Technology
TAL Education Group Announces Unaudited Financial Results for the Second Fiscal Quarter Ended August 31, 2024 and Issues Notice of Annual General Meeting
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BEIJING, Oct. 24, 2024 /PRNewswire/ — TAL Education Group (NYSE: TAL) (“TAL” or the “Company”), a smart learning solutions provider in China, today announced its unaudited financial results for the second quarter of fiscal year 2025 ended August 31, 2024 and issued notice of Annual General Meeting.
Highlights for the Second Quarter of Fiscal Year 2025
Net revenues were US$619.4 million, compared to net revenues of US$411.9 million in the same period of the prior year.Income from operations was US$47.6 million, compared to income from operations of US$31.8 million in the same period of the prior year.Non-GAAP income from operations, which excluded share-based compensation expenses, was US$64.5 million, compared to non-GAAP income from operations of US$52.7 million in the same period of the prior year.Net income attributable to TAL was US$57.4 million, compared to net income attributable to TAL of US$37.9 million in the same period of the prior year.Non-GAAP net income attributable to TAL, which excluded share-based compensation expenses, was US$74.3 million, compared to non-GAAP net income attributable to TAL of US$58.8 million in the same period of the prior year.Basic and diluted net income per American Depositary Share (“ADS”) were both US$0.09. Non-GAAP basic and diluted net income per ADS, which excluded share-based compensation expenses, were both US$0.12. Three ADSs represent one Class A common share.Cash, cash equivalents and short-term investments totaled US$3,454.3 million as of August 31, 2024, compared to US$3,303.3 million as of February 29, 2024.
Highlights for the Six Months Ended August 31, 2024
Net revenues were US$1,033.5 million, compared to net revenues of US$687.4 million in the same period of the prior year.Income from operations was US$30.3 million, compared to loss from operations of US$26.0 million in the same period of the prior year.Non-GAAP income from operations, which excluded share-based compensation expenses, was US$65.4 million, compared to non-GAAP income from operations of US$20.4 million in the same period of the prior year.Net income attributable to TAL was US$68.8 million, compared to net loss attributable to TAL of US$7.1 million in the same period of the prior year.Non-GAAP net income attributable to TAL, which excluded share-based compensation expenses, was US$103.9 million, compared to non-GAAP net income attributable to TAL of US$39.3 million in the same period of the prior year.Basic and diluted net income per ADS were both US$0.11. Non-GAAP basic and diluted net income per ADS, which excluded share-based compensation expenses, were both US$0.17.
Financial Data——Second Quarter and First Six Months of Fiscal Year 2025
(In US$ thousands, except per ADS data and percentages)
Three Months Ended
August 31,
2023
2024
Pct. Change
Net revenues
411,931
619,361
50.4 %
Income from operations
31,790
47,622
49.8 %
Non-GAAP income from operations
52,673
64,520
22.5 %
Net income attributable to TAL
37,902
57,431
51.5 %
Non-GAAP net income attributable to TAL
58,785
74,329
26.4 %
Net income per ADS attributable to TAL – basic
0.06
0.09
50.6 %
Net income per ADS attributable to TAL – diluted
0.06
0.09
50.7 %
Non-GAAP net income per ADS attributable to
TAL – basic
0.10
0.12
25.7 %
Non-GAAP net income per ADS attributable to
TAL – diluted
0.10
0.12
25.8 %
Six Months Ended
August 31,
2023
2024
Pct. Change
Net revenues
687,371
1,033,548
50.4 %
(Loss)/Income from operations
(25,983)
30,292
(216.6 %)
Non-GAAP income from operations
20,413
65,396
220.4 %
Net (loss)/income attributable to TAL
(7,135)
68,833
(1,064.7 %)
Non-GAAP net income attributable to TAL
39,261
103,937
164.7 %
Net (loss)/income per ADS attributable to TAL –
basic
(0.01)
0.11
(1,085.2 %)
Net (loss)/income per ADS attributable to TAL –
diluted
(0.01)
0.11
(1,068.4 %)
Non-GAAP net income per ADS attributable to
TAL – basic
0.06
0.17
170.3 %
Non-GAAP net income per ADS attributable to
TAL – diluted
0.06
0.17
169.9 %
“In this quarter we achieved year-on-year revenue growth of 50.4%. AI learning device was one of the faster growing business lines. We are excited about the opportunity to provide for our customers more accessibility to quality learning contents through these AI-power devices,” said Alex Peng, TAL’s President & Chief Financial Officer.
Mr. Peng added: “As for learning services, we will prudently manage our learning center network, balancing operating efficiency and growth rate. Our primary objective for learning service is to offer quality learning experience to our learners both online and offline.”
Financial Results for the Second Quarter of Fiscal Year 2025
Net Revenues
In the second quarter of fiscal year 2025, TAL reported net revenues of US$619.4 million, representing a 50.4% increase from US$411.9 million in the second quarter of fiscal year 2024.
Operating Costs and Expenses
In the second quarter of fiscal year 2025, operating costs and expenses were US$572.0 million, representing a 49.5% increase from US$382.8 million in the second quarter of fiscal year 2024. Non-GAAP operating costs and expenses, which excluded share-based compensation expenses, were US$555.1 million, representing a 53.4% increase from US$361.9 million in the second quarter of fiscal year 2024.
