Sunlands Tech Financials
Sunlands Tech (STG) reported $288.8M in revenue for fiscal year 2025, up 5.9% from the prior fiscal year. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 8 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Sunlands has turned a once liability-heavy model into an asset-light cash producer, with balance-sheet repair driving the story.
From FY2021 to FY2025, equity rebuilt from-$158.4M to$135.2M , so the story is balance-sheet repair rather than simple revenue recovery. That repair was helped by liabilities falling$408.2M , while FY2025 capex was just$30K , which shows the business can strengthen the balance sheet without heavy reinvestment.
The striking feature is consistently high gross margin—still
The weaker counterpoint is cash conversion: FY2025 net income of
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Sunlands Tech's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Sunlands Tech has an operating margin of 18.6%, meaning the company retains $19 of operating profit per $100 of revenue. This strong profitability earns a score of 77/100, reflecting efficient cost management and pricing power. This is up from 15.0% the prior year.
Sunlands Tech's revenue grew 5.9% year-over-year to $288.8M, a solid pace of expansion. This earns a growth score of 23/100.
Sunlands Tech carries a low D/E ratio of 0.00, meaning only $0.00 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 97/100, indicating a strong balance sheet with room for future borrowing.
Sunlands Tech's current ratio of 1.21 is below the typical benchmark, resulting in a score of 29/100. However, the company holds substantial cash reserves (76% of current liabilities), which buffers actual liquidity risk. Large mature operators often run tight current ratios by design.
Sunlands Tech has a free cash flow margin of 7.3%, earning a moderate score of 60/100. The company generates positive cash flow after capital investments, but with room for improvement.
Sunlands Tech earns a strong 38.7% return on equity (ROE), meaning it generates $39 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 83/100. This is down from 56.9% the prior year.
Sunlands Tech scores 0.83, below the 1.81 distress threshold. This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
Sunlands Tech passes 7 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 3 of 4 profitability signals pass, all 2 leverage/liquidity signals pass, both operating efficiency signals pass.
For every $1 of reported earnings, Sunlands Tech generates $0.40 in operating cash flow ($21.0M OCF vs $52.3M net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.
Sunlands Tech earns $441.35 in operating income for every $1 of interest expense ($53.8M vs $122K). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.
Key Financial Metrics
Earnings & Revenue
Sunlands Tech generated $288.8M in revenue in fiscal year 2025. This represents an increase of 5.9% from the prior year.
Sunlands Tech's EBITDA was $58.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 29.2% from the prior year.
Sunlands Tech reported $52.3M in net income in fiscal year 2025. This represents an increase of 11.6% from the prior year.
Sunlands Tech earned $7.76 per diluted share (EPS) in fiscal year 2025. This represents an increase of 13.0% from the prior year.
Cash & Balance Sheet
Sunlands Tech generated $21.0M in free cash flow in fiscal year 2025, representing cash available after capex. This represents a decrease of 21.6% from the prior year.
Sunlands Tech held $82.3M in cash against $0 in long-term debt as of fiscal year 2025, with $108.6M of liabilities due within a year.
Not reported for fiscal year 2025.
Margins & Returns
Sunlands Tech's gross margin was 86.9% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 2.9 percentage points from the prior year.
Sunlands Tech's operating margin was 18.6% in fiscal year 2025, reflecting core business profitability. This is up 3.7 percentage points from the prior year.
Sunlands Tech's net profit margin was 18.1% in fiscal year 2025, showing the share of revenue converted to profit. This is up 0.9 percentage points from the prior year.
Sunlands Tech's ROE was 38.7% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 18.2 percentage points from the prior year.
Capital Allocation
Sunlands Tech invested $4.2M in research and development in fiscal year 2025. This represents an increase of 23.4% from the prior year.
Sunlands Tech spent $882K on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 41.2% from the prior year.
Sunlands Tech invested $30K in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents a decrease of 14.3% from the prior year.
