香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完整性亦不發表任 何聲明，並明確表示，概不對因本公告全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 China Vocational Education Holdings Limited 中國職業教育控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：1756） 截至2023年8月31日止年度之年度業績公告 摘要 於2023年 於2022年 百分比 8月31日 8月31日 變動 變動 學校數目 3 3 – – 就讀學生人數 52,740 47,131 5,609 11.9% 截至2023年 截至2022年 8月31日 8月31日 百分比 止年度 止年度 變動 變動 （人民幣千元）（人民幣千元）（人民幣千元） 收入 1,083,304 907,762 175,542 19.3% 毛利 624,604 482,151 142,453 29.5% 年內利潤 393,047 259,784 133,263 51.3% 經調整純利(1) 405,132 263,838 141,294 53.6% ...

Revenue and Income - Revenue for the six months ended February 28, 2023, was RMB 548,044,000, an increase of 19.3% from RMB 459,465,000 for the same period in 2022[5]. - Tuition fees accounted for RMB 509,476,000, up from RMB 423,307,000, representing a growth of 20.3% year-over-year[5]. - Other income for the six months ended February 28, 2023, totaled RMB 16,990,000, an increase of 17.9% compared to RMB 14,402,000 in the prior year[9]. - For the six months ended February 28, 2023, the profit attributable to owners of the Company was RMB 215,055,000, an increase of 50% compared to RMB 143,461,000 for the same period in 2022[42]. - The basic earnings per share for the six months ended February 28, 2023, was RMB 0.179, up from RMB 0.120 in the previous year, reflecting a growth of 49.2%[42]. - For the six months ended February 28, 2023, the comprehensive income was RMB 3,111,670, an increase from RMB 2,896,615 for the same period last year[166]. Expenses and Costs - Employee benefit expenses rose to RMB 120,376,000, a 22.1% increase from RMB 98,546,000 in the previous year[13]. - Total expenses for the period were RMB 297,205,000, up from RMB 276,752,000, reflecting a growth of 7.4%[13]. - Interest expenses on bank borrowings amounted to RMB 48,710,000, slightly increasing from RMB 47,637,000 year-over-year[19]. - Interest expenses on other borrowings due to a related party were RMB 9,178,000, up from RMB 8,625,000, reflecting a rise of 6.4%[19]. - Interest expenses on the discount of long-term payables for property, plant, and equipment decreased significantly to RMB 1,523,000 from RMB 6,444,000, a reduction of 76.4%[19]. - The Group's financial strategy includes capitalizing interest expenses in property, plant, and equipment, which amounted to RMB 8,822,000, down from RMB 17,344,000[19]. Assets and Liabilities - The Group's assets are primarily located in mainland China, with approximately 99% of carrying values situated there[3]. - As of February 28, 2023, total assets amounted to RMB 2,040,605, up from RMB 1,825,550 as of September 1, 2022, reflecting growth in the company's asset base[166]. - The total liabilities as of February 28, 2023, were RMB 3,459,805, compared to RMB 3,437,624 as of August 31, 2022, showing a slight increase of approximately 0.6%[192][197]. - The Group's maximum exposure to credit risk was the carrying value of trade and other receivables, which were all denominated in RMB as of February 28, 2023[71]. - The total borrowings amounted to RMB 2,471,746,000 as of February 28, 2023, an increase from RMB 2,449,419,000 as of August 31, 2022[93]. Taxation - The estimated average annual income tax rate for the six months ended February 28, 2023, was 1.7%, a significant decrease from 7.2% for the same period in 2022[26]. - Certain wholly-owned subsidiaries in minority autonomous regions enjoyed a preferential corporate income tax rate of 15%[24]. - The Group did not recognize any income tax expense for the income from the provision of educational services