China Chunlai Education reports increased revenue and net profit

China Chunlai Education Group Co., Ltd. reported a 9.8% increase in revenue to RMB1,790,614 thousand for the year ended August 31, 2025, up from RMB1,631,496 thousand in 2024. The group's profit for the year rose by 7.4% to RMB835,546 thousand, compared to RMB778,171 thousand in the previous year. Adjusted net profit, a non-IFRS measure, also saw a 5.9% increase, reaching RMB836,875 thousand.

The increase in revenue was primarily attributed to an expansion in student enrolment across its institutions. However, the gross profit margin decreased to 54.2% from 58.6% in 2024, largely due to a 21.3% rise in the cost of revenue, driven by higher staff costs. Finance costs decreased significantly by 34.2% to RMB62,969 thousand, due to a reduction in loan scale and a drop in average interest rates.

The group's total student enrolment increased by 6.4% to 109,952 students for the 2024/2025 school year. The gearing ratio improved, decreasing by 15.4 percentage points to 42.5% as of August 31, 2025, reflecting an increase in total equity and a reduction in borrowings.