BEIJING, April 22, 2020 /PRNewswire/ -- Ambow
Education Holding Ltd. ("Ambow" or the "Company") (NYSE American:
AMBO), a leading national provider of educational and career
enhancement services in China,
today announced its audited financial and operating results for the
fourth quarter and fiscal year ended December 31, 2019.
"We are pleased to conclude fiscal year 2019 with solid fourth
quarter results," said Dr. Jin
Huang, Ambow's President and Chief Executive Officer.
"Throughout the year, we continued our efforts and investment in
new technology advancement and innovative education service
offerings to strengthen our leadership in the career enhancement
services market and further develop our cross-border education
service platform. Looking ahead, by continuing to build and
integrate our robust portfolio of international assets and
partnerships, we believe we are well positioned to capture the
opportunities in the underserved cross-border career education
market between the U.S. and China."
"We are closely monitoring the evolving situation brought about
by the COVID-19 pandemic, and have taken numerous safeguarding
measures to protect our employees and support the communities in
which we operate. Notably, we have rolled out new initiatives to
support the Chinese government's plan of moving classroom school
learning online during this period of prolonged school closures.
Leveraging our expertise in online education, strong technology
capabilities, and best-of-breed educational content, we promptly
launched a series of online class programs, including our VIP
classes focused on Big Data and Internet of Things ("IoT") taught
by leading professionals from around the world. We have also added
new career planning classes to enhance the competitive skills and
knowledge that will be required by students in the more challenging
job market emerging from the global business downturn. These
initiatives underline our mission, which is to address critical
demands in the education market and bridge the gaps between higher
education and the career aspirations of students," concluded Dr.
Huang.
Fourth Quarter 2019 Financial Highlights
- Net revenues for the fourth quarter of 2019 increased by
1.2% to US$24.9 million from
US$24.6 million in the same period of
2018. This increase was mainly driven by higher student
enrollment.
- Gross profit for the fourth quarter of 2019 decreased by
3.6% to US$8.0 million from
US$8.3 million in the same period of
2018. Gross profit margin was 32.1%, compared with 33.7% for the
fourth quarter of 2018.
- Operating expenses for the fourth quarter of 2019
increased by 47.8% to US$10.2 million
from US$6.9 million for the same
period of 2018. The increase of operating expenses was primarily
due to a one-time bad debt expense recovery and reversal of
US$2.9 million in the fourth quarter
of 2018.
- Net loss attributable to ordinary shareholders in the
fourth quarter of 2019 was US$1.7
million, or US$0.04 per basic
and diluted share, compared with a net income of US$4.5 million, or US$0.10 per basic and diluted share, for the
fourth quarter of 2018.
- As of December 31, 2019, Ambow
maintained strong cash resources of US$35.3
million, comprised of cash and cash equivalents of
US$22.6 million and short-term
investments of US$12.7 million.
- As of December 31, 2019, the
Company's deferred revenue balance was US$23.7 million, representing a 30.9% increase
from US$18.1 million as of
December 31, 2018, mainly
attributable to the tuition and fees collected in the K-12 segment
for the 2019-2020 academic year and tuition collected from our
education service platforms.
Fiscal Year 2019 Financial Highlights
- Net revenues for fiscal year 2019 increased by 8.5% to
US$83.9 million from US$77.3 million in 2018. This increase was mainly
driven by higher student enrollment.
- Gross profit for the fiscal year 2019 decreased by 0.4%
to US$28.0 million from US$28.1 million in 2018. Gross profit margin was
33.4%, compared with 36.4% in 2018. The decrease in gross profit
margin was primarily due to additional investments in new programs
and new technology deployment.
- Operating expenses for the fiscal year 2019 increased by
62.2% to US$42.0 million from
US$25.9 million in 2018. The increase
of operating expenses was primarily due to more marketing
activities to promote student enrollment, additional investments in
new programs and new technology deployment, increase in staff
compensation and an impairment loss of goodwill and intangible
assets of US$5.6 million recorded in
2019, and a one-time bad debt expense recovery and reversal of
US$2.9 million in 2018.
