Charlotte, North Carolina, April 05, 2022 (Globe NEWSWIRE) — XCPCNL Company Expert services Corporation (OTC Pink: XCPL), a undertaking enhancement business enterprise that leverages expertise, skill, and expertise in the client goods sector, is psyched to announce phase one of the acquisition of Centiment Funds: the even further progress and professional application of MantasPrime, a Crypto Buying and selling Platform.
MantisPrime has formulated a proprietary psychological research engine (“EiQ”) that utilizes neuro data, equipment studying and synthetic intelligence to perception and forecast emotional responses inside any number of categories. This EiQ can forecast movements in the marketplace by examining public sentiment. In other terms, the EiQ is aware wherever the group is headed before the group turns into cognizant. This EiQ was originally developed at a hackathon at the Massachusetts Institute of Know-how (MIT) and the College of Kansas University of Medication (KUMC).
The EiQ can support serve as a sign generator by predicting marketplace alterations and pricing. This suggests an individual can direct the group instead of learning it. EIQ lets for a quick reaction to a transforming market place and sets the call to action for many others to adhere to.
Through the Company’s Crypto as a Company Platform (CaaS™), Manta Primary, a Neuro / AI-Enabled Buying and selling software, will allow for the processing of public news, details streams, and conduct styles to inform a very long/small buying and selling technique. MantisPrime at the moment operates shorter on crypto positions pushed by AI research and automatic trading technology. The algorithms have substantial EQs, study markets and apply neural-primarily based sentiment products.
Mantis Primary will be the proprietary buying and selling enterprise arm of XCPCNL the moment the acquisition of Centiment Money is complete.
The industrial software is predicted to be a 9-figure generator.
“We are outside of ecstatic to be in the commercialization stage with Micah and his workforce to finalize consumer-dealing with for Mantis and total the acquisition. This will be one particular of a lot of customer-centric solutions to be formulated from this partnership,” said CEO Tim Matthews.
Factors of MantisPrime
Trade Entry Process/Algorithmic Trade System
MantisPrime uses an algorithmic investing platform (“ATP”) which is created to carry out automatic buying and selling utilizing supervised mastering to location orders that demand very little to no human intervention.
Market place Cost Prediction Technique (Equities)/MantisPrime News Investing Algorithm
The MantisPrime news buying and selling algorithm and affiliated system are a custom piece of software package and established of databases that break down into inventory variety, romance modeling among stocks, function modeling, and instrument assortment.
HJEM is an algorithm that predicts the action route of cryptocurrencies, which includes Bitcoin, and trades for earnings making use of equipment understanding derived from historical exchange conduct, emotional analytics primarily based on top wallet holders and investing APIs developed to combine into various crypto exchanges. The approach is to location shorter, extremely accurate 2nd-by-2nd trades to realize alpha on the resulting delta.
Network Function Effect RNN/Price Influence Algorithm.
The application will blend information and data about mergers & acquisitions and equity trades to create actionable intelligence on any given asset course.
SaaS Remedy
This is the to be crafted program as a Services alternative that allows clients to deposit money and see returns working with the MantisPrime automated fairness and crypto trading algorithmic units. The process analyzes social media information to predict, mixture and recognize that info. In the context of MantisPrime, the SaaS solution is employed to scan the website with the crypto asset or fairness staying traded.
“This partnership is the foreseeable future of the business,” said Centiment Cash CEO Micah Brown.
XCPCNL Organization Expert services Corporation (OTC Pink: XCPL) encourages shareholders to visit their corporate Twitter account at https://twitter.com/RealXCPCNL.
Forward-Searching Statements Disclaimer:
This push launch may possibly include things like, and oral statements built from time to time by associates of the Organization might have, “forward-wanting statements” inside the that means of Section 27A of the Securities Act of 1933, as amended, and Segment 21E of the Securities Exchange Act of 1934, as amended. Statements regarding probable organization combinations and the funding thereof and related issues, as effectively as all other statements other than statements of historic simple fact incorporated in this push launch, are forward-hunting statements. When utilised in this push release, phrases these kinds of as “anticipate,” “imagine,” “go on,” “could,” “estimate,” “count on,” “intend,” “may perhaps,” “could possibly,” “plan,” “probable,” “potential,” “predict,” “venture,” “should,” “would” and related expressions, as they relate to our management staff or us, discover ahead-hunting statements. These kinds of forward-searching statements are primarily based on management’s beliefs, as well as assumptions built by, and information and facts currently accessible to, the Company’s administration. Actual outcomes could vary materially from those contemplated by the forward-on the lookout statements as a end result of specified components in-depth in the Company’s filing with the More than-the-Counter Current market (“OTC”). All subsequent composed or ahead-seeking oral statements attributable to folks or us performing on our behalf are skilled in their entirety by this paragraph. Ahead-looking statements are matter to numerous disorders, many of which are beyond the management of the Company. The Business undertakes no obligation to update these statements for revisions or changes after the day of this launch, apart from as required by law.
About XCPCNL
Charlotte, NC-centered XCPCNL Business enterprise Companies is a enterprise advancement organization that leverages its understanding, abilities, and working experience in the customer products marketplace. Our main mission is to present internet marketing, technological know-how, and other business services to speedy-developing purchaser item organizations and major-box vendors. XCPCNL is a minority-owned and controlled business. To understand more about our corporations, companies, and alternatives, make sure you get hold of: info@xcpcnl.com.
To master additional about XPCNL, pay a visit to www.xcpcnl.com.
Charlotte, North Carolina, March 15, 2022 (World NEWSWIRE) — XCPCNL Organization Expert services Company (OTC Pink: XCPL), a enterprise improvement organization that leverages knowledge, talent, and working experience in the customer merchandise business, is fired up to announce a letter of intent to purchase Centiment Capital Holdings.
Centiment Money is the world’s first neurotech-enabled, for-income, anti-bias-pushed equipment mastering company. Centiment is constructed on comprehension neuro-details-pushed issues in artificial intelligence and using neuroscience-pushed resources, technologies and apparatus to resolve them.
