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，概不就因本公 告全部或任何部分內容所產生或因依賴該等內容而引致的任何損失承擔任何 責任。 Bojun Education Company Limited 博 駿 教 育 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：1758） 截 至2023年8月31日 止 年 度 之 年 度 業 績 公 告 摘要 截至8月31日止年度 2023年 2022年 變動 變動 人民幣千元 人民幣千元 人民幣千元 百分比 收益 81,305 33,604 47,701 142.0% 毛利 11,919 16,766 (4,847) -28.9% 年內溢利╱(虧損) 51,047 (9,403) 60,450 642.9% 經調整虧損淨額* (34,601) (9,403) (25,198) -268.0% * 經調整虧損淨額乃由於管理層認為有關資料將有助投資者在消除若干一次性或非經 常性項目的影響後評估本公司的純利水平。有關與根據香港財務報告準則（「香港財務 報告準則」）計算及呈列的最直接可資比 ...

目錄 公司簡介 2 公司資料 3 經營及財務摘要 5 管理層討論及分析 7 其他資料 27 簡明綜合損益及其他全面收入表 41 簡明綜合財務狀況表 42 簡明綜合權益變動表 44 簡明綜合現金流量表 45 簡明綜合財務報表附註 46 公司簡介 我們是中國四川省領先的民辦教育服務集團之一，在提供民辦教育 服務方面有超過22年往績記錄。我們運營學校，並且擬通過收購進 軍職業教育行業。我們亦向適學年齡學生和教育機構提供教育管理 服務，包括幼兒園管理服務、海外教育諮詢服務及補充服務等。截 至2023年2月28日，我們在四川省成都市運營一所高中及兩所幼 兒園。為遵守中國法津及本集團業務計劃的要求，我們將兩所幼兒 園轉型為營利性幼兒園。截至2023年2月28日，共有約854名在讀 學生，本集團共有420名僱員，其中93名為教師。 自2001年以來，我們扎根於民辦學前教育行 供教育服務。截至最後實際可行日期，河濱 業，並將業務擴展至民辦小學，初中及高中 及麗都幼兒園已轉型為營利性幼兒園且其業 教育行業。於2001年6月，我們透過與成都 績綜合入賬至本集團。此外，我們已開始在 幼兒師範學校的合作成立首間幼兒園，幼師 民辦職業 ...

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，概不就 因本公告全部或任何部分內容所產生或因依賴該等內容而引致的任何損 失承擔任何責任。 Bojun Education Company Limited 博 駿 教 育 有 限 公 司 （於開曼群島註冊成立的有限公司） （股份代號：1758） 截 至2023年2月28日 止 六 個 月 之 中 期 業 績 公 告 摘要 於2023年 於2022年 變動 2月28日 2月28日 變動 百分比 學生總人數 854 151 +703 +465.6% 截至以下日期止六個月 2023年 2022年 2月28日 2月28日 變動 變動 人民幣千元 人民幣千元 人民幣千元 百分比 ...

Audit Errors - Bojun Education Company Limited announced that there were errors in the independent auditor's reports for both the 2021 and 2022 annual reports[2] - The errors do not affect the other information contained in the 2021 and 2022 annual reports, which remain unchanged[4] Company Leadership - The company is led by Executive Director Wang Jinglei, with a board comprising both executive and independent non-executive directors[4]

Financial Performance - The company reported revenue of RMB 33,604 thousand for the fiscal year 2022, a significant decrease compared to previous years[12]. - The gross profit margin improved to 49.9% in 2022, up from 27.8% in 2020[12]. - The net loss for the year was RMB 9,403 thousand, compared to a net profit of RMB 15,308 thousand in 2018[12]. - The adjusted net loss for 2022 was RMB 9,403 thousand, reflecting ongoing challenges in the education sector[12]. - Total revenue for the year ended August 31, 2022, was approximately RMB 336 million, with a loss of RMB 94 million, an increase in loss of RMB 619.6 million compared to the previous year[20]. - The net loss for the year decreased significantly from approximately RMB 629 million to RMB 9.4 million, a reduction of RMB 619.6 million (or 98.5%), primarily due to an increase in tuition and accommodation fees by approximately RMB 33.6 million[80]. - Adjusted net loss for the year was approximately RMB 9.4 million compared to RMB 82.7 million in the previous year, reflecting a significant improvement[84]. - The company reported a net income of approximately RMB 62.8 million as of August 31, 2022[160]. Enrollment and Student Demographics - The company has approximately 840 enrolled students and 406 employees, including 68 teachers, as of September 1, 2022[3]. - As of September 1, 2022, the total number of enrolled students was 840, including 239 kindergarten students and 601 high school students, with significant growth in high school enrollment due to the recruitment of a new cohort[29]. - Enrollment in high school increased to 601 students as of September 1, 2022, compared to 151 students in 2021, representing a growth of 450 students or 298.1%[30]. Business Expansion and Strategy - The company is expanding into the vocational education sector through acquisitions, pending shareholder approval[4]. - The company has initiated a strategy to adapt its business structure in response to increasing demand for quality private education in China[5]. - The company plans to focus on expanding independent kindergartens, high schools, and vocational education institutions in Sichuan Province, leveraging