GSDF Named a Founding Member of the Global STEM Alliance
NEW YORK, August 28, 2014 /PRNewswire/ — The Global Sustainable Development Foundation (GSDF) has signed a partnership agreement with the New Yo…
— New collaboration marks the first time Converis research management system is used across a network of institutions in Germany to advance global research impact
KARLSRUHE, Germany, Aug. 27, 2014 /PRNewswire/ — The Intellectual Property & Science business of Thomson Reuters, the world’s leading provider of intelligent information for businesses and professionals, today announced a collaboration with a consortium of six Hessen universities and universities of applied science (HeFIS) to streamline its institutions’ scholarly information management and workflow. The initiative utilizes Thomson Reuters Converis, a comprehensive research management system providing pre-and-post-award and open-access-repository management to support the entire spectrum of the research lifecycle.
This strategic relationship between Thomson Reuters and the HeFIS, supported by The Hessen State Ministry of Higher Education, Research and the Arts (HMWK), will provide the six consortium universities with a holistic view of their research activity so they may make better informed decisions that drive the future success of their research strategy, associated activity and programs. HeFIS, the first university consortium in Germany to implement Converis, is managed by the Justus Liebig University Giessen (JLU) and comprises Philipps University Marburg, the University of Kassel, Frankfurt University of Applied Sciences, Fulda University of Applied Sciences, Hochschule Geisenheim University and the Technische Hochschule Mittelhessen – University of Applied Sciences.
Converis supports universities, research institutions and funding agencies in collecting and managing data throughout the research workflow with several highly-configurable insight modules, including pre-and-post-award management, publications management, graduate student management, intellectual property portfolio management, data integration, and research analytics. It collects and curates digital output and streamlines communication between researchers and administrators throughout the research lifecycle.
“We are proud to be Germany’s first university consortium to collaborate with Thomson Reuters to advance the efficacy and global impact of our scientific research with a management support system that will provide a comprehensive view of our efforts,” said Peter Winker, professor of statistics and econometrics and vice president of scientific infrastructure at Justus Liebig University Giessen. “Implementing a unified platform throughout the Hessian universities is a strategic investment in the infrastructure of our research information system.”
Converis complements and integrates with InCites™, the leading web-based research analytics platform enabling institutions to measure research output and impact, monitor trends and support reporting about research activities at all levels. Designed to meet the needs of research institutions around the globe, the Thomson Reuters Research Analytics suite delivers powerful solutions for connecting investment to impact.
“As one of Germany’s academic leaders, the Hessen University Consortium recognizes the importance of accurate and precise assessment, evaluation and benchmarking as the research workflow evolves and competition increases,” said Gordon Macomber, managing director, Thomson Reuters IP & Science. “We are pleased to work with this network to enable its stakeholders to make informed decisions for competitive advantage and to improve the global impact of its research efforts.”
Learn more about Converis and InCites.
Thomson Reuters
Thomson Reuters is the world’s leading source of intelligent information for businesses and professionals. We combine industry expertise with innovative technology to deliver critical information to leading decision makers in the financial and risk, legal, tax and accounting, intellectual property and science and media markets, powered by the world’s most trusted news organization. For more information, go to www.thomsonreuters.com.
CONTACT
Jen Breen
+1 215 823 1791
Jennifer.breen@thomsonreuters.com
Molly Malone
+1 215 823 3702
Molly.malone@thomsonreuters.com
— Never-before-published real test questions provide more in-depth practice to help prospective graduate and business school students
PRINCETON, New Jersey, Aug. 25, 2014 /PRNewswire/ — In response to requests from test takers, educators, and advisors for additional GRE® test preparation materials, the GRE Program has unveiled new practice questions for the GRE ® revised General Test to help students do their best on test day.
Logo – http://photos.prnewswire.com/prnh/20120110/DC33419LOGO
The “Official GRE® Verbal Reasoning Practice Questions, Volume One” and the “Official GRE® Quantitative Reasoning Practice Questions, Volume One” provide more in-depth practice for test takers and perfectly complement “The Official Guide to the GRE® revised General Test, Second Edition.”
Each guide provides 150 never-before-published questions with complete explanations, and valuable hints and tips. The verbal guide also includes brand new sample tasks for the GRE Analytical Writing Measure while the quantitative guide includes a review of the math topics that may appear on the test.
“One out of three test takers use our official study guide, but test takers in a recent survey indicated that they wanted more practice questions,” says Dawn Piacentino, Director of Communication and Services for the GRE Program at ETS. “In response to that feedback, we are introducing these new verbal and quantitative preparation books.”
These new guides, co-published with McGraw-Hill Education, are available in print and eBook formats through the ETS store and through bookstores worldwide.
The expansion of GRE test preparation materials is designed according to ETS officials to help test takers feel more confident on test day. Similarly, the ScoreSelect® option, available only with the GRE tests, was introduced so that students could show their best. With the ScoreSelect option, GRE test takers can decide on test day – or anytime up to 5 years after test day – which of their sets of scores to send to graduate or business schools worldwide. “It’s about success and achieving their dreams”, says Piacentino.
