BEIJING, Oct. 28,
2022 /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
2023 ended August 31, 2022.
Highlights for the Second Quarter of Fiscal Year 2023
- Net revenues was US$294.1 million, compared to net revenues of
US$1,443.9 million in the same period
of the prior year.
- Income from operations was US$14.9 million, compared to loss from operations
of US$379.9 million in the same
period of the prior year.
- Non-GAAP income from operations, which
excluded share-based compensation expenses, was US$42.3 million, compared to non-GAAP loss from
operations of US$313.4 million in the
same period of the prior year.
- Net loss attributable to TAL was
US$0.8 million, compared to net loss
attributable to TAL of US$826.5
million in the same period of the prior year.
- Non-GAAP net income attributable to TAL,
which excluded share-based compensation expenses, was
US$26.6 million, compared
to non-GAAP net loss attributable to TAL of US$760.1 million in the same period of the prior
year.
- Basic and diluted net loss per American
Depositary Share ("ADS") were both US$0.00. Non-GAAP basic and diluted net income
per ADS, which excluded share-based compensation expenses, were
both US$0.04. Three ADSs represent
one Class A common share.
- Cash, cash equivalents and short-term
investments totaled US$3,086.6
million as of August 31, 2022,
compared to US$2,708.7 million as of
February 28, 2022.
Highlights for the Six Months Ended August 31, 2022
- Net revenues was US$518.1 million, compared to net revenues of
US$2,828.8 million in the same period
of the prior year.
- Loss from operations was US$13.4 million, compared to loss from operations
of US$506.7 million in the same
period of the prior year.
- Non-GAAP income from operations, which
excluded share-based compensation expenses, was US$40.5 million, compared to non-GAAP loss from
operations of US$372.9 million in the
same period of the prior year.
- Net loss attributable to TAL was
US$44.6 million, compared to net loss
attributable to TAL of US$928.6 million in the same period of the
prior year.
- Non-GAAP net income attributable to TAL,
which excluded share-based compensation expenses, was US$9.3 million, compared to non-GAAP net loss
attributable to TAL of US$794.7
million in the same period of the prior year.
- Basic and diluted net loss per ADS were
both US$0.07. Non-GAAP basic and
diluted net income per ADS, excluding share-based compensation
expenses, were both US$0.01.
Financial
Data——Second Quarter and First Six
Months of Fiscal Year 2023
|
(In US$ thousands,
except per ADS data and percentages)
|
|
|
|
|
|
Three Months
Ended
|
|
August
31,
|
|
2021
|
2022
|
Pct.
Change
|
Net revenues
|
1,443,880
|
294,060
|
(79.6 %)
|
(Loss)/income from
operations
|
(379,874)
|
14,891
|
(103.9 %)
|
Non-GAAP(loss)/income from operations
|
(313,440)
|
42,315
|
(113.5 %)
|
Net loss attributable
to TAL
|
(826,546)
|
(787)
|
(99.9 %)
|
Non-GAAP net
(loss)/income attributable to TAL
|
(760,112)
|
26,637
|
(103.5 %)
|
Net loss per ADS
attributable to TAL – basic
|
(1.29)
|
(0.00)
|
(99.9 %)
|
Net loss per ADS
attributable to TAL – diluted
|
(1.29)
|
(0.00)
|
(99.9 %)
|
Non-GAAP net
(loss)/income per ADS attributable
to TAL – basic
|
(1.18)
|
0.04
|
(103.5 %)
|
Non-GAAP net
(loss)/income per ADS attributable
to TAL – diluted
|
(1.18)
|
0.04
|
(103.5 %)
|
|
Six Months
Ended
|
|
August
31,
|
|
2021
|
2022
|
Pct.
Change
|
Net revenues
|
2,828,823
|
518,105
|
(81.7 %)
|
Loss from
operations
|
(506,731)
|
(13,432)
|
(97.3 %)
|
Non-GAAP (loss)/income
from operations
|
(372,852)
|
40,471
|
(110.9 %)
|
Net loss attributable
to TAL
|
(928,624)
|
(44,616)
|
(95.2 %)
|
Non-GAAP net
(loss)/income attributable to TAL
|
(794,745)
|
9,287
|
(101.2 %)
|
Net loss per ADS
attributable to TAL – basic
|
(1.44)
|
(0.07)
|
(95.2 %)
|
Net loss per ADS
attributable to TAL – diluted
|
(1.44)
|
(0.07)
|
(95.2 %)
|
Non-GAAP net
(loss)/income per ADS attributable
to TAL – basic
|
(1.23)
|
0.01
|
(101.2 %)
|
Non-GAAP net
(loss)/income per ADS attributable
to TAL – diluted
|
(1.23)
|
0.01
|
(101.2 %)
|
"Our business has shown a healthy momentum in this quarter. We
will continue to invest in learning services, learning content
solutions and learning technology solutions to lay the foundation
for long-term growth." said Alex
Peng, TAL's President & Chief Financial Officer.
