New Risk • Jun 11
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: HK$746.8m (US$95.3m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Minor Risks Shareholders have been diluted in the past year (19% increase in shares outstanding). Market cap is less than US$100m (HK$746.8m market cap, or US$95.3m). Buy Or Sell Opportunity • Jun 08
Now 21% undervalued after recent price drop Over the last 90 days, the stock has fallen 31% to HK$1.21. The fair value is estimated to be HK$1.54, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 25% over the last 3 years. Meanwhile, the company became loss making. Announcement • May 27
Scholar Education Group, Annual General Meeting, Jun 18, 2026 Scholar Education Group, Annual General Meeting, Jun 18, 2026, at 10:30 China Standard Time. Location: 43/f, shenrun building, no. 1001 shennan east road, luohu district, shenzhen China Buy Or Sell Opportunity • May 13
Now 23% undervalued after recent price drop Over the last 90 days, the stock has fallen 34% to HK$1.26. The fair value is estimated to be HK$1.63, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 25% over the last 3 years. Meanwhile, the company became loss making. Reported Earnings • Apr 04
Full year 2025 earnings released: CN¥0.14 loss per share (vs CN¥0.27 profit in FY 2024) Full year 2025 results: CN¥0.14 loss per share (down from CN¥0.27 profit in FY 2024). Revenue: CN¥785.6m (down 7.8% from FY 2024). Net loss: CN¥77.7m (down 153% from profit in FY 2024). Revenue is forecast to grow 33% p.a. on average during the next 2 years, compared to a 8.9% growth forecast for the Consumer Services industry in Hong Kong. Over the last 3 years on average, earnings per share has fallen by 19% per year whereas the company’s share price has fallen by 14% per year. Announcement • Apr 02
Scholar Education Group Recommends No Final Dividend for the Year Ended 31 December 2025 The Board of Scholar Education Group does not recommend the payment of a final dividend for the year ended 31 December 2025 (for the year ended 31 December 2024 (HKD 0.07 per Share)). Announcement • Mar 18
Scholar Education Group to Report Fiscal Year 2025 Results on Mar 31, 2026 Scholar Education Group announced that they will report fiscal year 2025 results on Mar 31, 2026 Buy Or Sell Opportunity • Feb 16
Now 20% overvalued Over the last 90 days, the stock has fallen 27% to HK$1.94. The fair value is estimated to be HK$1.62, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 28% over the last 3 years. Meanwhile, the company has become profitable. New Risk • Nov 19
New major risk - Shareholder dilution The company's shareholders have been substantially diluted in the past year. Increase in shares outstanding: 39% This is considered a major risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Shareholders have been substantially diluted in the past year (39% increase in shares outstanding). Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (11% average weekly change). New Risk • Nov 08
New major risk - Shareholder dilution The company's shareholders have been substantially diluted in the past year. Increase in shares outstanding: 39% This is considered a major risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risk Shareholders have been substantially diluted in the past year (39% increase in shares outstanding). Minor Risks Unstable dividend paying track record with dividend experiencing an annual drop of over 20% in the past. Share price has been volatile over the past 3 months (12% average weekly change). Announcement • Oct 25
Scholar Education Group has completed a Follow-on Equity Offering in the amount of HKD 242 million. Scholar Education Group has completed a Follow-on Equity Offering in the amount of HKD 242 million.
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 110,000,000
Price\Range: HKD 2.2
Transaction Features: Subsequent Direct Listing New Risk • Oct 20
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Hong Kong stocks, typically moving 11% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • Oct 16
Investor sentiment improves as stock rises 25% After last week's 25% share price gain to HK$3.20, the stock trades at a trailing P/E ratio of 13.1x. Average forward P/E is 9x in the Consumer Services industry in Hong Kong. Total returns to shareholders of 355% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at HK$2.02 per share. Announcement • Oct 16
Scholar Education Group has filed a Follow-on Equity Offering in the amount of HKD 242 million. Scholar Education Group has filed a Follow-on Equity Offering in the amount of HKD 242 million.
