Financial Performance - The group recorded a profit of approximately RMB 472.9 million for the year, representing a growth of about 16% compared to RMB 409.0 million for the previous year[22]. - The company reported a profit attributable to owners of approximately RMB 366.7 million for the year, representing a growth of about 12% compared to the previous year[49]. - The core net profit for the year was RMB 478.4 million, compared to RMB 415.0 million in the previous year[50]. - The company's revenue for the year ended December 31, 2022, was RMB 819,358,000, representing an increase of RMB 134,762,000 or 20% compared to the previous year[97]. - Gross profit for the same period was RMB 514,084,000, reflecting a growth of RMB 93,407,000 or 22% year-over-year[97]. - Net profit for the year was RMB 472,942,000, which is an increase of RMB 63,972,000 or 16% from the prior year[97]. - Profit attributable to equity holders of the company was RMB 366,727,000, up by RMB 40,691,000 or 12% compared to the previous year[97]. - Core net profit reached RMB 478,393,000, marking an increase of RMB 63,377,000 or 15% year-over-year[97]. - Annual profit before tax increased to RMB 474,824,000, representing a growth of 15.9% compared to RMB 409,734,000 in 2021[118]. - The company reported a net profit of RMB 472,942,000 for 2022, a rise of 15.6% from RMB 408,970,000 in the previous year[118]. Revenue and Tuition Fees - Tuition fees generated RMB 396,549,000, an increase from RMB 343,527,000 in the previous year[110]. - Tuition fees generated RMB 736,596,000 in 2022, a 20.5% increase from RMB 611,000,000 in 2021[131]. - Total revenue for 2022 reached RMB 819,358,000, an increase of 19.7% from RMB 684,596,000 in 2021[118]. - The average tuition fee for Changzheng College in 2022 was RMB 15,398, compared to RMB 14,880 in 2021, reflecting an increase of approximately 3.5%[15]. - The average tuition fee for Jingyi School in 2022 was RMB 19,164, up from RMB 18,649 in 2021, indicating an increase of approximately 2.8%[15]. Assets and Liabilities - As of December 31, 2022, the net current assets amounted to approximately RMB 940.1 million, an increase from RMB 731.1 million the previous year, mainly due to an increase in bank balances by approximately RMB 273.6 million[24]. - As of December 31, 2022, the company's net assets amounted to RMB 2,920,192 thousand, an increase from RMB 2,436,398 thousand in the previous year[80]. - Cash and cash equivalents at the end of 2022 amounted to RMB 1,500,901,000, an increase from RMB 1,227,318,000 in 2021[121]. - Non-current assets totaled RMB 2,007,606,000, up from RMB 1,729,584,000 in 2021, indicating a growth of 16.1%[121]. - Total contract liabilities amounted to RMB 436,078,000, up from RMB 380,290,000 in the prior year[110]. Dividends - The board proposed a final dividend of HKD 0.015 per share for the year ended December 31, 2022, compared to no dividend in the previous year[32]. - The company did not declare any interim dividends for the years ended December 31, 2022, and December 31, 2021[113]. - The company will suspend shareholder registration from May 25, 2023, to May 30, 2023, for determining eligibility for the proposed final dividend[198]. Operational Developments - The group has completed the registration to transform Jingyi School into a for-profit private school, with the conversion process starting on March 13, 2023[13]. - The group plans to acquire or invest in underutilized schools in Central, East, and South China, aiming to expand its operational network[17]. - The company plans to establish a new campus for the Business School in Kaifeng, Henan Province, with an estimated capacity of about 15,000 students[43]. - The company plans to establish a new campus for Changzheng College, with an expected enrollment of no less than 5,000 students[157]. - The company plans to expand the campus of Changzheng College, constructing new training buildings, dormitories, and administrative offices totaling approximately 57,102 square meters, which will increase student capacity by about 5,000 students[183]. Student Enrollment and Employment - The total number of students across all schools increased to 53,051 in 2022, up from 45,506 in 2021, reflecting a growth of approximately 16.7%[41]. - The initial employment rate for graduates from the Economic and Trade College was approximately 90.89% for the 2021/2022 academic year[152]. - The initial employment rate for graduates from Changzheng College was approximately 98.48% for the 2021/2022 academic year[176]. Partnerships and Collaborations - The company has established over 200 high-standard off-campus internship bases in collaboration with various enterprises[12]. - The company has established partnerships with 328 enterprises and institutions to create off-campus internship training bases[74]. - The company has partnered with over 20 enterprises to establish collaborative education programs, enhancing industry integration[179]. Cost and Expenses - Operating expenses increased from RMB 7.9 million to RMB 8.8 million, primarily due to an increase in enrollment capacity[46]. - Other expenses rose significantly from RMB 9.4 million to RMB 16.9 million, mainly due to a net loss of RMB 8.5 million related to fair value adjustments of investment properties[47]. - Employee benefits expenses, excluding director remuneration, rose to RMB 204,683,000 in 2022 from RMB 168,206,000 in 2021, marking an increase of approximately 21.6%[163]. - The company's sales cost increased from RMB 263.9 million to RMB 305.3 million, a rise of approximately RMB 41.4 million, primarily due to an increase in employee costs of RMB 29.3 million and pandemic-related expenses of RMB 17.1 million[186]. Financial Management - The company aims to optimize its pricing strategy to enhance profitability[89]. - The company is positioned to further optimize its pricing strategy without affecting its reputation or ability to attract and retain students[158]. - The company has implemented strict controls over trade receivables to mitigate credit risk, with overdue balances regularly reviewed by senior management[72]. - The number of trade receivables aged within one year increased significantly to RMB 1,612,000 in 2022 from RMB 537,000 in 2021, indicating a growth of approximately 200%[140]. - The impairment of trade receivables increased to RMB 180,000 in 2022 from RMB 134,000 in 2021, reflecting a rise of approximately 34.3%[163]. Compliance and Reporting - The company has adopted revised international financial reporting standards in its financial statements for the current year[81]. - The audit committee and management have reviewed the group's annual consolidated financial performance for the year[199].