Cost of revenues increased by 59.8% to US$270.6 million from US$169.4 million in the second quarter of fiscal year 2024. Non-GAAP cost of revenues, which excluded share-based compensation expenses, increased by 60.7% to US$268.8 million, from US$167.3 million in the second quarter of fiscal year 2024.
Selling and marketing expenses increased by 56.4% to US$181.9 million from US$116.3 million in the second quarter of fiscal year 2024. Non-GAAP selling and marketing expenses, which excluded share-based compensation expenses, increased by 61.6% to US$177.9 million, from US$110.1 million in the second quarter of fiscal year 2024.
General and administrative expenses increased by 23.1% to US$119.5 million from US$97.1 million in the second quarter of fiscal year 2024. Non-GAAP general and administrative expenses, which excluded share-based compensation expenses, increased by 28.3% to US$108.3 million, from US$84.4 million in the second quarter of fiscal year 2024.
Total share-based compensation expenses allocated to the related operating costs and expenses decreased by 19.1% to US$16.9 million in the second quarter of fiscal year 2025 from US$20.9 million in the same period of fiscal year 2024.
Gross Profit
Gross profit increased by 43.8% to US$348.7 million from US$242.5 million in the second quarter of fiscal year 2024.
Income/(Loss) from Operations
Income from operations was US$47.6 million in the second quarter of fiscal year 2025, compared to income from operations of US$31.8 million in the second quarter of fiscal year 2024. Non-GAAP income from operations, which excluded share-based compensation expenses, was US$64.5 million, compared to Non-GAAP income from operations of US$52.7 million in the same period of the prior year.
Other Income/(Expense)
Other income was US$20.5 million for the second quarter of fiscal year 2025, compared to other income of US$5.0 million in the second quarter of fiscal year 2024.
Impairment Loss on Long-term Investments
Impairment loss on Long-term investment was US$4.9 million for the second quarter of fiscal year 2025, compared to US$30.8 million for the same period of fiscal year 2024.
Income Tax Benefit/(Expense)
Income tax expense was US$25.6 million in the second quarter of fiscal year 2025, compared to US$10.0 million of income tax benefit in the second quarter of fiscal year 2024.
Net Income/(Loss) attributable to TAL Education Group
Net income attributable to TAL was US$57.4 million in the second quarter of fiscal year 2025, compared to net income attributable to TAL of US$37.9 million in the second quarter of fiscal year 2024. Non-GAAP net income attributable to TAL, which excluded share-based compensation expenses, was US$74.3 million, compared to Non-GAAP net income attributable to TAL of US$58.8 million in the second quarter of fiscal year 2024.
Basic and Diluted Net Income/(Loss) per ADS
Basic and diluted net income per ADS were both US$0.09 in the second quarter of fiscal year 2025. Non-GAAP basic and diluted net income per ADS, which excluded share-based compensation expenses, were both US$0.12 in the second quarter of fiscal year 2025.
Cash Flow
Net cash used in operating activities for the second quarter of fiscal year 2025 was US$0.6 million.
Cash, Cash Equivalents, and Short-Term Investments
As of August 31, 2024, the Company had US$2,085.9 million of cash and cash equivalents and US$1,368.4 million of short-term investments, compared to US$2,208.7 million of cash and cash equivalents and US$1,094.6 million of short-term investments as of February 29, 2024.
Deferred Revenue
As of August 31, 2024, the Company’s deferred revenue balance was US$517.6 million, compared to US$428.3 million as of February 29, 2024.
Financial Results for the First Six Months of Fiscal Year 2025
Net Revenues
For the first six months of fiscal year 2025, TAL reported net revenues of US$1,033.5 million, representing a 50.4% increase from US$687.4 million in the first six months of fiscal year 2024.
Operating Costs and Expenses
In the first six months of fiscal year 2025, operating costs and expenses were US$1,004.1 million, representing a 38.5% increase from US$724.8 million in the first six months of fiscal year 2024. Non-GAAP operating costs and expenses, which excluded share-based compensation expenses, were US$969.0 million, representing a 42.8% increase from US$678.5 million in the first six months of fiscal year 2024.
Cost of revenues increased by 52.4% to US$470.6 million from US$308.9 million in the first six months of fiscal year 2024. Non-GAAP cost of revenues, which excluded share-based compensation expenses, increased by 53.2% to US$466.5 million from US$304.4 million in the first six months of fiscal year 2024 .
Selling and marketing expenses increased by 42.3% to US$304.3 million from US$213.9 million in the first six months of fiscal year 2024. Non-GAAP selling and marketing expenses, which excluded share-based compensation expenses, increased by 47.7% to US$296.0 million from US$200.4 million in the first six months of fiscal year 2024.
General and administrative expenses increased by 13.4% to US$229.2 million from US$202.0 million in the first six months of fiscal year 2024. Non-GAAP general and administrative expenses, which excluded share-based compensation expenses, increased by 18.9% to US$206.6 million from US$173.7 million in the first six months of fiscal year 2024.
Total share-based compensation expenses allocated to the related operating costs and expenses decreased by 24.3% to US$35.1 million in the first six months of fiscal year 2025 from US$46.4 million in the same period of fiscal year 2024.