- Net loss attributable to ordinary shareholders for the
fiscal year 2019 was US$14.4 million,
or US$0.33 per basic and diluted
share, compared with a net income of US$6.5
million, or US$0.16 per basic
and diluted share, in 2018.
The Company's fourth quarter and fiscal year 2019 financial
and operating results can also be found on its Form 6-K and Form
20-F filed with the U.S. Securities and Exchange Commission
at www.sec.gov.
Exchange Rate Information
This announcement contains translations of certain RMB amounts
into U.S. dollars at a specified rate solely for the convenience of
the reader. Unless otherwise noted, all amounts translated from RMB
to U.S. dollars for the fourth quarter and the twelve months of
2019 are based on the effective exchange rate of 6.9618 as of
December 31, 2019; all amounts
translated from RMB to U.S. dollars for the fourth quarter and the
twelve months of 2018 are based on the effective exchange rate of
6.8755 as of December 31, 2018.
The exchange rates were according to the middle rate as set forth
in the H.10 statistical release of the U.S. Federal Reserve
Board.
About Ambow Education Holding Ltd.
Ambow Education Holding Ltd. is a leading national provider of
educational and career enhancement services in China, offering high-quality, individualized
services and products. With its extensive network of regional
service hubs complemented by a dynamic proprietary learning
platform and distributors, Ambow provides its services and products
to students in 30 out of the 31 provinces and autonomous regions
within China.
Follow us on Twitter: @Ambow_Education
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates" and similar statements. Among other
things, the outlook and quotations from management in this
announcement, as well as Ambow's strategic and operational plans,
contain forward-looking statements. Ambow may also make written or
oral forward-looking statements in its reports filed or furnished
to the U.S. Securities and Exchange Commission, in its annual
reports to shareholders, in press releases and other written
materials and in oral statements made by its officers, directors or
employees to third parties. Forward-looking statements involve
inherent risks and uncertainties. A number of factors could cause
actual results to differ materially from those contained in any
forward-looking statements, including but not limited to the
following: the Company's goals and strategies, expansion plans, the
expected growth of the content and application delivery services
market, the Company's expectations regarding keeping and
strengthening its relationships with its customers, and the general
economic and business conditions in the regions where the Company
provides its solutions and services. Further information regarding
these and other risks is included in the Company's filings with the
U.S. Securities and Exchange Commission. All information
provided in this press release is as of the date of this press
release, and Ambow undertakes no duty to update such information,
except as required under applicable law.
For investor and media inquiries please contact:
Ambow
Education Holding Ltd.
Tel: +86-10-6206-8000
The Piacente Group | Investor Relations
Tel: +1-212-481-2050 or +86-10-6508-0677
E-mail: ambow@tpg-ir.com
AMBOW EDUCATION
HOLDING LTD.