Mr. Peng added: "We recently announced our new mission of 'to
empower life-long growth with love and technology' and our new
vision of 'to become an organization driving continuous
innovation'. We will continue to develop our current product and
service portfolio, while, in alignment with our new mission and
vision, exploring new initiatives in and beyond the learning
solutions market."
Financial Results for the Second Quarter of Fiscal Year
2023
Net Revenues
In the second quarter of fiscal year 2023, TAL reported net
revenues of US$294.1 million,
representing a 79.6% decrease from US$1,443.9 million in the second quarter of
fiscal year 2022.
Operating Costs and Expenses
In the second quarter of fiscal year 2023, operating costs and
expenses were US$292.4 million,
representing an 84.0% decrease from US$1,825.6 million in the second quarter of
fiscal year 2022. Non-GAAP operating costs and expenses, which
excluded share-based compensation expenses, were US$265.0 million, representing an 84.9% decrease
from US$1,759.2 million in the second
quarter of fiscal year 2022.
Cost of revenues decreased by 86.6% to US$117.1 million from US$872.6 million in the second quarter of fiscal
year 2022. Non-GAAP cost of revenues, which excluded share-based
compensation expenses, decreased by 86.9% to US$114.5 million, from US$872.3 million in the second quarter of fiscal
year 2022.
Selling and marketing expenses decreased by 74.8% to
US$78.1 million from US$309.7 million in the second quarter of fiscal
year 2022. Non-GAAP selling and marketing expenses, which excluded
share-based compensation expenses, decreased by 75.5% to
US$69.8 million, from US$285.2 million in the second quarter of fiscal
year 2022.
General and administrative expenses decreased by 72.7% to
US$97.2 million from US$356.5 million in the second quarter of fiscal
year 2022. Non-GAAP general and administrative expenses, which
excluded share-based compensation expenses, decreased by 74.4% to
US$80.7 million, from US$314.9 million in the second quarter of fiscal
year 2022.
Total share-based compensation expenses allocated to the related
operating costs and expenses decreased by 58.7% to US$27.4 million in the second quarter of fiscal
year 2023 from US$66.4 million in the
same period of fiscal year 2022.
Impairment loss on intangible assets and goodwill was nil for
the second quarter of fiscal year 2023, compared to US$286.8 million for the second quarter of fiscal
year 2022.
Gross
Profit
Gross profit decreased by 69.0% to US$176.9 million from US$571.3 million in the second quarter of fiscal
year 2022.
(Loss)/Income from
Operations
Income from operations was US$14.9
million in the second quarter of fiscal year 2023, compared
to loss from operations of US$379.9
million in the second quarter of fiscal year 2022. Non-GAAP
income from operations, which excluded share-based
compensation expenses, was US$42.3
million, compared to Non-GAAP loss from operations of
US$313.4 million in the same period
of the prior year.
Other (expense)/Income
Other expense was US$25.7million for the second quarter of fiscal
year 2023, compared to other expense of US$30.7 million in the second quarter of fiscal
year 2022.
Impairment Loss on Long-term Investments
Impairment loss on Long-term investment was US$6.6 million for the second quarter of fiscal
year 2023, compared to US$154.9
million for the same period of fiscal year 2022.
Income Tax Expense
Income tax expense was US$4.5
million in the second quarter of fiscal year 2023, compared
to US$310.4 million of income tax
expense in the second quarter of fiscal year 2022.
Net (Loss)/Income
attributable to TAL
Net loss attributable to TAL was US$0.8
million in the second quarter of fiscal year 2023, compared
to net loss attributable to TAL of US$826.5
million in the second quarter of fiscal year 2022. Non-GAAP
net income attributable to TAL, which excluded share-based
compensation expenses, was US$26.6
million, compared to Non-GAAP net loss attributable to TAL
of US$760.1 million in the second
quarter of fiscal year 2022.
