Core Viewpoint - YXT.com Group Holding Limited has reported a significant reduction in net losses for the year 2024, attributed to operational optimizations and a strategic shift towards AI-enabled enterprise productivity solutions, while also announcing a US$10 million share repurchase program [1][3][16]. Financial Highlights - Total revenues for 2024 were RMB331.2 million (US$45.4 million), a decrease of 21.9% from RMB424.0 million in 2023. On a pro forma basis, revenues increased by 1.0% compared to the previous year [4][5]. - Gross margin improved to 61.8% in 2024, up from 54.1% in 2023, reflecting the company's focus on large enterprise customers and cost optimization efforts [5][8]. - The net loss narrowed to RMB92.1 million (US$12.6 million) in 2024, a 59.9% reduction from RMB229.8 million in 2023 [5][12]. - The number of subscription customers decreased to 2,405 as of December 31, 2024, from 3,230 in the previous year, reflecting a strategic shift towards larger enterprise accounts [5][12]. Operational Developments - The company has successfully transitioned from digital learning to intelligent learning, expanding its offerings into talent management, which has resulted in improved efficiency and cost reductions [3]. - YXT.com has initiated a strategic rebranding to "Radnova" for its international operations and established a new entity in Singapore to facilitate global expansion [15][27]. Cost Management - Cost of revenues decreased by 34.9% to RMB126.5 million (US$17.3 million) in 2024, primarily due to the deconsolidation of CEIBS PG and operational adjustments [7]. - Sales and marketing expenses were reduced by 41.0% to RMB144.2 million (US$19.8 million), reflecting the company's efforts in optimizing human resources [9]. - Research and development expenses also saw a decrease of 34.2% to RMB116.1 million (US$15.9 million) due to similar optimization efforts [10]. Share Repurchase Program - The board of directors has authorized a share repurchase program allowing the company to repurchase up to US$10 million of its ordinary shares over a two-year period [16][17]. Balance Sheet Overview - As of December 31, 2024, the company had cash and cash equivalents totaling RMB418.2 million (US$57.3 million), down from RMB496.2 million in 2023 [18].
YXT.com Reports Full Year 2024 Unaudited Financial Results