ATA Creativity Global (NASDAQ:AACG) Q2 2020 Earnings Conference Call August 12, 2020 9:00 PM ET Company Participants Carolyne Sohn - VP, IR Amy Tung - CFO Kevin Ma - CEO Jun Zhang - President Conference Call Participants Operator Good day, and welcome everyone to the ATA Creativity Global 2020 Second Quarter and Six Months Financial Results Conference Call hosted by Carolyne Sohn. My name is Mathew, and I'm your event manager. During the presentation, your lines will remain on listen-only. [Operator Instruc ...

Financial Performance - Total net revenues increased to RMB32703000 from RMB1616000, driven by Huanqiuyimeng business contributions[15, 17] - Gross margin was 358%, compared to 253% in Q1 2019[15, 17] - Net loss attributable to ACG was RMB20456000, compared to a net loss of RMB12899000 in the prior-year period, mainly due to increased operating expenses from Huanqiuyimeng[15, 17] - As of March 31, 2020, cash and cash equivalents were USD$216 million[19] Operational Highlights - Huanqiuyimeng coursework was successfully transitioned to an online format due to COVID-19[12] - All in-person coursework was ceased since the beginning of February to prioritize safety[12] - Portfolio training programs experienced an 87% year-over-year decrease in credit hours delivered[12, 14] - Time-based program credit hours decreased by 256%, from 22398 to 16655[14] - Project-based program credit hours increased by 494%, from 6529 to 9755[14] Growth Strategy - ACG plans to scale the growth of well-established education enterprises to expand its presence in China and beyond[26] - The company aims to increase outreach to students seeking overseas study experiences, those looking to enhance capabilities outside academics, and those seeking out-of-classroom learning experiences[26] - ACG will continue exploring M&A opportunities within the education sector[26]

ATA Creativity Global (NASDAQ:AACG) Q1 2020 Earnings Conference Call May 14, 2020 9:00 PM ET Company Participants Carolyne Sohn - Vice President-Investor Relations Kevin Ma - Chief Executive Officer Amy Tung - Chief Financial Officer Jun Zhang - President Conference Call Participants Operator Good day and welcome everyone to the ATA Creativity Global 2020 First Quarter Conference call hosted by Carolyne Sohn. My name is Greg and I'm the event manager for today's call. During your presentation, your lines wi ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F (Mark One) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF ...

Company Overview - ATA Creativity Global (ACG) focuses on providing integrated educational experiences for students in China and abroad[9] - The company aims to offer online, on-campus, and other education programs through a network of global education partners[9] - As of March 26, 2020, the market capitalization was $31.2 million, with 31.2 million ADSs outstanding and a book value per ADS of $1.41[8,9] Key Operating Highlights - Huanqiuyimeng became a wholly-owned subsidiary of ACG in the second half of 2019, leading to a change in the company's name and ticker symbol[12] - Portfolio training programs saw a year-over-year (YoY) growth of 19.3% in credit hours delivered, indicating Huanqiuyimeng's business performance[14] - A private placement is expected to bring in approximately $10.0 million in gross proceeds[13] Enrollment Update (Q4 2019) - Total credit hours for time-based programs decreased by 3.0%, from 35,490 to 34,434[17] - Total credit hours for project-based programs increased significantly by 115.0%, from 8,263 to 17,768[17] - Overall, total credit hours increased by 19.3%, from 43,753 to 52,202[17] Financial Highlights (Q4 2019) - Total net revenues increased to RMB54.1 million, a significant rise from RMB0.2 million in Q4 2018, driven by the Huanqiuyimeng acquisition[18] - Gross margin was 38.6% (47.5% adjusted), a substantial improvement from the negative gross margin of -10.5% in Q4 2018[19] - Net loss from continuing operations attributable to ACG was RMB70.8 million, compared to a net loss of RMB23.8 million in the prior-year period[21] Financial Highlights (Year-End 2019) - Total net revenues increased to RMB97.8 million, up from RMB1.3 million in 2018, due to the Huanqiuyimeng acquisition[20] - Gross margin was 36.7% (45.2% adjusted), a significant improvement from the negative gross margin of -217.6% in 2018[21] - Net loss from continuing operations attributable to ACG was RMB127.0 million, compared to a net loss of RMB63.7 million in the prior year[21] Balance Sheet Highlights (as of December 31, 2019) - Cash and cash equivalents amounted to $22.1 million (RMB154.2 million)[27] - Total assets were $95.9 million (RMB667.7 million)[27] - Shareholders' equity was $43.9 million (RMB305.7 million)[27]

Financial Data and Key Metrics Changes - Total net revenues for Q4 2019 increased to RMB54.1 million compared to RMB0.2 million in Q4 2018, primarily due to contributions from Huanqiuyimeng [17] - Gross margin was 38.6% in Q4 2019 compared to a negative gross margin of 10.5% in the prior year period [18] - Net loss from continuing operations attributable to the company was RMB70.8 million for Q4 2019, compared to a net loss of RMB23.8 million in the prior year [18] - Total net revenues for 2019 increased to RMB97.8 million compared to RMB1.3 million in 2018 [19] - Gross margin for 2019 was 36.7%, compared to a negative gross margin of 217.6% in the prior year [19] - Net loss from continuing operations attributable to the company was RMB127 million in 2019, compared to a net loss of RMB63.7 million in 2018 [19] Business Line Data and Key Metrics Changes - Huanqiuyimeng delivered approximately 52,202 credit hours in Q4 2019, reflecting a 19.3% year-over-year growth from approximately 43,750 credit hours in Q4 2018 [9][12] - Student enrollment for the period was 1,042, with 585 enrolled in the Portfolio Training Program [12] Market Data and Key Metrics Changes - The company noted a slowdown in its contract pipeline due to the coronavirus outbreak, affecting sales and marketing personnel's ability to operate [11] - The impact of the coronavirus on educational travel was acknowledged, with delays and cancellations expected [11] Company Strategy and Development Direction - The company aims to grow enrollments at Huanqiuyimeng and explore additional opportunities in international education markets [22] - There is a focus on developing technologies for remote learning, which has become critical due to the coronavirus outbreak [23] - The company is exploring partnerships with institutions in Europe and the United States to provide additional support for students [24] - The acquisition of Huanqiuyimeng is seen as a step towards becoming a leading international education service provider, particularly in the art and creativity education market [25] Management's Comments on Operating Environment and Future Outlook - Management emphasized the importance of health and safety during the coronavirus outbreak and is closely monitoring its impact on operations [22] - The company believes it is well-positioned to support students and continue growth initiatives despite unforeseen challenges in 2020 [24] Other Important Information - The company completed a private placement with CL-TCC, resulting in gross proceeds of approximately US$10 million [9] - The organizational restructuring and integration of Huanqiuyimeng have been completed [10] Q&A Session Summary - There were no questions from analysts during the Q&A session [26]

