Sunlands Technology Group announced its unaudited financial results for the second quarter ended June 30, 2025, with net revenues reaching RMB539.0 million. This marks a 9.5% increase year-over-year from RMB492.2 million in Q2 2024, driven by resilient learner demand and expanded course offerings.
Net income for the quarter surged to RMB126.6 million, representing a 54.0% increase from RMB82.3 million in the same period last year. The net income margin expanded to 23.5%, reflecting structural cost optimization, improved gross margin, and greater operating leverage. The company also reported its eighth consecutive quarter of positive operating cash flow.
Interest-based courses now account for 77.6% of total revenues, underscoring the success of the company's strategic shift. For the third quarter of 2025, Sunlands expects net revenues to be between RMB500 million and RMB520 million, which would represent a year-over-year increase of 1.8% to 5.8%.
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