Form 6-K

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 6-K

 

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of October 2020

Commission File Number: 001-32993

 

 

NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

 

 

No. 6 Hai Dian Zhong Street

Haidian District

Beijing 100080, People’s Republic of China

(Address of principal executive offices)

 

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F  ☒    Form 40-F  ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):  ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):  ☐

 

 

 


SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

New Oriental Education & Technology Group Inc.
By:  

/s/ Stephen Zhihui Yang

Name: Stephen Zhihui Yang
Title: Chief Financial Officer

Date: October 14, 2020

[Signature page to Form 6-K]


Exhibit Index

Exhibit 99.1 – Press Release

EX-99.1

Exhibit 99.1

New Oriental Announces Results for the First Fiscal Quarter Ended August 31, 2020

BEIJING, Oct. 13, 2020 /PRNewswire/ — New Oriental Education & Technology Group Inc. (the “Company” or “New Oriental”) (NYSE: EDU), the largest provider of private educational services in China, today announced its unaudited financial results for the first fiscal quarter ended August 31, 2020, which is the first quarter of New Oriental’s fiscal year 2021.

Financial Highlights for the First Fiscal Quarter Ended August 31, 2020

 

   

Total net revenues decreased by 8.0% year-over-year to US$986.4 million for the first fiscal quarter of 2021.

 

   

Operating income decreased by 38.9% year-over-year to US$150.3 million for the first fiscal quarter of 2021.

 

   

Net income attributable to New Oriental decreased by 16.4% year-over-year to US$ 174.7million for the first fiscal quarter of 2021.

Key Financial Results

 

(in thousands US$, except per ADS(1) data)

   1Q FY2021      1Q FY2020      % of change  

Net revenues

     986,366        1,071,777        -8.0

Operating income

     150,305        246,196        -38.9

Non-GAAP operating income (2)(3)

     166,138        257,216        -35.4

Net income attributable to New Oriental

     174,652        208,990        -16.4

Non-GAAP net income attributable to New Oriental (2)(3)

     184,526        230,162        -19.8

Net income per ADS attributable to New Oriental - basic

     1.10        1.32        -16.8

Net income per ADS attributable to New Oriental - diluted

     1.09        1.31        -16.5

Non-GAAP net income per ADS attributable to New Oriental - basic(3)(4)

     1.16        1.45        -20.2

Non-GAAP net income per ADS attributable to New Oriental - diluted(3)(4)

     1.15        1.44        -19.9

 

(1)

Each ADS represents one common share.

(2)

GAAP represents Generally Accepted Accounting Principles in the United States of America.

(3)

New Oriental provides net income attributable to New Oriental, operating income and net income per ADS attributable to New Oriental on a non-GAAP basis that excludes share-based compensation expenses and loss / gain from fair value change of long-term investments to provide supplemental information regarding its operating performance. For more information on these non-GAAP financial measures, please see the section captioned “About Non-GAAP Financial Measures” and the tables captioned “Reconciliations of Non-GAAP Measures to the Most Comparable GAAP Measures” set forth at the end of this release.

(4)

The Non-GAAP net income per ADS is computed using Non-GAAP net income and the same number of shares and ADSs used in GAAP basic and diluted EPS calculation.

Operating Highlights for the First Fiscal Quarter Ended August 31, 2020

 

   

Total student enrollments in academic subjects tutoring and test preparation courses increased by 13.5% year-over-year to approximately 2,961,100 for the first fiscal quarter of 2021.

 

   

The total number of schools and learning centers was 1,472 as of August 31, 2020, an increase of 211 compared to 1,261 as of August 31, 2019, and an increase of 7 compared to 1,465 as of May 31, 2020. The total number of schools was 112 as of August 31, 2020.