STG Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $288.8M+5.9% | $272.7M-10.4% | $304.2M-9.7% | $336.8M-14.4% | $393.5M+16.5% | $337.7M+7.2% | $315.1M+9.8% | $287.1M |
| Cost of Revenue | $37.8M-13.1% | $43.5M+16.3% | $37.4M-25.9% | $50.5M-14.5% | $59.0M-0.5% | $59.4M+4.3% | $56.9M+18.5% | $48.1M |
| Gross Profit | $251.0M+9.5% | $229.2M-14.1% | $266.8M-6.8% | $286.3M-14.4% | $334.5M+20.2% | $278.4M+7.8% | $258.2M+8.0% | $239.1M |
| R&D Expenses | $4.2M+23.4% | $3.4M-27.9% | $4.8M-23.5% | $6.2M-35.5% | $9.6M-5.6% | $10.2M-30.2% | $14.6M+32.1% | $11.1M |
| SG&A Expenses | $20.6M+13.0% | $18.2M-9.8% | $20.2M-25.0% | $26.9M-17.4% | $32.6M-22.8% | $42.2M-19.1% | $52.2M-19.1% | $64.5M |
| Operating Income | $53.8M+31.9% | $40.8M-49.6% | $81.0M-9.5% | $89.4M+398.9% | $17.9M+118.0% | -$99.5M-50.6% | -$66.0M+55.9% | -$149.7M |
| Interest Expense | $122K-83.2% | $725K-32.7% | $1.1M-26.1% | $1.5M-15.0% | $1.7M-4.3% | $1.8M-12.8% | $2.1M+550.6% | $316K |
| Income Tax | $8.5M+4663.5% | $178K-95.0% | $3.5M+103.9% | $1.7M+156.5% | -$3.1M-8450.0% | -$36K-110.3% | $350K | $0 |
| Net Income | $52.3M+11.6% | $46.9M-48.1% | $90.3M-3.3% | $93.4M+171.6% | $34.4M+152.1% | -$66.0M-16.3% | -$56.7M+57.9% | -$134.8M |
| EPS (Diluted) | $7.76+13.0% | $6.87-47.5% | $13.08-4.2% | $13.65 | N/A | N/A | N/A | N/A |
STG Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $292.8M+0.7% | $290.6M-2.6% | $298.4M-9.6% | $330.0M-18.9% | $406.8M-18.6% | $499.8M-12.3% | $570.1M+4.8% | $543.8M |
| Current Assets | $131.2M+8.3% | $121.2M-16.6% | $145.3M+3.4% | $140.5M-20.5% | $176.8M-25.8% | $238.2M-18.9% | $293.6M-21.8% | $375.7M |
| Cash & Equivalents | $82.3M+18.5% | $69.5M-35.4% | $107.6M-1.5% | $109.3M+11.1% | $98.3M-15.6% | $116.6M-42.1% | $201.4M+10.9% | $181.6M |
| Total Liabilities | $157.8M-24.3% | $208.4M-19.7% | $259.6M-32.6% | $385.1M-32.0% | $566.0M-17.4% | $685.5M+1.4% | $676.1M+14.0% | $593.1M |
| Current Liabilities | $108.6M-1.1% | $109.8M-22.8% | $142.3M-33.6% | $214.3M-28.3% | $299.1M-11.1% | $336.5M+4.6% | $321.7M-4.4% | $336.6M |
| Long-Term Debt | $0-100.0% | $4.8M-67.1% | $14.7M-29.1% | $20.8M-27.2% | $28.6M+16.0% | $24.6M-11.3% | $27.7M-15.5% | $32.8M |
| Total Equity | $135.2M+64.1% | $82.4M+111.1% | $39.0M+171.9% | -$54.3M+65.7% | -$158.4M+14.7% | -$185.7M-75.1% | -$106.0M-115.0% | -$49.3M |
| Retained Earnings | -$212.5M+15.7% | -$252.1M+17.6% | -$305.8M+25.0% | -$407.7M+24.8% | -$542.3M+3.7% | -$563.2M-20.9% | -$466.1M-12.4% | -$414.5M |
Not reported in any period shown, so not listed: Inventory, Accounts Receivable, Goodwill.
STG Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $21.0M-21.6% | $26.8M+35.1% | $19.8M+1392.1% | $1.3M+102.3% | -$58.6M-102.6% | -$28.9M+62.3% | -$76.6M-391.8% | $26.3M |
| Capital Expenditures | $30K-14.3% | $35K-95.7% | $812K+72.8% | $470K-78.1% | $2.1M+12.7% | $1.9M-46.4% | $3.6M-95.3% | $75.3M |
| Free Cash Flow | $21.0M-21.6% | $26.8M+40.7% | $19.0M+2114.0% | $859K+101.4% | -$60.7M-97.0% | -$30.8M+61.6% | -$80.2M-63.5% | -$49.0M |
| Investing Cash Flow | -$1.8M+96.3% | -$49.2M-386.0% | -$10.1M-172.5% | $13.9M-74.1% | $53.8M+200.4% | -$53.5M-151.1% | $104.8M+160.7% | -$172.6M |
| Financing Cash Flow | -$6.8M+55.8% | -$15.4M-46.9% | -$10.5M-6.8% | -$9.8M-61.3% | -$6.1M+32.6% | -$9.1M+1.7% | -$9.2M-104.0% | $230.9M |
| Dividends Paid | $0 | N/A | $4.4M-6.8% | $4.7M | N/A | N/A | N/A | N/A |
| Share Buybacks | $882K-41.2% | $1.5M+124.2% | $669K-31.5% | $977K+27.9% | $764K-81.2% | $4.1M-10.4% | $4.5M-8.0% | $4.9M |
STG Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples.