UNAUDITED
CONSOLIDATED BALANCE SHEETS
(All amounts in
thousands, except for share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31,
|
|
As of December 31,
|
|
|
|
2019
|
|
2018
|
|
|
|
US$
|
|
RMB
|
|
RMB
|
ASSETS
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
|
22,638
|
|
157,600
|
|
211,436
|
Restricted
cash
|
|
|
-
|
|
-
|
|
30,072
|
Short term
investments, available for sale
|
|
|
8,257
|
|
57,487
|
|
47,208
|
Short term
investments, held to maturity
|
|
|
4,453
|
|
31,000
|
|
70,000
|
Accounts receivable,
net
|
|
|
2,577
|
|
17,939
|
|
18,132
|
Amounts due from
related parties
|
|
|
333
|
|
2,318
|
|
1,105
|
Prepaid and other
current assets, net
|
|
|
19,147
|
|
133,296
|
|
134,770
|
Loan receivable,
current
|
|
|
-
|
|
-
|
|
42,677
|
Total current
assets
|
|
|
57,405
|
|
399,640
|
|
555,400
|
Non-current
assets:
|
|
|
|
|
|
|
|
Property and
equipment, net
|
|
|
22,618
|
|
157,463
|
|
165,933
|
Land use rights,
net
|
|
|
253
|
|
1,759
|
|
1,804
|
Intangible assets,
net
|
|
|
8,131
|
|
56,607
|
|
92,412
|
Goodwill
|
|
|
8,669
|
|
60,353
|
|
73,166
|
Deferred tax assets,
net
|
|
|
1,464
|
|
10,195
|
|
10,240
|
Operating lease
right-of-use asset
|
|
|
36,968
|
|
257,361
|
|
-
|
Finance lease
right-of-use asset
|
|
|
926
|
|
6,450
|
|
-
|
Other non-current
assets, net
|
|
|
10,194
|
|
70,971
|
|
11,264
|
|
|
|
|
|
|
|
|
Total non-current
assets
|
|
|
89,223
|
|
621,159
|
|
354,819
|
|
|
|
|
|
|
|
|
Total
assets
|
|
|
146,628
|
|
1,020,799
|
|
910,219
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
|
|
Deferred revenue
*
|
|
|
23,717
|
|
165,111
|
|
124,250
|
Accounts payable
*
|
|
|
2,113
|
|
14,718
|
|
13,583
|
Accrued and other
liabilities *
|
|
|
27,717
|
|
192,957
|
|
256,325
|
Borrowing from third
party, current
|
|
|
-
|
|
-
|
|
41,179
|
Income taxes payable,
current *
|
|
|
25,958
|
|
180,715
|
|
207,114
|
Amounts due to related
parties *
|
|
|
283
|
|
1,971
|
|
2,696
|
Operating lease
liability, current *
|
|
|
7,687
|
|
53,512
|
|
-
|
Total current
liabilities
|
|
|
87,475
|
|
608,984
|
|
645,147
|
Non-current
liabilities:
|
|
|
|
|
|
|
|
Consideration payable
for acquisitions
|
|
|
-
|
|
-
|
|
1,322
|
Other non-current
liabilities
|
|
|
-
|
|
-
|
|
979
|
Income taxes payable,
non-current *
|
|
|
4,618
|
|
32,152
|
|
-
|
Operating lease
liability, non-current *
|
|
|
31,036
|
|
216,067
|
|
-
|
Total non-current
liabilities
|
|
|
35,654
|
|
248,219
|
|
2,301
|
|
|
|
|
|
|
|
|
Total
liabilities
|
|
|
123,129
|
|
857,203
|
|
647,448
|
|
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
|
|
Preferred
shares
|
|
|
|
|
|
|
|
(US$ 0.003 par
value;1,666,667 shares authorized,
nil issued and outstanding as of December 31,
2018 and 2019)
|
|
|
-
|
|
-
|
|
-
|
Class A
Ordinary shares
|
|
|
|
|
|
|
|
(US$0.003 par value;
66,666,667 and
66,666,667 shares authorized, 38,756,289
and 38,858,199 shares issued and
outstanding as of December 31, 2018 and
2019, respectively)
|
|
|
105
|
|
730
|
|
728
|
Class C
Ordinary shares
|
|
|
|
|
|
|
|
(US$0.003 par value;
8,333,333 and 8,333,333
shares authorized, 4,708,415 and 4,708,415
shares issued and outstanding as
of
December 31, 2018 and 2019, respectively)
|
|
|
13
|
|
90
|
|
90
|
Additional paid-in
capital
|
|
|
504,000
|
|
3,508,745
|
|
3,507,123
|
Statutory
reserve
|
|
|
2,899
|
|
20,185
|
|
20,149
|
Accumulated
deficit
|
|
|
(484,331)
|
|
(3,371,815)
|
|
(3,271,838)
|
Accumulated other
comprehensive income
|
|
|
911
|
|
6,341
|
|
8,305
|
Total Ambow
Education Holding Ltd.'s equity
|
|
|
23,597
|
|
164,276
|
|
264,557
|
Non-controlling
interests
|
|
|
(98)
|
|
(680)
|
|
(1,786)
|
Total
equity
|
|
|
23,499
|
|
163,596
|
|
262,771
|
Total liabilities
and equity
|
|
|
146,628
|
|
1,020,799
|
|
910,219
|
|
|
|
|
|
|
|
|
* All of the
VIE's assets can be used to settle obligations of their primary
beneficiary. Liabilities recognized as a result of
consolidating these VIEs do not represent additional claims on the
Company's general assets.