government support for vocational education[22]. - The company aims to enhance its market position as a quality private education operator in Southwest China amidst both opportunities and challenges presented by government regulations[22]. - The company is focusing on the development of vocational education in China, aligning with government support and reforms to meet the increasing demand for skilled talent[47]. - The company has entered into equity transfer agreements to acquire stakes in vocational education entities, marking a strategic transformation in its operational structure[47]. - The company plans to implement a new teaching model that integrates vocational and general education, enhancing the skill sets of students[48]. - The company is exploring camp education services to provide extended educational opportunities for primary and secondary school students, with a strong feasibility for profitability[52]. Financial Stability and Cash Flow - The cash flow from operating activities for the year ended August 31, 2022, was RMB 127.7 million, showing a slight increase from RMB 125.5 million in the previous year[18]. - The current ratio improved to 1.36 in 2022, indicating better short-term financial stability compared to previous years[20]. - The asset-liability ratio was reported at 213.0% in 2022, reflecting a significant increase compared to previous years[20]. - The asset-liability ratio improved from approximately 213.0% as of August 31, 2021, to about 89.4% as of August 31, 2022, due to increased capital and reserves[97]. - Cash and cash equivalents increased by RMB 61.6 million, reaching RMB 155.1 million at the end of the period, compared to RMB 93.2 million at the beginning[92]. - Operating cash flow generated was approximately RMB 25.9 million, while cash used in investing activities was RMB 53.7 million, and cash generated from financing activities was RMB 89.4 million[91]. - The increase in cash flow from financing activities was a notable change compared to the previous year, which had a significantly lower cash inflow of RMB 20.8 million[92]. - The company plans to meet its working capital needs through a combination of internally generated cash, external borrowings, and occasional capital market fundraising[89]. Regulatory Compliance and Risks - The company no longer controls entities providing compulsory education as of September 1, 2021, in compliance with new regulations[27]. - The company has maintained compliance with environmental laws and regulations, ensuring the health and safety of students across its institutions[53]. - The company faces several risks, including intense competition in the Chinese education sector, which may impact profit margins and market share[138]. - The company’s expansion plans may significantly consume operational and financial resources, posing a risk to its growth strategy[138]. Human Resources and Management - The company has 406 employees as of August 31, 2022, an increase from 279 employees in the previous year[126]. - The remuneration committee has been established to review the remuneration policy for directors and senior management, considering the group's performance and market practices[168]. - The independent non-executive directors confirmed their independence for the year ending August 31, 2022[163]. Shareholder Information and Stock Options - As of August 31, 2022, Mr. Wang Jinglei holds 233,920,000 shares, representing approximately 28.46% of the company's equity[172]. - Major shareholders include Hongyi and Wanfu, both holding 233,920,000 shares, equating to 28.46%[177]. - The company has a stock option plan that allows for the issuance of 1,000,000 options, with an exercise price of HKD 0.598 per share[129]. - The stock option plan was adopted on July 12, 2018, through a written resolution[192]. - The company’s major shareholders and independent non-executive directors must abstain from voting on any changes to the terms of stock options granted to them[198].

