Q4 2023 Gaotu Techedu Inc Earnings Call
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Operator: Good day, and welcome to the Gautu Techedu Inc. Fourth Quarter and Fiscal Year 2023 Earnings Conference Call. All participants will be in listen-only mode.
Good day and welcome to the Gulf to take E. D U Inc, fourth quarter and fiscal year 2023 earnings conference call.
All participants will be in listen only mode.
Operator: Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press the star key, then 1 on your touchtone phone.
Should you need assistance. Please signal a conference specialist by pressing the star key followed by zero.
After todays presentation, there would be an opportunity to ask questions.
To ask a question you May Press Star then one on your Touchtone phone.
Operator: To withdraw your question, please press star then 2. Please note, this event is being recorded. I would now like to turn the conference over to Ms. Katherine Chen, Head of Investor Relations. Please go ahead.
To withdraw your question. Please press Star then two.
Please note this event is being recorded.
I would now like to turn the conference over to MS. Catherine Chen.
Head of Investor Relations.
Please go ahead. Thanks.
Ms. Katherine Chen: Thank you all. Thank you, operator. Good evening, everyone.
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Thank you operator, good evening, everyone. Thank you for joining Gogo, Inc, fourth quarter and fiscal year 'twenty to 'twenty three earnings Conference call. My name is Kathleen and I will help close the earnings calls of all.
Kathleen: Thank you for joining Galco's fourth quarter and fiscal year 2023 earnings conference call. My name is Kathleen, and I'll help host the earnings call today. GoTo's earnings release for the quarter was distributed earlier and is available on the company's IR website at ir.goto.com, as well as through PR Newsware Services.
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Larry Chen: Joining the call with me tonight from Galtu Senior Management are Mr. Larry Chen, Galtu's Founder, Chairman, and Executive Chief Officer, and Ms. Shannon Shen, Galtu's Chief Financial Officer. Larry will first provide the business highlights for the quarter, and then afterwards, Shannon will discuss our financial performance in more detail. Following their prepared remarks, we'll open the floor to questions from analysts. Before we begin, I'd like to remind you that this conference call will contain forward-looking statements made under the safe harbor provision of the U.S. Private Security Litigation Reform Act of 1996.
On the call with me Tonight from adult and senior management.
Mr. Larry chose Delta founder, Chairman and executive Chief Applecare and challenge.
As Chief Financial Officer.
Larry will provide business highlights for the quarter and then up to what Shannon will discuss our financial performance in more detail.
Following their prepared remarks, we'll open the floor to questions from analysts.
Following their prepared remarks, we'll open the floor to questions from analysts.
Before we begin I'd like to remind you that this conference call will contain forward looking statements made under the safe Harbor provision of the U S. Private Securities Litigation Reform Act up 1995.
This forward looking statements are based upon management's current beliefs and expectations as well as the current market and operating conditions.
Unnamed Speaker: These forward-looking statements are based upon management's current beliefs and expectations, as well as the current market and operating conditions, and they involve known or unknown risks, uncertainties, and other factors, all of which are difficult to predict and many of which are beyond the company's control and may cause the company's actual results, performance, or achievements to differ materially from those contained in any forward-looking statement. Further information regarding this and other risks is included in the company's public filing with the U.S. FCC. The company does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
And they involve known or unknown risks uncertainties and other factors all of which are difficult to predict and many of which are beyond the company's control and may cause the company's actual results.
Or achievements could differ materially from those contained in any forward looking statement.
Further information regarding this and other risks is included in the Companys public filings.
The company does not undertake any obligation to update any forward looking statement is that as required under applicable law.
Unnamed Speaker: During today's call, management will also discuss certain non-GAAP measurements for comparison purposes only. For a definition of non-GAAP financial measures and reconciliation of GAAP to non-GAAP financial results, please refer to our 4th Quarter and Fiscal Year 2023 Earnings Series published earlier today. As a reminder, this conference is being recorded. In addition, a live and archived webcast of this conference call will be available on Galco's investor relations website. It is now my pleasure to introduce our Founder, Chairman, and Chief Executive Officer, Larry. Good evening and good morning, everyone.
During today's call management will also discuss certain non-GAAP measurements for comparison purposes only.
For a definition of non-GAAP financial measure and a reconciliation of GAAP to non-GAAP financial results. Please refer to our fourth quarter and fiscal year 'twenty 'twenty earnings.
Published earlier today.
As a reminder, this conference is being recorded yeah, a vision a live and archived webcast of this conference call will be available on golf with our website.
It is now my pleasure to introduce our founder chairman.
And she is exactly the opposite Larry let me.
Good evening and good morning, everyone. Thank you for joining us on call it towards the fourth quarter and fiscal year, two starting with earnings conference call I wouldn't like to take this opportunity to express my gratitude to all of you for your interest and for Macau tools before I start I would like to.
Larry Chen: Thank you for joining us on GALTU's fourth quarter and fifth year 2023 earnings conference call. I would like to take this opportunity to express my gratitude to all of you for your interest and support of GALTU. Before I start, I would like to remind everyone that all financial figures discussed today are quoted in RMB unless stated otherwise. During the past quarter, we continued to bolster our core fitness strengths while simultaneously pushing the boundaries of new initiatives. We observed a notable uptick in demand for high-quality educational products and learning services, and we remain focused on addressing this demand by enhancing our product offerings and channels across key business lines, including non-academic tutoring services, traditional learning services, and educational services for college students and adults. Investing in emerging technologies such as artificial intelligence allows us to acquire a more profound and holistic insight into the fundamental needs of users and students, enabling us to provide precise and personalized offerings and services, thereby elevating user experiences and improving learning outcomes.
To remind everyone that all financial figures discussed today are quoting you on beef and that they do and.
Unless stated otherwise.
Do you really got the past quarter, we continue to bolster our core news Australia, while simultaneous are they pushing the boundaries of a new initiative.
We observed a notable uptake in demand for our high quality nutritional products and services and we remain the books are tracing this demand by enhancing our product offering and the channels across key business lines, including that assignment.
Professional services and educational Services' fourth college students and either.
And investing in emerging technologies, such as artificial intelligence allows us to acquire a more profound and oh, let's take or insight into the fundamental needs of users understood. This enables us to provide the prescriber and the person I've ever premiums.
And the services, thereby elevating and user experiences and improving learning outcomes.