|
AMBOW EDUCATION
HOLDING LTD.
|
|
UNAUDITED
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
|
|
(All amounts in
thousands, except for share and per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable to
Ambow Education Holding Ltd.'s Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retained
|
|
Accumulated
|
|
|
|
|
|
Class A
Ordinary
|
|
Class C
Ordinary
|
|
Additional
|
|
|
|
Earnings
|
|
other
|
|
Non-
|
|
|
|
|
shares
|
|
shares
|
|
paid-in
|
|
Statutory
|
|
(Accumulated
|
comprehensive
|
controlling
|
|
Total
|
|
|
Shares
|
|
Amount
|
|
Shares
|
|
Amount
|
|
capital
|
|
reserves
|
|
deficit)
|
|
income
|
|
Interest
|
|
Equity
|
|
|
|
|
RMB
|
|
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
RMB
|
|
Balance as of
January 1,
2019
|
38,756,289
|
|
728
|
|
4,708,415
|
|
90
|
|
3,507,123
|
|
20,149
|
|
(3,271,838)
|
|
8,305
|
|
(1,786)
|
|
262,771
|
|
Share-based
compensation
|
-
|
|
-
|
|
-
|
|
-
|
|
872
|
|
-
|
|
-
|
|
-
|
|
-
|
|
872
|
|
Issuance of ordinary
shares
for restricted stock
award
|
28,646
|
|
1
|
|
-
|
|
-
|
|
(1)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Foreign currency
translation
adjustment
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(2,428)
|
|
-
|
|
(2,428)
|
|
Unrealized gain
on
investment, net of income
taxes
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
75
|
|
-
|
|
75
|
|
Net loss
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(23,756)
|
|
-
|
|
(93)
|
|
(23,849)
|
|
Balance as of
March 31,
2019
|
38,784,935
|
|
729
|
|
4,708,415
|
|
90
|
|
3,507,994
|
|
20,149
|
|
(3,295,594)
|
|
5,952
|
|
(1,879)
|
|
237,441
|
|
Share-based
compensation
|
-
|
|
-
|
|
-
|
|
-
|
|
266
|
|
-
|
|
-
|
|
-
|
|
-
|
|
266
|
|
Issuance of ordinary
shares
for
restricted stock award
|
19,097
|
|
0
|
|
-
|
|
-
|
|
(0)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Foreign currency
translation
adjustment
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(746)
|
|
-
|
|
(746)
|
|
Unrealized gain
on
investment, net of income
taxes
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
173
|
|
-
|
|
173
|
|
Addition of
noncontrolling
interests resulting from
new subsidiaries
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
502
|
|
502
|
|
Net
income/(loss)
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
8,778
|
|
-
|
|
(180)
|
|
8,598
|
|
Balance as of
June 30,
2019
|
38,804,032
|
|
729
|
|
4,708,415
|
|
90
|
|
3,508,260
|
|
20,149
|
|
(3,286,816)
|
|
5,379
|
|
(1,557)
|
|
246,234
|
|
Share-based
compensation
|
-
|
|
-
|
|
-
|
|
-
|
|
244
|
|
-
|
|
-
|
|
-
|
|
-
|
|
244
|
|
Foreign currency
translation
adjustment
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(93)
|
|
-
|
|
(93)
|
|
Unrealized gain
on
investment, net of income
taxes
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
501
|
|
-
|
|
501
|
|
Net
(loss)/income
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(72,811)
|
|
-
|
|
4
|
|
(72,807)
|
|
Balance as of
September 30, 2019
|
38,804,032
|
|
729
|
|