Michael Yu, New Oriental’s Executive Chairman, commented, “COVID-19 outbreak continues to raise hurdles for businesses across the globe, and inevitably affect our business operations and financial condition for the first quarter of fiscal year 2021. However, we are pleased to report a set of encouraging results. Net revenue for the first quarter was down 8.0% year over year, which is better than what we guided in the previous quarter. The slight decrease was mainly due to the delayed enrollment for summer and autumn classes and the shortening of summer holiday in many major cities by one to two weeks this year, as well as the delayed resumption of offline operation in certain cities, such as Beijing. As the pandemic gradually fades in China, positive signs of recovery have started to emerge across our business lines with significant jump in student enrollments. Our key growth driver, K-12 all-subjects after-school tutoring business, achieved year-over-year revenue growth of approximately 8%. U-Can middle and high school all-subjects after-school tutoring business grew by approximately 9%, while our POP Kids program recorded a growth of approximately 4%. Overseas related businesses, continued face the most difficult challenges due to the cancellation of overseas exams and restrictions on travels. The overseas test preparation business and the overseas consulting and study tour business declined by approximately 51% and 31% respectively.”

Mr. Yu continued, “Most of the schools in China have resumed face-to face classes since end of September, hence we have also gradually resumed our offline operation in all cities that we operate in, including Beijing. We are glad to have seen significant pick-up in the year-over-year trend of student enrollments and cash proceeds from students for the autumn semester, which is a positive sign of recovery. Looking ahead, we believe that our financial performance will bottom out starting from the second fiscal quarter. As one of the market leaders in China, we are confident that our continued improved services and best-in-class learning experience would enable us to capture more market share and deliver long-term value for our shareholders.”

Chenggang Zhou, New Oriental’s Chief Executive Officer, added, “We expect the industry will undergo a wave of market consolidation once the pandemic fades away. We remain committed to ramp up our expansion effort to get prepared for further taking market share from other players post-COVID. During this quarter, we opened seven new offline training schools in new cities. The total square meters of classroom area by the end of this quarter increased approximately 23% year-over-year, and 1% quarter-over-quarter. I’d also like to take this opportunity to highlight we have completed a highly successful summer promotion campaign, targeting grade seven secondary school and grade three primary school student customers before they start their new school year. Despite the challenges of a shortened summer holiday, we are delighted to see the total promotion enrollments reached 1,079,000, a 31% increase year-over-year, accompanied by improved student retention year-over-year. Student enrollments for K-12 after-school tutoring business during the quarter increase by 21% year-over-year. At the same time, we have also placed more focus on executing our OMO (online merging offline) strategy, which enables our service to virtually reach a broader pool of students in existing cities and the surrounding satellite cities. In the summer quarter, we piloted the OMO online courses in around 20 existing cities and attracted a promising number of new customers. We believe these OMO initiatives will effectively boost enrollments and speed up the recovery of businesses in the rest of the year. Last but not least, our pure online education platform, Koolearn.com have also invested more resources in upgrading their APP and online platforms, enhancing the overall in-class learning experience and developing the teacher training system.”

Stephen Zhihui Yang, New Oriental’s Chief Financial Officer, commented, “Despite our topline faced a bigger pressure this quarter due to the impact caused by COVID-19, our margin has improved comparing with the previous quarter. Our Non-GAAP operating margin for the quarter was 16.8%, down 720 basis points year-over-year, and Non-GAAP net margin for the quarter was 18.7%, down 280 basis points year-over-year. In order to minimize the negative impact to our bottom line, we actively adjusted our operational strategy and made more efforts on cost control and reducing expenditures, especially for business lines facing bigger negative impact in the near term. We believe that our continuous efforts will prepare us to achieve a better margin recovery in the rest of the year.”


Financial Results for the First Fiscal Quarter Ended August 31, 2020

Net Revenues

For the first fiscal quarter of 2021, New Oriental reported net revenues of US$986.4 million, representing an 8.0% decrease year-over-year. Net revenues from educational programs and services for the first fiscal quarter were US$935.6 million, representing a 6.1% decrease year-over-year.

Total student enrollments in academic subjects tutoring and test preparation courses in the first fiscal quarter of 2021 increased by 13.5% year-over-year to approximately 2,961,100. The lower-than-normal increase in the number of student enrollments is primarily due to the delayed enrollment for summer and autumn classes and the shortening of summer holiday in many major cities by one to two weeks this year, as well as the delayed resumption of offline operation in cities such as Beijing due to the re-emergence of COVID-19 cases before the summer holiday.