Financial Performance - Revenue for the six months ended June 30, 2022, was RMB 385,545,000, representing a 21% increase from RMB 318,352,000 in the same period of 2021[11] - Gross profit increased by 30% to RMB 249,188,000, compared to RMB 192,326,000 in the previous year[11] - The net profit for the period was RMB 247,575,000, a 29% increase from RMB 192,539,000 in the previous year[11] - Profit before tax increased by 28% to approximately RMB 248.9 million compared to the previous period[60] - Net profit attributable to the company's owners grew by approximately 32% to RMB 196.4 million[65] - Total comprehensive income for the period was RMB 201,793,000, compared to RMB 145,211,000 in the previous year, indicating a 38.9% increase[143] - Basic and diluted earnings per share for the period were RMB 12.27, compared to RMB 9.28 in the previous year[133] - The pre-tax profit for the six months ended June 30, 2022, was RMB 196,395,000, compared to RMB 148,611,000 for the same period in 2021, reflecting a year-on-year increase of approximately 32.2%[184] Enrollment and Student Statistics - The number of students enrolled for the 2022/2023 academic year is planned to increase to 20,906, a growth of 17.8% from 17,744 in 2021/2022[15] - Zhengzhou University of Economics plans to increase its enrollment from 10,040 to 12,646 students, a significant rise of 26%[16] - The number of students in the specialized undergraduate program at Zhengzhou University of Economics is expected to grow by 50.2%, from 3,080 to 4,626[16] - As of June 30, 2022, the number of students at Jingyi School was 1,172, an increase of 7.6% from 1,089 in 2021[37] - The enrollment plan for the 2022/2023 academic year is 7,940 students, representing a 7.5% year-on-year increase[23] Assets and Liabilities - Current assets decreased by 22% to RMB 1,001,980,000 from RMB 1,285,182,000 as of December 31, 2021[12] - Current liabilities decreased significantly by 64% to RMB 201,219,000 from RMB 554,117,000[12] - Total equity increased by 10% to RMB 2,689,371,000 from RMB 2,436,398,000[12] - Total assets as of June 30, 2022, amounted to RMB 2,725,173,000, an increase from RMB 2,460,649,000 as of December 31, 2021[135] - Non-current assets totaled RMB 1,924,412,000, up from RMB 1,729,584,000 at the end of 2021[135] - The debt-to-asset ratio as of June 30, 2022, was 1.9%, with short-term bank loans of RMB 50.0 million[72] Employee and Operational Metrics - The employment rate for graduates from Zhengzhou University of Economics was approximately 93.80% in the 2020/2021 academic year[16] - The school has established 3 provincial key construction disciplines, including Business Management and Mechanical Manufacturing[19] - The school has built 11 on-campus training bases, including 145 experimental training rooms[27] - The school collaborates with 328 industry associations and enterprises to establish off-campus internship training bases[28] - As of June 30, 2022, the group had 2,100 employees, an increase from 1,970 employees as of December 31, 2021[79] - Total employee benefit expenses for the six months ended June 30, 2022, amounted to approximately RMB 916 million, excluding director remuneration[79] Investment and Expansion Plans - The company plans to expand the Changzheng College campus by constructing new training buildings, dormitories, and administrative offices totaling approximately 57,102 square meters, increasing student capacity by about 5,000[42] - A new campus for Jingyi School is planned in Kaifeng, Henan Province, with an estimated capacity of 15,000 students[43] - The company intends to establish a degree-granting higher education institution in California, USA, focusing on business administration and international business courses[47] - The company plans to acquire or invest in underutilized higher education institutions in Central, East, and South China, targeting profitable private schools[44] Financial Management and Governance - The company aims to optimize its pricing strategy to enhance profitability, leveraging increased brand recognition and market acceptance[48] - The company does not recommend the payment of an interim dividend for the six months ending June 30, 2022[98] - The audit committee, consisting of three independent non-executive directors, is responsible for reviewing and supervising the company's financial reporting procedures and internal controls[99] - The company has adopted the corporate governance code and has complied with its provisions, except for the separation of the roles of chairman and CEO[96] Shareholding and Ownership Structure - Mr. Chen Yuguo holds 378,000,000 shares, representing 23.61% of the company's equity, indicating a strong bullish position[108] - Mr. Chen Shu and Mr. Chen Lingfeng each hold 216,000,000 shares, accounting for 13.49% of the equity, also reflecting a bullish stance[108] - The company maintains a strong ownership structure with significant stakes held by its directors, indicating confidence in future performance[113] - The total shares held by major shareholders reflect a concentrated ownership, which may influence strategic decisions and market stability[113] Cash Flow and Expenditures - Cash and cash equivalents decreased by RMB 238.0 million to RMB 989.3 million, primarily due to cash outflows from operating and investment activities[71] - Capital expenditures for the period amounted to RMB 238.7 million, significantly higher than RMB 114.0 million in the previous period[73] - The company incurred a net cash outflow from investing activities of RMB 238,687,000, compared to RMB 115,939,000 in the previous year, reflecting increased investment activities[148] Regulatory and Compliance Matters - The implementation of the 2021 regulations may impact the development of private education institutions, including tax benefits for non-profit private schools[84] - The company has taken reasonable actions to meet qualification requirements for establishing Sino-foreign joint schools, as advised by its legal counsel[92] - The group has not registered any of its schools as for-profit private schools or non-profit private schools as of the date of the financial statements approval[178]