Gross Profit
Gross profit increased by 48.7% to US$562.9 million from US$378.5 million in the first six months of fiscal year 2024.
Income/(Loss) from Operations
Income from operations was US$30.3 million in the first six months of fiscal year 2025, compared to loss from operations of US$26.0 million in the same period of the prior year. Non-GAAP income from operations, which excluded share-based compensation expenses, was US$65.4 million, compared to US$20.4 million Non-GAAP income from operations in the same period of the prior year.
Other Income/(Expense)
Other income was US$33.6 million for the first six months of fiscal year 2025, compared to other expense of US$1.8 million in the same period of the prior year.
Impairment Loss on Long-term Investments
Impairment loss on long-term investments was US$8.7 million for the first six months of fiscal year 2025, compared to US$30.8 million for the first six months of fiscal year 2024.
Income Tax Benefit/(Expense)
Income tax expense was US$27.9 million in the first six months of fiscal year 2025, compared to US$6.5 million of income tax benefit in the first six months of fiscal year 2024.
Net Income/(Loss) Attributable to TAL Education Group
Net income attributable to TAL was US$68.8 million in the first six months of fiscal year 2025, compared to net loss attributable to TAL of US$7.1 million in the first six months of fiscal year 2024. Non-GAAP net income attributable to TAL, which excluded share-based compensation expenses, was US$103.9 million, compared to US$39.3 million Non-GAAP income attributable to TAL in the same period of the prior year.
Cash Flow
Net cash provided by operating activities for the first six months of fiscal year 2025 was US$246.2 million.
Basic and Diluted Net Income/(Loss) per ADS
Basic and diluted net income per ADS were both US$0.11 in the first six months of fiscal year 2025. Non-GAAP basic and diluted net income per ADS, which excluded share-based compensation expenses, were both US$0.17 in the first six months of fiscal year 2025.
Share Repurchase
In April 2024, the Company’s board of directors authorized to extend its share repurchase program launched in April 2021 by 12 months. Pursuant to the extended share repurchase program, the Company may repurchase up to approximately US$503.8 million of its common shares through April 30, 2025. As of August 31, 2024, the Company has repurchased 499,933 common shares at an aggregate consideration of approximately US$13.1 million under the share repurchase program.
TAL to Hold Annual General Meeting on November 15, 2024
The Company announced that it will hold its annual general meeting of shareholders (the “AGM”) at TAL Building No.1, Courtyard No. 9, Qixin Middle Street, Changping District, Beijing, China, on November 15, 2024 at 3:00PM (Beijing time). No proposal will be submitted to shareholders for approval at the AGM. Instead, the AGM will serve as an open forum for shareholders and beneficial owners of the Company’s ADSs to discuss Company’s affairs with management.
The board of directors of the Company has fixed the close of business on November 4, 2024 (Eastern Standard Time) as the record date (the “Record Date”). Holders of record of the Company’s common shares at the close of business on the Record Date are entitled to notice of the AGM and any adjournment or postponement thereof. Beneficial owners of the Company’s ADSs are welcome to attend the AGM in person.
The notice of the AGM is available on the Investor Relations section of the Company’s website at https://ir.100tal.com/. The Company has filed its annual report on Form 20-F (the “Annual Report”), which includes the Company’s audited financial statements for the fiscal year ended February 29, 2024, with the U.S. Securities and Exchange Commission (the “SEC”). The Company’s Annual Report can be accessed on the Investor Relations section of its website at https://ir.100tal.com, as well as on the SEC’s website at http://www.sec.gov.
Conference Call
The Company will host a conference call and live webcast to discuss its financial results for the second fiscal quarter of fiscal year 2025 ended August 31, 2024 at 8:00 a.m. Eastern Time on October 24, 2024 (8:00 p.m. Beijing time on October 24, 2024).
Please note that you will need to pre-register for conference call participation at
https://register.vevent.com/register/BIb77ca114970c4bd1bfe7d1770af84eac.
Upon registration, you will receive an email containing participant dial-in numbers and unique Direct Event Passcode. This information will allow you to gain immediate access to the call. Participants may pre-register at any time, including up to and after the call start time.
A live and archived webcast of the conference call will be available on the Investor Relations section of TAL’s website at https://ir.100tal.com/.
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, TAL Education Group’s strategic and operational plans contain forward-looking statements. The Company 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 reports to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. 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 statement, including but not limited to the following: the Company’s ability to continue to provide competitive learning services and products; the Company’s ability to continue to recruit, train and retain talents; the Company’s ability to improve the content of current course offerings and develop new courses; the Company’s ability to maintain and enhance its brand; the Company’s ability to maintain and continue to improve its teaching results; and the Company’s ability to compete effectively against its competitors. Further information regarding these and other risks is included in the Company’s reports filed with, or furnished to the U.S. Securities and Exchange Commission. All information provided in this press release and in the attachments is as of the date of this press release, and TAL Education Group undertakes no duty to update such information or any forward-looking statement, except as required under applicable law.
About TAL Education Group
TAL Education Group is a smart learning solutions provider in China. The acronym “TAL” stands for “Tomorrow Advancing Life”, which reflects our vision to promote top learning opportunities for students through both high-quality teaching and content, as well as leading edge application of technology in the education experience. TAL Education Group offers comprehensive learning solutions to students from all ages through diversified class formats. Our learning solutions mainly cover enrichment learnings programs and some academic subjects in and out of China. Our ADSs trade on the New York Stock Exchange under the symbol “TAL”.