Larry Chen: Our deep industry insights, exceptional organizational capabilities, and well-established tutor recruitment and training system have provided a robust foundation for the sustainable development of our Now I am pleased to report our results for the fourth quarter of the year and share our expectations for future business endeavors. Our net revenue increased 20.9% year-over-year to $761 million, exceeding our expectations. Our gross revenue grew 28.1% year-over-year to approximately 1.3 billion, indicating an accelerating growth trend compared to the prior quarter, and we expect this growth momentum of our business to continue. In the fourth quarter, our cash flow from operating activities was $491.5 million, and our net operating cash inflow for the four years to 2023 increased by approximately 5.5 times every year, a strong testament to the ongoing improvement of our operating efficiency. As of December 31, 2023, our deferred revenue reached over $1.2 billion, laying solid groundwork for our further growth in 2024. Our cash balance, which includes cash, cash equivalents, rejected cash, and withdrawable cash balance on a 30-party payment platform that was short of long-term investment, totaled over $4 billion, ensuring lasting and stable support for our business development.
Our deep industry insights sanction, new organizational capabilities and a well established the cheaters recruitment and training of the fits him have provided a robust foundation for sustainable development of our business.
Yeah.
Now I'm pleased to report our results for the fourth quarter of a year and share our expectations for future business in beverage our net revenue increased 20.9% that year over here towards favorite hungrier than the 61 million exceeding our expectations.
Our garage band grew at 28 point to 1% year over year.
Year to approximately one part of the story opinions, indicating an accelerating growth trend the companion to drawing in a quarter and we expect these rules the momentum of our business to continue.
In the fourth quarter, our cash flow from a regional type of payers or what the floor and growth in the non tier one partner for a minute.
Our net operating cash inflow in the full ear two it started at the end of 'twenty three increased by approximately five five times at year over year, a strong petsmart is true the ongoing improvement of our operating efficiency.
At December 31st two assigned a 23 hour differ the revenue reached over 1.2 obedient lay in Saudi the ground work for our further growth into the 24 hour crashed burdens of which include the cash cash equivalent and restricted cash.
We the doorbell cashed burdens on our survey probably remain in the pet format. That's why it has a strong and long term investments totaled over 4 billion, ensuring lasting stable support well our business development.
Larry Chen: I will now discuss our business highlights from the fourth quarter in four areas. First, we are legitimately focused on both our educational products and services to boost learning efficiency and optimize the overall learning experience. Throughout this process, we remained laser-focused on user needs and potential and expanded our range of products and services as needed. We established an integrated online-offline offering by launching on-the-ground boot camps and learning centers. To give an instance of our educational services for college students and adults, such as such an online exam prep boot camp, can better address students' needs in areas such as postgraduate entrance exams. Exams, Stable Surveys, Exams, and Overseas Study Preparation In addition, through collaboration with renowned publishing houses such as Foreign Language Teaching and Research Press, we developed textbook series that have achieved major breakthroughs as comprehensive educational solutions covering instruction, learning, practice, assessment, and evaluation. Some of these publications are currently used as textbooks by several major universities and high schools in China.
I will now discuss our opinion isn't highlights Robbins, our forward affirmative fourth quarter across the board aspect.
First we are Peter.
They didn't have a focus on both our educational products and services to boost efficiency and obviously, some art and optimize the overall learning experience.
Through this process, we remain laser focused on user needs and potential and expanded our range of products and services as needed. We established an integrated online offline offering by launching on the ground for the times and the learning centers.
So keep an eye it's been four hour as Christian that was service stays at Florida College students and I had always thought trying to structure, our offline because I'm proud to report.
Can better drive students' uneasy area, such as a post graduate and trends because I'm.
Because I'm a stable surveys exams and overseas study preparation.
It's a vision so little calibration ways I'd read now in the publishing on how safe are trying as a foreign language teaching entities third price, we develop its textbooks theories that high but she but a major breakthrough was as a comprehensive I pushing those solutions recovery in construction lending practices excitement and valuation.
So as long as he is our publications are currently used.
The textbook spies several major universities and high schools in China.
For our traditional learning services, we saw a significant increase in retention rate during the 2023 four semester compared to the same pad, where the math here, thanks to our ongoing efforts to flying.
Larry Chen: For our traditional learning services, we saw a significant increase in retention rate during the 2023 fall semester compared to the same period last year, thanks to our ongoing efforts to refine course content and improve labor quality. At the same time, we proactively communicated with regulatory authorities at all levels, seeking guidance on relevant policies and compliance, and integrated our educational products and learning services. Second, we continued our efforts to explore diversified customer acquisition channels and enhance operational efficiency. Leveraging our high-quality content and efficient operations, we have expanded into innovative channels, including live streaming and short-form video platforms as well as offline avenues, establishing our competitive edge in these channels. In the live streaming space, the substantial overlap in skill sets between online teachers and live stream hosts gives us a competitive advantage in customer acquisition. We have grown to be a leading influencer on Douyin, particularly in certain educational categories for college students and adults. Meanwhile, we actively expanded our offline channels to boost regional brand visibility.
Content and improve the labor party.
At the same time, we proactively communicated with regulatory authorities at all levels.
She couldn't guidance regimens of policies on the compliance and the engine and the.
I used to repay our educational products and the learning services.
And my second we continue with our efforts to explore or diversify the customer acquisition channels and enhance operational efficiency.
Leveraging our high quality content and its for you send the operation we have expanded into a a teva triangles, including live streaming and our strategy from video pet promise at wise offline avenues, establishing our competitive our competitive edge against any of the channels.
He is a live streaming space the substantial overlap in skill sets between online teachers and the Livestream House gave us.
Our competitive advantage again customer acquisition.
Have grown to be a leading and influence our unbilled.
If you lay in certain Ed Christian all categories of Florida College students and the adult. Meanwhile, we actively expanded our offline channels to boost the regional brand visibility visibility.
The comprehensive with China makes not only ensures sustained opinions grows but also allows us to engage with our customers through a diverse triangles, gaining insights into their needs upholstery, and deep interactions and bringing down our customer acquisition cost.
Larry Chen: The comprehensive channel mix not only ensures sustained business growth but also allows us to engage with customers through diverse channels, gaining insight into their needs, fostering deep interactions, and bringing down customer acquisition costs. As a result of these measures, our customer acquisition efficiency remained at a high level in the fourth quarter, demonstrating the success of our enhanced investment in customer acquisition. Third, we leveraged our organizational competitiveness and talent pool to drive consistent business growth. We believe that education is a process of outstanding teachers positively influencing students.