4,708,415
|
|
90
|
|
3,508,504
|
|
20,149
|
|
(3,359,627)
|
|
5,787
|
|
(1,553)
|
|
174,079
|
|
Share-based
compensation
|
-
|
|
-
|
|
-
|
|
-
|
|
242
|
|
-
|
|
-
|
|
-
|
|
-
|
|
242
|
|
Issuance of ordinary
shares
for restricted stock award
|
54,167
|
|
1
|
|
-
|
|
-
|
|
(1)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Foreign currency
translation
adjustment
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
343
|
|
-
|
|
343
|
|
Appropriation to
statutory
reserves
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
36
|
|
(36)
|
|
-
|
|
-
|
|
-
|
|
Unrealized gain
on
investment, net of income
taxes
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
211
|
|
-
|
|
211
|
|
Deregistration of
subsidiaries
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
306
|
|
306
|
|
Noncontrolling
interests
from new subsidiaries
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
783
|
|
783
|
|
Net loss
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(12,152)
|
|
-
|
|
(216)
|
|
(12,368)
|
|
Balance as of
December 31,
2019
|
38,858,199
|
|
730
|
|
4,708,415
|
|
90
|
|
3,508,745
|
|
20,185
|
|
(3,371,815)
|
|
6,341
|
|
(680)
|
|
163,596
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance as of
January 1,
2018
|
34,206,939
|
|
640
|
|
4,708,415
|
|
90
|
|
3,456,307
|
|
20,036
|
|
(3,316,715)
|
|
6,876
|
|
(1,275)
|
|
165,959
|
|
Share-based
compensation
|
-
|
|
-
|
|
-
|
|
-
|
|
616
|
|
-
|
|
-
|
|
-
|
|
-
|
|
616
|
|
Issuance of ordinary
shares
for restricted stock award
|
30,187
|
|
1
|
|
-
|
|
-
|
|
(1)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Foreign currency
translation
adjustment
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
3,276
|
|
-
|
|
3,276
|
|
Unrealized gain
on
investment, net of income
taxes
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
64
|
|
-
|
|
64
|
|
Deregistration of
subsidiaries
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(9)
|
|
(9)
|
|
Net
(loss)/income
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(7,062)
|
|
-
|
|
93
|
|
(6,969)
|
|
Balance as of
March 31,
2018
|
34,237,126
|
|
641
|
|
4,708,415
|
|
90
|
|
3,456,922
|
|
20,036
|
|
(3,323,777)
|
|
10,216
|
|
(1,191)
|
|
162,937
|
|
Share-based
compensation
|
-
|
|
-
|
|
-
|
|
-
|
|
618
|
|
-
|
|
-
|
|
-
|
|
-
|
|
618
|
|
Issuance of ordinary
shares
for restricted stock award
|
30,187
|
|
0
|
|
-
|
|
-
|
|
(0)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Issuance of ordinary
shares
on IPO
|
4,140,000
|
|
80
|
|
-
|
|
-
|
|
46,047
|
|
-
|
|
-
|
|
-
|
|
-
|
|
46,127
|
|
Foreign currency
translation
adjustment
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(1,523)
|
|
-
|
|
(1,523)
|
|
Unrealized gain
on
investment, net of income
taxes
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
69
|
|
-
|
|
69
|
|
Buy-outs of
noncontrolling
interests
|
-
|
|
-
|
|
-
|
|
-
|
|
(2,619)
|
|
-
|
|
-
|
|
-
|
|
(1,885)
|
|
(4,504)
|
|
Deregistration of
subsidiaries
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(41)