in respect of the PRC Operating Entities during the period[24]. - The current tax on profits for the period was RMB 4,515,000 for the six months ended February 28, 2023, compared to RMB 13,070,000 for the same period in 2022[39]. Cash Flow and Financial Position - For the six months ended February 28, 2023, net cash generated from operating activities was RMB 10,995,000, an increase from RMB 9,589,000 in the same period last year[169]. - The total cash and cash equivalents decreased to RMB 538,352,000 as of February 28, 2023, down from RMB 803,845,000 as of August 31, 2022, a decline of 33.0%[76]. - The Group's current liabilities exceeded its current assets by RMB 671,311,000 as of February 28, 2023[173]. - The net decrease in cash and cash equivalents for the period was RMB (265,520,000), compared to RMB (322,784,000) in the previous year[169]. - The Group's cash flow projection indicates sufficient financial resources to continue as a going concern[173]. Related Party Transactions - Amounts due from related parties as of February 28, 2023, included RMB 13,864,000 from Yunfu Bilingual School and RMB 14,638,000 from Hualiyuan Technology[138]. - Amounts due to related parties included RMB 53,408,000 owed to Huali Construction and its subsidiaries as of February 28, 2023[138]. - Loans from related parties, specifically Huali Construction and its subsidiaries, totaled RMB 123,000,000[124]. - The Group's total liabilities to related parties amounted to RMB 69,574,000 as of February 28, 2023, compared to RMB 60,648,000 as of August 31, 2022[138]. Investments and Property - The Group reported a fair value gain on investment properties of RMB 100,000 for the six months ended February 28, 2023[11]. - The closing net book amount for investment properties as of February 28, 2023, was RMB 183,670, slightly up from RMB 183,352 as of February 28, 2022, reflecting a marginal increase of 0.17%[57]. - The company recognized revaluation gains of RMB 100 as other gains for the six months ended February 28, 2023, compared to no gains recognized in the same period of the previous year[57]. Educational Developments - Huali College was officially converted into an independently established private general undergraduate college in May 2021, enhancing its educational offerings[155]. - The company is focused on developing new educational programs and technologies to enhance its vocational training offerings[155]. - The company continues to expand its market presence in South China, which includes Guangdong, Guangxi, and Hainan provinces[157]. Financial Risk Management - The Group's activities expose it to various financial risks, including market risk and liquidity risk, which are actively monitored and managed[179]. - The Group's financial risk management information should be read in conjunction with the 2022 Financial Statements for a comprehensive understanding[179]. - The Group's interim financial information has been prepared on a going concern basis, reflecting its ability to meet financial obligations[175].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完整性亦不發表任 何聲明，並明確表示，概不對因本公告全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責 任。 China Vocational Education Holdings Limited 中國職業教育控股有限公司 （於開曼群島註冊成立的有限公司） （股份代號：1756） 截至2023年2月28日止六個月之中期業績公告 董事會欣然公佈本集團截至2023年2月28日止六個月之未經審計綜合中期業績，連同 2022年同期之比較數字。 摘要 於2023年 於2022年 百分比 2月28日 2月28日 變動 變動 學校數目 3 3 – – 就讀學生人數 54,109 48,468 5,641 11.6% 截至2023年 截至2022年 2月28日 2月28日 百分比 止六個月 止六個月 變動 變動 （人民幣千元）（人民幣千元）（人民幣千元） 收入 548,044 459,465 88,579 19.3% 毛利 322,875 249,786 73,089 29.3% 期內利潤 215,055 142,927 72 ...

