Financial Performance - For the fiscal year ended June 30, 2024, the total revenues amounted to RMB 3,795.3 million, with external revenues of RMB 3,795.3 million and intra-group revenues of RMB 673.8 million[24]. - The net income for the fiscal year ended June 30, 2024, was RMB 385.5 million, reflecting a significant increase compared to previous years[24]. - The share of income from subsidiaries for QuantaSing Group Limited was RMB 348.5 million for the fiscal year ended June 30, 2024[24]. - The company reported a net loss of RMB 233,426 thousand for the fiscal year ended June 30, 2023, highlighting ongoing challenges in profitability[26]. - The company recorded a net loss of RMB233.4 million and RMB108.7 million for the fiscal years ended June 30, 2022 and 2023, respectively, but achieved a net income of RMB385.5 million (US$53.1 million) for the fiscal year ended June 30, 2024[73]. Revenue Sources - The company relies on dividends from subsidiaries and service fees from affiliated entities for its ability to pay dividends to shareholders[19]. - The total amount of service fees charged to the VIEs and their subsidiaries by WFOEs was RMB 230.3 million, RMB 392.2 million, and RMB 673.4 million for the fiscal years ended June 30, 2022, 2023, and 2024, respectively, showing a significant increase of 73% from 2022 to 2023[36]. - The company began offering financial literacy learning services in July 2019, which accounted for 80.2%, 60.8%, and 34.4% of total revenues for the fiscal years ended June 30, 2022, 2023, and 2024, respectively[46]. - New course offerings in skills upgrading and recreation and leisure accounted for 6.8%, 27.9%, and 54.2% of total revenues for the fiscal years ended June 30, 2022, 2023, and 2024, respectively[46]. Cash Flow and Liquidity - Cash and cash equivalents as of June 30, 2024, totaled RMB 779,931 thousand, indicating a strong liquidity position[27]. - The net cash transferred by the VIEs and their subsidiaries to other subsidiaries was RMB 142.0 million for the fiscal year ended June 30, 2024[21]. - The net increase in cash and cash equivalents for the fiscal year was RMB 497,854 thousand, a substantial rise compared to the previous year's increase of RMB 241,326 thousand[36]. - Cash flows from investing activities showed a net outflow of RMB 201 thousand, with significant transactions involving intra-group companies[36]. Regulatory Environment - The company is subject to evolving PRC laws and regulations, which may impact its operations and require additional licenses in the future[16]. - The CSRC Filing Rules require any future overseas securities offerings to comply with filing requirements, which could lead to regulatory sanctions if not adhered to[18]. - The PCAOB's ability to inspect auditors in China may affect the company's trading status under the HFCAA, posing a risk to investment value[38]. - The PRC government has significant authority over offshore holding companies, and changes in regulations could materially affect the company's operations and securities value[120]. Risks and Challenges - The VIE structure presents unique risks, including potential breaches of contractual arrangements by VIEs and their shareholders[15]. - The company faces risks related to user acquisition efficiency and the ability to maintain high-quality teaching staff[40]. - The company may incur significant investments in establishing and maintaining cooperative relations and pursuing R&D projects for new business initiatives[50]. - The company faces uncertainties regarding the enforcement and interpretation of PRC laws and regulations, which could materially affect business operations and financial condition[124]. Corporate Governance and Structure - The company has a dual-class voting structure that may discourage change of control transactions, affecting shareholder interests[149]. - The company is classified as a "controlled company," allowing it to rely on exemptions from certain corporate governance requirements[153]. - The board of directors has complete discretion over dividend distribution, which may depend on future results of operations and cash flow[165]. - The company may face difficulties in protecting shareholder interests due to its incorporation under Cayman Islands law and operations primarily in emerging markets[166]. Market Position and Competition - QuantaSing is the largest service provider in China's online adult learning market in terms of revenue for 2022, according to F&S report[189]. - The company is subject to intense competition in the online adult learning market, which may impact its ability to attract and retain learners[40]. - The online adult learning market in China is competitive, with the company facing pressure to reduce course fees or increase spending to maintain market share[55]. Acquisitions and Growth Strategy - The company acquired KELLY'S EDUCATION LIMITED in September 2023, marking its entry into the global online education market and the language learning sector[50]. - The company has limited experience in successfully utilizing acquisitions as a growth strategy, which may impair future growth if challenges are not effectively addressed[95]. - The company is exploring opportunities to expand its service offerings into overseas markets to meet rising demands[50]. Cybersecurity and Data Protection - The company has implemented comprehensive cybersecurity and data protection policies, procedures, and measures to safeguard personal information rights and ensure secured storage and transmission of data[65]. - The PRC Data Security Law and the Personal Information Protection Law impose strict requirements on data collection and processing, which the company has been compliant with[65]. - The company has received notifications regarding excessive data collection from local communications administration but has taken rectification measures without incurring penalties[65]. Shareholder and ADS Information - The company raised approximately US$38.6 million in net proceeds from the initial public offering of 3,377,396 ADSs in February 2023[186]. - Holders of ADSs have limited voting rights and must provide instructions to the depositary to vote on their behalf[171]. - The depositary may amend or terminate the deposit agreement without the consent of ADS holders, with at least 30 days' notice for significant changes[175].