Financial Performance - Revenue for the fiscal year 2021 was RMB 398.774 million, an increase from RMB 375.740 million in 2020, representing a growth of approximately 3.6%[10]. - Gross profit for 2021 was RMB 109.497 million, with a gross margin of 27.5%, slightly down from 27.8% in 2020[10][12]. - The company reported a net loss of RMB 758.656 million for 2021, compared to a profit of RMB 15.242 million in 2020, indicating a significant decline in profitability[10]. - Adjusted net loss for 2021 was RMB 9.761 million, a deterioration from a profit of RMB 15.760 million in 2020[10]. - The adjusted net profit margin for 2021 was -2.4%, a significant drop from 4.2% in 2020, reflecting the challenges faced during the year[12]. - The company reported a significant increase in operating expenses, rising from a profit of approximately RMB 4.8 million in the year ending August 31, 2020, to an expense of approximately RMB 575.2 million in the year ending August 31, 2021, marking a change of about RMB 580.0 million (or 121 times) due to increased exchange losses and the absence of gains from the sale of financial assets[80]. - The company reported a net loss of approximately RMB 758.7 million for the year ending August 31, 2021, a decrease of about RMB 773.9 million (or 50.9 times) compared to a profit of approximately RMB 15.2 million in the previous year, primarily due to increased exchange losses and the absence of gains from financial assets[87]. - The company anticipates future revenue from four main sources: education income from Tianfu High School and kindergartens, service fees for quality education and logistics support, entry into vocational education, and service fees from educational management and school assistance[94]. Enrollment and Educational Services - As of September 1, 2021, total student enrollment reached 12,697, representing an annual growth of approximately 4.7%[22]. - Approximately 88% of junior high school graduates were admitted to key high schools in Chengdu, while about 98% of high school graduates were accepted into universities[23]. - The company has expanded its educational services to include vocational education, with plans initiated in 2020 and a share transfer agreement signed in December 2021[6]. - The company aims to enhance its market position in the private education sector in Sichuan Province, driven by increasing demand for quality education services[6]. - The company has established a strong reputation for educational quality, which is expected to attract more students and talented teachers[6]. - The company plans to expand its independent high school and vocational education offerings in Sichuan Province, leveraging government support for vocational education[24]. - The newly established Tianfu High School plans to enroll 200 students in the fall of 2021 and aims to gradually expand to 500 students per year thereafter[39]. - The tuition fee for Tianfu High School is set at RMB 42,000 per academic year, with revenue from tuition and accommodation expected to be recognized in the next fiscal year[39]. Regulatory Environment and Strategic Changes - The implementation of the new regulations on private education has resulted in significant uncertainty regarding the control over entities providing compulsory education, effective from September 1, 2021[30]. - The company has actively communicated with government departments to assess the impact of the new regulations on its operations[30]. - The company plans to actively develop and expand its business in private education, including independent high school education and vocational education, following the implementation of new regulations effective from September 1, 2021[44]. - The company is facing significant risks including operational resource consumption due to expansion plans and intense competition in the Chinese education sector[165]. - The management team is committed to evaluating the effects of regulatory changes on the company's operations and will provide further announcements as necessary[62]. Financial Position and Liabilities - Non-current liabilities related to repayment agreements with affected entities amounted to approximately RMB 852.2 million, with RMB 652.2 million classified as non-current liabilities[17]. - Total assets decreased to RMB 1,195.8 million in 2021 from RMB 1,742.9 million in 2020[21]. - The debt-to-equity ratio increased from approximately 48.7% as of August 31, 2020, to approximately 213.0% as of August 31, 2021[120]. - Contract liabilities decreased from approximately RMB 369.3 million as of August 31, 2020, to approximately RMB 7.3 million as of August 31, 2021, a reduction of about RMB 362.0 million (or 98.0%) due to the non-consolidation of affected entities[88]. Operational Efficiency and Cost Management - Employee costs rose by approximately RMB 13.5 million (or 7.9%) to RMB 184.7 million for the year ended August 31, 2021, driven by an increase in the number of teachers from 996 to 1,015[68]. - Administrative expenses decreased from approximately RMB 56.2 million in the year ending August 31, 2020, to approximately RMB 50.0 million in the year ending August 31, 2021, a reduction of about RMB 6.2 million (or 11.0%) due to cost-saving measures implemented by the company[81]. - Financial costs increased from approximately RMB 20.6 million in the year ending August 31, 2020, to approximately RMB 29.9 million in the year ending August 31, 2021, an increase of about RMB 9.3 million (or 45.1%) primarily due to new loans taken out[82]. - The company has implemented strict COVID-19 prevention measures, ensuring no infections among students and staff during the pandemic[55]. Investments and Acquisitions - The company has been actively involved in mergers and acquisitions to strengthen its position in the education sector, with ongoing plans for expansion[6]. - The company acquired a 51% stake in two vocational training companies for a total consideration of RMB 283,050,000, with RMB 147,075,000 paid in cash and RMB 135,975,000 settled through the issuance of 195,371,993 shares at HKD 0.85 each[147]. - The company also agreed to purchase a 25.5% stake in another target company for RMB 26,010,000, with half paid in cash and half through the issuance of 18,685,881 shares at HKD 0.85 each[147]. Corporate Governance and Management - The company has established a remuneration committee to review the compensation policies for directors and senior management, considering the company's performance and market practices[195]. - The company appointed a new Chief Financial Officer, Mr. Tang Peng, effective May 31, 2022[152]. - The company has maintained good relationships with employees, suppliers, and customers, with no significant disputes reported as of August 31, 2021[178].

