RISE Education Announces Second Quarter 2020 Unaudited Financial Results
BEIJING,
Impact of COVID-19
The outbreak of COVID-19 in late January 2020 had a significant and material adverse impact on the Company's operations during the first half of 2020. In accordance with government regulations to contain the outbreak, RISE's learning centers were temporarily closed starting
Second Quarter of 2020 Financial and Operational Summary
- Total revenues were
RMB165.0 million (US$23.4 million ) in the second quarter of 2020, compared withRMB109.0 million for the preceding quarter andRMB367.1 million for the second quarter of 2019. - Net loss attributable to RISE was
RMB58.0 million (US$8.2 million ) in the second quarter of 2020, compared with net loss ofRMB103.8 million for the preceding quarter and net income ofRMB21.2 million for the second quarter of 2019. - Non-GAAP net loss attributable to RISE was
RMB51.6 million (US$7.3 million ) in the second quarter of 2020, compared with non-GAAP net loss ofRMB99.5 million for the preceding quarter and non-GAAP net income ofRMB54.8 million for the second quarter of 2019. - Adjusted EBITDA[1] loss was
RMB44.5 million (US$6.3 million ) in the second quarter of 2020, compared with adjusted EBITDA loss ofRMB108.0 million for the preceding quarter and adjusted EBITDA income ofRMB89.0 million for the second quarter of 2019. - Students in class[2] for Rise regular courses (including Rise Start and Rise On programs) were 50,572 as of
June 30, 2020 , a decrease of 2013 from 52,585 as ofMarch 31, 2020 and an increase of 35 from 50,537 as ofJune 30, 2019 . - New students enrolled[3] for Rise regular courses in the second quarter of 2020 were 3,749, compared with 1,507 for the preceding quarter and 6,133 for the second quarter of 2019. New students enrolled for other Rise courses, which were taught online (including Rise Up, Can-Talk, other Rise online courses and courses provided by The Edge learning centers) were 1,185 in the second quarter of 2020, compared with 669 for the preceding quarter and 2,996 for the second quarter of 2019. The online small group class, which enrolled 31,882 students in the preceding quarter, was a temporary product offered to students only in March. In the second quarter, we offered an upgraded version, the dual-teacher online small group class.
- The total number of the Company's learning centers was 485, consisting of 88 self-owned (including 2 operated by The Edge) and 397 franchised learning centers.
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[1] Adjusted EBITDA excludes share-based compensation expenses from EBITDA. |
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[2] Students in class refers to the students who were taking our ongoing courses as of a given date. |
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[3] New students enrolled refers to the newly acquired students who enrolled in our courses during a given period of time. |
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Three Months Ended |
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(in thousands RMB, except for percentage and per |
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Pct. Change YoY |
Pct. Change QoQ |
|||||
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Revenues |
367,057 |
108,989 |
164,990 |
-55.1% |
51.4% |
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Operating income/(loss) |
43,262 |
(131,397) |
(73,887) |
-270.8% |
N/A |
|||||
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Non-GAAP operating income/(loss) |
76,798 |
(127,050) |
(67,496) |
-187.9% |
N/A |
|||||
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Net income/(loss) attributable to RISE |
21,236 |
(103,837) |
(58,035) |
-373.3% |
N/A |
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Non-GAAP net income/(loss) attributable to RISE |
54,772 |
(99,490) |
(51,644) |
-194.3% |
N/A |
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Net income/(loss) per ADS attributable to RISE – basic |
0.37 |
(1.84) |
(1.03) |
-378.4% |
N/A |
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Net income/(loss) per ADS attributable to RISE – diluted |
0.37 |
(1.84) |
(1.03) |
-378.4% |
N/A |
|||||
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Non-GAAP net income/(loss) per ADS attributable to |
0.97 |
(1.76) |
(0.92) |
-194.8% |
N/A |
|||||
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Non-GAAP net income/(loss) per ADS attributable to |
0.95 |
(1.76) |
(0.92) |
-196.8% |
N/A |
|||||
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Adjusted EBITDA |
88,953 |
(108,006) |
(44,487) |
-150.0% |
N/A |
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Six Months Ended June 30 |
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(in thousands RMB, except for percentage and per ADS data) |
2019 |
2020 |
Pct. Change |
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Revenues |
702,083 |
273,979 |
-61.0% |
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Operating income/(loss) |
96,302 |
(205,285) |
-313.2% |
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Non-GAAP operating income/(loss) |
137,462 |
(194,549) |
-241.5% |
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Net income/(loss) attributable to RISE |
