Shareholding Structure - As of June 30, 2023, the total number of issued shares of the company is 646,203,535[6] - 康睿道 and 康睿道第一 collectively hold 23.77% of the company's shares, amounting to 153,613,800 shares[1] - 東軟國際 and 東軟控股 together own 39.29% of the company's shares, totaling 253,897,000 shares[1] - The shareholding of Century Bliss and its controlled entities is 10.06%, equivalent to 65,010,000 shares[1] - FIL Limited and its controlled entities hold 6.00% of the company's shares, which is 38,782,627 shares[1] Share Incentive Plans - The company has a pre-IPO share incentive plan that granted options for 50,000,000 shares, representing approximately 7.74% of the total issued shares as of June 30, 2023[9] - As of June 30, 2023, 1,780,980 options have been canceled, 4,465,116 options have expired, and 3,372,335 options have been exercised under the pre-IPO share incentive plan[9] - The post-IPO share incentive plan allows for a maximum of 66,666,720 shares to be granted, which is 10% of the total issued shares at the time of listing[10] - No options have been granted, exercised, canceled, or expired under the post-IPO share incentive plan as of June 30, 2023[11] IPO Proceeds Utilization - The net proceeds from the initial public offering (IPO) amounted to approximately HKD 924.2 million (approximately RMB 777.5 million) as of September 29, 2020[13] - As of June 30, 2023, the utilization of IPO proceeds included 51.4% (RMB 399.6 million) for upgrading existing school facilities and campus expansion[14] - 12.9% (RMB 100 million) of the IPO proceeds was allocated for the acquisition of other schools, with RMB 50 million remaining to be utilized by the end of 2023[14] - 25.4% (RMB 198 million) of the IPO proceeds was used for repaying commercial loans, with the full amount already utilized[14] Financial Performance - Revenue for the six months ended June 30, 2023, was RMB 918,430 thousand, representing a 23.5% increase from RMB 743,699 thousand in the same period of 2022[37] - Gross profit for the same period was RMB 459,320 thousand, up 31.4% from RMB 349,504 thousand year-over-year[37] - Operating profit increased to RMB 395,895 thousand, a rise of 14.5% compared to RMB 345,747 thousand in the previous year[37] - Net profit for the period was RMB 273,733 thousand, reflecting an increase of 17.5% from RMB 232,982 thousand in 2022[39] - Basic earnings per share rose to RMB 0.42, compared to RMB 0.35 in the same period last year, marking a 20% increase[37] Assets and Liabilities - Total assets as of June 30, 2023, were RMB 5,443,076 thousand, down from RMB 5,993,620 thousand at the end of 2022[41] - Current assets decreased to RMB 1,151,431 thousand from RMB 1,782,237 thousand at the end of 2022, indicating a significant reduction in liquidity[41] - Non-current assets increased to RMB 4,291,645 thousand from RMB 4,211,383 thousand, showing a slight growth in long-term investments[41] - Total liabilities decreased to RMB 3,531,951 thousand from RMB 4,257,868 thousand, indicating improved financial stability[44] - The company reported a net financial asset impairment loss of RMB 2,826 thousand, compared to RMB 85 thousand in the previous year, highlighting increased financial risks[37] Cash Flow and Financial Position - The net cash used in operating activities for the six months ended June 30, 2023, was RMB 414,142,000, compared to RMB 293,075,000 for the same period in 2022, representing a 41.3% increase[64] - The company reported a total comprehensive income of RMB 271,834,000 for the period, down from RMB 273,733,000 in the previous period[57] - The cash and cash equivalents at the end of the period were RMB 855,703,000, a decrease from RMB 882,806,000 at the beginning of the period[64] - The company incurred a net cash outflow from investing activities of RMB 36,728,000, a significant improvement compared to a net outflow of RMB 273,677,000 in the previous year[64] Corporate Governance and Compliance - The company confirmed compliance with the corporate governance code during the reporting period[24] - The board of directors does not recommend the payment of an interim dividend for the reporting period[29] - The company has maintained the minimum public float as required by the listing rules throughout the reporting period[28] - The audit committee reviewed the unaudited interim financial information for the six months ended June 30, 2023, ensuring compliance with applicable accounting principles[20] Taxation and Financial Efficiency - Several subsidiaries are eligible for a preferential corporate income tax rate of 15% to 20%, contributing to the overall tax efficiency of the company[145] - The company has recognized that certain tax losses may not be utilized against future profits, leading to no deferred tax asset recognition for these losses[152] - The company continues to focus on maintaining its status as a high-tech enterprise, which allows for reduced tax rates and potential growth in profitability[144] Future Outlook - The company plans to continue expanding its market presence and investing in new technologies and products[66] - The company’s revenue from educational services is expected to grow in the upcoming quarters due to increased demand for higher education in China[76] Investment Properties and Leases - The company entered into a lease agreement for the management and operation of a cardiovascular hospital, enhancing its healthcare technology education resources[173] - A new lease agreement was established for smart imaging collaborative research, further supporting scientific research and practical training for students[173] - The company continues to utilize the income approach for the valuation of investment properties, based on total rental income during the lease term[174]