“We are thrilled about the option to establish shareholder price and enrich the present portfolio of Centiment Cash. We appear forward to making added revenue styles with the belongings we look for choose above. Centiment is presently valued at $34 Million and provides in steadily growing revenues just about every 12 months,” explained CEO Tim Matthews.
Centiment Funds delivers the pursuing expert services:
Intellectual property consulting, especially in just synthetic intelligence and neuroscience.
Anti-bias business enterprise consulting
Companies to understand anti-bias-centered acquisition possible by sub-sector and arrange this kind of transactions for deep tech and Neurodata AI-driven companies:
I. Process and Technique for Facts Evaluation Algorithm to Develop Predictions About the Efficiency Benefit of Content material and Suitable Factors of Content
Articles Prediction and Emotional Search
“Google with Emotion”
How people are feeling (i.e., sentiment) and search
II. Details Management Procedures for Ingestion, Integration, Warehousing for Actual-Time Activation
Predicting exactly where articles will do digitally based on an viewers
Psychological Lookup
-Complex consulting close to NAI builds and NAI merchandise delivered by significant-amount neuroscience and synthetic intelligence-based small business practitioners.
Fintech for Audio
Fintech for Promotion
Micah Brown is the CEO at Centiment Cash, an NYC-centered Enterprise Studio and the CEO of BrainRap, the new music industry’s 1st Neuro enabled Technology software. Brown was also the CEO and Founder of Centiment, a Neurodata AI Organization (Obtained 2019), and Filmfundr, which is AI-driven Movie Technological innovation, obtained in 2018.
Micah has labored as a senior-degree engineering specialist and supervisor within just the insurance policy sector for AON and in commercial, retail and financial commitment banking at Barclays. Micah has also labored within media technological innovation for Viacom and NBC and has a culminated 14 a long time of technologies expertise as an Engineer and C Stage Government.
Micah pioneered Neurodata driven Artificial Intelligence and the industry he created, Neurosentiment, as early as 2014, crafting groundbreaking white papers and in the end becoming the very first individual of color to commission a Neuroscience AI examine with the Kansas University Health-related Center and to obtain investment decision from Sprint in American Historical past. In 2019, Micah made record all over again by becoming the first POC in US background to win many awards at MIT for his work.
Brown grew up in Catford, South London, raised by good parents regardless of many economic hardships. He received Countrywide Honors from Uxbridge School and attained the prospect because of to his educational and do the job achievements to transfer to the US in 2013. Micah has completed a excellent deal of charitable operate also, operating on the CCNY Codes initiative, which noticed 300 young people today of colour from CCNY attain roles at Amazon, Facebook, and Google, for the initial time in the college 113 year record.
“This deal has been numerous several years in the making, performing with 1 of the greatest black-owned publicly traded providers on the transition of Centiment Money is a desire that I am satisfying, particularly with a CEO as proficient as Tim!” claimed Brown.
For additional info about Centiment Money Holdings, you should check out https://www.centiment.money/.
XCPCNL Enterprise Expert services Corporation (OTC Pink: XCPL) encourages shareholders to pay a visit to their corporate Twitter account at https://twitter.com/RealXCPCNL.
Ahead-Seeking Statements Disclaimer:
This press release might contain, and oral statements manufactured from time to time by representatives of the Company may perhaps have, “ahead-on the lookout statements” inside the which means of Area 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Trade Act of 1934, as amended. Statements with regards to attainable business enterprise combos and the funding thereof and connected issues, as properly as all other statements other than statements of historical point provided in this press release, are ahead-seeking statements. When employed in this push release, terms these as “foresee,” “consider,” “proceed,” “could,” “estimate,” “assume,” “intend,” “may,” “could possibly,” “program,” “possible,” “likely,” “predict,” “project,” “need to,” “would” and related expressions, as they relate to our administration team or us, identify forward-searching statements. Such ahead-wanting statements are based mostly on management’s beliefs, as effectively as assumptions manufactured by, and info currently accessible to, the Firm’s management. True results could differ materially from those contemplated by the ahead-seeking statements as a outcome of specific factors in depth in the Company’s submitting with the Over-the-Counter Marketplace (“OTC”). All subsequent composed or ahead-wanting oral statements attributable to folks or us acting on our behalf are capable in their entirety by this paragraph. Ahead-seeking statements are topic to numerous disorders, lots of of which are beyond the manage of the Enterprise. The Corporation undertakes no obligation to update these statements for revisions or changes soon after the date of this launch, except as required by regulation.
About XCPCNL
Charlotte, NC-centered XCPCNL Business Providers is a venture advancement enterprise that leverages its awareness, abilities, and knowledge in the customer products and solutions field. Our most important mission is to present advertising and marketing, technological know-how, and other organization expert services to speedy-increasing shopper solution organizations and significant-box merchants. XCPCNL is a minority-owned and controlled business. To discover extra about our enterprises, providers, and prospects, please speak to: facts@xcpcnl.com.
To find out much more about XPCNL, go to www.xcpcnl.com.
Right here are your FOX Enterprise Flash top headlines.
President Biden on Tuesday announced a ban on all imports of Russian oil, gas and electricity to the United States, targeting “the main artery” of Russia’s economy amid President Vladimir Putin’s war on Ukraine.
Biden, although, warned Americans that the ban would value American households. Individuals are encountering the best fuel charges due to the fact the 2008 economical disaster, with the nationwide fuel selling price average reaching additional than $4 for every gallon – the maximum regular to date, in accordance to AAA.
“Putin’s war is by now hurting American family members at the gasoline pump since Putin started his military buildup on Ukrainian borders,” Biden warned. “And with this motion, it really is likely to go up further. I’m likely to do everything I can to lower Putin’s price tag hike in this article at home and coordination with our partners.”
The president, talking from the White Property on Tuesday, stated the ban has “strong bipartisan guidance in Congress and, I feel, the state.”
“Individuals have rallied to assistance the Ukrainian people and designed it obvious we will not be portion of subsidizing Putin’s war,” Biden stated.
Creator Ben Mezrich discusses the sanctions imposed on Russia and the affect the steps will have on oligarchs, arguing it’s a ‘viable tactic’ to counter Putin’s aggression.
