Tarena International, Inc. Announces the Results for the Third Quarter of 2021
Tarena International (NASDAQ: TEDU) reported its unaudited financial results for Q3 2021, revealing net revenues of RMB615.2 million, a slight decline of 0.9% year-over-year. The adult education segment faced a significant drop, with revenues down 14.7% to RMB282.6 million, while the childhood education segment experienced growth of 14.8% to RMB332.6 million. Gross profit decreased by 10.5%, leading to an operating loss of RMB88.5 million. For the nine months ending September 30, revenues surged 38.8%, mainly due to a 94.1% increase in childhood education revenues. Tarena expects fourth-quarter revenues between RMB610 million and RMB640 million.
- Total net revenues for the first nine months of 2021 increased by 38.8% year-over-year to RMB1,731.2 million (US$268.7 million).
- Revenues from childhood education grew by 94.1% year-over-year to RMB900.3 million (US$139.7 million) in the first nine months of 2021.
- Gross profit for the nine months increased by 81.6% year-over-year to RMB857.5 million (US$133.1 million).
- Total student enrollments in childhood education rose by 32.5%, showcasing robust demand.
- Q3 2021 net revenues decreased by 0.9% to RMB615.2 million compared to the same period last year.
- Operating loss increased by 56.5% year-over-year to RMB88.5 million in Q3 2021.
- Net loss for Q3 2021 was RMB94.7 million, up from RMB63.9 million in Q3 2020.
- Adult professional education revenues fell 14.7% year-over-year to RMB282.6 million.
BEIJING, Nov. 23, 2021 /PRNewswire/ -- Tarena International, Inc. (NASDAQ: TEDU) ("Tarena" or the "Company"), a leading provider of adult professional education and childhood & adolescent quality education services in China, today announced its unaudited financial results for the third quarter ended September 30, 2021.
Highlights for the Third Quarter of 2021
- Net revenues decreased by
0.9% year-over-year to RMB615.2 million (US$95.5 million ), from RMB620.8 million in the same period of 2020. - Net revenue from adult professional education business, which represented
45.9% of the total net revenues, decreased by14.7% year-over-year to RMB282.6 million (US$43.9 million ), from RMB331.2 million in the same period of 2020. - Net revenue from childhood & adolescent quality education business, which represented
54.1% of the total net revenues, increased by14.8% year-over-year to RMB332.6 million (US$51.6 million ), from RMB289.6 million in the same period of 2020. - Gross profit decreased by
10.5% year-over-year to RMB313.2 million (US$48.6 million ), from RMB350.0 million in the same period of 2020. - Gross profit margin decreased by
5.5% points year-over-year to50.9% , from56.4% in the same period of 2020. - Operating loss increased by
56.5% to a loss of RMB88.5 million (US$13 .7 million), from a loss of RMB56.6 million in the same period of 2020. - Non-GAAP operating loss, which excluded share-based compensation expenses, was RMB84.4 million (US
$13.1 million ), compared to non-GAAP operating loss of RMB49.2 million in the same period of 2020. - Net loss was RMB94.7 million (US
$14.7 million ), compared to net loss of RMB63.9 million in the same period of 2020. - Non-GAAP net loss, which excluded share-based compensation expenses, was RMB90.5 million (US
$14.0 million ), compared to non-GAAP net loss of RMB56.5 million in the same period of 2020. - Basic and diluted loss per American Depositary Share ("ADS") was RMB1.64 (US
$0.25) , compared to loss per ADS of RMB1.16 in the third quarter of 2020. - Cash, cash equivalents and time deposits, including current and non-current, and restricted cash totaled RMB304.8 million (US
$47.3 million ) as of September 30, 2021, compared to RMB364.8 million as of December 31, 2020. - Net cash outflow from operating activities in the third quarter of 2021 was RMB35.4 million (US
$5.5 million ). Net cash inflow from investing activities in the third quarter of 2021 was RMB28.6 million (US$4.4 million ). - Deferred revenue totaled RMB2,063.0 million (US
$320 .2 million) as of September 30, 2021, compared to RMB1,998.2 million as of December 31, 2020, representing an increase of3.2% . - Total student enrollments in adult professional education business, defined as the total number of courses enrolled by students during that period, including multiple courses enrolled by the same student, in the third quarter of 2021 decreased by
13.0% year-over-year to 33,400. - Total number of learning centers in adult professional education decreased to 100 as of September 30, 2021, from 106 as of September 30, 2020.