Financial Performance - The company reported a significant increase in revenue, achieving a total of $X million, representing a Y% growth compared to the previous year[10]. - For the year ended August 31, 2022, the Group's revenue amounted to approximately RMB 907.8 million, representing an increase of approximately 3.0% from approximately RMB 881.7 million for the corresponding period last year[13]. - The Group's profit for the year was RMB 259.8 million, an increase of 81.1% compared to RMB 143.5 million in the previous year[13]. - The adjusted net profit for the year was RMB 263.8 million, a decrease of 11.8% from RMB 299.1 million in the previous year[13]. - The earnings per share increased to RMB 0.216, representing an increase of 80.0% compared to RMB 0.120 in the previous year[13]. - The gross profit margin was 53.1%, slightly down from 53.4% in the previous year[13]. - The operating profit ratio improved to 42.3%, up from 25.5% in the previous year[13]. - The net profit ratio increased to 28.6%, compared to 16.3% in the previous year[13]. - The Group's cost of sales amounted to approximately RMB 425.6 million, increased by approximately 3.5% year-on-year from approximately RMB 411.1 million for the year ended August 31, 2021[86]. - The Group recorded a gross profit of approximately RMB 482.2 million, representing an increase of approximately 2.5% year-on-year from approximately RMB 470.5 million for the year ended August 31, 2021[86]. - The Group recorded a profit before taxation of approximately RMB 278.9 million for the year ended August 31, 2022, an increase of approximately 64.4% year-on-year from approximately RMB 169.6 million for the year ended August 31, 2021[88]. - Taxation for the year ended August 31, 2022, was approximately RMB 19.2 million, representing a decrease of approximately 26.8% year-on-year from approximately RMB 26.2 million for the year ended August 31, 2021[91]. Enrollment and Education Growth - User enrollment in vocational programs reached Z, marking an increase of A% year-over-year, indicating strong demand for vocational education[10]. - The Group operated three schools, maintaining student enrolment at 47,131, an increase of 1.0% from 46,669 in the previous year[13]. - The total student enrollment across the three schools was 47,131, with Huali College having 17,622 students, Huali Vocational College 18,338 students, and Huali Technician College 11,171 students[24]. - The total student enrollment increased by 462 students, representing a 1.0% growth compared to the previous year[26]. - Huali Technician College saw a significant increase in enrollment, with 11,171 students, up by 1,631 students or 17.1% from the previous year[26]. - Huali Vocational College's enrollment decreased by 484 students, a decline of 2.6% compared to the previous year[26]. - Huali College experienced a decrease in enrollment of 685 students, representing a 3.7% decline[26]. - The revenue growth was primarily attributed to the increase in student enrollment and average tuition fees[32]. - Average tuition fees per student rose from RMB 17,428 in 2021 to RMB 17,748 in 2022, reflecting an increase of 1.8%[38]. Strategic Initiatives and Future Plans - The company has set a future revenue guidance of $B million for the next fiscal year, reflecting a C% increase from the current year[10]. - New product offerings in the vocational training sector are expected to launch in Q1 2023, aimed at enhancing the learning experience and expanding market reach[10]. - The company is actively pursuing market expansion strategies, targeting D new regions in China to increase its footprint in the vocational education sector[10]. - The Group plans to expand its school network in China and abroad to increase student enrolment[16]. - The Group aims to improve profitability by optimizing pricing and sources of revenue[16]. - The Group plans to enhance its position in private higher education by implementing demand-driven construction of existing schools and new campuses, aiming to expand student enrollment capacity by over 5,000 students at Huali College[68]. - The new Jiangmen Yamen campus of Huali Technician College is under construction with a total planned area of approximately 253,300 sq. m, expected to accommodate over 20,000 students and to be operational by September 2023[68]. - The Group is actively expanding its vocational education and training business, which is expected to become a new revenue growth point, with considerable revenue growth anticipated in the future[68]. Awards and Recognition - The company received multiple awards during the reporting period, including the "Investment and Financing Mode Innovation Practice Award" from Shanghai People's Radio[52]. - Huali Vocational College was recognized for its "University Students Love Anchor Volunteer Service Team" by the Guangzhou Zengcheng District Live E-commerce Association[52]. - Huali Technician College won the "Outstanding Organization Award" at the "A Century of Greater Bay Area" Skills + New Media Innovation Competition[54]. - Huali College received the "Second Prize of Undergraduate Group" in the Guangdong University New Media Influence competition[54]. - The company achieved recognition in the Guangdong Private