③ 【Q2业绩良好，网易有道涨超3%】北京时间8月14日，网易有道发布Q2财报，总净收入为14亿元，同比增长7.2%，高于市场预期的13.8亿元；经营利 润为2880万元，而去年同期录得经营亏损7260万元。截至发稿，网易有道上涨3.04%。 ④ 【加密货币交易所Bullish涨超14%】8月14日，加密货币交易所运营商及媒体CoinDesk的所有者Bullish延续上涨走势。前一日，Bullish正式登陆纽约证 券交易所，当天上涨83.78%。截至发稿，Bullish盘前上涨14.97%。 ⑤ 【柯达驳斥倒闭传闻】印刷和成像标志性公司柯达在近日发布的第二季度财务报告中表示，在公司成立145年后，"人们对公司能否继续经营存在重大 怀疑"。此言论被公众广泛认为是倒闭预警。柯达在报告中表示，公司二季度毛利润下降约12%，并且有即将到期的债务义务需要在明年内履行。然而， 当地时间8月13日，柯达发表声明称，"公司有信心在到期前偿还大部分定期贷款，并修改、延长或再融资剩余债务和/或优先股债务。" ⑥ 【特斯拉发布招聘信息，暗示将在纽约提供Robotaxi服务】当地时间8月13日，据媒体报道，特斯拉Autopilot运 ...

1. 8月14日(周四)美股盘前，美股三大股指期货齐涨。截至发稿，道指期货涨0.06%，标普500指数期货涨0.04%，纳指期货涨0.05%。 | ■ US 30 | 44,949.70 | 44,971.70 | 44,868.70 | +27.40 | +0.06% | | --- | --- | --- | --- | --- | --- | | ■ US 500 | 6,468.90 | 6,469.20 | 6,455.20 | +2.30 | +0.04% | | ■ US Tech 100 | 23,861.80 | 23,868.90 | 23,802.90 | +12.80 | +0.05% | 2. 截至发稿，德国DAX指数涨0.68%，英国富时100指数涨0.07%，法国CAC40指数涨0.62%，欧洲斯托克50指数涨0.64%。 | I 德國DAX30 | 24,354.20 | 24,364.65 | 24,189.90 | +164.29 | +0.68% | | --- | --- | --- | --- | --- | --- | | 淵 英國富時100 | 9,171.75 ...

Financial Data and Key Metrics Changes - The company reported its first profitable second quarter with operating income of RMB28.8 million compared to an operating loss of RMB72.6 million in the same period last year [6] - Net revenues reached RMB1.4 billion, an increase of 7.2% year over year [6][20] - Operating cash inflow was RMB185 million, down 26.1% year over year, primarily due to strategic scaling back of certain courses [7] - Total gross profit was RMB609.4 million, representing a 4.3% decrease from the same period of 2024 [21] - Non-GAAP net income attributable to ordinary shareholders was RMB12.5 million compared to a non-GAAP net loss of RMB96 million for the same period last year [23] Business Line Data and Key Metrics Changes - Net revenues from learning services rose 2.2% year over year to RMB657.8 million, driven by strong performance in Youdao Ling Shi [7][21] - Net revenues from online marketing services reached RMB632.9 million, up 23.8% year over year, driven by demand from the gaming industry and overseas markets [12][21] - Net revenues from smart devices declined 23.9% year over year to RMB126.8 million, attributed to the end of product life cycles and reduced marketing expenditure [15][21] Market Data and Key Metrics Changes - The gaming advertising segment saw revenue growth of more than 50% year over year, supported by collaborations with major gaming advertisers [13] - The overseas market contributed significantly to growth, with revenue from partnerships with TikTok and Google increasing significantly [64] Company Strategy and Development Direction - The company aims to advance its AI native strategy, focusing on scenario-based optimizations of large language models to enhance learning and advertising services [18] - There is a strong emphasis on integrating hardware and learning services to improve operational efficiency and reduce sales and marketing expenses [40] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving operating cash flow breakeven despite a year-over-year decline in operating cash inflow [52][56] - The company anticipates stronger cash flow performance in the second half of the year, driven by improved profitability and operational efficiency [54] Other Important Information - The company launched several AI-driven features and products, including the AI essay grading feature and the Confucius III language model, which received positive feedback [8][10] - The company signed 12 gold medalists from the National Olympiads in Informatics to enhance its teaching and R&D capabilities [9] Q&A Session Summary Question: Update on the third quarter outlook for Youdao Ling Shi - Management noted that Youdao Ling Shi's revenue increased by roughly 30% year over year, with a retention rate exceeding 75%, indicating strong user satisfaction and a solid foundation for future growth [28][30] Question: Improvement