Financial Performance - Total revenue for the year ended August 31, 2025, reached RMB 3,960.34 million, a 6.1% increase from RMB 3,732.07 million in 2024[20]. - Adjusted net profit for 2025 was RMB 705.81 million, reflecting a slight increase of 1.2% compared to RMB 693.18 million in 2024[20]. - Total assets decreased to RMB 21,997.20 million in 2025 from RMB 22,281.52 million in 2024, a decline of 1.3%[22]. - Total liabilities decreased to RMB 12,415.06 million in 2025, down 5.4% from RMB 13,127.02 million in 2024[22]. - The company reported a net profit of RMB 386.68 million for 2025, down from RMB 613.09 million in 2024, indicating a decline of 37.0%[44]. - The group's cash and bank balances totaled RMB 3,291.59 million as of August 31, 2025, compared to RMB 3,100.75 million the previous year[57]. - The net debt-to-equity ratio improved from 1.5% as of August 31, 2024, to -4.9% as of August 31, 2025, due to higher cash and cash equivalents[61]. - The debt-to-equity ratio decreased to approximately 29.5% as of August 31, 2025, down from 35.4% the previous year[62]. Operational Efficiency - Lean management practices will be deepened to enhance operational efficiency and ensure healthy cash flow while controlling debt risks[17]. - The company is implementing a strategy to enhance operational capital management efficiency and strengthen control over interest-bearing liabilities[42]. - The company aims to optimize cost structures and improve management efficiency through technology, focusing on sustainable growth in global markets[41]. Recruitment and Partnerships - Over 1,100 teachers were recruited during the reporting period, with nearly 100 recognized as senior "dual-qualified" teachers[11]. - The company established nearly 100 new partnerships with enterprises, hosting 799 recruitment events that attracted 5,346 companies and offered over 306,000 job positions[12]. - The company held 799 recruitment events, attracting 5,346 participating companies and offering over 181,000 job positions[24]. - The average placement rate for graduates increased steadily compared to the previous year, with a 90% pass rate for students in employment guidance training[30]. International Strategy - The international strategy saw significant progress, with institutions like INTI International University rising to 509th in the QS World University Rankings and achieving the "Best Higher Education Group in Malaysia" award[13]. - The internationalization strategy has strengthened, with the Malaysian university ranking 509th in the QS World University Rankings for 2026[25]. - The company achieved a significant milestone in international education, with Malaysia's INTI International University ranked 509th globally and 122nd in Asia in the 2026 QS World University Rankings[31]. Technology Integration - The company plans to integrate new technologies such as AI, big data, and VR/AR into the educational process to enhance student problem-solving skills[15]. - The company aims to enhance the integration of artificial intelligence in education and training, aligning with national policies to foster innovation and talent development[27]. - The company plans to leverage technology integration, including AI and VR/AR, to enhance educational delivery and create immersive training environments[39]. Corporate Governance - The company has adhered to the corporate governance code and met the majority of the recommended best practices as of August 31, 2025[69]. - The company is focused on enhancing shareholder value through effective corporate governance and regular reviews of governance practices[69]. - The company has established a new investment strategy under the leadership of the newly appointed Chief Investment Officer, effective January 23, 2025[77]. Shareholder Information - The board of directors did not recommend a final dividend for the year ending August 31, 2025, due to funding arrangements[73]. - The company has approximately RMB 5,132 million available for distribution to shareholders as of August 31, 2025, which includes share premium reserves[115]. - The company does not recommend the distribution of a final dividend for the year ending August 31, 2025, due to funding arrangements[110]. Risk Management - The company faces risks related to the competitive landscape of private higher education in China, which may pressure pricing and profit margins[108]. - The company has implemented measures to mitigate various risks and uncertainties, as detailed in the corporate governance report[107]. - The company is subject to regulatory uncertainties regarding the registration of independent colleges as for-profit private schools under current legislation[108]. Compliance and Regulatory Issues - The company has complied with relevant laws and regulations, including the Companies Ordinance and the Securities and Futures Ordinance, regarding information disclosure and corporate governance[103]. - There were no significant non-compliance issues affecting the group's business and operations for the year ending August 31, 2025[103]. - The company has a strong focus on compliance with various laws and regulations in China, including the Foreign Investment Industry Guidance Catalog and the Education Law[103]. Employee and Teaching Staff - As of October 31, 2025, the total number of enrolled students was 287,808, a decrease from 291,264 in 2024, with undergraduate institutions increasing from 138,739 to 145,849[38]. - The company has approximately 13,500 teaching staff as of August 31, 2025[197]. - As of August 31, 2025, 32.9% of the total building area of the company's schools has not obtained property ownership certificates due to regulatory issues[190]. Property and Assets - The land held for property development in Sichuan Province has a book value of approximately RMB 304 million as of August 31, 2025, down from RMB 316 million as of August 31, 2024[113]. - The company has taken extensive measures to correct deficiencies in its properties and is actively following up on government approvals for necessary certificates[191]. - There are no known actual or potential lawsuits or claims against the company due to property deficiencies as of August 31, 2025[191].
希教国际控股(01765) - 2025 - 年度财报