University Party's History Knowledge Contest, receiving multiple awards including "Outstanding Organization Award" and "Second Prize of Undergraduate Group"[56]. - Huali Technician College was awarded the "Outstanding Organization Award" in the Guangdong Vocational Skills Contest Advertising Design Competition[56]. - The company continues to focus on enhancing educational quality and operational achievements, as evidenced by the numerous awards received during the reporting period[51]. Governance and Management - The company has a board consisting of seven directors, including four executive directors and three independent non-executive directors[108]. - The board's composition reflects a balance of executive and independent oversight, ensuring effective governance[108]. - The management team is focused on strategic development and operational efficiency to drive growth in the vocational education market[113]. - The company is committed to leveraging its leadership's expertise to navigate the evolving educational landscape in China[111]. - The management team includes professionals with extensive backgrounds in finance and education, contributing to strategic decision-making[126]. - The company is actively expanding its governance structure with independent directors to enhance corporate oversight[121]. Compliance and Regulatory Environment - The Group's compliance with relevant laws and regulations is outlined, highlighting significant impacts on operations[154]. - The Implementation Rules for the Law for Promoting Private Education of the PRC will not have any impact on the Group's expansion strategy through acquisition[82]. - The Group intends to register its three schools as for-profit private schools based on the current regulatory environment[82]. - There are uncertainties regarding the interpretation and application of the Amendment affecting various aspects of private school operations[86]. - The Group's recent developments include compliance with the Law for Promoting Private Education of the PRC, which allows for the establishment of both non-profit and for-profit private schools[71]. Shareholder Information - As of August 31, 2022, the total number of issued shares was 1,200,000,000 shares[170]. - Mr. Zhang Zhifeng and Mr. Zhang Yude each hold 900,000,000 shares, representing a 75.0% shareholding in the company[168]. - The Board has resolved not to declare any final dividend for the year ended August 31, 2022, compared to a final dividend of HK$0.0502 per share for the year ended August 31, 2021, amounting to HK$60,240,000[159]. - The Company has adopted a dividend policy to distribute no less than 30% of the distributable net profit attributable to shareholders[159]. - The Group faces concentration risks as all schools are located in Guangdong Province[159]. - The dividend policy will continue to be reviewed periodically, with no assurance that dividends will be declared in any specific period[159].

Financial Performance - The company reported a significant increase in revenue, achieving a total of $X million for the interim period, representing a Y% growth compared to the previous year[9]. - Revenue increased by RMB14.1 million, or 3.2%, from RMB445.4 million for the six months ended February 28, 2021, to RMB459.5 million for the six months ended February 28, 2022[12]. - Profit for the period was RMB142.9 million, an increase of RMB3.3 million or 2.4% compared to RMB139.6 million for the same period last year[12]. - Adjusted net profit decreased by RMB14.4 million, or 9.2%, from RMB156.2 million for the six months ended February 28, 2021, to RMB141.8 million for the six months ended February 28, 2022[12]. - Gross profit increased by RMB10.4 million, or 4.4%, from RMB239.4 million for the six months ended February 28, 2021, to RMB249.8 million for the six months ended February 28, 2022[12]. - Total comprehensive income for the six months ended February 28, 2022, was RMB 143,461,000, an increase of 2.0% compared to RMB 139,583,000 for the same period in 2021[129]. - Earnings per share attributable to the owner of the Company for the period was RMB 0.120, up from RMB 0.116 in the previous year, reflecting a growth of 3.4%[129]. Enrollment and Market Expansion - User data showed an increase in enrollment numbers, with a total of Z students enrolled, reflecting a growth of A% year-over-year[9]. - The number of students at Huali Technician College increased from 9,857 in the 2020/2021 school year to 11,463 in the 2021/2022 school year[12]. - As of February 28, 2022, the total student enrollment across the three schools was 48,468, with 17,662 at Huali College, 19,343 at Huali Vocational College, and 11,463 at Huali Technician College[30]. - The Group plans to enhance student enrollment through demand-driven investments in existing schools and improving educational quality[58]. - The company is expanding its market presence, targeting D new regions for educational services in the upcoming fiscal year[9]. Cost Management and Operational Efficiency - The company aims to improve operational efficiency, targeting a reduction in costs by F% through streamlined processes and resource allocation[9]. - Selling expenses decreased by RMB10.4 million, or 52.3%, from RMB20.0 