Financial Data and Key Metrics Changes - The company achieved a revenue of RMB1,000.1 million for Q4 2024, representing a year-over-year growth of 20.7% [23] - Adjusted net income reached RMB193.6 million, up from RMB90.4 million in the same period last year [6][26] - Gross profit was RMB858.8 million, with a gross margin of 85.9%, slightly down from 86% year-over-year [24] Business Line Data and Key Metrics Changes - Revenues from individual online learning services grew by 25.7% year-over-year to RMB906.7 million, accounting for 90.7% of total revenues [24] - Revenues from enterprise services were RMB56.6 million, a decrease of 45.5% from a year ago [24] - The wellness products e-commerce segment grew by 83.3% quarter-over-quarter from RMB18.3 million in Q3 to RMB33.6 million in Q4 [17] Market Data and Key Metrics Changes - The silver economy in China surpassed RMB14.4 trillion in final consumption value in 2023, with significant growth projected [7] - The rural population in China is expected to reach 650 million by 2028, representing 46.3% of the total population, indicating a substantial market opportunity [7] Company Strategy and Development Direction - The company is pivoting towards the silver economy, focusing on the holistic needs of adult users, particularly the elderly demographic [6][21] - The strategy includes expanding online learning offerings, developing offline consumption scenarios, and launching branded consumer products through live e-commerce [11][12][13] - The company aims to create a comprehensive ecosystem that serves the educational, social, and consumer needs of the silver population [13] Management's Comments on Operating Environment and Future Outlook - Management emphasized the importance of understanding and addressing the unique needs of the silver demographic, which includes health maintenance and social interaction [8][10] - The company is committed to long-term value creation rather than short-term metrics, aligning with its strategic goals in the evolving market [21][27] - The management expressed confidence in their strong foundation in adult education and technology capabilities to navigate the challenges of the silver economy [21][27] Other Important Information - As of June 30, 2024, the company held RMB1,026.3 million in cash and cash equivalents, providing flexibility for strategic investments [18][26] - The company continues to maintain its presence in broader education markets through Kelly's Education, while focusing on the silver economy in mainland China [19] Q&A Session Summary Question: Update on the competitive landscape for e-commerce live streaming in China - Management noted that the e-commerce live streaming market is rapidly evolving, with a projected market size of around RMB5 trillion by 2023 and a 20% CAGR from 2024 to 2026 [32] - The company believes its targeted approach and existing user base position it well for success in this competitive landscape [32][33] Question: Targeted number of products for QuantaSing's e-commerce platform - The company follows a user-centric approach in product selection, aiming to maintain a core set of approximately 10 flagship products primarily in wellness [35][36] - This strategy focuses on high-quality offerings that resonate with the audience, aiming for sustainable growth in the live e-commerce business [36]

Core Viewpoint - QuantaSing Group Limited reported strong financial results for the fourth quarter and full fiscal year 2024, highlighting significant growth in revenues and user base, while also emphasizing a strategic shift towards the silver economy and wellness products [1][4][22]. Financial Highlights for the Fourth Quarter of FY 2024 - Revenues reached RMB1,000.1 million (US$137.6 million), a 5.8% increase from the previous quarter and a 20.7% increase year-over-year [2][6]. - Gross billings from individual online learning services were RMB774.4 million (US$106.6 million), reflecting a 21.1% increase from the previous quarter and a 3.4% increase year-over-year [2][7]. - Net income was RMB196.6 million (US$27.1 million), compared to RMB14.6 million in the previous quarter and RMB52.7 million in the same quarter last year [2][14]. - Adjusted net income was RMB193.6 million (US$26.6 million), up from RMB31.9 million in the previous quarter and RMB90.4 million in the same quarter last year [2][14]. - Total registered users increased by 35.3% to approximately 127.6 million year-over-year [2]. Financial Highlights for FY 2024 - Total revenues for FY 2024 were RMB3,795.3 million (US$522.3 million), a 23.2% increase from the prior fiscal year [3][16]. - Gross billings from individual online learning services were RMB3,462.7 million (US$476.5 million), a 14.1% increase from the prior fiscal year [3][17]. - Net income for FY 2024 was RMB385.5 million (US$53.1 million), a significant recovery from a net loss of RMB108.7 million in FY 2023 [3][22]. - Adjusted net income for FY 2024 was RMB423.3 million (US$58.3 million), compared to RMB83.0 million in the prior fiscal year [3][22]. Cost and Expense Management - Cost of revenues increased by 21.6% year-over-year to RMB141.3 million (US$19.4 million), primarily due to higher labor outsourcing and procurement costs [9]. - Sales and marketing expenses were RMB580.1 million (US$79.8 million), a slight increase of 1.2% year-over-year [10]. - Research and development expenses decreased by 60.4% to RMB21.2 million (US$2.9 million) due to reduced staff costs [11]. - General and administrative expenses decreased by 69.6% to RMB11.6 million (US$1.6 million), primarily due to a decline in share-based compensation expenses [12]. Strategic Focus and Future Outlook - The company is aligning its strategy with the growing silver economy, focusing on adult learning and wellness products to create a comprehensive ecosystem for the senior demographic [4]. - The wellness products business has shown significant quarter-over-quarter growth, indicating strong early traction [4]. - The company maintains a strong balance sheet with RMB1,026.3 million (US$141.2 million) in cash and equivalents as of June 30, 2024, providing flexibility for strategic initiatives [4][24].

