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On November 22nd, Shangde Institution released its financial report for the third quarter of 2023: it achieved a net income of 525 million yuan in the third quarter of 2023; The net profit was 132 million yuan, with a net profit margin of 25.1%, achieving profitability for 10 consecutive quarters; Continuously reducing costs and increasing efficiency, with a year-on-year decrease of 24.5% in costs and a year-on-year decrease of 21.0% in management expenses; Through refined operations and deep cultivation of user services, 154300 new students were added, achieving a year-on-year increase of 14.3%.
According to the financial report, the research and development expenses of Suntech institutions increased by 5.3% month on month in the third quarter. Regarding this, the relevant person in charge of Shangde Institution introduced that on the one hand, the company continuously introduces innovative course systems that meet market demand, covering a variety of vocational skills and interest training fields, to meet the needs of diverse groups, and is committed to providing lifelong long-term education services for adult users. On the other hand, the company also increases research and development investment, empowers intelligent teaching with AI technology, develops adaptive systems and knowledge graphs, and achieves personalized teaching of "thousands of people and thousands of faces". At the same time, it develops refined operation systems to improve the operational efficiency of each link.
From the perspective of organizational operational effectiveness, in the third quarter of the year, Shangde Institution achieved a year-on-year decrease of 21.0% in management expenses and a year-on-year increase of 2.5 percentage points in gross profit margin, despite the growth of new students. Since the fourth quarter of 2021, the net profit margin of Suntech institutions has remained above 20%.
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