On April 26th, China-based online education company GSX which changed its name to Gaotu filed with the U.S. Securities and Exchange Commission its annual report on Form 20-F for the fiscal year ended December 31, 2020.
According to GSX’s annual report data of effective internal control and standard unqualified opinions issued by the audit agency Deloitte, for the fiscal year 2020, the company’s total revenues of the fiscal year 2020 were RMB7.125 billion, an increase of 236.9% over the same period last year. The net loss was RMB1.39 billion, compared the to net income of RMB227 million in the fiscal year 2019.
The report shows that GSX’s total paid course enrollments increased from 552 thousand in 2018 to 2,187 thousand in 2019 and further increased to 5,871 thousand in 2020.
Among them, K-12 courses covering all primary and secondary grades contributed 80.7% and 87.5%, respectively, of our total revenues in 2019 and 2020.
Adult courses covering foreign language, professional, and admission paid course enrollments increased by 93.0% from 229 thousand in 2019 to 442 thousand in 2020, becoming the second growing point of GSX’s business.
Plus, GSX has achieved positive cash flow from operating activities in the fiscal year 2020, which was RMB603 million. As of December 31, 2020, GSX’s cash and cash equivalents, short-term investments, and long-term investments were totaled RMB8.22 billion.
On April 26th, GSX also announced that it will change its ticker symbol on the New York Stock Exchange from “GSX” to “GOTU”. Trading under the new ticker symbol will begin on May 6th, 2021.