As a result.
Maris, our customer acquisition efficiency remains at a high level in the fourth quarter demonstrate him just like a science of Oregon has the mezz lending and customer acquisition service, we leverage of our organizational can be paid and dependent upon to drive a considered tends opinions girls. We believe is that.
Accretion is a.
Process outstanding teachers, private pay but even fluid young students. Therefore, one never go towards the most crucial stretch days between hands organizational capabilities to our 50 magically nurture public peer educators at scale and to high standards.
I called it a team of Pepto drives a by a passion for it and then in resilience and the strong coffee then we ensure effective and efficient operation of our organization while at the booming business had resulted in rapid organizational expansion, we continue to maintain.
Larry Chen: Therefore, one of GoTo's most crucial strategies is to enhance organizational competitiveness to systematically nurture top-tier educators at scale and to high standards. By cultivating a team characterized by a passion for learning, resilience, and strong cohesiveness, we ensure the effective and efficient operation of our organization. While the booming business has resulted in rapid organizational expansion, we continue to maintain a consistent standard of hiring the best-in-class instructors and tutors in the industry. Taking our postgraduate entrance exam criteria as an example, the percentage of our tutors with a master's degree has increased to over 70%, positioning us at the forefront of the industry. Teachers with first-hand experience in postgraduate entrance exams can provide students with full support, including professionally, psychologically, and emotionally, therefore enhancing the overall effectiveness of test preparation.
I'll concede central standard of our hiring was a best in class instructors and the children in the industry.
Taking them, our postgraduates and trends and cause I'm cramping is as an example, the percentage of our of our children with a master's degree has increased to over 70% positioning us as a floor.
For front of the industry.
Future of the way the first time they've experienced the impulse graduated the in transit because times can provide students the way the forest plot and protium professionally second North Dakota, and emotionally therefore, enhancing the overall effectiveness of our past preparation.
Fourth we remain committed to full freedom, our social responsibilities and activity for a the social value in the fourth quarter, we organized because of golf will hold projects. The rural primary school principals online forum in public disable ways of trying to use development Foundation.
600 in Judo of primary school principals and teachers drama 11 provinces of.
10 days of the event ingredient inside for discussions on Hulu is patient music adra of artificial intelligence you know Jayson, we don't need paid RMB 10 million. So the trial next generation Education Foundation, aiming to improve our family at a patient and there's a mental wellbeing of young children.
Larry Chen: Fourth, we remain committed to fulfilling our social responsibilities and actively creating social value. In the fourth quarter, we organized the Go2Hope Project Rural Primary School Principals Online Forum in partnership with the China Youth Development Foundation. Over 600 rural primary school principals and teachers from 11 provinces attended the event, engaging in insightful discussions on rural education in the area of artificial intelligence. In addition, we donated RMB 10 million to the China's Next Generation Education Foundation, aiming to improve family education and the mental well-being of young children and adolescents. We will remain steadfast in our commitment to our original educational aspirations, striving to enhance equity and accessibility in education. We have full confidence in GOTO's prospects for 2024 and for the future, and for the further future. With a robust talent pool, a highly cohesive organization, and strong cash flow, we believe that we can achieve promising top-line growth while enhancing profitability by consistently delivering top-notch educational products and learning services that generate long-term value for both our shareholders and the society. Thank you very much.
And adolescence.
We will remain steadfast in your Arctic commitment of two of our regional educational aspiration striving and so when you have obtained and explains a big kitchen.
We have full confidence in golf towards the prospects for 2024 and afford the filter another Florida for the future. We are prepared to devote our full efforts to executing on our spreadsheet with our robust patent in the pool of high nickel stays safe organization.
And the strong cash flow. We believe is that we can achieve promising top line growth, while you're frenzy them copies of pick a pay by consistently they'd already on carbon not at Cushing all products and services.
Thus generating long term value of Florida, both our shareholders and of Society.
Thank you very much they say that the end of my prepared remarks, now I will pass the call over to our CFO Shannon to walk you through the financial and operational details of the quarter.
Yes.
Thank you Larry and thanks, everyone for joining our call today.
I will now walk you through our operating and financial performance for the fourth quarter and fiscal year 2023.
During the quarter, our business entered at a healthy pace of rapid and sustainable expansion.
We witnessed this element goes in the gossip billing.
Our core business lines.
Well all of our new initiatives also demonstrated all amazing goes potential.
In the fourth quarter net revenue increased by 29% year over year to 761 million.
Shannon Shen: This is the end of my prepared remarks. Now I will pass the call over to our CFO, Shannon, to walk you through the financial and operational details of the quarter. Thank you, Larry.
Tell me the upper end of our guidance by 10 six percentage points.
The better than expected fulfillment, what did you do in beta fish in golf bidding.
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Shannon Shen: And thank you everyone for joining our call today. I will now walk you through our operating and financial performance for the fourth quarter and fiscal year 2023. During the quarter, our business entered a healthy phase of rapid and sustainable expansion. We witnessed accelerated growth in the building of our core business line. Our new initiatives also demonstrated promising growth potential. In the fourth quarter, net revenues increased by 20.9% year-over-year to $761 million, topping the upper end of our guidance by 10.6 percentage points. The better-than-expected performance was driven by a surge in gross billing, which increased by 28.1% year-over-year to approximately 1.3 billion.
1% year over year to approximately $1 3 billion.
Benefiting from ongoing improvements in operational efficiency, our net operating cash inflow reached $491 5 million well.
Well, our cash cash equivalents restricted cash with double pass a balance also party payments platforms as.
Well as short and long term investments exceeded 4 billion laying saudis don't work for the long term growth of our business.
Next I will walk you through the progress we have made during the quarter.
Let me start with is contributing or maybe 5% of that Rodney.
Breaking it down more than 70% of total revenue came from non academic children services and other traditional learning services.
With resenting or sort of thoughts of scent, yeah, Oh, Yeah goes.
And sorry did buying these settlements yellow is a key driver of our business.
Shannon Shen: Benefiting from ongoing improvements in operational efficiency, our net operating cash inflow reached $491.5 million. Additionally, our cash, cash equivalents, restricted cash, resolvable cash balance on third-party payment platforms, as well as short and long-term investments, exceeded $4 billion, laying solid groundwork for the long-term growth of our business. Next, I will walk you through the progress we have made during the quarter. Learning services contributed over 95% of net revenue. Breaking it down, more than 70% of total revenues came from non-academic tutoring services and other traditional learning services, representing over 35% year-over-year growth and solidifying this segment's role as a key driver of our business. Our new initiative centers around non-academic tutoring.
