银杏教育(01851) - 2025 - 中期财报

Company Information Board of Directors and Committees The company's board comprises executive directors Fang Gongyu (Chairman), Tian Tao, Ma Xiaoming, Zeng Qin (newly appointed), and independent non-executive directors Jiang Qian, Yuan Jun, Wang Zhiqiang, with audit, nomination, and remuneration committees established and chaired by independent non-executive directors - Executive Directors include Fang Gongyu (Chairman of the Board), Tian Tao, Ma Xiaoming, and Zeng Qin (appointed on March 28, 2025), with Ms. Yu Yuan resigning on the same day[4] - Independent Non-Executive Directors are Jiang Qian, Yuan Jun, and Wang Zhiqiang[4] - Mr. Wang Zhiqiang chairs the Audit Committee, Mr. Fang Gongyu chairs the Nomination Committee, and Mr. Jiang Qian chairs the Remuneration Committee[4] Company Secretary, Authorized Representatives, and Auditor Mr. Lou Qitong serves as the Company Secretary and one of the Authorized Representatives, with PricewaterhouseCoopers as the auditor - Mr. Lou Qitong is the Company Secretary, and Mr. Tian Tao and Mr. Lou Qitong are the Authorized Representatives[4] - The auditor is PricewaterhouseCoopers[4] Registered and Principal Places of Business The company is registered in the Cayman Islands, with its headquarters and principal place of business in Chengdu, Sichuan Province, China, and a principal place of business in Hong Kong - The registered office is located in the Cayman Islands[4] - The headquarters and principal place of business in the People's Republic of China are located at No. 2 Jinli Middle Road, Qingyang District, Chengdu, Sichuan Province, China[4] - The principal place of business in Hong Kong is located at 31/F, 148 Electric Road, North Point, Hong Kong[5] Listing and Investor Relations The company's shares are listed on the Main Board of The Stock Exchange of Hong Kong Limited under stock code 1851, with investor relations contact information provided - The listing venue is the Main Board of The Stock Exchange of Hong Kong Limited, with stock code 1851[6] - Investor relations contact phone is +852 3598 8991, and email is investorrelations@gingkoeducn.com[6] Management Discussion and Analysis Business Overview The Group is a higher education and vocational training service provider in Sichuan Province, China, specializing in hotel management talent cultivation, with student enrollment slightly increasing to 20,745 in the 2024/2025 academic year and a graduate employment rate of 86.1% - The Group is a higher education and vocational training service provider in Sichuan Province, China, focusing on cultivating practical skills talents for the modern service industry[8] 2024/2025 Academic Year Student Data | Indicator | 2024/2025 Academic Year | 2023/2024 Academic Year | Change | Change Rate | | :--- | :--- | :--- | :--- | :--- | | Enrolled Students | 20,745 persons | 20,728 persons | +17 persons | +0.1% | | Graduates | 4,332 persons | N/A | N/A | N/A | | Employment Rate | 86.1% | N/A | N/A | N/A | - The Group operates Gingko College (offering 30 bachelor's degree and 24 associate diploma programs) and Yibin Gingko Catering Vocational Training School Co., Ltd[9] Revenue Breakdown by Source (Six Months Ended June 30) | Revenue Source | 2025 (RMB thousand) | 2024 (RMB thousand) | Increase/(Decrease) (RMB thousand) | Increase/(Decrease) (%) | | :--- | :--- | :--- | :--- | :--- | | Tuition Fees | 183,587 | 180,219 | 3,368 | 1.9% | | Accommodation Fees | 14,558 | 13,739 | 819 | 6.0% | | Catering Service Fees | 2,642 | 1,803 | 839 | 46.5% | | Hotel Operation Revenue | 1,639 | 1,306 | 333 | 25.5% | | Others | 5,989 | 5,023 | 966 | 19.2% | | Total | 208,415 | 202,090 | 6,325 | 3.1% | - Future strategies include: increasing market penetration and improving teaching quality, actively expanding overseas operations, continuously attracting and retaining quality teachers, and further developing training programs to diversify revenue sources[13] New Campus Construction The Group is constructing a new campus in Nanxi District, Yibin City, Sichuan Province, with Phase I completed in 2022 and an expansion project (student dormitory and supporting facilities) completed