About Non-GAAP Financial Measures
In evaluating its business, TAL considers and uses the following measures defined as non-GAAP financial measures by the SEC as supplemental metrics to review and assess its operating performance: non-GAAP operating costs and expenses, non-GAAP cost of revenues, non-GAAP selling and marketing expenses, non-GAAP general and administrative expenses, non-GAAP income from operations, non-GAAP net income attributable to TAL, non-GAAP basic and non-GAAP diluted net income per ADS. To present each of these non-GAAP measures, the Company excludes share-based compensation expenses. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. For more information on these non-GAAP financial measures, please see the table captioned “Reconciliations of non-GAAP measures to the most comparable GAAP measures” set forth at the end of this release.
TAL believes that these non-GAAP financial measures 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. TAL believes that both management and investors benefit from these non-GAAP financial measures in assessing its performance and when planning and forecasting future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to TAL’s historical performance and liquidity. TAL computes its non-GAAP financial measures using the same consistent method from quarter to quarter and from period to period. TAL believes these non-GAAP financial measures are useful to investors in allowing for greater transparency with respect to supplemental information used by management in its financial and operational decision making. A limitation of using non-GAAP measures is that these non-GAAP measures exclude share-based compensation charges that have been and will continue to be for the foreseeable future a significant recurring expense in the Company’s business. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables have more details on the reconciliations between GAAP financial measures that are most directly comparable to non-GAAP financial measures.
For further information, please contact:
Jackson Ding
Investor Relations
TAL Education Group
Tel: +86 10 5292 6669-8809
Email: ir@tal.com
TAL EDUCATION GROUP
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands of U.S. dollars)
As of
February 29,
2024
As of
August 31,
2024
ASSETS
Current assets
Cash and cash equivalents
$ 2,208,756
$ 2,085,891
Restricted cash-current
167,656
251,072
Short-term investments
1,094,593
1,368,446
Inventory
68,328
82,372
Amounts due from related parties-current
343
394
Prepaid expenses and other current assets
159,498
167,538
Total current assets
3,699,174
3,955,713
Restricted cash-non-current
81,064
43,991
Property and equipment, net
405,319
463,595
Deferred tax assets
4,620
4,061
Rental deposits
16,947
20,406
Intangible assets, net
1,988
1,848
Land use rights, net
189,049
189,763
Amounts due from related parties-non-current
59
60
Long-term investments
284,266
299,330
Long-term prepayments and other non-current assets
14,359
25,585
Operating lease right-of-use assets
231,104
336,573
Total assets
$ 4,927,949
$ 5,340,925
LIABILITIES AND EQUITY
Current liabilities
Accounts payable
$ 127,321
$ 167,317
Deferred revenue-current
400,286
485,391
Amounts due to related parties-current
96
111
Accrued expenses and other current liabilities
491,911
555,292
Short-term debt
–
6,347
Operating lease liabilities, current portion
62,604
79,584
Total current liabilities
1,082,218
1,294,042
Deferred revenue-non-current
27,993
32,171
Deferred tax liabilities
2,360
3,662
Operating lease liabilities, non-current portion
176,614
262,357
Total liabilities
1,289,185
1,592,232
Equity
Class A common shares
152
153
Class B common shares
49
49
Additional paid-in capital
4,256,957
4,264,582
Statutory reserve
165,138
164,490
Accumulated deficit
(694,270)
(624,789)
Accumulated other comprehensive loss
(65,928)
(46,630)
Total TAL Education Group’s equity
3,662,098
3,757,855
Noncontrolling interests
(23,334)
(9,162)
Total equity
3,638,764
3,748,693
Total liabilities and equity
$ 4,927,949
$ 5,340,925
TAL EDUCATION GROUP
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands of U.S. dollars, except share, ADS, per share and per ADS data)
For the Three Months Ended
August 31,
For the Six Months Ended
August 31,
2023
2024
2023
2024
Net revenues
$ 411,931
$ 619,361
$ 687,371
$ 1,033,548
Cost of revenues (note 1)
169,382
270,632
308,895
470,640
Gross profit
242,549
348,729
378,476
562,908
Operating expenses (note 1)
Selling and marketing
116,268
181,900
213,925
304,328
General and administrative
97,106
119,499
202,029
229,181
Total operating expenses
213,374
301,399
415,954
533,509
Government subsidies
2,615
292
11,495
893
Income/(loss) from operations
31,790
47,622
(25,983)
30,292
Interest income, net
20,976
20,397
43,957
42,919
Other income/(expense)
5,032
20,466
(1,813)
33,617
Impairment loss on long-term
investments
(30,761)
(4,925)
(30,761)
(8,692)
Income/(loss) before income tax
benefit/(expense) and
income/(loss) from equity
method investments
27,037
83,560
(14,600)
98,136
Income tax benefit/(expense)
10,018
(25,635)
6,499
(27,930)
Income/(loss) from equity method
investments
779
(587)
708
(1,572)
Net income/(loss)
37,834
57,338
(7,393)
68,634
Add: Net loss attributable to
noncontrolling interests
68
93
258
199
Total net income/(loss)
attributable to TAL
Education Group
$ 37,902
$ 57,431
$ (7,135)
$ 68,833
Net income/(loss) per common
share
Basic
$ 0.19
$ 0.28
$ (0.03)
$ 0.34
Diluted
0.19
0.28
(0.03)
0.34
Net income/(loss) per ADS (note 2)
Basic
$ 0.06
$ 0.09
$ (0.01)
$ 0.11
Diluted
0.06
0.09
(0.01)
0.11
Weighted average shares used in
calculating net income/(loss)
per common share
Basic
200,565,383
201,768,916
205,942,678
201,668,024
Diluted
203,859,192
204,949,839
205,942,678
205,166,141
Note1: Share-based compensation expenses are included in the operating costs and expenses as follows:
For the Three Months
Ended August 31,
For the Six Months
Ended August 31,
2023
2024
2023
2024
Cost of revenues
$ 2,081
$ 1,793
$ 4,490
$ 4,155
Selling and marketing expenses
6,134
3,953
13,562
8,328
General and administrative expenses
12,668
11,152
28,344
22,621
Total
$ 20,883
$ 16,898
$ 46,396
$ 35,104
Note 2: Three ADSs represent one Class A common Share.