in Smart Device segment revenue - Management stated that while revenue declined in Q2, the health of the hardware business improved compared to the previous year, with a focus on dictionary pens and new tutoring pens expected to drive future growth [36][39] Question: Specific applications of AI ad placement optimizer - The AI ad placement optimizer covers the entire advertising delivery process, enhancing targeting strategies and optimizing ad delivery, which is expected to support revenue growth and profitability improvement [44][48] Question: Revision on the target for achieving operating cash flow breakeven - Management confirmed that despite a decrease in operating cash flow, the target for achieving breakeven remains unchanged, supported by improved profitability and operational efficiency [52][56] Question: Growth drivers in gaming and overseas markets - Management highlighted a 50% year-over-year increase in gaming revenue and significant growth in overseas markets, particularly through partnerships with TikTok and Google [63][64]

Financial Performance - Youdao achieved a 7.2% year-over-year (YoY) growth in net revenues for the second quarter of 2025, reaching RMB 1,417.5 million[5] - The company reported its first-ever profitable second quarter in 2025, with an income from operations of RMB 28.8 million[7,8] - Operating cash flow showed a net inflow of RMB 185.0 million in the second quarter of 2025[9] - Online Marketing Services achieved record-high net revenues in the second quarter of 2025, reaching RMB 632.9 million, a 23.8% YoY increase[28] Business Segments & AI Strategy - Youdao is strategically positioned as an AI-powered solutions provider, focusing on AI applications for learning and advertising[17] - The company is implementing an AI strategy across its Learning Services, Smart Devices, and Online Marketing Services[12] - Youdao launched AI Essay Grading in the second quarter of 2025, powered by its Large Language Model (LLM) Confucius[19,22,24] - Youdao's Digital Content Services, including Youdao Lingshi, offer personalized learning paths, AI quiz recommendations, and AI-based college admission advisors[19] Key Balance Sheet Items (June 30, 2025) - Cash assets totaled RMB 613.847 million[42] - Total current assets amounted to RMB 1,573.283 million[42] - Contract liabilities stood at RMB 856.684 million[42]

[Second Quarter 2025 Financial and Business Highlights](index=1&type=section&id=Second%20Quarter%202025%20Financial%20and%20Business%20Highlights) Youdao achieved its first profitable second quarter in 2025, driven by a 7.2% increase in net revenues to RMB1.4 billion and strong AI Native Strategy execution, despite a gross margin decline [Management Commentary](index=1&type=section&id=Management%20Commentary) The CEO emphasized the first profitable second quarter, driven by the AI Native Strategy, new AI product features, and significant growth in AI-driven subscription services - Achieved the **first-ever profitable second quarter**, driven by the successful execution of the AI Native Strategy[3](index=3&type=chunk) - Released the latest Large Language Model (LLM) Confucius 3 and open-sourced Confucius 3-Math[3](index=3&type=chunk) - Launched new AI-powered features: AI Essay Grading in Youdao Lingshi, which led to a record-high retention rate, and an AI Ad Placement Optimizer for marketing services[3](index=3&type=chunk) - Total sales of AI-driven subscription services grew by approximately **30% year-over-year**[3](index=3&type=chunk) - Future focus remains on advancing the AI Native Strategy by optimizing LLMs for specific scenarios and accelerating technological innovation in learning and advertising[5](index=5&type=chunk) [Key Financial Highlights](index=1&type=section&id=Key%20Financial%20Highlights) Youdao reported Q2 2025 net revenues of RMB1.4 billion (+7.2% YoY), achieving an operating income of RMB28.8 million, despite