But not all of Europe will be on board with a very similar ban simply because they deficiency domestic oil creation, Biden stated.
“The United States creates much more oil domestically than all of Europe and all the European nations merged,” he reported, adding that the U.S. is a “web exporter of energy.” “So, we can take this action when some others can not, but we are doing work carefully with Europe and our partners to acquire a long-phrase tactic to reduce their dependence on Russian vitality as properly.”
Russia is the third-premier producer of oil in the environment, but the affect to U.S. oil imports would be “minimum” when compared to allies, administration officers explained to Fox News.
President Biden speaks in the Roosevelt Space of the White Residence in Washington, D.C., Tuesday, March 8, 2022. (Oliver Contreras/Sipa/Bloomberg through Getty Pictures / Getty Visuals)
HOW TO Locate Cheap Fuel Price ranges IN YOUR Neighborhood
Ukrainian President Volodymyr Zelenskyy, on Monday, termed for “boycotts” of Russian oil imports to the U.S. and European countries.
Russian oil exports account for about one-3rd of Europe’s oil imports, even so, for the United States, Russian exports are just below 10{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} of U.S. total imports.
Biden touted the $1 billion in protection assistance to Ukraine, declaring that “shipments of defensive weapons are arriving in Ukraine just about every working day from the United States.”
“We are also delivering humanitarian help for the Ukrainian people today, both equally to people still in Ukraine and those who have fled properly to neighboring country,” Biden claimed, including the administration is performing with businesses to ship “tens of 1000’s of tons of foods, water and health-related supplies into Ukraine.”
Biden also stated the U.S. and allies are “imposing the most substantial deal of economic sanctions in heritage,” and claimed individuals sanctions are damaging Russia’s overall economy.”
“It has induced the Russian overall economy to, pretty frankly, crater,” Biden reported, noting that the Russian ruble is down 50{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} considering that Putin declared his war on Feb. 24.
“Just one ruble is now well worth significantly less than just one American penny,” he explained, including that the U.S. and allies have also cut Russia’s biggest financial institutions from the worldwide SWIFT economic method, which has “crippled their means to do organization with the rest of the entire world.”
“In addition, we’re choking off Russia’s obtain to engineering, like semiconductors, that sap its financial strength and will weaken its armed forces for yrs to occur,” Biden claimed.
Pointing to the personal sector, Biden said important providers, like Visa, Mastercard, American Express, Ford, Nike, Apple are suspending operations and pulling out of Russia “completely, without having even getting requested.”
“The U.S. Inventory Exchange has halted trading in lots of Russian securities, and the personal sector is united towards Russia’s vicious war of alternative,” Biden explained.
President Biden sits in the Oval Place of work of the White Dwelling, on March 4, 2022, in Washington. (AP Photograph/Patrick Semansky, File / AP Newsroom)
The Biden administration announced this week that it is releasing “60 million barrels of oil from our joint-oil reserves,” with Biden noting that half of that is “coming from the United States.”
Biden also preserved that his administration is taking techniques to assure the “trustworthy supply of international power,” and is doing the job with “each individual resource in our disposal to protect American people and companies.”
“We comprehend Putin’s war towards the individuals of Ukraine is leading to charges to rise—we get that,” Biden stated, directed at “oil and fuel businesses and the finance corporations that back again them.”
“But it’s no justification to exercising extreme cost boosts or padding gains or any sort of exertion to exploit this predicament or American people,” Biden explained. “Russia’s aggression is costing us all, and it’s no time for profiting or selling price gouging.”
Stay UPDATES: Stocks REBOUND, Gasoline Costs CLIMB, BIDEN TO BAN RUSSIAN OIL
He warned that he wished “to be apparent about what we will not tolerate,” but also wanted to “admit all those companies and oil and gasoline industries that are pulling out of Russia and joining other enterprises that are major by illustration.”
“This is a time when we have to do our aspect and make certain we’re not taking gain,” Biden said.
The president, however, went on to say that it is “just not legitimate” that his administration or his policies “are holding back domestic energy manufacturing.”
“Even amid the pandemic, corporations in the United States pumped additional oil through my first year in office than they did during my predecessor’s initial year,” he stated.
“We are approaching file ranges of oil and gas production in the United States and we’re on monitor to established a document of oil production following,” he stated, including that in the U.S. “90{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} of onshore oil generation normally takes area on land that isn’t owned by the federal federal government.”
“And the remaining 10{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} that takes place on federal land, the oil and gas field has hundreds of thousands of acres leased—they have 9,000 permits to drill,” he mentioned. “Now, they could be drilling correct now. Yesterday, very last 7 days, past calendar year, they have 9,000 to drill onshore that are previously accredited.”
“So allow me be very clear: they are not employing them for production. That’s their determination,” he mentioned. “These are the specifics. We should really be genuine about the points.”
Biden went on to say that this “crisis” is a “stark reminder” that, in get to “protect our economy in excess of the extended expression,” the United States wants “to become energy independent.”
Biden famous that he has experienced “quite a few discussions” with European allies about the previous many months “about how they have to wean themselves off Russian oil.”
“It is just not tenable,” he mentioned.
Biden added, while, that the disaster “ought to encourage” the United States to “accelerate the transition to clean energy.”
For American families, while, Biden admitted investments in clear electricity “will not lower electricity costs for family members,” but explained that reworking the economic climate to “operate on electrical autos run by clean up electrical power with tax credits to assist American families winterize their households, and use much less electrical power, that will support.”
“If we do what we can, it will imply that no 1 has to be concerned about the cost of gas in the potential,” Biden stated.
“That will necessarily mean tyrants like Putin will not be equipped to use fossil fuels as weapons from other nations, and it will make The us a world leader—manufacturing and exporting clean power technologies of the long term to nations all all-around the world.”
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Biden additional: “This is the purpose we must be racing towards.”
The president, shifting to the persons of Ukraine, stated they have “impressed the globe” in a “literal feeling.”
