Youdao Q1 financial report: operating profit of 104 million exceeded market expectations, setting a record high in the first quarter
NetEase Youdao released its unaudited financial report for the first quarter of 2025. The report shows that in the first quarter of 2025, Youdao achieved net income of 1.3 billion yuan and operating profit of 104 million yuan, a record high in the first quarter, a year-on-year increase of 247.7%; net operating cash outflow narrowed by 34.7% year-on-year, and financial efficiency improved significantly. In the first quarter of 2025, Youdao continued to promote the in-depth application of AI technology in the field of learning services, and promoted the intelligent upgrade of products based on the "Zi Yue" big model. Learning services generated net revenue of RMB 602 million in the first quarter. In addition, Youdao's AI subscription service also achieved strong growth, with sales of nearly 70 million yuan in the first quarter, an increase of more than 40% year-on-year.