million to RMB9.5 million, attributed to changes in marketing strategies[15]. - Administrative expenses increased by RMB10.7 million, or 22.8%, from RMB46.9 million to RMB57.6 million, primarily due to higher administrative staff costs and other expenses[15]. - Cost of sales increased by RMB3.7 million, or 1.8%, from RMB206.0 million for the six months ended February 28, 2021, to RMB209.7 million for the six months ended February 28, 2022[12]. Strategic Initiatives and Future Outlook - The company provided an optimistic outlook for the next quarter, projecting revenue growth of B% based on current market trends and user engagement[9]. - New product development initiatives are underway, with the launch of C new courses aimed at enhancing vocational training offerings[9]. - Strategic acquisitions are being considered to enhance the company's educational portfolio and market reach[9]. - The Group has identified M&A targets in economically developed regions of China to expand its school network, focusing on private colleges with growth potential[61]. Financial Position and Capital Management - As of February 28, 2022, the Group had cash and cash equivalents of RMB 557.6 million and total borrowings of RMB 2,550.4 million, with RMB 1,972.1 million repayable within five years[25]. - The Group's debt ratio as of February 28, 2022, was 40.0%, an increase from 36.7% as of August 31, 2021[25]. - The Group's capital expenditures for the six months ended February 28, 2022, were RMB 509.2 million, primarily related to the establishment of new school premises and upgrading existing facilities[25]. - The Group had unused long-term banking facilities totaling RMB 829,616,000 as of February 28, 2022, which management believes are adequate for capital expenditure and working capital purposes[149]. Governance and Corporate Practices - The company has complied with all corporate governance code provisions except for the separation of the roles of chairman and chief executive officer, which are held by Mr. Zhang Zhifeng[82]. - The company is committed to enhancing its corporate governance practices to align with statutory and professional standards[82]. - The company has three independent non-executive directors on the board to ensure a balance of power and authority[82]. - The company actively recruits high-quality teachers with relevant industry experience and provides ongoing training to adapt to market changes[77]. Taxation and Compliance - The Group's entities in Mainland China are subject to a corporate income tax rate of 25%[192]. - No income tax expense was recognized for the income from the provision of educational services in respect of the PRC Operating Entities during the period[192]. - The Group's income tax expenses analysis shows a total of RMB 13,070,000 for the six months ended February 28, 2022, compared to RMB 11,810,000 for the same period in 2021[200].

Financial Performance - The company reported a significant increase in revenue, achieving a total of $X million, representing a Y% growth compared to the previous year[10]. - Revenue for the year ended August 31, 2021, was RMB 881.7 million, an increase of RMB 120.2 million or 15.8% from RMB 761.5 million in the previous year[18]. - Gross profit for the year was RMB 470.5 million, reflecting a growth of 4.0% from RMB 452.6 million[18]. - Profit for the year decreased to RMB 143.5 million, a decline of 53.2% from RMB 306.7 million in the previous year[18]. - Adjusted net profit was RMB 299.1 million, down 11.4% from RMB 337.7 million[18]. - Earnings per share decreased to RMB 0.120, a decline of 55.8% from RMB 0.270[18]. - The gross profit ratio decreased to 53.4%, down from 59.4%[18]. - The operating profit ratio fell to 25.5%, a decrease of 21.0 percentage points from the previous year[18]. - For the year ended August 31, 2021, the Group's revenue was approximately RMB 881.7 million, representing an increase of approximately 15.8% year-on-year from approximately RMB 761.5 million[101]. - The Group's cost of sales amounted to approximately RMB 411.1 million, increased by approximately 33.1% year-on-year from approximately RMB 308.9 million for the year ended August 31, 2020[101]. - The Group recorded a gross profit of approximately RMB 470.5 million, representing an increase of approximately 4.0% year-on-year from approximately RMB 452.6 million for the year ended August 31, 2020[101]. - The gross profit margin for the year ended August 31, 2021, was 53.4%, down by 6.0 percentage points year-on-year compared to the previous period[101]. - The increase in revenue was attributed to increases in both student enrollment and average tuition fees during the reporting period[101]. Student Enrollment and Education Expansion - User data showed an increase in active users, reaching Z million, which is an A% increase year-over-year[10]. - The number of student enrollments increased to 46,669, representing a growth of 7.7% compared to the previous academic year[18]. - The company plans to expand its school network in China and abroad to increase student enrollment[24]. - As of August 31, 2021, Huali University Group had a total enrollment of 46,669 students across its three schools[30]. - Huali College enrolled 18,307 students, up 