Education and Training Development - In the first half of 2023, the company launched and upgraded multiple smart training labs, including an unmanned driving training lab and an e-commerce big data training lab[1]. - The company developed 9 majors, 139 standardized professional courses, and 1,220 systematic projects, with 13 new standardized courses and 218 systematic projects added in the first half of 2023[3]. - The online education platform registered over 270,000 new users and launched 179 new courses totaling 1,600 hours of content in the first half of 2023[4]. - The total number of enrolled students across three universities reached 52,819 as of June 30, 2023, representing a 16% year-on-year increase[17]. - The total enrollment for the 2023/2024 academic year increased by 2,365 students, a growth of approximately 14% compared to the previous academic year[14]. - The company expanded its influence through the "Dongsoft Education Cup" series competitions, reaching over 150 universities across more than 20 provinces by June 30, 2023[7]. - The company launched several new smart education software products, including the first Metaverse Smart Health Future Education Platform in China[24]. - The company launched 14 new programs for the 2023/2024 academic year, covering advantageous fields such as software engineering and big data[105]. - The company has established partnerships with 60 institutions for industry academy and professional co-construction, serving 20,529 students[104]. - The employment rate for the 2022 graduates from the Yunnan Industrial Technology College's Eastsoft Information Industry Academy reached 91%[104]. - The company received approval for the SOVO Space (University Student Entrepreneurship Center) as an "Outstanding Maker Space" by the Sichuan Provincial Department of Science and Technology[109]. Financial Performance - For the six months ended June 30, 2023, the company reported revenue of RMB 918.43 million, an increase of 23.5% compared to RMB 743.70 million in the same period of 2022[29]. - Gross profit for the same period was RMB 459.32 million, reflecting a 31.4% increase from RMB 349.50 million year-over-year[29]. - The net profit attributable to the company's owners was RMB 274.14 million, up 17.6% from RMB 233.18 million in the previous year[29]. - The adjusted net profit was RMB 271.85 million, representing a 17.3% increase compared to RMB 231.74 million in the prior year[29]. - The gross margin improved to 50.0%, up from 47.0% in the same period last year[29]. - The revenue from full-time higher education services reached RMB 748,950,000, up from RMB 580,348,000 in the previous year, indicating a growth of about 29.1%[54]. - The revenue from tuition fees was RMB 690,244,000, an increase from RMB 530,217,000, reflecting a growth of approximately 30.2%[54]. - The company reported a total of RMB 575,097,000 in expenses for the six months ended June 30, 2023, compared to RMB 506,673,000 for the same period in 2022[83]. - The company reported a profit attributable to owners of RMB 274,138 thousand for the six months ended June 30, 2023, compared to RMB 233,176 thousand for the same period in 2022, representing an increase of approximately 17.6%[95]. - Basic earnings per share increased to RMB 0.42 for the six months ended June 30, 2023, up from RMB 0.35 in the same period of 2022, reflecting a growth of about 20%[95]. - The total comprehensive income was RMB 271,834,000, compared to RMB 234,945,000 for the same period in 2022, representing an increase of approximately 15.7%[46]. Expenses and Costs - Revenue cost for the first half of 2023 was approximately RMB 459.1 million, an increase of 16.5% year-on-year, primarily due to increased employee compensation and rising operational costs[6]. - Sales expenses for the first half of 2023 amounted to approximately RMB 20.7 million, a 13.7% increase year-on-year due to enhanced development efforts in educational resources[9]. - Research and development expenses for the first half of 2023 were approximately RMB 20.2 million, a decrease of 11.8% year-on-year as previous projects were completed[11]. - Employee benefit expenses for the six months ended June 30, 2023, were RMB 346,309,000, up from RMB 309,468,000 for the same period in 2022[83]. - The company’s total employee compensation cost for the six months ended June 30, 2023, was RMB 346.9 million, an increase from RMB 309.9 million for the same period in 2022[172]. Assets and Liabilities - The total liabilities decreased to RMB 3,531,951,000 as of June 30, 2023, from RMB 4,257,868,000 at the end of 2022, showing a reduction of about 17.0%[48]. - The group’s non-current liabilities totaled RMB 2,124,436,000, down from RMB 2,250,430,000, indicating a decrease of approximately 5.6%[48]. - The current liabilities decreased significantly to RMB 1,407,515,000 from RMB 2,007,438,000, representing a decline of about 30.0%[48]. - As of June 30, 2023, total assets amounted to RMB 5,443,076,000, down from RMB 5,993,620,000 as of December 31, 2022[75]. - The company's total equity increased to RMB 1,911,125,000 as of June 30, 2023, compared to RMB 1,735,752,000 at the end of 2022[75]. - The company’s long-term borrowings as of June 30, 2023, amounted to RMB 2,026,522 thousand, compared to RMB 2,140,583 thousand as of December 31, 2022[124]. - The total bank borrowings as of June 30, 2023, were approximately RMB 2,486.9 million, compared to RMB 2,386.3 million as of December 31, 2022[144]. - The company has bank borrowings of RMB 1,694.1 million secured against tuition and accommodation fee receivables[197]. - Additionally, there are bank borrowings of RMB 327.0 million secured against part of the equity[197]. Taxation and Dividends - The company has subsidiaries eligible for a preferential tax rate of 15% to 20%, with Neusoft Education Technology Group Co., Ltd. enjoying a corporate income tax rate of 15% for the six months ended June 30, 2023, compared to 12.5% for the same period in 2022[64]. - The company paid an annual dividend of approximately RMB 1,516,000 for the six months ended June 30, 2023, a significant decrease from RMB 71,821,000 for the same period in 2022[70]. - The income tax expense for the six months ended June 30, 2023, was approximately RMB 82.4 million, an increase of 9.0% year-on-year due to an increase in taxable profit[138]. - For the six months ended June 30, 2023, the company did not declare or pay any interim dividends[115]. Future Plans and Investments - The company has plans for market expansion and new product development, although specific details were not disclosed in the conference call[98]. - The company plans to add approximately 3,200 beds with the completion of the Chengdu College Phase 8 project, expected to be operational in the 2023/2024 academic year[21]. - The company has adopted a cautious financial management approach to ensure that its asset and liability structure meets its funding needs[166]. - The company plans to continue investing in the research and development of educational resource products to support stable growth in performance[174]. - The company has no significant investment or capital asset plans beyond those disclosed in the announcement regarding the use of proceeds from the initial public offering[171]. Corporate Governance - The company has adhered to corporate governance codes and best practices during the reporting period[180]. - The company has established an audit committee consisting of two independent non-executive directors and one non-executive director[182].