| Metric | FY25 | FY24 | FY23 | FY22 | FY21 | FY20 | FY19 | FY18 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | 86.9%+2.9pp | 84.0%-3.7pp | 87.7%+2.7pp | 85.0%0.0pp | 85.0%+2.6pp | 82.4%+0.5pp | 81.9%-1.3pp | 83.3% |
| Operating Margin | 18.6%+3.7pp | 15.0%-11.6pp | 26.6%+0.1pp | 26.6%+22.0pp | 4.6%+34.0pp | -29.4%-8.5pp | -20.9%+31.2pp | -52.1% |
| Net Margin | 18.1%+0.9pp | 17.2%-12.5pp | 29.7%+2.0pp | 27.7%+19.0pp | 8.7%+28.3pp | -19.5%-1.5pp | -18.0%+29.0pp | -47.0% |
| Return on Equity | 38.7%-18.2pp | 56.9%-174.4pp | 231.3% | N/A | N/A | N/A | N/A | N/A |
| Return on Assets | 17.9%+1.7pp | 16.1%-14.1pp | 30.3%+2.0pp | 28.3%+19.8pp | 8.5%+21.7pp | -13.2%-3.3pp | -10.0%+14.8pp | -24.8% |
| Current Ratio | 1.21+0.1x | 1.10+0.1x | 1.02+0.4x | 0.66+0.1x | 0.59-0.1x | 0.71-0.2x | 0.91-0.2x | 1.12 |
| Debt-to-Equity | 0.00-0.1x | 0.06-0.3x | 0.38 | N/A | N/A | N/A | N/A | N/A |
| FCF Margin | 7.3%-2.6pp | 9.8%+3.6pp | 6.3%+6.0pp | 0.3%+15.7pp | -15.4%-6.3pp | -9.1%+16.3pp | -25.4%-8.4pp | -17.1% |
Similar Companies
Where Sunlands Tech Ranks
Frequently Asked Questions
What is Sunlands Tech's annual revenue?
Sunlands Tech (STG) reported $288.8M in total revenue for fiscal year 2025. This represents a 5.9% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Sunlands Tech's revenue growing?
Sunlands Tech (STG) revenue grew by 5.9% year-over-year, from $272.7M to $288.8M in fiscal year 2025.
Is Sunlands Tech profitable?
Yes, Sunlands Tech (STG) reported a net income of $52.3M in fiscal year 2025, with a net profit margin of 18.1%.
What is Sunlands Tech's EBITDA?
Sunlands Tech (STG) had EBITDA of $58.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Sunlands Tech have?
As of fiscal year 2025, Sunlands Tech (STG) had $82.3M in cash and equivalents against $0 in long-term debt.
What is Sunlands Tech's gross margin?
Sunlands Tech (STG) had a gross margin of 86.9% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Sunlands Tech's operating margin?
Sunlands Tech (STG) had an operating margin of 18.6% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Sunlands Tech's net profit margin?
Sunlands Tech (STG) had a net profit margin of 18.1% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Sunlands Tech's return on equity (ROE)?
Sunlands Tech (STG) has a return on equity of 38.7% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Sunlands Tech's free cash flow?
Sunlands Tech (STG) generated $21.0M in free cash flow during fiscal year 2025. This represents a -21.6% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Sunlands Tech's operating cash flow?
Sunlands Tech (STG) generated $21.0M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Sunlands Tech's total assets?
Sunlands Tech (STG) had $292.8M in total assets as of fiscal year 2025, including both current and long-term assets.
What are Sunlands Tech's capital expenditures?
Sunlands Tech (STG) invested $30K in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
How much does Sunlands Tech spend on research and development?
Sunlands Tech (STG) invested $4.2M in research and development during fiscal year 2025.
What is Sunlands Tech's current ratio?
Sunlands Tech (STG) had a current ratio of 1.21 as of fiscal year 2025, which is considered adequate.
What is Sunlands Tech's debt-to-equity ratio?
Sunlands Tech (STG) had a debt-to-equity ratio of 0.00 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Sunlands Tech's return on assets (ROA)?
Sunlands Tech (STG) had a return on assets of 17.9% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Sunlands Tech's Altman Z-Score?
Sunlands Tech (STG) has an Altman Z-Score of 0.83, placing it in the Distress Zone (elevated bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is Sunlands Tech's Piotroski F-Score?
Sunlands Tech (STG) has a Piotroski F-Score of 7 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Sunlands Tech's earnings high quality?
Sunlands Tech (STG) has an earnings quality ratio of 0.40x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Sunlands Tech cover its interest payments?
Sunlands Tech (STG) has an interest coverage ratio of 441.35x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Sunlands Tech?
Sunlands Tech (STG) scores 62 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.