Education and Training Development - In the first half of 2023, the company launched and upgraded multiple smart training labs, including an unmanned driving training lab and an e-commerce big data training lab[1]. - The company developed 9 majors, 139 standardized professional courses, and 1,220 systematic projects, with 13 new standardized courses and 218 systematic projects added in the first half of 2023[3]. - The online education platform registered over 270,000 new users and launched 179 new courses totaling 1,600 hours of content in the first half of 2023[4]. - The total number of enrolled students across three universities reached 52,819 as of June 30, 2023, representing a 16% year-on-year increase[17]. - The total enrollment for the 2023/2024 academic year increased by 2,365 students, a growth of approximately 14% compared to the previous academic year[14]. - The company expanded its influence through the "Dongsoft Education Cup" series competitions, reaching over 150 universities across more than 20 provinces by June 30, 2023[7]. - The company launched several new smart education software products, including the first Metaverse Smart Health Future Education Platform in China[24]. - The company launched 14 new programs for the 2023/2024 academic year, covering advantageous fields such as software engineering and big data[105]. - The company has established partnerships with 60 institutions for industry academy and professional co-construction, serving 20,529 students[104]. - The employment rate for the 2022 graduates from the Yunnan Industrial Technology College's Eastsoft Information Industry Academy reached 91%[104]. - The company received approval for the SOVO Space (University Student Entrepreneurship Center) as an "Outstanding Maker Space" by the Sichuan Provincial Department of Science and Technology[109]. Financial Performance - For the six months ended June 30, 2023, the company reported revenue of RMB 918.43 million, an increase of 23.5% compared to RMB 743.70 million in the same period of 2022[29]. - Gross profit for the same period was RMB 459.32 million, reflecting a 31.4% increase from RMB 349.50 million year-over-year[29]. - The net profit attributable to the company's owners was RMB 274.14 million, up 17.6% from RMB 233.18 million in the previous year[29]. - The adjusted net profit was RMB 271.85 million, representing a 17.3% increase compared to RMB 231.74 million in the prior year[29]. - The gross margin improved to 50.0%, up from 47.0% in the same period last year[29]. - The revenue from full-time higher education services reached RMB 748,950,000, up from RMB 580,348,000 in the previous year, indicating a growth of about 29.1%[54]. - The revenue from tuition fees was RMB 690,244,000, an increase from RMB 530,217,000, reflecting a growth of approximately 30.2%[54]. - The company reported a total of RMB 575,097,000 in expenses for the six months ended June 30, 2023, compared to RMB 506,673,000 for the same period in 2022[83]. - The company reported a profit attributable to owners of RMB 274,138 thousand for the six months ended June 30, 2023, compared to RMB 233,176 thousand for the same period in 2022, representing an increase of approximately 17.6%[95]. - Basic earnings per share increased to RMB 0.42 for the six months ended June 30, 2023, up from RMB 0.35 in the same period of 2022, reflecting a growth of about 20%[95]. - The total comprehensive income was RMB 271,834,000, compared to RMB 234,945,000 for the same period in 2022, representing an increase of approximately 15.7%[46]. Expenses and Costs - Revenue cost for the first half of 2023 was approximately RMB 459.1 million, an increase of 16.5% year-on-year, primarily due to increased employee compensation and rising operational costs[6]. - Sales expenses for the first half of 2023 amounted to approximately RMB 20.7 million, a 13.7% increase year-on-year due to enhanced development efforts in educational resources[9]. - Research and development expenses for the first half of 2023 were approximately RMB 20.2 million, a decrease of 11.8% year-on-year as previous projects were completed[11]. - Employee benefit expenses for the six months ended June 30, 2023, were RMB 346,309,000, up from RMB 309,468,000 for the same period in 2022[83]. - The company’s total employee compensation cost for the six months ended June 30, 2023, was RMB 346.9 million, an increase from RMB 309.9 million for the same period in 2022[172]. Assets and Liabilities - The total liabilities decreased to RMB 3,531,951,000 as of June 30, 2023, from RMB 4,257,868,000 at the end of 2022, showing a reduction of about 17.0%[48]. - The group’s non-current liabilities totaled RMB 2,124,436,000, down from RMB 2,250,430,000, indicating a decrease of approximately 5.6%[48]. - The current liabilities decreased significantly to RMB 1,407,515,000 from RMB 2,007,438,000, representing a decline of about 30.0%[48]. - As of June 30, 2023, total assets amounted to RMB 5,443,076,000, down from RMB 5,993,620,000 as of December 31, 2022[75]. - The company's total equity increased to RMB 1,911,125,000 as of June 30, 2023, compared to RMB 1,735,752,000 at the end of 2022[75]. - The company’s long-term borrowings as of June 30, 2023, amounted to RMB 2,026,522 thousand, compared to RMB 2,140,583 thousand as of December 31, 2022[124]. - The total bank borrowings as of June 30, 2023, were approximately RMB 2,486.9 million, compared to RMB 2,386.3 million as of December 31, 2022[144]. - The company has bank borrowings of RMB 1,694.1 million secured against tuition and accommodation fee receivables[197]. - Additionally, there are bank borrowings of RMB 327.0 million secured against part of the equity[197]. Taxation and Dividends - The company has subsidiaries eligible for a preferential tax rate of 15% to 20%, with Neusoft Education Technology Group Co., Ltd. enjoying a corporate income tax rate of 15% for the six months ended June 30, 2023, compared to 12.5% for the same period in 2022[64]. - The company paid an annual dividend of approximately RMB 1,516,000 for the six months ended June 30, 2023, a significant decrease from RMB 71,821,000 for the same period in 2022[70]. - The income tax expense for the six months ended June 30, 2023, was approximately RMB 82.4 million, an increase of 9.0% year-on-year due to an increase in taxable profit[138]. - For the six months ended June 30, 2023, the company did not declare or pay any interim dividends[115]. Future Plans and Investments - The company has plans for market expansion and new product development, although specific details were not disclosed in the conference call[98]. - The company plans to add approximately 3,200 beds with the completion of the Chengdu College Phase 8 project, expected to be operational in the 2023/2024 academic year[21]. - The company has adopted a cautious financial management approach to ensure that its asset and liability structure meets its funding needs[166]. - The company plans to continue investing in the research and development of educational resource products to support stable growth in performance[174]. - The company has no significant investment or capital asset plans beyond those disclosed in the announcement regarding the use of proceeds from the initial public offering[171]. Corporate Governance - The company has adhered to corporate governance codes and best practices during the reporting period[180]. - The company has established an audit committee consisting of two independent non-executive directors and one non-executive director[182].
东软教育(09616) - 2023 - 中期业绩