These new GRE test preparation materials join a growing assortment of print, video and online formats including the free POWERPREP ®II software which includes two full-length practice tests. Other official test preparation tools include the GRE® Success Starter video series, “The Official Guide to the GRE® revised General Test, Second Edition”, a mobile app, and ScoreItNow! TM Online Writing Practice.
To learn more about all the official GRE test preparation tools, visit www.takethegre.com/prep.
About ETS
At ETS, we advance quality and equity in education for people worldwide by creating assessments based on rigorous research. ETS serves individuals, educational institutions and government agencies by providing customized solutions for teacher certification, English language learning, and elementary, secondary and postsecondary education, and by conducting education research, analysis and policy studies. Founded as a nonprofit in 1947, ETS develops, administers and scores more than 50 million tests annually — including the TOEFL® and TOEIC ® tests, the GRE ® tests and The Praxis Series® assessments — in more than 180 countries, at over 9,000 locations worldwide. www.ets.org
BEIJING, August 20, 2014 /PRNewswire/ — China Distance Education Holdings Limited (NYSE: DL) (“CDEL”, or the “Company”), a leading provider of online education in China focusing on professional education, today announced its participation i…
— Second Quarter Net Revenues Increased by 53.4% Year-Over-Year, Exceeding Guidance
— Second Quarter Net Income Increased by 204.5% Year-Over-Year
— Non-GAAP Second Quarter Net Income Increased by 249.1% Year-Over-Year
BEIJING, August 20, 2014 /PRNewswire/ — Tarena International, Inc. (NASDAQ: TEDU) (“Tarena” or the “Company”), a leading provider of professional education services in China today announced its unaudited financial results for the second quarter ended June 30, 2014.
Second Quarter 2014 Highlights
“I am delighted to report that we achieved an excellent quarter with record revenue and profit,” said Mr. Shaoyun Han, Tarena’s Chairman and Chief Executive Officer. “Revenue growth was again driven by increase in student enrollments and higher average revenue per student. Our digital art course continued its tremendous growth to remain as our second largest course by student enrollments in the second quarter of 2014. Our online sales and marketing course, which only launched in the fourth quarter of 2013, also experienced strong growth and has already become our fourth largest course, behind Java, digital art and C++. Such strong enrollment results further validated our differentiated education platform, as well as our strategy to diversify our course offerings and revenues by expanding into other high growth disciplines.”
“More importantly, we achieved significant year-over-year improvements in gross margin and operating margin and delivered even stronger growth in operating income. We will continue to execute on our objective and priority for 2014 in improving our center efficiency and utilization to drive sustainable growth in both revenue and profit, “continued Mr. Han.
“In the second quarter of 2014, the Chinese State Council issued ‘The Decision to Accelerate Modern Vocational Education’ in order to encourage the further development of the professional education market and to bridge the structural gap between the demand for and supply of skilled workforce. The number of college graduates in China has risen to a record high of 7.3 million in 2014 and the employment market is becoming increasingly competitive. As a leading professional education service provider with premium brand and reputation, Tarena is well positioned to capture the opportunities presented by this favorable market environment to drive our future growth.” Mr. Han concluded.
Mr. Suhai Ji, Tarena’s Chief Financial Officer, added, “In addition to our solid top line results, we are pleased to see continued strong margin improvement in the second quarter of 2014 as gross margin increased by 300 basis points year-over-year to 71.2%and non-GAAP operating margin increased by 610 basis points year-over-year to 15.9%. We are delivering on the objective we set at the beginning of the year to drive margin expansion in 2014. In the coming quarters, we will remain focused on optimizing our learning center utilization and improving key operating metrics to generate both growth and profitability.”
Second Quarter 2014 Results
Net Revenues
Net revenues increased by 53.4% to US$31.9 million in the second quarter of 2014, from US$20.8 million in the same period in 2013. The increase was primarily due to increased student enrollments and higher average revenue per student, as defined by net revenues divided by student enrollment.
Total student enrollments in the second quarter of 2014 increased by 35.6% to 15,377 from 11,341 in the same period in 2013, which was driven mainly by the number and the popularity of our course offerings. The number of our course offerings increased from 9to 11 in the second quarter year-over-year while the number of our learning centers increased from 76 to 103 in the same period year-over-year to cater to the increased demand for our courses.
Average revenue per student in the second quarter of 2014 increased by 13.1% to US$2,089 from US$1,847 in the same period in 2013. The growth in average revenue per student was mainly driven by the increase of standard tuition fees for our courses and the higher percentage of retail channel in our student enrollment channel mix. Beginning in the second quarter of 2014, we raised the standard tuition fees on some of our courses by RMB1,000 (US$163) per course. While we typically charge students enrolled through the retail channel the standard tuition fee, we generally offer students enrolled through the university channel a discount of approximately RMB4,000 (US$650) per person per course. Our student enrollment mix from retail and university channel was 81%/19% and 72%/28% in the second quarter of 2014 and 2013, respectively.
Cost of Revenues
Cost of revenues increased by 39.2% to US$9.2 million in the second quarter of 2014, from US$6.6 million in the same period in 2013. The increase was mainly due to higher rental cost resulting from increased number of learning centers and expansion of existing learning centers, higher personnel cost and welfare expenses resulting from increased number of teaching and advisory staff at our learning centers and higher average salary, as well as higher depreciation expenses for our learning centers.