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 110,000,000
Price\Range: HKD 2.2
Transaction Features: Subsequent Direct Listing Valuation Update With 7 Day Price Move • Aug 27
Investor sentiment deteriorates as stock falls 18% After last week's 18% share price decline to HK$2.34, the stock trades at a trailing P/E ratio of 9.6x. Average forward P/E is 8x in the Consumer Services industry in Hong Kong. Total returns to shareholders of 192% over the past three years. Reported Earnings • Aug 21
First half 2025 earnings released: EPS: CN¥0.11 (vs CN¥0.15 in 1H 2024) First half 2025 results: EPS: CN¥0.11 (down from CN¥0.15 in 1H 2024). Revenue: CN¥439.4m (up 10% from 1H 2024). Net income: CN¥62.9m (down 24% from 1H 2024). Profit margin: 14% (down from 21% in 1H 2024). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 30% p.a. on average during the next 3 years, compared to a 9.6% growth forecast for the Consumer Services industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 56% per year but the company’s share price has only increased by 50% per year, which means it is significantly lagging earnings growth. New Risk • Aug 20
New minor risk - Dividend sustainability The company has an unstable dividend paying track record. The dividend has had an annual drop of over 20% in the past. Dividend yield: 2.4% This is considered a minor risk. If the company has cut or reduced its dividend in the past, it may be a sign that the underlying business is too cyclical to consistently maintain or grow the dividend over the long-term. It may also indicate the company prioritizes other outcomes instead of maintaining the dividend. For dividend paying companies, any reduction in the dividend can significantly impact the share price. This is currently the only risk that has been identified for the company. Upcoming Dividend • Aug 11
Upcoming dividend of HK$0.07 per share Eligible shareholders must have bought the stock before 18 August 2025. Payment date: 29 August 2025. Payout ratio is a comfortable 25% and this is well supported by cash flows. Trailing yield: 2.4%. Lower than top quartile of Hong Kong dividend payers (6.8%). Lower than average of industry peers (6.1%). Announcement • Aug 09
Scholar Education Group to Report First Half, 2025 Results on Aug 20, 2025 Scholar Education Group announced that they will report first half, 2025 results on Aug 20, 2025 Recent Insider Transactions • Jun 19
Executive Chairman of the Board recently bought HK$301k worth of stock On the 17th of June, Qiyuan Chen bought around 80k shares on-market at roughly HK$3.76 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was Qiyuan's only on-market trade for the last 12 months. Buy Or Sell Opportunity • Jun 13
Now 22% undervalued after recent price drop Over the last 90 days, the stock has fallen 13% to HK$3.83. The fair value is estimated to be HK$4.92, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.3% over the last 3 years. Meanwhile, the company has become profitable. Buy Or Sell Opportunity • May 22
Now 23% undervalued Over the last 90 days, the stock has risen 1.8% to HK$3.87. The fair value is estimated to be HK$5.04, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.3% over the last 3 years. Meanwhile, the company has become profitable. Reported Earnings • Apr 29
Full year 2024 earnings released: EPS: CN¥0.27 (vs CN¥0.16 in FY 2023) Full year 2024 results: EPS: CN¥0.27 (up from CN¥0.16 in FY 2023). Revenue: CN¥852.3m (up 49% from FY 2023). Net income: CN¥145.6m (up 69% from FY 2023). Profit margin: 17% (up from 15% in FY 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 27% p.a. on average during the next 3 years, compared to a 10% growth forecast for the Consumer Services industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 82% per year but the company’s share price has increased by 102% per year, which means it is tracking significantly ahead of earnings growth. Valuation Update With 7 Day Price Move • Apr 14
Investor sentiment improves as stock rises 17% After last week's 17% share price gain to HK$5.04, the stock trades at a trailing P/E ratio of 18.4x. Average forward P/E is 7x in the Consumer Services industry in Hong Kong. Total returns to shareholders of 675% over the past three years. Reported Earnings • Mar 22