Our new unique AJ centered around non academic to team.
Over the past few quarters, we have been really didn't lay designing and developing educational products tailored to students learning needs.
By sparkling students interested in learning, we aim to enhance their fundamental critical thinking skills.
I'm learning abilities, well, posting a healthy body hobbies and self motivation.
Our course offerings undergo constant innovation and refinement.
And how is showing to be popular and satisfied with our students.
And obtained by a combination of pulp a mouse educational products and high caliber learning services.
Golf waiting of our non academic children and so is it increased about triple digits year over year.
Well, maintaining our competitive edge, you talk to where you.
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Additionally, bite that was if I E. Our agitation no put up yeah Little survey formats.
Shannon Shen: Over the past few quarters, we have been diligently designing and developing educational products tailored to students' learning needs. By sparking students' interest in learning, we aim to enhance their fundamental critical thinking skills and learning abilities while fostering healthy study habits and self-motivation. Our course offerings undergo constant iteration and refinement, and have shown to be popular and satisfying for our students. Underpinned by a combination of top-notch educational products and high-caliber learning services, growth ratings of our non-academic tutoring services increased by triple digits year-over-year. While maintaining our competitive edge in instructors, we have also consistently enhanced our tutored service capabilities. Additionally, by diversifying our educational products and learning service format, we have established a comprehensive product matrix to meet users' varied and personalized learning needs. Our ongoing refinement of products and teaching capabilities has also contributed to further improvement in retention rates. In the meantime, we have closely monitored regulatory policy developments and engaged proactively with authorities at different levels to seek compliance guidance for curriculum content and frameworks.
We have asked the Bailey a comprehensive product matrix to meet users varied and personalized learning needs.
Our ongoing refinement of put us on the teaching capability has also contributed to Florida improvement in retention rates.
In the meantime, we have closely monitored regularly who had policy developments and engage proactively with all Saturdays at different levels.
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At least ensures that we can plan for long term policy business goes within regulatory boundary.
Our traditional learning services continue to maintain our leading edge in the online space.
In terms of agitation no product.
We have developed a more targeted and personal lives critical them by taking a tiered approach to designing and developing a holistic learning journey.
We have also carefully curated and cultivate Haiti, the most influential and reputable instructors in the industry and as the belly of highly competitive team of tutors.
For customer acquisition, we have give up China, driven by high quality content and efficiently gathering user feedback to derive valuable insights for our business.
I think Leslie engraving from end and back end processes.
We have consistently held our customer acquisition efficiency.
In the fourth quarter, we achieved rapid Dallas in gross billings from new enrollment.
Well, they really see they may 10 minutes late reducing the unit acquisition costs.
Yeah at a crucial component of our learning services is education.
Educational services for college students and adults.
Which accounted for around 25% of total revenues during the quarter.
Shannon Shen: Please ensure that we can plan for long-term, healthy business growth within regulatory boundaries. Our traditional learning services continue to maintain a leading edge in the online space, in terms of educational products. We have developed a more targeted and personalized curriculum by taking a tiered approach to design and developing holistic learning journeys. We have also carefully curated and cultivated the most influential and reputable instructors in the industry and established a highly competitive team of tutors. For customer acquisition, we have developed channels driven by high-quality content and efficiently gathered user feedback to derive valuable insights for our business. By seamlessly integrating front-end and back-end processes, we have consistently enhanced our customer acquisition efficiency.
Benefiting from our refined strategic focus.
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All things off list Sacramento rebounded to grow by more than 10% year over year in the quarter.
Setting the stage well its contribution to our revenue growth in 2024 and beyond.
Driven by robust market demand and improved operational efficiency.
Both our domestic exams crap business and overseas study related to the business of charting a more promising growth trajectory.
Particularly in the quarter, our overseas test prep business, so year over year growth of more than 200% in both revenue hasn't gulf's pudding.
Thanks to our ongoing innovation and expansion efforts in the short video and live streaming space.
Furthermore, our poets granted entrance exam prep isn't that generated a positive cash flow for the second consecutive quarter well, our civil service exempt private business achieved quarterly profit.
Shannon Shen: In the fourth quarter, we achieved rapid growth in girls' feelings from new enrollment while simultaneously reducing the unit acquisition cost. The other crucial component of our learning services is educational services for college students and adults, which accounted for around 25% of total revenues during the quarter. Benefiting from a refined strategic focus and optimized educational product, the earnings of this segment rebounded to grow by more than 10% year-over-year in the quarter, setting the stage for its contribution to our revenue growth in 2024 and beyond, driven by robust market demand and improved operational efficiency. Both our domestic exam prep business and overseas study-related business are charting a more promising growth trajectory. Particularly in the quarter, our overseas tech private business saw year-over-year growth of more than 200% in both revenue and speed. Thanks to our ongoing innovation and expansion efforts in the short video and live streaming phase. Furthermore, our postgraduate entrance exam prep business generated a positive cash flow for the second consecutive quarter.
For the full year 2023.
Our net revenues grew by 18, 5% year over year to approximately 3 billion well.
Well go splitting school by 51, 7% year over year to over three points of a billion.
Gross margin was 73.3%.
One four percentage points higher than the same period of last year.
non-GAAP net income was 51 1 million and non-GAAP net income margin was one 7%.
Least robust operational and financial results are attributable to our year long effort to diversify our customer acquisition channels.
Upgrade our teaching and service offering.
Enhance organizational and execution capabilities.
By strengthening our core.
Combatant see we were able to swiftly deploy resources based on changes in the marketing environment and user demand.
Proactively meeting diverse customer needs, while remaining compliant with regulatory requirements.
We can't have two 2024 with little for at least the untapped potential across our business lines and embrace emerging opportunities as they arise.
Leveraging our diversified product metrics and service format, along with efficient customer acquisition and operational capabilities.
Shannon Shen: Well, our civil service exam prep business achieved quarterly profit. For the full year 2023, our net revenues grew by 18.5% year-over-year to approximately $3 billion. Gross revenue was 73.3%, 1.4 percentage points higher than the same period of last year. Non-GAAP net income was $51.1 million, and non-GAAP net income margin was 1.7 percent.