3.1% from 17,765 in the prior year[40]. - Huali Vocational College saw an enrollment of 18,822 students, marking a 7.1% increase from 17,581[40]. - Huali Technician College had 9,540 students, with a notable increase of 19.7% from the previous year[40]. - The company plans to expand its school operations in response to the rising higher education enrollment rate, projected to reach 60.0% by 2025[36]. - The establishment of a new junior college is planned to provide higher education and vocational education in Jiangmen City, Guangdong Province[36]. - The Group plans to develop new campuses, including a new campus in Jiangmen Binhai expected to accommodate 25,000 students, with the first phase completed in September 2021 for 4,000 students[82]. - The new campus of Huali Technician College in Jiangmen City is under construction, with a first phase capacity of 6,000 students expected to be completed by August 2022[82]. - The Group is focusing on endogenous growth by improving existing school facilities and enhancing education quality to increase student enrollment[82]. Financial Outlook and Guidance - The company provided guidance for the next fiscal year, projecting revenue growth of B% and an expected total revenue of $C million[10]. - The financial outlook remains positive, with a commitment to sustainable growth and shareholder value[10]. - The Group's financial performance and future expansion plans will influence dividend payments[170]. - The Group's annual report includes a fair review of business performance and future outlook[167]. Operational Efficiency and Cost Management - The company has implemented new strategies to enhance operational efficiency, targeting a reduction in costs by H%[10]. - Selling expenses increased by approximately 68.4% from approximately RMB15.5 million for the year ended August 31, 2020, to approximately RMB26.1 million for the year ended August 31, 2021[103]. - Administrative expenses increased by approximately 4.1%, from RMB99.1 million for the year ended August 31, 2020, to approximately RMB103.2 million for the year ended August 31, 2021[103]. - Other income increased by approximately 79.1% year-on-year, from approximately RMB19.6 million for the year ended August 31, 2020, to approximately RMB35.1 million for the year ended August 31, 2021[103]. - Other losses amounted to approximately RMB151.9 million for the year ended August 31, 2021, representing an increase of approximately 45.0 times year-on-year compared to approximately RMB3.3 million for the year ended August 31, 2020[103]. - Finance expenses recorded were approximately RMB63.5 million for the year ended August 31, 2021[103]. Governance and Management - The company has a strong governance structure with independent directors overseeing compliance and corporate governance matters[143]. - The management team includes experienced professionals with backgrounds in finance and education, enhancing the company's operational capabilities[149]. - The company is committed to maintaining high standards of corporate governance and compliance through its board and committee structures[145]. - Mr. Ye Yaming served as the CEO from December 18, 2017, until November 19, 2021, and was responsible for the overall operation and management of the Group[125]. - Mr. Zhang Yude was appointed as the COO on November 19, 2021, focusing on vocational education and training business[130]. - The Group has a strong emphasis on vocational education, with management experienced in both education and training sectors[130]. Environmental and Social Responsibility - The company emphasized its focus on environmental, social, and governance (ESG) initiatives, aiming for a more sustainable business model[10]. - The Group's environmental policies and performance are addressed in the "Environmental, Social and Governance Report" section[162]. Dividend Policy - The Board has adopted a dividend policy to distribute no less than 30% of distributable net profit to shareholders[170]. - A final dividend of HK$0.0502 per ordinary share is recommended for the year ended August 31, 2021, subject to shareholder approval[170]. - The proposed final dividend is subject to shareholder approval at the upcoming AGM[174].

华 立 大 学 集 团 有 限 公 司 Huali University Group Limited (Incorporated in the Cayman Islands with limited liability) (於開曼群島註冊成立的有限公司) Stock Code 股份代號：1756 Interim Report 中期報告 Contents 目錄 02 | --- | --- | --- | --- | |-------------------------------------------------------------------------|-------|--------------------------------------------------------------------------------------------|-------| | | | | | | Corporate Information 公司資料 | | Interim Condensed Consolidated Balance Sheet 中期簡明綜合資產負債表 | | | Financial H ...

2020 Annual Report 年度報告 华 立 大 学 集 团 有 限 公 司 Huali University Group Limited (Incorporated in the Cayman Islands with limited liability) (於開曼群島註冊成立的有限公司) Stock Code 股份代號：1756 Contents 目錄 | --- | --- | --- | |-------------------------------------------------------------------|-------|------------------------------------------------------------------| | Corporate Information 公司資料 | 02 | Independent Auditor's Report 獨立核數師報告 | | | | | | Financial Highlights 財務摘要 | 05 | Consolidated Statement of Comprehensive Inco ...