Enrollment and Capacity - Total number of students increased to 12,279, up by 294 students or 2.5% compared to 11,985 in the previous year[18] - Total school capacity expanded to 14,115, reflecting an increase of 985 or 7.5% from 13,130 in the previous year[18] - As of February 28, 2021, the total enrollment was 12,279 students, an increase of 294 students or 2.5% compared to 11,985 students on February 29, 2020[33] - The number of students in kindergarten decreased by 114 to 1,160, representing a decline of 8.9% from 1,274 students in the previous year[34] - The number of students in primary school increased by 86 to 2,029, reflecting a growth of 4.4% from 1,943 students in the previous year[34] - Kindergarten enrollment increased to 758 from 681 year-over-year, with a utilization rate of 89.2% compared to 84.1%[46] - Primary school enrollment rose to 8,332 from 8,087, maintaining a high utilization rate of 98.6% versus 98.2%[46] - Middle school enrollment increased to 2,029 from 1,943, with a utilization rate dropping to 68.8% from 87.5%[46] - High school enrollment decreased to 1,160 from 1,274, with a utilization rate of 62.2%, down from 68.3%[46] Financial Performance - Revenue for the six months ended February 28, 2021, was RMB 195,655, a decrease of RMB 2,296 or 1.2% from RMB 197,951 in the previous year[19] - Gross profit decreased to RMB 41,743, down by RMB 2,184 or 5.0% from RMB 43,927 in the previous year[19] - Profit attributable to owners of the company was RMB 4,586, a decline of RMB 3,193 or 41.1% compared to RMB 7,779 in the previous year[19] - Basic earnings per share decreased to RMB 0.56, down by RMB 0.39 or 41.1% from RMB 0.95 in the previous year[19] - Tuition revenue for preschool education was RMB 24,177,000, accounting for 12.3% of total revenue, down from 13.4% in the previous year[91] - Tuition revenue for primary and secondary education was RMB 165,836,000, representing 84.8% of total revenue, slightly down from 83.9% in the previous year[91] - Revenue from educational services for the six months ended February 28, 2021, was RMB 195,655,000, a decrease of 1.3% compared to RMB 197,951,000 for the same period in 2020[188] - Gross profit for the same period was RMB 41,743,000, down 5.0% from RMB 43,927,000 year-on-year[188] - Net profit for the period was RMB 5,104,000, down 54.2% from RMB 11,150,000 in the prior year[188] Cash Flow and Financial Position - Cash and cash equivalents decreased to RMB 187,858, down by RMB 238,914 or 56.0% from RMB 426,772 in the previous year[22] - The net cash used in operating activities for the six months ended February 28, 2021, was RMB (124,294) thousand, a decrease of 4.0% from RMB (119,528) thousand in the previous year[23] - The net cash used in investing activities decreased by 47.2% to RMB (131,380) thousand from RMB (248,957) thousand in the previous year[23] - The net cash position as of February 28, 2021, was RMB 16,760 thousand, a significant decrease of 93.2% from RMB 245,266 thousand in the previous year[23] - The company reported a decrease in cash and cash equivalents, with a net decrease of RMB (238,914) thousand, compared to RMB (123,219) thousand in the prior year[199] - The company incurred interest payments of RMB (8,240) thousand, which increased from RMB (4,734) thousand in the same period last year[199] Teacher and Staff Information - Total number of teachers rose to 996, an increase of 21 teachers or 2.2% from 975 in the previous year[18] - The number of teachers as of February 28, 2021, was 996, an increase of 21 teachers or 2.2% compared to 975 teachers in the previous year[35] - The retention rate for high school teachers was approximately 97.4%, compared to 100.0% in the previous year[42] - Employee costs increased by approximately RMB 3.1 million (or 3.0%) to approximately RMB 104.8 million for the six months ended February 28, 2021, compared to RMB 101.7 million for the same period in 2020[98] - Employee costs for the six months ended February 28, 2021, were approximately RMB 117.6 million, compared to RMB 115.7 million for the same period in 2020[140] Strategic Initiatives and Future Plans - The company plans to expand its school network and increase student capacity through new school constructions and partnerships, including a joint venture in Los Angeles for a private international school[56] - The acquisition of Taoyuan Company for RMB 21.8 million was completed, allowing for the expansion of Tianfu School's capacity by 2,000 students starting September 2021[60] - Existing schools are expected to increase enrollment, particularly in newly established schools, to enhance financial performance[65] - The anticipated new school facilities are expected to accommodate an additional 2,000 students starting September 2021[64] - The company plans to allocate approximately USD 3.2 million to establish schools in the United States, with a portion funded by RMB 12.9 million (approximately USD 1.9 million) from global offering proceeds[87] - The company plans to delay the establishment of a school in the United States due to the impact of the COVID-19 pandemic and strategic adjustments[135] Governance and Compliance - The company has maintained compliance with applicable environmental laws and regulations, ensuring the health and safety of students and staff[76] - The company has registered all its compulsory education schools as non-profit private schools as of the report date[80] - The company is closely monitoring regulatory