Liulishuo (NYSE: LAIX), an AI-driven educational technology company focusing on English learning, recently announces its second-quarter 2020 unaudited financial results ended June 30, 2020. The net revenues for Q2 2020 were RMB269.4 million (US$38.1 million), an 18.0% increase from RMB228.3 million for the previous quarter, and a 2.5% decrease year-over-year.
The net loss for Q2 2020 was RMB92.5 million (US$13.1 million), decreased by 53% for the previous quarter, mainly due to the upgrade of product integration, improvement of operational efficiency, strict control of advertising costs, and optimization of customer acquisition costs.
Approximately 0.5 million users paid for the company’s courses and services for Q2 2020, a 44% decrease from both the previous quarter and the same period last year, which is the lowest in its recorded history. And the total cumulative registered users were 185.6 million as of June 30, 2020, an increase of 33.7% compared to the same period last year.
For Q3 2020, the company expects the net revenues to be between RMB230 million to RMB250 million, which would represent a decrease of approximately 12.2% to 4.6% year-over-year. “Looking ahead, we will continue to focus on product innovation and further refinement of our internal operations, together as our efforts to achieve healthy and sustainable growth in the long term,” concluded Wang Yi, Chairman and CEO of Liulishuo.