{"id":787051,"date":"2023-09-29T08:17:32","date_gmt":"2023-09-29T12:17:32","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/jianzhi-education-technology-group-company-limited-reports-fiscal-year-2022-financial-results\/"},"modified":"2023-09-29T08:17:32","modified_gmt":"2023-09-29T12:17:32","slug":"jianzhi-education-technology-group-company-limited-reports-fiscal-year-2022-financial-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/jianzhi-education-technology-group-company-limited-reports-fiscal-year-2022-financial-results\/","title":{"rendered":"Jianzhi Education Technology Group Company Limited Reports Fiscal Year 2022 Financial Results"},"content":{"rendered":"
\n

BEIJING, Sept. 29, 2023 (GLOBE NEWSWIRE) — \u00a0Jianzhi Education Technology Group Company Limited (the \u201cCompany\u201d or \u201cJianzhi\u201d) (NASDAQ: JZ), a leading provider of digital educational content in China, today announced its financial results for fiscal year 2022.<\/p>\n

Yong Hu, CEO of the Company commented: \u201cIn the fiscal year 2022, we remained committed to meeting China’s demand for high-quality vocational training resources and solidified our position as a leading digital educational content provider in the country. During the year ending December 31, 2022, our company achieved a revenue growth of about 6.9%, reaching approximately RMB505.7 million, compared to about RMB473.2 million in 2021. This growth was primarily driven by a significant increase in revenue from IT related solutions and services, which saw a substantial increase of RMB192.6 million ($US27.9 million), representing a growth rate of 178.1%.\u201d<\/p>\n

\u201cThough our general and administrative expenses significantly increased in the past year, affecting our overall profitability to some extent, it is important to note that these expenses were primarily due to non-cash factors, including increased impairment expenses related to licensing copyrights and goodwill, as well as changes in provisions for doubtful accounts, mainly due to payment delays from educational content customers caused by the impact of COVID-19. We expect these factors that led to the increase to cease as we consolidate our market leadership and expand content promotion and distribution with our partners, thereby not affecting the company’s overall performance in the future.\u201d<\/p>\n

\u201cWith our expertise in vocational education and strong content development capabilities, we continued to build a comprehensive digital education content database in 2022. Our library comprises over 39,000 online videos and video courses, totaling approximately 10,080 hours, with over 75.8% of the content being self-developed. Our content covers a wide range of professional development topics, including employability skills, entrepreneurship guidance, professional skill training, skill enhancement, and professional certification exams, to meet the growing demand for online educational content.\u201d<\/p>\n

\u201cIn 2022, we continued to strengthen our collaboration with telecom operators. For example, the monthly subscription purchase volume via telecom operators of our own mobile video package product \u2018Fish Learning launched the fourth quarter of 2017 reached approximately 31.4 million by December 31, 2022, and total monthly subscription purchases were approximately 2.8\u00a0million for the\u00a0years ended December\u00a031, 2022. We expect to continue leveraging the telecom operator\u2019s platform to promote our content and provide subscription services through our \u2018Fish Learning\u2019 mobile application. We also collaborated with another telecom operator in China to offer educational content redemption services for their mobile users. Approximately 3.4 million times course redemptions were made in fiscal year 2022. This arrangement generated revenue for us through point rewards paid by the telecom operator’s subsidiary.\u201d<\/p>\n

\u201cBy December 31, 2022, we received over 5.9 million monthly subscriptions from our Light Class mobile video package product which we launched with telecom operator partner since in 2019, more than 570 quarterly subscriptions, and around 0.2 million annual subscriptions obtained from WeChat users and through the partnership.\u201d<\/p>\n

\u201cIn addition, we also collaborate with third-party content providers to supplement our own content database. These agreements allow us to use their educational videos and we aim to expand such partnerships.\u201d<\/p>\n

\u201cLooking forward we are encouraged by our revenue growth and remain focused on optimizing our operations, improving the quality of our educational content, and exploring opportunities for further growth in the IT related solution services sector. We will keep committed to enhancing our performance and delivering value to our stakeholders.\u201d<\/p>\n

\n Fiscal Year 2022 Financial Results:<\/strong>
\n
The following table sets forth a summary of our (including the VIEs\u2019) consolidated results of operations for the years indicated, both in absolute amounts and as percentages of total income from us and the VIEs.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n
\u00a0<\/td>\n\u00a0<\/td>\n\n For the\u00a0Years Ended December\u00a031,<\/strong>\n <\/td>\n<\/tr>\n
\u00a0<\/td>\n\u00a0<\/td>\n\n 2021<\/strong>\n <\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\n 2022<\/strong>\n <\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n<\/tr>\n
\u00a0<\/td>\n\u00a0<\/td>\n\n RMB<\/strong>\n <\/td>\n\u00a0<\/td>\n\n RMB<\/strong>\n <\/td>\n\n % Change<\/strong>\n <\/td>\n<\/tr>\n
\u00a0(in RMB million, except earnings per share; differences due to rounding)<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n<\/tr>\n
\n Net revenues<\/strong>\n <\/td>\n\u00a0<\/td>\n473.25<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n505.72<\/td>\n\u00a0<\/td>\n6.86<\/td>\n%<\/td>\n<\/tr>\n
\n Gross profit (loss)<\/strong>\n <\/td>\n\u00a0<\/td>\n104.20<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n\uff085.54<\/td>\n\uff09<\/td>\n(105.32<\/td>\n%)<\/td>\n<\/tr>\n
\n Gross (loss) margin<\/strong>\n <\/td>\n\u00a0<\/td>\n\u00a022.02<\/td>\n%<\/td>\n\u00a0<\/td>\n(1.1<\/td>\n%)<\/td>\n\u00a0N\/A<\/td>\n\u00a0<\/td>\n<\/tr>\n
\n Income (loss) from operations<\/strong>\n <\/td>\n\u00a0<\/td>\n50.79<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n(207.45<\/td>\n)<\/td>\n(508.45<\/td>\n%)<\/td>\n<\/tr>\n
\n Net income (loss)<\/strong>\n <\/td>\n\u00a0<\/td>\n52.93<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n(196.58<\/td>\n)<\/td>\n(471.40<\/td>\n%)<\/td>\n<\/tr>\n
\n Earnings (loss) per share \u2013 basic and diluted<\/strong>\n <\/td>\n\u00a0<\/td>\n0.43<\/td>\n\u00a0<\/td>\n\u00a0<\/td>\n(1.68<\/td>\n)<\/td>\n(490.70<\/td>\n%)<\/td>\n<\/tr>\n<\/table>\n

\n Net Revenues<\/em>
\n
Net revenue increased by 6.9% from RMB473.2 million for the year ended December 31, 2021 to RMB505.7 million (US$73.3 million) for the year ended December 31, 2022. This increase was primarily driven by the net effects of an increase of RMB192.6 million (US$27.9 million) in revenue generated from IT related solution services, partially net off by a decrease of RMB160.2 million (US$23.2 million) in net revenues from the provision of educational content services and other services.<\/p>\n