Shandong Publishing plans shift to digital education with funding change

Shandong Publishing & Media (SSE:601019) announced plans to terminate its "Basic Education Sunlight Wisdom Classroom Construction Project" due to shifting market dynamics and implement the "Quality Improvement and Return" plan, citing that the project's feasibility has diminished. Instead, it will direct CNY 94.045 million towards constructing Phase II of its Shandong Publishing Smart Education Platform to consolidate its existing assets and better focus on digital publishing. The company aims to create a comprehensive educational platform that covers all aspects of the market, and ensure its digital products are highly competitive. Further, preliminary 2024 financial results indicate a CNY 11.719 billion operating revenue with a shift towards digital. The decision, made by the Board of Directors and still subject to shareholder approval, aligns with the company's strategy to capitalize on new developments in education technology and strengthen its core publishing operations.