a gross margin decline to 43.0% Q2 2025 Key Financial Metrics (vs. Q2 2024) | Metric | Q2 2025 | Q2 2024 | YoY Change | | :--- | :--- | :--- | :--- | | Total Net Revenues | RMB 1.4 billion | RMB 1.3 billion | +7.2% | | - Learning Services | RMB 657.8 million | RMB 643.8 million | +2.2% | | - Smart Devices | RMB 126.8 million | RMB 166.7 million | -23.9% | | - Online Marketing Services | RMB 632.9 million | RMB 511.2 million | +23.8% | | Gross Margin | 43.0% | 48.2% | -5.2 p.p. | | Income/(Loss) from Operations | RMB 28.8 million | (RMB 72.6 million) | Turnaround to profit | | Basic Net Loss per ADS | RMB 0.15 | RMB 0.85 | N/A | | Non-GAAP Basic Net Income per ADS | RMB 0.11 | (RMB 0.82) | Turnaround to profit | [Second Quarter 2025 Detailed Financial Results](index=2&type=section&id=Second%20Quarter%202025%20Detailed%20Financial%20Results) This section provides a detailed breakdown of Youdao's Q2 2025 financial performance, covering revenue streams, gross margins, operating expenses, profitability, and balance sheet items [Net Revenues](index=2&type=section&id=Net%20Revenues) Total net revenues increased 7.2% YoY to RMB1.4 billion, driven by strong growth in online marketing services, while smart devices revenue declined - Total net revenues grew **7.2% YoY** to **RMB 1.4 billion**[6](index=6&type=chunk) - Net revenues from learning services increased by **2.2% YoY** to **RMB 657.8 million**[6](index=6&type=chunk) - Net revenues from smart devices decreased by **23.9% YoY** to **RMB 126.8 million**, attributed to declining consumer electronics demand[7](index=7&type=chunk) - Net revenues from online marketing services grew significantly by **23.8% YoY** to **RMB 632.9 million**, thanks to increased demand from the gaming industry and overseas markets, supported by AI technology investments[8](index=8&type=chunk) [Gross Profit and Gross Margin](index=2&type=section&id=Gross%20Profit%20and%20Gross%20Margin) Overall gross profit decreased 4.3% YoY to RMB609.4 million, with gross margin falling to 43.0%, primarily due to lower online marketing services margin Gross Margin by Segment (Q2 2025 vs. Q2 2024) | Segment | Q2 2025 Gross Margin | Q2 2024 Gross Margin | Change | | :--- | :--- | :--- | :--- | | **Overall** | **43.0%** | **48.2%** | **-5.2 p.p.** | | Learning Services | 59.8% | 59.8% | Flat | | Smart Devices | 41.5% | 30.3% | +11.2 p.p. | | Online Marketing Services | 25.8% | 39.1% | -13.3 p.p. | - The improvement in smart devices' gross margin was driven by the newly launched Youdao Dictionary Pen[10](index=10&type=chunk) - The decrease in online marketing services' gross margin was a result of strategic expansion to a new client base, with margins expected to improve as collaborations mature[11](index=11&type=chunk) [Operating Expenses](index=2&type=section&id=Operating%20Expenses) Total operating expenses significantly decreased to RMB580.6 million, primarily due to reductions in sales and marketing and R&D expenses, despite an increase in G&A Operating Expenses Breakdown (Q2 2025 vs. Q2 2024) | Expense Category | Q2 2025 (RMB million) | Q2 2024 (RMB million) | YoY Change | | :--- | :--- | :--- | :--- | | Sales and Marketing | 401.8 | 515.7 | -22.1% | | Research and Development | 128.3 | 153.0 | -16.1% | | General and Administrative | 50.4 | 40.6 | +24.1% | | **Total Operating Expenses** | **580.6** | **709.3** | **-18.1%** | - The decrease in R&D expenses was mainly due to a reduction in employee headcount, leading to payroll savings[13](index=13&type=chunk) [Profitability and Earnings Per Share](index=3&type=section&id=Profitability%20and%20Earnings%20Per%20Share) Youdao achieved an operating income of RMB28.8 million and a non-GAAP net income of RMB12.5 million in Q2 2025, marking a significant turnaround to profitability - Income from operations was **RMB 28.8 million**, compared to a loss from operations of **RMB 72.6 million** in Q2 