Zhihu's revenue in the first quarter increased by 33.8% year-on-year to 994 million, with monthly active users exceeding 100 million

On May 24th, Zhihu (NYSE: ZH; HKEx: 2390) released its unaudited quarterly financial results as of March 31, 2023. In terms of finance, Zhihu's total revenue in the first quarter was 994 million yuan (RMB, the same below), a year-on-year increase of 33

On May 24th, Zhihu (NYSE: ZH; HKEx: 2390) released its unaudited quarterly financial results as of March 31, 2023. In terms of finance, Zhihu's total revenue in the first quarter was 994 million yuan (RMB, the same below), a year-on-year increase of 33.8%; In the first quarter of 2023, the net loss was 179 million yuan, a year-on-year decrease of 70.9%; The gross profit margin has increased from 45.1% in the same period last year to 51.5%. In addition, in the first quarter of 2023, Zhihu's operating cash flow reached 59.9 million yuan for the first time since its IPO.

At the operational level, the average monthly subscription membership of Zhihu in the first quarter reached 14.9 million, a year-on-year increase of 116%; The average monthly active users (MAUs) reached 102 million, with over 110 million active users in March.

At the business level, the revenue of Zhihu paid members in the first quarter reached 455 million yuan, achieving a year-on-year growth of 105.2%. The revenue from marketing services is 392 million yuan. The income from vocational education exceeded 100 million yuan and reached 107 million yuan, a year-on-year increase of 170.6%. The proportion of C-end revenue composed of paid members, education, and other components exceeded half for the first time, reaching 56.5%.

Founder of Zhihu Chairman and CEO Zhou Yuan stated: We are pleased to announce that the company's performance in the first quarter of 2023 was strong, with revenue continuing to grow while losses continued to narrow significantly. Thanks to a more diversified content format and rich consumption scenarios, our average monthly active users resumed growth in this quarter, with over 110 million active users in March. We further extend our service coverage to users outside of Zhihu community and deepen our service pricing in the industry chain Value, the company's paid member revenue reached a historic high this quarter, and the revenue from vocational training business continued to maintain rapid growth. Our outstanding performance confirms our continuous innovation in community content development and the integration and application of cutting-edge artificial intelligence technology