17 Education & Technology Reports Loss of -$0.06 EPS on $16.94M Revenue
December 7, 2023
🌧️Trending News
17 Education & Technology ($NASDAQ:YQ), a publicly traded company in the education and technology sector, recently reported a GAAP earnings per share (EPS) of -$0.06 and a revenue of $16.94 million. The company provides educational materials and technology solutions to customers both in the United States and globally, offering online courses, web-based software services, and educational resources. 17 Education & Technology has been investing heavily in research and development, making it one of the most innovative companies in the sector. In recent years, the company has released cutting-edge products such as an interactive online learning platform and a suite of cloud-based software solutions. 17 Education & Technology is committed to advancing the quality of education through technology, and its efforts are evident in its continued success. Despite this focus on research and development, 17 Education & Technology has reported a loss of -$0.06 EPS on its $16.94 million revenue.
However, the company expects to return to profitability soon as its investments in R&D continue to bear fruit. With the current focus on technology’s role in education, 17 Education & Technology is well-positioned to capitalize on the growth of the sector in the coming years.
Earnings
17 EDUCATION & TECHNOLOGY recently reported their earnings for FY2023 Q2 as of June 30 2021 and the results were not what investors were expecting. With a total revenue of 670.89M CNY and a net income loss of 266.74M CNY, the company has seen a 402.6% increase in total revenue since the same quarter in the previous year, however this is still a decrease on the total revenue of 69.25M CNY 3 years ago. This has caused a drastic drop in earnings per share of -$0.06 for the company.
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for YQ. More…
| Total Revenues | Net Income | Net Margin |
| 242.65 | -267.14 | -110.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for YQ. More…
| Operations | Investing | Financing |
| -463.93 | -8.93 | -33.86 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for YQ. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 841.81 | 189.71 | 13.4 |
Key Ratios Snapshot
Some of the financial key ratios for YQ are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 9.3% | – | -114.0% |
| FCF Margin | ROE | ROA |
| -192.3% | -25.7% | -20.5% |
Share Price
This resulted in the company’s stock opening at $0.6 and closing at $0.5, representing a 3.4% decrease in stock price from its last close at 0.6. This news had a particularly negative impact on the stock, with investors concerned about the company’s financial outlook going forward. Despite this loss, 17 EDUCATION & TECHNOLOGY will continue to strive to provide innovative educational solutions and technology for its customers and will look to build upon the success it has already achieved. Live Quote…
Analysis
After conducting an analysis of the financials of 17 EDUCATION & TECHNOLOGY, GoodWhale has concluded that the company is strong in asset and weak in dividend, growth, and profitability. This suggests that it is classified as an ‘elephant’, meaning that it is rich in assets after deducting off liabilities. We think that investors who are looking for a stable long-term investment and are comfortable with moderate returns may be interested in 17 EDUCATION & TECHNOLOGY. Although it has an intermediate health score of 4/10 with regard to its cashflows and debt, the company might be able to safely ride out any crisis without the risk of bankruptcy. More…
Peers
The competition between 17 Education & Technology Group Inc and its competitors, Jiangsu Chuanzhiboke Education Technology Co Ltd, Zovio Inc, and Gaotu Techedu Inc, has been fierce in recent years. These companies have all sought to capitalize on the rapidly growing demand in educational technology, and each one has its own unique approach to the market. With competition this tight, each company must find ways to set itself apart from its peers in order to remain competitive.
– Jiangsu Chuanzhiboke Education Technology Co Ltd ($SZSE:003032)
Jiangsu Chuanzhiboke Education Technology Co Ltd is a Chinese educational technology company that provides high quality online learning services. It currently has a market cap of 6.72 billion dollars as of 2023, reflecting the company’s immense growth over the past few years. Additionally, the company has a Return on Equity of 10.13%, indicating that investors are confident in its financial performance and outlook. By leveraging cutting-edge technology and offering a comprehensive suite of educational services, Jiangsu Chuanzhiboke Education Technology Co Ltd has become a leading provider in its field.
– Zovio Inc ($OTCPK:ZVOI)
Zovio Inc is a technology-enabled services provider that helps students, employers, and higher education institutions achieve success through technology, analytics, and service. With a market cap of 51.33k as of 2023, the company is valued at a relatively low price due to its lack of profitability and a negative Return on Equity (-635.53%). This suggests that the company has not been able to generate a return on its equity investments and is unable to attract new investors. Although Zovio Inc may have potential in its services, it will need to increase its profitability in order to increase its market cap and attract new investors.
– Gaotu Techedu Inc ($NYSE:GOTU)
Gaotu Techedu Inc is an online education company based in China that provides K-12 tutoring services, self-learning tutorials, and other educational resources. As of 2023, the company has a market cap of 954.4M, which is a measure of its total market worth. The return on equity for the company is -0.95%, which reflects its ability to generate profits from its investments. Gaotu Techedu Inc has been a successful player in the growing online education market in China and continues to expand its offerings and reach.
Summary
17 Education & Technology’s latest financial performance was not encouraging, with a GAAP EPS of -$0.06 and revenue of $16.94M. This negative news was reflected in the stock price, which dropped after the report was released. Investors should take note of this and consider the potential risks when making decisions on 17 Education & Technology. Investors should consider reviewing the company’s competitors, its financials, and recent market trends before investing in the company.
Additionally, investors should also consider the company’s future prospects and whether the current stock price is a good buying opportunity or if the stock is likely to continue to decline.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