Basic and Diluted Net (Loss)/Income per ADS
Basic and diluted net loss per ADS were both US$0.00 in the second quarter of fiscal year
2023. Non-GAAP basic and diluted net income per ADS, which excluded
share-based compensation expenses, were both US$0.04 in the second quarter of fiscal year
2023.
Cash, Cash Equivalents, and Short-Term
Investments
As of August 31, 2022, the Company
had US$1,759.3 million of cash and
cash equivalents and US$1,327.3
million of short-term investments, compared to US$1,638.2 million of cash and cash equivalents
and US$1,070.5 million of short-term
investments as of February 28,
2022.
Deferred Revenue
As of August 31, 2022, the
Company's deferred revenue balance was US$177.5 million, compared to US$187.7 million as of February 28, 2022.
Financial Results for the First Six Months of Fiscal Year
2023
Net Revenues
For the first six months of fiscal year 2023, TAL reported net
revenues of US$518.1 million, representing an 81.7% decrease
from US$2,828.8 million in the first six months of fiscal
year 2022.
Operating Costs and Expenses
In the first six months of fiscal year 2023, operating costs and
expenses were US$552.5 million, an 83.5% decrease
from US$3,340.6 million in the first six months of fiscal
year 2022. Non-GAAP operating costs and expenses, which excluded
share-based compensation expenses, were US$498.6 million, an
84.5% decrease from US$3,206.7 million in the first six
months of fiscal year 2022.
Cost of revenues decreased by 86.2% to US$205.7
million from US$1,485.8 million in the first six
months of fiscal year 2022. Non-GAAP cost of revenues, which
excluded share-based compensation expenses, decreased by 86.5%
to US$200.7 million from US$1,485.0 million in
the first six months of fiscal year 2022.
Selling and marketing expenses decreased by 81.4%
to US$138.1 million from US$741.0 million in
the first six months of fiscal year 2022. Non-GAAP selling and
marketing expenses, which excluded share-based compensation
expenses, decreased by 82.4% to US$121.7
million from US$692.6 million in the first six
months of fiscal year 2022.
General and administrative expenses decreased by 69.7%
to US$208.7 million from US$687.6 million in
the first six months of fiscal year 2022. Non-GAAP general and
administrative expenses, which excluded share-based compensation
expenses, decreased by 70.8% to US$176.1
million from US$602.9 million in the first six
months of fiscal year 2022.
Total share-based compensation expenses allocated to the related
operating costs and expenses decreased by 59.7% to US$53.9
million in the first six months of fiscal year 2023
from US$133.9 million in the same period of fiscal year
2022.
Impairment loss on intangible assets and goodwill was nil for
the first six months of fiscal year 2023, compared to US$426.2 million for the same period of fiscal
year 2022.
Gross Profit
Gross profit decreased by 76.7% to US$312.4
million from US$1,343.1 million in the first six
months of fiscal year 2022.
(Loss)/Income from
Operations
Loss from operations was US$13.4 million in the first
six months of fiscal year 2023, compared to loss from operations
of US$506.7 million in the same period of the prior year.
Non-GAAP income from operations, which excluded share-based
compensation expenses, was US$40.5 million, compared
to US$372.9 million Non-GAAP loss from operations in the
same period of the prior year.
Other (Expense)/Income
Other expense was US$52.5 million for the first six
months of fiscal year 2023, compared to other income of
US$8.1 million in the same period of
the prior year.
Impairment Loss on Long-term Investments
Impairment loss on long-term investments was US$6.6 million
for the first six months of fiscal year 2023, compared
to US$178.1 million for the first six months of fiscal
year 2022.
Income Tax Expense
Income tax expense was US$6.8 million in the first six
months of fiscal year 2023, compared to US$341.6
million of income tax expense in the first six months of
fiscal year 2022.
Net (Loss)/Income Attributable to TAL Education
Group
Net loss attributable to TAL was US$44.6 million in
the first six months of fiscal year 2023, compared to net loss
attributable to TAL of US$928.6 million in the first six
months of fiscal year 2022. Non-GAAP net income attributable to
TAL, which excluded share-based compensation expenses, was
US$9.3 million, compared
to US$794.7 million Non-GAAP loss attributable to TAL in
the same period of the prior year.
Basic and Diluted Net (Loss)/Income per ADS
Basic and diluted net loss per ADS were both US$0.07 in the
first six months of fiscal year 2023. Non-GAAP basic and diluted
net income per ADS, which excluded share-based compensation
expenses, were both US$0.01.