|
|
(41)
|
|
Net
income/(loss)
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
33,312
|
|
-
|
|
(143)
|
|
33,169
|
|
Balance as of
June 30,
2018
|
38,407,313
|
|
721
|
|
4,708,415
|
|
90
|
|
3,500,968
|
|
20,036
|
|
(3,290,465)
|
|
8,762
|
|
(3,260)
|
|
236,852
|
|
Share-based
compensation
|
-
|
|
-
|
|
-
|
|
-
|
|
655
|
|
-
|
|
-
|
|
-
|
|
-
|
|
655
|
|
Issuance of ordinary
shares
for restricted stock award
|
29,355
|
|
0
|
|
-
|
|
-
|
|
(0)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Foreign currency
translation
adjustment
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(501)
|
|
-
|
|
(501)
|
|
Unrealized gain
on
investment, net of income
taxes
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(114)
|
|
-
|
|
(114)
|
|
Buy-outs of
noncontrolling
interests
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
1
|
|
1
|
|
Net
(loss)/income
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(12,413)
|
|
-
|
|
89
|
|
(12,324)
|
|
Balance as of
September 30, 2018
|
38,436,668
|
|
721
|
|
4,708,415
|
|
90
|
|
3,501,623
|
|
20,036
|
|
(3,302,878)
|
|
8,147
|
|
(3,170)
|
|
224,569
|
|
Share-based
compensation
|
-
|
|
-
|
|
-
|
|
-
|
|
6,232
|
|
-
|
|
-
|
|
-
|
|
-
|
|
6,232
|
|
Issuance of ordinary
shares
for restricted stock award
|
319,621
|
|
7
|
|
-
|
|
-
|
|
(7)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Issuance of ordinary
shares
on IPO
|
-
|
|
-
|
|
-
|
|
-
|
|
(725)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(725)
|
|
Foreign currency
translation
adjustment
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
52
|
|
-
|
|
52
|
|
Appropriation to
statutory
reserves
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
113
|
|
(113)
|
|
-
|
|
-
|
|
-
|
|
Unrealized gain
on
investment, net of income
taxes
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
106
|
|
-
|
|
106
|
|
Buy-outs of
noncontrolling
interests
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
3
|
|
3
|
|
Capital injection
from
minority shareholders
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
1,470
|
|
1,470
|
|
Net
income/(loss)
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
31,153
|
|
-
|
|
(89)
|
|
31,064
|
|
Balance as of
December 31, 2018
|
38,756,289
|
|
728
|
|
4,708,415
|
|
90
|
|
3,507,123
|
|
20,149
|
|
(3,271,838)
|
|
8,305
|
|
(1,786)
|
|
262,771
|
|
AMBOW EDUCATION
HOLDING LTD.
UNAUDITED
CONSOLIDATED STATEMENTS OF OPERATIONS
(All amounts in
thousands, except for share and per share data)
|
|
|
For the years
ended December 31,
|
|
For the three
months ended December 31,
|
|
2019
|
|
2019
|
|
2018
|
|
2019
|
|
2019
|
|
2018
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
REVENUES
|
|
|
|
|
|
|
|
|
|
|
|
Educational
program and
services
|
83,700
|
|
582,706
|
|
525,134
|
|
24,899
|
|
173,339
|
|
168,705
|
Intelligent program
and
services
|
173
|
|
1,203
|
|
6,374
|
|
1
|
|
10
|
|
340
|
Total net
revenues
|
83,873
|
|
583,909
|
|
531,508
|
|
24,900
|
|
173,349
|
|
169,045
|
COST OF