TAL EDUCATION GROUP
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE INCOME/(LOSS)
(In thousands of U.S. dollars)
For the Three Months Ended
August 31,
For the Six Months Ended
August 31,
2023
2024
2023
2024
Net income/(loss)
$ 37,834
$ 57,338
$ (7,393)
$ 68,634
Other comprehensive
(loss)/income, net of tax
(20,782)
24,744
(44,595)
17,164
Comprehensive income/(loss)
17,052
82,082
(51,988)
85,798
Add: Comprehensive
(income)/loss attributable to
noncontrolling interests
(452)
2,378
(913)
2,333
Comprehensive income/(loss)
attributable to TAL
Education Group
$ 16,600
$ 84,460
$ (52,901)
$ 88,131
TAL EDUCATION GROUP
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
CASH FLOWS
(In thousands of U.S. dollars)
For the Three Months Ended
August 31,
For the Six Months Ended
August 31,
2023
2024
2023
2024
Net cash (used in)/provided by
operating activities
$ (42,721)
$ (576)
$ 82,795
$ 246,217
Net cash provided by/(used in)
investing activities
181,887
(193,669)
342,802
(318,304)
Net cash used in financing
activities
(82,271)
(6,799)
(233,508)
(6,794)
Effect of exchange rate
changes
(5,406)
3,576
(9,916)
2,359
Net increase/(decrease) in
cash, cash equivalents and
restricted cash
51,489
(197,468)
182,173
(76,522)
Cash, cash equivalents and
restricted cash at the
beginning of period
$ 2,425,591
$ 2,578,422
$ 2,294,907
$ 2,457,476
Cash, cash equivalents and
restricted cash at the end
of period
$ 2,477,080
$ 2,380,954
$ 2,477,080
$ 2,380,954
TAL EDUCATION GROUP
Reconciliation of Non-GAAP Measures to the Most Comparable GAAP Measures
(In thousands of U.S. dollars, except share, ADS, per share and per ADS data)
For the Three Months
Ended August 31,
For the Six Months
Ended August 31,
2023
2024
2023
2024
Cost of revenues
$ 169,382
$270,632
$ 308,895
$ 470,640
Share-based compensation expense
in cost of revenues
2,081
1,793
4,490
4,155
Non-GAAP cost of revenues
167,301
268,839
304,405
466,485
Selling and marketing expenses
116,268
181,900
213,925
304,328
Share-based compensation expense
in selling and marketing expenses
6,134
3,953
13,562
8,328
Non-GAAP selling and marketing
expenses
110,134
177,947
200,363
296,000
General and administrative
expenses
97,106
119,499
202,029
229,181
Share-based compensation expense
in general and administrative expenses
12,668
11,152
28,344
22,621
Non-GAAP general and
administrative expenses
84,438
108,347
173,685
206,560
Operating costs and expenses
382,756
572,031
724,849
1,004,149
Share-based compensation expense
in operating costs and expenses
20,883
16,898
46,396
35,104
Non-GAAP operating costs and
expenses
361,873
555,133
678,453
969,045
Income/(loss) from operations
31,790
47,622
(25,983)
30,292
Share based compensation expenses
20,883
16,898
46,396
35,104
Non-GAAP income from
operations (note 3)
52,673
64,520
20,413
65,396
Net income/(loss) attributable to
TAL Education Group
37,902
57,431
(7,135)
68,833
Share based compensation expenses
20,883
16,898
46,396
35,104
Non-GAAP net income
attributable to TAL Education
Group (note 3)
$ 58,785
$74,329
$ 39,261
$ 103,937
Net income/(loss) per ADS
Basic
$ 0.06
$ 0.09
$ (0.01)
$ 0.11
Diluted
0.06
0.09
(0.01)
0.11
Non-GAAP Net income per ADS
Basic
$ 0.10
$ 0.12
$ 0.06
$ 0.17
Diluted
0.10
0.12
0.06
0.17
ADSs used in calculating net
income/(loss) per ADS
Basic
601,696,149
605,306,748
617,828,034
605,004,072
Diluted
611,577,576
614,849,517
617,828,034
615,498,423
ADSs used in calculating Non-
GAAP net income per ADS
Basic
601,696,149
605,306,748
617,828,034
605,004,072
Diluted
611,577,576
614,849,517
627,500,331
615,498,423
Note 3: The tax effect of share-based compensation expenses was immaterial in the second quarter and
in the first six months of fiscal year 2025.