in 2024, totaling approximately 20,715.36 square meters - The Group entered into a land use right grant contract in March 2019 for the construction of a new campus in Nanxi District, Yibin City, Sichuan Province, including a teaching hotel[14] - Phase I construction of the Nanxi New Campus was completed in 2022, primarily including a teaching hotel, classroom buildings, canteens, dormitories, and other facilities[14] - The Nanxi New Campus expansion project (mainly student dormitory buildings and supporting facilities) was completed in 2024, with a total construction area of approximately 20,715.36 square meters[14] Financial Review For the six months ended June 30, 2025, the Group's revenue grew 3.1% to RMB 208.4 million, driven by tuition and accommodation fees, but cost of sales increased 15.4%, leading to a 3.6% decrease in gross profit to RMB 125.8 million and a gross profit margin of 60.4%, with profit for the period decreasing 5.9% to RMB 100.3 million Key Financial Indicators Changes (Six Months Ended June 30) | Indicator | 2025 (RMB million) | 2024 (RMB million) | Change Rate | | :--- | :--- | :--- | :--- | | Revenue | 208.4 | 202.1 | +3.1% | | Cost of Sales | 82.6 | 71.6 | +15.4% | | Gross Profit | 125.8 | 130.5 | -3.6% | | Gross Profit Margin | 60.4% | 64.6% | -4.2 percentage points | | Profit for the Period | 100.3 | 106.6 | -5.9% | - The increase in revenue was primarily attributable to the increase in enrolled students and higher average tuition and accommodation fees in the 2024/2025 academic year[15] - The decrease in gross profit and gross profit margin was mainly due to the increase in cost of sales exceeding the increase in revenue[17] Other Profit and Loss Items Changes (Six Months Ended June 30) | Indicator | 2025 (RMB million) | 2024 (RMB million) | Change | | :--- | :--- | :--- | :--- | | Selling Expenses | 0.8 | 1.0 | Decrease | | Administrative Expenses | 24.1 | 24.4 | Decrease | | Other Income | 1.5 | 3.3 | Decrease | | Other (Losses)/Gains – Net | 0.4 (Loss) | 0 (Gain) | Decrease | | Finance Costs – Net | 1.4 | 1.3 | Increase | | Income Tax Expense | 0.3 | 0.4 | Decrease | Financial Resources Review As of June 30, 2025, the Group's cash and cash equivalents significantly decreased by 76.0% to RMB 65.3 million, total borrowings decreased to RMB 247.8 million, and the gearing ratio fell to 27.1%, with no significant investments, acquisitions, or disposals during the period, and capital commitments primarily related to expansion projects Liquidity and Borrowings | Indicator | June 30, 2025 (RMB million) | December 31, 2024 (RMB million) | Change Rate | | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 65.3 | 271.7 | -76.0% | | Total Borrowings | 247.8 | 309.8 | -20.0% | | Gearing Ratio | 27.1% | 40.2% | -13.1 percentage points | | Net Current Liabilities | 120.4 | 174.5 | -31.0% | Net Cash Flows (Six Months Ended June 30) | Activity Type | 2025 (RMB million) | 2024 (RMB million) | | :--- | :--- | :--- | | Net Cash Used in Operating Activities | 79.6 | 77.4 | | Net Cash Used in Investing Activities | 60.1 | 63.0 | | Net Cash Used in Financing Activities | 66.6 | 1.0 | - Borrowings are denominated in RMB and bear interest at fixed rates[26] - There were no significant investments, acquisitions, or disposals of subsidiaries and associates during the reporting period[27] - Capital commitments amounted to approximately RMB 12.0 million, mainly related to expansion projects[29] - The Group faces foreign exchange risk primarily related to USD and HKD but currently has no foreign currency hedging policy[30] - As of June 30, 2025, the Group had no significant contingent liabilities[31] - Construction in progress and buildings of RMB 197.3 million, land use rights of RMB 3.4 million, and rights to tuition and accommodation fees were pledged as security for bank borrowings of RMB 234.8 million[32] Number of Employees | Date | Number of Employees | | :--- | :--- | | June 30, 2025 | 1,167 persons | | December 31, 2024 | 1,088 persons | Corporate Governance and Other Information Directors' and Chief Executive's Interests As of June 30, 2025, Executive Director Mr. Fang Gongyu held 73.3% of