Corporate Governance - The company has adopted the corporate governance code and will continue to review and monitor its governance practices to ensure compliance[6]. - The company has complied with the standards for securities trading by directors as outlined in the listing rules[7]. - The company is committed to enhancing its governance practices to align with best practices in the industry[6]. - The company has not disclosed any significant changes in its board composition in the past three years, ensuring stability in governance[44]. - The board of directors consists of nine members, including one executive director and three independent non-executive directors[41]. - Liu Jiren, the chairman, has been a core founding member of the group and has held various leadership roles since 2000[43]. Education Quality and Development - The company plans to enhance the quality of education at its three universities to maintain its leading position in the private education sector[10]. - The company is focused on improving the quality of its academic programs and courses to strengthen its competitive edge in the education industry[10]. - The company emphasizes the importance of high-quality educational services as its foundation for growth[10]. - The company has successfully positioned its online education platform as one of the top 100 quality online vocational training platforms recommended by the Ministry of Human Resources and Social Security[62]. - The company has maintained its leading position in the industry by focusing on quality improvement and excellence in three universities[53]. - The company launched four new national-level first-class undergraduate programs, bringing the total to 25, with 7 being national-level, leading among private higher education institutions in China[92]. - The company completed the expansion project of Guangdong College, enhancing its capacity and infrastructure[95]. - The company initiated the construction of the eighth phase expansion project at Chengdu College, indicating ongoing market expansion efforts[99]. - The company has established extensive partnerships with hundreds of well-known enterprises to ensure students acquire practical skills relevant to industry needs[111]. - The company has established a strong product development team to support the digital transformation of education, leveraging over 20 years of experience in the IT field[141]. Digital Talent and Industry Integration - The demand for digital talent in fields such as health technology and digital media is rapidly increasing, leading to a structural shortage of qualified professionals[9]. - The company has a strategy to address the mismatch between the demand and supply of digital talent through educational initiatives[9]. - The company is committed to enriching and perfecting its digital talent cultivation innovative products[38]. - The company is focused on integrating industry and education, with plans to develop a collaborative model for industry-academy integration[39]. - The company plans to deepen the integration of industry and education, collaborating with institutions to promote digital economy development along the "Belt and Road" initiative[82]. Financial Performance - Revenue for the year ended December 31, 2022, was RMB 1,548,382,000, reflecting a 13.6% increase from RMB 1,363,126,000 in 2021[100]. - Gross profit increased by 12.7% to RMB 666,739,000 in 2022, up from RMB 591,430,000 in 2021[100]. - Operating profit rose by 34.0% to RMB 597,788,000, compared to RMB 446,175,000 in the previous year[100]. - Net profit attributable to the company’s owners was RMB 385,393,000, a 35.6% increase from RMB 284,222,000 in 2021[100]. - The company achieved a significant increase in other income, which rose by 67.4% to RMB 188,720,000 from RMB 112,744,000[100]. - The adjusted net profit attributable to the company's owners was approximately RMB 380.6 million, a year-over-year increase of 23.0%[168]. - The net profit attributable to the company's owners for the year ended December 31, 2022, was approximately RMB 385.4 million, a growth of 35.6% year-on-year, mainly due to increased profits and the acquisition of 100% net profit from a subsidiary[186]. Student Enrollment and Employment - Total student enrollment across three universities reached 52,882 as of December 31, 2022, an increase of 15.92% from 45,618 in 2021[90]. - New student enrollment for the 2022/2023 academic year exceeded 17,000, representing a growth of 17.1% compared to the previous year[105]. - The average employment rate for the 2022 graduates from the three universities exceeded 90% as of December 31, 2022[110]. - The company provided training services to over 14,000 students in the past year, generating revenue of approximately RMB 49 million, with a stable employment rate of over 90% for IT professionals trained[181]. Research and Development - The company plans to increase investment in R&D for educational resource products, enhancing innovation and upgrading its smart education platform[38]. - The company aims to enhance its R&D capabilities and build a high-level R&D team to empower smart education through technology[84]. - Research and development expenses decreased by 10.0% to approximately RMB 41.5 million, mainly due to the completion of several prior R&D projects[160]. Infrastructure and Capacity Expansion - The student capacity of Dalian College increased to 24,525 beds, with a utilization rate of 75.9%, while Chengdu College reached 17,888 beds with a utilization rate of 115.8%[113]. - In 2022, the three universities added over 7,000 new beds, accommodating more than 58,000 students, with ongoing expansion projects to further increase campus capacity[137]. - The digital campus construction is ongoing, with significant investments in smart classrooms and integrated network architecture to improve the learning experience[115]. Awards and Recognition - The company was recognized as a leading digital talent education service provider in China, focusing on IT and healthcare technology[86]. - The company received the "Most Valuable Education Company" award from Zhito Finance and Tonghuashun Finance in April 2022[72]. - The company received recognition for two case studies at the 2021 China Higher Education Expo as typical examples of "School-Enterprise Cooperation Double Hundred Plan"[63]. - In 2022, the three universities collectively received 1 special award, 6 first-class awards, 5 second-class awards, and 4 third-class awards for teaching achievements, with Dalian College ranking first in Liaoning Province for the number of approved achievements and first-class awards[135].