- Total student enrollments in childhood & adolescent quality education business, defined as the total number of students who attended at least one paid lesson during that period or have deposit balances in their accounts at the end of that period, in the third quarter of 2021 reached 146,900, increased by
19.6% , compared to the student enrollments of 122,800 in the same period of 2020. - Total number of learning centers in childhood & adolescent quality education increased to 238 as of September 30, 2021, from 236 as of September 30, 2020.
Highlights for the Nine Months Ended September 30, 2021
- Net revenues increased by
38.8% year-over-year to RMB1,731.2 million (US$268.7 million ), from RMB1,247.6 million in the same period in 2020. - Net revenue from adult professional education business, which represented
48.0% of the total net revenues, increased by6.0% year-over-year to RMB830.9 million (US$129.0 million ), from RMB783.7 million in the same period of 2020. - Net revenue from childhood & adolescent quality education business, which represented
52.0% of the total net revenues, increased by94.1% year-over-year to RMB900.3 million (US$139.7 million ), from RMB463.9 million in the same period of 2020. - Gross profit increased by
81.6% year-over-year to RMB857.5 million (US$133.1 million ), from RMB472.3 million in the same period in 2020. - Gross profit margin increased by
11.6% points year-over-year to49.5% , from37.9% in the same period of 2020. - Operating loss was RMB308.7 million (US
$47.9 million ), compared to operating loss of RMB721.3 million in the same period in 2020. - Non-GAAP operating loss, which excluded share-based compensation expenses, was RMB293.6 million (US
$45.6 million ), compared to non-GAAP operating loss of RMB692.6 million in the same period in 2020. - Net loss was RMB293.2 million (US
$45.5 million ), compared to net loss of RMB676.5 million in the same period in 2020. - Non-GAAP net loss, which excluded share-based compensation expenses, was RMB278.0 million (US
$43.2 million ), compared to non-GAAP net loss of RMB647.8 million in the same period in 2020. - Basic and diluted loss per American Depositary Share ("ADS") was RMB5.20 (US
$0.81) . - Total student enrollments in adult professional education business, defined as the total number of courses enrolled by students during that period, including multiple courses enrolled by the same student, in the first nine of 2021 decreased by
8.9% year-over-year to 55,400. - Total student enrollments in childhood & adolescent quality education business, defined as the total number of students who attended at least one paid lesson during that period or have deposit balances in their accounts at the end of that period, in the first nine of 2021 reached 163,300, increased by
32.5% , compared to the student enrollments of 123,200 in the same period of 2020.
Key Financial Results
For the Three Months Ended September 30, | Variance | % of | For the Nine Months Ended September 30, | Variance | % of | ||||||||
2020 | 2021 | 2020 | 2021 | ||||||||||
RMB | RMB | RMB | RMB | RMB | RMB | ||||||||
(in thousands, except for percentages) | |||||||||||||
Net revenues | 620,802 | 615,175 | (5,627) | -0.9 | 1,247,628 | 1,731,219 | 483,591 | 38.8 | |||||
Cost of revenues(a) | (270,842) | (302,008) | (31,166) | 11.5 | (775,369) | (873,730) | (98,361) | 12.7 | |||||
Gross profit | 349,960 | 313,167 | (36,793) | -10.5 | 472,259 | 857,489 | 385,230 | 81.6 | |||||
Gross margin | - | ||||||||||||
Selling and marketing | (239,211) | (223,651) | 15,560 | -6.5 | (682,995) | (656,284) | 26,711 | -3.9 | |||||
General and administrative | (143,072) | (151,509) | (8,437) | 5.9 | (435,296) | (437,520) | (2,224) | 0.5 | |||||
Research and development | (24,256) | (26,552) | (2,296) | 9.5 | (75,219) | (72,434) | 2,785 | -3.7 | |||||
Total operating expenses | (406,539) | (401,712) | 4,827 | -1.2 | (1,193,510) | (1,166,238) | 27,272 | -2.3 | |||||
Operating loss | (56,579) | (88,545) | (31,966) | 56.5 | (721,251) | (308,749) | 412,502 | -57.2 | |||||
Notes:
(a) Includes share-based compensation expenses.
