In the whole year of 20 19, Kevin Education achieved revenue of 795 million yuan, an increase of 228.68% compared with 242 million yuan in the whole year of 20 18. The net profit attributable to shareholders of listed companies was 37,954,300 yuan, compared with a net loss of 97,954,200 yuan in the previous year, which has turned losses into profits.
According to public information, Kevin Education mainly operates two international schools in Beijing, namely, Beijing Haidian Kevin School and Chaoyang Kevin School. Relying on these two schools, Kevin Education also takes sports training, art training, science and technology training and camp education as profit points to carry out education and related business.
Kevin Education was formerly known as Sino-Thai Bridge, and its main business is bridge steel structure engineering. Due to the continuous decline in bridge business income and net profit, Sino-Thai Bridge entered the education industry on 20 15, and announced on 20 17 that it would give up the bridge business and concentrate on the education field.
After the educational transformation, the initial performance of Kevin's education is not optimistic. 20 18 revenue decreased by 6 1.0 1%, which was about 242 million yuan. Its performance also turned from profit to loss, with a total net loss of 97.95 million yuan in 20 18, a sharp drop of 52 1% year-on-year.
Kevin Education, which is trying to reverse the situation, began to try to expand the profit space by improving operational efficiency. The annual report shows that the gross profit margin of Kevin Education's education service business in 20 19 was 7.59%, which was 137.56% higher than that in 20 18, and turned from negative to positive.
In addition, the substantial increase in the income of non-education industries also "adds color" to its annual report. In the composition of Kevin's 20 19 education business, the revenue of the education industry was 305 million yuan, a year-on-year increase of 46.2%; The income of other industries was 490 million yuan, up 138 1.68% year-on-year. In terms of income, the proportion of education industry decreased from 86.34% in 20 18 to 38.4%, and the proportion of other industries increased from 13.66% to 6 1.6%.
Apart from two international schools, quality education is undoubtedly one of the important directions of Kevin's education. At present, Kevin Education has owned many high-quality education brands such as Kevin Sports, Kevin Art, Kevin Science and Kevin Camp Center. Kevin Education also stated in its annual report that it will continue to promote international art high schools with Kevin KAP (International Art Class) and KMP (Kevin International Music Class) and expand the market share of training and camp business.
Previously, Kevin Education also tried to make a global layout. August 20 18, it was announced that it planned to sign a contract with Reed University in the United States to acquire the Westminster Chorus Conservatory and other three colleges. However, this merger plan was not smooth, and Kevin Education announced the termination of the acquisition on June 20 19.
According to the annual report, although Kevin's educational income and net profit have achieved high growth, his cash flow is not sufficient. As of 20 19, 12 and 3 1, the balance of cash and cash equivalents of Kevin Education's parent company was 4917,500 yuan, down 98.53% from 334 million yuan at the end of 20 18.
Recently, due to the epidemic, primary and secondary schools failed to fully resume classes, and Chaoyang Kevin School, with an annual tuition fee of about 200,000 yuan, was questioned by some parents. Interface education has reported that some parents think that the teaching effect of online courses in Beijing Kevin International School can't match the high tuition fees, and ask for a refund according to a certain proportion.
At present, Kevin Education has promised not to increase tuition fees in the new school year and continues to provide a number of tuition concessions. Meals, school bus fees and accommodation fees can be included in the next school year or refunded. But did not respond to the parents' request for a refund.
According to the performance forecast for the first quarter of 2020 previously released by Kevin Education, it is estimated that the net loss attributable to shareholders of listed companies is130,000 to170,000 yuan, which is 18% to 38% lower than the same period last year. If Kevin Education can't properly handle the disputes between home and school, it will also have a negative impact on the brand and reputation in the long run.