东软教育未授权任何媒体转发本次会议相关内容未经允许和授权的转载转发均属侵权东软教育将保留追究其法律责任的权利东软教育不承担因转载转发而产生的任何损失和责任市场有风险投资需谨慎提醒广大投资者谨慎做出投资决策 通过学历教育的实践积累了相关的教育的资源已经形成了一体两议的一个业态那么去年的一年全市学历教育发展的非常好我们的学生人数超过了5万同比增长了14.6%两议的业务按照预期良性发展 大连学校有一项广东学有一项推荐参评2023年国家级教学成果奖另外也就是我们学历教育全市在校的学生的人数超出了我们的预期去年一年增长的幅度比较大是我们在校的人数达到了五万两千多名 信息化校园向智慧化校园数字化校园的转化工作进展得非常的顺利基本建设按照原来的预期顺利完成使我们校园的容纳达到了58000个床位去年一年的整个利用率综合超过了91% 另外一个基于4S的研发的工作更加的成体系我们在平台的研发智慧软件的研发教学内容特别是实践案例的研发和数据分析系统功能方面的研发都取得了成效进一步的为我们资源输出奠定了一个好的基础 面对我们选定的9个专业方向重新更迭开发我们又重新开发出34个新的实训室为我们原来设定的5大专业群来做实训的支撑和服务 ...

Financial Performance - Revenue for the year ended December 31, 2022, was RMB 1,548,382 thousand, an increase of 13.6% from RMB 1,363,126 thousand in 2021[1] - Gross profit for the same period was RMB 666,739 thousand, reflecting a 12.7% increase from RMB 591,430 thousand in 2021[1] - Net profit attributable to the owners of the company was RMB 385,416 thousand, up 28.0% from RMB 301,220 thousand in the previous year[1] - Adjusted net profit was RMB 380,608 thousand, representing a 16.0% increase from RMB 328,132 thousand in 2021[1] - Basic earnings per share increased to RMB 0.59, a rise of 37.2% compared to RMB 0.43 in 2021[1] - The company reported a gross margin of 43.1%, slightly down from 43.4% in the previous year[1] - The total comprehensive income for the year amounted to RMB 388,353,000, compared to RMB 308,136,000 in the previous year, reflecting a growth of approximately 26%[109] - Adjusted net profit for the year was impacted by share-based compensation expenses of RMB 3,785,000 and net foreign exchange gains of RMB 8,593,000[116] - Profit attributable to owners for 2022 was RMB 385,393,000, representing a 35.6% increase from RMB 284,222,000 in 2021[140] - Basic earnings per share for 2022 was RMB 0.59, compared to RMB 0.43 in 2021, reflecting a growth of 37.2%[140] Assets and Liabilities - Total non-current assets increased to RMB 4,211,383 thousand from RMB 3,907,026 thousand in 2021[5] - The total assets of the company reached RMB 5,993,620 thousand, an increase from RMB 5,402,065 thousand in the previous year[11] - Total liabilities increased to RMB 4,257,868 thousand in 2022, up from RMB 3,895,166 thousand in 2021, representing a growth of approximately 9.3%[24] - Non-current liabilities rose to RMB 2,250,430 thousand in 2022, compared to RMB 2,045,438 thousand in 2021, marking an increase of about 10.0%[24] - Current liabilities totaled RMB 2,007,438 thousand in 2022, up from RMB 1,849,728 thousand in 2021, reflecting an increase of approximately 8.5%[24] - The total amount of borrowings as of December 31, 2022, was RMB 2,386,255,000, an increase from RMB 2,167,169,000 in 2021[56] - Trade and other payables decreased to RMB 643,142 thousand in 2022 from RMB 715,153 thousand in 2021, a decline of approximately 10.1%[24] - The company's income tax expense for the year was RMB 132,119 thousand, compared to RMB 77,605 thousand in the previous year, indicating an increase of approximately 70.0%[31] - The effective corporate income tax rate for the company was 15% for the year ended December 31, 2022, compared to 12.5% in 2021[44] Revenue Streams - The company generated RMB 1,175,294 thousand from full-time higher education services, up from RMB 1,025,205 thousand in 2021[18] - The company reported a significant increase in continuing education services revenue, with a total of RMB 60,182,000, up from RMB 50,043,000 in 2021, marking a growth of 20.4%[58] - The revenue from educational resource exports was RMB 182,278,000, reflecting a 30.1% increase from RMB 140,138,000 in the previous year[61] - The revenue from smart education platforms and related products reached approximately RMB 82 million, representing a 19.1% increase compared to the previous year[86] - The revenue from digital factory services decreased by 32.0% year-on-year to approximately RMB 44.3 million, primarily due to the transition towards a government-co-built digital factory training base[165] - Other income for the year ended December 31, 2022, was approximately RMB 188.7 million, reflecting a growth of 67.4% year-on-year, mainly due to increased government subsidies and rental income[168] Student Enrollment and Educational Programs - The number of new students enrolled in the 2022/2023 academic year exceeded 17,000, representing a growth of 17.1% compared to the previous year[63] - The total number of students enrolled across three universities surpassed 50,000, setting a new historical high[63] - The company launched 6 new undergraduate programs during the reporting period, focusing on fields such as electronic information engineering and software engineering[65] - The average tuition fee for new students in the 2022/2023 academic year ranged from RMB 18,000 to RMB 34,000, depending on the program[71] - Three universities added 4 national-level and 4 provincial-level first-class undergraduate programs, totaling 25 first-class programs, with Dalian University leading with 7 national-level programs[76] - Students from the three universities achieved 1,295 national-level and 2,543 provincial-level academic competition awards, with an average employment rate exceeding 90% for the 2022 graduates[77] - The total campus capacity reached 58,060 students, with an overall utilization rate of 91.1% as of December 31, 2022, compared to 89.5% in 2021[82] Operational Highlights - The company achieved a total of 150 educational research projects approved by provincial-level education authorities and associations during the reporting period[66] - The company is focused on digital transformation and has established a robust product development team to support its educational technology initiatives[86] - The company emphasizes practical talent cultivation through extensive cooperation with hundreds of well-known enterprises[93] - The company developed 34 training rooms across nine professional directions based on its existing eight laboratories, enhancing its practical training solutions[96] - The company has implemented necessary health precautions in response to COVID-19, ensuring the safety of students and staff while resuming in-person teaching[187] Future Plans and Strategic Focus - The company aims to become a leader in digital talent education services in China, focusing on IT and healthcare technology sectors[67] - The company plans to continue optimizing and upgrading its digital education content, leveraging its strengths in three universities[102] - The company is focused on integrating artificial intelligence, big data, and IoT into its educational content development[98] - The company aims to leverage innovative service models to provide high-quality educational products and services to universities and vocational schools[199] - The company has no plans to distribute retained earnings from its subsidiaries in mainland China in the foreseeable future, intending to retain these earnings for business operations and expansion[43] Human Resources - The company had a total of 2,100 full-time teachers across three universities, with about 90% holding master's or doctoral degrees[175] - Employee benefits expenses for 2022 totaled RMB 630,241,000, up 13.5% from RMB 555,289,000 in 2021[132] Risks and Challenges - The company faces several major risks, including the ability to maintain and adjust tuition levels and expand student enrollment[195] - By 2025, the talent gap in China's new generation information technology industry is projected to reach 9.5 million, indicating a strong demand for skilled professionals[198] - The rapid rise of new industries and digital transformation in traditional sectors has created a structural shortage of digital talent[198]