the company's shares through controlled corporations, and Mr. Tian Tao held 1.7% of the shares, with no other directors or chief executives holding disclosable share interests or short positions Directors' Long Positions in the Company's Shares (As of June 30, 2025) | Director's Name | Nature of Interest | Number of Shares | Approximate Percentage of Shareholding | | :--- | :--- | :--- | :--- | | Mr. Fang Gongyu | Interest in controlled corporation | 366,562,500 | 73.3% | | Mr. Tian Tao | Interest in controlled corporation | 8,437,500 | 1.7% | - Mr. Fang Gongyu beneficially and wholly owns Vast Universe Company Limited, and Mr. Tian Tao beneficially and wholly owns HFYX Company Limited[37] Substantial Shareholders' Interests As of June 30, 2025, Vast Universe was the largest shareholder, holding 73.3% of the shares, with Ms. Xiong Lan (Mr. Fang Gongyu's spouse) holding the same percentage due to spousal interest, and GreenTree Hospitality Group Ltd. and its ultimate controller Mr. Xu Shuguang holding 8.3% of the shares Substantial Shareholders' Long Positions in Shares (As of June 30, 2025) | Name/Person | Capacity | Number of Shares | Approximate Percentage | | :--- | :--- | :--- | :--- | | Vast Universe | Beneficial owner | 366,562,500 (L) | 73.3% | | Ms. Xiong Lan | Spouse's interest | 366,562,500 (L) | 73.3% | | GreenTree Hospitality Group Ltd. | Beneficial owner | 41,336,000 (L) | 8.3% | | GreenTree Inns Hotel Management Group, Inc. | Interest in controlled corporation | 41,336,000 (L) | 8.3% | | Mr. Xu Shuguang | Interest in controlled corporation | 41,336,000 (L) | 8.3% | Share Transactions and Corporate Governance During the reporting period, neither the company nor its subsidiaries purchased, sold, or redeemed any shares, and the company maintains high corporate governance standards, complying with the Corporate Governance Code in Appendix 14 of the Listing Rules, except for the combined roles of Chairman and Chief Executive held by Mr. Fang Gongyu - During the reporting period, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any of the Company's listed securities on the Stock Exchange[43] - The Company complies with the Corporate Governance Code, but the roles of Chairman and Chief Executive are held by Mr. Fang Gongyu, constituting a deviation[44] - All Directors have confirmed their compliance with the Model Code for Securities Transactions by Directors throughout the reporting period[46] Share Option Scheme and Dividends The share option scheme became effective on January 18, 2019, but no share options have been granted as of the date of this interim report, and the Board has resolved not to pay an interim dividend for the six months ended June 30, 2025 - The share option scheme became effective on January 18, 2019, but no share options have been granted since that date and up to the date of this interim report[47] - The Board has resolved not to declare or pay any interim dividend for the six months ended June 30, 2025[48] Other Disclosures No significant events occurred after the reporting period, the company maintained sufficient public float, and the audit committee reviewed the interim financial information - Other than as disclosed in this interim report, the Directors are not aware of any other significant subsequent events concerning the Group's business or financial performance from June 30, 2025, up to the date of this interim report[49] - The Company has maintained a sufficient public float as required by the Listing Rules throughout the reporting period[50] - The Audit Committee has reviewed the unaudited interim condensed consolidated financial information of the Company for the reporting period[51] Interim Condensed Consolidated Statement of Comprehensive Income For the six months ended June 30, 2025, the Group's revenue was RMB 208,415 thousand, a 3.1% increase year-on-year, but due to a 15.4% increase in cost of sales, gross profit decreased 3.6% to RMB 125,785 thousand, with profit for the period at RMB 100,278 thousand, a 5.9% decrease year-on-year, and basic and diluted earnings per share of RMB 0.20 Interim Condensed Consolidated Statement of Comprehensive Income Summary (Six Months Ended June 30) | Indicator | 2025 (RMB thousand) | 2024 (RMB thousand) | Change Rate | | :--- | :--- | :--- | :--- | | Revenue | 208,415 | 202,090 | +3.1% | | Cost of Sales | (82,630) | (71,625) | +15.4% | | Gross Profit | 125,785 | 130,465 | -3.6% | | Selling Expenses | (835) | (956) | -12.7% | | Administrative Expenses | (24,133) | (24,381) | -1.0% | | Other Income | 1,493 | 3,276 | -54.4% | | Other (Losses)/Gains – Net | (351) | 20 | From gain to loss | | Operating Profit | 101,959 | 108,424 | -6.0% | | Finance Costs – Net | (1,372) | (1,349) | +1.7% | | Profit Before Income Tax | 100,587 | 107,075 | -6.0% | | Income Tax Expense | (309) | (449) | -31.2% | | Profit for the Period | 100,278 | 106,626 | -5.9% | | Basic and Diluted Earnings Per Share (RMB) | 0.20 | 0.21 | -4.8% | Interim Condensed Consolidated Statement of Financial Position As of June 30, 2025, the Group's total assets were RMB 1,385,140 thousand, a 12.7% decrease from December 31, 2024, with current assets significantly down 71.5% to RMB 80,525 thousand due to reduced cash and cash equivalents, while total equity grew 10.7% to RMB 1,038,187 thousand and total liabilities decreased 46.5% to RMB 346,953 thousand, mainly driven by a significant reduction in contract liabilities Interim Condensed Consolidated Statement of Financial Position Summary | Indicator | June 30, 2025 (RMB thousand) | December 31, 2024 (RMB thousand) | Change Rate | | :--- | :--- | :--- | :--- | | Assets | | | | | Non-current Assets | 1,304,615 | 1,303,386 | +0.1% | | Current Assets | 80,525 | 283,057 | -71.5% | | Total Assets | 1,385,140 | 1,586,443 | -12.7% | | Equity | | | | | Total Equity | 1,038,187 | 937,909 | +10.7% | | Liabilities | | | | | Non-current Liabilities | 145,996 | 190,997 | -23.6% | | Current Liabilities | 200,957 | 457,537 | -56.0% | | Total Liabilities | 346,953 | 648,534 | -46.5% | | Total Equity and Liabilities | 1,385,140 | 1,586,443 | -12.7% | - Cash and cash equivalents within current assets significantly decreased from RMB 271,723 thousand to RMB 65,276 thousand[54] - Contract liabilities within current liabilities significantly decreased from RMB 202,241 thousand to RMB 4,612 thousand[56] Interim Condensed Consolidated Statement of Changes in Equity For the six months ended June 30, 2025, total equity attributable to owners of the company increased to RMB 1,038,187 thousand, primarily due to the inclusion of profit for the period of RMB 100,278 thousand in retained earnings Interim Condensed Consolidated Statement of Changes in Equity Summary | Item | January 1, 2025 (RMB thousand) | Profit for the Period and Total Comprehensive Income (RMB thousand) | June 30, 2025 (RMB thousand) | | :--- | :--- | :--- | :--- | | Share Capital | 4,321 | – | 4,321 | | Share Premium | 134,042 | – | 134,042 | | Capital Reserve | 50,000 | – | 50,000 | | Statutory Surplus Reserve | 62,108 | – | 62,108 | | Retained Earnings | 687,438 | 100,278 | 787,716 | | Total | 937,909 | 100,278 | 1,038,187 | Interim Condensed Consolidated Statement of Cash Flows For the six months ended June 30, 2025, the Group's cash and cash equivalents decreased by RMB 206,255 thousand, with an ending balance of RMB 65,276 thousand, comprising net cash used in operating activities of RMB 79,572 thousand, net cash used in investing activities of RMB 60,058 thousand, and net cash used in financing activities of RMB 66,625 thousand Interim Condensed Consolidated Statement of Cash Flows Summary (Six Months Ended June 30) | Activity Type | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Net Cash Used in Operating Activities | (79,572) | (77,360) | | Net Cash Used in Investing Activities | (60,058) | (62,985) | | Net Cash Used in Financing Activities | (66,625) | (979) | | Net Decrease in Cash and Cash Equivalents | (206,255) | (141,324) | | Cash and Cash Equivalents at Beginning of Period | 271,723 | 215,713 | | Cash and Cash Equivalents at End of Period | 65,276 | 74,352 | - Net cash used in financing activities significantly increased, primarily due to increased repayment of bank borrowings (RMB 75,000 thousand in 2025 vs. RMB 35,000 thousand in 2024)[61] Notes to the