Performance Overview Minsheng Edu reported 2025 revenue of RMB1.65 billion, down 15.30% year-on-year, as online-education turnover halved amid weaker market demand. The Group swung to a net loss of RMB729.11 million (2024: profit of RMB47.72 million) after recognising RMB548.20 million in goodwill and intangible-asset impairments and RMB140.20 million in financial-asset write-downs.
Segment Breakdown • On-campus education revenue was broadly stable at RMB1.40 billion, generating a segment profit of RMB365.62 million. • Online education revenue fell 54.07% to RMB253.88 million and booked a segment loss of RMB846.59 million, reflecting the above-mentioned impairment charges.
Margin & Cost Dynamics Cost of sales edged up 0.31% to RMB1.08 billion. Combined with lower top-line, gross profit declined 34.58% to RMB569.28 million and gross margin compressed to 34.5% (2024: 44.7%). Operating expenses showed mixed movements: • Selling expenses decreased 31.90% to RMB122.79 million after marketing down-sizing. • Administrative expenses fell 14.15% to RMB414.66 million. Finance costs were trimmed 3.36% to RMB131.79 million through funding-cost optimisation.
Balance Sheet & Liquidity Total assets amounted to RMB10.79 billion, with cash reserves of RMB3.40 billion. Current assets stood at RMB3.60 billion against current liabilities of RMB4.09 billion, resulting in net current liabilities of RMB491.20 million. Interest-bearing bank and other borrowings totalled RMB2.59 billion; the gearing ratio rose to 49.4% (2024: 37.0%). Capital expenditure was RMB207.65 million, mainly for campus construction and digital-education upgrades. Contract liabilities (largely prepaid tuition) increased to RMB896.35 million.
Cash & Currency Exposure Cash and cash equivalents declined to RMB2.24 billion (2024: RMB2.52 billion). Foreign-currency exposure remains limited; most revenues and costs are RMB-denominated.
Dividend No final dividend was proposed for 2025 (2024: nil).
Contingent Liabilities The Group is contesting a put-option arbitration and related loan disputes linked to a 49% stake in Leed International Education Group Inc. Management, supported by legal advice, considers the probability of a material cash outflow remote and therefore made no provision as at 31 December 2025.
Outlook Highlights Management plans to: 1. Continue investing in high-quality campus infrastructure and faculty development. 2. Deepen industry-education integration to strengthen applied-talent cultivation. 3. Accelerate digital transformation through AI, big-data and cloud technologies. 4. Expand the “learning–employment–entrepreneurship” service ecosystem across 1,500 partner institutions.
The Group reaffirms its focus on stabilising on-campus operations, restructuring its online business and maintaining prudent liquidity management amid ongoing market challenges.