GOTU (GSX) Revenue Increases by 237% in First Financials after Name Change

On April 26 EST, GOTU (formerly known as GSX) released its audited performance report for 2020, showing annual revenue at CNY 7.125 billion.

The net loss was CNY 1.39 billion, compared with a profit of CNY 227 million in 2019.

The operating cash flow of GOTU continued to be positive, reaching CNY 603 million.

The regular-price customers improved by 168.4% to 5.87 million.

K12 fee-paying person-time surged 177.3% to 5.42 million, and the revenue of K12 significantly rose 265.5% to CNY 6.23 billion, accounting for 87.54% of the company's annual revenue.

Adult business income was CNY 887 million, up 117.3% year on year; the number of paying customers for regular courses reached 442,000 at a 93.0% increase.

In 2020, GOTU also increased investment in R&D by 246.1% to CNY 735 million.

GOTU also announced its new science and technology strategy, including establishing a research institute, redefining the classroom, and introducing 5G, AR, VR and brain science.

This annual report was issued by Deloitte with effective internal control and direct, unqualified assessment.