Operating Costs and Expenses

Operating costs and expenses for the quarter were US$836.1 million, representing a 1.3% increase year-over-year. Non-GAAP operating costs and expenses for the quarter, which exclude share-based compensation expenses, were US$820.2 million, representing a 0.7% increase year-over-year.

 

   

Cost of revenues increased by 5.6% year-over-year to US$464.9 million, primarily due to increases in teachers’ compensation and higher rental costs for the increased number of schools and learning centers in operation.

 

   

Selling and marketing expenses increased by 15.5% year-over-year to US$116.9 million, primarily due to the addition of a number of customer service representatives and marketing staff with the aim of capturing the new market opportunity during the COVID-19 period, especially for new initiatives in K-12 tutoring on our pure online education platform, Koolearn.com.

 

   

General and administrative expenses for the quarter decreased by 10.5% year-over-year to US$254.3 million. Non-GAAP general and administrative expenses, which exclude share-based compensation expenses, were US$242.6 million, representing an 11.3% decrease year-over-year.

Total share-based compensation expenses, which were allocated to related operating costs and expenses, increased by 43.7% year-over-year to US$15.8 million in the first fiscal quarter of 2021.

Operating Income and Operating Margin

Operating income was US$150.3 million, representing a 38.9% decrease year-over-year. Non-GAAP income from operations for the quarter was US$166.1 million, representing a 35.4% decrease year-over-year.

Operating margin for the quarter was 15.2%, compared to 23.0% in the same period of the prior fiscal year. Non-GAAP operating margin, which excludes share-based compensation expenses, for the quarter was 16.8%, compared to 24.0% in the same period of the prior fiscal year.

Net Income and EPS

Net income attributable to New Oriental for the quarter was US$174.7 million, representing a 16.4% decrease from the same period of the prior fiscal year. Basic and diluted earnings per ADS attributable to New Oriental were US$1.10 and US$1.09, respectively.


Non-GAAP Net Income and Non-GAAP EPS

Non-GAAP net income attributable to New Oriental for the quarter was US$184.5 million, representing a 19.8% decrease from the same period of the prior fiscal year. Non-GAAP basic and diluted earnings per ADS attributable to New Oriental were US$1.16 and US$1.15, respectively.

Cash Flow

Net operating cash flow for the first fiscal quarter of 2021 was approximately US$391.6 million. Capital expenditures for the quarter were US$95.2 million, which were primarily attributable to opening of 42 facilities and renovations at existing learning centers.

Balance Sheet

As of August 31, 2020, New Oriental had cash and cash equivalents of US$1,047.6 million, as compared to US$915.1 million as of May 31, 2020. In addition, the Company had US$291.8 million in term deposits and US$2,778.4 million in short-term investment.

New Oriental’s deferred revenue balance, which is cash collected from registered students for courses and recognized proportionally as revenue as the instructions are delivered, at the end of the first quarter of fiscal year 2021 was US$1,563.1 million, an increase of 17.5% as compared to US$1,330.7 million at the end of the first quarter of fiscal year 2020.

Outlook for Second Quarter of Fiscal Year 2021

New Oriental expects total net revenues in the second quarter of fiscal year 2021 (September 1, 2020 to November 30, 2020) to be in the range of US$863.7 million to US$887.3 million, representing year-over-year growth in the range of 10% to 13%.

This forecast reflects New Oriental’s current and preliminary view, which is subject to change.

Conference Call Information

New Oriental’s management will host an earnings conference call at 8 AM on October 13, 2020, U.S. Eastern Time (8 PM on October 13, 2020, Beijing/Hong Kong 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: https://apac.directeventreg.com/registration/event/4398419. It will automatically direct you to the registration page of “New Oriental First Fiscal 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 “4398419”.