"In the third quarter of 2021, there were adverse climate and weather conditions affecting our business, such as flooding and typhoon incidents, as well as COVID-19 cases sporadically occurred in some areas of China. In response to these issues, we have implemented and executed appropriate measures, including but not limited to transferring offline, on-site students to online lessons, to deal with these types of difficulties. Our total net revenues decreased by
"With the implementation of the national policy to ease the burden of excessive homework and off-campus tutoring for students in compulsory education, we understood that, instead of subject-based curricula, only quality education, which emphasizes and provokes the growth of children and adolescent, may receive long-term supports from the government. We shall definitely follow and comply with all the statutory required policies and be a staunch force in providing quality-oriented education in science and information technology. We are so delighted to note that, according to those policies recently announced and published by the Chinese government, adult professional education is highly encouraged and promoted. We will continue to upgrade the quality of our comprehensive products and services and uplift our operational efficiencies." concluded Ms. Ying Sun.
Financial Results for the Third Quarter of 2021
Net Revenues
Total net revenues decreased by
Net revenue from adult professional education business decreased by
Net revenue from childhood & adolescent quality education business increased by
Cost of Revenues
Cost of revenues increased by
Gross Profit and Gross Margin
Gross profit decreased by
Operating Expenses
Total operating expenses decreased by
Selling and marketing expenses decreased by
General and administrative expenses increased by
Research and development expenses increased by
Operating Loss
Operating loss was RMB88.5 million (US
Interest Income
Net interest income was RMB0.4 million (US
Other Income
Other income was RMB1.7 million (US
Foreign Exchange Loss
Foreign exchange loss was RMB0.2 million (US
Income Tax Expense
The Company recorded an income tax expense of RMB8.0 million (US
Net Loss
As a result of the foregoing, net loss was RMB94.7 million (US
Basic and Diluted Loss per ADS
Loss per ADS was RMB1.64 (US
Cash Flow
Net cash outflow used in operating activities in the third quarter of 2021 was RMB35.4 million (US
Financial Results for the Nine Months Ended September 30, 2021
Net Revenues
Total net revenues increased by
Cost of Revenues
Cost of revenues increased by
Gross Profit and Gross Margin
Gross profit increased by
Operating Expenses
Total operating expenses decreased by
Selling and marketing expenses decreased by
General and administrative expenses increased by
Research and development expenses decreased by
Operating Loss
Operating loss was RMB308.7 million (US
Interest Income
Net interest income was RMB1.6 million (US
Other Income
Other income was RMB2.8 million (US
Foreign Exchange Loss
Foreign exchange loss was RMB0.5 million (US
Income Tax Benefit
The Company recorded an income tax benefit of RMB11.6 million (US
Net Loss
As a result of the foregoing, net loss was RMB293.2 million (US
Basic and Diluted Loss per ADS
Loss per ADS was RMB5.20 (US
Cash Flow
Net cash outflow from operating activities in the first nine months of 2021 was RMB120.9 million (US
Recent Developments Regarding Going Private Transaction
On April 30, 2021, the Company announced that it entered into an Agreement and Plan of Merger (the "Merger Agreement") with Kidedu Holdings Limited ("Parent") and Kidarena Merger Sub, a wholly owned subsidiary of Parent ("Merger Sub"). Pursuant to the Merger Agreement, Merger Sub will merge with and into the Company, with the Company continuing as the surviving company and becoming a wholly owned subsidiary of Parent (the "Merger"), in a transaction at US
Business Outlook
Based on the Company's current estimates, total net revenues for the fourth quarter of 2021 are expected to be in the range of RMB610 million and RMB640 million, after taking into consideration the seasonal fluctuation factor and the likely continued impact of the COVID-19.
This guidance is based on the current market conditions and reflects the Company's current and preliminary estimates of market and operating conditions, which are subject to change, particularly as to the potential impact of COVID-19 on the economy in China and elsewhere in the world.
