferred tax liabilities of the
consolidated
|
|
|
|
|
|
|
|
VIEs without recourse to Sunlands Technology Group of
RMB2,312 and RMB2,223
|
|
|
|
|
|
|
|
as of December 31, 2021 and March 31, 2022,
respectively)
|
|
21,782
|
|
13,037
|
|
2,057
|
|
Other
non-current liabilities (including other non-current liabilities of
the consolidated
|
|
|
|
|
|
|
|
VIEs without recourse to Sunlands Technology Group of
RMB963 and RMB963
|
|
|
|
|
|
|
|
as of December 31, 2021 and March 31, 2022,
respectively)
|
|
11,698
|
|
11,667
|
|
1,840
|
|
Long-term
debt, non-current portion (including long-term debt, non-current
portion of the
|
|
|
|
|
|
|
|
consolidated VIEs without recourse to Sunlands
Technology Group of nil and nil
|
|
|
|
|
|
|
|
as of December 31, 2021 and March 31, 2022,
respectively)
|
|
181,973
|
|
172,309
|
|
27,181
|
|
Total non-current
liabilities
|
|
1,700,817
|
|
1,633,088
|
|
257,614
|
|
TOTAL
LIABILITIES
|
|
3,606,772
|
|
3,336,947
|
|
526,391
|
|
|
|
|
SHAREHOLDERS'
DEFICIT
|
|
|
|
|
|
|
|
Class A ordinary shares (par value of US$0.00005, 796,062,195
shares
|
|
|
|
|
|
|
|
authorized; 2,085,939 and 2,085,939 shares issued as
of December 31, 2021
|
|
|
|
|
|
|
|
and March 31, 2022, respectively; 1,839,553 and
1,818,126 shares
|
|
|
|
|
|
|
|
outstanding as of December 31, 2021 and March 31,
2022, respectively)
|
|
1
|
|
1
|
|
-
|
|
Class B ordinary shares (par value of US$0.00005, 826,389
shares
|
|
|
|
|
|
|
|
authorized; 826,389 and 826,389 shares issued and
outstanding
|
|
|
|
|
|
|
|
as of December 31, 2021 and March 31, 2022,
respectively)
|
|
-
|
|
-
|
|
-
|
|
Class C ordinary shares (par value of US$0.00005, 203,111,416
shares
|
|
|
|
|
|
|
|
authorized; 4,002,930 and 4,002,930 shares issued and
outstanding
|
|
|
|
|
|
|
|
as of December 31, 2021 and March 31, 2022,
respectively)
|
|
1
|
|
1
|
|
-
|
|
Treasury stock
|
|
-
|
|
-
|
|
-
|
|
Accumulated deficit
|
|
(3,456,073)
|
|
(3,275,435)
|
|
(516,687)
|
|
Additional paid-in capital
|
|
2,364,313
|
|
2,363,014
|
|
372,756
|
|
Accumulated other comprehensive income
|
|
82,532
|
|
79,913
|
|
12,604
|
|
Total Sunlands
Technology Group shareholders' deficit
|
|
(1,009,226)
|
|
(832,506)
|
|
(131,327)
|
|
Non-controlling
interest
|
|
(4,926)
|
|
(5,714)
|
|
(901)
|
|
|
TOTAL SHAREHOLDERS'
DEFICIT
|
|
(1,014,152)
|
|
(838,220)
|
|
(132,228)
|
|
TOTAL LIABILITIES AND
SHAREHOLDERS' DEFICIT
|
|
2,592,620
|
|
2,498,727
|
|
394,163
|
|
|
|
|
|
|
|
|
|
|
|
UNAUDITED CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
|
|
(Amounts in thousands,
except for share and per share data, or otherwise noted)
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended March 31,
|
|
|
|
2021
|
|
2022
|
|
|
|
RMB
|
|
RMB
|
|
US$
|
|
Net revenues
|
|
694,298
|
|
613,314
|
|
96,748
|
|
Cost of
revenues
|
|