We remain dedicated to providing students with exceptional learning experiences and excellent learning results.
I will now present, our financials in more detail.
Our cost of revenues this quarter was $227 7 million.
Gross profit increased 13, 4% year over year to 500, and the citizenry points of a minimum.
Yeah on the golf club in modern or 71%.
Total operating expenses during the quarter increased 49, 1% year over year to 700 Antonio 1.2 million.
Breaking it down selling expenses increased six people and 7% year over year to $465 7 million accounting for 61 going 2% often that Romney.
Shannon Shen: These robust operational and financial results are attributable to our year-long efforts to diversify our customer acquisition channels, upgrade our teaching and service offerings, and enhance organizational and execution capabilities. By strengthening our core competencies, we were able to swiftly deploy resources based on changes in the market environment and user demand, proactively meeting diverse customer needs while remaining compliant with regulatory requirements. Looking ahead to 2024, we will further unleash the untapped potential across our business lines and embrace emerging opportunities as they arise, leveraging our diversified product metrics and service formats along with efficient customer acquisition and operational capabilities. We remain dedicated to providing students with exceptional learning experiences and excellent learning results. I will now present our financials in more detail. Our cost of revenues this quarter was $227.7 million; gross profit increased 13.4% year-over-year to $5333.3 million, and the gross profit margin was 70.1%. Total operating expenses during the quarter increased by 49.1% year-over-year to $721.2 million.
This was primarily attributable to our increased marketing investments to address they go bust of demand during the winter season.
Benefiting from our expanded operations you know Delaware Ranch.
And perhaps my position, China was especially in the short video and loves Jamie space.
Our selling expenses, our ROI in quarter remained at a high level observations throughout the year.
Moving all research and development expenses increased 22, 1% year over year to 146 million accounting for 17.9% of net revenues.
General and administrative expenses increased 45% year over year, $219 5 million accounting for 15, 7% of net revenues.
Loss from operations was 100 and at some point 9 million and operating margin was negative 24, 7%.
non-GAAP loss from operations was 172.2 of them and non-GAAP operating margin was negative 22, 6%.
The loss was $119 6 million and that new home margin was negative 15, 7%.
non-GAAP net loss was 104 million and non-GAAP net income margin was negative seven 7%.
Net operating cash inflow was 491 5 million.
Yeah.
Turning to our balance sheet as of December 31st 2023.
We held $741 7 million in cash cash equivalents restricted cash and resolve them cash balance also part of the payment platform.
Shannon Shen: Breaking it down, selling expenses increased 60.7% year-over-year to $465.7 million, accounting for 61.2% of net revenue. This was primarily attributable to our increased marketing investments to address the robust demand during the winter season. Benefiting from our expanded operations in a diverse range of innovative customer acquisition channels, especially in the short video and live streaming space, our styling expenses ROI in the quarter remained at a high level observed throughout the year. Moving on, research and development expenses increased 22.1% year-over-year to $136 million, accounting for 17.9% of net revenue. General and administrative expenses increased 45% year-over-year to $119.5 million, accounting for 15.7% of net revenue. Loss from operations was $187.9 million, and the operating margin was negative 24.7%. NAND gap's loss from operations was 172.2 million, and NAND gap's operating margin was negative 22.6 percent, and loss was $119.6 million, and that its income margin was negative 15.7%. The Non-Gap Net Loss was $104 million, and the Non-Gap Net Income Margin was negative 13.7%.
Along with around two points of a billion in short term investments and the wrong, one billing and long term investments.
Let's come to a total of over 4 billion 200, and statistics for 9 million higher than I, just same time corn in the last year.
I live at December 31st 2023, our deferred revenue balance was around $1 2 billion.
Which primarily consisted of tuition received you know at all.
As of December 31st 2023, we have repurchased an aggregated of approximately $4 9 million a D. S. On the open market for approximately 12 point for a minute your U S dollar.
We will continue to executive stock buybacks, you know accordance with the guidance of the board of directors and acquire the long term value for our shareholders.
Before I provide our business outlook for the next quarter. Please allow me to remind everyone that this contains forward looking statements, which involve risks and uncertainty.
We shall beyond our control and could cause the actual results to differ materially from our predictions.
Based on our current estimates total net revenue for the first quarter of 2024 are expected to be between 908 million, Yeah, 928 million, representing an increase of 29, 4%.
So at 1.2% all year over year basis.
This concludes my prepared remarks, operator, we're now ready for the Q&A section. Thank God I were ones for listening.
Thank you.
We will now begin the question and answer session.
To ask a question you May Press Star then one on your Touchtone phone.
Shannon Shen: Our net operating cash inflow was 491.5 million. Turning to our balance sheet as of December 31st, 2023.
If you are using a speakerphone please pick up your handset before pressing the keys.
Shannon Shen: We held $741.7 million in cash, cash equivalents, restricted cash, and a resolvable cash balance on third-party payment platforms, along with around $2.3 billion in short-term investments and around $1 billion in long-term investments. This comes to a total of over $4 billion, $256.9 million higher than at the same time point last year. As of December 31st, 2023, our deferred revenue balance was around $1.2 billion, which primarily consisted of tuition received on a loan. As of December 31st, 2023, we had repurchased an aggregate of approximately 4.9 million ADS on the open market for approximately 12.4 million U.S. dollars.
If at any time. Your question has been addressed and you would like to withdraw your question. Please press Star then two.
At this time, we will pause momentarily to assemble our roster.
The first question comes from Timothy Zhao.
With Goldman Sachs. Please go ahead.
Thank you management for taking my question and congratulations on the very strong results.
I have two questions. One is about the student acquisition history for the upcoming or the Unbilled.
Can management share some color on the customer.
Customer acquisition, our progress and also the related cost of Mexican cost and secondly, I think in your prepared remarks, you mentioned comprehensive channels to acquire customers, including initial views that streaming it offline.
I think specifically offline could you share some color on your Ken spoken out before in terms of the number of centers. So any color on your projected revenue or profit contribution.
Thank you.
Sure. Thanks, Timothy I for your question, our first I'm very happy to share our the most recent recent updates for our lean to vacation performance and in terms of the customer acquisition cost less revisit the wind here like patient pool.
Almost all of those supply and demand perspective, so starting with the supply side. The current operating environment imposes right I'd say really high requirements all institutions capability of a believer of high quality products, including the ability of consumer.
