51Talk Online Education Group (COE) 2025 Q2 法說會逐字稿

Hello, ladies and gentlemen. Thank you for standing by for 51Talk Online Education Group's second-quarter 2025 earnings conference call. (Operator Instructions) Today's conference call is being recorded.

女士們、先生們，大家好。感謝您參加51Talk線上教育集團2025年第二季財報電話會議。（操作員指示）今天的電話會議正在錄音。

I will now turn the call over to your host, Mr. David Chung, Investor Relations for the company. Please go ahead, David.

現在我將電話轉給主持人、公司投資人關係部 David Chung 先生。請繼續，大衛。

Hello, everyone, and welcome to the second-quarter 2025 earnings conference call of 51Talk. The company's results were issued via Newswire Services earlier today and are posted online. You can download the earnings press release and sign up for the company's distribution list by visiting ir.51talk.com. Mr. Jack Huang, our CEO; and Ms. Cindy Tang, our CFO, will begin with some prepared remarks.

大家好，歡迎參加51Talk2025年第二季財報電話會議。該公司的業績於今天稍早透過新聞專線發布並在網路上公佈。您可以透過造訪ir.51talk.com下載財報新聞稿並訂閱公司通訊錄。我們的執行長黃傑克先生和財務長唐欣女士將首先發表演說。

Following the prepared remarks, there will be a Q&A session. Before we continue, please note that the discussion will contain forward-looking statements made under the safe harbor provisions of the US Private Securities Litigation Reform Act of 1995.

準備好的發言之後，將有一個問答環節。在我們繼續之前，請注意，討論將包含根據 1995 年美國私人證券訴訟改革法案的安全港條款做出的前瞻性陳述。

Forward-looking statements involve known risks and uncertainties. As such, the company's results may be materially different from the views expressed today. Further information regarding this and other risks and uncertainties is included in the company's Form 20-F and other public filings as filed with the US Securities and Exchange Commission. The company does not assume any obligation to update any forward-looking statements, except as required under the applicable law.

前瞻性陳述涉及已知風險和不確定性。因此，該公司的業績可能與今天表達的觀點有重大差異。有關此風險和其他風險及不確定性的更多資訊包含在公司向美國證券交易委員會提交的 20-F 表格和其他公開文件中。除適用法律要求外，本公司不承擔更新任何前瞻性聲明的義務。

Please also note that earnings press release and this conference call include discussion of unaudited GAAP financial information as well as unaudited non-GAAP financial measures. 51Talk's press release contains a reconciliation of the unaudited non-GAAP measures to the unaudited most directly comparable GAAP measures. I will now turn the call over to our CEO, Jack Huang. Jack, please go ahead.

另請注意，收益新聞稿和本次電話會議包括未經審計的 GAAP 財務資訊以及未經審計的非 GAAP 財務指標的討論。51Talk 的新聞稿包含未經審計的非 GAAP 指標與未經審計的最直接可比較 GAAP 指標的對帳。現在我將電話轉給我們的執行長 Jack Huang。傑克，請繼續。

Thank you, David. Hello, everyone. Thank you very much for joining our conference call today. Q2 2025 has been a strong quarter for us. The gross billing exceeded our guidance, reflecting healthy demand and disciplined execution.

謝謝你，大衛。大家好。非常感謝您今天參加我們的電話會議。2025 年第二季對我們來說是一個強勁的季度。總營業額超出了我們的預期，反映出健康的需求和嚴格的執行。

We expect this positive momentum to carry into the second half of 2025. Our third quarter guidance reflects our confidence in the company's trajectory. We have also deepened our investments in enhancing user experience and service quality. We believe these initiatives will strengthen our competitive position and create durable long-term value for our shareholders.

我們預計這一積極勢頭將持續到 2025 年下半年。我們對第三季的指引反映了我們對公司發展軌跡的信心。我們也加大了對提升用戶體驗和服務品質的投資。我們相信這些措施將增強我們的競爭地位並為我們的股東創造持久的長期價值。

AI remains integral to our strategy and operations with applications spanning across the company. We remain steadfast in our commitment to developing robust infrastructure and systems necessary to embed AI across our products and processes with the objective of delivering an exceptional learning experience to our students at scale.

