Bright Scholar(BEDU) - 2025 Q2 - Earnings Call Transcript

Financial Data and Key Metrics Changes - The company reported revenue from continuing operations of $43.8 million, compared to $48.5 million for the same quarter last fiscal year, indicating a decline in revenue [19] - Net income from continuing operations increased significantly by over 2,000% year over year, reaching RMB3.2 million, up from RMB0.3 million [21] - Adjusted net income grew by 179.5% to RMB2.5 million compared to RMB1.3 million for the same quarter last fiscal year [21] Business Line Data and Key Metrics Changes - The overseas study consulting revenue increased by 6.2% to RMB11.9 million [20] - The schools business remained the primary revenue source, accounting for around 61% of total revenue [10] - SG&A expenses from continuing operations decreased by 13.7% year over year, reflecting improved operational efficiency [21] Market Data and Key Metrics Changes - The company maintained stable student enrollment year over year at 2,699 students as of March 31, 2025 [7] - Strong 14.2% year-over-year improvement in revenue per enrollment at U.S. schools [8] - In the UK, students received offers from eight of the top 10 UK universities, including prestigious institutions like Cambridge and UCL [14] Company Strategy and Development Direction - The company is focused on executing a dual engine growth strategy, expanding its school business while enhancing global recruitment efforts [16] - The strategic initiatives aim to drive operational efficiency and enhance the global footprint to create sustainable long-term value [8][16] - The company is leveraging partnerships with local institutions to amplify its presence in new geographies [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to deliver stronger long-term value to students, families, and shareholders [16] - The company remains committed to empowering students worldwide and creating value for all stakeholders [22] - Despite macroeconomic headwinds, the company demonstrated resilience through diversified operations and maintained rigorous academic standards [10] Other Important Information - The company achieved a 30.7% reduction in SG&A expenses year over year, improving the SG&A to revenue ratio by 1.2 percentage points [19] - The gross margin from continuing operations was 30%, compared to 30.8% for the same quarter last fiscal year [20] Q&A Session Summary - There were no questions during the Q&A session, indicating a lack of inquiries from analysts or investors [23]