Shannon Shen: We will continue to execute stock buybacks in accordance with the guidance of the Board of Directors and create long-term value for our shareholders. Before I provide our business outlook for the next quarter, please allow me to remind everyone that this contains forward-looking statements, which involve risks and uncertainties that are beyond our control and could cause the actual results to differ materially from our predictions.
Lately, finding the curriculums are like spike with the reserves and like the cash positions and also a very important to meet all compliance standards. Therefore, the supply of high quality courses and they'll begin to actually it's very limited.
So then but like on the demand side, we have perceived I strongly mined from the students. So the scarcity of supply coupled with really strong demand presents an excellent growth opportunity and also labor fully prepare to Florida being to a big season, and therefore, our bean until vacation.
Shannon Shen: Total net revenue for the first quarter of 2024 is expected to be between $908 million and $928 million, representing an increase of 29.4% to 31.2% on a year-over-year basis. This concludes my prepared remarks. Operator, we are now ready for the Q&A section. Thank you, everyone, for listening.
Billings has maintained quite a high yeah or your growth rate. If we exclude the cash collections on retention in the same period of last year I'll be doing the Apple to Apple comparison, we see a high end of high double D J yellow or your gross over our traditional learning services and no academic rigor children.
Operator: Thank you. We will now begin the question and answer session. To ask a question, you may press star, then one on your touchtone phone. If you are using a speakerphone, please pick up your handset before pressing the keys.
Services are absolutely that's quite quite impressive and but behind all leased up faster growth is our highly efficient of our castle acquisition.
So we deployed a certain you would China with especially for a the short video live streaming platforms as well as our new exploration to some offline China with both of these China was has really high requirement on the operations, especially for the collaboration between the from <unk>.
Timothy Zhao: If at any time your question has been addressed and you would like to withdraw your question, please press star then 2. At this time, we will pause momentarily to assemble our roster. The first question comes from Timothy Zhao with Goldman Sachs. Please go ahead.
And then just on the backend they need to have the ability to target the book the person.
Unnamed Speaker: Thank you, Benjamin, for taking my question, and congratulations on the very strong. I have two questions, one is about student acquisition, going on, and color on customer acquisition. Secondly, I think your prior remarks, you mentioned Channel, I think specifically on offline, could you share some color on your. For more information, visit www.gstech.com.
Precisely targeting.
Our customers and fulfill their needs in a very short of time, then also that needs, our Becker and <unk> teams, which means our tutors to further facilitate all these payments on students timely and meet their demand. So based on our observation Lei do all the time.
A a meaningfully customer acquisition cost the decline are in the winter a vacation and also you asked about our Oh come on kind of within the hour all flight operations I truly like a basically allows AR to a different business. Our first two first.
Unnamed Speaker: Sure. Thanks, Timothy, for your question. First, we're very happy to share the most recent updates on our winter vacation performance. And in terms of customer acquisition cost, let's revisit the winter vacation performance from both supply and demand perspectives. So starting with the supply side, the current operating environment imposes relatively high requirements on an institution's capability of delivering high-quality products, including the ability of continually refining the curriculum, like speculative reserves and, like, the cash positions, and also very important to meet all compliance standards. Therefore, the supply of high-quality courses in the winter is actually very limited.
When I say to our online been all lines of business. So they also have some offline channels to support our online business to grow and in the other hand, they do start to deploy our operation for our offline learning centers and we're happy to share with you some perspectives on the insights into our offline.
Operations. So the reason why we started she to enter into the offline space seems to be housed in the post pandemic era, where you leave keenly observing a diversification in students' learning needs well money have adopt a while all learning online there is.
Growing desire amongst students to return to offline classrooms for more connections interactions and engagement with the.
The teacher than their classmates.
Until a numbers of parents all before a hybrid approach, whereas some courses taken online and others offline aiming to enhance learning efficiency and.
Pedro to Oh diverse bony knees, so as an educational institution one of our.
Most important mission is to continually meet popular do you mind.
Unnamed Speaker: On the demand side, we have perceived strong demand from students. So the scarcity of supply coupled with strong demand presents an excellent growth opportunity. And also, we were fully prepared for the winter peak season.
With such a demand right Lee naturally each 10, I'll I'll push into offline and adopt the agitation production accordingly.
And on the outer handily definitely evaluate our management team's background and the capabilities. Our founder Larry brings years of experience in offline business operations are a very profound industry insights and the considerable personnel.
Unnamed Speaker: And therefore, our winter vacation growth ratings have maintained quite a high year-over-year growth rate. If we exclude the cash collection from retentions in the same period of last year, we do an apple-to-apple comparison, we foresee a high end of high double-digit year-over-year growth over our traditional learning services and non-academic tutoring services. Actually, that's quite impressive.
Can all come to be able to attract all those top talent seem to space, especially after the davos actions when customer demand aligned with our organizational capabilities, we embark on the exploring and expanding our offline Oh. Please in all operations. So that's.
The reason why I always thought it cheap and have the offline space.
So then in a when we operate or in the selection.
Unnamed Speaker: And behind all this fast growth is our high efficiency in customer acquisition. So we deployed certain new channels, especially for the short video live streaming platform, as well as our new explorations into some offline channels. Both these channels have really high requirements on the operations, especially for the collaboration between the front end and the back end. They need to have the ability to precisely target our customers and fulfill their needs in a very short time. Then also, that needs our back-end team, which means our tutors to further facilitate these parents and students in a timely manner and meet their learning demands. So based on our observations, we do observe a meaningfully customer acquisition cost decline in the winter vacation.
Electing locations process or when they are starting to plan for an expansion of our offline operations, we we employ a.
More of a dynamic approach Ah, we continuously optimizing and adjusting our well when do they need to consider it feels bad players like a market in mind and also golf, whose brand influence and penetration in certain areas and also the acceptance of teach them corridor.
The students and teachers in that specific area and most importantly, our ability to recruit and nurture outstanding praising poles and teaching faculty it's locally.
So tuesday by incremental off like Oh, pushing that also intel's a long cycle, requiring sustained investment and from a user cultivation to word of mouth referrals leeches the reputation for the local offline learning centers. So we will be.
