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].