Gross Profit and Gross Margin
Gross profit increased by 60.0% to US$22.7 million in the second quarter of 2014, from US$14.2 million in the same period in 2013. Gross margin increased to 71.2% in the second quarter of 2014 from 68.2% in the same period in 2013.The improvement in gross margin was mainly due to increased operational scale and efficiency for our learning centers. Personnel cost and welfare expenses decreased to 10.7% of total net revenues in the second quarter of 2014, from 12.9% in the same period in 2013. Rental expenses decreased to 8.8% of total net revenues in the second quarter of 2014, from 9.5% in the same period in 2013.
Operating Expenses
Total operating expenses increased by 54.6% to US$19.1 million in the second quarter of 2014, from US$12.4 million in the same period in 2013 as a result of increases in our selling and marketing, general and administrative and research and development expenses. Total non-GAAP operating expenses, which excluded share-based compensation expenses, increased by 45.1%to US$17.7 million in the second quarter of 2014, from US$12.2 million in the same period in 2013. Total share-based compensation expenses allocated to the related operating expenses increased by 728.9% to US$1.4 million in the second quarter of 2014, from US$0.2 million in the same period in 2013.
Selling and marketing expenses increased by 34.3% to US$10.3 million in the second quarter of 2014, from US$7.7 million in the same period in 2013. The increase was due to higher personnel cost and welfare expenses related to the growth in our selling and marketing headcount and higher average salary, and expanded marketing efforts primarily as a result of increased spending on advertising as we expanded our network of learning centers. Selling and marketing expenses in the second quarter of 2014 accounted for 32.2% of the total net revenues, compared to 36.8% in the same period in 2013.Advertising and marketing expenses in the second quarter of 2014 accounted for 13.1% of the total net revenues, compared to 16.7% in the same period in 2013.
General and administrative expenses increased by 101.8% to US$7.4 million in the second quarter of 2014, from US$3.7 million in the same period in 2013. The increase was mainly due to higher compensation cost for our increased number of general and administrative personnel to support our growing operations, higher bad debt allowance, higher share-based compensation expenses, and to a lesser extent, higher professional expenses. General and administrative expenses in the second quarter of 2014 accounted for 23.3% of the total net revenues, compared to17.7% in the same period in 2013. Non-GAAP general and administrative expenses, which excluded share-based compensation expenses, increased by 74.1% to US$6.2 million, from US$3.5 million in the same period in 2013. Non-GAAP general and administrative expenses in the second quarter of 2014 accounted for 19.3% of total net revenues, compared to 17.0% in the same period in 2013.
Research and development expenses increased by 37.1% to US$1.4 million in the second quarter of 2014, from US$1.0 million in the same period in 2013. The increase was mainly due to higher personnel cost and welfare expenses of our instructors allocated to their content development activities for our courses. Research and development expenses in the second quarter of 2014 accounted for 4.3% of total net revenues, compared to 4.8% in the same period in 2013.
Operating Income
Operating income increased by 95.4% to US$3.6 million in the second quarter of 2014, from US$1.9 million in the same period in 2013. Operating margin increased to 11.4%in the second quarter of 2014 as compared to8.9% in the same period in 2013.Non-GAAP operating income, which excluded share-based compensation expenses, increased by 149.9% to US$5.1 million in the second quarter of 2014, from US$2.0 million in the same period in 2013. Non-GAAP operating margin increased to 15.9% in the second quarter of 2014 as compared to 9.8% in the same period in 2013.
Interest Income, Net
Net interest income was US$1.0 million in the second quarter of 2014, compared to US$0.5 million in the same period in 2013. Interest income in both periods consisted of interest earned on our cash and time deposits in commercial banks and interest income recognized in relation to our installment payment plan for students. The increase in net interest income was primarily due to higher deposit levels resulting from the Company’s IPO proceeds in April 2014.
Foreign Exchange Gain/Loss
Foreign exchange gain was US$0.8 million in the second quarter of 2014, compared with a loss of US$0.1 million in the same period in 2013. The increase was primarily attributable to the appreciation of China’s RMB against U.S. dollar when a significant portion of the Company’s IPO proceeds was converted into RMB and placed in bank deposits.
Other Income
Other income in the second quarter of 2014 was US$1.0 million, consisting of US$0.8 million in government grant and US$0.2 million in investment income, compared to almost nil in the same period in 2013. The increase was attributable to government grants of RMB5 million received in the second quarter of 2014 and the investment income of short-term wealth management products purchased in the second quarter of 2014.
Income Tax Expense
Income tax expense was US$0.7 million in the second quarter of 2014, compared to US$0.4 million in the same period in 2013.The increase was mainly due to higher taxable income, partially offset by a decrease in the effective income tax rate to 10.5% in the second quarter of 2014 from 17.8% in the same period in 2013.The decrease in the effective income tax rate was primarily due to a tax holiday of a two-year full exemption from 2014 to 2015 followed by a three-year 50% exemption from 2016 to 2018 entitled by one of our wholly owned subsidiaries which is qualified as a “Newly Established Software Enterprise” under the PRC Enterprise Income Tax Law.