2024[15](index=15&type=chunk) - Net loss attributable to ordinary shareholders was **RMB 17.8 million**, a substantial improvement from a net loss of **RMB 99.5 million** in Q2 2024[17](index=17&type=chunk) - Non-GAAP net income attributable to ordinary shareholders was **RMB 12.5 million**, reversing a non-GAAP net loss of **RMB 96.0 million** in the same period last year[17](index=17&type=chunk) Earnings Per ADS (Q2 2025 vs. Q2 2024) | Metric | Q2 2025 (RMB) | Q2 2024 (RMB) | | :--- | :--- | :--- | | Basic Net Loss per ADS | (0.15) | (0.85) | | Non-GAAP Basic Net Income per ADS | 0.11 | (0.82) | [Balance Sheet, Liquidity, and Share Repurchase](index=3&type=section&id=Balance%20Sheet%2C%20Liquidity%2C%20and%20Share%20Repurchase) As of June 30, 2025, Youdao reported RMB617.0 million in cash and equivalents, RMB185.0 million in operating cash flow, and continued share repurchases, supported by NetEase Group loans - As of June 30, 2025, cash, cash equivalents, restricted cash, and short-term investments totaled **RMB 617.0 million**[19](index=19&type=chunk) - Net cash provided by operating activities was **RMB 185.0 million** for Q2 2025[19](index=19&type=chunk) - The company has received financial support from NetEase Group, including **RMB 878.0 million** in short-term loans and **US$130.7 million** in long-term loans[19](index=19&type=chunk) - Under its share repurchase program, the company has repurchased a total of approximately **7.5 million ADSs** for **US$33.8 million** as of June 30, 2025[21](index=21&type=chunk) [Conference Call and Other Information](index=4&type=section&id=Conference%20Call%20and%20Other%20Information) This section provides details for the Q2 2025 earnings conference call and important disclosures regarding non-GAAP financial measures and forward-looking statements [Conference Call Information](index=4&type=section&id=Conference%20Call%20Information) Youdao's management will host a teleconference on August 14, 2025, at 6:00 a.m. ET to discuss financial results, with dial-in and webcast details provided Conference Call Dial-in Details | Region | Number | Conference ID | | :--- | :--- | :--- | | United States (toll free) | +1-888-346-8982 | 7085699 | | International | +1-412-902-4272 | 7085699 | | Mainland China (toll free) | 400-120-1203 | 7085699 | | Hong Kong (toll free) | 800-905-945 | 7085699 | [Disclosures](index=4&type=section&id=Disclosures) This section outlines the company's use of non-GAAP financial measures, the RMB to USD exchange rate, and a safe harbor statement for forward-looking information - The company uses non-GAAP financial measures, such as non-GAAP net income, to assess operating performance, excluding items like share-based compensation and impairment of long-term investments[26](index=26&type=chunk)[27](index=27&type=chunk) - Financial figures are translated from RMB to USD at a rate of **RMB7.1636 to US$1.00** for convenience[31](index=31&type=chunk) - The press release contains forward-looking statements made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995[32](index=32&type=chunk) [Unaudited Financial Statements](index=6&type=section&id=Unaudited%20Financial%20Statements) This section presents Youdao's unaudited condensed consolidated financial statements, including balance sheets, statements of operations, segment-level details, and GAAP to non-GAAP reconciliations [Unaudited Condensed Consolidated Balance Sheets](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, the balance sheet shows total assets of RMB1.84 billion and total liabilities of RMB3.85 billion, with significant cash and NetEase Group loans Selected Balance Sheet Items (as of June 30, 2025) | Account | Amount (RMB thousands) | | :--- | :--- | | Cash and cash equivalents | 536,228 | | Total current assets | 1,573,283 | | **Total assets** | **1,841,076** | | Contract liabilities | 856,684 | | Total current liabilities | 2,881,563 | | **Total liabilities** | **3,851,363** | | Total shareholders' deficit | (2,010,287) | [Unaudited Condensed Consolidated Statements of Operations](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations) For Q2 2025, Youdao reported total net revenues of RMB1.42 billion, gross profit of RMB609.4 million, operating income of RMB28.8 million, and a net loss of RMB17.8 million Statement of Operations Summary (Three Months Ended June 30, 2025) | Line Item | Amount (RMB thousands) | | :--- | :--- | | Total net revenues | 1,417,541 | | Gross profit | 609,360 | | Total operating expenses | (580,561) | | Income from operations | 28,799 | | Net loss attributable to ordinary shareholders | (17,763) | | Basic net loss per ADS (RMB) | (0.15) | [Unaudited Additional Information](index=8&type=section&id=Unaudited%20Additional%20Information) This section provides detailed segment-level breakdowns of net revenues, cost of revenues, and gross margins for the past three quarters Gross Margin by Segment (Q2 2025) | Segment | Gross Margin | | :--- | :--- | | Learning services | 59.8% | | Smart devices | 41.5% | | Online marketing services | 25.8% | | **Total gross margin** | **43.0%** | [Unaudited Reconciliation of GAAP and Non-GAAP Results](index=9&type=section&id=Unaudited%20Reconciliation%20of%20GAAP%20and%20Non-GAAP%20Results) This section reconciles GAAP net loss to non-GAAP net income for Q2 2025, primarily by adjusting for share-based compensation and impairment of long-term investments GAAP to Non-GAAP Reconciliation (Q2 2025, RMB thousands) | Line Item | Amount | | :--- | :--- | | **Net loss attributable to ordinary shareholders (GAAP)** | **(17,763)** | | Add: Share-based compensation | 6,585 | | Add: Impairment of long-term investments | 25,730 | | Less: Gain from fair value change of long-term investment | (1,765) | | **Non-GAAP net income attributable to ordinary shareholders** | **12,515** |

Core Viewpoint - NetEase Youdao (NYSE: DAO) reported strong financial performance in Q2 2025, achieving sustainable profitability for the fourth consecutive quarter under its "AI-native" strategy, with significant advancements in AI technology application in education and advertising sectors [1][4]. Financial Performance - In Q2, NetEase Youdao's net revenue reached 1.42 billion yuan, a year-on-year increase of 7.2%, with an operating profit of 28.8 million yuan, marking the first profitable Q2 [1]. - For the first half of the year, the company achieved an operating profit of 130 million yuan, a historical high, with total net revenue of 2.7 billion yuan and a significant reduction in operating cash outflow by 49.9% year-on-year [1]. AI Strategy and Business Growth - The learning services segment, a key area for AI technology application, generated net revenue of 660 million yuan in Q2, up 2.2% year-on-year, with digital content services contributing 450 million yuan [2]. - The AI subscription service saw strong growth, with sales nearing 80 million yuan, a year-on-year increase of approximately 30% [2]. - The online marketing services segment achieved a record revenue of 630 million yuan, up 23.8% year-on-year, driven by full-chain AI integration [2]. Technological Advancements - The company optimized its "Ziyue" large model, launching the "Ziyue 3" math model, which is the first open-source reasoning model focused on math education in China, demonstrating significant cost advantages [3]. - The AI full-science learning assistant, Youdao XiaoP, achieved a 95% accuracy rate in K12 math problem-solving, showcasing the effectiveness of the new model [3]. Future Outlook - The CEO of NetEase Youdao indicated that the company will continue to deepen its "AI-native" strategy, focusing on iterative optimization of the Ziyue large model and accelerating technological innovation in learning and advertising sectors to enhance user learning efficiency and advertising ROI [4].