人工智慧仍然是我們策略和營運不可或缺的一部分，其應用範圍遍布整個公司。我們堅定不移地致力於開發必要的強大基礎設施和系統，將人工智慧嵌入我們的產品和流程中，目的是為我們的學生提供大規模卓越的學習體驗。

With that, I will now turn the call over to Cindy, our CFO.

說完這些，我現在將電話轉給我們的財務長辛蒂 (Cindy)。

Thank you, Jack. Now let me walk you through our second quarter financial details. Second quarter net revenues were USD20.4 million, a 86.1% increase from the same quarter last year largely driven by the increase of active students with attended lesson consumption.

謝謝你，傑克。現在讓我向您介紹我們第二季的財務細節。第二季淨收入為2,040萬美元，較去年同期成長86.1%，這主要得益於參加課程消費的活躍學生數量的增加。

Gross margin for the second quarter was 74.6%. Gross billings grew by 79.7% from the same quarter last year to USD28.5 million. Q2 operating expenses were USD17.9 million, an increase of 53.5% compared to the same quarter last year.

第二季毛利率為74.6%。總營業收入較去年同期成長 79.7%，達到 2,850 萬美元。第二季營業費用為1,790萬美元，較去年同期成長53.5%。

Specifically, this has been driven by Q2 sales and marketable expenses of USD12.8 million, a 74.8% increase from the same quarter last year due to the rise in marketing and branding expenses resulting from marketing and branding activities as well as higher sales personnel costs related to increases in the number of sales and marketing personnel. Q2 product development expenses were USD1.2 million, a 45.5% increase from the same quarter last year.

具體而言，這是由於第二季度銷售和可銷售費用為 1,280 萬美元，比去年同期增長 74.8%，這是由於營銷和品牌活動導致的營銷和品牌費用增加，以及與銷售和營銷人員數量增加相關的銷售人員成本增加。Q2產品開發費用為120萬美元，較去年同期成長45.5%。

Finally, Q2 general and administrative expenses was USD3.9 million, a 39.1% increase from the same quarter last year. Overall, Q2 operating loss was USD2.7 million, while net loss attributable to ordinary shareholders was USD3 million, a 12.7% and 144.7% increase from the same quarter last year, respectively. Q2 GAAP and non-GAAP earning per ADS were negative USD0.52 and USD0.46, respectively. The company's total cash, cash equivalents and time deposits were USD30.9 million at the end of the second quarter. Advances from students were USD56.4 million at the end of the second quarter.

最後，第二季一般及行政開支為390萬美元，較去年同期成長39.1%。整體來看，第二季營業虧損為270萬美元，歸屬於普通股股東的淨虧損為300萬美元，分別較去年同期成長12.7%及144.7%。第二季 GAAP 和非 GAAP 每股 ADS 收益分別為負 0.52 美元和 0.46 美元。截至第二季末，該公司的現金、現金等價物及定期存款總額為3,090萬美元。第二季末，學生預付款為 5,640 萬美元。

Looking forward to the third quarter of 2025, we currently expect the net gross billings to be between USD36.5 million and USD37.5 million. The above outlook is based on our current market conditions and reflect the company's current and preliminary estimates of the market and operating conditions and customer demand, which are all subject to change. This concludes our prepared remarks.

展望 2025 年第三季度，我們目前預計淨總收入將在 3,650 萬美元至 3,750 萬美元之間。上述展望是基於我們當前的市場狀況，反映了公司對市場和經營狀況以及客戶需求的當前和初步估計，這些都可能發生變化。我們的準備好的演講到此結束。

We will now open the line for questions. Operator, please go ahead.

我們現在開放問答熱線。接線員，請繼續。

(Operator Instructions)

（操作員指示）

The first question today comes from [Toby Lu] a private investor. Please go ahead.

今天的第一個問題來自私人投資者[Toby Lu]。請繼續。

Dear management team, congratulations for the good results. Yeah. So I have two questions. The first question is I noticed that we have changed the accounting firm with the Ernst & Young. So could you please describe the reasons that -- why we changed it from Marcum to Ernst & Young. And yeah, so what was the consideration behind that. Thank you.