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 October 13, 2020:

International:    +61 2 8199 0299

Passcode:          4398419

Additionally, a live and archived webcast of the conference call will be available at http://investor.neworiental.org.

About New Oriental

New Oriental is the largest provider of private educational services in China offering a wide range of educational programs, services and products to a varied student population throughout China. New Oriental’s program, service and product offerings consist of K-12 after-school tutoring, test preparation, language training for adults, pre-school education, primary and secondary school education, education materials and distribution, online education, and other services. New Oriental’s ADSs, each of which represents one common share, currently trade on the New York Stock Exchange under the symbol “EDU.”

For more information about New Oriental, please visit http://www.neworiental.org/english/.

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of 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” and similar statements. Among other things, the outlook for the second quarter of fiscal year 2021, quotations from management in this announcement, as well as New Oriental’s strategic and operational plans, contain forward-looking statements. New Oriental may also make written or oral forward-looking statements in its reports filed or furnished to the U.S. Securities and Exchange Commission, in its annual reports to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about New Oriental’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: our ability to attract students without a significant decrease in course fees; our ability to continue to hire, train and retain qualified teachers; our ability to maintain and enhance our “New Oriental” brand; our ability to effectively and efficiently manage the expansion of our school network and successfully execute our growth strategy; the outcome of ongoing, or any future, litigation or arbitration, including those relating to copyright and other intellectual property rights; competition in the private education sector in China; changes in our revenues and certain cost or expense items as a percentage of our revenues; the expected growth of the Chinese private education market; Chinese governmental policies relating to private educational services and providers of such services; health epidemics and other outbreaks in China; and general economic conditions in China. Further information regarding these and other risks is included in our annual report on Form 20-F and other documents filed with the Securities and Exchange Commission. New Oriental does not undertake any obligation to update any forward-looking statement, except as required under applicable law. All information provided in this press release and in the attachments is as of the date of this press release, and New Oriental undertakes no duty to update such information, except as required under applicable law.


About Non-GAAP Financial Measures

To supplement New Oriental’s consolidated financial results presented in accordance with GAAP, New Oriental uses the following measures defined as non-GAAP financial measures by the SEC: net income excluding share-based compensation expenses and gain / (loss) from fair value change of long-term investments, operating income excluding share-based compensation expenses, operating cost and expenses excluding share-based compensation expenses, general and administrative expenses excluding share-based compensation expenses, operating margin excluding share-based compensation expenses, and basic and diluted net income per ADS and per share excluding share-based compensation expenses and gain / (loss) from fair value change of long-term investments. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. For more information on these non-GAAP financial measures, please see the tables captioned “Reconciliations of non-GAAP measures to the most comparable GAAP measures” set forth at the end of this release.

New Oriental believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance and liquidity by excluding share-based compensation expenses and gain / (loss) from fair value change of long-term investments that may not be indicative of its operating performance from a cash perspective. New Oriental believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing its performance and when planning and forecasting future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to New Oriental’s historical performance and liquidity. New Oriental believes these non-GAAP financial measures are useful to investors in allowing for greater transparency with respect to supplemental information used by management in its financial and operational decision making. A limitation of using these non-GAAP measures is that they exclude share-based compensation charge and gain / (loss) from fair value change of long-term investments that has been and will continue to be for the foreseeable future a significant recurring expense in our business. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables have more details on the reconciliations between GAAP financial measures that are most directly comparable to non-GAAP financial measures.

Contacts For investor and media inquiries, please contact:

 

Ms. Rita Fong

  

Ms. Sisi Zhao

FTI Consulting

  

New Oriental Education & Technology Group Inc.

