Scholar Edu (01769.HK) announced that the company expects to record (i) revenue of not less than RMB 38.00 million for the six months ended June 30, 2024, an increase of not less than 51.2% from the revenue of RMB 25.13 million for the same period last year; and (ii) net income attributable to shareholders of not less than RMB 8.00 million, an increase of not less than 86.5% from the net income attributable to shareholders of RMB 4.29 million for the same period last year.
The board of directors also emphasized that the expected net income attributable to shareholders has included approximately RMB 10.9 million in share-based payment costs (RMB 3.6 million for the same period last year). Excluding share-based payment costs, the Group expects to record adjusted net income attributable to shareholders of not less than RMB 90.9 million, an increase of not less than 95.5% from the adjusted net income attributable to shareholders of RMB 46.5 million for the same period last year.
The expected net income for the six months ended June 30, 2024, is mainly due to (i) an increase in the total number of tutoring classes, which increases revenue, and (ii) the Group continuously improving its operational efficiency to improve its operating performance.
The Group's main business remained profitable in the first half of 2024 and showed good growth momentum. In recent years, the Group has actively promoted business transformation and launched various non-subject literacy courses since the fall of 2021, which has achieved significant results. In addition, the Group is actively exploring and launching study tour business and international courses. The Group believes that these business initiatives will expand the Group's revenue base and contribute to its long-term development.