Financial Performance - The total revenue for the year ended December 31, 2021, increased to RMB 684.6 million, up 22% from RMB 561.3 million in the previous year[24]. - Annual profit rose to RMB 409.0 million, representing a 26% increase from RMB 325.6 million in the prior year[24]. - The gross profit for the year was RMB 420.7 million, up from RMB 334.3 million in 2020, indicating a growth of 25.8%[12]. - Core net profit for the year was RMB 415.0 million, an increase from RMB 331.8 million in the previous year[12]. - The net profit margin improved to 59.7% in 2021, up from 58.0% in 2020[15]. - Revenue increased by 22% from RMB 561.3 million in 2020 to RMB 684.6 million in 2021, primarily due to an increase in tuition fees by RMB 90.8 million and accommodation fees by RMB 25.1 million[58]. - Gross profit rose by 26% from RMB 334.3 million in 2020 to RMB 420.7 million in 2021, driven by the increase in revenue[61]. - Net profit for the year was approximately RMB 409.0 million, a growth of about 26% compared to RMB 325.6 million in 2020[68]. Student Enrollment and Employment - The number of enrolled students expanded to 45,506, marking a 17% increase compared to the previous academic year[23]. - The employment rate of graduates from the company's institutions is consistently higher than that of similar colleges in the provinces[30]. - The initial employment rate of graduates from Changzheng College for the 2020/2021 academic year was approximately 98.68%[38]. - The initial employment rate for graduates from Zhengzhou University of Economics and Trade was approximately 93.80% for the 2020/2021 academic year[42]. - Zhengzhou University of Economics and Trade had a total student enrollment of 27,881 in 2021, up from 24,147 in 2020, representing an increase of approximately 11.4%[48]. Institutional Growth and Expansion Plans - The company plans to leverage the growth potential in China's higher education market, focusing on private higher education institutions[23]. - The company aims to expand its operational scale through both organic growth and mergers and acquisitions[27]. - The company plans to expand its school network, including a new campus in Kaifeng, Henan, with an estimated capacity of 15,000 students[54]. - The company aims to acquire or invest in underutilized schools in Central, Eastern, and Southern China, focusing on profitable private institutions[55]. - A new degree-granting institution is planned in California, USA, offering courses in business administration and international business[56]. Financial Position and Assets - Total assets increased to RMB 3,014.8 million in 2021, compared to RMB 2,646.1 million in 2020[12]. - The total equity for the year reached RMB 2,436.4 million, up from RMB 2,182.5 million in 2020[12]. - The net current assets increased to approximately RMB 731.1 million as of December 31, 2021, up from RMB 717.6 million in 2020, mainly due to an increase in bank balances[71]. - As of December 31, 2021, the group had cash and cash equivalents of RMB 1,227.3 million, an increase of RMB 77.7 million from RMB 1,149.6 million as of December 31, 2020[74]. Operational Efficiency and Management - The company plans to enhance profitability by optimizing pricing strategies and diversifying revenue sources[25]. - The company is focused on attracting and retaining qualified teachers while enhancing their research and curriculum development capabilities[25]. - The company has a strong management team with members holding various educational qualifications, including master's degrees in engineering and business administration[98]. - The management team collectively brings decades of experience in their respective fields, enhancing the company's strategic decision-making capabilities[106]. - The company has been expanding its management team with experienced professionals to enhance operational efficiency[120][123]. Compliance and Governance - The company has maintained compliance with relevant laws and regulations without any significant violations during the fiscal year ending December 31, 2021[136]. - The board has no disclosed relationships among its members, ensuring independent governance[123]. - All independent non-executive directors confirmed their independence according to the listing rules, and the company considers them independent as of December 31, 2021[158]. - The company emphasizes the importance of financial control and discipline within its operations[123]. Environmental and Social Responsibility - The company is committed to integrating environmental protection concepts into its educational practices, although its operations do not have significant environmental impacts[135]. - The company has established a compliance mechanism to adhere to environmental policies and has not encountered any violations related to environmental protection during the year[135]. Shareholder and Financial Structure - The company reported a distributable reserve of approximately RMB 1,410 million as of December 31, 2021[145]. - The company's issued and paid-up shares amounted to 1,600,830,000 shares as of December 31, 2021[142]. - The company raised approximately HKD 600 million from its IPO by issuing 400,000,000 shares at HKD 1.5 per share, with a net amount of approximately HKD 524 million after deducting underwriting fees and related expenses[151]. - 50% of the net proceeds (approximately RMB 231 million) is allocated for acquiring other schools to expand the school network, with the expected utilization by December 31, 2024[151]. Contracts and Agreements - The company operates through Wholly Foreign-Owned Enterprises (WFOEs) to manage its educational business in China[173]. - The structural contracts allow the company to effectively control the financial and operational policies of schools operating in China, complying with applicable laws[173]. - The exclusive purchase option agreement allows WFOEs to acquire all or part of the equity of Jia Hong Holdings Group and its subsidiaries, as well as the interests of the organizer of Jingyi Middle School, at the minimum price permitted by Chinese laws and regulations[198].