U.S. Secretary of Point out Antony Blinken speaks in the course of a joint news conference with Estonian Primary Minister Kaja Kallas on the event of their meeting, in Tallinn, Estonia, on Tuesday, March 8, 2022. (AP Picture/Raul Mee / AP Newsroom)
“They’ve impressed the earth with their bravery, their patriotism, their defiant perseverance to stay absolutely free,” he reported, including that Putin’s war has “caused an great struggling and unnecessary decline of life of females, children, everyone in Ukraine.”
Biden reported that Ukrainian leaders, and leaders all over the entire world, have “continuously termed for a ceasefire,” for humanitarian relief, and “for serious diplomacy.”
US Fuel Selling price Ordinary HITS NEW File Significant
“But Putin looks identified to keep on on his murderous path, no issue the value,” Biden explained.
But the president taken care of that “Ukraine will never ever be a victory for Putin,” stating he “may be in a position to consider a town, but he’ll never ever be capable to keep the place.”
Russian President Vladimir Putin attends a flag elevating ceremony by means of a movie backlink at a condition home exterior Moscow. (ALEXEY NIKOLSKY/SPUTNIK/AFP via Getty Pictures / Getty Illustrations or photos)
“If we do not answer to Putin’s assault on international peace and stability today, the charge of liberty and to the American people will be even increased tomorrow,” Biden reported. “So we’re going to go on to help the brave Ukrainian men and women as they fight for their place.”
Biden called on Congress to go the $12 billion Ukraine guidance bundle he has asked for, expressing the Ukrainian men and women will “defend their freedom, their democracy, their lives.”
Biden stated the United States is heading to continue “furnishing stability guidance, financial help, humanitarian assistance,” and will aid Ukrainians “in opposition to tyranny, oppression, violent acts of subjugation.”
“Putin’s war on Ukraine will have left Russia weaker and the rest of the world much better,” Biden reported. “And God bless those people heroes in Ukraine.”
BEIJING, Feb. 21, 2022 /PRNewswire/ — TAL Education Group (NYSE: TAL) (“TAL” or the “Company”), a smart learning solutions provider in China, today announced its unaudited financial results for the third quarter of fiscal year 2022 ended November 30, 2021.
Highlights for the Third Quarter of Fiscal Year 2022
Net revenues decreased by 8.8{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} year-over-year to US$1,020.9 million from US$1,119.1 million in the same period of the prior year.
Loss from operations was US$108.4 million, compared to loss from operations of US$127.4 million in the same period of the prior year.
Non-GAAP loss from operations, which excluded share-based compensation expenses, was US$67.6 million, compared to non-GAAP loss from operations of US$73.4 million in the same period of the prior year.
Net loss attributable to TAL was US$99.4 million, compared to net loss attributable to TAL of US$43.6 million in the same period of the prior year.
Non-GAAP net loss attributable to TAL, which excluded share-based compensation expenses, was US$58.6 million, compared to non-GAAP net income attributable to TAL of US$10.4 million in the same period of the prior year.
Basic and diluted net loss per American Depositary Share (“ADS”) were both US$0.15. Non-GAAP basic and diluted net loss per ADS, which excluded share-based compensation expenses, were both US$0.09. Three ADSs represent one Class A common share.
Cash, cash equivalents and short-term investments totaled US$2,837.2 million as of November 30, 2021, compared to US$5,937.5 million as of February 28, 2021.
Highlights for the Nine Months Ended November 30, 2021
Net revenues increased by 22.9{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} year-over-year to US$3,849.8 million from US$3,133.1 million in the same period of the prior year.
Loss from operations was US$615.2 million, compared to loss from operations of US$141.0 million in the same period of the prior year.
Non-GAAP loss from operations, which excluded share-based compensation expenses, was US$440.5 million, compared to non-GAAP loss from operations of US$16.4 million in the same period of the prior year.
Net loss attributable to TAL was US$1,028.0 million, compared to net income attributable to TAL of US$53.0 million in the same period of the prior year.
Non-GAAP net loss attributable to TAL, which excluded share-based compensation expenses, was US$853.3 million, compared to non-GAAP net income attributable to TAL of US$177.6 million in the same period of the prior year.
Basic and diluted net loss per ADS were both US$1.60. Non-GAAP basic and diluted net loss per ADS, excluding share-based compensation expenses, were both US$1.33.
Financial Data——Third Quarter and First Nine Months of Fiscal Year 2022
(In US$ thousands, except per ADS data and percentages)
Financial Results for the Third Quarter of Fiscal Year 2022
Net Revenues
In the third quarter of fiscal year 2022, TAL reported net revenues of US$1,020.9 million, representing an 8.8{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} decrease from US$1,119.1 million in the third quarter of fiscal year 2021.
Operating Costs and Expenses
In the third quarter of fiscal year 2022, operating costs and expenses were US$1,139.3 million, representing a 9.3{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} decrease from US$1,255.9 million in the third quarter of fiscal year 2021. Non-GAAP operating costs and expenses, which excluded share-based compensation expenses, were US$1,098.5 million, representing an 8.6{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} decrease from US$1,201.8 million in the third quarter of fiscal year 2021.
Cost of revenues increase by 0.8{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$519.5 million from US$516.0 million in the third quarter of fiscal year 2021. Non-GAAP cost of revenues, which excluded share-based compensation expenses, increase by 0.8{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$519.2 million, from US$515.2 million in the third quarter of fiscal year 2021.
Selling and marketing expenses decreased by 35.0{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$273.6 million from US$420.7 million in the third quarter of fiscal year 2021. Non-GAAP selling and marketing expenses, which excluded share-based compensation expenses, decreased by 36.4{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$258.6 million, from US$406.4 million in the third quarter of fiscal year 2021.
General and administrative expenses increased by 5.7{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$300.0 million from US$283.8 million in the third quarter of fiscal year 2021. Non-GAAP general and administrative expenses, which excluded share-based compensation expenses, increased by 12.2{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$274.4 million, from US$244.5 million in the third quarter of fiscal year 2021.
Total share-based compensation expenses allocated to the related operating costs and expenses decreased by 24.5{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$40.8 million in the third quarter of fiscal year 2022 from US$54.0 million in the same period of fiscal year 2021.