Net Income
As a result of the foregoing, net income increased by 204.5% to US$5.7 million in the second quarter of 2014, from US$1.9 million in the same period in 2013. Non-GAAP net income, which excluded share-based compensation expenses, increased by 249.1% year-over-year to US$7.2 million from US$2.1 million in the same period in 2013.
Business Outlook
Based on the Company’s current estimates, total net revenues for the third quarter of 2014 are expected to be between US$38.5 million and US$39.5 million, representing an increase of 35.1% to 38.6% on a year-over-year basis. The Company also expects its total net revenues for the full year of 2014 to be between US$134.5 million and US$136.0 million, representing an increase of 44.9% to 46.6% on a year-over-year basis.
This guidance is based on the current market conditions and reflects the Company’s current and preliminary estimates of market and operating conditions, which are subject to change.
Conference Call
The Company will host a conference call and live webcast to discuss its financial results for the second quarter of 2014 ended June 30, 2014 at 9:00 p.m. Eastern Time on August 19, 2014 (9:00 a.m. Beijing time on August 20, 2014).
The dial-in details for the live conference call are as follows:
|
United States: |
855 298 3404 |
|
International: |
+1 631 514 2526 |
|
Hong Kong: |
800 905 927 |
|
United Kingdom: |
800 015 9725 |
|
China Mainland: |
400 120 0539 |
|
Conference ID: |
1002021 |
A replay of the call will be available approximately 2 hours after the conclusion of the conference call through August 26, 2014. The dial-in details for the replay are:
|
U.S. Toll Free: |
866 846 0868 |
|
International: |
+1 800 008 585 |
|
Conference ID: |
1002021 |
Additionally, a live and archived webcast of this call will be available on the Investor Relations section of Tarena’s website at http://ir.tarena.com.cn.
Safe Harbor Statement
This press release contains forward-looking statements made under the “safe harbor” provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and 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,” “confident” and similar statements. Tarena may also make written or oral forward-looking statements in its reports filed with or furnished to the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any statements that are not historical facts, including the business outlook for the second quarter of 2014 and statements about Tarena’s beliefs and expectations, are forward-looking statements. Many factors, risks and uncertainties could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include, but not limited to the following: Tarena’s goals and strategies; its future business development, financial condition and results of operations; its ability to continue to attract students to enroll in its courses; its ability to continue to recruit, train and retain qualified instructors and teaching assistants; its ability to continually tailor its curriculum to market demand and enhance its courses to adequately and promptly respond to developments in the professional job market; its ability to maintain or enhance its brand recognition, its ability to maintain high job placement rate for its students, and its ability to maintain cooperative relationships with financing service providers for student loans. Further information regarding these and other risks, uncertainties or factors is included in Tarena’s filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of the press release, and Tarena does not undertake any obligation to update such information, except as required under applicable law.
About Tarena International, Inc.
Tarena International, Inc. (Nasdaq: TEDU) is a leading provider of professional education services in China. The Company is the largest provider of IT professional education services in China with a market share of 8.3% as measured by revenues in 2013 according to IDC, a third-party research firm. Through its innovative education platform combining live distance instruction, classroom-based tutoring and online learning modules, Tarena offers courses in nine IT subjects and two non-IT subjects. Its courses provide students with practical education to prepare them for jobs in industries with significant growth potential and strong hiring demand. Since its inception in 2002, Tarena has trained over 155,000 students, cooperated with more than 500 universities and colleges and placed students with approximately 45,000 corporate employers in a variety of industries. For further information, please visit http://ir.tarena.com.cn.
About Non-GAAP Financial Measures
To supplement Tarena’s consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles (“GAAP”), Tarena’s management uses non-GAAP measures of cost of revenues, operating expenses, operating income, net income, and net income per share, which are adjusted from results based on GAAP to exclude the share-based compensation expenses.
Our non-GAAP financial information provide meaningful supplemental information regarding its performance and liquidity by excluding share-based expenses that may not be indicative of its operating performance from a cash perspective. These non-GAAP financial information should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results. In addition, calculation of the non-GAAP financial measures may be different from the calculation used by other companies, and therefore comparability may be limited.
A limitation of using non-GAAP cost of revenues, operating expenses, operating income and net income is that the share-based compensation charge has been and will continue to be a significant recurring expense in the Company’s business for the foreseeable future. In order to mitigate these limitations the Company has provided specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables include details on the reconciliation between GAAP financial measures that are most directly comparable to the non-GAAP financial measures the Company has presented.
For further information, please contact:
Christina Zhu
Investor Relations
Tarena International Inc.