SOURCE TAL Education Group
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Technology
Online Fitness Course Market to Grow by USD 26.46 Billion from 2024-2028, Driven by Healthy Lifestyle Awareness and AI Redefining the Market Landscape- Technavio
Published
45 mins agoon
October 24, 2024By
NEW YORK, Oct. 24, 2024 /PRNewswire/ — Report with market evolution powered by AI – The Global Online Fitness Course Market size is estimated to grow by USD 26.46 billion from 2024-2028, according to Technavio. The market is estimated to grow at a CAGR of 16.92% during the forecast period. Increasing awareness regarding benefits of healthy lifestyle is driving market growth, with a trend towards integration of VR and AR in online fitness courses. However, high cost of online fitness courses poses a challenge.Key market players include Aaptiv, Alo Moves, Apple Inc., ClassPass, Daily Burn Inc., Fitbit LLC, FitXR, Glo Digital Inc., Les Mills International Ltd., LifeSpeak Inc., Lift Brands Inc., MINDBODY Inc., Myfitnesspal, Nike Inc., Peloton Interactive Inc, REH-FIT, Sworkit, The Beachbody Co. Inc., Under Armour Inc., and Wexer.
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Online Fitness Course Market Scope
Report Coverage
Details
Base year
2023
Historic period
2018 – 2022
Forecast period
2024-2028
Growth momentum & CAGR
Accelerate at a CAGR of 16.92%
Market growth 2024-2028
USD 26455.8 million
Market structure
Fragmented
YoY growth 2022-2023 (%)
12.68
Regional analysis
North America, Europe, APAC, South America, and Middle East and Africa
Performing market contribution
North America at 42%
Key countries
US, UK, Germany, China, and Canada
Key companies profiled
Aaptiv, Alo Moves, Apple Inc., ClassPass, Daily Burn Inc., Fitbit LLC, FitXR, Glo Digital Inc., Les Mills International Ltd., LifeSpeak Inc., Lift Brands Inc., MINDBODY Inc., Myfitnesspal, Nike Inc., Peloton Interactive Inc, REH-FIT, Sworkit, The Beachbody Co. Inc., Under Armour Inc., and Wexer
Market Driver
The integration of virtual reality (VR) and augmented reality (AR) technologies in online fitness courses is revolutionizing the global fitness industry. VR allows users to participate in virtual fitness classes, explore simulated environments, and receive personalized coaching. AR overlays digital content onto the physical world, providing interactive workout instructions and real-time data visualization. Companies like FitXR Ltd. Utilize VR technology to offer engaging workout experiences, tailoring feedback and coaching to individual performance. These technologies enable personalized and interactive online fitness courses, increasing motivation, enjoyment, and effectiveness. The market for online fitness courses using VR and AR technologies is expected to grow significantly due to their ability to provide, interactive, and personalized fitness experiences.
The online fitness course market is booming with trends like virtual workouts, niche activities, and convenient digital experiences becoming increasingly popular. Economic strength and chronic conditions, such as obesity and diabetes, are driving demand for home workouts and balanced diets. Mental health is also a focus, with online instructors offering live video classes and virtual fitness competitions. Fitness executives see the potential in digital capabilities, from livestream group workouts and solo training to smartphone apps and wearable technology. In-person workouts aren’t going away, but the fitness industry is embracing the digital age with advanced training programs, virtual reality, and augmented reality. Home gym setups on smartphones, smart TVs, laptops, and desktops are the new normal. Fitness products and services are adapting, offering on-demand workouts and personalized training. Health club owners are even offering virtual memberships and digital experiences. The future of fitness is a balanced blend of physical and digital, prioritizing accessibility and convenience.
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Market Challenges
The high cost of online fitness courses presents challenges for the global online fitness course market, affecting accessibility and affordability. On average, courses range from USD10 to USD500 or more. While convenient, the premium pricing excludes individuals from diverse socioeconomic backgrounds, hindering industry growth and democratization of fitness. High costs may deter potential customers, leading to price sensitivity and opting for cheaper alternatives. This could result in pricing wars, discounting, or commoditization, eroding profit margins and perceived value. In a competitive market, pricing pressures from expensive courses can negatively impact the reputation and sustainability of online fitness providers, potentially hindering market growth.In today’s digital age, the online fitness course market is booming with virtual fitness solutions that offer convenience and accessibility. From fitness apps with training videos to wearable technology and health and wellness programs, these services cater to diverse workout options for millennials and the elderly alike. Advanced fitness sessions using augmented and virtual reality technology provide an experience, while live workouts and on-demand sessions offer flexibility. Subscription services offer personalized training plans and community-driven features, making fitness engagement easier than ever. However, privacy concerns and health care expenses remain challenges. Digital platforms offer diverse workout options, from home workout equipment to smart home gyms and fitness tools. Traditional gym workouts have gone remote, with corporate wellness programs and flexible workout routines available online. Overall, the online fitness solutions market is revolutionizing the fitness industry, making health consciousness more accessible and affordable for all.