Impairment loss on intangible assets and goodwill was $46.2 million for the third quarter of fiscal year 2022, compared to US$35.7 million for the third quarter of fiscal year 2021.
Gross Profit
Gross profit decreased by 16.9{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$501.4 million from US$603.6 million in the third quarter of fiscal year 2021.
Loss from Operations
Loss from operations was US$108.4 million in the third quarter of fiscal year 2022, compared to loss from operations of US$127.4 million in the third quarter of fiscal year 2021. Non-GAAP loss from operations was US$67.6 million, compared to Non-GAAP loss from operations of US$73.4 million in the same period of the prior year.
Other Income
Other income was US$9.5 million for the third quarter of fiscal year 2022, compared to other income of US$45.5 million in the third quarter of fiscal year 2021.
Impairment Loss on Long-term Investments
Impairment loss on long-term investments was nil for the third quarter of fiscal year 2022, compared to US$11.5 million for the third quarter of fiscal year 2021.
Income Tax Benefit/(expense)
Income tax expense was US$25.6 million in the third quarter of fiscal year 2022, compared to US$13.9 million of income tax benefit in the third quarter of fiscal year 2021.
Net Loss/(income) Attributable to TAL Education Group
Net loss attributable to TAL was US$99.4 million in the third quarter of fiscal year 2022, compared to net loss attributable to TAL of US$43.6 million in the third quarter of fiscal year 2021. Non-GAAP net loss attributable to TAL, which excluded share-based compensation expenses, was US$58.6 million, compared to Non-GAAP net income attributable to TAL of US$10.4 million in the third quarter of fiscal year 2021.
Basic and Diluted Net Loss per ADS
Basic and diluted net loss per ADS were both US$0.15 in the third quarter of fiscal year 2022. Non-GAAP basic and diluted net loss per ADS, which excluded share-based compensation expenses, were both US$0.09, in the third quarter of fiscal year 2022.
Cash, Cash Equivalents, and Short-Term Investments
As of November 30, 2021, the Company had US$1,347.9 million of cash and cash equivalents and US$1,489.3 million of short-term investments, compared to US$3,243.0 million of cash and cash equivalents and US$2,694.5 million of short-term investments as of February 28, 2021.
Financial Results for the First Nine Months of Fiscal Year 2022
Net Revenues
For the first nine months of fiscal year 2022, TAL reported net revenues of US$3,849.8 million, representing a 22.9{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} increase from US$3,133.1 million in the first nine months of fiscal year 2021.
Operating Costs and Expenses
In the first nine months of fiscal year 2022, operating costs and expenses were US$4,480.0 million, a 36.1{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} increase from US$3,291.5 million in the first nine months of fiscal year 2021. Non-GAAP operating costs and expenses, which excluded share-based compensation expenses, were US$4,305.3 million, a 35.9{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} increase from US$3,166.9 million in the first nine months of fiscal year 2021.
Cost of revenues increased by 36.7{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$2,005.3 million from US$1,467.1 million in the first nine months of fiscal year 2021. Non-GAAP cost of revenues, which excluded share-based compensation expenses, increased by 36.7{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$2,004.3 million from US$1,466.0 million in the first nine months of fiscal year 2021.
Selling and marketing expenses decreased by 0.5{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$1,014.7 million from US$1,019.6 million in the first nine months of fiscal year 2021. Non-GAAP selling and marketing expenses, which excluded share-based compensation expenses, decreased by 3.7{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$951.2 million from US$988.0 million in the first nine months of fiscal year 2021.
General and administrative expenses increased by 28.5{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$987.6 million from US$768.7 million in the first nine months of fiscal year 2021. Non-GAAP general and administrative expenses, which excluded share-based compensation expenses, increased by 29.6{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$877.3 million from US$676.9 million in the first nine months of fiscal year 2021.
Total share-based compensation expenses allocated to the related operating costs and expenses increased by 40.2{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$174.7 million in the first nine months of fiscal year 2022 from US$124.6 million in the same period of fiscal year 2021.
Impairment loss on intangible assets and goodwill was US$472.4 million for the first nine months of fiscal year 2022, compared to US$36.0 million for the same period of fiscal year 2021.
Gross Profit
Gross profit grew by 10.7{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} to US$1,844.5 million from US$1,666.0 million in the first nine months of fiscal year 2021.
Loss from Operations
Loss from operations was US$615.2 million in the first nine months of fiscal year 2022, compared to loss from operations of US$141.0 million in the same period of the prior year. Non-GAAP loss from operations, which excluded share-based compensation expenses, was US$440.5 million for the first nine months of fiscal year 2022, compared to non-GAAP loss from operations, which excluded share-based compensation expenses, was US$16.4 million in the first nine months of fiscal year 2021.
Other Income
Other income was US$17.6 million for the first nine months of fiscal year 2022, compared to other income of US$132.9 million for the first nine months of fiscal year 2021.
Impairment Loss on Long-term Investments
Impairment loss on long-term investments was US$178.1 million for the first nine months of fiscal year 2022, compared to US$18.4 million for the first nine months of fiscal year 2021.
Income Tax Expense
Income tax expense was US$367.1 million in the first nine months of fiscal year 2022, compared to US$10.6 million of income tax expense in the first nine months of fiscal year 2021.
Net Loss/(income) Attributable to TAL Education Group
Net loss attributable to TAL was US$1,028.0 million in the first nine months of fiscal year 2022, compared to net income attributable to TAL of US$53.0 million in the first nine months of fiscal year 2021. Non-GAAP net loss attributable to TAL, which excluded share-based compensation expenses, was US$853.3 million in the first nine months of fiscal year 2022, compared to Non-GAAP net income attributable to TAL, which excluded share-based compensation expenses, was US$177.6 million in the first nine months of fiscal year 2021.
Basic and Diluted Net Loss per ADS
Basic and diluted net loss per ADS were both US$1.60, in the first nine months of fiscal year 2022. Non-GAAP basic and Non-GAAP diluted net loss per ADS, which excluded share-based compensation expenses, were both US$1.33, in the first nine months of fiscal year 2022.