Tel: +8610 56219451
Email: ir@tarena.com.cn
|
TARENA INTERNATIONAL, INC. AND SUBSIDIARIES |
|||||||
|
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS |
|||||||
|
As of |
|||||||
|
June 30 |
December 31 |
||||||
|
2014 |
2013 |
||||||
|
US$ |
US$ |
||||||
|
ASSETS |
|||||||
|
Current assets: |
|||||||
|
Cash and cash equivalents |
49,609,069 |
26,139,255 |
|||||
|
Time deposits |
92,101,664 |
———— |
|||||
|
Accounts receivable, net of allowance for doubtful accounts |
18,946,361 |
15,001,222 |
|||||
|
Prepaid expenses and other current assets |
6,018,695 |
3,497,332 |
|||||
|
Deferred income tax assets |
1,565,763 |
1,546,213 |
|||||
|
Total current assets |
168,241,552 |
46,184,022 |
|||||
|
Time deposits |
9,769,175 |
12,161,617 |
|||||
|
Accounts receivable, net of allowance for doubtful accounts |
640,752 |
415,881 |
|||||
|
Property and equipment, net |
13,156,747 |
12,805,567 |
|||||
|
Other non-current assets |
1,797,879 |
2,105,832 |
|||||
|
Total assets |
193,606,105 |
73,672,919 |
|||||
|
LIABILITIES, MEZZANINE EQUITY AND SHAREHOLDERS’DEFICIT |
|||||||
|
Current liabilities: |
|||||||
|
Accounts payable |
114,612 |
217,451 |
|||||
|
Income taxes payable |
3,228,072 |
3,012,165 |
|||||
|
Deferred revenue |
20,043,271 |
15,487,494 |
|||||
|
Accrued expenses and other current liabilities |
7,941,867 |
6,617,558 |
|||||
|
Total current liabilities |
31,327,822 |
25,334,668 |
|||||
|
Other non-current liabilities |
241,342 |
243,555 |
|||||
|
Total liabilities |
31,569,164 |
25,578,223 |
|||||
|
Commitments and contingencies |
———— |
———— |
|||||
|
Mezzanine equity: |
|||||||
|
Series A convertible redeemable preferred shares |
———— |
419,776 |
|||||
|
Series B convertible redeemable preferred shares |
———— |
15,747,869 |
|||||
|
Series C convertible redeemable preferred shares |
———— |
95,211,135 |
|||||
|
Total mezzanine equity |
———— |
111,378,780 |
|||||
|
Shareholders’ equity (deficit): |
|||||||
|
Ordinary shares |
50,657 |
12,226 |
|||||
|
Additional paid-in capital |
219,076,654 |
———— |
|||||
|
Accumulated other comprehensive income |
1,227,420 |
1,634,920 |
|||||
|
Accumulated deficit |
(58,317,790) |
(64,931,230) |
|||||
|
Total shareholders’ equity (deficit) |
162,036,941 |
(63,284,084) |
|||||
|
Total liabilities, mezzanine equity and shareholders’ equity (deficit) |
193,606,105 |
73,672,919 |
|||||
|
TARENA INTERNATIONAL, INC. AND SUBSIDIARIES |
|||||||||||||||||||||||||||
|
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME |
|||||||||||||||||||||||||||
|
For the Three Months Ended June 30 |
For the Six Months Ended June 30 |
||||||||||||||||||||||||||
|
2014 |
2013 |
2014 |
2013 |
||||||||||||||||||||||||
|
US$ |
US$ |
US$ |
US$ |
||||||||||||||||||||||||
|
Net revenues |
31,942,301 |
20,825,503 |
56,280,750 |
35,967,104 |
|||||||||||||||||||||||
|
Cost of revenues(a) |
(9,211,736) |
(6,615,820) |
(17,796,655) |
(12,629,313) |
|||||||||||||||||||||||
|
Gross profit |
22,730,565 |
14,209,683 |
38,484,095 |
23,337,791 |
|||||||||||||||||||||||
|
Selling and marketing expenses(a) |
(10,299,493) |
(7,670,643) |
(19,127,123) |
(13,188,783) |
|||||||||||||||||||||||
|
General and administrative expenses(a) |
(7,432,800) |
(3,683,816) |
(13,190,817) |
(6,863,215) |
|||||||||||||||||||||||
|
Research and development expenses(a) |
(1,366,025) |
(996,117) |
(2,510,837) |
(1,623,240) |
|||||||||||||||||||||||
|
Operating income |
3,632,247 |
1,859,107 |
3,655,318 |
1,662,553 |
|||||||||||||||||||||||
|
Interest income |
1,006,550 |
512,093 |
1,465,869 |
804,932 |
|||||||||||||||||||||||
|
Foreign exchange gain(loss) |
794,996 |
(119,937) |
877,096 |
(161,338) |
|||||||||||||||||||||||
|
Other income |
973,929 |
37,620 |
1,446,772 |
38,337 |
|||||||||||||||||||||||
|
Income before income taxes |
6,407,722 |
2,288,883 |
7,445,055 |
2,344,484 |
|||||||||||||||||||||||
|
Income tax expense |
(675,919) |
(406,789) |
(750,343) |
(416,499) |
|||||||||||||||||||||||
|
Net income |
5,731,803 |
1,882,094 |
6,694,712 |
1,927,985 |
|||||||||||||||||||||||
|
Accretion of convertible redeemable preferred shares |
(18,920) |
(506,956) |
(576,431) |
(991,103) |
|||||||||||||||||||||||
|
Net income attributable to ordinary shareholders(b) |
5,712,883 |
1,375,138 |
6,118,281 |
936,882 |
|||||||||||||||||||||||
|
Net income(loss) per share(c): |
|||||||||||||||||||||||||||
|
Basic |
0.11 |
0.04 |
0.14 |
0.02 |
|||||||||||||||||||||||
|
Diluted |
0.10 |
0.02 |
0.11 |
0.02 |
|||||||||||||||||||||||
|
Weighted average number of ordinary shares outstanding: |
|||||||||||||||||||||||||||
|
Basic |
49,812,756 |
10,851,287 |
31,123,486 |
10,851,287 |
|||||||||||||||||||||||
|
Diluted |
56,839,519 |
16,483,830 |
38,045,512 |
15,915,680 |
|||||||||||||||||||||||
|
Net income |
5,731,803 |
1,882,094 |
6,694,712 |
1,927,985 |
|||||||||||||||||||||||
|
Other comprehensive income (loss) |
|||||||||||||||||||||||||||
|
Foreign currency translation adjustment, net of nil income taxes |
10,323 |
455,325 |
(407,500) |
528,643 |
|||||||||||||||||||||||
|
Comprehensive income |
5,742,126 |
2,337,419 |
6,287,212 |
2,456,628 |
|||||||||||||||||||||||
|
Notes: |
|||||||||||||||||||||||||||
|
(a) Includes share-based compensation expense as follows: |
|||||||||||||||||||||||||||
|
For the Three Months Ended June 30 |
