Bright Scholar Education Holdings Limited (BEDU) investor relations material

Executive summary

• Net income from continuing operations surged 223.6% year-over-year to GBP3.2 million, with adjusted net income up 179.5% to GBP3.5 million, reflecting improved profitability and efficiency.

• Revenue for F2Q25 was GBP43.8 million, down 9.7% year-over-year, mainly due to contraction in non-core businesses, with stable enrollment and a 14.2% increase in revenue per enrollment at U.S. schools.

• SG&A expenses decreased 13.7% year-over-year, improving as a percentage of revenue to 25.5%.

• The company advanced its dual-engine growth strategy, focusing on expanding the Schools business and global recruitment.

• U.S. and UK schools achieved notable academic and athletic benchmarks, including top national rankings and university placements.

Financial highlights

• Gross profit for F2Q25 was GBP13.2 million, down 12.0% year-over-year; gross margin was 30.0%, slightly down from 30.8% a year ago.

• Adjusted EBITDA was GBP3.1 million, a 12.9% decrease year-over-year.

• Operating income increased 7.2% year-over-year to GBP2.3 million; adjusted operating margin improved to 6.1% from 5.1% in the prior year.

• Basic and diluted net income per ordinary share from continuing operations was GBP0.03, up from GBP0.01 year-over-year; per ADS: GBP0.12, up from GBP0.04.

• Cash and equivalents at period end were GBP46.3 million, down from GBP54.3 million six months prior.

Outlook and guidance

• Management remains focused on executing a dual-engine strategy of global expansion and student recruitment, aiming for sustainable growth and improved profitability.

• Continued emphasis on operational efficiency and cost optimization remains a top priority for fiscal year 2025.

• Confident in ability to deliver stronger long-term value to students, families, and shareholders.