57,605 |
(161,872) |
-381.0% |
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Non-GAAP net income/(loss) attributable to RISE |
98,765 |
(151,136) |
-253.0% |
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Net income/(loss) per ADS attributable to RISE – basic |
1.01 |
(2.87) |
-384.2% |
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Net income/(loss) per ADS attributable to RISE – diluted |
0.99 |
(2.87) |
-389.9% |
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Non-GAAP net income/(loss) per ADS attributable to RISE – basic |
1.73 |
(2.68) |
-254.9% |
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Non-GAAP net income/(loss) per ADS attributable to RISE – diluted |
1.69 |
(2.68) |
-258.6% |
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Adjusted EBITDA |
169,450 |
(152,494) |
-190.0% |
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Ms.
Ms.
Financial Results for the Second Quarter of 2020
Revenues
Total revenues for the second quarter of 2020 increased by
- Revenues from educational programs for the second quarter of 2020 increased by 48.5% quarter-over-quarter and decreased by 53.7% year-over-year to
RMB151.5 million (US$21.4 million ). The quarter-over-quarter increase in revenues from educational programs was primarily due to the migration of most of our offline regular course students online to resume their study since lateApril 2020 . In addition, the online small group class course which was launched early March continued contributing revenues in the second quarter. With the COVID-19 situation alleviated, all of the Company's self-owned learning centers located inShanghai ,Guangzhou ,Shenzhen andWuxi have been gradually reopened sinceJune 2020 . However, a majority of the revenues from our educational programs in the quarter was from our online operation. The year-over-year decrease in revenues from educational programs was primarily due to the temporary closure of self-owned learning centers from lateJanuary 2020 since the outbreak of COVID-19. - Franchise revenues for the second quarter of 2020 increased by 111.7% quarter-over-quarter and decreased by 67.5 % year-over year to
RMB12.9 million (US$1.8 million ). The quarter-over-quarter increase in franchise revenues was primarily due to a growth in recurring franchise revenues as a result of the gradually reopening of franchised learning centers. The year-over-year decrease in franchise revenues was primarily due to a decline in recurring franchise revenues as a result of the outbreak of COVID-19. - Other revenues for the second quarter of 2020 decreased by 33.8% quarter-over-quarter and increased by 54.0% year-over year to
RMB0.6 million (US$0.1 million ).
Cost of Revenues
Cost of revenues for the second quarter of 2020 decreased by
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[4] Non-GAAP cost of revenues exclude relevant share-based compensation ("SBC") expenses and amortization of certain intangible assets, including teaching course license, acquired as part of the junior ELT business by the Company from certain third-party in 2013 (the "2013 acquisition") from cost of revenues. Non-GAAP operating income adds back SBC expenses and amortization of certain intangible assets, including trademark, acquired as part of the 2013 acquisition. Each of non-GAAP operating expenses, non-GAAP selling and marketing expenses and non-GAAP general and administrative expenses excludes relevant SBC expenses and amortization of certain intangible assets acquired as part of the 2013 acquisition. For details on the calculation of each of these items and the reconciliation of each to the most directly comparable GAAP financial measure, see "About Non-GAAP Financial Measures" and "Reconciliation of GAAP and Non-GAAP Results." |
Gross Profit/(Loss)
As a result of the foregoing, the Company recorded gross profit of
Operating Expenses
Total operating expenses for the second quarter of 2020 decreased by
- Selling and marketing expenses decreased by 1.7% quarter-over-quarter and decreased by 40.0% year-over-year to
RMB42.5 million (US$6.0 million ) for the second quarter of 2020. The quarter-over-quarter decrease was primarily associated with the Company's effort in personnel optimization, which was partially offset by increased advertisement expenses. The year-over-year decrease was primarily due to the Company's well-managed investment in online and offline marketing activities and personnel optimization efforts. Non-GAAP selling and marketing expenses for the second quarter of 2020 decreased by 2.3% quarter-over-quarter and decreased by 40.9% year-over-year toRMB41.2 million (US$5.8 million ). - General and administrative expenses increased slightly by 0.4% quarter-over-quarter and decreased by 40.8% year-over-year to
RMB54.8 million (US$7.8 million ) for the second quarter of 2020. The year-over-year decrease was primarily due to a decrease in share-based compensation expenses, and the Company's continuous efforts in controlling administrative expenses and in personnel optimization. Non-GAAP general and administrative expenses for the second quarter of 2020 decreased by 3.5% quarter-over-quarter and decreased by 17.9% year-over-year toRMB53.6 million (US$7.6 million ).