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Segment Overview
This online fitness course market report extensively covers market segmentation by
Type 1.1 On-demand courses1.2 Live classes1.3 Hybrid coursesRevenue Stream2.1 Subscription-based2.2 Freemium2.3 One-time purchase2.4 Pay-per-classGeography 3.1 North America3.2 Europe3.3 APAC3.4 South America3.5 Middle East and Africa
1.1 On-demand courses- The online fitness course market has experienced significant growth in recent years. Thousands of individuals seek convenience and affordability in their fitness journeys, leading to an increased demand for digital fitness solutions. These courses offer personalized workout plans, instructional videos, and community support, making fitness training accessible from anywhere. Companies invest in creating engaging content and user-friendly platforms to attract and retain customers. The market continues to expand as technology advances and more people prioritize health and wellness.
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Research Analysis
The online fitness course market is experiencing rapid growth as virtual fitness becomes a convenient and accessible solution for individuals seeking to maintain a healthy lifestyle from the comfort of their own homes. Fitness apps, training videos, and wearable technology are at the forefront of this trend, offering advanced fitness sessions and real-time health and wellness monitoring. Health insurance providers are also recognizing the value of online fitness solutions and are offering incentives to policyholders. Millennials, with their health consciousness and preference for remote workouts, are driving demand for digital platforms that offer flexible, accessible fitness options. Live video content, online instructors, and virtual fitness competitions add engagement and excitement to the experience. Augmented reality technology is even being explored to enhance traditional gym workouts and provide a more experience. The future of fitness is digital, and it’s here to stay.
Market Research Overview
The online fitness course market is booming with the rise of virtual fitness solutions, offering convenience-based services that cater to health and wellness enthusiasts. Fitness apps, training videos, and wearable technology are at the forefront of this trend, providing advanced fitness sessions through augmented and virtual reality. Live workouts and on-demand sessions offer flexibility and accessibility, while digital capabilities enable personalized training plans and community-driven services. Social media challenges and subscription services add to the engagement, with economic strength driving the growth of corporate wellness programs and diverse workout options. Privacy concerns are addressed through individual fitness plans, while group sessions and solo training cater to various fitness cultures and trends. Niche activities, such as elderly fitness and fitness for chronic conditions, are also gaining popularity. With the increasing health consciousness among millennials and the availability of fitness tools like smart home gyms and home workout equipment, traditional gym workouts are being replaced by online fitness solutions. Balanced diets, mental health, and online instructors complete the holistic approach to a healthy lifestyle.
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
TypeOn-demand CoursesLive ClassesHybrid CoursesRevenue StreamSubscription-basedFreemiumOne-time PurchasePay-per-classGeographyNorth AmericaEuropeAPACSouth AmericaMiddle East And Africa
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
Technavio is a leading global technology research and advisory company. Their research and analysis focuses on emerging market trends and provides actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions.
With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning across 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.
Contacts
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
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SOURCE Technavio
Technology
Autel and Revv to Provide ADAS Solution for Mechanical Repair Sector
Published
45 mins agoon
October 24, 2024By
PORT WASHINGTON, N.Y., Oct. 24, 2024 /PRNewswire/ — Autel, a leading developer, manufacturer, and distributor of professional automotive diagnostic tools and equipment, has partnered with Revv, a leader in AI software that identifies vehicle Advanced Driver Assistance Systems (ADAS), to bring ADAS identification and a repair and service workflow to the mechanical vehicle repair industry.
The partnership aims to address the growing need and opportunity to empower mechanical repairers with the information, technology, and equipment to calibrate the ADAS components affected by everyday mechanical vehicle repairs and services.
This collaboration will empower automotive mechanical repair shops nationwide by integrating Revv’s powerful ADAS research platform with the Autel MaxiSYS IA900 wheel alignment and ADAS calibration solution. Shop owners will be able to provide more comprehensive repairs and service to the increasing number of vehicles entering their shops with these safety and convenience systems.
“Autel has a history of discovering revenue opportunities for its users and providing them with solutions to capitalize on them. ADAS identification and calibrations are essential to the mechanical repair and service space to ensure the safe repair of customer vehicles. We reviewed several ADAS research platforms. Revv’s powerful systems identification software and AI-driven diagnostic and repair workflow perfectly fit our vision for a robust mechanical ADAS solution. By pairing Revv with the IA900, our users can identify and efficiently complete every needed service to ensure the safest repair,” said Autel CEO Chloe Hung.
“We are thrilled to partner with Autel, a true leader in automotive diagnostics,” said Adi Bathla, CEO at Revv. “Our collaboration enhances the ability of automotive repair shops to accurately and efficiently identify and perform ADAS calibrations, ultimately ensuring safer vehicles on the road.”
Key benefits of the partnership include:
New Revenue Opportunities for Repair Shops: Integrating Revv’s ADAS research platform with the Autel IA900 all-in-one diagnostic, alignment, and ADAS calibration system allows repair shops to drive revenue while enhancing consumer safety. By streamlining ADAS calibration, shops can now offer comprehensive ADAS diagnostic services within standard repair packages, adding value for customers and boosting revenue.