developments related to foreign investment laws that may impact its operations[84] - The company has adopted the corporate governance code and is committed to high standards of corporate governance to protect shareholder interests[183] Shareholder Information - Major shareholder Wang Jinglei holds approximately 28.46% of the company's shares, totaling 233,920,000 shares[142] - Hongyi Holdings has a total of 233,920,000 shares, representing approximately 28.46% ownership[148] - Wanfeng Holdings also holds 233,920,000 shares, equivalent to 28.46% ownership[148] - Mr. Xiong Tao holds 82,853,550 shares, which accounts for 10.08% ownership[148] - Mr. Ran Tao has 46,510,000 shares, representing 5.66% ownership[148] - Wuxi Shou Holdings has 150,000,000 shares, which is 18.25% ownership[151] - The shares held by Wuxi Shou Holdings were pledged to Zhongyuan Bank for a loan agreement[157] Stock Option Plan - The company has implemented a stock option plan to reward selected participants for their contributions[160] - The stock option plan includes eligibility for employees, non-executive directors, suppliers, and customers[161] - The maximum number of shares that may be issued due to the exercise of stock options under the stock option plan shall not exceed 30% of the issued shares at the time[164] - The total number of shares that may be issued due to the exercise of all stock options granted under the stock option plan shall not exceed 10% of the shares issued on the date the shares began trading on the exchange, which is a maximum of 80,000,000 shares[164] - Each participant's maximum allocation of shares due to stock options shall not exceed 1% of the company's issued shares during any twelve-month period[165] - The stock option plan is valid for ten years from the date of adoption, with approximately seven years and two months remaining as of the report date[171] - As of May 13, 2021, the company granted 1,000,000 stock options under the stock option plan, with an exercise price of HKD 0.598 per share[180] Other Financial Information - The company did not recommend the payment of an interim dividend for the six months ended February 28, 2021[173] - There were no purchases, sales, or redemptions of the company's listed securities by the company or any of its subsidiaries during the six months ended February 28, 2021[174] - The company held 1,711 employees as of February 28, 2021, a slight decrease from 1,719 employees a year earlier[140] - The company reported a total comprehensive income of RMB 5,104,000 for the period, compared to RMB 11,150,000 in the previous year, indicating a substantial decline[188] - The company recorded a decrease in contract liabilities, with a change of RMB (161,386) thousand compared to RMB (168,873) thousand in the previous year[199]

Financial Performance - Total revenue for the fiscal year 2020 reached RMB 375.74 million, an increase from RMB 338.02 million in 2019, representing a growth of approximately 11%[8] - Gross profit for 2020 was RMB 104.41 million, up from RMB 89.76 million in 2019, indicating a growth of about 16%[8] - The net profit for the year was RMB 15.24 million, a decrease from RMB 28.94 million in 2019, reflecting a decline of approximately 47%[8] - The adjusted net profit for 2020 was RMB 15.76 million, compared to RMB 28.99 million in 2019, showing a decrease of around 45%[8] - Total revenue for the year ended August 31, 2020, reached approximately RMB 375.7 million, an increase of about 11.2% compared to the previous year[17] - Net profit decreased by approximately 47.3% to around RMB 15.2 million, while adjusted net profit was approximately RMB 15.8 million, a decline of about 45.7%[17] Enrollment and Capacity - The number of enrolled students as of September 1, 2020, was approximately 12,126, with a total of 1,732 employees, including 996 teachers[4] - As of September 1, 2020, the total enrollment of the group was 12,126 students, with 1,160 in preschool education and 10,966 in grades one to twelve[26] - The company plans to expand its K12 education services in Sichuan Province by increasing the capacity of existing schools, expecting to add 3,200 student places[20] - The total expected increase in student capacity from new schools is 6,700 students by September 2022[55] - As of September 1, 2020, the company had 12,126 students enrolled across its existing schools, with a total capacity of 23,915 students[58] Educational Quality and Reputation - The company has established a strong reputation in the private education sector, which is expected to help attract quality students and teachers[5] - The management team has extensive experience in educational management, contributing to the company's growth and market position[5] - The company aims to establish or expand schools into a unified system from grades 1 to 12, enhancing the continuity of educational philosophy and teaching methods[20] - The student-teacher ratio is regularly reviewed to ensure high-quality educational services[38] - The primary and secondary education curriculum is designed according to national and provincial education standards, focusing on key examinations[29] Financial Position and Investments - The cash flow from operating activities for the year 2020 was RMB 125.5 million[14] - Non-current assets increased from RMB 1,370.9 million in 2019 to RMB 1,742.97 million in 2020[13] - The debt-to-equity ratio rose to 48.7% in 2020, compared to 16.7% in 2019, indicating increased