REVENUES
|
|
|
|
|
|
|
|
|
|
|
|
Educational
program and
services
|
(55,106)
|
|
(383,635)
|
|
(331,939)
|
|
(16,976)
|
|
(118,181)
|
|
(110,948)
|
Intelligent program
and
services
|
(755)
|
|
(5,259)
|
|
(6,204)
|
|
80
|
|
559
|
|
(1,016)
|
Total cost of
revenues
|
(55,861)
|
|
(388,894)
|
|
(338,143)
|
|
(16,896)
|
|
(117,622)
|
|
(111,964)
|
|
|
|
|
|
|
|
|
|
|
|
|
GROSS
PROFIT
|
28,012
|
|
195,015
|
|
193,365
|
|
8,004
|
|
55,727
|
|
57,081
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
Selling and
marketing
|
(8,004)
|
|
(55,721)
|
|
(43,751)
|
|
(2,146)
|
|
(14,943)
|
|
(11,784)
|
General and
administrative
|
(27,926)
|
|
(194,417)
|
|
(132,718)
|
|
(7,743)
|
|
(53,907)
|
|
(35,846)
|
Research and
development
|
(545)
|
|
(3,793)
|
|
(1,513)
|
|
(321)
|
|
(2,238)
|
|
134
|
Impairment
loss
|
(5,567)
|
|
(38,754)
|
|
-
|
|
-
|
|
-
|
|
-
|
Total operating
expenses
|
(42,042)
|
|
(292,685)
|
|
(177,982)
|
|
(10,210)
|
|
(71,088)
|
|
(47,496)
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING
(LOSS)
INCOME
|
(14,030)
|
|
(97,670)
|
|
15,383
|
|
(2,206)
|
|
(15,361)
|
|
9,585
|
|
|
|
|
|
|
|
|
|
|
|
|
OTHER INCOME
(EXPENSES)
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
773
|
|
5,379
|
|
6,652
|
|
292
|
|
2,036
|
|
1,285
|
Foreign exchange gain,
net
|
3
|
|
23
|
|
372
|
|
(3)
|
|
(23)
|
|
218
|
Other income,
net
|
57
|
|
396
|
|
1,447
|
|
29
|
|
203
|
|
930
|
Gain from derecognition
of
liabilities
|
-
|
|
-
|
|
15,226
|
|
-
|
|
-
|
|
15,226
|
Gain on deregistration
of
subsidiaries
|
264
|
|
1,841
|
|
2,858
|
|
81
|
|
562
|
|
(362)
|
Gain from fair value
change of
contingent consideration
payable
|
190
|
|
1,322
|
|
5,444
|
|
190
|
|
1,322
|
|
5,444
|
Gain on sale of
investment
available for sale
|
172
|
|
1,200
|
|
1,056
|
|
112
|
|
778
|
|
297
|
Total other
income
|
1,459
|
|
10,161
|
|
33,055
|
|
701
|
|
4,878
|
|
23,038
|
(LOSS) INCOME
BEFORE
INCOME TAX AND NON-
CONTROLLING
INTEREST
|
(12,571)
|
|
(87,509)
|
|
48,438
|
|
(1,505)
|
|
(10,483)
|
|
32,623
|
Income tax
expense
|
(1,855)
|
|
(12,917)
|
|
(3,498)
|
|
(271)
|
|
(1,885)
|
|
(1,559)
|
|
|
|
|
|
|
|
|
|
|
|
|
NET (LOSS)
INCOME
|
(14,426)
|
|
(100,426)
|
|
44,940
|
|
(1,776)
|
|
(12,368)
|
|
31,064
|
Less: Net loss
attributable to non-controlling
interest
|
(70)
|
|
(485)
|
|
(50)
|
|
(31)
|
|
(216)
|
|
(89)
|
|
|
|
|
|
|
|
|
|
|
|
|
NET (LOSS)
INCOME
ATTRIBUTABLE TO
ORDINARY
SHAREHOLDERS
|
(14,356)
|
|
(99,941)
|
|
44,990
|
|
(1,745)
|
|
(12,152)
|
|
31,153
|
|
|
|
|
|
|
|
|
|
|
|
|
NET (LOSS)
INCOME
|
(14,426)
|
|
(100,426)
|
|
44,940
|
|
(1,776)
|
|
(12,368)
|
|
31,064
|
|
|
|
|
|
|
|
|
|
|
|
|
OTHER
COMPREHENSIVE
INCOME, NET OF TAX
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency
translation
adjustments
|
(420)
|
|
(2,924)
|
|
1,304
|
|
49
|
|
343
|
|
52
|
Unrealized
gains on short term
investments
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized
holding gains
arising during period
|
294
|
|
2,046
|
|
776
|
|
116
|
|
808
|
|
330
|
Less:
reclassification
adjustment for gains
included in net income
|
156
|
|
1,086
|
|
651
|
|
86
|
|
597
|
|
224
|
Other comprehensive
(loss)
income
|
(282)
|
|
(1,964)
|
|
1,429
|
|
79
|
|
554
|
|
158
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
COMPREHENSIVE
(LOSS) INCOME
|
(14,708)
|
|
(102,390)
|
|
46,369
|
|
(1,697)
|
|
(11,814)
|
|
31,222
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income per
share -
basic
|
(0.33)
|
|
(2.30)
|
|
1.09
|
|
(0.04)
|
|
(0.28)
|
|
0.72
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income per
share -
diluted
|
(0.33)
|
|
(2.30)
|
|
1.08
|
|
(0.04)
|
|
(0.28)
|
|
0.71
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares
used
in calculating basic net
(loss) income per share
|
43,505,175
|
|
43,505,175
|
|
41,342,597
|
|
43,529,884
|
|
43,529,884
|
|
43,255,473
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares
used
in calculating diluted net
(loss) income per share
|
43,505,175
|
|
43,505,175
|
|
41,671,763
|
|
43,529,884
|
|
43,529,884
|
|
43,589,336
|
Discussion of
Segment Operations
(All amounts in
thousands)
|
|
|
For the years
ended December 31,
|
|
For the three
months ended December 31,
|
|
2019
|
|
2019
|
|
2018
|
|
2019
|
|
2019
|
|
2018
|
|
US$
|
|
RMB
|
|
RMB
|
|
US$
|
|
RMB
|
|
RMB
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
REVENUES
|
|
|
|
|
|
|
|
|
|
|
|
K-12 Schools
*
|
45,067
|
|
313,747
|
|
277,790
|
|
15,877
|
|
110,533
|
|
101,614
|
CP&CE
Programs *
|
38,806
|
|
270,162
|
|
253,718
|
|
9,023
|
|
62,816
|
|
67,431
|
Total net
revenues
|
83,873
|
|
583,909
|
|
531,508
|
|
24,900
|
|
173,349
|
|
169,045
|
COST OF
REVENUES
|
|
|
|
|
|
|
|
|
|
|
|
K-12 Schools
*
|
(28,306)
|
|
(197,064)
|
|
(178,645)
|
|
(9,793)
|
|
(68,177)
|
|
(69,958)
|
CP&CE
Programs *
|
(27,555)
|
|
(191,830)
|
|
(159,498)
|
|
(7,103)
|
|
(49,445)
|
|
(42,006)
|
Total cost of
revenues
|
(55,861)
|
|
(388,894)
|
|
(338,143)
|
|
(16,896)
|
|
(117,622)
|
|
(111,964)
|
GROSS
PROFIT
|
|
|
|
|
|
|
|
|
|
|
|
K-12 Schools
*
|
16,761
|
|
116,683
|
|
99,145
|
|
6,084
|
|
42,356
|
|
31,656
|
CP&CE
Programs *
|
11,251
|
|
78,332
|
|
94,220
|
|
1,920
|
|
13,371
|
|
25,425
|
Total gross
profit
|
28,012
|
|
195,015
|
|
193,365
|
|
8,004
|
|
55,727
|
|
57,081
|
|
|
|
|
|
|
|
|
|
|
|
|
* Ambow
previously had three reportable segments, including Better School,
Better Job and Others for the years prior to 2019. In
2019, in response to the shift of business development focus, Ambow
changed its management approach to organize reportable
segments to make operating decisions and assess performance. New
reportable segments include K-12 schools and College
Preparation & Career Enhancement Programs ("CP&CE
Programs"), which provide K-12 educational services and tutoring
and
vocational educational services, respectively.
|
View original
content:http://www.prnewswire.com/news-releases/ambow-education-announces-fourth-quarter-and-full-year-2019-financial-results-301045401.html
SOURCE Ambow Education Holding Ltd.