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 2023 ended August 31,
2022 at 8:00 a.m. Eastern Time
on October 28, 2022 (8:00 p.m. Beijing time on October
28, 2022).
Please note that you will need to pre-register for conference
call participation at
https://register.vevent.com/register/BI60d8b93968b145e994b6c9c02b8aa42e.
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 services to students from
all ages through diversified class formats. Our learning services
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 loss from operations,
non-GAAP net loss attributable to TAL, non-GAAP basic and non-GAAP
diluted net loss 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 28,
2022
|
|
As of
August 31,
2022
|
ASSETS
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
Cash and
cash equivalents
|
$ 1,638,189
|
|
$ 1,759,255
|
Restricted
cash-current
|
755,646
|
|
207,816
|
Short-term
investments
|
1,070,535
|
|
1,327,275
|
Inventory
|
21,830
|
|
30,828
|
Amounts due from
related parties-current
|
919
|
|
324
|
Income
tax receivables
|
19,504
|
|
28
|
Prepaid
expenses and other current assets
|
122,753
|
|
141,386
|
Total current
assets
|
3,629,376
|
|
3,466,912
|
Restricted
cash-non-current
|
287,951
|
|
158,391
|
Property and
equipment, net
|
281,226
|
|
262,606
|
Deferred tax
assets
|
6,747
|
|
3,202
|
Rental
deposits
|
10,770
|
|
13,833
|
Intangible
assets, net
|
1,696
|
|
824
|
Land use right,
net
|
217,708
|
|
197,213
|
Amounts due from
related parties- non-current
|
77
|
|
-
|
Long-term
investments
|
414,487
|
|
464,467
|
Long-term
prepayments and other non-current assets
|
5,418
|
|
2,627
|
Operating lease
right-of-use assets
|
227,072
|
|
148,715
|
Total
assets
|
$ 5,082,528
|
|
$ 4,718,790
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
Accounts
payable
|
$ 89,838
|
|
$ 73,692
|
Deferred
revenue-current
|
187,718
|
|
177,530
|
Amounts due to related
parties-current
|
205
|
|
102
|
Accrued expenses and
other current liabilities
|
558,718
|
|
463,711
|
Operating lease
liabilities, current portion
|
66,105
|
|
39,955
|
Total current
liabilities
|
902,584
|
|
754,990
|
Deferred
revenue-non-current
|
14
|
|
12
|
Deferred tax
liabilities
|
1,680
|
|
4,112
|
Operating lease
liabilities, non-current portion
|
175,988
|
|
120,566
|
Total
liabilities
|
1,080,266
|
|
|
879,680
|
|
|
|
|
Equity
|
|
|
|
Class A common
shares
|
167
|
|
167
|
Class B common
shares
|
49
|
|
49
|
Treasury
Stock
|
-
|
|
(5)
|
Additional paid-in
capital
|
4,358,265
|
|
4,357,850
|
Statutory
reserve
|
154,362
|
|
153,487
|
Accumulated
deficit
|
(544,309)
|
|
(588,050)
|
Accumulated other
comprehensive income/(loss)
|
61,617
|
|
(57,671)
|
Total TAL Education
Group's equity
|
4,030,151
|
|
3,865,827
|
Noncontrolling
interest
|
(27,889)
|
|
(26,717)
|
Total
equity
|
4,002,262
|
|
3,839,110
|
Total liabilities
and equity