Operating Income/(Loss)
Operating loss for the second quarter of 2020 narrowed by
Interest Expense
Interest expense for the second quarter of 2020 was
Other Income
Other income for the second quarter of 2020 was
Income Tax Expense/(Benefit)
Income tax benefit for the second quarter of 2020 was
Net Loss Attributable to RISE
Net loss attributable to RISE for the second quarter of 2020 was
Non-GAAP net loss attributable to RISE for the second quarter of 2020 was
EBITDA represents net income/(loss) before interests, taxes, depreciation, and amortization. EBITDA loss for the second quarter of 2020 was
Adjusted EBITDA loss for the second quarter of 2020 was
Basic and Diluted Earnings per ADS
Basic and diluted net loss attributable to RISE per ADS was
Basic and diluted non-GAAP net loss attributable to RISE per ADS was
Cash Flow
Net cash outflow from operating activities for the second quarter of 2020 was
Balance Sheet
As of
Current and non-current deferred revenue and customer advances were RMB677.8 million (
Financial Results for the Six Months Ended
Revenues
Total revenues for the first half of 2020 decreased by
- Revenues from educational programs for the first half of 2020 decreased by 58.8% to
RMB253.5 million (US$35.9 million ). The decrease in revenues from educational programs was primarily due to the temporary suspension of our offline business since late January of 2020 due to the outbreak of COVID-19, which was partially offset by the revenues generated by our online services by migrating offline students online and launching new online products. - Franchise revenues for the first half of 2020 decreased by 75.6% to
RMB19.0 million (US$2.7 million ), primarily due to a decline in recurring franchise revenue as a result of the temporary closure of franchised learning centers. - Other revenues for the first half of 2020 decreased by 82.8% to
RMB1.5 million (US$0.2 million ).
Cost of Revenues
Cost of revenues for the first half of 2020 decreased by
Gross Profit/(Loss)
Gross loss for the first half of 2020 was RMB10.2 million (
Operating Expenses
Total operating expenses for the first half of 2020 decreased by
- Selling and marketing expenses decreased by 37.2% year-over-year to
RMB85.7 million (US$12.1 million ) for the first half of 2020. The decrease was primarily due to the Company's curtailed and well-management investment in online and offline marketing activities and reduced personnel costs resulting from personnel optimization, lower performance-based compensation due to the lower new student enrollments reflecting the impact of the COVID-19 pandemic. Non-GAAP selling and marketing expenses during the first half of 2020 decreased by 38.0% year-over-year toRMB83.5 million (US$11.8 million ). - General and administrative expenses decreased by 29.2% year-over-year to
RMB109.4 million (US$15.5 million ) for the first half of 2020. The decrease was mainly attributable to a decrease in share-based compensation expenses and the Company's efforts on personnel optimization and rigorous control of administrative expenses. Non-GAAP general and administrative expenses for the first half of 2020 decreased by 12.3% year-over-year toRMB109.1 million (US$15.4 million ).