Interim Condensed Consolidated Financial Information General Information and Basis of Preparation The company, incorporated in the Cayman Islands, primarily provides private higher education services in China, with Mr. Fang Gongyu as the ultimate controlling shareholder, and this interim condensed consolidated financial information is unaudited and prepared in accordance with HKAS 34 - The Company was incorporated in the Cayman Islands as an exempted company on March 23, 2018, under the Companies Law[62] - The Group is principally engaged in providing private higher education services in the People's Republic of China, and the ultimate controlling shareholder is Mr. Fang Gongyu[62] - This interim condensed consolidated financial information is unaudited and has been prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting"[64][65] Significant Accounting Policies and Financial Risk Management The Group adopted certain new and revised standards and is evaluating the impact of new standards not yet effective, facing market, credit, and liquidity risks managed by monitoring cash levels and bank borrowings, with net current liabilities of RMB 115,820 thousand (excluding contract liabilities) as of June 30, 2025 - The Group was not required to change its accounting policies or make retrospective adjustments due to the adoption of certain revised standards[66] - New standards not yet adopted include HKFRS 9 and 7 (Amendments), Annual Improvements to HKFRS Accounting Standards – Volume 11, HKFRS 18, and HKFRS 19, for which the Group is assessing their full impact[67] - The Group's business faces market risks (foreign currency risk, interest rate risk), credit risk, and liquidity risk[68] - As of June 30, 2025, the Group's net current liabilities were approximately RMB 115,820 thousand (excluding contract liabilities which do not require future cash outflows)[70] - Management expects to receive tuition fee proceeds of RMB 330 million for the September 2025 academic year by the end of September 2025 or earlier, and therefore believes there is no significant liquidity risk[70] Maturity Analysis of Non-Derivative Financial Liabilities (As of June 30, 2025) | Item | Within One Year (RMB thousand) | One to Two Years (RMB thousand) | Two to Five Years (RMB thousand) | Over Five Years (RMB thousand) | Total (RMB thousand) | | :--- | :--- | :--- | :--- | :--- | :--- | | Borrowings (Principal plus Interest) | 108,429 | 87,634 | 60,829 | – | 256,892 | | Accruals and Other Payables | 81,211 | – | – | – | 81,211 | | Lease Liabilities | 317 | 693 | – | – | 1,010 | | Total | 189,957 | 88,327 | 60,829 | – | 339,113 | Financial Assets at Fair Value Through Profit or Loss (As of June 30, 2025) | Item | Level 1 (RMB thousand) | Level 2 (RMB thousand) | Level 3 (RMB thousand) | Total (RMB thousand) | | :--- | :--- | :--- | :--- | :--- | | Listed Equity Investments | 2,045 | – | – | 2,045 | | Wealth Management Products | 5,165 | – | – | 5,165 | | Total | 7,210 | – | – | 7,210 | Segment Information and Revenue The Group considers its business as a single reportable segment, with total revenue of RMB 208,415 thousand for the six months ended June 30, 2025, primarily from tuition fees (RMB 183,587 thousand) and accommodation fees (RMB 14,558 thousand), and contract liabilities significantly decreased from RMB 202,241 thousand on December 31, 2024, to RMB 4,612 thousand on June 30, 2025 - The Group's chief operating decision maker views the business as a single reportable segment[79] Revenue Source Details (Six Months Ended June 30) | Revenue Source | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Tuition Fees | 183,587 | 180,219 | | Accommodation Fees | 14,558 | 13,739 | | Catering Service Fees | 2,642 | 1,803 | | Hotel Operation Revenue | 1,639 | 1,306 | | Others | 5,989 | 5,023 | | Total | 208,415 | 202,090 | Contract Liabilities (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Contract Liabilities Related to Tuition Fees | 456 | 182,077 | | Contract Liabilities Related to Accommodation Fees | 3,991 | 18,534 | | Others | 165 | 1,630 | | Total | 4,612 | 202,241 | - Revenue recognized from contract liabilities balance at the