Financial Performance - For the six months ended February 28, 2023, the company reported revenue of RMB 789,750,000, an increase of 12.3% from RMB 703,327,000 in the same period of 2022[10]. - The cost of sales for the same period was RMB 300,962,000, reflecting a 22.1% increase from RMB 246,540,000 year-on-year[10]. - Gross profit for the six months was RMB 488,788,000, which is a 7.0% increase compared to RMB 456,787,000 in the previous year[10]. - Profit before tax increased by 9.1% to RMB 433,425,000 from RMB 397,400,000 in the prior year[10]. - The net profit for the period was RMB 424,216,000, up 11.4% from RMB 380,913,000 in the same period last year[10]. - Adjusted EBITDA for the six months was RMB 582,271,000, representing a 13.2% increase from RMB 514,203,000 in the previous year[10]. - Core net profit increased by 13.1% to RMB 438,351,000 from RMB 387,639,000 year-on-year[10]. - Total revenue increased by 12.3% to RMB 789.75 million for the six months ended February 28, 2023, compared to RMB 703.33 million for the same period in 2022[23]. - Tuition fees accounted for approximately 92.7% of total revenue, with higher education course fees rising by 14.2% to RMB 682.51 million[23]. - Gross profit increased by 7.0% to RMB 488.8 million, with a gross margin of 61.9%, down from 64.9% year-on-year[32]. - Other income and gains rose by 40.1% to RMB 78.9 million, driven by increased management service income and rental income[35]. - Financing costs increased by 31.5% to RMB 45.0 million, primarily due to expansion of new campuses and acquisitions[39]. - Administrative expenses increased by 11.0% to RMB 82.2 million, attributed to a rise in the number of management professionals[37]. - Sales and distribution expenses rose by 6.6% to RMB 2.9 million, reflecting continued investment in brand building and student recruitment[36]. - The company reported a total of RMB 78,861,000 in other income and gains, an increase from RMB 56,307,000 in the previous year[98]. Student Enrollment and Educational Offerings - The number of enrolled students increased to approximately 126,500, a rise of 5.5% from 119,900 in the previous year[12]. - The number of enrolled students increased by 5.5% to 126,500 as of February 28, 2023, compared to 119,900 in the previous year[24]. - The number of students in higher education courses increased by 7.7% to 59,600, while the number in vocational education decreased by 5.2% to 10,900[24]. - New programs added include "Artificial Intelligence," "New Energy Vehicle Application and Maintenance," and "Digital Media Art," aligning with national strategic emerging industries[20]. - The group established 349 new off-campus practical teaching bases in 2022, an increase of 80% year-on-year[20]. - The group facilitated over 200,000 job openings through recruitment activities, achieving an average employment rate of over 93% across its institutions in 2022[17]. - More than 80,000 students received financial aid in 2022 to support their education[17]. - The group actively promotes student participation in competitions, achieving 579 national awards and 1,650 provincial honors in 2022[17]. Campus Development and Infrastructure - A new campus in the Yangtze River Delta can accommodate up to 10,000 students, and 52 new experimental training rooms have been established[16]. - The group has expanded its total export bandwidth to over 4.5G, enhancing the digital learning environment for students[16]. - The utilization rate of school accommodations improved to 79.9% as of February 28, 2023, up from 76.5% in 2022[26]. - The group has invested in three high-end apartment buildings to provide transitional housing for new teachers, accommodating up to 1,000 beds[15]. Corporate Governance and Shareholder Information - The company did not recommend an interim dividend for the six months ended February 28, 2023, maintaining the previous year's dividend of HKD 0.06 per share[55]. - The company has established an audit committee consisting of three independent non-executive directors to oversee financial reporting and risk management[56]. - The audit committee reviewed the unaudited interim consolidated results for the six months ended February 28, 2023, and confirmed compliance with relevant accounting standards[56]. - Major shareholder Ye Nianqiao holds 675,280,000 shares, representing 33.51% of the company[61]. - Major shareholder Ye Xun holds 300,000,000 shares, representing 14.89% of the company[61]. - Major shareholder Ye Nianjiao holds 150,000,000 shares, representing 7.44% of the company[61]. - The company has adopted a share option scheme allowing the issuance of up to 200,000,066 shares[73]. - The company aims to align the interests of selected participants with those of shareholders through the restricted share award plan[74]. Financial Position and Cash Flow - As of February 28, 2023, the group had cash and cash equivalents of RMB 1,120.5 million and interest-bearing bank and other borrowings of RMB 2,097.5 million[46]. - The debt-to-equity ratio decreased from approximately 56.4% as of August 31, 2022, to 51.5% as of February 28, 2023, due to a reduction in total interest-bearing bank and other borrowings[47]. - Total assets amounted to RMB 7,646,449,000, an increase from RMB 7,373,886,000 as of August 31, 2022[82]. - The company reported total liabilities of RMB 2,383,782,000, compared to RMB 2,208,397,000 in the previous period, indicating an increase in liabilities[82]. - The company’s total equity attributable to owners of the parent increased to RMB 4,074,923,000 from RMB 3,751,567,000, marking an increase of about 8.61%[83]. - Operating cash flow for the six months ended February 28, 2023, was RMB 535,727,000, down from RMB 696,355,000 in the same period of 2022, a decrease of about 23%[90]. - The net cash flow from operating activities for the six months ended February 28, 2023, was RMB 535,727,000, a decrease of 23.1% compared to RMB 696,355,000 for the same period in 2022[91]. - The company has a net current liability of RMB 904,882,000 as of February 28, 2023, which includes contract liabilities of RMB 683,872,000[94]. Future Outlook and Strategic Initiatives - The company plans to enhance international cooperation in vocational education and improve teaching resources[30]. - The company plans to maintain an appropriate capital structure to ensure efficient financial management[47]. - The company is exploring potential acquisitions of smaller educational institutions to enhance its service offerings and market share[136]. - Future guidance indicates an expected revenue growth of 20% for the next fiscal year, driven by increased enrollment and new product offerings[136]. - The company has allocated RMB 50 million for research and development of new educational technologies in 2023[136]. - A strategic partnership with a technology firm has been established to integrate AI into the curriculum, enhancing the learning experience[136]. - The company has initiated a restructuring plan to convert existing campuses into for-profit institutions, expected to be completed by 2024[136]. - The board has approved a share buyback program of up to RMB 100 million to enhance shareholder value[136].
中国科培(01890) - 2023 - 中期业绩