Financial Performance - Revenue for the six months ended June 30, 2022, was RMB 743.7 million, representing a 24.4% increase from RMB 597.9 million in the same period of 2021[7]. - Gross profit increased by 35.7% to RMB 349.5 million, compared to RMB 257.5 million in the prior year[7]. - The operating profit surged by 84.9% to RMB 345.7 million, up from RMB 187.0 million in the previous year[7]. - Adjusted net profit for the period was RMB 231.7 million, a 62.6% increase from RMB 142.5 million in the same period last year[7]. - Other income rose significantly by 154.9% to RMB 119.2 million, compared to RMB 46.8 million in the previous year[7]. - Net profit for the period increased by approximately 83.6%, with the company's attributable net profit reaching about RMB 233.2 million, a 114.7% increase year-on-year[61]. - Adjusted net profit attributable to the company was approximately RMB 231.9 million, representing a year-on-year growth of 89.5%[66]. - The company reported a profit of RMB 108,587 thousand for the period, with total comprehensive income of RMB 126,729 thousand[146]. Revenue Breakdown - Full-time higher education services accounted for 78.0% of total revenue, generating RMB 580.3 million, a 23.4% increase year-on-year[11]. - The education resources and digital factory segment saw a revenue increase of 40.0% to RMB 97.2 million, contributing 13.1% to total revenue[11]. - Continuing education service revenue reached approximately RMB 66.1 million, up 13.5% year-over-year, mainly due to growth in academic continuing education and training services[53]. - Education resource revenue was approximately RMB 68.9 million, a significant increase of 115.9% year-over-year, attributed to rapid growth in professional co-construction, smart education platforms, and training room income[53]. - Digital factory revenue was approximately RMB 28.3 million, a decrease of 24.6% year-over-year, primarily due to the transition to a government co-built digital factory training base[53]. Student Enrollment and Capacity - The total number of enrolled students across the three universities reached 45,492 as of June 30, 2022, representing a growth of 16.4% compared to 39,084 students on June 30, 2021[18]. - The total enrollment capacity for the 2022/2023 academic year increased by nearly 1,000 compared to the previous year, indicating steady growth in student capacity[21]. - The total number of students at Chengdu University increased by 3,119, representing a growth of 23.9% compared to the previous year[19]. - The total number of students at Guangdong University increased by 1,887, reflecting a growth of 17.8% compared to the previous year[19]. - The total campus capacity of the three universities exceeded 58,060 beds as of June 30, 2022, marking a historical high with an increase of over 7,000 beds during the reporting period[29]. Educational Programs and Initiatives - Dalian University added 1 new undergraduate program in Supply Chain Management and 1 vocational undergraduate program in Electronic Information Engineering during the 2022/2023 academic year[13]. - Chengdu University received approval for 1 national-level first-class undergraduate program in Software Engineering and 1 provincial-level first-class undergraduate program, totaling 6 provincial-level first-class programs[15]. - Guangdong University introduced 1 new undergraduate program in Robotics Engineering and achieved a total of 3 provincial-level first-class undergraduate programs[16]. - The total number of approved employment-oriented education projects by the Ministry of Education reached 52 for Dalian University, ranking first in Liaoning Province and second nationally[13]. - The company launched the Neusoft Education Technology Metaverse Research Institute, focusing on health and medical applications[6]. Online Education and Training - The company aims to expand its market presence by enhancing its online vocational training platforms, recognized by the Ministry of Human Resources and Social Security[6]. - The company plans to enhance online training and diversify its course offerings to meet the growing demand for IT skills[38]. - The company has developed the "Neusoft IT Cloud Academy" to support online paid learning, which was recently launched[37]. - The "Dongsoft Education Online" app registered over 700,000 accounts by June 30, 2022, with a total learning duration of approximately 37,000 hours, of which nearly 60% were paid courses[46]. Financial Position and Investments - As of June 30, 2022, the company's cash and cash equivalents were approximately RMB 882.8 million, down from RMB 1,228.5 million as of December 31, 2021[67]. - The total bank borrowings amounted to approximately RMB 2,539.0 million, an increase from RMB 2,167.2 million as of December 31, 2021[67]. - The company's current ratio as of June 30, 2022, was 0.79, slightly down from 0.81 as of December 31, 2021[69]. - The debt-to-equity ratio was 158.3% as of June 30, 2022, compared to 147.1% as of December 31, 2021, indicating an increase in leverage[73]. - The group's capital expenditure for the six months ended June 30, 2022, was approximately RMB 304.6 million, primarily related to campus upgrades and expansions[75]. Corporate Governance and Shareholder Information - The company adopted the corporate governance code and has complied with its provisions during the reporting period[122]. - As of June 30, 2022, Liu Jiren holds a 70.03% stake in the company, while other executives hold smaller percentages, indicating strong insider ownership[95]. - The company has a stock incentive plan that allows for the issuance of options up to 10% of the total shares issued at the time of listing, effective for ten years[108]. - The company repurchased a total of 10,123,200 shares at a total cost of approximately HKD 41,697,728 during the six months ended June 30, 2022, which represents 10% of the total issued shares as of the annual general meeting date[113]. Future Outlook - Future outlook includes continued investment in R&D, with R&D expenses increasing by 5.3% to RMB 22.9 million[7]. - The company aims to enhance its educational quality and expand its undergraduate programs, focusing on digital transformation in education[88]. - The company plans to expand its online education market by developing a platform ecosystem that includes skill enhancement courses and practical training solutions[93]. - The company’s future outlook includes continued investment in educational infrastructure and potential acquisitions to enhance its market position[110].