Financial Performance - Revenue for the six months ended June 30, 2021, was RMB 318,352,000, representing a 16% increase from RMB 274,733,000 in 2020[13] - Gross profit for the same period was RMB 192,326,000, up 16% from RMB 165,103,000 in 2020[13] - The company reported a net profit of RMB 192,539,000, which is a 19% increase compared to RMB 161,894,000 in the previous year[13] - Revenue increased by 16% from RMB 274.7 million to RMB 318.4 million for the six months ended June 30, 2021, primarily due to increased tuition and accommodation fees[48] - Gross profit rose by 16% from RMB 165.1 million to RMB 192.3 million, consistent with revenue growth[50] - Profit before tax increased by 19% to approximately RMB 194.0 million compared to the same period last year[57] - Core net profit was RMB 195.8 million, up from RMB 172.6 million in the previous year[61] - Basic and diluted earnings per share for the parent company shareholders was RMB 9.28, compared to RMB 8.01 in the prior year, marking a 15.8% increase[121] - The company reported a profit attributable to ordinary shareholders of RMB 148,611,000 for the six months ended June 30, 2021, compared to RMB 128,285,000 for the same period in 2020, representing an increase of approximately 15.9%[169] Assets and Liabilities - Current assets decreased by 29% to RMB 821,639,000 from RMB 1,160,927,000 as of December 31, 2020[14] - Current liabilities saw a significant reduction of 68%, dropping to RMB 143,951,000 from RMB 443,325,000[14] - The total equity increased by 2% to RMB 2,222,052,000 from RMB 2,182,517,000[14] - Non-current assets totaled RMB 1,571,257,000 as of June 30, 2021, an increase from RMB 1,485,143,000 at the end of 2020[126] - Total equity as of June 30, 2021, was RMB 2,222,052,000, up from RMB 2,182,517,000 at the end of 2020[129] - The debt-to-equity ratio was zero as of June 30, 2021, and December 31, 2020, due to no bank loans or other borrowings[71] Student Enrollment and Programs - The company operates the largest private higher education institution in Zhejiang Province and is a leading institution in Henan Province[16] - Longzheng College ranked first in the enrollment plan for private colleges in Zhejiang Province for 2021[18] - The company offers a diverse range of practical courses aimed at enhancing students' employability in the labor market[16] - The company ranks 7th in the enrollment plan for private undergraduate colleges in Henan Province for 2021[25] - The company offers 46 undergraduate programs and 20 specialized programs across six major disciplines[26] - The total student capacity for the Economic and Trade College is 24,809 in 2021, with a utilization rate of 97.0%, up from 93.7% in 2020[34] Operational Developments - The company has established partnerships with 328 enterprises and organizations to create off-campus internship training bases[23] - The company has 7 on-campus training bases and approximately 133 training rooms[22] - The company has established high-level off-campus internship bases with over 200 enterprises, enhancing practical training opportunities[29] - The company is a pilot unit for the modern apprenticeship system in Zhejiang Province[23] - The company has developed a cross-border e-commerce talent training demonstration park in Hangzhou[23] - The company has implemented a strategy to enhance the quality of education and improve employment competitiveness for students[29] Financial Management and Investments - The company aims to acquire or invest in underutilized higher education institutions in China, focusing on those with significant development potential[40] - The company plans to establish a degree-granting higher education institution in California, USA, offering courses in business administration and international business[41] - The company intends to optimize pricing strategies to enhance profitability, with tuition rates subject to approval from local government price agencies[43] - The company has not encountered any regulatory intervention regarding the adoption of structured contracts for consolidating financial performance[83] - The company has established structured contracts to control and benefit from private higher education and high school operations in China[83] Employee and Governance - Teacher quality is a key factor affecting teaching quality and future development, with approximately 99.2% of teachers holding a bachelor's degree or above and about 71.5% holding a master's degree or above as of June 30, 2021[32] - The total employee benefits expenditure (excluding director remuneration) for the six months ended June 30, 2021, was approximately RMB 76.5 million[73] - The company had 1,870 employees as of June 30, 2021[73] - The audit committee, consisting of three independent non-executive directors, is responsible for reviewing and supervising the company's financial reporting procedures and internal controls[91] - The company has adopted the Corporate Governance Code and has complied with its provisions, except for the separation of the roles of Chairman and CEO[88] Cash Flow and Capital Expenditures - Cash and cash equivalents decreased to RMB 810.4 million from RMB 1,149.6 million, primarily due to capital expenditures and dividend payments[65] - Capital expenditures for the six months ended June 30, 2021, amounted to RMB 114.0 million, mainly for campus construction and equipment purchases[67] - The company’s cash flow from operating activities for the six months ended June 30, 2021, was a net outflow of RMB 69,920,000, an improvement from a net outflow of RMB 89,813,000 in the same period of 2020[140] - The company incurred capital expenditures of RMB 116,839,000 for property, plant, and equipment during the six months ended June 30, 2021, significantly higher than RMB 26,383,000 in the same period of 2020, marking an increase of approximately 343%[172] Dividends and Shareholder Information - The company does not recommend the payment of an interim dividend for the six months ended June 30, 2021[90] - The company declared a final dividend of RMB 149,604,000 for the six months ended June 30, 2021, compared to RMB 109,833,000 for the same period in 2020, reflecting an increase of approximately 36.2%[165] - As of June 30, 2021, the largest shareholder, Mr. Chen Yuguo, holds 378 million shares, representing 23.61% of the company's total shares[98] - The company plans to fully utilize the unallocated proceeds by December 31, 2022[95]

Financial Performance - JH Educational Technology reported a revenue of $XX million for the fiscal year 2020, representing a YY% increase compared to the previous year[2]. - Revenue increased from RMB 485.1 million in 2019 to RMB 561.3 million in 2020, representing a growth of 15.8%[26]. - Annual profit rose from RMB 227.2 million in 2019 to RMB 325.6 million in 2020, an increase of 43.4%[26]. - Core net profit increased from RMB 249.7 million in 2019 to RMB 331.8 million in 2020, a growth of 32.8%[24]. - The company reported a net profit margin of FF% for the fiscal year, indicating strong operational efficiency[2]. - The company recorded a profit of approximately RMB 325.6 million for the year ended December 31, 2020, representing a growth of about 43% compared to RMB 227.2 million in 2019[79]. - Profit attributable to owners of the company increased by approximately 51% to RMB 265.9 million for the year ended December 31, 2020[80]. - The company reported a significant increase in revenue, achieving a total of $150 million for the fiscal year, representing a 25% growth compared to the previous year[121]. - The group reported a significant increase in revenue for the fiscal year 