Operating Income/(Loss)
Operating loss for the first half of 2020 was
Interest Expense
Interest expense for the first half of 2020 was
Other Income
Other income for the first half of 2020 was
Income Tax Expense/(Benefit)
Income tax benefit for the first half of 2020 was
Net Loss Attributable to RISE
Net loss attributable to RISE for the first half of 2020 was
Non-GAAP net loss attributable to RISE for the first half of 2020 was
EBITDA loss for the first half of 2020 was
Adjusted EBITDA loss for the first half of 2020 was
Basic and Diluted Earnings per ADS
Basic and diluted net loss attributable to RISE per ADS was
Basic and diluted non-GAAP net loss attributable to RISE per ADS was
Cash Flow
Net cash outflow from operating activities for the first half of 2020 was
Business Outlook
Although the depth and scale of the impact of COVID-19 is still unknown, we believe we are well-positioned to navigate the rapidly evolving market environment and capture potential market opportunities. Our learning centers in
Conference Call Information
RISE will hold a conference call on
Conference call preregistration link is http://apac.directeventreg.com/registration/event/8699700. Once preregistration has been completed, participants will receive dial-in numbers, an event passcode, and a unique registrant ID.
To join the conference, please dial the number you receive, enter the event passcode followed by your unique registrant ID, and you will be joined to the conference instantly.
A telephone replay will be accessible through
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+1-646-254-3697 |
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International: |
+61-2-8199-0299 |
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Mainland |
400-6322-162 |
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+852-3051-2780 |
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Conference ID: |
#8699700 |
A live and archived webcast of the conference call, together with a copy of the presentation slides used for the conference call, will also be available at the Company's investor relations website at http://ir.risecenter.com/.
Exchange Rate
This announcement contains translations of certain RMB amounts into
About Non-GAAP Financial Measures
To supplement RISE's financial results presented in accordance with
Non-GAAP cost of revenues, non-GAAP operating expenses, including non-GAAP selling and marketing expenses and non-GAAP general and administrative expenses, provides the Company with an understanding of the results from the primary operations of the Company's business by excluding the effects of certain transaction-related expenses that do not reflect the ordinary operating expenses of the Company's operations and share-based compensation.
EBITDA, adjusted EBITDA and non-GAAP net income/(loss) provide the Company with an understanding of the results from the primary operations of the Company's business by excluding the effects of certain transaction-related expenses that do not reflect the ordinary EBITDA and net income/(loss) of the Company's operations.
The Company uses non-GAAP operating expenses, including non-GAAP selling and marketing expenses and non-GAAP general and administrative expenses, non-GAAP operating income/(loss), Non-GAAP operating margin, EBITDA, adjusted EBITDA, non-GAAP net income/(loss) attributable to RISE, and non-GAAP basic and diluted net income/(loss) per ADS attributable to RISE to evaluate the Company's period-over-period operating performance because the Company's management believes these provide a more comparable measure of the Company's continuing business as it adjusts for transaction-related expenses that are not reflective of the normal earnings of the Company's business. These measures may be useful to an investor in evaluating the underlying operating performance of the Company's business, and to enhance investors' overall understanding of the historical and current financial performance of the Company's continuing operations and prospects for the future.
Non-GAAP financial information should not be considered a substitute for or superior to
Non-GAAP cost of revenues exclude relevant share-based compensation expenses and amortization of certain intangible assets ("IA") acquired as part of the 2013 acquisition from cost of revenues. Non-GAAP operating income/(loss) adds back share-based compensation expenses and amortization of certain intangible assets acquired as part of the 2013 acquisition. Each of non-GAAP operating expenses, non-GAAP selling and marketing expenses or non-GAAP general and administrative expenses excludes relevant share-based compensation expenses and amortization of certain intangible assets acquired as part of the 2013 acquisition. EBITDA represents net income/(loss) before interests, taxes, depreciation and amortization.
For more information on non-GAAP financial measures, please see the tables captioned "Reconciliations of non-GAAP financial measures to the nearest comparable GAAP measures."