Tel:       +852 3768 4548

  

Tel:       +86-10-6260-5568

Email:   rita.fong@fticonsulting.com

  

Email:   zhaosisi@xdf.cn


NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands)

 

     As of August 31      As of May 31  
     2020      2020  
     (Unaudited)      (Audited)  
     USD      USD  

ASSETS:

     

Current assets:

     

Cash and cash equivalents

     1,047,605        915,057  

Term deposits

     291,762        284,793  

Short-term investments

     2,778,408        2,318,280  

Accounts receivable, net

     4,939        4,178  

Inventory, net

     31,093        31,324  

Prepaid expenses and other current assets, net

     201,298        199,404  

Amounts due from related parties, current

     29,320        3,384  
  

 

 

    

 

 

 

Total current assets

     4,384,425        3,756,420  
  

 

 

    

 

 

 

Restricted cash, non-current

     4,874        4,367  

Property and equipment, net

     743,813        672,455  

Land use rights, net

     6,249        6,037  

Amounts due from related parties, non-current

     22,995        22,709  

Long-term deposits

     65,122        62,116  

Intangible assets, net

     11,010        10,246  

Goodwill, net

     90,225        80,366  

Long-term investments, net

     434,756        431,101  

Deferred tax assets, non-current, net

     49,085        63,324  

Right-of-use assets

     1,487,164        1,425,466  

Other non-current assets

     29,547        22,278  
  

 

 

    

 

 

 

Total assets

     7,329,265        6,556,885  
  

 

 

    

 

 

 

LIABILITIES AND EQUITY

     

Current liabilities:

     

Accounts payable (including accounts payable of the consolidated variable interest entities without recourse to New Oriental of US$31,658 and US$32,112 as of May 31, 2020 and August 31, 2020, respectively)

     34,432        33,147  

Accrued expenses and other current liabilities (including accrued expenses and other current liabilities of the consolidated variable interest entities without recourse to New Oriental of US$581,576 and US$586,817 as of May 31, 2020 and August 31, 2020, respectively)

     630,622        634,619  

Income taxes payable (including income tax payable of the consolidated variable interest entities without recourse to New Oriental of US$87,331 and US$128,710 as of May 31, 2020 and August 31, 2020, respectively)

     135,741        101,385  

Amounts due to related parties (including amounts due to related parties of the consolidated variable interest entities without recourse to New Oriental of US$1,590 and US$1,817 as of May 31, 2020 and August 31, 2020, respectively)

     1,817        1,590  

Deferred revenue (including deferred revenue of the consolidated variable interest entities without recourse to New Oriental of US$1,317,645 and US$1,558,757 as of May 31, 2020 and August 31, 2020, respectively)

     1,563,138        1,324,384  

Operating lease liability-current (including operating lease liabilities-current of the consolidated variable interest entities without recourse to New Oriental of US$376,177 and US$397,735 as of May 31, 2020 and August 31, 2020, respectively)

     411,608        384,239  
  

 

 

    

 

 

 

Total current liabilities

     2,777,358        2,479,364  
  

 

 

    

 

 

 

Deferred tax liabilities, non-current (including deferred tax liabilities of the consolidated variable interest entities without recourse to New Oriental of US$12,392 and US$13,236 as of May 31, 2020 and August 31, 2020, respectively)

     13,348        11,906  

Long term loan (including Long term loan of the consolidated variable interest entities without recourse to New Oriental of nil and nil as of May 31, 2020 and August 31, 2020, respectively)

     —          117,881  

Unsecured senior notes (including unsecured senior notes of the consolidated variable interest entities without recourse to the New Oriental of nil and nil as of May 31, 2020 and August 31, 2020, respectively)

     298,226        —    

Operating lease liabilities (including operating lease liabilities of the consolidated variable interest entities without recourse to New Oriental of US$1,054,149 and US$1,059,956 as of May 31, 2020 and August 31, 2020, respectively)

     1,091,258        1,077,923  
  

 

 

    

 

 

 

Total long-term liabilities

     1,402,832        1,207,710  
  

 

 

    

 

 

 

Total liabilities

     4,180,190        3,687,074  
  

 

 

    

 

 

 

Equity

     

New Oriental Education & Technology Group Inc. shareholders’ equity

     3,025,064        2,733,295  

Non-controlling interests

     124,011        136,516  
  

 

 

    

 

 

 

Total equity

     3,149,075        2,869,811  
  

 

 

    

 

 

 

Total liabilities and equity

     7,329,265        6,556,885  
  

 