2020, with total revenue reaching approximately HKD 1.2 billion, representing a year-on-year growth of 15%[147]. User Growth and Engagement - The company has expanded its user base to ZZ million active users, reflecting a growth of AA% year-over-year[2]. - User data showed a 30% increase in active users, reaching 1.2 million by the end of the fiscal year[121]. - Management highlighted a focus on improving customer engagement through enhanced digital platforms, targeting an increase in user retention rates by EE%[2]. - The company plans to expand its educational services into new regions, targeting a 20% increase in market share over the next three years[150]. Future Guidance and Strategic Initiatives - Future guidance indicates an expected revenue growth of BB% for the next fiscal year, driven by new product launches and market expansion strategies[2]. - The company is investing in R&D for innovative educational technologies, with a budget allocation of $CC million for the upcoming year[2]. - The company is exploring potential acquisitions to enhance its service offerings, with a budget of $10 million allocated for this purpose[121]. - A new strategic partnership was announced, expected to enhance distribution channels and increase user engagement by 25%[121]. - The company plans to acquire or invest in underutilized higher education institutions in China, focusing on profitable private schools in Central, Eastern, and Southern China[61]. Operational Efficiency and Profitability - The gross profit margin for 2020 was approximately 59.5%, up from 53.2% in 2019[26]. - The company aims to optimize pricing strategies and diversify revenue sources to improve profitability[27]. - The financial summary indicates a stable operating profit margin of approximately 25% for the fiscal year 2020[149]. - The company reported a net profit margin of 12%, up from 10% in the previous year, indicating improved operational efficiency[121]. Expansion and Capacity - The company plans to enter new markets in Asia, aiming for a market share increase of DD% within the next two years[2]. - Long March College expanded its campus in 2020, increasing student capacity to 13,900[39]. - The total student capacity of JH Education's JH Business School increased to 24,809 in 2020, up from 22,947 in 2019, reflecting a utilization rate of 97.3% compared to 93.7% in the previous year[54]. - The company plans to establish a new campus in Kaifeng, Henan, with an estimated capacity of 15,000 students[60]. Financial Health and Assets - The current ratio improved from 2.4 in 2019 to 2.6 in 2020, indicating better short-term financial health[17]. - Total assets increased from RMB 1,982.2 million in 2019 to RMB 2,182.5 million in 2020[24]. - Cash and cash equivalents increased to RMB 1,149.6 million as of December 31, 2020, from RMB 524.5 million in 2019, with a net cash flow from operating activities of RMB 441.5 million[86]. - The company had no bank borrowings as of December 31, 2020, and confirmed no difficulties in obtaining bank loans or any defaults[88]. Compliance and Governance - The company has complied with all relevant laws and regulations without any serious violations during the year ended December 31, 2020[156]. - The board of directors includes five executive directors and three independent non-executive directors, with a rotation policy requiring one-third of directors to retire every three years[183]. - The company has confirmed the independence of all independent non-executive directors as of December 31, 2020[185]. - The remuneration policy for directors is designed to attract and retain talent, with regular reviews based on market practices and company performance[190]. Social Responsibility - The company donated RMB 5 million for COVID-19 prevention efforts and RMB 1 million for poverty alleviation during the year ended December 31, 2020[179]. - The company has established a compliance mechanism to adhere to relevant laws and environmental policies in China[150]. - The company has not encountered any significant environmental impact or violations related to environmental protection during the year[155].

Financial Performance - Revenue for the six months ended June 30, 2020, was RMB 274,733,000, an increase of 8% compared to RMB 254,829,000 for the same period in 2019[10] - Gross profit for the same period was RMB 165,103,000, reflecting a 12% increase from RMB 147,476,000 in 2019[10] - The company reported a pre-tax profit of RMB 163,704,000, which is a 24% increase from RMB 131,493,000 in the previous year[10] - Net profit for the period was RMB 161,894,000, representing a 26% increase compared to RMB 128,724,000 in 2019[10] - Revenue increased by 8% from RMB 254.8 million for the six months ended June 30, 2019, to RMB 274.7 million for the six months ended June 30, 2020, primarily due to an increase in student enrollment and tuition fees[43] - Gross profit rose by 12% from RMB 147.5 million for the six months ended June 30, 2019, to RMB 165.1 million for the six months ended June 30, 2020, aligning with revenue growth[45] - Profit before tax was approximately RMB 163.7 million for the six months ended June 30, 2020, compared to approximately RMB 131.5 million for the same period in 2019[52] - Net profit for the six months ended June 30, 2020, was approximately RMB 161.9 million, representing a growth of about 26% from RMB 128.7 million for the same period in 2019[54] - Core net profit increased to RMB 172.6 million for the six months ended June 30, 2020, from RMB 142.6 million for the same period in 2019[56] - Total comprehensive income for the period was RMB 170,078 thousand, compared to RMB 128,466 thousand in 2019, marking a 32.4% increase[121] Assets and Liabilities - Current assets decreased by 22% to RMB 756,538,000 from RMB 971,190,000 as of December 31, 2019[11] - Current liabilities significantly decreased by 71% to RMB 116,643,000 from RMB 398,545,000 in the previous year[11] - Total equity increased by 3% to RMB 2,042,416,000 from RMB 1,982,171,000 as of December 31, 2019[11] - As of June 30, 2020, the net current assets amounted to approximately RMB 639.9 million, an increase from RMB 572.6 million as of December 31, 2019, primarily due to a decrease in contract liabilities by approximately RMB 283.6 million[59] - The group maintained a debt-to-equity ratio of zero as of June 30, 2020, due to the absence of bank loans and other borrowings[64] - The total contract liabilities as of June 30, 2020, amounted to RMB 6.82 million, a significant decrease from RMB 290.42 million as of December 31, 2019[155] Educational Operations - The company operates three schools, including Changzheng College and Zhengzhou Economic and Trade College, focusing on market-oriented professional courses[13] - The company is the largest private higher education institution in Zhejiang Province and a leading institution in Henan Province[13] - The company has invested resources in designing diverse courses to meet the changing demands of the labor market[13] - Long March College offers approximately 38 programs across seven key disciplines, including finance and accounting, business trade, and applied languages[17] - The college's e-commerce vocational training base received financial support from the central government, while the financial accounting training base was designated as a demonstration training base by the Zhejiang provincial government[17] - Zhengzhou University of Economics and Trade has established three provincial key construction disciplines and two provincial experimental teaching demonstration centers[19] - The college has 47 undergraduate programs and 16 