17 Education & Technology Group (YQ)
NASDAQ:YQ
Earnings Data
Report Date
Jun 04, 2026After Close (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
―Last Year’s EPS
-0.46Same Quarter Last Year
Based on 0 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Neutral
The call conveyed a mix of encouraging operational improvements and remaining financial challenges. Positive developments include strong quarter-over-quarter revenue growth (94.6% QoQ), a meaningful gross margin recovery (up 12.5 percentage points YoY to 46.1%), a larger cash balance (RMB 407.0 million) and robust presales for the new AI consumer product. Management also reported reduced total operating expenses and narrower GAAP net losses. Offsetting these positives are continued sizable absolute losses, an increased adjusted non-GAAP loss, significant sales and marketing investment to support the new consumer launch, and modest absolute revenue scale relative to expenses. Overall, improvements in margins, cash flow and product-market traction are promising, but the company remains unprofitable and dependent on successful scaling of subscription and consumer offerings.Company Guidance
Top-line Growth (QoQ and YoY)
Net revenues for Q4 2025 were RMB 38.9 million, up 94.6% quarter-on-quarter and up 6.4% year-on-year, driven by expanding school-based subscription revenues and initial traction from the new AI consumer product.
Gross Margin Recovery
Gross margin improved to 46.1% in Q4 2025, a 12.5 percentage point increase year-over-year (from 33.6% in Q4 2024), reflecting higher-margin recurring subscription mix and operating leverage.
Narrowing Losses and Improved Operating Efficiency
Net loss for Q4 2025 was RMB 53.0 million, down 16.8% year-over-year (from RMB 63.7 million). Loss from operations narrowed to RMB 54.9 million from RMB 69.1 million a year earlier; operating loss as a percentage of revenue improved from negative 188.8% to negative 140.2%.
Reduced Operating Expenses (Q4 and FY)
Total operating expenses decreased by 10.9% year-over-year in Q4 2025 (to RMB 72.5 million) and declined 24.3% for the full fiscal year, driven in part by lower share-based compensation and one-off items in the prior year.
Cost of Revenues Declined
Cost of revenues for Q4 2025 was RMB 21.0 million, a year-over-year decrease of 13.6% (from RMB 24.3 million), reflecting fewer district-level hardware/software deliveries as subscription revenue grew.
Improved Cash Position and Positive Operating Cash Flow
Cash and cash equivalents, restricted cash and term deposits totaled RMB 407.0 million as of December 31, 2025 (versus RMB 359.3 million a year earlier), an increase of approximately 13.3%. The company also reported positive net operating cash inflow in the quarter.
Successful Product Launch and Strong Presales
Launched the AI personalized learning membership 'ETIC' aligned to the national AI+education initiative. Management reported robust presale orders, highly positive market feedback, strong preorder volume and that presale demand materially boosted free cash flow in the quarter.
YQ 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
YQ Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Mar 25, 2026 | $2.42 | $2.42 | 0.00% |
Dec 09, 2025 | $4.50 | $4.05 | -10.00% |
Sep 04, 2025 | $2.44 | $2.20 | -9.84% |
Jun 11, 2025 | $2.05 | $2.02 | -1.46% |
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 17 Education & Technology Group (YQ) report earnings?
17 Education & Technology Group (YQ) is schdueled to report earning on Jun 04, 2026, After Close (Confirmed).
What is 17 Education & Technology Group (YQ) earnings time?
17 Education & Technology Group (YQ) earnings time is at Jun 04, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
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What companies are reporting earnings today?
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What is YQ EPS forecast?
Currently, no data Available