Exchange Rate Information
All translations made in the financial statements or elsewhere in this press release made from RMB into United States dollars ("US$") are solely for convenience and calculated at the rate of US
Conference Call
Company management will hold an earnings conference call and live webcast to discuss the Company's results at 7:00 AM on November 23, 2021, U.S. Eastern Time (8:00 PM on November 23, 2021, Beijing Time).
Please register in advance of the conference, using the link provided below. Upon registering, you will be provided with participant dial-in numbers, passcode and unique registrant ID.
Conference call registration link: http://apac.directeventreg.com/registration/event/9058508. It will automatically direct you to the registration page of "Tarena's Third Quarter 2021 Earnings Conference Call " where you may fill in your details for RSVP. If it requires you to enter a participant conference ID, please enter "9058508 ".
In the 10 minutes prior to the call start time, you may use the conference access information (including dial in number(s), direct event passcode and registrant ID) provided in the confirmation email received at the point of registering.
A replay of the conference call may be accessed by phone at the following number until November 30, 2021, 07:59 ET:
United States: | +1 855 452 5696 |
INTERNATIONAL: | +61 2 8199 0299 |
Conference ID: | 9058508 |
Additionally, a live and archived webcast of this call will be available on the Investor Relations section of Tarena's website at http://ir.tedu.cn.
About Tarena International, Inc.
Tarena is a leading provider of adult professional education and childhood and adolescent quality education services in China. Through its innovative education platform combining live distance instruction, classroom-based tutoring and online learning modules, Tarena offers adult professional education courses in IT and non-IT subjects. Its adult professional education courses provide students with practical skills to prepare them for jobs in industries with significant growth potential and strong hiring demand. Tarena also offers childhood and adolescent quality education programs, including computer coding and robotics programming courses, etc., targeting students aged between three and eighteen.
Safe Harbor Statement
This press release contains forward-looking statements made under the "safe harbor" provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and 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," "confident" and similar statements. Among other things, quotations from management in this announcement, as well as the Company's strategic and operational plans (in particular, the impact of COVID-19 on our businesses; the solutions we adopt to address such impact of COVID-19; balancing growth and profitability; as well as the growth prospects of adult professional education and childhood and adolescent quality education services in China) contain forward-looking statements. Tarena 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 report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any statements that are not historical facts, including any business outlook and statements about Tarena's beliefs and expectations, are forward-looking statements. Many factors, risks and uncertainties could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include, but not limited to the following: the impact of the COVID-19 outbreak; Tarena's goals and strategies; its future business development, financial condition and results of operations; its ability to continue to attract students to enroll in its courses; its ability to continue to recruit, train and retain qualified instructors and teaching assistants; its ability to continually tailor its curriculum to market demand and enhance its courses to adequately and promptly respond to developments in the professional job market; its ability to maintain or enhance its brand recognition, its ability to maintain high job placement rate for its students, and its ability to maintain cooperative relationships with financing service providers for student loans.
Further information regarding these and other risks, uncertainties or factors is included in Tarena's filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of the press release, and Tarena does not undertake any obligation to update such information, except as required under applicable law.
About Non-GAAP Financial Measures
Beginning in the second quarter of 2016, the Company revised its non-GAAP financial measures to exclude gain or loss on derivative instruments, goodwill impairment, impairment of intangibles via acquisitions of businesses and the related tax impact, in addition to its historical practice of excluding share-based compensation expenses for non-GAAP results.
To supplement Tarena's consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), Tarena's management uses non-GAAP measures of cost of revenues, operating expenses, operating income, net income, and basic and diluted net income per ADS, which are adjusted from results based on GAAP to exclude the share-based compensation expenses, gain or loss on derivative instruments, goodwill impairment, impairment of intangibles via acquisitions of businesses and the related tax impact. These non-GAAP financial measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results. In addition, calculation of the non-GAAP financial measures may be different from the calculation used by other companies, and therefore comparability may be limited.
Tarena's management believes that excluding the share-based compensation expenses, gain or loss on derivative instruments, goodwill impairment, impairment of intangibles via acquisitions of businesses and the related tax impact provides meaningful supplemental information regarding our performance and liquidity by excluding certain items identified as non-recurring and infrequent in nature, and non-cash charges. The amount of share-based compensation expenses, gain or loss on derivative instruments, goodwill impairment, impairment of intangibles via acquisitions of businesses and the related tax impact are not built into the Company's annual budgets and quarterly forecasts, which generally will be the basis for information Tarena provides to analysts and investors as guidance for future operating performance.