Financial Performance - Total revenue for 2021 reached RMB 1,363,126,000, representing a 23.9% increase from RMB 1,100,011,000 in 2020[10] - Gross profit increased by 40.5% to RMB 591,430,000, up from RMB 421,088,000 in the previous year[10] - Net profit for the year surged by 192.6% to RMB 301,220,000, compared to RMB 102,936,000 in 2020[10] - Adjusted net profit for 2021 was RMB 328,132,000, a 19.0% increase from RMB 275,817,000 in 2020[10] - Total revenue for the year ended December 31, 2021, was RMB 1.363 billion, representing a 23.9% increase from RMB 1.1 billion in 2020[19] - Revenue from full-time higher education services was RMB 1.025 billion, a 27.8% increase from RMB 0.802 billion in 2020, accounting for 75.2% of total revenue[19] - Continuing education services generated RMB 133 million, up 7.3% from RMB 124 million in 2020, representing 9.8% of total revenue[19] - Revenue from educational resources and digital factories was RMB 205 million, a 17.8% increase from RMB 174 million in 2020, making up 15.0% of total revenue[19] User Growth and Engagement - The number of users on "Neusoft Education Online" exceeded 500,000, marking a significant milestone[9] - The number of service users exceeded 100,000, indicating steady performance growth[13] - The online education platform "Dongsoft Education Online" registered over 570,000 users, with more than 80,000 paid accounts during the reporting period[63] - Cumulative learning hours for courses exceeded 3,200 hours, with nearly 70% of paid courses focused on IT subjects[63] - The company reported a significant increase in user engagement, with a year-over-year growth of 25% in active users[1] Research and Development - Research and development expenses rose by 38.8% to RMB 46,105,000, up from RMB 33,215,000 in 2020[10] - The company plans to enhance its R&D team and focus on big data analysis and intelligent algorithms to optimize its digital education ecosystem[15][16] - Increased R&D investment is planned to build an integrated R&D system, enhancing teaching resources and developing cloud-based experimental products[124] - Research and development expenses increased by 18% to $20 million, focusing on innovative educational technologies[6] Educational Offerings and Enrollment - The total number of enrolled students reached 45,618 as of December 31, 2021, representing a growth of approximately 16.25% compared to 39,242 in the previous year[31] - The number of new students increased by over 15,000, marking an 18% growth from the 2020/2021 academic year[31] - New programs introduced include a bachelor's degree in Virtual Reality Technology and three vocational bachelor's programs in the 2021/2022 academic year[21] - Enrollment in continuing education programs reached a record high of 5,565 new students, representing an 81% increase from 2020, with total enrollment of 9,130 students, a 33.3% increase year-over-year[48] Financial Health and Capital Management - Cash and cash equivalents as of December 31, 2021, were RMB 1,228.5 million, a decrease from RMB 1,426.1 million as of December 31, 2020[88] - Total bank borrowings as of December 31, 2021, amounted to approximately RMB 2,167.2 million, up from RMB 1,153.3 million in the previous year[88] - The current ratio as of December 31, 2021, was 0.81, compared to 0.92 as of December 31, 2020[92] - The debt-to-equity ratio as of December 31, 2021, was 147.1%, significantly higher than 67.5% as of December 31, 2020[96] Corporate Governance - The company has adhered to the corporate governance code and implemented best practices as of December 31, 2021[170] - The board of directors is responsible for overseeing the company's operations and financial performance, ensuring effective internal controls and risk management systems[173] - The company has adopted a code of conduct for securities trading by directors, ensuring compliance with relevant regulations[171] - The company provides sufficient resources for directors to fulfill their responsibilities and seek independent professional advice when necessary[173] Awards and Recognition - Neusoft Education was recognized as a key online training partner by the Ministry of Industry and Information Technology in October 2021[8] - The company was awarded the "Most Valuable Education Company" at the 2022 Global Investment Trends Forum[9] - Students from various colleges achieved over 300 national-level awards and 700 provincial-level awards in competitions[22] Strategic Initiatives and Future Plans - The company aims to deepen the implementation of its TOPCARES educational methodology and innovate talent cultivation models to create greater value for students[15] - The company aims to strengthen its application-oriented teaching system and continuing education in response to national policies promoting vocational education[120] - The company is developing an online education ecosystem centered on its own products, integrating online courses, practical training, and employment services[125] - The company is expanding its market presence in Southeast Asia, aiming for a 10% market share by the end of the next fiscal year[5]

