Financial Performance - For the fiscal year ending August 31, 2021, Leader Education Limited reported revenue of RMB 196.1 million, a 25.7% increase from RMB 156.1 million in the previous year[10]. - Revenue increased from RMB 156.1 million for the year ended August 31, 2020, to RMB 196.1 million for the year ended August 31, 2021, representing a growth of RMB 40.0 million or 25.7%[18]. - Tuition revenue rose from RMB 149.7 million to RMB 180.1 million, an increase of RMB 30.3 million or 20.2%[18]. - Accommodation revenue surged from RMB 6.4 million to RMB 16.1 million, exceeding 100% growth[18]. - Gross profit increased from RMB 85.0 million to RMB 99.0 million, a rise of RMB 13.9 million or 16.4%[22]. - The total profit for the year ended August 31, 2021, was RMB 52.0 million, representing an increase of approximately 22.8% from RMB 42.4 million for the year ended August 31, 2020[33]. - The company recorded a profit before tax from continuing operations of approximately RMB 52.0 million for the year ended August 31, 2021, an increase of about 18.7% compared to approximately RMB 43.9 million for the same period last year[30]. - The company’s cash and cash equivalents were approximately RMB 303.9 million, down from approximately RMB 337.6 million as of August 31, 2020, primarily due to expansion construction costs[35]. - The company’s capital expenditure for the year ended August 31, 2021, was RMB 159.7 million, compared to RMB 128.3 million in 2020[38]. - The group reported a bank and other borrowings and accrued interest of approximately RMB 877.5 million as of August 31, 2021[127]. Student Enrollment and Employment - The total number of enrolled students at Heilongjiang University of Technology reached 9,554, representing an 8.5% growth from 8,807 students in the 2019/2020 academic year[10]. - The school had a total of 9,891 full-time undergraduate students as of August 31, 2021, compared to 9,554 students in the previous academic year, reflecting an increase in student enrollment[50]. - The employment rate for the 2021 graduating class was 88.68%, up from 83.55% for the 2020 graduating class, indicating improved job placement success[10]. - The average employment rate for graduates from higher education programs reached 88.68%[62]. - The overall satisfaction rate of employers with graduates reached 94%, reflecting the effectiveness of the company's teaching methods[10]. Strategic Initiatives and Expansion - The company is expanding its campus network in China, having signed a land use rights transfer contract for 86,056 square meters in Jiangsu Province to develop a talent training and exchange platform[11]. - Leader Education Limited is actively seeking acquisition targets, prioritizing quality vocational and higher education licenses and institutions in Northeast China[11]. - The establishment of the Railway College and related programs fills a gap in private higher education for railway majors in Northeast China[13]. - The company aims to enhance its management standards and provide quality educational services to improve student competitiveness in the job market[13]. - The company has set up four industry colleges to promote the integration of industry and education, enhancing the quality of applied undergraduate talent training[55]. - The company has expanded its online education capabilities in response to the COVID-19 pandemic, ensuring no significant impact on revenue or financial status[57]. - The new comprehensive campus in Nantong City is part of the company's strategy to align with national policies supporting vocational education development[61]. Regulatory Environment and Compliance - Government policies supporting vocational education development are being closely followed, including the revised Vocational Education Law and regulations promoting high-quality vocational education[13]. - The introduction of the revised Vocational Education Law emphasizes the equal importance of vocational education and general education, encouraging social forces to participate in education[59]. - The 2021 regulations mandate that private schools establish a public mechanism for transactions with related parties[199]. - The company acknowledges the potential for adverse impacts on its business and financial outlook due to regulatory changes[198]. - The company may face uncertainties regarding the interpretation and enforcement of the 2021 regulations by government authorities[199]. Management and Governance - The company has four executive directors and three independent non-executive directors as of the report date[78]. - Liu Laixiang, the CEO and Chairman, has approximately 16 years of experience in the education sector[79]. - Dong Ling, an executive director, has nearly 24 years of experience in education and is responsible for international cooperation and exchange[80]. - Wang Yunfu, the Chief Financial Officer, has been with the group since January 2013 and oversees financial and accounting management[83]. - The company’s management team has extensive experience in software engineering and education, contributing to its strategic planning and development[97]. Risk Management - The company has faced various operational risks, including market recognition of its brand, regulatory changes in the private higher education sector, and competition from other educational institutions[114]. - The company has a commitment to effective risk management, addressing market, credit, and liquidity risks associated with its operations[114]. - The company may face significant compliance costs due to the disclosure mechanisms and government scrutiny related to related party transactions[196]. - Future acquisitions may be subject to stricter regulations, potentially impacting the company's expansion plans[199]. Shareholder Relations and Dividends - The board does not recommend the declaration of a final dividend for the year ended August 31, 2021[117]. - The group has established a dividend policy to ensure shareholders can share in the company's profits while retaining liquidity for future growth opportunities[119]. - The board will regularly review and reassess the effectiveness of the dividend policy[120]. Structural Contracts and Business Operations - The company has established structural contracts to comply with Chinese regulations, allowing indirect business operations in the private education sector[151]. - The structural contracts ensure that all significant business activities of the Chinese consolidated entities are guided and supervised by the company[151]. - The company holds no equity interest in Heilongjiang University of Commerce, but has rights to control financial and operational policies through structural contracts[151]. - The company has committed to providing exclusive technical and management consulting services to its Chinese consolidated entities[169].
立德教育(01449) - 2021 - 年度财报