The non-GAAP financial measures are provided to enhance investors' overall understanding of Tarena's current financial performance and prospects for the future. A limitation of using non-GAAP cost of revenues, operating expenses, operating income (loss) and net income (loss), excluding the share-based compensation expenses, gain or loss on derivative instruments, goodwill impairment, impairment of intangibles via acquisitions of businesses and the related tax impact is that the share-based compensation charge has been and will continue to be a recurring expense in the Company's business for the foreseeable future, and gain or loss on derivative instruments, goodwill impairment, impairment of intangibles via acquisitions of businesses and the related tax impact may recur in the future. In order to mitigate these limitations, the Company has provided specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables include details on the reconciliation between GAAP financial measures that are most directly comparable to the non-GAAP financial measures the Company has presented.
TARENA INTERNATIONAL, INC. AND SUBSIDIARIES | ||||||
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||
(in thousands, except share data and per share data) | ||||||
As of | ||||||
December 31, | September 30, | September 30, | ||||
2020 | 2021 | 2021 | ||||
Audited | Unaudited | Unaudited | ||||
RMB | RMB | USD | ||||
ASSETS | ||||||
Current assets: | ||||||
Cash and cash equivalents | 320,179 | 216,095 | 33,537 | |||
Time deposits | 6,257 | 6,217 | 965 | |||
Restricted cash | 38,369 | 82,344 | 12,780 | |||
Accounts receivable, net of allowance for doubtful accounts | 32,790 | 48,457 | 7,520 | |||
Amounts due from related parties | 305 | 1,439 | 223 | |||
Asset held for sale | - | 83,065 | 12,891 | |||
Prepaid expenses and other current assets | 138,353 | 152,015 | 23,592 | |||
Total current assets | 536,253 | 589,632 | 91,508 | |||
Time deposits-non current | - | 122 | 19 | |||
Accounts receivable, net of allowance for doubtful accounts-non current | 192 | 87 | 14 | |||
Property and equipment, net | 464,490 | 305,471 | 47,408 | |||
Intangible assets, net | 13,444 | 10,681 | 1,658 | |||
Goodwill | 52,782 | 52,782 | 8,192 | |||
Right-of-use assets | 586,451 | 558,735 | 86,714 | |||
Long-term investments, net | 67,592 | 67,689 | 10,505 | |||
Deferred income tax assets | 142,220 | 161,891 | 25,125 | |||
Other non-current assets, net | 95,825 | 89,460 | 13,885 | |||
Total assets | 1,959,249 | 1,836,550 | 285,028 | |||
LIABILITIES AND EQUITY | ||||||
Current liabilities: | ||||||
Short-term bank loans | 10,710 | 15,500 | 2,406 | |||
Accounts payable | 10,293 | 9,547 | 1,482 | |||
Amounts due to related parties | 180 | 295 | 46 | |||
Operating lease liabilities-current | 199,083 | 242,215 | 37,591 | |||
Income taxes payable | 76,817 | 84,216 | 13,070 | |||
Deferred revenue-current | 1,980,138 | 2,045,322 | 317,429 | |||
Advance received for disposal of property | - | 92,000 | 14,278 | |||
Accrued expenses and other current liabilities | 391,904 | 421,771 | 65,458 | |||
Total current liabilities | 2,669,125 | 2,910,866 | 451,760 | |||
Deferred revenue-non current | 18,060 | 17,655 | 2,740 | |||
Operating lease liabilities-non current | 406,251 | 318,020 | 49,356 | |||
Other non-current liabilities | 5,082 | 4,846 | 752 | |||
Total liabilities | 3,098,518 | 3,251,387 | 504,608 | |||
Commitments and contingencies | ||||||
Shareholders' equity: | ||||||