leverage[13] - Total borrowings increased by approximately 197.5% from about RMB 140.0 million as of August 31, 2019, to approximately RMB 416.5 million as of August 31, 2020[99] - The company plans to allocate approximately USD 3.2 million to establish a school in the United States, with an additional RMB 12.9 million (approximately USD 1.9 million) from global offering proceeds to cover part of the capital expenditures[73] COVID-19 Impact - The company has implemented strict COVID-19 measures, with no reported infections among students and teachers, and has adapted to online education during school closures[65] - Due to the pandemic, the company experienced a revenue decrease of approximately RMB 19.6 million in its kindergarten segment, with a gross profit reduction of about RMB 17.8 million compared to the previous year[65] Shareholder and Governance Structure - The board of directors consists of both executive and non-executive members, with specific terms of service agreements in place[162] - Major shareholders include Hongyi and Wanfu, each holding 233,920,000 shares, representing 28.46% of the company's equity[172] - The company has a significant concentration of ownership, with the top shareholders controlling over 50% of the equity[172] - The company has received annual independence confirmations from its independent non-executive directors, ensuring compliance with independence standards[160] Future Plans and Expansion - The company plans to maintain its leading position in the Chengdu private education market by expanding its school network and increasing student capacity[50] - The company plans to open a new high-end private school in Jianyang City with a capacity of 3,500 students, expected to start in September 2022[51] - The company is also expanding Jinjiang School's capacity by 1,200 students, with the new primary school expected to open in September 2021[53] Operational Efficiency - Service costs accounted for approximately 72.2% of total revenue for the year ended August 31, 2020, down from 73.4% for the year ended August 31, 2019[78] - Employee costs for the year ended August 31, 2020, were RMB 171.2 million, compared to RMB 157.9 million for the previous year[78] - Administrative expenses increased by approximately RMB 2.5 million (or 4.7%) from RMB 53.6 million for the year ended August 31, 2019, to RMB 56.2 million for the year ended August 31, 2020, largely due to increased costs related to COVID-19 measures[89] Compliance and Regulatory Risks - The company will closely monitor the developments of the Foreign Investment Law and related regulations, which took effect on January 1, 2020[71] - The company faces several risks, including regulatory changes in the Chinese education sector and intense competition affecting profit margins and market share[137]

Enrollment and Student Statistics - Total number of students increased to 11,985, up by 1,660 or 16.1% from 10,325[12] - The total enrollment number at the end of February 2020 was 11,985 students, representing an increase of 1,660 students or 16.1% compared to the previous year[32] - The number of junior high students increased by 977, or 13.7%, reaching a total of 8,087 students[32] - The number of high school students increased by 125, or 22.5%, totaling 681 students[32] - Kindergarten enrollment increased to 1,274 students, a decrease of 6% from 1,355 students in the previous year, resulting in a utilization rate of 68.3%[51] - Primary school enrollment rose to 1,943 students, up 49% from 1,304 students in the previous year, with a utilization rate of 87.5%[51] - Junior high school enrollment reached 8,087 students, an increase of 14% from 7,110 students in the previous year, maintaining a high utilization rate of 98.2%[51] - High school enrollment grew to 681 students, up 22% from 556 students in the previous year, with a utilization rate of 84.1%[51] - Total enrollment across all educational stages reached 11,985 students, a 16% increase from 10,325 students in the previous year, with an overall utilization rate of 91.3%[51] Financial Performance - Revenue for the six months ended February 29, 2020, was RMB 197,951,000, representing an increase of RMB 29,651,000 or 17.62% from RMB 168,300,000[14] - Adjusted net profit increased to RMB 11,150,000, up by RMB 1,123,000 or 11.20% from RMB 10,027,000[14] - Basic earnings per share decreased to RMB 0.95, down by RMB 0.20 or 17.39% from RMB 1.15[14] - Revenue increased by approximately RMB 29.65 million (or 17.6%) to RMB 197.95 million for the six months ended February 29, 2020, compared to RMB 168.30 million for the same period in 2019[94] - The net profit for the six months ended February 29, 2020, was RMB 11.150 million, up from RMB 10.027 million in the prior year, representing a growth of 11.3%[172] Cash Flow and Liquidity - Cash and cash equivalents decreased to RMB 213,428,000, down by RMB 123,219,000 or 36.60% from RMB 336,647,000[19] - Net cash used in operating activities was RMB (119,528,000), a decrease of RMB 55,878,000 or 87.79% from RMB (63,650,000)[21] - The company reported a net cash outflow from operating activities of RMB (119,528) thousand for the six months ended February 29, 2020, compared to RMB (63,650) thousand for the same period in 2019, indicating a worsening cash flow situation[182] - Cash and cash equivalents at the end of the reporting period were RMB 213,428 thousand, down from RMB 242,157 thousand at the end of February 28, 2019, reflecting a decrease of