尊敬的管理團隊，恭喜你們取得的良好成績。是的。我有兩個問題。第一個問題是，我注意到我們已經更換了會計師事務所，也就是安永。那麼，您能否描述一下我們將公司名稱從 Marcum 改為安永的原因？是的，那麼背後的考量是什麼呢？謝謝。

Okay. Thank you very much. This is your first question, right?

好的。非常感謝。這是您的第一個問題，對嗎？

Yeah.

是的。

Okay. So first of all, we really want to express our appreciation to our auditor, Marcum. We believe they have their service quality, and they are very professional in terms of the accounting. But as you know, a lot of investors they ask -- they have -- a lot of them have the mandate about the auditor, especially some of them have the mandate about the Big 4. So that's -- I think that is the key reason that we choose E&Y for the auditor.

好的。因此，首先，我們真的要向我們的審計師 Marcum 表示感謝。我們相信他們的服務品質很好，而且在會計方面非常專業。但正如你所知，很多投資者都要求——他們有——他們中的許多人都有關於審計師的授權，特別是他們中的一些人有關於四大會計師事務所的授權。所以——我認為這是我們選擇安永作為審計師的關鍵原因。

(multiple speakers) Yeah. So basically, this means that the change of the auditing firm is a way for us to enlarge our investor base so that some investors may be after we change the auditing firm, we can fill their investment criteria, right?

（多位發言者）是的。所以基本上，這意味著更換審計公司是我們擴大投資者基礎的一種方式，以便在我們更換審計公司後，一些投資者可以滿足他們的投資標準，對嗎？

Yes. We think with the Big 4, after we changed the auditor to the Big 4 to E&Y, some of the investors -- some of the potential investors, they can buy the stock of COE.

是的。我們認為，在我們將審計師從四大改為安永之後，一些投資者 - 一些潛在投資者可以購買 COE 的股票。

Yeah, got it. Yeah. And my second question is also related to investors. So I've noticed that actually, our stock is trading with a relatively low liquidity, and the beta spread is -- are usually quite large compared to other stocks to have the similar market cap. So is there any intention for us to increase the liquidity, for example, like conducting some stock split or maybe other incentives to increase our turnover rates or maybe to lower the beta spread. Yeah, thank you.

是的，明白了。是的。我的第二個問題也與投資人有關。因此我注意到，實際上，我們的股票交易流動性相對較低，而且與其他具有相似市值的股票相比，貝塔係數利差通常相當大。那麼，我們是否有意增加流動性，例如進行一些股票分割或其他激勵措施來提高我們的周轉率或降低貝塔係數利差。是的，謝謝。

Thank you for your question. Yes, you are right. Our liquidity is low. But for now, we have -- we don't have a new plan to do any [stock] risks or other alternatives to increase it yet because now we are actually focusing on doing our business to improve our operations, which we believe will provide more sustainable and fundamental value to our investors. But in the future, we will also consider all these alternatives. But now we don't have a recent plan yet.

感謝您的提問。是的你是對的。我們的流動性很低。但就目前而言，我們還沒有新的計劃來承擔任何[股票]風險或其他增加風險的替代方案，因為現在我們實際上專注於開展業務以改善運營，我們相信這將為我們的投資者提供更可持續和根本的價值。但在未來，我們也會考慮所有這些替代方案。但現在我們還沒有近期的計畫。

Okay. Yeah, got it. Thank you for answering my question.

好的。是的，明白了。謝謝你回答我的問題。

(Operator Instructions)

（操作員指示）

There are no further questions at this time. I'd like to hand the conference back over to the company for any closing remarks.

目前沒有其他問題。我想將會議交還給公司，以便發表結束語。

Thank you once again for joining us today. If you have further questions, please contact 51Talk's Investor Relations through the contact information provided on our website.

再次感謝您今天加入我們。如果您還有其他問題，請透過我們網站上提供的聯絡資訊聯絡 51Talk 的投資者關係部門。

This concludes the conference call. You may now disconnect your lines. Thank you.

電話會議到此結束。現在您可以斷開線路了。謝謝。