BEIJING, Aug. 23, 2024 (GLOBE NEWSWIRE) -- QuantaSing Group Limited (NASDAQ: QSG) (“QuantaSing” or the “Company”), a leading lifestyle solution provider empowering adults to live better and longer, today announced that it plans to release its unaudited financial results for the fourth fiscal quarter and the full fiscal year ended June 30, 2024, before the U.S. market opens on Wednesday, August 28, 2024. The Company’s management will hold an earnings conference call at 07:00 A.M. Eastern Time on Wednesday, A ...

BEIJING, Aug. 21, 2024 (GLOBE NEWSWIRE) -- QuantaSing Group Limited (NASDAQ: QSG) (“QuantaSing” or the “Company”), a leading lifestyle solution provider empowering adults to live better and longer, today announced the launch of a new mission statement and vision statement. The updated mission and vision statements are the first step in a carefully planned business transformation, which represents a significant evolution in QuantaSing’s commitment to enhancing quality of life for middle-aged and senior adult ...

HONG KONG, June 25, 2024 (GLOBE NEWSWIRE) -- QuantaSing Group Limited (NASDAQ:QSG) ("QuantaSing" or the "Company"), a leading online learning service provider in China, today opened its office in Hong Kong. Timed with the opening, the company launched co-branded research on China's Silver Economy, entitled "White Paper on Unveiling Golden Opportunities in China's Silver Economy, 2023" ("White Paper"). The inaugural Hong Kong office is the company's first office outside Mainland China. Located strategically ...

BEIJING, June 11, 2024 (GLOBE NEWSWIRE) -- QuantaSing Group Limited (NASDAQ: QSG) (“QuantaSing” or the “Company”), a leading online learning service provider in China, today announced that its board of directors (the “Board”) has authorized a share repurchase program under which the Company may repurchase up to US$20.0 million of its Class A ordinary shares in the form of American depositary shares (“ADSs”) during a twelve-month period commencing on June 11, 2024 (the “Share Repurchase Program”). “The Share ...

BEIJING, June 11, 2024 (GLOBE NEWSWIRE) -- QuantaSing Group Limited (NASDAQ:QSG) ("QuantaSing" or the "Company"), a leading online learning service provider in China, today announced that its board of directors (the "Board") has authorized a share repurchase program under which the Company may repurchase up to US$20.0 million of its Class A ordinary shares in the form of American depositary shares ("ADSs") during a twelve-month period commencing on June 11, 2024 (the "Share Repurchase Program"). "The Share ...

QuantaSing Group Limited (NASDAQ:QSG) Q3 2024 Earnings Conference Call June 6, 2024 7:00 AM ET Company Participants Leah Guo - Investor Relations Peng Li - Founder, Chairman and CEO Tim Xie - CFO Conference Call Participants Steve Silver - Argus Research Howard Halpern - Taglich Brothers Hunter Diamond - Diamond Equity Research Michael Kopinski - Noble Capital Markets Jackson Temple - Global Investors BJ Cook - Singular Research Operator Good morning, and good evening, ladies and gentlemen. Thank you for st ...

Exhibit 99.1 QuantaSing Announces Unaudited Financial Results for the Third Quarter of Fiscal Year 2024 Beijing, June 6, 2024 /GLOBE NEWSWIRE/ - QuantaSing Group Limited (NASDAQ: QSG) ("QuantaSing" or the "Company"), a leading online learning service provider in China, today announced its unaudited financial results for the third quarter of the fiscal year ending June 30, 2024 (the "third quarter of FY 2024", which refers to the quarter from January 1, 2024 to March 31, 2024). Highlights for the Third Quart ...