Recent Development
On November 12, 2021, the Company issued a press release to announce that in response to the regulatory developments relating to after-school tutoring services, including the Opinions on Further Alleviating the Burden of Homework and After-School Tutoring for Students in Compulsory Education, published in July 2021 by the General Office of the CPC Central Committee and the General Office of the State Council (the “Opinion”) and the related implementation rules, regulations and measures promulgated by competent authorities, the Company decided to cease offering academic subjects to students from kindergarten through grade nine (“K9 Academic AST Services”) in the mainland of China by the end of December 2021.
The Company has completed the cessation by the due date and expects that the cessation will have a substantial adverse impact on the Company’s revenues for the fiscal year ending February 28, 2022 and subsequent periods. In the fiscal year ended February 28, 2021, the revenues from offering K9 Academic AST Services accounted for a substantial majority of the Company’s total revenues in the year. Therefore, the Company believes that the financial results for the fiscal periods ended November 30, 2021 would not be indicative for its performance going forward.
By leveraging its leading-edge education technology, high quality content and extensive experience, the Company will continue to operate and develop the portion of its business other than K9 Academic AST Services, and will also explore other opportunities to provide learning solutions in accordance with relevant rules and regulations.
The Company will continue to seek guidance from and cooperate with government authorities in various provinces and municipalities in China in connection with its efforts to comply with the policy directives in the Opinion and any related implementation rules, regulations and measures. The Company will further adjust its business operations as required, and provide updates to its shareholders as appropriate.
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, TAL Education Group’s strategic and operational plans contain forward-looking statements. The Company 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 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 the Company’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: the Company’s ability to continue to provide competitive learning services and products; the Company’s ability to continue to recruit, train and retain talents; the Company’s ability to improve the content of current course offerings and develop new courses; the Company’s ability to maintain and enhance its brand; the Company’s ability to maintain and continue to improve its teaching results; and the Company’s ability to compete effectively against its competitors. Further information regarding these and other risks is included in the Company’s reports filed with, or furnished to the U.S. Securities and Exchange Commission. All information provided in this press release and in the attachments is as of the date of this press release, and TAL Education Group undertakes no duty to update such information or any forward-looking statement, except as required under applicable law.
About TAL Education Group
TAL Education Group is a smart learning solutions provider in China. The acronym “TAL” stands for “Tomorrow Advancing Life”, which reflects our vision to promote top learning opportunities for students through both high-quality teaching and content, as well as leading edge application of technology in the education experience. TAL Education Group offers comprehensive learning services to students from pre-school to the twelfth grade primarily through three flexible class formats: small classes, personalized premium services, and online courses. Our learning services mainly cover enrichment learnings programs and some academic subjects in and out of China. Our ADSs trade on the New York Stock Exchange under the symbol “TAL”.
About Non-GAAP Financial Measures
In evaluating its business, TAL considers and uses the following measures defined as non-GAAP financial measures by the SEC as supplemental metrics to review and assess its operating performance: non-GAAP operating costs and expenses, non-GAAP cost of revenues, non-GAAP selling and marketing expenses, non-GAAP general and administrative expenses, non-GAAP income from operations, non-GAAP net income attributable to TAL, non-GAAP basic and non-GAAP diluted net income per ADS. To present each of these non-GAAP measures, the Company excludes share-based compensation expenses. 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 table captioned “Reconciliations of non-GAAP measures to the most comparable GAAP measures” set forth at the end of this release.
TAL believes that these non-GAAP financial measures provide meaningful supplemental information regarding its performance and liquidity by excluding share-based expenses that may not be indicative of its operating performance from a cash perspective. TAL believes that both management and investors benefit from 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 TAL’s historical performance and liquidity. TAL computes its non-GAAP financial measures using the same consistent method from quarter to quarter and from period to period. TAL 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 non-GAAP measures is that these non-GAAP measures exclude share-based compensation charges that have been and will continue to be for the foreseeable future a significant recurring expense in the Company’s 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.
TAL EDUCATION GROUP
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands of U.S. dollars)
As of
February 28, 2021
As of
November 30, 2021
ASSETS
Current assets
Cash and cash equivalents
$ 3,242,953
$ 1,347,934
Restricted cash-current
1,758,937
1,110,112
Short-term investments
2,694,555
1,489,245
Inventory
38,675
22,239
Amounts due from related parties-current
2,964
2,093
Income tax receivables
15,641
20,926
Prepaid expenses and other current assets
403,110
178,349
Total current assets
8,156,835
4,170,898
Restricted cash-non-current
16,094
377,898
Property and equipment, net
511,415
358,914
Deferred tax assets
317,189
8,524
Rental deposits
102,555
94,234
Intangible assets, net
66,041
16,776
Land use right, net
216,702
216,942
Goodwill
454,413
18,836
Amounts due from related parties- non-current
–
63
Long-term investments
667,636
557,974
Long-term prepayments and other non-current assets
57,694
19,943
Operating lease right-of-use assets
1,545,735
828,980
