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Youdao (DAO)
NYSE:DAO
Earnings Data
Report Date
Aug 14, 2025TBA Not Confirmed
Period Ending
2025 (Q2)Consensus EPS Forecast
-0.01Last Year’s EPS
-0.85Same Quarter Last Year
Based on 1 Analysts Ratings
Earnings Call Summary
Earnings Call Date:May 15, 2025
|% Change Since: 6.68%
|Next Earnings Date:Aug 14, 2025
Earnings Call Sentiment|Neutral
The earnings call presented a mixed view. Record operating income and significant growth in AI-driven subscription services and smart devices were key highlights. However, these were offset by declines in net revenue and learning services, along with reduced gross margins. The positive developments were substantial but did not fully counterbalance the negative trends.Company Guidance
During Youdao's first quarter 2025 earnings call, the company reported significant strides in profitability and strategic advancements despite a 6.7% decline in net revenues to RMB 1.3 billion. Operating income reached a Q1 record of RMB 104 million, marking a 247.7% year-over-year increase. The company's AI native strategy led to the launch of new products, including Confucius-o1, an open-source reasoning model, and the AI-powered Youdao MagicBox. The Learning Services segment saw a 16.1% revenue decline, narrowing the previous quarter's decline by 5 percentage points, with digital content services generating RMB 410.8 million. The Smart Devices segment grew by 5.1% year-over-year to RMB 190.5 million, while online marketing services posted a 2.6% increase to RMB 505.4 million. Gross margin for online marketing services was 30.5%, with future stabilization expected between 25% to 35%. Operating cash outflow improved, narrowing by 34.7% to RMB 255.5 million. The company aims for sustained profit growth and operating cash flow breakeven for the full year 2025.Record Operating Income
Operating income reached a Q1 record of RMB 104.0 million, surging 247.7% year-over-year.
AI Product Developments
Launched Confucius-o1, an open-source reasoning model, and Youdao MagicBox, an AI-powered ad creative suite.
Growth in AI-Driven Subscription Services
AI-driven subscription services generated nearly RMB 70 million in Q1 sales, growing over 40% year-over-year.
Smart Devices Revenue Growth
Smart Devices segment delivered RMB 190.5 million in Q1 revenues, representing a 5.1% year-over-year growth.
Strong Market Reception for Youdao SpaceOne
Initial inventory of Youdao SpaceOne sold out within 10 days, contributing to over 20% year-over-year growth in dictionary pen revenue.
Net Income Surge
Net income attributable to ordinary shareholders was RMB 76.7 million, an increase of over 6x from the same period of last year.
DAO Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
DAO Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 15, 2025 | $8.68 | $9.45 | +8.87% |
Feb 20, 2025 | $10.43 | $10.39 | -0.38% |
Nov 14, 2024 | $4.83 | $4.95 | +2.48% |
Aug 22, 2024 | $3.68 | $3.35 | -8.97% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Youdao (DAO) report earnings?
Youdao (DAO) is schdueled to report earning on Aug 14, 2025, TBA Not Confirmed.
What is Youdao (DAO) earnings time?
Youdao (DAO) earnings time is at Aug 14, 2025, TBA Not Confirmed.
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is DAO EPS forecast?
DAO EPS forecast for the fiscal quarter 2025 (Q2) is -0.01.