Class A ordinary shares | 349 | 355 | 55 | |||
Class B ordinary shares | 74 | 74 | 11 | |||
Treasury stock | (459,815) | (459,815) | (71,362) | |||
Additional paid-in capital | 1,324,161 | 1,343,298 | 208,477 | |||
Accumulated other comprehensive income | 49,120 | 48,984 | 7,602 | |||
Accumulated deficit | (2,045,891) | (2,339,125) | (363,027) | |||
Total deficit attributable to the shareholders of Tarena | (1,132,002) | (1,406,229) | (218,244) | |||
Non-controlling interest | (7,267) | (8,608) | (1,336) | |||
Total liabilities and equity | 1,959,249 | 1,836,550 | 285,028 | |||
TARENA INTERNATIONAL, INC. AND SUBSIDIARIES | ||||||||||||
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS | ||||||||||||
(in thousands, except share data and per share data) | ||||||||||||
For the Three Months Ended September 30 | For the Nine Months Ended September 30 | |||||||||||
2020 | 2021 (Unaudited) | 2021 (Unaudited) | 2020 (Unaudited) | 2021 (Unaudited) | 2021 (Unaudited) | |||||||
RMB | RMB | USD | RMB | RMB | USD | |||||||
Net revenues | 620,802 | 615,175 | 95,474 | 1,247,628 | 1,731,219 | 268,681 | ||||||
Cost of revenues(a) | (270,842) | (302,008) | (46,871) | (775,369) | (873,730) | (135,601) | ||||||
Gross profit | 349,960 | 313,167 | 48,603 | 472,259 | 857,489 | 133,080 | ||||||
Selling and marketing expenses(a) | (239,211) | (223,651) | (34,710) | (682,995) | (656,284) | (101,854) | ||||||
General and administrative | (143,072) | (151,509) | (23,514) | (435,296) | (437,520) | (67,902) | ||||||
Research and development | (24,256) | (26,552) | (4,121) | (75,219) | (72,434) | (11,242) | ||||||
Operating loss | (56,579) | (88,545) | (13,742) | (721,251) | (308,749) | (47,918) | ||||||
Interest income | 3,337 | 372 | 58 | 1,273 | 1,561 | 242 | ||||||
Other income | 2,864 | 1,713 | 266 | 3,171 | 2,824 | 438 | ||||||
Foreign exchange loss | (3,393) | (226) | (35) | (1,744) | (505) | (78) | ||||||
Loss before income taxes | (53,771) | (86,686) | (13,453) | (718,551) | (304,869) | (47,316) | ||||||
Income tax (expense)/ benefit | (10,113) | (7,996) | (1,241) | 42,061 | 11,638 | 1,806 | ||||||
Net loss | (63,884) | (94,682) | (14,694) | (676,490) | (293,231) | (45,510) | ||||||
Less: Net loss attributable to non- | (931) | (1,894) | (294) | (4,079) | (1,157) | (180) | ||||||
Net loss attributable to Class A | (62,953) | (92,788) | (14,400) | (672,411) | (292,074) | (45,330) | ||||||
Net loss per Class A and Class B | ||||||||||||
Basic and diluted | (1.16) | (1.64) | (0.25) | (12.42) | (5.20) | (0.81) | ||||||
Weighted average number of | ||||||||||||
Basic and diluted | 54,443,291 | 56,515,425 | 56,515,425 | 54,151,656 | 56,150,962 | 56,150,962 | ||||||
Net loss | (63,884) | (94,682) | (14,694) | (676,490) | (293,231) | (45,510) | ||||||
Other comprehensive income | ||||||||||||
Foreign currency translation | (1,856) | (1,161) | (180) | (1,657) | (136) | (21) | ||||||
Comprehensive loss | (65,740) | (95,843) | (14,874) | (678,147) | (293,367) | (45,531) | ||||||
Notes:
(a) Includes share-based compensation expenses as follows:
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||
2020 | 2021 | 2021 | 2020 | 2021 | 2021 | |||||||
RMB | RMB | USD | RMB | RMB | USD | |||||||
Cost of revenues | 80 | 185 | 29 | 322 | 555 | 86 | ||||||
Selling and marketing expenses | 343 | 996 | 155 | 1,381 | 2,974 | 462 | ||||||
General and administrative expenses | 6,143 | 2,644 | 410 | 19,861 | 10,595 | 1,644 | ||||||