Unnamed Speaker: And also, you asked about our offline channels and our offline operations, actually, basically like two different businesses. First, to facilitate our online business, we also have some offline channels to support our online business to grow. On the other hand, we do start to deploy our operations for our offline learning centers, and we're more than happy to share with you some perspectives and insights into our offline operations. So the reason why we are starting to enter the offline space is that in the post-pandemic area, we've keenly observed a diversification in students' learning needs. While many have adopted well to learning online, there is a growing desire among students to return to offline classrooms for more connections, interactions, and engagements with their teachers and their classmates. Currently, many parents opt for a hybrid approach, with some courses taken online and others offline, aiming to enhance learning efficiency and cater to diverse learning needs.
Extremely patient and wait for the sprawling out of growth of our offline business ultimately no matter its online or offline students always all care most about the superbowl teachers and the feeding curriculum and the outstanding service that we were.
We'll continue to strive.
Tirelessly to meet those expectations and you in the past a corner and also in the full yeah plenty plenty sweet offline businesses showed a viral limit had an impact on our financials. So little.
We will update you every milestone of our offline operations in the future.
Dress euro questions too mucky.
Sure that's very clear and very helpful. Thank you Shannon. Thank you.
Thank you.
Yeah.
The next question comes from the line of Alex Sky with Citibank. Please go ahead.
Management team. Thank you for.
My question Firstly, congratulations on the company's strong performance you can talk to you and I have two questions regarding the guys on your body.
And the first one regarding the guidance for Q1, which seems likely.
But.
Could management share your perspective on this you can see that the guidance to be on the cautious side and second and could you please share with us about.
Unnamed Speaker: So as an educational institution, one of our most important missions is to continually meet customer demands. So when such demands arise, we naturally extend our operation to offline and adapt the education product accordingly. And on the other hand, we dedicately evaluate our management team's background and capabilities.
About a general idea of the guidance for the full year 'twenty 'twenty Paul Thank you.
Yeah.
Sure.
Thanks for your question.
I think your second question first so we can give the audience a whole picture if I were applying for the full year of 'twenty. One of four so looking to kind of what it is for the girl with the end of patient space typically you should from our expansion off Gossiping's and if we look.
Unnamed Speaker: Our founder, Larry, brings years of experience in offline business operations, very profound industry insights, and considerable personal influence, which can all contribute to attract all those top talents in the space, especially after the double deductions. When customer demands align with our organizational capabilities, we embark on exploring and expanding our offline operations. So that's the reason why we started to enter the offline space.
Our Q4 results in the fourth quarter of 2023, our gross billings reached approximately 143 billion.
Making the highest single quarter level in the past three years.
This metric indicates that our business is only a healthy and and rising trajectory outgrowth and Furthermore, we have been able to effectively extend that the trend of accelerating growth into the first quarter of 'twenty one is for it.
Unnamed Speaker: So then when we operate in the selecting locations process or when they start to plan for the expansion of our offline operations, we employ a more of a dynamic approach. We're continuously optimizing and adjusting while we need to consider a few factors like market demand and also go to brand influence and penetration in certain areas. And also the acceptance of teaching products by the students and teachers in that specific area.
And let's dive into each part of our learning services.
That revenue growth, especially in non academic to hanging continues to have good salaries, given a sound unit economies model, but in mind for not academic intuitively its substantial ways clear a compliant on the dominoes are.
That guidance in place our business grows initiated ways, new enrollments and the subsequent shortly generated incremental revenues through retention and of course extensions. So we have confidence in our operational capabilities and the reputation we have established a mall our students and parents.
Unnamed Speaker: And most importantly, our ability to recruit and nurture outstanding principals and teaching staff locally. So two developments of offline operations also entail a long cycle, requiring sustained investment from user cultivation to word-of-mouth referrals, which is the reputation of the local offline learning centers. So we will be extremely patient and wait for the growth and expansion of our offline business. Ultimately, no matter whether it's online or it's offline, students always care most about the suitable teachers, the fitting curriculum, and the outstanding services. So we will continue to strive tirelessly to meet those expectations. And in the past quarter and also in the full year of 2023, offline business showed a very limited impact on our financials.
Therefore, we anticipate triple P J, yeah over year growth in our academic the children's section.
Also our traditional alone even if somebody says which is basically a high school business continued to maintain a leading edge in the online space, we will leverage our existing competitive advantages to further deepen. These mode. We anticipate that the goes way they'll follow traditional business as well.
Far exceed that of trying to find its way in.
Regarding.
Learning services already provided for college students in a Dallas, we're glad to see it rebounding in Q4 trying to find this way, we always prioritize margin improvements or revenue expansion in the sector and I'm certain the profitability at a unit called IMAX level and then focus on.
Achieving and you've had some growth as our primary strategy. So first of all all of those considerations are we are waiting to elevate our Tango center goes for both golf billings and revenue, but also in 'twenty 'twenty four and have confidence in the overall gross put a put.
Unnamed Speaker: So, we will update you on every milestone of our offline operations in the future. Hope that addresses your questions, Timothy. Sure, that's very clear and very helpful. Thank you. The next question comes from the line of Alice Cai with Citibank. Please go ahead.
Prospects for for the whole year, and secondly in terms of Argos closing efficiency, our explorations of that worth passing them out because they can kind of have a effectively lower customer acquisition costs from high quality content that generating all short video live streaming platforms and two.
Alice Cai: Hi Management Team, thank you for taking on my question. Firstly, congratulations on the company's strong performance in 4Q. I have two questions regarding the guidance provided. The first one is regarding the guidance for Q1, which seems slightly conservative. Could the management team share their perspective on this? Do you consider the guidance to be on the cautious side?
Extending into offline customer acquisition path, our liberty and commitment to creating personal value those Sears as I was for our sustainable growth.
In terms of the Q are the guideposts for the first quarter. So you know first quarter, we're still in a phase of other job paying the revenue structure and we have the confidence that.
Unnamed Speaker: And second, could you please share with us a general idea of the guidance for the full year 2024? Thank you. Sure, Alex.
In our in the more near future like in the second quarter of 'twenty was only for a while it was T. A salaried. It goes right off for both of our cost savings and as avenues and yeah that that basically are addressed your question. Thank you Alex.
Unnamed Speaker: Alex, thanks for your question. Let me take your second question first so we can give the audience a whole picture of how we're applying for the full year of 2024. So looking into 2024, growth in the education space typically initiates from the expansion of gross earnings. And if we look at our Q4 results in the fourth quarter of 2023, our gross earnings reached approximately $1.3 billion, making the highest single-quarter level in the past three years.
Thank you.
Thank you.
