Financial Data and Key Metrics Changes - The company reported net revenues of RMB 67.5 million for Q2 2024, a significant increase of 165% compared to RMB 25.5 million in Q1 2024 [15] - The net loss on a GAAP basis for Q2 2024 was RMB 55.7 million, compared to RMB 47.9 million in Q2 2023, indicating a widening loss [17] - Gross margin for Q2 2024 was 16.0%, down from 48.3% in Q2 2023, primarily due to a higher proportion of lower-margin mixed deliveries [16] Business Line Data and Key Metrics Changes - The teaching and learning SaaS business for district-level projects showed consistent growth, with successful project deliveries contributing to revenue generation [10] - The company maintained a strong user engagement with 330,000 active student users and over 35 million completed homework assignments [13] - Subscription retention rates and utilization rates improved significantly, with effective retention rates exceeding 150% for renewing contracts [8] Market Data and Key Metrics Changes - The company collaborates with over 500 strategic partners across 95 cities in 27 provinces, expanding its market presence [9] - A strategic partnership was initiated with two major local distributors in Qingdao, aiming to enhance distribution and market share [9] Company Strategy and Development Direction - The company aims to provide competitive, personalized educational solutions and high-quality products to contribute to China's educational digital transformation [20] - Continuous product optimization and channel innovation are prioritized to strengthen core competitiveness [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the narrowing operational loss and the potential for future growth driven by innovative educational solutions [6] - The company is focused on leveraging technological expertise to promote industry standards and technological progress [11] Other Important Information - Cash reserves stood at RMB 410.7 million as of June 30, 2024, providing sufficient funds for future development [19] - The Board of Directors renewed the share repurchase program, authorizing up to $10 million for the next 12 months [19] Q&A Session Summary - No questions were raised during the Q&A session, and the call concluded without further inquiries [22]

Core Viewpoint - 17 Education & Technology Group Inc. reported a decline in net revenues and gross margin for the second quarter of 2024, alongside an increase in net loss compared to the same period in 2023, despite achieving significant growth in its core SaaS business [1][4][5]. Financial Performance - **Second Quarter 2024 Highlights** - Net revenues were RMB 67.5 million (US$ 9.3 million), a slight decrease from RMB 69.2 million in Q2 2023 [2][6]. - Gross margin fell to 16.0% from 48.3% in Q2 2023 [2][8]. - Net loss increased to RMB 55.7 million (US$ 7.7 million) from RMB 47.9 million in Q2 2023 [2][13]. - Adjusted net loss (non-GAAP) was RMB 42.6 million (US$ 5.9 million), compared to RMB 28.6 million in Q2 2023 [2][14]. - **First Half 2024 Highlights** - Net revenues for the first half were RMB 93.0 million (US$ 12.8 million), up from RMB 78.5 million in the first half of 2023 [3]. - Gross margin was 22.1%, down from 45.5% in the first half of 2023 [3]. - Net loss narrowed to RMB 111.8 million (US$ 15.4 million) from RMB 140.5 million in the first half of 2023 [3]. Operational Insights - The company’s core SaaS business experienced a quarter-on-quarter growth of 165%, attributed to expansion and new contracts [4]. - Operational efficiency improvements led to a decrease in operational loss in the first half of 2024 [5]. Cost Structure - **Cost of Revenues** - Cost of revenues for Q2 2024 was RMB 56.7 million (US$ 7.8 million), a 58.6% increase from RMB 35.8 million in Q2 2023 [7]. - **Operating Expenses** - Total operating expenses for Q2 2024 were RMB 71.0 million (US$ 9.8 million), down 22.3% from RMB 91.3 million in Q2 2023 [9]. - Sales and marketing expenses decreased by 21.8% year-over-year to RMB 16.9 million (US$ 2.3 million) [9][12]. - Research and development expenses decreased by 37.1% to RMB 23.2 million (US$ 3.2 million) [10]. Cash Position - As of June 30, 2024, cash and cash equivalents, restricted cash, and term deposits totaled RMB 410.7 million (US$ 56.5 million), down from RMB 476.7 million as of December 31, 2023 [15]. Share Repurchase Program - The board approved a share repurchase program allowing the company to buy back up to US$ 10 million worth of its ordinary shares over a 12-month period starting September 4, 2024 [16].

Financial Performance - Net revenues for Q1 2024 were RMB25.5 million (US$3.5 million), a year-over-year increase of 175.0% from RMB9.3 million in Q1 2023[2] - Net loss narrowed to RMB56.1 million (US$7.8 million) in Q1 2024, down from RMB92.5 million in Q1 2023[12] - Adjusted net loss (non-GAAP) for Q1 2024 was RMB42.7 million (US$5.9 million), compared to RMB64.0 million in Q1 2023[13] - Net loss for the three months ended March 31, 2024 was RMB 56,077 thousand, compared to a net loss of RMB 92,537 thousand for the same period in 2023, indicating an improvement of approximately 39.4%[30] - Adjusted net loss improved from RMB 64,042 thousand in Q1 2023 to RMB 42,689 thousand in Q1 2024, reflecting a reduction of about 33.3%[30] Cost Management - Total operating expenses decreased by 31.6% year-over-year to RMB72.7 million (US$10.1 million) in Q1 2024[7] - Research and development expenses fell by 56.9% year-over-year to RMB19.1 million (US$2.6 million) in Q1 2024[8] - Share-based compensation expenses decreased from RMB 28,495 thousand in Q1 2023 to RMB 13,388 thousand in Q1 2024, a decline of about 53.1%[29] Assets and Liabilities - Cash and cash equivalents, restricted cash, and term deposits totaled RMB447.2 million (US$61.9 million) as of March 31, 2024[14] - Total current assets decreased from RMB 630,726 thousand as of December 31, 2023 to RMB 568,783 thousand as of March 31, 2024, a decline of approximately 9.8%[24] - Cash and cash equivalents decreased from RMB 306,929 thousand to RMB 274,549 thousand, representing a decrease of about 10.5%[24] - Total liabilities decreased from RMB 190,257 thousand as of December 31, 2023 to RMB 158,501 thousand as of March 31, 2024, a reduction of approximately 16.7%[26] - Total shareholders' equity decreased from RMB 494,269 thousand as of December 31, 2023 to RMB 458,154 thousand as of March 31, 2024, a decrease of approximately 7.3%[26] - Operating lease liabilities, current decreased from RMB 7,647 thousand to RMB 6,354 thousand, a decline of about 16.9%[24] - Accounts receivable significantly decreased from RMB 59,206 thousand to RMB 26,842 thousand, a reduction of approximately 54.7%[24] Business Strategy - The company continues to optimize business structures to enhance operational efficiency and expand its SaaS offerings[3] - The increase in net revenues was primarily driven by a higher number of teaching and learning SaaS contracts and recurring revenue from ongoing projects[4] - The company aims to strengthen its core SaaS teaching and learning business through high-quality product enhancements and service solutions[3] Share Information - The company reported a total of 486,558,988 Class A ordinary shares outstanding as of March 31, 2024[30] Profitability - Gross margin improved to 38.4% in Q1 2024, compared to 24.4% in Q1 2023[6]

