OneSmart International Education Group Limited (ONE) Q2 2020 Earnings Conference Call May 19, 2020 8:00 AM ET Company Participants Rebecca Shen - Director of Investor Relations Steve Zhang - Chairman & Chief Executive Officer Greg Zuo - Chief Financial Officer & Chief Strategic Officer Conference Call Participants Sheng Zhong - Morgan Stanley Felix Liu - UBS Operator Good day and good evening and welcome to the OneSmart International Education Group Limited Announces Unaudited Financial Results for the Seco ...

Financial Data and Key Metrics Changes - Net revenues for Q1 2020 were RMB797.2 million, an increase of 23.2% from RMB647 million in the same period last year [28] - New student enrollment increased by over 53% year-over-year, providing visibility for future growth [23] - Cost of revenue increased by 33.6% year-over-year to RMB516.6 million, attributed to increased teacher compensation and rental costs [29] - Selling and marketing expenses increased by 17.1% year-over-year to RMB194.9 million [30] - General and administrative expenses increased by 29.3% year-over-year to RMB204 million [31] Business Line Data and Key Metrics Changes - Net revenues from the International Education program grew by 205% year-over-year [25] - HappyMath program saw a 132.2% year-over-year growth in new students [25] - Net revenues outside Shanghai grew by 37.2% year-over-year, increasing its share of total revenue to 45% [25] Market Data and Key Metrics Changes - The online after-school tutoring market in China is projected to grow four times faster than the market average, reaching a penetration rate of 41% by 2025 [13] - 61% of online after-school tutoring students in China are from lower-tier cities, highlighting a significant market opportunity [13] Company Strategy and Development Direction - The company is focusing on expanding its online platform, OneSmart Online, to serve a broader market, particularly in lower-tier cities [6][7] - The OMO (Online-Merge-Offline) model is being utilized to integrate online and offline services, enhancing customer acquisition and service quality [18][19] - The company plans to continue opening new learning centers while also managing existing center performance [52] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to adapt to the ongoing coronavirus situation, successfully migrating a majority of offline students to online classes [39] - The company anticipates a strong demand for its services as students prepare for entrance exams, despite the challenges posed by the pandemic [40] - Future guidance for fiscal year 2020 will be revised due to the impact of the coronavirus, with updates expected in the next quarter [24] Other Important Information - The company is developing a next-generation AI-powered smart assessment and teaching system to enhance online learning experiences [27] - The company has implemented cost control measures to manage short-term financial impacts due to the pandemic [10] Q&A Session Summary Question: Confirmation on OneSmart Online strategy and timetable for non-OneSmart Offline students - The online business is offered in multiple formats, including 1-on-1 and small group classes, with plans to expand to non-OneSmart Offline students in the future [36][38] Question: Current status of offline students transitioning to online and impact on new student enrollment - A majority of offline students have migrated online, with expectations of strong demand as students prepare for exams [39][40] Question: Revenue contribution of February and profitability of the OMO model - February typically contributes about 8% of total annual revenue, with the OMO model showing promising margins [47][48] Question: Capacity expansion guidance for learning centers - The company plans to open approximately 50 learning centers for the year, with 20 already opened, but may slow down due to current circumstances [52]

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

OneSmart International Education Group Limited (ONE) Q4 2019 Earnings Conference Call November 13, 2019 8:00 AM ET company Participants Rebecca Shen - Director of IR Xi Zhang - Founder, Chairman and CEO Honggang Zuo - CFO and Chief Strategic Officer Conference Call Participants Elsie Zhong - Morgan Stanley Felix Liu - UBS Terry Weng - Blue Lotus Operator Good day, and welcome to OneSmart to Report Fourth Quarter and Fiscal Year 2019 Financial Results on November 13, 2019. All participants will be in a liste ...

Financial Data and Key Metrics Changes - Net revenues for Q3 2019 were RMB 1,093.3 million, an increase of 32.6% year-over-year [24] - Average monthly student enrollments increased by 40% year-over-year to 174,835 [25] - Operating income for the quarter was RMB 123 million, an increase of 117% from the same period last year [28] - Non-GAAP operating margin was 12.7%, down from 20.2% during the same period last year [28] Business Line Data and Key Metrics Changes - OneSmart VIP business saw average monthly student enrollments grow by over 50% in cities outside Shanghai [22] - Revenue from International Education grew by 143.9% year-over-year, with average monthly enrollments increasing by 142.1% [23] - HappyMath revenue grew by 41.9% year-over-year, with new students increasing by 43.2% [23] - FasTrack English saw average monthly student enrollment increase by over 150% year-over-year [24] Market Data and Key Metrics Changes - Revenue from Shanghai accounted for 57% of total revenue, down from 60% in the same quarter of 2018 [21] - Revenue in cities outside Shanghai grew by 90.3% [23] - The company achieved national coverage and scale, with a total of 430 centers, including 29 openings during Q3 [20] Company Strategy and Development Direction - The company plans to focus on three core service lines: OneSmart VIP, HappyMath, and FasTrack English, with a balanced capacity expansion plan [7] - The strategy includes ramping up newly opened centers and optimizing profitability [13] - The company aims to strengthen its core competencies through service upgrades and technology innovation [19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving margin expansion and substantial net profit growth in the coming years [18] - The company anticipates that the one-off regulatory impacts will normalize in the next few months [20] - Management highlighted the importance of focusing on existing centers for future growth rather than rapid new openings [35] Other Important Information - The company has a cash and cash equivalents balance of RMB 1,326.1 million and short-term investments of RMB 683.5 million as of May 31, 2019 [30] - Capital expenditures for Q3 2019 were RMB 36.7 million, a decrease from RMB 62.7 million in the same period last year [29] Q&A Session Summary Question: Rationale behind slowing down capacity expansion - Management explained that the slower opening plan is due to achieving national coverage and having enough newly opened centers to generate profit [34] Question: Distribution of capacity expansion by geography and business lines - Management indicated a focus on top 20 cities for new center openings, with a budget of about 50 centers for OneSmart VIP, 10 for HappyMath, and 10 for FasTrack [35] Question: Gross margin decline and regulatory impact - Management acknowledged a 5 percentage point decline in gross margin due to one-off regulatory impacts and increased costs from relocating centers [42][45] Question: Compliance with regulatory requirements - Management stated that they are actively preparing teachers for certification exams and adjusting practices to comply with tuition fee collection regulations [52][53]

OneSmart International Education Group Limited (ONE) Q2 2019 Results Earnings Conference Call April 30, 2019 8:00 AM ET Company Participants Rebecca Shen - IR Director Dong Li - Director and CFO Xi Zhang - Founder, Chairman and CEO Conference Call Participants Sheng Zhong - Morgan Stanley Operator Hello, and welcome to the OneSmart International Education Group Limited announces unaudited financial results for the Second Quarter Fiscal 2019 Conference Call. [Operator Instructions] Please note this event is ...