Financial Performance - Revenue for the six months ended June 30, 2021, was RMB 597,891,000, representing a 36.0% increase compared to RMB 439,604,000 for the same period in 2020[6] - Gross profit for the same period was RMB 257,492,000, reflecting a 64.0% increase from RMB 156,965,000 in 2020[6] - Operating profit increased by 55.0% to RMB 186,961,000 from RMB 120,596,000 year-over-year[6] - Adjusted net profit for the six months ended June 30, 2021, was RMB 142,521,000, a 41.5% increase from RMB 100,707,000 in 2020[6] - Profit attributable to owners of the company was RMB 108,587,000, up 50.1% from RMB 72,366,000 in the same period last year[6] - Total other income increased by 14.3% to RMB 46,751,000 from RMB 40,897,000 in 2020[6] - The company reported a net finance cost of RMB 27,790,000, which is a 62.8% increase from RMB 17,066,000 in the previous year[6] - The adjusted net profit margin for the six months ended June 30, 2021, was 23.8%, compared to 22.9% for the same period in 2020[72] - The company reported a net profit of RMB 108,587 thousand for the period, compared to a profit of RMB 72,366 thousand in the same period last year, representing an increase of approximately 50%[145] Student Enrollment and Educational Services - The number of enrolled students across the three universities reached 39,084 as of June 30, 2021, representing a 10.4% increase from the previous year[23] - Full-time higher education services generated RMB 470.2 million, accounting for 78.7% of total revenue, with a growth of 37.0% compared to RMB 343.2 million in 2020[10] - Total student enrollment as of June 30, 2021, reached 39,084, an increase of 3,696 students or 10.4% compared to 35,388 in 2020[24] - The number of new admissions for the 2021/2022 academic year increased by 1,497, representing a growth rate of 10.2% compared to the previous year[26] - Enrollment in continuing education programs reached a record high of 4,302 new students, with total enrollment in continuing education at 10,196, a 95.9% increase from the previous year[42] - The company introduced new undergraduate programs in virtual reality technology, medical imaging technology, artificial intelligence, and big data management for the 2021/2022 academic year[22] Campus Expansion and Development - The expansion project for Dalian College is nearing completion, with the new campus expected to accommodate approximately 8,000 students[11] - Chengdu College's new campus is projected to be completed in the second half of 2021, with a capacity for about 5,000 students[13] - Guangdong College's expansion includes a research and development center and dormitories, expected to add approximately 4,000 beds upon completion[15] - The company signed a cooperation agreement to establish Fujian Dongruan College, which will have a planned area of approximately 1,637 acres and a construction area of about 290,000 square meters[17] - The company has established a modern industry college in cooperation with Meizhou Bay Vocational Technical College, which can accommodate about 3,000 students[18] Financial Position and Cash Flow - Cash and cash equivalents as of June 30, 2021, were RMB 878.9 million, down from RMB 1,426.1 million as of December 31, 2020[74] - Total borrowings as of June 30, 2021, amounted to approximately RMB 2,000.2 million, an increase from RMB 1,153.3 million as of December 31, 2020[74] - The current ratio as of June 30, 2021, was 1.06, up from 0.92 as of December 31, 2020[76] - The debt-to-equity ratio as of June 30, 2021, was 163.6%, significantly higher than 67.5% as of December 31, 2020[81] - Cash used in operating activities amounted to RMB 270,348 thousand, an increase from RMB 176,881 thousand in the previous year, indicating higher operational expenditures[151] - The company invested RMB 490,830 thousand in the purchase of property, plant, and equipment, significantly up from RMB 121,555 thousand in the prior year[151] Research and Development - Research and development expenses surged by 128.5% to RMB 21,755,000 compared to RMB 9,520,000 in the previous year[6] - The company plans to continue investing in research and development of educational methodologies and technologies, focusing on a three-in-one R&D system to support its business development[96] - New educational resources developed for 9 emerging majors, including Artificial Intelligence and Big Data Management[51] Market Strategy and Future Plans - The company aims to expand its market presence and enhance its innovative education solutions to empower students[6] - The company is actively expanding its market presence by optimizing product structure and launching new courses and services to better meet customer needs[100] - The company is committed to advancing the integration of industry and education, supported by national policies that promote high-quality development in vocational education[95] Shareholder Information - The company holds a significant ownership structure, with Liu Jiren owning 74.14% of the company through controlled entities[102] - The company has implemented a pre-IPO share incentive plan, granting 50,000,000 share options to 246 participants, representing approximately 7.5% of the total issued shares as of June 30, 2021[113] - Kang Ruidao holds a beneficial interest of 150,245,000 shares, representing 22.54% of the company's equity[107] - The company’s major shareholders include Dongsoft International with 37.63% and Dongsoft Holdings with 37.63% in controlled corporation interests[107] Financial Risks and Management - The group faces various financial risks, including market risk, credit risk, and liquidity risk, with management focused on minimizing potential adverse impacts[163] - The group has not experienced significant changes in liquidity risk management policies as of June 30, 2021[164]

Neuedu 東軟教育科技有限公司 Neusof Educations of Education Neusoft Education Neuset 報 （於開曼群島註冊成立的有限公司） 股份代號：9616 告 2 0 2 年 度 0 教育創造學生價值 Empower Students with Innovative Education 目 錄 公司資料 2020大事記 業務亮點 財務摘要 主席致辭 13 管理層討論與分析 47 董事及高級管理層 2 4 8 10 11 56 企業管治報告 董事會報告 獨立核數師報告 綜合利潤表 70 109 116 117 綜合全面收益表 | --- | --- | --- | --- | --- | --- | |-------|-------|-------|-------|------------------|-------| | | | | | | | | | | | 118 | 綜合資產負債表 | | | | | | 120 | 綜合權益變動表 | | | | | | 121 | 綜合現金流量表 | | | | | | 122 | 綜合財務報表附註 | | | | ...