Core Viewpoint - NetEase Youdao (DAO.US) has achieved significant results under its "AI Native" strategy, reporting sustainable profitability for four consecutive quarters and reaching a historical high in operating profit in the first half of the year [1][5]. Financial Performance - In Q2, NetEase Youdao's net revenue reached 1.42 billion yuan, a year-on-year increase of 7.2%, with an operating profit of 28.8 million yuan, marking the first profitable Q2 [1]. - For the first half of the year, the total operating profit was 130 million yuan, a historical high, with total net revenue of 2.7 billion yuan and a significant reduction in operating cash outflow by 49.9% year-on-year [1]. AI Strategy and Business Growth - The learning services segment, a key area for AI technology implementation, generated net revenue of 660 million yuan in Q2, up 2.2% year-on-year, with digital content services contributing 450 million yuan [2]. - AI subscription services saw strong growth, with sales nearing 80 million yuan, a year-on-year increase of approximately 30% [3]. - The online marketing services segment achieved a record revenue of 630 million yuan, up 23.8% year-on-year, driven by full-chain AI integration [3]. Technological Advancements - The "Ziyue" large model has been optimized to enhance the company's technological moat, with the release of the "Ziyue 3" math model, which has shown superior performance in mathematical reasoning tasks [4]. - The service cost for the "Ziyue 3" model is as low as $0.15 per million tokens, making it accessible for a wider range of educational institutions and developers [4]. Future Outlook - The company plans to continue deepening its "AI Native" strategy, focusing on scenario-driven iterations of the "Ziyue" model and accelerating technological innovation in learning and advertising [5].

Core Viewpoint - Youdao (DAO.US) reported a strong performance in Q2, with total net revenue exceeding market expectations and a significant turnaround in operating profit [1] Financial Performance - Total net revenue for Youdao in Q2 was 1.4 billion yuan, representing a year-on-year increase of 7.2%, surpassing the market expectation of 1.38 billion yuan [1] - Operating profit reached 28.8 million yuan, a notable improvement from an operating loss of 72.6 million yuan in the same period last year [1] - Adjusted basic earnings per ADS were 0.11 yuan, compared to an adjusted loss of 0.82 yuan per ADS in the previous year [1]

Core Viewpoint - NetEase reported its Q2 2025 financial results, highlighting a year-on-year increase in Youdao's net revenue by 7.2% to RMB 1.4 billion [1] Revenue Breakdown - Youdao's online marketing services and learning services net revenue increased both quarter-on-quarter and year-on-year [1] - Net revenue from smart hardware decreased both quarter-on-quarter and year-on-year [1]

Core Viewpoint - NetEase Youdao (DAO.US) reported strong financial performance in Q2 2025, achieving sustainable profitability for the fourth consecutive quarter under its "AI-native" strategy, with significant advancements in AI technology application in education and advertising sectors [1][4] Financial Performance - Q2 net revenue reached 1.42 billion yuan, a year-on-year increase of 7.2% - Operating profit was 28.8 million yuan, marking the first profitable Q2 - For the first half of the year, operating profit totaled 130 million yuan, a historical high, with total net revenue of 2.7 billion yuan and a significant reduction in operating cash outflow by 49.9% [1] AI Strategy and Business Growth - The learning services segment generated 660 million yuan in Q2, up 2.2% year-on-year, with digital content services contributing 450 million yuan - Youdao's AI-driven features, such as AI essay correction and college application guidance, improved user retention rates to over 75% - AI subscription services saw strong growth, with sales nearing 80 million yuan, a year-on-year increase of approximately 30% [2] Advertising and Marketing Services - The online marketing services segment achieved a record revenue of 630 million yuan, a year-on-year increase of 23.8% - The launch of the AI advertising optimization tool "Youdao Xiaozhi" enhanced decision-making across the advertising process, contributing to a 50% increase in game advertising revenue [2] Technological Advancements - Youdao optimized its "Ziyue" large model, launching the "Ziyue 3" math model, which is the first open-source reasoning model focused on math education in China - The model demonstrated superior performance in math reasoning tasks, achieving a 95% accuracy rate for K12 math questions with a service cost of only $0.15 per million tokens, making it accessible for more educational institutions [3] Future Outlook - The CEO of Youdao emphasized the commitment to deepening the "AI-native" strategy, focusing on iterative optimization of the Ziyue model and accelerating technological innovation in learning and advertising to enhance user learning efficiency and advertising ROI [4]