About RISE Education
Safe Harbor Statement
This press release contains statements of a forward-looking nature. These statements, including the statements relating to the Company's future financial and operating results, are made under the "safe harbor" provisions of the
Investor Relations Contact
RISE Education
Email: riseir@rdchina.net
Tel: +86 (10) 8559-9191
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UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS |
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(in thousands) |
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As of |
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RMB |
RMB |
USD |
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ASSETS |
|||||
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Current assets: |
|||||
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Cash and cash equivalents |
999,012 |
588,672 |
83,321 |
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Restricted cash |
23,813 |
164,828 |
23,330 |
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Accounts receivable, net |
1,745 |
1,054 |
149 |
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Amounts due from related parties |
191 |
1,807 |
256 |
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Inventories |
8,685 |
7,740 |
1,096 |
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Prepaid expenses and other current assets |
51,420 |
91,881 |
13,004 |
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Total current assets |
1,084,866 |
855,982 |
121,156 |
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Property and equipment, net |
137,340 |
111,081 |
15,722 |
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Intangible assets, net |
210,346 |
204,325 |
28,920 |
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Long-term investment |
33,000 |
33,000 |
4,671 |
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665,416 |
669,899 |
94,818 |
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Deferred tax assets |
11,026 |
33,046 |
4,677 |
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Other non-current assets |
49,638 |
57,867 |
8,191 |
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Operating lease right-of use assets |
610,323 |
626,848 |
88,726 |
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Total assets |
2,801,955 |
2,592,048 |
366,881 |
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LIABILITIES AND SHAREHOLDERS' EQUITY |
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Current liabilities: |
|||||
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Current portion of long-term loan |
134,015 |
136,003 |
19,250 |
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Accounts payable |
7,553 |
4,373 |
619 |
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Accrued expenses and other current liabilities |
202,808 |
253,820 |
35,926 |
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Deferred revenue and customer advances |
716,637 |
641,907 |
90,856 |
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Income taxes payable |
14,594 |
5,035 |
713 |
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Operating lease liabilities, current portion |
157,911 |
194,412 |
27,517 |
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Total current liabilities |
1,233,518 |
1,235,550 |
174,881 |
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Long-term loan |
370,163 |
379,127 |
53,662 |
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Deferred revenue and customer advances |
39,397 |
35,879 |
5,078 |
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Deferred tax liabilities |
31,116 |
22,903 |
3,242 |
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Other non-current liabilities |
39,156 |
39,397 |
5,576 |
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Operating lease liabilities, non-current portion |