Research and development expenses | 794 | 332 | 52 | 7,092 | 1,068 | 166 | ||||||
TARENA INTERNATIONAL, INC. AND SUBSIDIARIES | ||||||||||||
RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES | ||||||||||||
(in thousands, except share data and per share data) | ||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||
2020 | 2021 (Unaudited) | 2021 (Unaudited) | 2020 (Unaudited) | 2021 | 2021 (Unaudited) | |||||||
RMB | RMB | USD | RMB | RMB | USD | |||||||
GAAP Cost of revenues | 270,842 | 302,008 | 46,871 | 775,369 | 873,730 | 135,601 | ||||||
Share-based compensation expense in | 80 | 185 | 29 | 322 | 555 | 86 | ||||||
Non-GAAP Cost of revenues | 270,762 | 301,823 | 46,842 | 775,047 | 873,175 | 135,515 | ||||||
GAAP Selling and marketing expenses | 239,211 | 223,651 | 34,710 | 682,995 | 656,284 | 101,854 | ||||||
Share-based compensation expense in | 343 | 996 | 155 | 1,381 | 2,974 | 462 | ||||||
Non-GAAP Selling and marketing | 238,868 | 222,655 | 34,555 | 681,614 | 653,310 | 101,392 | ||||||
GAAP General and administrative | 143,072 | 151,509 | 23,514 | 435,296 | 437,520 | 67,902 | ||||||
Share-based compensation expense in | 6,143 | 2,644 | 410 | 19,861 | 10,595 | 1,644 | ||||||
Non-GAAP General and | 136,929 | 148,865 | 23,104 | 415,435 | 426,925 | 66,258 | ||||||
GAAP Research and development | 24,256 | 26,552 | 4,121 | 75,219 | 72,434 | 11,242 | ||||||
Share-based compensation expense in | 794 | 332 | 52 | 7,092 | 1,068 | 166 | ||||||
Non-GAAP Research and | 23,462 | 26,220 | 4,069 | 68,127 | 71,366 | 11,076 | ||||||
Operating loss | (56,579) | (88,545) | (13,742) | (721,251) | (308,749) | (47,918) | ||||||
Share-based compensation expenses | 7,360 | 4,157 | 646 | 28,656 | 15,192 | 2,358 | ||||||
Non-GAAP Operating loss | (49,219) | (84,388) | (13,096) | (692,595) | (293,557) | (45,560) | ||||||
Net loss | (63,884) | (94,682) | (14,694) | (676,490) | (293,231) | (45,510) | ||||||
Share-based compensation expenses | 7,360 | 4,157 | 645 | 28,656 | 15,192 | 2,358 | ||||||
Non-GAAP Net loss | (56,524) | (90,525) | (14,049) | (647,834) | (278,039) | (43,152) | ||||||
Less: Net loss attributable to non- | (931) | (1,894) | (294) | (4,079) | (1,157) | (180) | ||||||
Non-GAAP net loss attributable to | (55,593) | (88,631) | (13,755) | (643,755) | (276,882) | (42,972) | ||||||
Non-GAAP net loss per Class A and | ||||||||||||
Basic and diluted | (1.02) | (1.57) | (0.24) | (11.89) | (4.93) | (0.77) | ||||||
Weighted average number of ordinary | ||||||||||||
Basic and diluted | 54,443,291 | 56,515,425 | 56,515,425 | 54,151,656 | 56,150,962 | 56,150,962 | ||||||
Notes:
(a) The Non-GAAP net loss per share is computed using Non-GAAP net loss attributable to ordinary shareholders and the same number of ordinary shares used in GAAP basic and diluted net loss per share calculation.
(b) There was no tax impact of share-based compensation expenses for the third quarter of 2021.
View original content:https://www.prnewswire.com/news-releases/tarena-international-inc-announces-the-results-for-the-third-quarter-of-2021-301430706.html
SOURCE Tarena International, Inc.
FAQ
What were the key financial results for Tarena International in Q3 2021?
How did Tarena's revenues from childhood education perform in Q3 2021?
What is Tarena's expected revenue range for Q4 2021?
What was the net loss reported by Tarena International for Q3 2021?
What factors contributed to the decrease in Tarena's revenue from adult professional education?