The next question comes from Christian Lee with CMS. Please go ahead.
Thank you for taking my questions and congratulations on the strong results I just noticed that.
Your golf coffee margins are.
No Lucky and this cold here compared to last quarter and Lucky and could you. Please share the reason behind this and could you give us more color on your margin outlook going forward. Thank you.
Unnamed Speaker: This metric indicates that our business is on a healthy and rising trajectory of growth. Furthermore, we have been able to effectively extend the trend of accelerating growth into the first quarter of 2024. Let's dive into each part of our learning services. We observe that revenue growth, especially in non-academic tutoring, continues to accelerate, given a sound unit economic model. The demand for non-academic tutoring is substantial.
Yeah. Thanks, a lot yeah. It's a good observation so we observed a four seven percentage.
Some of it's going to be crazy in GP margin.
Yeah. This is.
Yeah, well you did close in a G. P module was due to a few reasons are first the lag in terms of our revenue contributor to meet diverse user needs. We actually we have constructed a product matrix.
It's primarily focused at all on line a large live classes company in Montana by 101 classes, a smartass Brooks and offline small classes. So among these all my large live classes posted the highest level of GP margin our business expense.
Unnamed Speaker: With clear compliance and governance guidance in place, our business growth begins with new enrollments and subsequently generates incremental revenues through retention and course expansion. Therefore, we have confidence in our operational capabilities. With the reputation we have established among students and parents, therefore, we anticipate triple-digit year-over-year growth in our non-academic tutoring section. And for our traditional learning services, which is basically a high school business, we continue to maintain a leading edge in the online space. We will leverage our existing competitive advantages to further deepen this mode. We anticipate that the growth rate of our traditional business will far exceed that of 2023. Learning services we provided for college students and adults. We are glad to see it rebounding in Q4 2023. We always prioritize margin improvements or revenue expansion in this sector and ascertain its profitability at a uni-economics level, and then focus on achieving effective growth as our primary strategy.
Propulsion revenue generated from our one on one classes are smart books and offline small classes is gradually increasing also in the revenue mix and potentially impacting the GP margin level and secondly in preparation for the peak season during the winter vacation.
We have proactively reserve a propulsion of teachers and tutors lease teachers and tutors have not yet reached their full capacity levels in the fourth quarter. There's a vaccine probably large our gross profit margins I will but as always we always need a.
Time, Oh purely to four of our new teachers and tutors to gradually adopt our learning methodology and provided sufficient between periods for our teachers and tutors. So they can better.
Serve our students. So we do see these investments as a valuable so looking forward in the medium term as our T cells compared to taking quizzes.
The G P. A margin and your margin is expected to improve and also in the long run our golf course, a module that would depend on the future of revenue structure hope that address your question.
Unnamed Speaker: So based on all those considerations, we are waiting to elevate our targets and goals for both cost and revenue growth in 2024 and have confidence in overall growth prospects for the whole year. And secondly, in terms of growth efficiency, our explorations of diverse customer acquisition channels have effectively lowered customer acquisition costs from high quality content generated on short video live streaming platforms and to extending into offline customer acquisition paths. Our wavering commitment to creating customer value serves as drivers for our sustainable growth. And in terms of the guidance for the first quarter, so in the first quarter, we are still in a phase of adjusting the revenue structure. And we have confidence that in the near future, like in the second quarter of 2024, we will see an accelerated growth rate for both of our cost savings and revenues. And yeah, that basically addressed your question.
Thank you Shannon that's very helpful.
Okay.
Thank you.
This concludes our question and answer session.
I would like to turn the conference back over to MS. Catherine Chen for any closing remarks.
Thank you operator, and thank you everyone for joining the call today. If you have any further questions. Please don't hesitate to contact our Investor Relations Department or a management via email at <unk> at all to Dusty and directly.
Also well come to subscribe to our news alert on the company's IR website. Thank you very much again for your time have a great night.
Yeah.
Thank you.
Yeah.
Thank you the conference has now concluded.
Thank you for attending today's presentation you may now disconnect.
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Unnamed Speaker: Thank you, Alex. Thank you. The next question comes from Crystal Lee with CMS. Please go ahead.
Crystal Lee: Thank you for taking my questions and congratulations on the strong results. I just noticed that your gross profit margin narrowed slightly in this quarter compared to last quarter and last year. Could you please share the reason behind this and could you give us more color on your margin outlook going forward? Thank you. Yeah, thanks a lot. Yeah, it's a very good observation.
Unnamed Speaker: So we observed a 4.7 percentage points decrease in GP margin on a year over year basis. This year over year decrease in GP margin was due to a few reasons. Firstly, in terms of our revenue contributor, to meet diverse user needs, we actually have constructed a product metrics, which primarily focused on online large live classes, complemented by one on one classes, smart textbooks, and offline small classes. So among these, online large live classes boosted the highest level of GP margin. As our business expands, the proportion of revenue generated from our one-on-one classes, smart books, and offline small classes is gradually increasing, altering the revenue mix and substantially impacting the GP margin level. And secondly, in preparation for the peak season during the winter vacation, we have proactively reserved a number of teachers and tutors.
Yeah.
Yeah.
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Unnamed Speaker: These teachers and tutors have not yet reached their full capacity levels in the fourth quarter, thus affecting profit margin and gross profit margins as well. But as always, we always need a, in the long run, our gross profit margin will depend on the future revenue structure. Hope that addresses your question. Thank you. Thank you, Shannon. That's very helpful.
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Ms. Katherine Chen: Thank you. This concludes our question and answer session. I would like to turn the conference back over to Ms. Katherine Chen for any closing remarks. Thank you, operator, and thank you, everyone, for joining the call today. If you have any further questions, please don't hesitate to contact our Investor Relations Department or our management via email at ir.galtu.com. You are also welcome to subscribe to our news alert on the company's iOS. Thank you very much again for your time. Have a great night. Thank you. Thank you.
Operator: The conference has now concluded. Thank you for attending today's presentation. You may now disconnect. www.gsxtech.com www.gsi.gov www.gstech.com Xie Xie Xie Xie, www.gstech.com www.gsi.gov www.gstech.com www.gsxtech.com without Mooji Media Ltd.'s express consent. Copyright 2019 No part of this recording may be reproduced without Mooji Media Ltd.'s express consent, www.gstech.com www.GSX-TV.com Bye now, www. GSX-TV.com www.gstech.com www.gsxtech.com
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