Full year 2024 earnings released: EPS: CN¥0.27 (vs CN¥0.16 in FY 2023) Full year 2024 results: EPS: CN¥0.27 (up from CN¥0.16 in FY 2023). Revenue: CN¥852.3m (up 49% from FY 2023). Net income: CN¥145.6m (up 69% from FY 2023). Profit margin: 17% (up from 15% in FY 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 36% p.a. on average during the next 2 years, compared to a 12% growth forecast for the Consumer Services industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 82% per year whereas the company’s share price has increased by 77% per year. Announcement • Mar 22
Scholar Education Group Proposes Ordinary Final Dividend for the Year Ended 31 December 2024, Payable on 29 August 2025 Scholar Education Group proposed ordinary final dividend of HKD 0.07 per share for the year ended 31 December 2024. Date of shareholders' approval: 20 May 2025, Ex-dividend date: 18 August 2025, Record date: 20 August 2025 and Payment date: 29 August 2025. Announcement • Mar 21
Scholar Education Group, Annual General Meeting, May 20, 2025 Scholar Education Group, Annual General Meeting, May 20, 2025. Announcement • Mar 11
Scholar Education Group to Report Fiscal Year 2024 Results on Mar 21, 2025 Scholar Education Group announced that they will report fiscal year 2024 results on Mar 21, 2025 New Risk • Mar 06
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Hong Kong stocks, typically moving 10% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Minor Risks Share price has been volatile over the past 3 months (10% average weekly change). Profit margins are more than 30% lower than last year (17% net profit margin). Valuation Update With 7 Day Price Move • Mar 04
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to HK$4.00, the stock trades at a trailing P/E ratio of 16.8x. Average forward P/E is 9x in the Consumer Services industry in Hong Kong. Total returns to shareholders of 413% over the past three years. Valuation Update With 7 Day Price Move • Feb 14
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to HK$3.34, the stock trades at a trailing P/E ratio of 14x. Average forward P/E is 9x in the Consumer Services industry in Hong Kong. Total returns to shareholders of 206% over the past three years. Valuation Update With 7 Day Price Move • Jan 07
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to HK$4.33, the stock trades at a trailing P/E ratio of 18.3x. Average forward P/E is 9x in the Consumer Services industry in Hong Kong. Total returns to shareholders of 246% over the past three years. Valuation Update With 7 Day Price Move • Sep 27
Investor sentiment improves as stock rises 22% After last week's 22% share price gain to HK$6.49, the stock trades at a trailing P/E ratio of 26.2x. Average forward P/E is 5x in the Consumer Services industry in Hong Kong. Total returns to shareholders of 362% over the past three years. Reported Earnings • Sep 22
First half 2024 earnings released: EPS: CN¥0.15 (vs CN¥0.077 in 1H 2023) First half 2024 results: EPS: CN¥0.15 (up from CN¥0.077 in 1H 2023). Revenue: CN¥399.1m (up 59% from 1H 2023). Net income: CN¥82.7m (up 93% from 1H 2023). Profit margin: 21% (up from 17% in 1H 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 43% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Consumer Services industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 74% per year but the company’s share price has only increased by 53% per year, which means it is significantly lagging earnings growth. Reported Earnings • Aug 21
First half 2024 earnings released: EPS: CN¥0.15 (vs CN¥0.077 in 1H 2023) First half 2024 results: EPS: CN¥0.15 (up from CN¥0.077 in 1H 2023). Revenue: CN¥399.1m (up 59% from 1H 2023). Net income: CN¥82.7m (up 93% from 1H 2023). Profit margin: 21% (up from 17% in 1H 2023). The increase in margin was driven by higher revenue. Revenue is forecast to grow 43% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Consumer Services industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 74% per year but the company’s share price has only increased by 46% per year, which means it is significantly lagging earnings growth. New Risk • Aug 17
New minor risk - Profit margin trend The company's profit margins are lower than last year and have reduced by more than 30%. Net profit margin: 17% Last year net profit margin: 28% This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin. This is currently the only risk that has been identified for the company. Valuation Update With 7 Day Price Move • Aug 16