For the Six Months Ended June 30 |
||||||||||||||||||||||||||
|
2014 |
2013 |
2014 |
2013 |
||||||||||||||||||||||||
|
US$ |
US$ |
US$ |
US$ |
||||||||||||||||||||||||
|
Cost of revenues |
24,770 |
4,295 |
33,174 |
8,590 |
|||||||||||||||||||||||
|
Selling and marketing expenses |
69,635 |
11,308 |
100,525 |
22,616 |
|||||||||||||||||||||||
|
General and administrative expenses |
1,278,008 |
149,263 |
1,679,952 |
298,527 |
|||||||||||||||||||||||
|
Research and development expenses |
82,743 |
12,003 |
117,744 |
24,006 |
|||||||||||||||||||||||
|
(b) The net income (loss) attributable to ordinary shareholders reflected the impact of non-cash accounting charges relating to the preferred shares. All outstanding preferred shares were automatically converted into ordinary shares upon the completion of the Company’s IPO on April 3, 2014. Thereafter, there will be no accretion to the preferred shares and all net income will be attributable to the ordinary shareholders. |
|||||||||||||||||||||||||||
|
(c) The Company uses the two-class method to calculate basic and diluted earnings per share. Under the two-class method, when calculating the basic and dilutive EPS, net income attributable to ordinary shareholders is adjusted to reflect the net income which is allocated to preferred shares. |
|||||||||||||||||||||||||||
|
TARENA INTERNATIONAL, INC. AND SUBSIDIARIES |
||||||||||||||||
|
RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES |
||||||||||||||||
|
For the Three Months Ended June 30 |
For the Six Months Ended June 30 |
|||||||||||||||
|
2014 |
2013 |
2014 |
2013 |
|||||||||||||
|
US$ |
US$ |
US$ |
US$ |
|||||||||||||
|
GAAP Cost of revenues |
9,211,736 |
6,615,820 |
17,796,655 |
12,629,313 |
||||||||||||
|
Share-based compensation expense in cost of revenues |
24,770 |
4,295 |
33,174 |
8,590 |
||||||||||||
|
Non-GAAP cost of revenues |
9,186,966 |
6,611,525 |
17,763,481 |
12,620,723 |
||||||||||||
|
GAAP Selling and marketing expenses |
10,299,493 |
7,670,643 |
19,127,123 |
13,188,783 |
||||||||||||
|
Share-based compensation expense in selling and marketing expenses |
69,635 |
11,308 |
100,525 |
22,616 |
||||||||||||
|
Non-GAAP selling and marketing expenses |
10,229,858 |
7,659,335 |
19,026,598 |
13,166,167 |
||||||||||||
|
GAAP General and administrative expenses |
7,432,800 |
3,683,816 |
13,190,817 |
6,863,215 |
||||||||||||
|
Share-based compensation expense in general and administrative expenses |
1,278,008 |
149,263 |
1,679,952 |
298,527 |
||||||||||||
|
Non-GAAP general and administrative expenses |
6,154,792 |
3,534,553 |
11,510,865 |
6,564,688 |
||||||||||||
|
GAAP Research and development expenses |
1,366,025 |
996,117 |
2,510,837 |
1,623,240 |
||||||||||||
|
Share-based compensation expense in research and development expenses |
82,743 |
12,003 |
117,744 |
24,006 |
||||||||||||
|
Non-GAAP research and development expenses |
1,283,282 |
984,114 |
2,393,093 |
1,599,234 |
||||||||||||
|
Operating income |
3,632,247 |
1,859,107 |
3,655,318 |
1,662,553 |
||||||||||||
|
Share-based compensation expenses |
1,455,156 |
176,869 |
1,931,395 |
353,739 |
||||||||||||
|
Non-GAAP operating income |
5,087,403 |
2,035,976 |
5,586,713 |
2,016,292 |
||||||||||||
|
Net income |
5,731,803 |
1,882,094 |
6,694,712 |
1,927,985 |
||||||||||||
|
Share-based compensation expense |
1,455,156 |
176,869 |
1,931,395 |
353,739 |
||||||||||||
|
Non-GAAP net income |
7,186,959 |
2,058,963 |
8,626,107 |
2,281,724 |
||||||||||||
|
Accretion of convertible redeemable preferred shares |
(18,920) |
(506,956) |
(576,431) |
(991,103) |
||||||||||||
|
Non-GAAP net income attributable to ordinary shareholders |
7,168,039 |
1,552,007 |
8,049,676 |
1,290,621 |
||||||||||||
|
Non-GAAP net income per share(a) |
||||||||||||||||
|
Basic |
0.14 |
0.04 |
0.18 |
0.03 |
||||||||||||
|
Diluted |
0.12 |
0.03 |
< UK University and ACCA Offer Free Business Course to People of Hong KongInnovative study concept means anyone can study business without leaving Hong Kong HONG KONG, Aug. 19, 2014 /PRNewswire/ — A new initiative, due to launch in September, will allow anyone in Hong Kong or anywhere in the world to study business for free at a renowned UK university, thanks to a collaboration between global accountancy body ACCA (the Association of Chartered Certified Accountants), the University of Exeter Business School and online learning platform FutureLearn. Together, they are launching a Massive Open Online Course (MOOC) — Discovering Business in Society — which is free to study and open to anyone in the world with access to the internet. The aim of the eight–week course is to give anyone interested in learning the principles of business, including prospective undergraduate students, working professionals without a background in business, people looking to return to work after an absence, or anyone seeking to further educate themselves. And for those interested in entering the finance profession and seeking a route to ACCA membership, the MOOC can be a starting point. Jane Cheng, head of ACCA Hong Kong, said: “The whole point of this MOOC is that it is all encompassing. Yes, it can be a way for someone looking to begin their journey into the finance profession with ACCA, but equally it could be useful to anyone in Hong Kong