Financial Performance - Total revenue for the six months ended February 29, 2020, was RMB 393.7 million, representing a 15.9% increase from RMB 339.8 million for the same period in 2019[7]. - Gross profit for the same period was RMB 226.0 million, up 19.1% from RMB 189.7 million in 2019[7]. - Adjusted net profit for the six months was RMB 160.9 million, reflecting a 24.8% increase from RMB 128.9 million in 2019[7]. - The gross margin improved to 57.4%, up from 55.8% in the previous year[7]. - Operating profit margin increased to 41.3%, compared to 39.9% in the prior year[7]. - Revenue increased by RMB 53.9 million or 15.9% to RMB 393.7 million for the six months ended February 29, 2020, compared to RMB 339.8 million for the same period in 2019[36]. - Tuition revenue rose by RMB 49.4 million or 15.6% to RMB 366.6 million, driven by an increase in student enrollment from 15,149 in 2018/2019 to 17,780 in 2019/2020[36]. - The company reported a profit attributable to owners of the company of RMB 138,118,000 for the six months ended February 29, 2020, compared to RMB 112,671,000 for the same period in 2019, representing an increase of approximately 22.6%[176]. Student Enrollment and Operations - The number of enrolled students increased to 45,617, a growth of 2.1% from 44,659 in the previous year[6]. - The number of students at Huazhi College increased by 17.4% to 17,780, while Huazhi Vocational College saw a decrease of 2.9% to 19,779 students[23]. - The number of students at Huazhi Technician College decreased by 11.8% to 8,058, with a notable decline in the Zengcheng campus[23]. - The company plans to expand its school operations and increase student enrollment in response to the "13th Five-Year Plan" aiming for a gross enrollment rate of 50% by 2020[16]. - The company aims to replicate its successful model in future acquisitions or new school establishments[12]. - The company plans to expand its school network through strategic acquisitions, focusing on private undergraduate institutions and independent colleges[55]. Financial Position and Capital Management - As of February 29, 2020, cash and cash equivalents amounted to RMB 938.8 million, with total bank loans of RMB 1,059.3 million, down from RMB 1,079.3 million as of August 31, 2019[53]. - The debt ratio decreased to 41.2% as of February 29, 2020, from 68.3% as of August 31, 2019, primarily due to an increase in share premium[53]. - Capital expenditure for the six months ended February 29, 2020, was RMB 139.0 million, primarily for new school construction and upgrading existing facilities[51]. - The company raised RMB 879,613,000 from the issuance of shares during the period, contributing to a net cash inflow from financing activities of RMB 743,944,000[118]. - The company has unutilized bank credit facilities totaling RMB 953,696,000, with RMB 547,000,000 earmarked for repayment to a related party[124]. Governance and Compliance - The company has adhered to corporate governance codes and believes that good governance is essential for enhancing shareholder confidence[73]. - The audit committee, composed of three independent non-executive directors, has reviewed the unaudited consolidated financial statements for the six months ended February 29, 2020[79]. - The company is committed to meeting qualification requirements for foreign investment in higher education, as outlined in the Foreign Investment Industry Guidance Catalog[93]. Impact of COVID-19 - The impact of COVID-19 on the education business included school closures and delayed openings, but the financial condition was not significantly affected as of the reporting date[70]. - The company has implemented online teaching modules and remote learning activities as alternative plans for students during the pandemic[70]. Employee and Operational Expenses - Employee benefit expenses increased to RMB 84,251,000 for the six months ended February 29, 2020, compared to RMB 76,486,000 in 2019, marking an increase of approximately 10.1%[160]. - Selling expenses rose by RMB 3.8 million or 48.1% to RMB 11.7 million, due to higher promotional expenditures to attract more students[41]. - Administrative expenses increased by RMB 7.5 million or 14.8% to RMB 58.3 million, primarily due to an increase in listing expenses and travel costs[43]. Accounting and Financial Reporting - The group adopted new accounting standards effective from September 1, 2019, including HKFRS 16 on leases, which requires recognition of lease liabilities and right-of-use assets on the balance sheet[128]. - The group confirmed that the cumulative impact of the new standards was disclosed in Note 3(c) of the financial statements[128]. - Management has made significant judgments in applying accounting policies and key estimates, consistent with those used in the 2019 financial statements[141].