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to HK$5.70, the stock trades at a trailing P/E ratio of 34.4x. Average forward P/E is 4x in the Consumer Services industry in Hong Kong. Total returns to shareholders of 280% over the past three years. Announcement • Aug 05
Scholar Education Group to Report First Half, 2024 Results on Aug 15, 2024 Scholar Education Group announced that they will report first half, 2024 results on Aug 15, 2024 Valuation Update With 7 Day Price Move • May 14
Investor sentiment improves as stock rises 18% After last week's 18% share price gain to HK$5.42, the stock trades at a trailing P/E ratio of 32.4x. Average forward P/E is 5x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 7.4% over the past three years. Announcement • Apr 21
Scholar Education Group, Annual General Meeting, May 14, 2024 Scholar Education Group, Annual General Meeting, May 14, 2024, at 11:00 China Standard Time. Location: Rooms 401410, 4th Floor, Yunfeng Garden, 29 Youyi Road, Jianan Community, Nanhu Street, Luohu District, Shenzhen, the People's Republic of China Shenzhen China Agenda: To receive and consider the audited financial statements, the report of the directors of the Company (the "Directors'') and the independent auditor's report of the Company for the year ended 31 December 2023; to consider and approve the re-election of the Directors; To re-appoint PricewaterhouseCoopers as the auditor of the Company and to authorize the Board to fix their remuneration. Reported Earnings • Mar 29
Full year 2023 earnings released: EPS: CN¥0.16 (vs CN¥0.098 in FY 2022) Full year 2023 results: EPS: CN¥0.16 (up from CN¥0.098 in FY 2022). Revenue: CN¥570.6m (up 42% from FY 2022). Net income: CN¥86.0m (up 58% from FY 2022). Profit margin: 15% (up from 14% in FY 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 38% p.a. on average during the next 2 years, compared to a 16% growth forecast for the Consumer Services industry in Hong Kong. Over the last 3 years on average, earnings per share has increased by 45% per year but the company’s share price has fallen by 21% per year, which means it is significantly lagging earnings. Valuation Update With 7 Day Price Move • Mar 18
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to HK$4.75, the stock trades at a trailing P/E ratio of 18.8x. Average forward P/E is 5x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 46% over the past three years. Announcement • Mar 14
Scholar Education Group to Report Fiscal Year 2023 Results on Mar 28, 2024 Scholar Education Group announced that they will report fiscal year 2023 results on Mar 28, 2024 Valuation Update With 7 Day Price Move • Feb 29
Investor sentiment improves as stock rises 28% After last week's 28% share price gain to HK$4.77, the stock trades at a trailing P/E ratio of 18.8x. Average forward P/E is 5x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 57% over the past three years. Valuation Update With 7 Day Price Move • Feb 14
Investor sentiment improves as stock rises 28% After last week's 28% share price gain to HK$3.00, the stock trades at a trailing P/E ratio of 11.8x. Average forward P/E is 5x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 67% over the past three years. Valuation Update With 7 Day Price Move • Jan 23
Investor sentiment deteriorates as stock falls 19% After last week's 19% share price decline to HK$2.07, the stock trades at a trailing P/E ratio of 8.1x. Average forward P/E is 4x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 77% over the past three years. Valuation Update With 7 Day Price Move • Jan 09
Investor sentiment deteriorates as stock falls 16% After last week's 16% share price decline to HK$2.66, the stock trades at a trailing P/E ratio of 10.5x. Average trailing P/E is 9x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 75% over the past three years. Recent Insider Transactions • Dec 22
Executive Chairman of the Board recently bought HK$508k worth of stock On the 19th of December, Qiyuan Chen bought around 175k shares on-market at roughly HK$2.90 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Qiyuan has been a buyer over the last 12 months, purchasing a net total of HK$2.5m worth in shares. Valuation Update With 7 Day Price Move • Dec 20
