Shareholding Structure - As of June 30, 2023, the company has 500,000,000 shares issued, with Vast Universe Company Limited holding 366,562,500 shares, representing 73.3% ownership[5] - Tian Tao holds 8,437,500 shares through HFYX Company Limited, accounting for 1.7% of the total shares[5] Corporate Governance - The board consists of four executive directors and three independent non-executive directors, adhering to high standards of corporate governance[16] - The company has maintained compliance with all mandatory disclosure requirements and corporate governance code provisions during the reporting period[16] Financial Performance - The group reported total revenue of RMB 184,275,000 for the six months ended June 30, 2023, representing a 37.4% increase from RMB 134,109,000 in the same period of 2022[38] - Gross profit for the same period was RMB 116,409,000, up from RMB 79,642,000, indicating a significant improvement in profitability[38] - Operating profit increased to RMB 93,492,000, compared to RMB 59,568,000 in the prior year, reflecting a growth of 56.8%[38] - Net profit for the period was RMB 82,158,000, a substantial rise from RMB 51,780,000, marking an increase of 58.5% year-on-year[38] - The basic and diluted earnings per share were RMB 0.16, compared to RMB 0.10 for the same period last year, showing a 60% increase[38] - The group did not declare any interim dividend for the six months ended June 30, 2023[28] Assets and Liabilities - Total assets as of June 30, 2023, amounted to RMB 1,243,986,000, with significant contributions from the higher education segment[29] - The group’s current liabilities net amount was RMB 139,999,000, excluding non-financial liabilities, as of June 30, 2023[43] - The total liabilities of the group were RMB 525,158,000 as of June 30, 2023, down from RMB 772,221,000 as of December 31, 2022[51] - The group reported a total non-current asset value of RMB 1,183,560,000 as of June 30, 2023, slightly down from RMB 1,187,277,000 at the end of 2022[51] - The group maintained a cash and cash equivalents level of RMB 47,293,000 as of June 30, 2023, compared to RMB 199,854,000 at the end of 2022[51] - The total borrowings (including principal and interest) due within one year amounted to RMB 211,516,000 as of June 30, 2023[46] - The group’s equity totalled RMB 718,828,000 as of June 30, 2023, an increase from RMB 636,670,000 as of December 31, 2022[51] Cash Flow and Financial Management - The net cash used in operating activities for the six months ended June 30, 2023, was RMB (64,882,000), compared to RMB (53,832,000) for the same period in 2022, indicating a decline in cash flow efficiency[57] - Cash and cash equivalents decreased by RMB 154,118,000 during the six months ended June 30, 2023, compared to a decrease of RMB 68,486,000 in the same period of 2022[57] - The company has no significant liquidity risk, supported by expected operating cash flows and continued bank support[43] Capital Expenditures and Investments - Capital expenditures for the higher education segment were RMB 7,450,000, reflecting ongoing investments in infrastructure[29] - The company has committed capital expenditures of approximately RMB 92 million related to the expansion of the Nankai New Campus as of June 30, 2023[65] - The total capital commitments for property, plant, and equipment amounted to RMB 91,971 thousand as of June 30, 2023, significantly up from RMB 17,633 thousand as of December 31, 2022[166] Employee and Operational Metrics - The company employed 800 staff as of June 30, 2023, down from 830 staff as of December 31, 2022, indicating a reduction in workforce[69] - The operating profit for the higher education segment was RMB 66,042,000, while the hotel management segment reported a loss of RMB 4,191,000[194] Taxation and Compliance - The corporate income tax rate applicable to the company in China is 25%, as per the Corporate Income Tax Law effective from January 1, 2008[113] - The company’s subsidiaries in the Cayman Islands and British Virgin Islands are exempt from corporate income tax, contributing to a favorable tax position[110][111] - The company anticipates retaining profits within its Chinese subsidiaries for future business expansion, rather than distributing dividends to foreign investors[115] Risk Management - The company faced foreign exchange risks primarily related to USD and HKD, with no current hedging policies in place[66] - The group has not made any changes to its risk management policies since the end of the previous year[42] Related Party Transactions - The group engaged in significant related party transactions, purchasing goods and services totaling RMB 3,533 thousand during the six months ended June 30, 2023[174] Future Plans - The group plans to continue expanding its market presence and developing new educational programs to enhance revenue streams[104] - The group submitted an application in July 2023 to convert Yinxing Academy into a for-profit private school, pending government evaluation and approval[187]
银杏教育(01851) - 2023 - 中期财报