 

    

 

 

 


NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands except for per share and per ADS amounts)

 

     For the Three Months Ended August 31  
     2020     2019  
     (Unaudited)     (Unaudited)  
     USD     USD  

Net revenues

     986,366       1,071,777  
  

 

 

   

 

 

 

Operating cost and expenses (note 1)

    

Cost of revenues

     464,866       440,229  

Selling and marketing

     116,883       101,193  

General and administrative

     254,312       284,159  
  

 

 

   

 

 

 

Total operating cost and expenses

     836,061       825,581  
  

 

 

   

 

 

 

Operating income

     150,305       246,196  
  

 

 

   

 

 

 

Gain (Loss) from fair value change of long-term investments

     1,246       (11,282

Other income, net

     61,572       19,953  

Provision for income taxes

     (59,122     (50,836

Loss from equity method investments

     (3,167     (803

Net income

     150,834       203,228  
  

 

 

   

 

 

 

Add: Net loss attributable to non-controlling interests

     23,818       5,762  
  

 

 

   

 

 

 

Net income attributable to New Oriental Education & Technology Group Inc.’s shareholders

     174,652       208,990  
  

 

 

   

 

 

 

Net income per common share / ADS

    

- Basic

     1.10       1.32  

- Diluted

     1.09       1.31  


NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

RECONCILIATION OF NON-GAAP MEASURES TO THE MOST COMPARABLE GAAP MEASURES

(In thousands except for per share and per ADS amounts)

 

     For the Three Months Ended August 31  
     2020     2019  
     (Unaudited)     (Unaudited)  
     USD     USD  

General and administrative expenses

     254,312       284,159  

Less: Share-based compensation expenses in general and administrative expenses

     11,753       10,619  
  

 

 

   

 

 

 

Non-GAAP general and administrative expenses

     242,559       273,540  
  

 

 

   

 

 

 

Total operating cost and expenses

     836,061       825,581  

Less: Share-based compensation expenses

     15,833       11,020  
  

 

 

   

 

 

 

Non-GAAP operating cost and expenses

     820,228       814,561  
  

 

 

   

 

 

 

Operating income

     150,305       246,196  

Add: Share-based compensation expenses

     15,833       11,020  
  

 

 

   

 

 

 

Non-GAAP operating income(loss)

     166,138       257,216  
  

 

 

   

 

 

 

Operating margin

     15.2     23.0

Non-GAAP operating margin

     16.8     24.0

Net income attributable to New Oriental

     174,652       208,990  

Add: Share-based compensation expenses

     11,120       9,890  

Less: Gain (loss) from fair value change of long-term investments

     1,246       (11,282
  

 

 

   

 

 

 

Non-GAAP net income attributable to New Oriental

     184,526       230,162  
  

 

 

   

 

 

 

Net income per ADS attributable to New Oriental- Basic (note 2)

     1.10       1.32  

Net income per ADS attributable to New Oriental- Diluted (note 2)

     1.09       1.31  

Non-GAAP net income per ADS attributable to New Oriental - Basic (note 2)

     1.16       1.45  

Non-GAAP net income per ADS attributable to New Oriental - Diluted (note 2)

     1.15       1.44  

Weighted average shares used in calculating basic net income per ADS (note 2)

     158,930,841       158,246,454  

Weighted average shares used in calculating diluted net income per ADS (note 2)

     159,769,635       159,667,569  

Non-GAAP income per share - basic

     1.16       1.45  

Non-GAAP income per share - diluted

     1.15       1.44  

Notes:

Note 1: Share-based compensation expenses (in thousands) are included in the operating cost and expenses as follows:

 

     For the Three Months Ended August 31  
     2020      2019  
     (Unaudited)      (Unaudited)  
     USD      USD  

Cost of revenues

     1,483        36  

Selling and marketing

     2,597        365  

General and administrative

     11,753        10,619  
  

 

 

    

 

 

 

Total

     15,833        11,020  
  

 

 

    

 

 

 

Note 2: Each ADS represents one common share.