(106,422)
|
|
(96,720)
|
|
(15,257)
|
|
Gross profit
|
|
587,876
|
|
516,594
|
|
81,491
|
|
|
|
|
|
|
|
|
|
Operating
expenses
|
|
|
|
|
|
|
|
Sales and marketing
expenses
|
|
(606,429)
|
|
(294,997)
|
|
(46,535)
|
|
Product development
expenses
|
|
(17,916)
|
|
(12,355)
|
|
(1,949)
|
|
General and administrative
expenses
|
|
(42,298)
|
|
(38,460)
|
|
(6,067)
|
|
Total operating
expenses
|
|
(666,643)
|
|
(345,812)
|
|
(54,551)
|
|
(Loss)/income from
operations
|
|
(78,767)
|
|
170,782
|
|
26,940
|
|
Interest
income
|
|
5,861
|
|
3,166
|
|
499
|
|
Interest
expense
|
|
(2,557)
|
|
(2,725)
|
|
(430)
|
|
Other income/(expense),
net
|
|
21,283
|
|
9,592
|
|
1,513
|
|
Impairment loss on
long-term investments
|
|
-
|
|
(500)
|
|
(79)
|
|
(Loss)/income
before income tax
(expenses)/benefit
|
|
(54,180)
|
|
180,315
|
|
28,443
|
|
Income tax
benefit/(expenses)
|
|
348
|
|
(691)
|
|
(109)
|
|
Gain/(loss) from equity
method investments
|
|
553
|
|
(213)
|
|
(34)
|
|
Net
(loss)/income
|
|
(53,279)
|
|
179,411
|
|
28,300
|
|
|
|
|
|
|
|
|
|
Less: Net loss
attributable to non-controlling interest
|
|
(350)
|
|
(1,227)
|
|
(194)
|
|
Net (loss)/income
attributable to Sunlands Technology Group
|
|
(52,929)
|
|
180,638
|
|
28,494
|
|
Net (loss)/income per
share attributable to ordinary shareholders of
|
|
|
|
|
|
|
|
Sunlands
Technology Group:
|
|
|
|
|
|
|
|
Basic and diluted
|
|
(7.87)
|
|
27.16
|
|
4.28
|
|
|
Weighted average shares
used in calculating net (loss)/income
|
|
|
|
|
|
|
|
per
ordinary share:
|
|
|
|
|
|
|
|
Basic and diluted
|
|
6,729,197
|
|
6,650,244
|
|
6,650,244
|
|
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE (LOSS)/INCOME
|
|
(Amounts in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended March 31,
|
|
|
|
2021
|
|
2022
|
|
|
|
RMB
|
|
RMB
|
|
US$
|
|
Net
(loss)/income
|
|
(53,279)
|
|
179,411
|
|
28,300
|
|
Other
comprehensive loss/(income), net
of tax effect of nil:
|
|
|
|
|
|
|
|
Change in cumulative foreign currency translation
adjustments
|
|
2,422
|
|
(2,619)
|
|
(413)
|
|
Total comprehensive
(loss)/income
|
|
(50,857)
|
|
176,792
|
|
27,887
|
|
Less: comprehensive
loss attributable to non-controlling
interest
|
|
(350)
|
|
(1,227)
|
|
(194)
|
|
Comprehensive
(loss)/income attributable to Sunlands Technology Group
|
|
(50,507)
|
|
178,019
|
|
28,081
|
|
SUNLANDS TECHNOLOGY GROUP
|
|
RECONCILIATION
OF GAAP
AND NON-GAAP RESULTS
|
|
(Amounts in
thousands)
|
|
|
|
|
|
For the Three Months
Ended March 31,
|
|
|
|
2021
|
|
2022
|
|
|
|
RMB
|
|
RMB
|
|
Net revenues
|
|
694,298
|
|
613,314
|
|
Less: other
revenues
|
|
(15,422)
|
|
(26,907)
|
|
Add: tax and
surcharges
|
|
37,494
|
|
27,212
|
|
Add: ending deferred
revenue
|
|
2,902,451
|
|
2,170,948
|
|
Add: ending refund
liability
|
|
232,207
|
|
197,494
|
|
Less: beginning
deferred revenue