approximately 11.9%[182] Operational Developments - The number of schools operated increased to 19 as of February 29, 2020, up from 16 the previous year, reflecting an 18.9% growth[30] - The expected total enrollment for the newly opened Lezhi School is approximately 3,200 students[24] - The anticipated total enrollment for the upcoming Neijiang School is about 4,000 students, expected to open in September 2021[27] - The company plans to open new schools in Sichuan Province, with expected total enrollment of approximately 3,200 students for the Nanjing School and 4,000 students for the Wangcang School, both set to open in September 2021[58] - The company has established a partnership to open a new school in the Tianfu New Area, with the high school section expected to commence in September 2021, accommodating 1,500 students[66] - A new school in Neijiang is anticipated to open in September 2021, with a projected capacity of 4,000 students[66] - The company is collaborating with a U.S. partner to establish a private international school in Los Angeles, expected to open in September 2021, with a capacity of 240 students[66] Teacher and Staff Information - Total number of teachers rose to 975, an increase of 72 or 8.0% compared to 903[12] - The total number of teachers as of February 29, 2020, was 975, an increase of 72 teachers or 8.0% from the previous year[36] - The teacher retention rate as of February 29, 2020, was 88.8%, down from 94.4% the previous year[45] - Employee costs increased by approximately RMB 19.2 million (or 23.3%) to RMB 101.73 million for the six months ended February 29, 2020, due to a significant rise in the number of teachers and staff hired[97] Regulatory and Compliance Matters - All operational schools have been registered as non-profit private schools, complying with local regulations regarding educational institution classifications[83] - The company is closely monitoring regulatory developments, particularly concerning the draft amendments to the Private Education Promotion Law, which may impact foreign investment in private education[80] - The company has taken reasonable measures to comply with the qualification requirements for foreign educational institutions as per the "Regulations on Sino-Foreign Cooperative Education"[89] - The company will continue to observe the developments of the Foreign Investment Law and related regulations, which have not yet impacted its operations[87] Cost and Expense Management - Service costs rose by approximately RMB 28.6 million (or 22.8%) to RMB 154.02 million for the six months ended February 29, 2020, compared to RMB 125.42 million for the same period in 2019[97] - Depreciation and amortization expenses increased by approximately RMB 7.8 million (or 70.9%) from RMB 11.0 million for the six months ended February 28, 2019, to RMB 18.8 million for the six months ended February 29, 2020[100] - Administrative expenses decreased by approximately RMB 2.6 million (or 8.5%) from RMB 30.6 million for the six months ended February 28, 2019, to RMB 28.0 million for the six months ended February 29, 2020[106] Shareholder Information - As of February 29, 2020, Mr. Xiong Tao holds 82,853,550 shares, representing a 10.08% equity interest in the company[143] - Ms. Liao Rong holds 40,750,000 shares, representing a 4.96% equity interest in the company[143] - Mr. Ran Tao holds 46,510,000 shares, representing a 5.66% equity interest in the company[143] - Mr. Wang Jinglei holds 233,920,000 shares, representing a 28.46% equity interest in the company[143] - The total shares held by major shareholders include 150,000,000 shares from Wuxi Guolian Shou Control Holdings Fund Center, representing an 18.25% equity interest[151] Future Outlook and Strategy - The company plans to enhance enrollment levels in existing schools, particularly newly opened ones, to improve financial performance, leveraging fixed construction and operational costs[68] - The new brand "博駿公學" aims to provide a comprehensive education service from primary to high school, enhancing market opportunities and supporting student development[74] - Plans to optimize pricing and improve services include upgrading campus facilities and increasing extracurricular activities, with potential tuition fee adjustments pending regulatory approval[76] - The company aims to increase student enrollment through targeted marketing on internet and social media platforms[68]

Financial Performance - The company reported a revenue of RMB 338,019,000 for the fiscal year ending August 31, 2019, representing a significant increase from RMB 231,259,000 in 2018, which is a growth of approximately 46.2%[15] - Gross profit for the same period was RMB 89,755,000, up from RMB 61,814,000 in 2018, indicating a growth of about 45.2%[15] - The net profit for the year was RMB 28,941,000, compared to RMB 15,308,000 in 2018, reflecting an increase of approximately 89.5%[15] - The adjusted net profit was also RMB 28,941,000, showing a consistent performance with the net profit figure[15] - Total revenue for the year ended August 31, 2019, reached approximately RMB 338.0 million, an increase of about 46.1% compared to the previous fiscal year[27] - Profit for the year grew approximately 89.1% to about RMB 28.9 million, with adjusted net profit increasing by approximately 10.1%[27] Enrollment and Capacity - The company had approximately 12,082 enrolled students across its 11 schools as of September 1, 2019, with a total of 1,709 employees, including 