Financial Performance - Revenue for the six months ended February 28, 2019, was RMB 744,396,000, an increase of 17.8% compared to RMB 631,829,000 for the same period in 2018[13] - Gross profit for the same period was RMB 326,786,000, reflecting a 10.9% increase from RMB 294,536,000[13] - Net profit for the period was RMB 281,214,000, up 18.0% from RMB 238,359,000 in the previous year[13] - Adjusted net profit increased by 25.0% to RMB 304,357,000 from RMB 243,538,000[13] - Basic earnings per share rose to RMB 9.64, a 12.7% increase from RMB 8.55[13] - The interim dividend per share was increased to HKD 4.70, up 17.5% from HKD 4.00[13] - Profit for the period was RMB 281,214 thousand, compared to RMB 238,359 thousand in the previous year, reflecting a growth of 17.94%[20] - Basic earnings per share for the period was RMB 9.64, an increase from RMB 8.55 in the prior year, representing a growth of 12.74%[20] - The company reported a total comprehensive income of RMB 278,797 thousand for the period, compared to RMB 233,030 thousand in the previous year, an increase of 19.63%[20] - The company’s total equity as of February 28, 2019, was RMB 3,864,251 thousand, compared to RMB 3,691,829 thousand, indicating an increase of 4.67%[26] Enrollment and Capacity - Total enrolled students reached 36,099, a significant increase of 27.5% from 28,321 students[15] - Total capacity increased to 57,300, up 17.3% from 48,840[15] - Overall utilization rate improved to 63.0%, an increase of 8.6% from 58.0%[15] - The number of schools in the network increased to 93 as of February 28, 2019, up from 77 a year earlier, with new schools opened in Jiangsu and Hubei provinces[154] - The total number of teachers rose to 3,147, an increase from 2,643, due to the opening of new schools and hiring more certified teachers[167] Revenue Sources - Revenue sources include tuition and boarding fees, as well as other educational services and sales of goods and materials[42] - Tuition and boarding fees accounted for RMB 631,108 thousand of the total revenue, up from RMB 535,788 thousand in the previous year, indicating a growth of about 17.8%[86] - Revenue from other sources, including sales from on-campus supermarkets and services, showed significant growth during the reporting period[157] Expenses and Costs - Total employee costs increased to RMB 346,563,000 for the six months ended February 28, 2019, from RMB 265,017,000 in the same period in 2018, reflecting a rise of about 30.7%[100] - Teaching staff costs rose by 27.6% to RMB 265,500,000, driven by an increase in the number of teachers from 2,643 to 3,147[186] - Administrative expenses increased by 39.3% to RMB 102,800,000, with the percentage of administrative expenses to total revenue slightly rising from 11.7% to 13.8%[192] Cash Flow and Assets - Cash and cash equivalents decreased to RMB 1,486,711 thousand from RMB 2,220,694 thousand, a decline of 33.06%[24] - The company reported a net cash outflow from operating activities of RMB 289,027 thousand for the six months ended February 28, 2019[36] - Total assets as of February 28, 2019, were RMB 4,106,611 thousand, compared to RMB 3,929,402 thousand as of August 31, 2018, showing an increase of 4.51%[26] - Non-current assets increased to RMB 3,155,298 thousand from RMB 3,005,907 thousand, marking a growth of 4.95%[24] Acquisitions and Goodwill - The company acquired 100% equity of Xiangyang Junpeng Education Consulting Co., Ltd. for a total consideration of RMB 129,820,000, resulting in goodwill of RMB 74,310,000[140] - The company completed the acquisition of 75% equity of Luzhou Qizhong Jiade Education Investment Co., Ltd. for a total consideration of RMB 210,000,000, which includes cash consideration of RMB 160,000,000[150] - The goodwill from acquisitions increased to RMB 240,278,000 as of February 28, 2019, compared to RMB 90,917,000 in the previous year, indicating a significant rise of approximately 164.5%[104] IFRS Adoption and Financial Reporting - The company has applied IFRS 15 for the first time, replacing IAS 18, which impacts revenue recognition policies[41] - Revenue is recognized when control of the goods or services is transferred to the customer, based on specific performance obligations[44] - The cumulative impact of adopting IFRS 15 was recognized on the initial application date of September 1, 2018, without restating comparative information[43] - The application of IFRS 9 resulted in changes in the classification and measurement of financial assets[62] Future Plans and Growth Strategy - The company plans to establish more primary and secondary schools in second and third-tier cities in China to increase the percentage of students in junior high and primary schools[169] - New schools planned for the 2019/2020 academic year include a high school in Canada and two schools in Shandong Province, expected to increase total capacity by 2,750 students[170] - The company aims to expand its brand internationally, with a new high school opened in Adelaide, Australia, as part of its overseas expansion strategy[176]
枫叶教育(01317) - 2019 - 中期财报