|
|
(3,024,443)
|
|
(2,348,179)
|
|
Less: beginning refund
liability
|
|
(232,859)
|
|
(243,236)
|
|
Gross billings
(non-GAAP)
|
|
593,726
|
|
390,646
|
|
|
|
|
|
|
|
Net
(loss)/income
|
|
(53,279)
|
|
179,411
|
|
Add: income tax
(benefit)/expenses
|
|
(348)
|
|
691
|
|
|
depreciation and amortization
|
|
8,479
|
|
9,887
|
|
interest expense
|
|
2,557
|
|
2,725
|
|
Less: interest
income
|
|
(5,861)
|
|
(3,166)
|
|
EBITDA
(non-GAAP)
|
|
(48,452)
|
|
189,548
|
|
SUNLANDS TECHNOLOGY GROUP
|
RECONCILIATION OF
GAAP AND NON-GAAP RESULTS
|
(Amounts in
thousands)
|
|
|
|
For the Three Months
Ended March 31,
|
|
|
2021
|
|
2022
|
|
|
RMB
|
|
RMB
|
Cost of
revenues
|
|
(106,422)
|
|
(96,720)
|
Less: Share-based
compensation expenses in cost of revenues
|
|
(51)
|
|
(33)
|
Non-GAAP cost of
revenues
|
|
(106,371)
|
|
(96,687)
|
|
|
|
|
|
Sales and marketing
expenses
|
|
(606,429)
|
|
(294,997)
|
Less: Share-based
compensation expenses in sales and marketing expenses
|
|
(155)
|
|
(78)
|
Non-GAAP sales and
marketing expenses
|
|
(606,274)
|
|
(294,919)
|
|
|
|
|
|
General and
administrative expenses
|
|
(42,298)
|
|
(38,460)
|
Less: Share-based
compensation expenses in general and administrative
expenses
|
|
95
|
|
(257)
|
Non-GAAP general and
administrative expenses
|
|
(42,393)
|
|
(38,203)
|
|
|
|
|
|
Operating costs and
expense
|
|
(773,065)
|
|
(442,532)
|
Less: Share-based
compensation expenses
|
|
(111)
|
|
(368)
|
Non-GAAP operating
costs and expense
|
|
(772,954)
|
|
(442,164)
|
|
|
|
|
|
(Loss)/income from
operations
|
|
(78,767)
|
|
170,782
|
Less: Share-based
compensation expenses
|
|
(111)
|
|
(368)
|
Non-GAAP (loss)/income
from operations
|
|
(78,656)
|
|
171,150
|
|
|
|
|
|
Net (loss)/income
attributable to Sunlands Technology Group
|
|
(52,929)
|
|
180,638
|
Less: Share-based
compensation expenses
|
|
(111)
|
|
(368)
|
Non-GAAP net
(loss)/income attributable to Sunlands Technology Group
|
|
(52,818)
|
|
181,006
|
|
|
|
|
|
Net (loss)/income per
share attributable to ordinary shareholders of
|
|
|
|
|
Sunlands
Technology Group:
|
|
|
|
|
Basic and diluted
|
|
(7.87)
|
|
27.16
|
Non-GAAP net
(loss)/income per share attributable to ordinary shareholders
of
|
|
|
|
|
Sunlands
Technology Group:
|
|
|
|
|
Basic and diluted
|
|
(7.85)
|
|
27.22
|
|
|
|
|
|
Weighted average shares
used in calculating net (loss)/income
|
|
|
|
|
per
ordinary share:
|
|
|
|
|
Basic and diluted
|
|
6,729,197
|
|
6,650,244
|
Weighted average shares
used in calculating Non-GAAP net (loss)/income
|
|
|
|
|
per
ordinary share:
|
|
|
|
|
Basic and diluted
|
|
6,729,197
|
|
6,650,244
|
View original
content:https://www.prnewswire.com/news-releases/sunlands-technology-group-announces-unaudited-first-quarter-2022-financial-results-301557664.html
SOURCE Sunlands Technology Group