|
$ 5,082,528
|
|
$ 4,718,790
|
|
|
|
|
|
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,
|
|
2021
|
|
2022
|
|
2021
|
|
2022
|
Net
revenues
|
$ 1,443,880
|
|
$ 294,060
|
|
$ 2,828,823
|
|
$ 518,105
|
Cost of revenues (note
1)
|
872,628
|
|
117,132
|
|
1,485,769
|
|
205,690
|
Gross profit
|
571,252
|
|
176,928
|
|
1,343,054
|
|
312,415
|
Operating expenses
(note 1)
|
|
|
|
|
|
|
|
Selling and
marketing
|
309,688
|
|
78,087
|
|
741,037
|
|
138,126
|
General and
administrative
|
356,499
|
|
97,206
|
|
687,632
|
|
208,656
|
Impairment loss on intangible
assets and
goodwill
|
286,781
|
|
-
|
|
426,190
|
|
-
|
Total operating
expenses
|
952,968
|
|
175,293
|
|
1,854,859
|
|
346,782
|
Government
subsidies
|
1,842
|
|
13,256
|
|
5,074
|
|
20,935
|
(Loss)/income from
operations
|
(379,874)
|
|
14,891
|
|
(506,731)
|
|
(13,432)
|
Interest
income
|
35,296
|
|
12,445
|
|
71,897
|
|
25,508
|
Interest
expense
|
(2,878)
|
|
-
|
|
(6,050)
|
|
-
|
Other
(expense)/income
|
(30,731)
|
|
(25,715)
|
|
8,091
|
|
(52,504)
|
Gain from disposal of a
subsidiary
|
-
|
|
9,550
|
|
-
|
|
9,550
|
Impairment loss on
long-term
investments
|
(154,881)
|
|
(6,610)
|
|
(178,063)
|
|
(6,610)
|
(Loss)/income before
income tax
expense and income/(loss) from
equity method investments
|
(533,068)
|
|
4,561
|
|
(610,856)
|
|
(37,488)
|
Income tax
expense
|
(310,354)
|
|
(4,487)
|
|
(341,558)
|
|
(6,803)
|
Income/(loss) from
equity method
investments
|
4,120
|
|
(932)
|
|
4,048
|
|
521
|
Net
loss
|
(839,302)
|
|
(858)
|
|
(948,366)
|
|
(43,770)
|
Add: Net
loss/(income)
attributable to noncontrolling
interest
|
12,756
|
|
71
|
|
19,742
|
|
(846)
|
Total net loss
attributable to
TAL Education Group
|
$ (826,546)
|
|
$ (787)
|
|
$ (928,624)
|
|
$ (44,616)
|
Net loss per common
share
|
|
|
|
|
|
|
|
Basic
|
$ (3.86)
|
|
$ (0.00)
|
|
$ (4.33)
|
|
$ (0.21)
|
Diluted
|
(3.86)
|
|
(0.00)
|
|
(4.33)
|
|
(0.21)
|
Net loss per ADS
(note 2)
|
|
|
|
|
|
|
|
Basic
|
$ (1.29)
|
|
$ (0.00)
|
|
$ (1.44)
|
|
$ (0.07)
|
Diluted
|
(1.29)
|
|
(0.00)
|
|
(1.44)
|
|
(0.07)
|
Weighted average shares
used in
calculating net loss per
common share
|
|
|
|
|
|
|
|
Basic
|
214,204,714
|
|
211,620,275
|
|
214,593,452
|
|
213,341,439
|
Diluted
|
214,204,714
|
|
211,620,275
|
|
214,593,452
|
|
213,341,439
|
Note1: Share-based
compensation expenses are included in the operating costs and
expenses as follows:
|
|
|
For the Three
Months
|
|
For the
Six Months
|
|
Ended
August 31,
|
Ended
August 31,
|
|
2021
|
|
2022
|
|
2021
|
|
2022
|
|
Cost of
revenues
|
$ 351
|
|
$ 2,587
|
|
$ 734
|
|
$ 4,980
|
|
Selling and marketing
expenses
|
24,460
|
|
8,296
|
|
48,432
|
|
16,377
|
|
General and
administrative expenses
|
41,623
|
|
16,541
|
|
84,713
|
|
32,546
|
|
Total
|
$ 66,434
|
|
$ 27,424
|
|
$ 133,879
|
|
$ 53,903
|
|
|
Note 2: Three ADSs
represent one Class A common Share.