464,304 |
426,963 |
60,433 |
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Total liabilities |
2,177,654 |
2,139,819 |
302,872 |
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Shareholders' equity: |
|||||
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Ordinary shares |
6,946 |
6,946 |
983 |
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Additional paid-in capital |
583,262 |
585,190 |
82,828 |
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Statutory reserves |
104,830 |
104,830 |
14,838 |
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Accumulated deficit |
(127,059) |
(288,931) |
(40,896) |
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Accumulated other comprehensive income |
40,917 |
41,137 |
5,823 |
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608,896 |
449,172 |
63,576 |
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Non-controlling interests |
15,405 |
3,057 |
433 |
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Total equity |
624,301 |
452,229 |
64,009 |
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Total liabilities, non-controlling interests and |
2,801,955 |
2,592,048 |
366,881 |
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UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME |
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(in thousands, except share and ADS data and per share and per ADS data) |
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Three Months Ended |
Six Months Ended June 30 |
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2019 |
2020 |
2020 |
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RMB |
RMB |
RMB |
USD |
RMB |
RMB |
USD |
|||||
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Revenues |
367,057 |
108,989 |
164,990 |
23,353 |
702,083 |
273,979 |
38,779 |
||||
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Educational programs |
326,877 |
101,989 |
151,465 |
21,438 |
615,490 |
253,454 |
35,873 |
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Franchise revenues |
39,797 |
6,109 |
12,935 |
1,831 |
77,975 |
19,044 |
2,696 |
||||
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Others |
383 |
891 |
590 |
84 |
8,618 |
1,481 |
210 |
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Cost of revenues |
(160,414) |
(142,568) |
(141,582) |
(20,040) |
(314,815) |
(284,150) |
(40,219) |
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Gross profit/(loss) |
206,643 |
(33,579) |
23,408 |
3,313 |
387,268 |
(10,171) |
(1,440) |
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Selling and marketing expenses |
(70,742) |
(43,220) |
(42,474) |
(6,012) |
(136,404) |
(85,695) |
(12,129) |
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General and administrative expenses |
(92,639) |
(54,598) |
(54,821) |
(7,759) |
(154,562) |
(109,419) |
(15,487) |
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Operating income/(loss) |
43,262 |
(131,397) |
(73,887) |
(10,458) |
96,302 |
(205,285) |
(29,056) |
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Interest income |
6,835 |
3,852 |
4,055 |
574 |
9,409 |
7,907 |
1,119 |
||||
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Interest expense |
(8,895) |
(6,791) |
(5,883) |
(833) |
(17,848) |
(12,674) |
(1,794) |
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Foreign currency exchange loss |
(538) |
(79) |
(17) |
(2) |
(489) |
(96) |
(14) |
||||
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Other income, net |
572 |
2,987 |
2,183 |
309 |
8,499 |
5,171 |
732 |
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Income before income tax expense |
41,236 |
(131,428) |
(73,549) |
(10,410) |
95,873 |
(204,977) |
(29,013) |
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Income tax (expense)/benefit |
(19,176) |
19,728 |
11,029 |
1,561 |
(37,882) |
30,757 |
4,354 |
||||
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Net income/(loss) |