associate degree programs, with several recognized as provincial advantageous and characteristic programs by the Henan Provincial Department of Education[19] - The student-to-teacher ratio at Changzheng College and Zhengzhou Economic and Trade College was 1:28.4 and 1:27.0, respectively, not meeting the regulatory requirement of 1:18[36] - The company is committed to improving educational quality and plans to allocate additional resources for future teacher recruitment and retention to enhance the student-to-teacher ratio[36] Impact of COVID-19 - Due to the COVID-19 pandemic, approximately RMB 17.3 million in accommodation fees were refunded to students[23] - The company successfully transitioned to online education during the COVID-19 pandemic, ensuring that teaching tasks were completed on schedule without significant financial impact[29] - The group has not experienced any significant changes in lease payments due to the COVID-19 pandemic[146] Future Plans and Strategies - The company plans to expand its school network, including a new campus in Kaifeng, Henan Province, with an estimated capacity of 15,000 students[30] - The company aims to acquire or invest in underutilized higher education institutions in China, focusing on those with significant development potential[31] - A new degree-granting institution is planned in California, USA, offering courses in business administration and international business[34] - The company intends to optimize its pricing strategy to enhance profitability, leveraging its brand recognition to adjust tuition and accommodation fees without harming its reputation[35] - The company is actively seeking acquisition targets and plans to establish new campuses as part of its growth strategy[84] Shareholder and Governance Structure - The chairman and CEO roles are held by the same individual, Mr. Chen Yuguo, to ensure consistency in leadership and strategic planning[76] - As of June 30, 2020, Mr. Chen Yuguo holds 378 million shares, representing 23.625% of the company[86] - The company has a significant shareholder structure with major holdings concentrated among a few entities[97] - The company’s governance and shareholder rights are in compliance with relevant regulations[116] Cash Flow and Expenses - The net cash flow used in operating activities for the six months ended June 30, 2020, was RMB (89,813,000), compared to RMB (66,273,000) for the same period in 2019, indicating a decline in cash flow[136] - The company experienced a net cash inflow from investing activities of RMB 22,559,000 for the six months ended June 30, 2020, a significant improvement from a net outflow of RMB (237,693,000) in the same period of 2019[136] - The company’s financing activities resulted in a net cash outflow of RMB (110,362,000) for the six months ended June 30, 2020, compared to a net inflow of RMB 476,229,000 in the same period of 2019, indicating a significant change in financing strategy[136] Dividends and Share Capital - The company does not recommend the payment of an interim dividend for the six months ended June 30, 2020, compared to an interim dividend of HKD 0.021 and a special interim dividend of HKD 0.054 for the same period in 2019[78] - The issued and fully paid ordinary shares remained at 1,600,830,000 shares as of June 30, 2020, unchanged from December 31, 2019[180] Compliance and Regulatory Matters - The group has adopted structural contracts to operate private higher education and high school education businesses in China, ensuring compliance with local regulations[68] - The group has implemented specific measures to comply with qualification requirements for establishing Sino-foreign joint schools, as advised by legal counsel[71] - The company has not received any administrative penalties regarding compliance with the student-to-teacher ratio from regulatory authorities, indicating a low risk of sanctions[36]

Financial Performance - The company reported a revenue of RMB 485,117,000 for the year ended December 31, 2019, representing a significant increase from RMB 301,818,000 in 2018, which is a growth of approximately 60.6%[9] - The gross profit for the same period was RMB 258,102,000, up from RMB 161,749,000 in 2018, indicating a growth of about 59.5%[9] - The company achieved a core net profit of RMB 249,706,000 in 2019, compared to RMB 228,147,000 in 2018, reflecting a growth of approximately 9.5%[9] - The total equity increased to RMB 1,982,171,000 in 2019 from RMB 1,353,143,000 in 2018, marking a growth of about 46.4%[9] - The company reported a pre-tax profit of RMB 230,335,000 for 2019, down from RMB 288,166,000 in 2018, indicating a decline of approximately 20.1%[9] - Revenue increased from RMB 301.8 million for the year ended December 31, 2018, to RMB 485.1 million for the year ended December 31, 2019, representing a growth of approximately 60.6%[21] - Net profit for the year was approximately RMB 227.2 million, down from RMB 286.9 million in the previous year[64] - Core net profit rose to RMB 249.7 million from RMB 228.1 million, reflecting the company's operational performance[67] Student Enrollment and Capacity - The company has a total of 33,988 enrolled students across its three controlled and operated schools, highlighting its position as a leading private higher education institution in Zhejiang and Henan provinces[20] - The number of enrolled students rose from 32,068 in the 2018/2019 academic year to 33,988 in the 2019/2020 academic year, an increase of about 5.7%[21] - The total student capacity for Lean Middle School in 2019 was 1,144, with a utilization rate of 90.4%, up from 81.7% in 2018[40] - The total enrollment for Lean Middle School in the 2019/2020 academic year was 1,034, an increase from 935 in the previous year[41] - The company plans to expand its school network, aiming to increase the student capacity at the Information Business College to approximately 25,000 by the 2020/2021 academic year[44] - A new campus for the Information Business College is planned in Kaifeng, Henan Province, with an estimated capacity of 15,000 students[44] Business Expansion and Strategy - The net proceeds from the company's listing on the stock exchange amounted to approximately HKD 524 million (equivalent to RMB 461 million), which will primarily be used for business expansion[19] - The company aims to leverage the growth potential in the Chinese higher education market, focusing on expanding its school network both domestically and internationally[20] - The company plans to expand its business operations and school network to achieve economies of scale, optimize pricing strategies, and enhance profitability[22] - The company intends to grow its business scale through external mergers and acquisitions in the foreseeable future[25] - The company is focusing on acquiring underutilized higher education institutions in China, particularly in Central, Eastern, and Southern regions[45] Financial Health and Ratios - The current ratio improved significantly to 2.4 in 2019, compared to 1.0 in 2018, indicating better short-term financial health[12] - As of December 31, 2019, net current assets amounted to approximately RMB 572.6 million, an increase attributed to higher bank deposits and reduced bank loan balances[68] - The company had no bank borrowings as of December 31, 2019, confirming no difficulties in obtaining bank loans[69] - The debt-to-asset ratio was zero as of December 31, 2019, compared to 6.6% the previous year, due to the absence of bank loans[73] Educational Offerings and Quality - The company is committed to nurturing professional talent and solidifying its position as a leading private