986 teachers[6] - Student enrollment as of September 1, 2018, was 10,173, representing an annual growth of approximately 41.08%[27] - The company opened a new school in Lezhi County, Ziyang City, Sichuan Province in September 2019, expected to provide over 3,200 new student places[27] - As of September 1, 2019, the total number of students reached 10,173, including 1,287 kindergarten students, 1,190 primary school students, 7,126 junior high school students, and 570 high school students, showing an increase from 7,211 students in 2018[40] - The company aims to increase enrollment levels in existing schools, particularly newly opened ones, to enhance financial performance[71] - The company has a total of 12,082 students enrolled as of September 1, 2019, with a projected capacity of 25,065 students across its schools[72] School Operations and Expansion - The company operates six kindergartens, one primary and junior high school, two junior high schools, and one combined junior and senior high school in Chengdu, along with additional schools in other cities in Sichuan province[6] - The company aims to expand its K12 education services in Sichuan Province by increasing the capacity of existing schools[27] - The company plans to open new campuses, including Tianfu School (high school section) in September 2020, expected to accommodate 1,500 students, and Neijiang School in September 2021, expected to accommodate 4,000 students, totaling 5,500 new student places[70] - The company plans to expand its school network in Sichuan Province by acquiring land use rights to establish new schools, with expected total enrollments of approximately 3,200 and 4,000 students for the newly opened Nanjing Bojun School and Wangcang Bojun School, respectively[62] Financial Position and Cash Flow - The cash flow from operating activities for the year was RMB 103.87 million[23] - The current ratio for 2019 was 0.49, indicating a decrease from previous years[21] - The total assets minus current liabilities for 2019 amounted to RMB 909.29 million[20] - As of August 31, 2019, the company's cash and cash equivalents decreased to RMB 336.6 million from RMB 607.1 million in 2018, representing a decline of approximately 44.5%[110] - The net cash generated from operating activities for the year ended August 31, 2019, was RMB 103.87 million, down from RMB 126.93 million in 2018, a decrease of about 18.2%[110] - The company incurred a net cash outflow from investing activities of RMB 435.97 million in 2019, compared to RMB 359.81 million in 2018, indicating an increase in investment spending[110] Employee and Teacher Management - The company has been operating private schools in Chengdu, Sichuan Province for over 17 years, establishing a strong industry reputation[27] - The teacher retention rate for high school teachers was approximately 90.16% for the year ending August 31, 2019, down from 94.1% the previous year, while junior high school retention improved to 94.82%[48] - The company has implemented competitive compensation packages for teachers, including performance bonuses and free tuition for their children, contributing to high retention rates[48] - The total number of teachers as of September 1, 2018, was 841, with approximately 98.21% holding a bachelor's degree or higher, and 20.89% holding a master's degree or above[43] Market Position and Strategy - The company has established a strong reputation in the private education sector, which is expected to help attract more students and teachers, thereby expanding its market presence[7] - The company aims to maintain its leading position in the Chengdu private education market while expanding its geographic coverage in Sichuan Province[62] - The private education market in Sichuan Province is expected to see increased demand, with a focus on comprehensive education and extracurricular activities[58] - The company is positioned as a leading provider of private education services in the southwestern region of China[27] Regulatory and Compliance - The company operates all its schools as non-profit institutions, complying with local regulations regarding the classification of private educational institutions[80] - The company will continue to monitor regulatory developments related to private education and will comply with new regulations as necessary[82] - The company faces several risks, including potential penalties if structural contracts are deemed non-compliant with applicable Chinese laws [146] Shareholder Information - As of August 31, 2019, Mr. Xiong Tao holds a total of 213,120,000 shares, representing 25.93% of the company's equity[180] - Ms. Liao Rong holds 83,160,000 shares, representing 10.12% of the company's equity[180] - The major shareholders include Wuxi Guolian First Control Holdings with 150,000,000 shares, representing 18.25% of the company's equity[186] - The total shares held by controlled corporations such as Yudu Holdings and Zhengyong Global amount to 213,120,000 and 123,390,000 respectively, indicating significant ownership concentration[186] Future Plans - The company plans to open Neijiang School in September 2021, expecting to accommodate around 4,000 students[65] - The expected opening of high school phases in both Nanjing Bojun School and Wangcang Bojun School is planned for September 2021[62] - The company aims to attract high-quality students through a selective admission process, which includes interviews with prospective students and their parents[40]