22,060 |
(111,700) |
(62,520) |
(8,849) |
57,991 |
(174,220) |
(24,659) |
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Add: net (income)/loss attributable |
(824) |
7,863 |
4,485 |
635 |
(386) |
12,348 |
1,748 |
||||
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Net income/(loss) attributable to |
21,236 |
(103,837) |
(58,035) |
(8,214) |
57,605 |
(161,872) |
(22,911) |
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Net income/(loss) per ordinary |
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Basic |
0.19 |
(0.92) |
(0.51) |
(0.07) |
0.50 |
(1.44) |
(0.20) |
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Diluted |
0.18 |
(0.92) |
(0.51) |
(0.07) |
0.49 |
(1.44) |
(0.20) |
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Net income/(loss) per ADS (Notes |
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Basic |
0.37 |
(1.84) |
(1.03) |
(0.15) |
1.01 |
(2.87) |
(0.41) |
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Diluted |
0.37 |
(1.84) |
(1.03) |
(0.15) |
0.99 |
(2.87) |
(0.41) |
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Shares used in net income/(loss) per ordinary |
|||||||||||
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Basic |
113,462,302 |
112,756,311 |
112,756,844 |
112,756,844 |
114,269,814 |
112,756,577 |
112,756,577 |
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Diluted |
114,826,742 |
112,756,311 |
112,756,844 |
112,756,844 |
116,798,699 |
112,756,577 |
112,756,577 |
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ADSs used in net income/(loss) |
|||||||||||
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Basic |
56,731,151 |
56,378,155 |
56,378,422 |
56,378,422 |
57,134,907 |
56,378,289 |
56,378,289 |
||||
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Diluted |
57,413,371 |
56,378,155 |
56,378,422 |
56,378,422 |
58,399,350 |
56,378,289 |
56,378,289 |
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Note 1: Each ADS represents two ordinary shares. |
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UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME |
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(in thousands, except share and ADS data and per share and per ADS data) |
||||||||
|
Three Months Ended |
Six Months Ended |
|||||||
|
|
|
|
|
2019 |
2020 |
2020 |
||
|
RMB |
RMB |
RMB |
USD |
RMB |
RMB |
USD |
||
|
Net income/(loss) |
22,060 |
(111,700) |
(62,520) |
(8,849) |
57,991 |
(174,220) |
(24,659) |
|
|
Other comprehensive (loss)/income, |
||||||||
|
Foreign currency translation adjustments |
(90) |
251 |
(31) |
(5) |
(602) |
220 |
31 |
|
|
Other comprehensive (loss)/income |
(90) |
251 |
(31) |
(5) |
(602) |
220 |
31 |
|
|
Comprehensive income/(loss) |
21,970 |
(111,449) |
(62,551) |
(8,854) |
57,389 |
(174,000) |
(24,628) |
|
|
Add: comprehensive (income)/loss |
(824) |
7,863 |
4,485 |
635 |
(386) |
12,348 |
1,748 |
|
|
Comprehensive income/(loss) |
21,146 |
(103,586) |
(58,066) |
(8,219) |
57,003 |
(161,652) |
(22,880) |
|
|
|
||||||||||||||||
|
RECONCILIATION OF GAAP AND NON-GAAP RESULTS |
||||||||||||||||
|
(in thousands, except ADS data and per ADS data) |
||||||||||||||||
|
Three Months Ended |
Six Months Ended |
|||||||||||||||
|
|
|
|
|
2019 |
2020 |
2020 |
||||||||||
|
RMB |
RMB |
RMB |
USD |
RMB |
RMB |
USD |
||||||||||
|
Net income/(loss) |
22,060 |
(111,700) |
(62,520) |
(8,849) |
57,991 |
(174,220) |
(24,659) |
|||||||||
|
Share-based compensation ("SBC") |
29,246 |
(41) |
1,935 |
274 |
32,629 |
1,893 |
268 |
|||||||||
|
IA amortization arising from Bain |
4,290 |
4,388 |
4,456 |
631 |
8,531 |
8,843 |
1,251 |
|||||||||
|
Non-GAAP net income/(loss) |
55,596 |
(107,353) |
(56,129) |
(7,944) |
99,151 |
(163,484) |
(23,140) |
|||||||||
|
Add: net (income)/ loss attributable to |
(824) |
7,863 |
4,485 |
635 |
(386) |
12,348 |
1,748 |
|||||||||
|
Non-GAAP net income/(loss) |
