51Talk Online Education Group's stock plummeted 6.14% during intraday trading on Friday, as investors reacted to the company's first-quarter 2026 financial results.

The online education platform reported strong revenue growth of 70.9% year-over-year to $31.2 million and gross billings growth of 51.9% to $33.3 million. However, the company continued to report losses, with an operating loss of $1.4 million and a net loss attributable to ordinary shareholders of $2.3 million. The net loss per American Depositary Share (ADS) widened to $0.39 from $0.29 in the same quarter last year.

While active student count increased 63.9% to approximately 132,900, gross margin declined to 73.7% from 76.8% a year ago. The company's non-GAAP net loss per ADS also increased to $0.30 from $0.24 last year, indicating ongoing profitability challenges despite top-line growth. For the second quarter, 51Talk expects net gross billings between $36.0 million and $38.0 million, representing sequential growth of 8.1% to 14.1%.