BEIJING, June 06, 2024 (GLOBE NEWSWIRE) -- 17 Education & Technology Group Inc. (NASDAQ:YQ) ("17EdTech" or the "Company"), a leading education technology company in China, today announced its unaudited financial results for the first quarter of 2024. First Quarter 2024 Highlights1 Net revenues were RMB25.5 million (US$3.5 million), compared with net revenues of RMB9.3 million in the first quarter of 2023.Gross margin was 38.4%, compared with 24.4% in the first quarter of 2023.Net loss was RMB56.1 million (U ...

Core Viewpoint - 17 Education & Technology Group Inc. reported significant growth in net revenues and improved operational efficiency in the first quarter of 2024, indicating a positive trajectory for its SaaS teaching and learning business [2][5][4]. Financial Performance - Net revenues for Q1 2024 were RMB25.5 million (US$3.5 million), a year-over-year increase of 175.0% from RMB9.3 million in Q1 2023 [2][5]. - Gross margin improved to 38.4% in Q1 2024, compared to 24.4% in Q1 2023 [8]. - The net loss narrowed to RMB56.1 million (US$7.8 million) in Q1 2024, down from a net loss of RMB92.5 million in Q1 2023 [14]. - Adjusted net loss (non-GAAP) was RMB42.7 million (US$5.9 million) in Q1 2024, compared to RMB64.0 million in Q1 2023 [15]. Cost Structure - Cost of revenues for Q1 2024 was RMB15.7 million (US$2.2 million), reflecting a year-over-year increase of 124.0% from RMB7.0 million in Q1 2023 [6]. - Total operating expenses decreased by 31.6% year-over-year to RMB72.7 million (US$10.1 million) in Q1 2024, down from RMB106.3 million in Q1 2023 [10]. Operational Insights - The company focused on enhancing its core SaaS business by improving product quality and expanding its sales network [3]. - The teaching and learning SaaS business showed consistent progress with new project wins and diversified service offerings [4]. Cash Position - As of March 31, 2024, cash and cash equivalents, restricted cash, and term deposits totaled RMB447.2 million (US$61.9 million), down from RMB476.7 million as of December 31, 2023 [16].

BEIJING, May 30, 2024 (GLOBE NEWSWIRE) -- 17 Education & Technology Group Inc. (NASDAQ:YQ) ("17EdTech" or the "Company"), a leading education technology company in China, today announced that it will report its unaudited financial results for the first quarter ended March 31, 2024, on June 05, 2024 after the close of U.S. markets. The Company's management will hold an earnings conference call on Wednesday, June 05, 2024 at 9:00 p.m. U.S. Eastern Time (Thursday, June 06, 2024 at 9:00 a.m. Beijing time). Plea ...

BEIJING, May 30, 2024 (GLOBE NEWSWIRE) -- 17 Education & Technology Group Inc. (NASDAQ: YQ) (“17EdTech” or the “Company”), a leading education technology company in China, today announced that it will report its unaudited financial results for the first quarter ended March 31, 2024, on June 05, 2024 after the close of U.S. markets. The Company’s management will hold an earnings conference call on Wednesday, June 05, 2024 at 9:00 p.m. U.S. Eastern Time (Thursday, June 06, 2024 at 9:00 a.m. Beijing time). Ple ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F (Mark One) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) ...

Exhibit 99.1 17 Education & Technology Group Inc. Announces Fourth Quarter and Fiscal Year 2023 Unaudited Financial Results BEIJING, China, March 21, 2024 — (GLOBE NEWSWIRE) — 17 Education & Technology Group Inc. (NASDAQ: YQ) ("17EdTech" or the "Company"), a leading education technology company in China, today announced its unaudited financial results for the fourth quarter and the year ended December 31, 2023. Fourth Quarter 2023 Highlights 1 • Net revenues were RMB47.3 million (US$6.7 million), compared w ...

17 Education & Technology Group, Inc. (NASDAQ:YQ) Q4 2023 Earnings Conference Call March 20, 2024 9:00 PM ET Company Participants Lara Zhao - IR Manager Michael Chao Du - Director & CFO Conference Call Participants Operator Good evening and good morning, ladies and gentlemen, and thank you for standing by for 17EdTech's Fourth Quarter 2023 and full year earnings conference call. [Operator Instructions]. As a reminder, today's conference call is being recorded. I will now turn the meeting over to your host f ...