Financial Performance - Total net revenues increased to RMB1.4 million[11] due to the development of K-12 education quality monitoring services[11] - Net loss from continuing operations attributable to ATA Inc was RMB18.2 million[11], compared to a net loss of RMB16.4 million in the prior-year period[11] - Cash and cash equivalents were RMB131.6 million[11], equivalent to USD$19.2 million[14] as of June 30, 2019[14] Balance Sheet (as of June 30, 2019) - Total Assets: RMB 310.057 million[13] (USD $45.165 million[13]) - Total Liabilities: RMB 20.270 million[13] (USD $2.953 million[13]) - Shareholders' Equity: RMB 249.053 million[13] (USD $36.279 million[13]) Strategic Direction and Acquisition - ATA's strategy focuses on offering integrated educational experiences in China and abroad[7] - The acquisition of ACG is a major step towards becoming a leading international education service provider[21] - ACG has 23 campus locations covering 21 cities throughout China[23] - ATA plans to leverage its expertise and industry relationships to scale the growth of education enterprises[24]

Financial Data and Key Metrics Changes - Net revenues for Q2 2019 increased to RMB 1.4 million from RMB 1 million in Q2 2018, attributed to the development of K-12 education quality monitoring services in Tianjin province [7] - Net loss from continuing operations attributable to ATA was RMB 18.2 million, compared to RMB 16.4 million in the prior year, primarily due to a decrease in net rental income and an increase in legal and consulting fees related to acquisition activities [7] - The company reported US$19.2 million in cash and cash equivalents with no long-term or short-term debt as of June 30, 2019 [8] Business Line Data and Key Metrics Changes - The company is focusing on the international education market, particularly the growing number of Chinese students studying abroad, which reached over 662,000 in 2018 [9] - The acquisition of approximately 87% equity interest in ACG is a strategic move to enhance ATA's position in the international education service sector [9][10] Market Data and Key Metrics Changes - The international education market is experiencing significant growth, with China being the largest source of students studying abroad [9] - The company aims to expand its market share by leveraging ACG's established reputation in the education market [10] Company Strategy and Development Direction - ATA's long-term objective is to become a leading international education service provider, with a focus on geographic growth, product expansion, and M&A opportunities [10][12] - The company plans to maximize growth in existing centers and selectively open new centers both domestically and internationally [12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth potential in the international education market and the strategic benefits of the ACG acquisition [9][10] - The company is exploring further M&A opportunities within the education space to enhance its business portfolio [14] Other Important Information - The financial results are reported under U.S. GAAP in RMB, with all percentages calculated based on RMB unless otherwise noted [5] - The company has plans to visit the U.S. later in the year to engage with investors [14] Q&A Session Summary Question: Were there any questions from participants? - There were no questions in the queue during the Q&A session [14]

Financial Performance - Total net revenues increased to RMB1.6 million from RMB0.1 million due to the development and expansion of K-12 education assessment services[11] - Loss from continuing operations, net of income taxes, was RMB14.3 million, compared to RMB15.0 million in the prior-year period[11] - Net loss from continuing operations attributable to ATA Inc was RMB12.9 million, compared to a net loss of RMB14.6 million in the prior-year period[12] - Cash and cash equivalents totaled USD$25.1 million as of March 31, 2019[15] Balance Sheet (as of March 31, 2019) - Total Assets: $48.79 million (converted from RMB 327.432 million)[14] - Shareholders' Equity: $39.041 million (converted from RMB 262.013 million)[14] - Total Liabilities: $3.794 million (converted from RMB 25.459 million)[14] Strategic Initiatives and Market Focus - The company is focused on offering a fully integrated educational experience for students throughout China and abroad[6] - The company aims to offer online, on-campus, and other education programs through a network of global education partners[6] - The company is taking advantage of the rapidly growing international study market in China[19] - The company announced Framework Agreements with Beijing Huanqiuyimeng Education Consultation Corp ("ACG") for a proposed acquisition[22] - In 2018, 662,100 Chinese students pursued study abroad opportunities[23]

ATA, Inc. (ATAI) Q1 2019 Earnings Conference Call May 13, 2019 9:00 PM ET Company Participants Carolyne Sohn - IR, Fincera Inc. Jack Huang - President & Director Amy Tung - CFO Kevin Ma - Co-Founder, Chairman & CEO Conference Call Participants Operator Good day, everyone, and welcome to the ATA Inc. First Quarter Call. My name is Peter, and I'm your event manager today. [Operator Instructions]. And now I would like to hand over to Carolyne Sohn. Please proceed. Carolyne Sohn Thank you, Peter, and hello, eve ...