beginning of the year was RMB 197,988 thousand (2024: RMB 197,050 thousand)[85] Operating Profit and Finance Costs For the six months ended June 30, 2025, operating profit was RMB 101,959 thousand, with major expenses including employee benefit expenses of RMB 59,118 thousand and depreciation and amortization of RMB 26,083 thousand, and net finance costs of RMB 1,372 thousand, partially offset by capitalized amounts of RMB 2,901 thousand Major Components of Operating Profit (Six Months Ended June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Employee Benefit Expenses | 59,118 | 52,364 | | Depreciation and Amortization | 26,083 | 21,446 | | Office Expenses | 5,249 | 7,357 | | Training Expenses | 2,686 | 1,676 | | Government Subsidies | (363) | (1,447) | Finance Costs – Net (Six Months Ended June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Interest Expense on Borrowings | (4,560) | (5,640) | | Interest Expense on Lease Liabilities | (27) | (16) | | Capitalized Amount for Qualifying Assets | 2,901 | 3,161 | | Bank Interest Income | 314 | 1,146 | | Net Finance Costs | (1,372) | (1,349) | - The capitalization rate used to determine the amount of borrowing costs to be capitalized was 3.17% (2024: 3.39%)[88] Income Tax Expense For the six months ended June 30, 2025, income tax expense was RMB 309 thousand, with the company exempt from corporate income tax in the Cayman Islands and BVI, and Gingko College exempt from corporate income tax on income from formal academic education services, while no deferred income tax liability was recognized for Chinese withholding tax on profit distribution to overseas investors Income Tax Expense (Six Months Ended June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Current Tax on Profit for the Period | 309 | 449 | - The Company is exempted from corporate income tax in the Cayman Islands and the British Virgin Islands[89][90] - Gingko College, as a private non-enterprise entity, is exempted from corporate income tax on income derived from providing formal academic education services[91] - The Group's subsidiaries in China are subject to a 10% Chinese withholding income tax on profits distributed to overseas investors, but no deferred income tax liability has been recognized as dividends are not expected to be distributed in the foreseeable future[92] Earnings Per Share and Dividends For the six months ended June 30, 2025, basic and diluted earnings per share were RMB 0.20, and the Group neither paid nor declared any interim dividends Earnings Per Share (Six Months Ended June 30) | Indicator | 2025 | 2024 | | :--- | :--- | :--- | | Basic and Diluted Earnings Per Share (RMB) | 0.20 | 0.21 | | Profit Attributable to Ordinary Equity Holders of the Company for Basic EPS (RMB thousand) | 100,278 | 106,626 | | Weighted Average Number of Ordinary Shares (thousand shares) | 500,000 | 500,000 | - The Group did not pay or declare any dividends for the six months ended June 30, 2025 and 2024[95] Asset Details As of June 30, 2025, total right-of-use assets were RMB 62,335 thousand, with land use rights and buildings pledged for bank borrowings, property, plant and equipment net book value was RMB 1,236,592 thousand, construction in progress and buildings also pledged, intangible assets (computer software) net book value was RMB 2,532 thousand, financial assets at fair value through profit or loss totaled RMB 7,210 thousand, and trade and other receivables totaled RMB 7,782 thousand Right-of-Use Assets (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Land Use Rights | 61,413 | 62,278 | | Buildings | 922 | 1,190 | | Total | 62,335 | 63,468 | - Land use rights of approximately RMB 3,385 thousand have been pledged to secure bank borrowings of RMB 234,790 thousand[96] Property, Plant and Equipment Net Book Value (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Buildings | 1,139,406 | 1,154,151 | | Construction in Progress | 47,318 | 23,890 | | Total | 1,236,592 | 1,236,249 | - Construction in progress and buildings of approximately RMB 197,303 thousand have been pledged to secure bank borrowings of RMB 234,790 thousand[99] Intangible Assets (Computer Software) Net Book Value (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Net Book Value | 2,532 | 2,935 | | Additions | 166 | 729 | | Amortization Expense | (443) | (358) | Financial Assets at Fair Value Through Profit or Loss (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Listed Ordinary Share Investments (Non-current) | 2,045 | – | | Wealth Management Products (Current) | 5,165 | – | | Total | 7,210 | – | Trade and Other Receivables (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Trade Receivables | 1,160 | 1,825 | | Other Receivables | 6,622 | 6,726 | | Total | 7,782 | 8,551 | Prepayments and Payables As of June 30, 2025, total prepayments were RMB 1,113 thousand, and total accruals and other payables were RMB 92,548 thousand, a decrease from RMB 134,236 thousand on December 31, 2024, mainly due to reduced payables for property, plant and equipment purchases and student sundry fees received Prepayments (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Student-related Prepayments and Other Expenses | 1,113 | 1,625 | | Prepayments for Purchase of Property, Plant and Equipment | 1,111 | 734 | | Total | 2,224 | 2,359 | | Less: Non-current Portion | (1,111) | (734) | | Current Portion | 1,113 | 1,625 | Accruals and Other Payables (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Payables for Purchase of Property, Plant and Equipment | 32,269 | 62,643 | | Government Subsidies Payable to Students | 20,450 | 4,307 | | Student Sundry Fees Received | 12,657 | 27,959 | | Other Taxes Payable | 10,542 | 10,024 | | Accruals | 5,498 | 6,918 | | Salaries and Welfare Payable | 606 | 8,305 | | Others | 10,526 | 14,080 | | Total | 92,548 | 134,236 | Borrowings and Commitments As of June 30, 2025, total borrowings were RMB 247,790 thousand, a decrease from December 31, 2024, with RMB 103,000 thousand due within one year, a weighted average effective interest rate of 3.17%, and borrowings primarily secured by land use rights, construction in progress, buildings, and corporate guarantees, with capital commitments of approximately RMB 11,985 thousand mainly related to property, plant and equipment Total Borrowings (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Current Borrowings | 103,000 | 120,000 | | Non-current Borrowings | 144,790 | 189,790 | | Total Borrowings | 247,790 | 309,790 | Borrowings Maturity Analysis (As of June 30) | Maturity Date | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Within One Year | 103,000 | 120,000 | | One to Two Years | 84,631 | 80,000 | | Two to Five Years | 60,159 | 109,790 | | Total | 247,790 | 309,790 | - The weighted average effective interest rate was 3.17% (December 31, 2024: 3.39%)[109] - Long-term bank borrowings are secured by land use rights, construction in progress, buildings, and corporate guarantees[109] Capital Commitments (As of June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Property, Plant and Equipment | 11,985 | 17,737 | - The total future minimum lease payments under non-cancellable operating leases amounted to RMB 15 thousand (December 31, 2024: RMB 20 thousand)[115] Related Party Transactions and Contingent Liabilities The Group engaged in related party transactions for goods and services with companies controlled by its controlling shareholder, such as Chengdu Gingko Jingge Catering Co., Ltd., with total key management personnel compensation of RMB 1,310 thousand, and no significant contingent liabilities as of June 30, 2025 Related Party Transactions: Purchase of Goods and Services (Six Months Ended June 30) | Related Party | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Chengdu Gingko Jingge Catering Co., Ltd. | 158 | 3 | | Chengdu Gingko Catering Management Co., Ltd. | 104 | 4 | | Chengdu Gingko Hotel Management Co., Ltd. | 5 | 5 | | Total | 267 | 12 | Key Management Personnel Compensation (Six Months Ended June 30) | Item | 2025 (RMB thousand) | 2024 (RMB thousand) | | :--- | :--- | :--- | | Wages, Salaries and Bonuses | 1,090 | 1,063 | | Contributions to Pension Schemes | 81 | 92 | | Benefits, Medical and Other Expenses | 139 | 172 | | Total | 1,310 | 1,327 | - As of June 30, 2025, the Group had no significant contingent liabilities[120]