or any other country seeking to start a business to get a better understanding of what’s involved, or a parent looking to return to work with a new set of skills. It’s not unusual today for those people already in work to look to change career, and this gives them a taster of what it might be like in a business environment. It’s open to anyone, anywhere, of any age who wants to do it. “Because it is entirely online, anyone in the world with access to the internet can study it, even though it is delivered by a prestigious UK university. Even if those who study it choose not to use it to further their careers or become entrepreneurs they will have a deeper understanding of how business is relevant in society.” The Discovering Business in Society MOOC will cover a range of topics, including:
First steps to accountancy For those who complete the course and choose to take the optional assessment at the end of the course, which does have a fee attached to it, it could be the first step on the ladder to becoming a qualified ACCA accountant. Those who are successful in completing the optional examinations can claim exemption from the ACCA F1 paper, Accountant in Business. Clare Minchington, ACCA Executive Director, said: “The option is there to get that first part of the ACCA qualification under your belt should you decide a career in accountancy is for you. However, we didn’t launch the MOOC just to give people the opportunity to study our globally recognised qualification. Those who study it are under no obligation to take the examination at the end. When we say it is open to all, we don’t just mean those looking to become ACCA accountants. Our ethos has always been open access and this MOOC is testament to that thinking.” Register for the ACCA-sponsored MOOC at Discovering Business in Society Notes to Editors
Hult Prize Finalists Complete Start-Up Boot Camp, Prepare to Present to President Clinton for US1M PrizeGum for oral care and diabetes detecting bees are two of six innovations seeking to disrupt healthcare opportunities for urban slum dwellers BOSTON, Aug. 18, 2014 /PRNewswire/ — After completing a month-long start-up accelerator hosted by Hult International Business School’s Boston campus, the six finalist teams vying for the US1M Hult Prize now have one month remaining to refine their pitches before presenting to President Clinton at the CGI Annual Meeting in New York on 23 September. During the start-up accelerator, teams from University of Pennsylvania, Massachusetts Institute of Technology, HEC Paris, ESADE Business School, Indian School of Business, and York University received mentorship from prominent business leaders and Hult faculty in order to hone their start-up ideas – which address the issue of non-communicable-disease (NCD) in urban slums. “Given the complexity associated with the healthcare topic, I am excited that we continue to see the same high-quality ideas and solutions coming from the teams,” said Dr. Hitendra Patel, Professor of Innovation at Hult and leader of the Hult Prize Accelerator. “Teams this year are presenting potentially groundbreaking solutions for the prevention and detection of cardiovascular diseases, respiratory diseases, diabetes, and cancer. I am honoured to be a part of the Hult Prize initiative, and wish all of the finalists good luck as they prepare for their final pitches.” A panel of all-star judges, including Dr. Mohammad Yunus (Nobel Laureate and founder of Grameen Bank), Dr. Sanjay Gupta (neurosurgeon and Chief Medical Correspondent for CNN), Sheila Marcelo (Founder and CEO of Care.com), Fadi Ghandour (Founder and Vice Chairman of Aramex), and Ashish Thakkar (Founder and Managing Director of the Mara Group of companies), will join President Clinton to select the winning team. “The Hult Prize continues to transform the way students define their place in the world they inherit and how they can address big social issues affecting all of us,” said Dr. Stephen Hodges, President of Hult International Business School. “We are honoured to host these young social entrepreneurs and support them as their ideas come to life.” Over the last five years, the Hult Prize has brought together 35,000 college and university students from 600 schools to solve some of the world’s most pressing challenges. To learn more about the prize and this year’s solutions, visit http://www.hultprize.org. China Education Alliance Announces Second Quarter 2014 Financial ResultsHARBIN, China, August 15, 2014 /PRNewswire/ — China Education Alliance, Inc. (“China Education Alliance” or the “Company”, OTCQX: CEAI), a China-based education resource and services company, today announced its second quarter 2014 financia… China Distance Education Holdings Limited Reports Financial Results for the Third Quarter of Fiscal 2014 — Net Revenue Up 36.6% Year-Over-Year to $25.0 Million, Exceeding Guidance — ACCA Congratulates More Than 8,000 New AffiliatesMore students on the path to become ACCA members HONG KONG, Aug. 12, 2014 /PRNewswire/ — Record numbers of students have successfully completed their final ACCA (the Association of Chartered Certified Accountants) exams in the June 2014 sitting, when 190,000 candidates took over 330,000 papers around the world. Many students are also tackling