54,772 |
(99,490) |
(51,644) |
(7,309) |
98,765 |
(151,136) |
(21,392) |
|||||||||
|
Net income/(loss) |
22,060 |
(111,700) |
(62,520) |
(8,849) |
57,991 |
(174,220) |
(24,659) |
|||||||||
|
Add: Depreciation |
11,134 |
12,646 |
17,465 |
2,471 |
21,887 |
30,111 |
4,262 |
|||||||||
|
Add: Amortization |
5,277 |
7,878 |
7,834 |
1,109 |
10,622 |
15,712 |
2,224 |
|||||||||
|
Add: Interest expense |
8,895 |
6,791 |
5,883 |
833 |
17,848 |
12,674 |
1,794 |
|||||||||
|
Add: Income tax expense/(benefit) |
19,176 |
(19,728) |
(11,029) |
(1,561) |
37,882 |
(30,757) |
(4,353) |
|||||||||
|
Less: Interest income |
6,835 |
3,852 |
4,055 |
574 |
9,409 |
7,907 |
1,119 |
|||||||||
|
EBITDA |
59,707 |
(107,965) |
(46,422) |
(6,571) |
136,821 |
(154,387) |
(21,851) |
|||||||||
|
SBC |
29,246 |
(41) |
1,935 |
274 |
32,629 |
1,893 |
268 |
|||||||||
|
Adjusted EBITDA |
88,953 |
(108,006) |
(44,487) |
(6,297) |
169,450 |
(152,494) |
(21,583) |
|||||||||
|
Cost of revenues |
160,414 |
142,568 |
141,582 |
20,040 |
314,815 |
284,150 |
40,219 |
|||||||||
|
Personnel costs |
69,337 |
65,859 |
61,980 |
8,773 |
133,372 |
127,839 |
18,094 |
|||||||||
|
Rental costs |
53,537 |
50,873 |
49,595 |
7,020 |
105,428 |
100,468 |
14,220 |
|||||||||
|
Others |
37,540 |
25,836 |
30,007 |
4,247 |
76,015 |
55,843 |
7,905 |
|||||||||
|
Less: SBC |
1,754 |
699 |
320 |
45 |
2,204 |
1,019 |
144 |
|||||||||
|
Less: IA amortization arising from Bain |
3,497 |
3,577 |
3,632 |
514 |
6,954 |
7,208 |
1,020 |
|||||||||
|
Non-GAAP cost of revenues |
155,163 |
138,292 |
137,630 |
19,481 |
305,657 |
275,923 |
39,055 |
|||||||||
|
Non-GAAP gross profit/(loss) |
211,894 |
(29,303) |
27,360 |
3,872 |
396,426 |
(1,944) |
(276) |
|||||||||
|
Selling and marketing expenses |
70,742 |
43,220 |
42,474 |
6,012 |
136,404 |
85,695 |
12,129 |
|||||||||
|
Less: SBC |
153 |
195 |
403 |
57 |
255 |
598 |
85 |
|||||||||
|
Less: IA amortization arising from Bain |
793 |
811 |
824 |
117 |
1,577 |
1,635 |
231 |
|||||||||
|
Non-GAAP selling and marketing |
69,796 |
42,214 |
41,247 |
5,838 |
134,572 |
83,462 |
11,813 |
|||||||||
|
General and administrative expenses |
92,639 |
54,598 |
54,821 |
7,759 |
154,562 |
109,419 |
15,487 |
|||||||||
|
Less: SBC |
27,339 |
(935) |
1,212 |
172 |
30,170 |
276 |
39 |
|||||||||
|
Non-GAAP general and administrative |
65,300 |
55,533 |
53,609 |
7,587 |
124,392 |
109,143 |
15,448 |
|||||||||
|
Operating expense |
163,381 |
97,818 |
97,295 |
13,771 |
290,966 |
195,114 |
27,616 |
|||||||||
|
Less: SBC |
27,492 |
(740) |
1,615 |
229 |
30,425 |
874 |
124 |
|||||||||
|
Less: IA amortization arising from Bain |
793 |
811 |
824 |
117 |
1,577 |
1,635 |
231 |
|||||||||
|
Non-GAAP operating expense |
135,096 |
97,747 |
94,856 |
13,425 |
258,964 |
192,605 |
27,261 |
|||||||||
|
Operating income/(loss) |
43,262 |
(131,397) |
(73,887) |
(10,458) |
96,302 |
(205,285) |
(29,056) |
|||||||||
|
Add: SBC |
29,246 |
(41) |
1,935 |
274 |
32,629 |
1,893 |
268 |
|||||||||
|
Add: IA amortization arising from Bain |
4,290 |
4,388 |
4,456 |
631 |
8,531 |
8,843 |
1,251 |
|||||||||
|
Non-GAAP operating income/(loss) |
76,798 |
(127,050) |
(67,496) |
(9,553) |
137,462 |
(194,549) |
(27,537) |
|||||||||
|
Non-GAAP net income/(loss) per ADS |
0.97 |
(1.76) |
(0.92) |
(0.13) |
1.73 |
(2.68) |
(0.38) |
|||||||||
|
Non-GAAP net income/(loss) per ADS |
0.95 |
(1.76) |
(0.92) |
(0.13) |
1.69 |
(2.68) |
(0.38) |
|||||||||
|
ADSs used in calculating net |
56,731,151 |
56,378,155 |
56,378,422 |
56,378,422 |
57,134,907 |
56,378,289 |
56,378,289 |
|||||||||
|
ADSs used in calculating net |
57,413,371 |
56,378,155 |
56,378,422 |
56,378,422 |
58,399,350 |
56,378,289 |
56,378,289 |
|||||||||
|
Note 1: Each ADS represents two ordinary shares. |
||||||||||||||||
View original content:http://www.prnewswire.com/news-releases/rise-education-announces-second-quarter-2020-unaudited-financial-results-301111986.html
SOURCE RISE Education