higher education provider in its regions[20] - The company aims to continuously attract and retain qualified teachers while improving their research and curriculum development capabilities[22] - The company is committed to improving its curriculum and professional offerings based on changing market trends to enhance teaching quality and reputation[22] - The Long March College offers approximately 38 programs across seven key disciplines, with several programs recognized as provincial-level advantageous and characteristic programs[32] - The Information Business College has been approved to transition from an independent college to a private undergraduate institution, enhancing its educational offerings[33] - The Information Business College has established nine provincial-level advantageous programs, with several others recognized as provincial-level characteristic programs[34] Compliance and Governance - The company has established compliance mechanisms to adhere to relevant laws and regulations in its operations[154] - The company has not encountered any significant environmental violations during the year[153] - The board of directors consists of both executive and independent non-executive members, ensuring compliance with independence requirements[182] - The company has adopted a share option scheme to incentivize directors and senior management, aligning their interests with the company's performance[187] Management and Leadership - The company has a diverse board with members holding various educational and professional qualifications[118] - The management team includes individuals with significant experience in finance and corporate governance[120] - The financial director has over 22 years of experience in financial management and auditing[140] - The company has a management team with extensive experience in the education sector, including over 33 years for one senior manager[136] COVID-19 Response - The company has implemented alternative solutions for students during the COVID-19 pandemic, including online modules and remote learning activities[79] - The company will continue to monitor the impact of the COVID-19 pandemic on its financial performance and will issue further announcements if necessary[79] IPO and Capital Allocation - The total amount raised from the IPO was approximately HKD 600 million, with a net amount of HKD 524 million (equivalent to RMB 461 million) after deducting underwriting fees and related expenses[176] - 50% of the net proceeds (RMB 231 million) is allocated for acquiring other schools to expand the school network by December 31, 2022[176] - 40% of the net proceeds (RMB 184 million) is designated for business expansion, including establishing an information business academy and a new campus at Changzheng Academy by December 31, 2022[176] - 10% of the net proceeds (RMB 46 million) is reserved for working capital and general corporate purposes by December 31, 2022[176] Employee Relations and Training - The company maintains strong relationships with employees, suppliers, and customers, recognizing their importance for achieving corporate goals[155] - The company has adopted an employee training program to ensure competitiveness within the industry[155] - The company plans to invest additional resources to improve teacher recruitment and retention in response to increasing enrollment numbers[84]

Financial Performance - Revenue for the six months ended June 30, 2019, was RMB 254,829,000, representing a 159% increase compared to RMB 98,454,000 in 2018[10] - Gross profit for the same period was RMB 147,476,000, up 115% from RMB 68,632,000 in 2018[10] - The company reported a net profit of RMB 128,724,000 for the period, a 3% increase from RMB 124,753,000 in 2018[10] - Revenue increased by 159% from RMB 98.5 million for the six months ended June 30, 2018, to RMB 254.8 million for the six months ended June 30, 2019, primarily due to the inclusion of the financial performance of the Information Business College[37] - Sales costs rose by 260% from RMB 29.8 million to RMB 107.4 million during the same period, mainly due to the consolidation of Information Business College's financial performance[38] - Gross profit increased by 115% from RMB 68.6 million to RMB 147.5 million, driven by the inclusion of Information Business College's gross profit of approximately RMB 85.1 million[40] - Other income and gains surged by 308% from RMB 4.5 million to RMB 18.2 million, attributed to the consolidation of Information Business College's financial performance and an increase in government grants[41] - Administrative expenses rose by 131% from RMB 12.0 million to RMB 27.7 million, mainly due to the inclusion of Information Business College's administrative expenses of approximately RMB 5.8 million[43] - The profit before tax for the six months ended June 30, 2019, was approximately RMB 131.5 million, a slight increase from RMB 130.7 million for the same period in 2018[50] - The net profit for the six months ended June 30, 2019, was approximately RMB 128.7 million, compared to RMB 124.8 million for the same period in 2018[52] - The core net profit for the six months ended June 30, 2019, was RMB 142.6 million, up from RMB 133.5 million for the same period in 2018[53] - Basic and diluted earnings per share for the period were RMB 0.0802, an increase from RMB 0.0477 in the prior year[123] - The group reported a pre-tax profit of RMB 98,570,000 for the six months ended June 30, 2019, compared to RMB 57,271,000 for the same period in 2018, marking an increase of 72%[191] - Basic earnings per share for the period were RMB 0.080, compared to RMB 0.048 for the same period in 2018, representing a growth of 67%[191] Assets and Liabilities - Total current assets increased by 71% to RMB 851,896,000 from RMB 497,971,000 as of December 31, 2018[11] - Total assets as of June 30, 2019, amounted to RMB 1,993,804,000, compared to RMB 1,367,510,000 at the end of 2018, reflecting a growth of approximately 46%[128] - Non-current assets totaled RMB 1,373,883,000, slightly up from RMB 1,372,367,000 at the end of 2018[128] - The total reserves of the company reached RMB 1,552,314 million as of June 30, 2019, compared to RMB 1,065,466 million at the end of 2018, marking a substantial increase of approximately 45.7%[137] - The company experienced a decrease in deferred income from RMB 14,336 million to RMB 12,780 million, a decline of about 10.9%[131] - The total contract liabilities as of June 30, 2019, amounted to RMB 17,409,000, down from RMB 259,203,000 as of December 31, 2018, indicating a decrease of 93%[179] Equity and Financing - Total equity rose by 46% to RMB 1,980,452,000 from RMB 1,353,143,000 in the previous year[11] - The debt-to-equity ratio as of June 30, 2019, was 5.5%, down from 6.6% as of December 31, 2018, due to an increase in total equity[60] - Financing costs amounted to RMB 2.6 million for the six months ended June 30, 2019, due to an increase in bank loans of RMB 109 million[45] - The bank loans amounted to approximately RMB 109 million as of June 30, 2019, with an effective interest rate ranging from 4.6% to 7.2%[56] - The company raised RMB 527,988,000 from the issuance of shares during its initial public offering, with share issuance expenses amounting to RMB 25,631,000[143] Education and Institutional Development - The company operates three schools in Zhejiang and Henan provinces, making it the largest private higher education institution in Zhejiang as of December 31, 2017[14] - The company has established several market-oriented professional groups based on research into current and anticipated market demands[14] - The