Investor sentiment improves as stock rises 33% After last week's 33% share price gain to HK$3.06, the stock trades at a trailing P/E ratio of 12x. Average trailing P/E is 9x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 72% over the past three years. New Risk • Nov 30
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Hong Kong stocks, typically moving 14% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 22% per year over the past 5 years. High level of non-cash earnings (45% accrual ratio). Minor Risk Share price has been volatile over the past 3 months (14% average weekly change). Valuation Update With 7 Day Price Move • Nov 24
Investor sentiment improves as stock rises 16% After last week's 16% share price gain to HK$1.01, the stock trades at a trailing P/E ratio of 4x. Average trailing P/E is 8x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 93% over the past three years. Valuation Update With 7 Day Price Move • Oct 20
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to HK$1.05, the stock trades at a trailing P/E ratio of 4.2x. Average trailing P/E is 8x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 94% over the past three years. New Risk • Sep 22
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 45% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 22% per year over the past 5 years. High level of non-cash earnings (45% accrual ratio). Minor Risk Market cap is less than US$100m (HK$711.3m market cap, or US$91.0m). Reported Earnings • Aug 25
First half 2023 earnings released: EPS: CN¥0.077 (vs CN¥0.058 loss in 1H 2022) First half 2023 results: EPS: CN¥0.077 (up from CN¥0.058 loss in 1H 2022). Revenue: CN¥251.3m (up 31% from 1H 2022). Net income: CN¥42.9m (up CN¥75.0m from 1H 2022). Profit margin: 17% (up from net loss in 1H 2022). Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has fallen by 62% per year, which means it is performing significantly worse than earnings. Announcement • Aug 12
Scholar Education Group to Report First Half, 2023 Results on Aug 23, 2023 Scholar Education Group announced that they will report first half, 2023 results on Aug 23, 2023 New Risk • Jul 05
New minor risk - Market cap size The company's market capitalization is less than US$100m. Market cap: HK$672.4m (US$85.9m) This is considered a minor risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 39% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (9.6% average weekly change). Large one-off items impacting financial results. Market cap is less than US$100m (HK$672.4m market cap, or US$85.9m). Valuation Update With 7 Day Price Move • Jul 04
Investor sentiment deteriorates as stock falls 25% After last week's 25% share price decline to HK$1.21, the stock trades at a trailing P/E ratio of 11.4x. Average trailing P/E is 9x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 91% over the past three years. Announcement • May 20
Scholar Education Group Announces Executive Changes Scholar Education Group announced Dr. Liu Jianhua (Dr. Liu) would retire by rotation at the AGM and did not offer himself for re-election as he would like to devote more time to his other endeavours. Accordingly, Dr. Liu retired as an independent non-executive Director with effect from the conclusion of the AGM. Dr. Liu has confirmed that he has no disagreement with the Board and there are no matters that need tobe brought to the attention of the Shareholders in respect of his retirement. The Board announced that Ms. Yim Ka Man (Ms. Yim) has been appointed as a Director with effect from the conclusion of the AGM at the 19 May 2023. Ms. Yim has over 15 years of experience in external audit, management accounting, operations management, internal control review, ESG reporting and enterprise risk assessment. She has been the Head of Risk Advisory Services at Mazars CPA Limited (Mazars), an international audit, tax and advisory firm, in Hong Kong since April 2021. Prior to joining Mazars, she worked at BDO Risk Advisory from March 2014 to May 2015 as manager, and at Baker Tilly Hong Kong -- Risk Advisory from May 2015 to April 2021, with her last position as director. Prior to that, she has worked at various international accounting firms, where she was responsible for supervising auditors in a number of systems reviews and audit assignments for both listed companies, large private enterprises and listing applicants, and she has also worked at the internal audit departments of Miramar Group, a renowned hospitality group, and Hang Lung Properties, a leading property developer in Hong Kong. Ms. Yim is a member of CPA Australia and the Hong Kong Institute of Certified Public Accountants. Ms. Yim received a Master of Laws (International and Commercial Law) degree from the University of Greenwich, the United Kingdom in November 2020 and a Bachelor of Business (Accounting and Banking & Finance) degree from Monash University, Australia in July 2002. Recent Insider Transactions • Apr 25
