CHEN LIN EDU (01593) announced its annual results for the period ended August 31, 2025, with revenue of RMB600.7 million (Chinese Yuan, same below), marking a slight year-on-year increase of 0.2%. However, the company recorded a net loss of RMB412 million, compared to a profit of RMB15.367 million in the same period last year. Basic loss per share stood at RMB0.43.

The annual loss was primarily attributed to: (i) A one-time, non-cash impairment loss of approximately RMB288.8 million on goodwill and certain non-current assets, following downward revisions in operational estimates for Jiangxi Technician College and Guizhou College acquired by the group; (ii) A one-time, non-cash loss of around RMB42.6 million due to the reversal of deferred income, after one of the group's cash-generating units withdrew its application to convert from a non-profit to a for-profit private school, eliminating the obligation to return previously received government subsidies; (iii) Increased non-cash depreciation and amortization costs of approximately RMB25 million year-on-year, as infrastructure construction and equipment upgrades at the group's affiliated institutions were gradually completed.

Excluding the impact of these one-time non-cash expenses, the group would have generated an annual profit of approximately RMB184.5 million.