exams online, with an additional 53,000 students sitting computer based exams. The June 2014 session saw 8,325 students satisfy the exam component of their professional qualification, enabling them to take the next step to ACCA membership. Students also need to complete practical experience and ethics requirements to become ACCA members. Overall pass rates rose to 43% for the ACCA Skills and Professional exams, largely due to improved performances in the Skills exams, while pass rates in the Professional Level remained steady. At 52%, the results for Paper P1, Governance, Risk and Ethics, were pleasing. This exam assesses students using a range of case studies based on real world business scenarios. It requires students to demonstrate their competency in understanding and managing risks, as well as resolving ethical dilemmas. As a result of completing their Fundamentals level, 8,744 students are now eligible for ACCA’s Advanced Diploma in Accounting and Business on completion of their Professional Ethics module, one of the requirements for ACCA membership. The Advanced Diploma celebrates students’ achievement of the Fundamentals level before they move on to the Professional level and awards a professional certification equivalent in level to a bachelor honours degree. The results for the Knowledge level of the ACCA exams (F1 to F3) and the equivalent exams in the Foundation Level have improved this session. This is very pleasing, given that the structure of the exams has now changed so that students must now complete multi-task questions which require students to tackle longer questions around one or more scenarios, thereby demonstrating their understanding of the issues. In addition to new, free specimen exams, the launch of this new style exam was supported by practice tests which students can purchase. These tests are intended as final mock exam practice and in addition to providing a near identical exam experience, they provide user friendly feedback, enabling them to see their strengths and weaknesses and supporting them to target properly their final pre-exam revision. Alan Hatfield, ACCA director – learning, said: “We would like to congratulate all students who have passed their examinations this session, particularly the record number of students who have passed their final level exams and are well on their way to becoming ACCA members. The exams within the Professional level represent a major challenge for students, being set at an equivalent level to a Masters degree. “The pass rates across our Options papers continue to be a particular challenge and performance in Paper P5, Advanced Performance Management remains disappointing. As always, we see a greater number of students passing who have attended ACCA approved courses of study and have used our approved study materials, which are reviewed by our examining team. The poorer pass rate in Paper P5 is in part explained by our analysis which shows that fewer students accessed tuition for this paper than any other ACCA exam. As part of our ongoing activities to raise pass rates we are exploring new and innovative ways to provide students with additional learning support, focusing particularly on the Options papers,” he added. “We are delighted that 76% of employers agree that the ACCA Qualification helps them to grow business by providing accountants with the skills and capabilities they need. We continually respond to employer feedback and this year is an exciting year for changes to some of our exams as we act on further feedback. Employers have stated they wish to see greater breadth of syllabus covered in the Skills exams, ensuring thorough understanding of the F5 to F9 subject areas. New exam structures will reflect this from December, by introducing some multiple choice elements (20-40%) without losing the written, analytical skills it is necessary for students to develop. Additionally, to add greater flexibility, the F4 exams will also have a new format similar to the current F1 to F3, with the English and Global versions being available on demand through computer based examination from November,” said Alan Hatfield. June 2014 session ACCA Qualification pass rates: Fundamental Knowledge exams Fundamental Skills exams Paper F7, Financial Reporting, 47% Professional Level Essentials exams Professional Level Options exams June 2014 session Foundation Level pass rates: Introductory Certificate in Financial and Management Accounting Intermediate Certificate in Financial and Management Accounting Diploma in Accounting and Business Foundation Specialist papers Notes to Editors
Tarena International Inc. to Report Second Quarter of Fiscal Year 2014 Results on August 19, 2014BEIJING, August 5, 2014 /PRNewswire/ — Tarena International, Inc. (NASDAQ: TEDU) (“Tarena” or the “Company”), a leading provider of professional education services in China, today announced that it will release its unaudited financial resul… TAL Education Group to Hold Annual General Meeting on August 26, 2014BEIJING, July 31, 2014 /PRNewswire/ — TAL Education Group (NYSE: XRS) (“TAL” or the “Company”), a leading K-12 after-school tutoring services provider in China, today announced that it will hold its annual general meeting of shareholders at… | |||||||||||||