Executive Chairman of the Board recently bought HK$614k worth of stock On the 20th of April, Qiyuan Chen bought around 257k shares on-market at roughly HK$2.39 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger purchase worth HK$1.0m. Qiyuan has been a buyer over the last 12 months, purchasing a net total of HK$5.1m worth in shares. Valuation Update With 7 Day Price Move • Apr 21
Investor sentiment deteriorates as stock falls 15% After last week's 15% share price decline to HK$2.02, the stock trades at a trailing P/E ratio of 18.1x. Average trailing P/E is 9x in the Consumer Services industry in Hong Kong. Total loss to shareholders of 79% over the past three years. Recent Insider Transactions • Apr 16
Executive Chairman of the Board recently bought HK$1.0m worth of stock On the 12th of April, Qiyuan Chen bought around 405k shares on-market at roughly HK$2.48 per share. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Qiyuan has been a buyer over the last 12 months, purchasing a net total of HK$4.1m worth in shares. Reported Earnings • Mar 31
Full year 2022 earnings released: EPS: CN¥0.098 (vs CN¥0.048 loss in FY 2021) Full year 2022 results: EPS: CN¥0.098 (up from CN¥0.048 loss in FY 2021). Revenue: CN¥402.1m (down 52% from FY 2021). Net income: CN¥54.4m (up CN¥81.0m from FY 2021). Profit margin: 14% (up from net loss in FY 2021). The move to profitability was driven by lower expenses. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 47 percentage points per year, which is a significant difference in performance. Recent Insider Transactions • Jan 06
CEO & Executive Director recently bought HK$500k worth of stock On the 29th of December, Mingzhi Qi bought around 300k shares on-market at roughly HK$1.67 per share. This transaction amounted to 2.4% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger purchase from another insider worth HK$3.1m. This was Mingzhi's only on-market trade for the last 12 months. Recent Insider Transactions • Dec 19
Executive Chairman of the Board recently bought HK$3.1m worth of stock On the 12th of December, Qiyuan Chen bought around 3m shares on-market at roughly HK$0.99 per share. This transaction amounted to 1.4% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Qiyuan has been a buyer over the last 12 months, purchasing a net total of HK$4.0m worth in shares. Board Change • Nov 16
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 5 non-independent directors. Independent Non-Executive Director Victor Huang was the last independent director to join the board, commencing their role in 2019. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Aug 26
Scholar Education Group Resolves Not to Declare Any Interim Dividend for the Six Months Ended 30 June 2022 Scholar Education Group board resolved not to declare any interim dividend for the six months ended 30 June 2022, at the meeting held on 24 August 2022. Reported Earnings • Aug 25
First half 2022 earnings released: CN¥0.058 loss per share (vs CN¥0.078 profit in 1H 2021) First half 2022 results: CN¥0.058 loss per share (down from CN¥0.078 profit in 1H 2021). Revenue: CN¥191.4m (down 63% from 1H 2021). Net loss: CN¥32.0m (down 175% from profit in 1H 2021). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 39 percentage points per year, which is a significant difference in performance. Announcement • Aug 19
Scholar Education Group Provides Earnings Guidance for the Six Months Ended 30 June 2022 Scholar Education Group provided earnings guidance for the six months ended 30 June 2022. The board of directors of the Company informed the shareholders of the Company and potential investors that, based on the preliminary review and analysis on the unaudited consolidated management accounts of the Group for the six months ended 30 June 2022 and other information currently available to the Board, the Group expects to record a net loss ranging from RMB 30.0 million to RMB 35.0 million, as compared to a net profit of RMB 42.7 million for the six months ended 30 June 2021. Announcement • Aug 13