Enhanced Accuracy and Speed: Automated ADAS research powered by Revv’s platform will now sync directly with Autel’s industry-leading vehicle and ADAS software coverage, guided alignment, and ADAS calibration instructions, ensuring real-time access to critical calibration data that is sure to reduce service time and missteps drastically.
Increased Safety for Mechanical Repair businesses: As the automotive industry focuses on ensuring vehicle safety, this collaboration equips shops with the tools and information they need to perform safe and reliable ADAS calibrations on every repair.
Future-Proofing Shops: With the pace of ADAS evolution, shops using the integrated Revv and Autel solution will be better positioned to keep up with new vehicle technologies, making them more competitive in a changing landscape.
About Revv
Revv automates ADAS research, making it easy for automotive repair shops to identify and perform calibrations, ensuring vehicle safety post-accident or repair. Revv’s platform integrates seamlessly with major estimating systems and calibration tools, enabling repair centers to stay ahead in the evolving ADAS landscape. For more information, visit www.revvhq.com
About Autel
Autel is a global company that manufactures high-quality, innovative, and value-rich automotive diagnostic tools, equipment, and accessories. With 20 years of experience, Autel has become a trusted brand among technicians worldwide and continues to grow and expand to meet the demands of the ever-evolving automotive industry. For more information, visit www.autel.com.
Media Contact:
Allison Whitney
allisonw@autel.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/autel-and-revv-to-provide-adas-solution-for-mechanical-repair-sector-302286464.html
SOURCE Autel U.S.
Technology
THINKING NATION DIRECTOR OF SOCIAL STUDIES CURRICULUM TO SPEAK AT TEXAS COUNCIL FOR THE SOCIAL STUDIES ANNUAL CONFERENCE
Published
45 mins agoon
October 24, 2024By
NORTHRIDGE, Calif., Oct. 24, 2024 /PRNewswire/ — Thinking Nation, a national 501c3 committed to cultivating thoughtful citizens through the promotion of historical thinking in social studies, today announced Director of Curriculum Annie Jenson will present at the Texas Council for the Social Studies Annual Conference in Round Rock, Texas, on November 1, 2024. This year’s conference theme is “Building Social Studies Literacy”.
Ms. Jenson’s presentation, “Walking in Their Shoes: The Role of Historical Fiction in Building Empathy and Engagement in Social Studies Education”, is scheduled for 8:30 a.m. CDT. It will delve into the transformative potential of historical fiction in inspiring students to connect with a diverse human experience. Through this presentation, participants will uncover how compelling narratives and vivid characters enable students to step into the shoes of individuals from the past. Attendees will learn practical strategies for integrating historical fiction into the curriculum to spark curiosity, ignite critical thinking, and inspire meaningful connections with history.
“As Texas teachers grapple with the complexities of censorship that threaten inclusive education, my session “Walking in Their Shoes,” aims to support their efforts,” said Ms. Jenson. “I will share actionable strategies and accessible resources for integrating diverse narratives within the limits of their curriculum. Additionally, I will highlight local groups that are ready to assist teachers as they navigate these challenges and advocate for their students.”
Inquiry by the Book: Teaching Historical Fiction with the Inquiry Design Model, a recent publication by the National Council for the Social Studies, co-authored by Kristy A. Brugar and Annie McMahon Whitlock, underscores the importance of historical fiction in education. The book advances the idea that historical fiction not only provides context and perspective but also invites students to critically examine the past, thereby strengthening foundational literacy skills.
Visitors to the TXCSS (Texas) 2024 Annual Conference can meet Ms. Jenson and further explore Thinking Nation’s innovative curriculum and platform at exhibit booth #405.
For more information on the organization’s approach to fostering historical thinking in social studies education or to support its work to transform how social studies classrooms across the country, visit thinkingnation.org.
About Thinking Nation
Thinking Nation is a national 501c3 specializing in innovative social studies curriculum, assessments, and professional development. Our mission is to cultivate thinking citizens and confront the problems we see in civic society, with a curriculum that empowers students to read closely, think deeply, and write persuasively. We believe that education is our greatest equalizer, and that every student, regardless of zip code or socio-economic background, deserves access to learning practices that reflect the diversity of identities, histories, contributions, and experiences to support enriched educational opportunity, equity, and success for all. Thinking Nation currently serves more than 35,000 students in 16 states and the District of Columbia. For more information about Thinking Nation or to become a part of this transformative initiative, please visit thinkingnation.org.
Media Contacts
Laura Wessells and Martha Holler
ShinePR for Thinking Nation
ThinkingNation@shinepr.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/thinking-nation-director-of-social-studies-curriculum-to-speak-at-texas-council-for-the-social-studies-annual-conference-302286494.html
SOURCE Thinking Nation
Online Fitness Course Market to Grow by USD 26.46 Billion from 2024-2028, Driven by Healthy Lifestyle Awareness and AI Redefining the Market Landscape- Technavio
Autel and Revv to Provide ADAS Solution for Mechanical Repair Sector
THINKING NATION DIRECTOR OF SOCIAL STUDIES CURRICULUM TO SPEAK AT TEXAS COUNCIL FOR THE SOCIAL STUDIES ANNUAL CONFERENCE
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