|
TAL EDUCATION
GROUP
|
UNAUDITED CONDENSED
CONSOLIDATED STATEMENTS OF
|
Comprehensive
LOSS
|
(In thousands of
U.S. dollars)
|
|
|
|
For the Three Months
Ended
August 31,
|
For the Six Months
Ended
August 31,
|
|
|
|
|
2021
|
|
2022
|
|
2021
|
|
2022
|
|
|
|
|
|
|
|
|
Net
loss
|
$ (839,302)
|
|
$ (858)
|
|
$ (948,366)
|
|
$ (43,770)
|
Other comprehensive
loss, net
of tax
|
(39,540)
|
|
(55,912)
|
|
(23,845)
|
|
(116,738)
|
Comprehensive
loss
|
(878,842)
|
|
(56,770)
|
|
(972,211)
|
|
(160,508)
|
Add: Comprehensive
loss
/(income) attributable to
noncontrolling interest
|
12,640
|
|
(882)
|
|
19,749
|
|
(3,396)
|
Comprehensive
loss
attributable to TAL
Education Group
|
$ (866,202)
|
|
$ (57,652)
|
|
$ (952,462)
|
|
$ (163,904)
|
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,
|
|
2021
|
|
2022
|
|
2021
|
|
2022
|
|
|
|
|
|
|
|
|
Cost of
revenues
|
$ 872,628
|
|
$ 117,132
|
|
$ 1,485,769
|
|
$ 205,690
|
Share-based
compensation expense
in cost of revenues
|
351
|
|
2,587
|
|
734
|
|
4,980
|
Non-GAAP cost of
revenues
|
872,277
|
|
114,545
|
|
1,485,035
|
|
200,710
|
|
|
|
|
|
|
|
|
Selling and
marketing expenses
|
309,688
|
|
78,087
|
|
741,037
|
|
138,126
|
Share-based
compensation expense
in selling and marketing expenses
|
24,460
|
|
8,296
|
|
48,432
|
|
16,377
|
Non-GAAP selling and
marketing
expenses
|
285,228
|
|
69,791
|
|
692,605
|
|
121,749
|
General and
administrative
expenses
|
356,499
|
|
97,206
|
|
687,632
|
|
208,656
|
Share-based
compensation expense
in general and administrative
expenses
|
41,623
|
|
16,541
|
|
84,713
|
|
32,546
|
Non-GAAP general
and
administrative expenses
|
314,876
|
|
80,665
|
|
602,919
|
|
176,110
|
|
|
|
|
|
|
|
|
Operating costs and
expenses
|
1,825,596
|
|
292,425
|
|
3,340,628
|
|
552,472
|
Share-based
compensation expense
in operating costs and expenses
|
66,434
|
|
27,424
|
|
133,879
|
|
53,903
|
Non-GAAP operating
costs and
expenses
|
1,759,162
|
|
265,001
|
|
3,206,749
|
|
498,569
|
|
|
|
|
|
|
|
|
(Loss)/income from
operations
|
(379,874)
|
|
14,891
|
|
(506,731)
|
|
(13,432)
|
Share based
compensation expenses
|
66,434
|
|
27,424
|
|
133,879
|
|
53,903
|
Non-GAAP
(loss)/income from
operations
|
(313,440)
|
|
42,315
|
|
(372,852)
|
|
40,471
|
|
|
|
|
|
|
|
|
Net loss
attributable to TAL
Education Group
|
(826,546)
|
|
(787)
|
|
(928,624)
|
|
(44,616)
|
Share based
compensation expenses
|
66,434
|
|
27,424
|
|
133,879
|
|
53,903
|
Non-GAAP net
(loss)/income
attributable to TAL Education
Group
|
$ (760,112)
|
|
$ 26,637
|
|
$ (794,745)
|
|
$ 9,287
|
Net loss per
ADS
|
|
Basic
|
$ (1.29)
|
|
$ (0.00)
|
|
$ (1.44)
|
|
$ (0.07)
|
Diluted
|
(1.29)
|
|
(0.00)
|
|
(1.44)
|
|
(0.07)
|
Non-GAAP net (loss)/
income per
ADS
|
|
|
|
|
|
|
|
Basic
|
$ (1.18)
|
|
$ 0.04
|
|
$ (1.23)
|
|
$ 0.01
|
Diluted
|
(1.18)
|
|
0.04
|
|
(1.23)
|
|
0.01
|
ADSs used in
calculating net loss
per ADS
|
|
|
|
|
|
|
|
Basic
|
642,614,142
|
|
634,860,825
|
|
643,780,356
|
|
640,024,317
|
Diluted
|
642,614,142
|
|
634,860,825
|
|
643,780,356
|
|
640,024,317
|
ADSs used in
calculating Non-
GAAP net (loss)/ income per ADS
|
|
|
|
|
|
|
|
Basic
|
642,614,142
|
|
634,860,825
|
|
643,780,356
|
|
640,024,317
|
Diluted
|
642,614,142
|
|
642,251,238
|
|
643,780,356
|
|
642,521,076
|
View original
content:https://www.prnewswire.com/news-releases/tal-education-group-announces-unaudited-financial-results-for-the-second-fiscal-quarter-ended-august-31-2022-301662141.html
SOURCE TAL Education Group