Financial Performance - Total revenue for the six months ended June 30, 2020, was RMB 439,604,000, a decrease of 3.4% compared to RMB 455,233,000 in 2019[11]. - Gross profit for the same period was RMB 156,965,000, down 3.0% from RMB 161,821,000 in 2019[11]. - Operating profit decreased by 3.9% to RMB 120,596,000 from RMB 125,497,000 in the previous year[11]. - Net profit attributable to the owners of the company was RMB 72,366,000, an increase of 2.1% from RMB 70,874,000 in 2019[11]. - The company reported a net adjusted profit of RMB 100,707,000, a slight increase of 0.7% from RMB 99,990,000 in 2019[11]. - Revenue for the six months ended June 30, 2020, decreased by 3.4% to RMB 439.6 million from RMB 455.2 million for the same period in 2019[58]. - Full-time higher education service revenue decreased by 1.5% to RMB 343.2 million for the six months ended June 30, 2020, compared to RMB 348.6 million for the same period in 2019[58]. - Continuing education service revenue increased by 41.5% to RMB 46.1 million for the six months ended June 30, 2020, from RMB 32.6 million for the same period in 2019[58]. - Digital factory revenue decreased by 43.0% to RMB 37.1 million for the six months ended June 30, 2020, from RMB 65.0 million in 2019[60]. - Adjusted profit for the six months ended June 30, 2020, was RMB 100.7 million, a 0.7% increase from RMB 99.99 million for the same period in 2019[62]. Student Enrollment and Education Services - The number of enrolled students across three universities reached 36,083, representing a 5.4% increase from 34,221 in 2019[25]. - The enrollment capacity for the 2020/2021 academic year increased by 2,025 students, a growth rate of 16% compared to the previous year[29]. - New undergraduate programs introduced for the 2020/2021 academic year include Medical Information Engineering and Artificial Intelligence, among others[27]. - The number of students in the undergraduate program at Dalian College rose to 4,109, an increase of 352 students or 9.4%[30]. - The enrollment in the specialized undergraduate program at Chengdu College surged by 2675%, from 8 to 222 students[30]. - The total capacity of the three colleges increased to 37,788 beds, up from 35,321 beds, enhancing future enrollment capabilities[36]. - The number of students in adult higher education programs increased by 4.9% to 3,970, with Dalian College seeing a 24.9% rise[41]. - The company aims to become a leader in digital talent education services in China, focusing on IT industry talent cultivation[20]. Impact of COVID-19 - Due to the COVID-19 pandemic, the company recognized a provision of RMB 239 million for student accommodation refunds for the six months ended June 30, 2020[45]. - The company faced negative impacts from COVID-19, which affected business operations and resulted in student accommodation fee refunds[124]. - The company signed 17 training projects for institutional clients, with 10,839 participants, primarily conducted online due to the pandemic[43]. - Approximately 87,000 registered users utilized the company's smart education platform during the pandemic, with 300 higher education institutions accessing the platforms for free[48]. - The company’s online education initiatives gained unprecedented attention during the pandemic, indicating a strong market outlook for online education[48]. Acquisitions and Strategic Plans - The company acquired 90.91% of Tianjin Ruida for RMB 362.8 million on March 1, 2020, and signed a share purchase agreement for the remaining 9.09% for approximately RMB 36.3 million[48]. - The company aims to strengthen its market position through strategic partnerships and potential acquisitions in the education technology sector[11]. - The company plans to continue expanding its online education services and enhance its technological capabilities[11]. - The company plans to manage its cash flow by increasing operational cash inflows and controlling operating expenses[127]. Financial Position and Cash Flow - As of June 30, 2020, the group's cash and cash equivalents amounted to RMB 262.3 million, a decrease from RMB 562.9 million as of December 31, 2019[63]. - Total bank borrowings as of June 30, 2020, were approximately RMB 1,054.9 million, up from RMB 998.8 million as of December 31, 2019[63]. - The group's capital debt ratio was 135.9% as of June 30, 2020, compared to 146.4% as of December 31, 2019[65]. - The net current liabilities as of June 30, 2020, were approximately RMB 861.7 million, an increase from RMB 616.1 million as of December 31, 2019[65]. - The company reported a significant increase in cash inflow from the settlement of financial assets at fair value, amounting to RMB 326,211 thousand, compared to RMB 309,625 thousand in the previous year[119]. - The company reported a net loss from the sale of properties, plant, and equipment of RMB 21,000 for the first half of 2020, compared to a loss of RMB (16,000) in 2019[169]. Future Outlook and Market Trends - The company aims to continuously optimize its pricing strategy based on regional economic development, service demand, and educational costs, with potential adjustments to tuition fees[56]. - The company plans to enhance its educational offerings by introducing more in-demand new majors in the "IT + Healthcare Technology" sector, aiming to solidify its leadership position[56]. - By 2025, the demand for new generation information technology talent in China is expected to reach 20 million, with a talent gap of approximately 9.5 million[54]. - The demand for healthcare talent in China is projected to reach 47.7 million by 2023, with a talent gap of around 25.4 million[54]. - The Chinese government is actively supporting the expansion of private higher education, with a projected increase of 322,000 students in ordinary colleges and universities in 2020 compared to the previous year[52].