Total assets
$ 12,112,309
$ 6,669,982
LIABILITIES AND EQUITY
Current liabilities
Accounts payable
$ 353,778
$ 150,867
Deferred revenue-current
1,387,493
538,979
Amounts due to related parties-current
3,488
312
Accrued expenses and other current liabilities
911,283
928,463
Income tax payable
65,138
33,297
Current portion of long-term debt
270,000
–
Operating lease liabilities, current portion
382,671
247,344
Total current liabilities
3,373,851
1,899,262
Deferred revenue-non-current
30,005
20
Deferred tax liabilities
10,333
17,898
Bond payable
2,300,000
–
Operating lease liabilities, non-current portion
1,193,564
634,295
Total liabilities
6,907,753
2,551,475
Mezzanine equity
Redeemable non-controlling interests
1,775
–
Equity
Class A common shares
148
166
Class B common shares
67
49
Additional paid-in capital
4,369,125
4,358,131
Statutory reserve
121,285
111,151
Retained earnings/(accumulated deficit)
624,883
(392,975)
Accumulated other comprehensive income
86,321
68,888
Total TAL Education Group’s equity
5,201,829
4,145,410
Noncontrolling interest
952
(26,903)
Total equity
5,202,781
4,118,507
Total liabilities, mezzanine equity and equity
$ 12,112,309
$ 6,669,982
TAL EDUCATION GROUP
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands of U.S. dollars, except share, ADS, per share and per ADS data)
For the Three Months Ended November 30,
For the Nine Months Ended November 30,
2020
2021
2020
2021
Net revenues
$ 1,119,135
$ 1,020,932
$ 3,133,066
$ 3,849,755
Cost of revenues (note 1)
515,560
519,483
1,467,112
2,005,252
Gross profit
603,575
501,449
1,665,954
1,844,503
Operating expenses (note 1)
Selling and marketing
420,747
273,629
1,019,598
1,014,666
General and administrative
283,827
299,963
768,719
987,595
Impairment loss on intangible assets and goodwill
35,727
46,247
36,031
472,437
Total operating expenses
740,301
619,839
1,824,348
2,474,698
Government subsidies
9,337
9,961
17,380
15,035
Loss from operations
(127,389)
(108,429)
(141,014)
(615,160)
Interest income
28,879
12,747
79,065
84,644
Interest expense
(2,714)
(1,821)
(9,378)
(7,871)
Other income
45,507
9,520
132,948
17,611
Impairment loss on long-term investments
(11,472)
–
(18,357)
(178,063)
(Loss)/income before provision for income tax and income from equity method investments
(67,189)
(87,983)
43,264
(698,839)
Income tax benefit/(expense)
13,887
(25,562)
(10,556)
(367,120)
Income from equity method investments
411
6,423
6,352
10,471
Net (loss)/income
(52,891)
(107,122)
39,060
(1,055,488)
Add: Net loss attributable to noncontrolling interest
9,283
7,754
13,952
27,496
Total net (loss)/income attributable to TAL Education Group
$ (43,608)
$ (99,368)
$ 53,012
$ (1,027,992)
Net (loss)/income per common share
Basic
$ (0.22)
$ (0.46)
$ 0.26
$ (4.79)
Diluted
(0.22)
(0.46)
0.25
(4.79)
Net (loss)/income per ADS (note 2)
Basic
$ (0.07)
$ (0.15)
$ 0.09
$ (1.60)
Diluted
(0.07)
(0.15)
0.08
(1.60)
Weighted average shares used in calculating net (loss)/income per common share
Basic
202,039,751
214,672,624
200,786,811
214,619,651
Diluted
202,039,751
214,672,624
208,710,216
214,619,651
Note1: Share-based compensation expenses are included in the operating costs and expenses as follows:
For the Three Months
For the Nine Months
Ended November 30,
Ended November 30,
2020
2021
2020
2021
Cost of revenues
$ 404
$ 262
$ 1,158
$ 996
Selling and marketing expenses
14,322
15,008
31,644
63,440
General and administrative expenses
39,309
25,548
91,805
110,261
Total
$ 54,035
$ 40,818
$ 124,607
$ 174,697
Note 2: Three ADSs represent one Class A common Share.
TAL EDUCATION GROUP
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE INCOME/(LOSS)
(In thousands of U.S. dollars)
For the Three Months Ended
November 30,
For the Nine Months Ended
November 30,
2020
2021
2020
2021
Net (loss)/income
$ (52,891)
$ (107,122)
$ 39,060
$ (1,055,488)
Other comprehensive income/(loss), net of tax
54,944
6,053
87,834
(17,796)
Comprehensive income/(loss)
2,053
(101,069)
126,894
(1,073,284)
Add: Comprehensive loss attributable to noncontrolling interest
8,581
8,106
12,872
27,855
Comprehensive income/(loss) attributable to TAL Education Group
$ 10,634
$ (92,963)
$ 139,766
$ (1,045,429)
TAL EDUCATION GROUP
Reconciliation of Non-GAAP Measures to the Most Comparable GAAP Measures
(In thousands of U.S. dollars, except share, ADS, per share and per ADS data)
For the Three Months
Ended November 30,
For the Nine Months Ended November 30,
2020
2021
2020
2021
Cost of revenues
$ 515,560
$ 519,483
$ 1,467,112
$ 2,005,252
Share-based compensation expense in cost of revenues
404
262
1,158
996
Non-GAAP cost of revenues
515,156
519,221
1,465,954
2,004,256
Selling and marketing expenses
420,747
273,629
1,019,598
1,014,666
Share-based compensation expense in selling and marketing expenses
14,322
15,008
31,644
63,440
Non-GAAP selling and marketing expenses
406,425
258,621
987,954
951,226
General and administrative expenses
283,827
299,963
768,719
987,595
Share-based compensation expense in general and administrative expenses
39,309
25,548
91,805
110,261
Non-GAAP general and administrative expenses
244,518
274,415
676,914
877,334
Operating costs and expenses
1,255,861
1,139,322
3,291,460
4,479,950
Share-based compensation expense in operating costs and expenses
54,035
40,818
124,607
174,697
Non-GAAP operating costs and expenses
1,201,826
1,098,504
3,166,853
4,305,253
Loss from operations
(127,389)
(108,429)
(141,014)
(615,160)
Share based compensation expenses
54,035
40,818
124,607
174,697
Non-GAAP loss from operations
(73,354)
(67,611)
(16,407)
(440,463)
Net (loss)/income attributable to TAL Education Group
(43,608)
(99,368)
53,012
(1,027,992)
Share based compensation expenses
54,035
40,818
124,607
174,697
Non-GAAP net income/(loss) attributable to TAL Education Group
$ 10,427
$ (58,550)
$ 177,619
$ (853,295)
Net (loss)/income per ADS
Basic
$ (0.07)
$ (0.15)
$ 0.09
$ (1.60)
Diluted
(0.07)
(0.15)
0.08
(1.60)
Non-GAAP Net income/(loss) per ADS
Basic
$ 0.02
$ (0.09)
$ 0.29
$ (1.33)
Diluted
0.02
(0.09)
0.28
(1.33)
ADSs used in calculating net (loss)/income per ADS
Basic
606,119,253
644,017,872
602,360,433
643,858,953
Diluted
606,119,253
644,017,872
626,130,648
643,858,953
ADSs used in calculating Non-GAAP income/(loss) per ADS


Release: #22-10 
February 10, 2022
SACRAMENTO—State Superintendent of Community Instruction Tony Thurmond and Senator Anthony J. Portantino (D-La Cañada Flintridge) nowadays joined state college leaders and associates to urge assist of a monthly bill that would inject new funding into faculties making use of a extra equitable funding calculation and finance initiatives to tackle chronic absenteeism and truancy.