Scholar Education Group to Report Q2, 2022 Results on Aug 24, 2022 Scholar Education Group announced that they will report Q2, 2022 results on Aug 24, 2022 Recent Insider Transactions • Aug 11
Insider recently sold HK$20m worth of stock On the 2nd of August, Hongyu Chen sold around 27m shares on-market at roughly HK$0.73 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of HK$19m more than they bought in the last 12 months. Announcement • Jul 30
Scholar Education Group Ordinary Shares to Be Deleted from OTC Equity Scholar Education Group Ordinary Shares (Cayman Islands) will be deleted from OTC Equity effective from July 29, 2022, due to Inactive Security. Board Change • May 26
Less than half of directors are independent There are 5 new directors who have joined the board in the last 3 years. Of these new board members, 3 were independent directors. The company's board is composed of: 3 independent directors. 5 non-independent directors. Independent Non-Executive Director Victor Huang was the last independent director to join the board, commencing their role in 2019. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Lack of board continuity. Announcement • May 19
Scholar Education Group Announces Board Changes Scholar Education Group At its annual general meeting held on 18 May 2022 appointed Li Ailing and Leng Xinlan as a Director with effect from the conclusion of the AGM. Chen and Xu retired as executive Directors with effect from the conclusion of the AGM. Li joined the Group in July 2013, and was appointed as a vice general manager of the Group on 8 December 2018. Li is primarily responsible for the cost control, organic growth and realisation of the business objectives of the Group's high school segment operations. Li has over 14 years of experience in the tutoring business. Leng joined the Group in May 2010, and was appointed as the director of training and development of the Group in 2017. Ms. Leng's main responsibilities include building the teacher and executive training system, improving teacher's teaching standards and morality, improving executive's management ability and cultivating excellent management reserve for the Group to meet the talent demand. Leng has over 13 years of experience in the tutoring business. Board Change • Apr 27
Less than half of directors are independent Following the recent departure of a director, there are only 3 independent directors on the board. The company's board is composed of: 3 independent directors. 5 non-independent directors. Independent Non-Executive Director Victor Huang was the last independent director to join the board, commencing their role in 2019. The company's minority of independent directors is a risk according to the Simply Wall St Risk Model. Announcement • Apr 13
Scholar Education Group, Annual General Meeting, May 18, 2022 Scholar Education Group, Annual General Meeting, May 18, 2022, at 11:00 China Standard Time. Location: Rooms 401410, 4th Floor, Yunfeng Garden, 29 Youyi Road, Jianan Community, Nanhu Street, Luohu District, Shenzhen China Agenda: To receive and consider the audited financial statements, the report of the directors of the Company (the ``Directors) and the independent auditor's report of the Company for the year ended 31 December 2021;to re-elect Mr. Huang Victor as a Director;to re-elect Mr. Yang Xuezhi as a Director;to appoint Ms. Li Ailing as a Director; and to appoint Ms. Leng Xinlan as a Director; to re-appoint PricewaterhouseCoopers as the auditor of the Company and to authorise the Board to fix their remuneration;and to consider other matters. Reported Earnings • Apr 01
Full year 2021 earnings: EPS and revenues miss analyst expectations Full year 2021 results: CN¥0.048 loss per share (down from CN¥0.088 profit in FY 2020). Revenue: CN¥831.7m (up 11% from FY 2020). Net loss: CN¥26.6m (down 154% from profit in FY 2020). Revenue missed analyst estimates by 18%. Earnings per share (EPS) were also behind analyst expectations. Over the next year, revenue is forecast to grow 55%, compared to a 26% growth forecast for the industry in Hong Kong.