51Talk Q2 revenue up 86.1% YoY to $20.4 mln, gross billings rise 79.7% YoY.

• 51Talk Q2 gross billings up 79.7% YoY to $28.5 million • Net revenues increase 86.1% YoY to $20.4 million • Quarterly active students rise 67.8% YoY to 91,300 • Gross margin at 74% • Revenue growth driven by digital data expansion

Singapore, September 2, 2025 - 51Talk Online Education Group (NYSE American: COE), a global leader in online English education, has released its unaudited financial results for the second quarter ended June 30, 2025. The company reported significant growth across key financial metrics, indicating strong demand and disciplined execution.

Gross Billings and Net Revenues

Gross billings for the second quarter of 2025 amounted to US$28.5 million, representing a 79.7% year-over-year (YoY) increase from US$15.9 million in the same period last year. This growth was driven by a 78.1% increase in net revenues to US$20.4 million, up from US$11.0 million in the second quarter of 2024.

Active Students and Gross Margin

The number of active students with attended lesson consumption rose to approximately 91,300, a 67.8% YoY increase from 54,400 in the second quarter of 2024. The gross margin for the period was 74%, down slightly from 78.1% in the second quarter of 2024, primarily due to increased operating expenses.

Operating Expenses and Losses

Total operating expenses for the second quarter of 2025 were US$17.9 million, a 63.5% YoY increase from US$11.0 million. This increase was primarily driven by a 74.8% YoY increase in sales and marketing expenses to US$12.8 million. Despite the increase in operating expenses, the company reported a net loss of US$3.0 million for the period, compared to a net loss of US$1.2 million in the same quarter last year.

Outlook

For the third quarter of 2025, 51Talk expects net gross billings to be between US$36.5 million and US$37.5 million, representing a sequential growth of 28.1% to 31.6% and an increase of approximately 84.6% to 89.7% from the same quarter last year.

Conclusion

The strong performance in the second quarter of 2025 underscores 51Talk's ability to capitalize on digital data expansion and drive revenue growth. The company's commitment to enhancing user experience and service quality, as well as its focus on embedding AI across its operations, positions it well for future growth.

References

[1] https://www.marketscreener.com/news/51talk-online-education-group-announces-second-quarter-2025-results-ce7d59dade8eff21