ATA Creativity (AACG)2025-05-16 14:00Financial Data and Key Metrics Changes - The company reported a 16% increase in net revenue and gross profit for Q1 2025, driven by portfolio training and research-based learning services [6][7] - Total operating expenses slightly decreased, contributing to improved bottom line results compared to Q1 2024 [7] - The net loss attributable to the company for Q4 2025 was RMB 13.3 million, an improvement from RMB 17.9 million in the prior year period [12] Business Line Data and Key Metrics Changes - Portfolio training services accounted for the majority of revenue, with project-based programs contributing approximately 74% of total credit hours delivered, resulting in an 11.5% growth in revenue from these programs [7] - Combined revenues from research-based learning and other educational services increased by over 28%, contributing nearly 30% of total net revenue [7] Market Data and Key Metrics Changes - Total student enrollment for Q4 2025 was 1,104, representing a 19.4% decrease from the prior year, attributed to normalized demand [13] - Credit hours delivered increased by 5.8%, driven by a 15.5% increase in project-based programs [14] Company Strategy and Development Direction - The company aims to drive organic expansion, control expenses, and improve operational efficiency in 2025 [17] - There is a focus on increasing classroom utilization and providing higher value programs by strategically allocating marketing resources [17] - The company plans to broaden its international partnership network to expand access to global resources and increase student interest in studying abroad [20] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the creative arts education market in China and expects organic growth to lead the company's long-term momentum [18] - The company anticipates total net revenues for 2025 to be between RMB 276 million to RMB 2 billion, representing a year-over-year increase of around 3% to 5% [15] Other Important Information - ACG was awarded the 2025 Forbes China Studying Abroad Leading Brand, recognizing its positive outcomes for students [9] - The company hosted a spring arts education exhibition in five key cities in China, providing opportunities for students and parents to engage with professors from prestigious institutions [10] Q&A Session Summary Question: No questions were raised during the Q&A session - The operator indicated that there were no questions at this time [22] - The company encouraged participants to reach out directly for any inquiries [23]