Core Insights - The company, Haixue.com, is a leading player in the online vocational training sector in China, having achieved significant growth since its establishment in 2012, and is set to become the fourth largest online vocational training service provider in China by 2024 [1] - Despite its market position, the company faces challenges including heavy reliance on marketing, frequent disputes, and ongoing losses [1] Marketing and Operational Structure - A significant portion of the workforce, approximately 80%, is dedicated to sales and marketing, with only 10.6% being instructors and 4.5% in research and development [2][3] - The company has incurred substantial marketing expenses, with figures for 2022 to 2025 showing costs of 285 million, 315 million, 330 million, and 147 million yuan, respectively, which represent 71.3%, 66.8%, 64.7%, and 63.4% of revenue during those periods [3] Consumer Complaints and Legal Issues - The company has been associated with negative consumer feedback, including allegations of misleading sales practices and difficulties in obtaining refunds, with numerous complaints reported on social media and consumer platforms [4][5] - Many consumers have claimed they were misled into paying for courses under false pretenses, leading to challenges in obtaining refunds due to stringent conditions outlined in service agreements [6] Financial Performance - Despite high revenue growth, with figures of 400 million, 472 million, 511 million, and 232 million yuan for the years 2022 to 2025, the company has not achieved profitability, reporting losses of 186 million, 175 million, 90.69 million, and 158 million yuan in the same periods [7] - The company's high gross margins, which were 78.6%, 81.1%, 81.6%, and 85.8% respectively, are overshadowed by significant marketing expenditures that erode profit margins [7][8] - Employee costs have also risen in tandem with revenue, with figures reaching 171 million, 192 million, 213 million, and 92 million yuan, representing 60% to 64.5% of marketing expenses during the same periods [8]

Core Insights - The company, Haixue.com, is a leading player in the online vocational training sector in China, having achieved significant growth since its establishment in 2012, and is set to become the fourth largest online vocational training service provider in China by 2024 [1] - Despite its market position, the company faces challenges including heavy reliance on marketing, frequent disputes, and ongoing losses [1] Group 1: Business Model and Marketing Strategy - Haixue.com has served approximately 4.3 million paying users and over 130 enterprises and institutions by utilizing precise customer acquisition strategies on major e-commerce and social media platforms [2] - The company employs a large marketing team, with 80% of its 1,258 employees dedicated to sales and marketing, while only 10.6% are instructors [2][3] - Marketing expenses have been substantial, with figures of 285 million, 315 million, 330 million, and 147 million yuan for the years 2022 to 2025, representing 71.3%, 66.8%, 64.7%, and 63.4% of revenue respectively [3] Group 2: Consumer Complaints and Legal Issues - Haixue.com has been associated with negative labels such as "false promises" and "difficulties in refunds," with numerous consumer complaints regarding misleading sales practices and unclear refund conditions [4][5] - In 2023, there were 27 complaints on the Sichuan government platform regarding refund issues, with many consumers claiming they were misled into paying fees [5] Group 3: Financial Performance and Challenges - The company has shown revenue growth, with figures of 400 million, 472 million, 511 million, and 232 million yuan for the years 2022 to 2025, alongside high gross margins of 78.6%, 81.1%, 81.6%, and 85.8% [6] - Despite revenue growth, Haixue.com has not achieved profitability, reporting losses of 186 million, 175 million, 90.69 million, and 158 million yuan for the same periods [6][7] - Employee costs have also risen, with figures of 171 million, 192 million, 213 million, and 92 million yuan, constituting 60% to 64.5% of sales and marketing expenses [7] Group 4: Future Outlook - The company's future profitability is contingent on various factors, including expansion, competition, customer preferences, and regulatory environment, indicating potential for continued losses if costs cannot be controlled [8]

Core Viewpoint - The article highlights the challenges faced by Haixue.com, a leading player in the online vocational training sector in China, as it prepares for its IPO in Hong Kong. Despite its strong market position, the company is grappling with high marketing dependency, frequent disputes, and ongoing losses [1]. Group 1: Company Overview - Established in 2012, Haixue.com has become the fourth largest online vocational training service provider in China by 2024, and it is the largest provider in the online construction vocational training sector [1]. - As of mid-2025, Haixue.com has served approximately 4.3 million paying users and over 130 enterprises and institutions [3]. Group 2: Marketing Strategy - The company employs a significant number of marketing personnel, with 80% of its 1,258 full-time employees dedicated to sales and marketing, while only 10.6% are instructors [2][3]. - Marketing expenses have been substantial, with figures for 2022 to 2025 showing costs of 285 million, 315 million, 330 million, and 147 million yuan, respectively, accounting for 71.3%, 66.8%, 64.7%, and 63.4% of revenue during those periods [4]. Group 3: Consumer Complaints - Haixue.com has faced numerous consumer complaints regarding misleading sales practices and difficulties in obtaining refunds, with reports of consumers being misled into paying for expensive courses under false pretenses [5][6]. - In 2023, there were 27 complaints on a consumer platform in Sichuan regarding refund issues, with many consumers claiming they were induced to pay without proper qualifications [7][8]. Group 4: Financial Performance - Despite high revenue growth, Haixue.com has not achieved profitability, reporting losses of 186 million, 175 million, and 90.69 million yuan from 2022 to 2024, with a continued loss of 158 million yuan in the first half of 2025 [9][10]. - The company’s revenue for 2022, 2023, 2024, and the first half of 2025 was 400 million, 472 million, 511 million, and 232 million yuan, respectively, with gross margins of 78.6%, 81.1%, 81.6%, and 85.8% [10][11].

Core Viewpoint - The company, Haixue.com, is a leading player in the online vocational training sector in China, facing significant challenges including high marketing dependency, frequent disputes, and ongoing losses despite its market position and revenue growth [1][6]. Group 1: Company Overview - Established in 2012, Haixue.com has become the fourth largest online vocational training service provider in China by 2024, and the largest in online construction vocational training [1]. - The company has a strong shareholder base, including Zhengxin Valley Capital and TAL Education Group [1]. Group 2: Marketing Strategy - Approximately 80% of Haixue.com's employees are in sales and marketing, with only 10.6% being instructors and 4.5% in research and development [2]. - The company employs a strategy of acquiring new users through targeted marketing on e-commerce and social media platforms, offering free introductory materials to convert users into paying customers [2][3]. - Marketing expenses have been substantial, with figures of 285 million, 315 million, 330 million, and 147 million yuan for the years 2022 to 2025, representing 71.3%, 66.8%, 64.7%, and 63.4% of revenue respectively [3]. Group 3: Consumer Complaints - Haixue.com has faced numerous consumer complaints regarding misleading sales practices and difficulties in obtaining refunds, with many users feeling misled by promises of guaranteed exam success [4][5]. - In 2023, there were 27 complaints on the Sichuan government platform regarding refund issues, highlighting the challenges consumers face in navigating the company's refund policies [5]. Group 4: Financial Performance - Despite high revenue growth, Haixue.com has not achieved profitability, reporting losses of 186 million, 175 million, 90.69 million, and 158 million yuan for the years 2022 to 2025 [6][7]. - Revenue figures for the same period were 400 million, 472 million, 511 million, and 232 million yuan, with gross margins remaining high at 78.6%, 81.1%, 81.6%, and 85.8% [6]. - Employee costs have also risen significantly, accounting for 60% to 64.5% of marketing expenses during the same period, indicating a direct correlation between revenue growth and increased staffing costs [7].