Four Seasons Education (FEDU) Reports Q2 EPS of $0.02 on Revenues of $12.2M

Four Seasons Education (NYSE: FEDU) reported Q2 EPS of $0.02. Revenue for the quarter came in at $12.2 million.

Second Quarter Fiscal Year 2021 Financial and Operational Highlights

• Revenue was RMB83.8 million (US$12.2 million), compared with RMB128.8 million in the same period of last year.
• Gross profit was RMB35.6 million (US$5.2 million), compared with RMB71.0 million in the same period of last year.
• Operating loss was RMB2.7 million (US$0.4 million), compared with operating income of RMB28.3 million in the same period of last year.
• Adjusted operating income(1) (non-GAAP) was RMB4.5 million (US$0.7 million), compared with RMB35.7 million in the same period of last year.
• Net income was RMB4.0 million (US$0.6 million), compared with RMB20.3 million in the same period of last year.
• Adjusted net income(2) (non-GAAP) was RMB6.8 million (US$1.0 million), compared with RMB26.9 million in the same period of last year.
• Basic and diluted net income per American Depositary Share ("ADS") attributable to ordinary shareholders were both RMB0.07 (US$0.01), compared with RMB0.40 and RMB0.39, respectively, for the same period of last year. Each two ADSs represent one ordinary share.
• Adjusted basic and diluted net income per ADS attributable to ordinary shareholders(3) (non-GAAP) were both RMB0.13 (US$0.02), compared with RMB0.53 and RMB0.52, respectively, for the same period of last year.
• Number of learning centers was 50 as of August 31, 2020, compared with 54 as of August 31, 2019.
• Total student enrollment(4) was 37,085, compared with 39,357 during the same period of last year.

"All of our learning centers have resumed offline classes during this quarter," said Ms. Yi (Joanne) Zuo, the Director and Chief Executive Officer of Four Seasons Education. "While our overall business continued to be impacted in the quarter by the macro challenges and regulatory changes, the tough operating environment did not slow us from continuing to execute our strategic initiatives with a keen focus on building a long-term sustainable business. We remain focused on strengthening our operational capabilities at multiple fronts in order to further optimize the learning experience of students enrolled in our diverse curricula and tutoring programs.

"With our strong track record of helping students achieve excellent learning outcomes, we have been making endeavors to enhance the quality of our educational service and launch new course products to better engage students in an evolving and dynamic industry, and to ultimately gain even broader appeal with a wider student base. Moving forward, we will continue our strategic efforts to boost the diversity of our course offerings, optimize our learning center network, increase student enrollments and engagement, while exploring new growth potential.

"It is encouraging that our second quarter financial performance improved on a quarter-over-quarter basis, highlighted by a 42.8% increase in revenue and a 430 basis points increase in gross margin. In this quarter, we are also pleased to see improving profitability sequentially, evidencing our enhanced operating efficiency. We believe our focus on our core strengths and fundamentals will set the foundation for sustainable operation. We remain confident about the recovery and robust long-term prospects," Ms. Zuo concluded.

For earnings history and earnings-related data on Four Seasons Education (FEDU) click here.

You May Also Be Interested In

• Tesla plans 'flying' Roadster stunt at SpaceX Texas site as early as August
• StablecoinX reports Q2 2026 results with $34.2M net loss
• Hydrofarm Holdings Group, Inc. (HYFM) Misses Q2 EPS by 134c