company has invested resources in designing a diverse range of courses to enhance students' practical skills, which are crucial for competitiveness in the job market[14] - The company aims to regularly update its professional offerings based on regional economic development and industry demand[14] - The company has a focus on providing high-quality private education, including formal undergraduate, vocational, and high school education[14] - The company aims to develop high-level private higher education institutions with a focus on quality and distinctive features[18] - The company operates approximately 33 majors across various disciplines, including finance, business trade, and applied languages[18] - The company plans to establish a new campus for the Information Business College in Kaifeng, Henan, with an estimated capacity of 15,000 students[31] - The company aims to expand the existing campus of Changzheng College in Hangzhou, Zhejiang, to accommodate approximately 13,024 students[31] - The company intends to establish a degree-granting higher education institution in California, USA, focusing on business administration and international business courses[35] Regulatory Environment - The Foreign Investment Law draft, announced by the Ministry of Commerce in January 2015, aims to replace existing regulations governing foreign investment in China, potentially impacting the entire legal framework for foreign investments[64] - The Foreign Investment Law, adopted on March 15, 2019, will take effect on January 1, 2020, promoting further opening up and protecting the legitimate rights and interests of foreign investors[67] - Under the new law, foreign investors are entitled to national treatment prior to market entry and are subject to a negative list management system[67] - The law specifies that foreign investment entities controlled by foreign investors will be classified as foreign investment entities, which may face restrictions if they operate in industries listed on the negative list[64] - The company operates in the private education sector in China through variable interest entities (VIEs) due to restrictions on foreign investment in this industry[72] - The company has established structured contracts to control domestic schools and expects to enter into similar agreements for new schools, ensuring compliance with relevant regulations[72] - The establishment and changes of foreign enterprises must be filed with authorized business agencies unless approved by special management measures[71] - The Foreign Investment Law abolishes previous laws governing foreign-invested enterprises, with existing foreign enterprises allowed to retain their organizational structures for five years post-implementation[68] - The company has not encountered any regulatory interventions regarding the adoption of structured contracts to consolidate the financial performance of its subsidiaries[72] - The negative list management system restricts foreign investment in certain sectors, requiring compliance with specific conditions for investment in restricted areas[67] Shareholder Information - The board has proposed an interim dividend of HKD 0.021 per ordinary share and a special interim dividend of HKD 0.054 per ordinary share, subject to shareholder approval[82] - The company has no plans for significant investments or acquisitions beyond what is disclosed in the interim report[74] - There have been no significant events after June 30, 2019, that could materially impact the company's operations and financial performance[75] - The company has not purchased, sold, or redeemed any of its listed securities during the period from listing to June 30, 2019[89] - The company will suspend share transfer registration from September 23 to September 26, 2019, to determine eligibility for attending the special general meeting[85] - As of June 30, 2019, Mr. Chen Yuguo holds 378,000,000 shares, representing 23.625% of the company[94] - Mr. Chen Shu holds 216,000,000 shares, accounting for 13.50% of the company[94] - Mr. Chen Lingfeng also holds 216,000,000 shares, which is 13.50% of the company[95] - Mr. Chen Yuchun possesses 120,000,000 shares, equivalent to 7.50% of the company[94] - Ms. Zhang Xuli holds 120,000,000 shares, representing 7.50% of the company[94] - Mr. Chen Nansun has 60,000,000 shares, which is 3.75% of the company[94] - The total equity held by major shareholders includes 378,000,000 shares from Guo's Investment Holdings Limited, 216,000,000 shares from Shu's Investment Holdings Limited, and 216,000,000 shares from Feng's Investment Holdings Limited[103] - The company has no other disclosures regarding the interests or positions of directors and senior management as of June 30, 2019[100] - The beneficial ownership in Jia Hong Holdings Group includes Mr. Chen Yuguo with RMB 15,750,000 (31.50%) and Mr. Chen Shu with RMB 9,000,000 (18.00%)[100] - The company has no additional disclosures regarding interests or positions of directors and senior management in affiliated corporations as of June 30, 2019[100] Cash Flow and Investments - Operating cash flow showed a net outflow of RMB 66,273 million, compared to an outflow of RMB 20,962 million in the previous year, reflecting a worsening cash flow situation[140] - For the six months ended June 30, 2019, cash flow from investing activities was a net outflow of RMB 237,693,000, compared to a net outflow of RMB 1,299,000 for the same period in 2018[143] - The cash flow from financing activities generated a net inflow of RMB 476,229,000, compared to a net outflow of RMB 8,371,000 in the same period of 2018[143] - The company had a repayment of RMB 516,000 to shareholders during the financing activities[143] - Cash and cash equivalents increased by RMB 172,263,000, compared to a decrease of RMB 30,632,000 in the same period of the previous year[145] - The total cash and cash equivalents at the end of the period was RMB 344,877,000, up from RMB 150,485,000 at the end of the same period in 2018[145] - The company had a significant increase in fixed deposits, totaling RMB 793,645,000, compared to RMB 235,937,000 in the previous year[145] Compliance and Governance - The company has adopted the Corporate Governance Code and has complied with its provisions, with the exception of the separation of the roles of Chairman and CEO[78] - The audit committee, consisting of three independent non-executive directors, is responsible for reviewing and supervising the company's financial reporting processes and internal controls[80] - The company has adopted new and revised International Financial Reporting Standards effective from January 1, 2019, impacting its financial reporting[153] - The adoption of IFRS 16 resulted in an increase of RMB 308,324 thousand in right-of-use assets[161] - The lease liabilities increased by RMB 1,276 thousand as of January 1, 2019, reflecting the present value of remaining lease payments[161] - The average incremental borrowing rate used for lease liabilities was 4.75%[164] - The company recognized depreciation expenses of RMB 4,232 thousand for right-of-use assets during the reporting period[170] - The company has chosen to present right-of-use assets separately in the financial statements[159] Market and Customer Insights - The company has not utilized any of the net proceeds from the IPO as of June 30, 2019, and the funds are currently held in interest-bearing bank accounts[88] - There were no single customers contributing 10% or more to the total revenue during the reporting period[174] - The company operates solely in China, with all revenues and long-term assets generated from this region[172]