Senate Invoice (SB) 830, co-sponsored by Condition Superintendent Thurmond, would augment California’s schooling funding system, which is now primarily based on common attendance with supplemental funding centered on typical enrollment. This modification would aid colleges be funded a lot more equitably and aid faculties having difficulties with absenteeism—and all schools—receive the economic assist they want to get better from the pandemic and prosper in the upcoming.
“With the pandemic currently creating so quite a few complications across faculties and in people’s lives, the final detail that should really come about is for universities to facial area more financial uncertainty,” explained State Superintendent Thurmond. “SB 830 presents districts predictability on how they acquire funding and presents them significant methods to handle what has been 1 of our most perplexing troubles: dealing with persistent absenteeism in methods we have not nonetheless found right before. It will set pupils and schools on a improved route to even more shut prospect and training gaps.”
California is a person of 6 states that does not consider enrollment figures for deciding point out support to college districts. Districts at this time plan their budgets and expend money based on enrollment but acquire resources based mostly on attendance. For example, if a university district enrolls 100 students but their attendance level is 95{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550}, the faculty district have to however prepare as if 100 students will show up at class each day. As this kind of, faculty districts do not receive funding if a college student does not go to college on any presented working day in spite of obtaining fixed educational, programmatic, and operational expenditures.
“The point out is wanting at a historic surplus, and this change would inject $3 billion into general public education,” explained Senator Portantino, the bill’s writer. “This is a modest change offered the greenback amounts we’re seeking at in this spending plan, but it is a historic transform. We have historically funded training centered on attendance, and that has been traditionally unfair to districts. I look at this invoice and this proposal as anything that offers with the current condition as well as 5 many years from now and 10 decades from now. It creates that security in the existing and for the long term.”
“Enrollment-based funding, commonly known as typical day by day membership, is the college student counting system most states use to rely students simply because it allocates funds equitably primarily based on the genuine quantity of learners each individual university have to be organized to provide,” stated Shane Dishman, President of the California University Personnel Association. “At least 50{ac23b82de22bd478cde2a3afa9e55fd5f696f5668b46466ac4c8be2ee1b69550} of the added resources allocated less than this monthly bill are focused to addressing absenteeism by furnishing added services and help.”
“We know that attendance in school is important because a college student has to be in course to discover, but when pupils are going through trauma, financial uncertainly, or unsafe routes to faculty, the uncomplicated act of exhibiting up to course isn’t so simple,” mentioned Kelly Gonez, President of the Los Angeles Unified College District’s Board of Training. “School districts like L.A. Unified, with big figures of students in traditionally underserved communities, experience high stages of chronic absenteeism, and that absenteeism implies that our colleges get much less funding just when our pupils will need extra means and supports to deal with these root trigger issues.”
MIAMI, Feb. 9, 2022 /PRNewswire/ — Laureate Education, Inc. (NASDAQ: LAUR) today announced preliminary financial results for the fourth quarter and year ended December 31, 2021 and guidance for full-year 2022.
Laureate Education Logo
Preliminary Fourth Quarter 2021 and Year End 2021 Results
Based on preliminary information, Laureate expects fourth quarter revenue of approximately $295 to $297 million and Adjusted EBITDA of approximately $57 to $60 million, and, for the year ended December 31, 2021, expects revenue of approximately $1,085 to $1,087 million and Adjusted EBITDA of approximately $250 to $253 million. Total enrollment at year-end 2021 was approximately 388,500 students.
Laureate ended the fourth quarter of 2021 with approximately $325 million of cash and cash equivalents and $154 million in debt outstanding. In addition, $74 million of the Walden sale transaction value was paid into an escrow account, which will be released in full or in part to Laureate in August 2022 pursuant to the terms and conditions of the escrow agreement.
Preliminary Outlook for Fiscal 2022
Based on preliminary information and the current foreign exchange spot rates1, Laureate currently expects its full-year 2022 results to be as follows:
Total enrollments expected to be in the range of 405,000 to 415,000;
Revenues expected to be in the range of $1,169 to $1,194 million; and
Adjusted EBITDA expected to be in the range of $320 to $330 million.
Reconciliations of the forward-looking non-GAAP measures, including the 2022 Adjusted EBITDA outlook, to the relevant forward-looking GAAP measures are not being provided, as Laureate does not currently have sufficient data to accurately estimate the variables and individual adjustments for such reconciliations, and such reconciliation could not be produced without unreasonable effort.
Please see the “Forward-Looking Statements” section in this release for a discussion of certain risks related to this outlook.
1 Based on actual FX rates for January and spot FX rates (local currency per U.S. Dollar) of MXN 20.56 and PEN 3.86 for February 2022—December 2022. FX impact may change based on fluctuations in currency rates in future periods.
The preliminary estimates for the quarter and year ended December 31, 2021 and outlook for fiscal 2022 set forth herein are not yet complete and are based on information available to our management team as of the date hereof. We have prepared the preliminary estimates disclosed in good faith based upon our internal reporting. These estimates are preliminary and unaudited, inherently uncertain, and subject to change as we complete our financial statements as of and for the quarter and year ended December 31, 2021. These preliminary estimates are not guarantees of actual performance, and are not guarantees of, or indicative of, future performance. Given the timing of these preliminary estimates, we have not completed our customary financial closing and review procedures, including full income tax calculations and management’s review of the results. We may identify other items that require material adjustments to these preliminary estimates as we finalize our financial statement close procedures for the quarter. Accordingly, these preliminary estimates should not be viewed as a substitute for full financial statements for the quarter and year ended December 31, 2021, prepared in accordance with accounting principles generally accepted in the United States (GAAP). Final results for the quarter and year ended December 31, 2021, and the final 2022 outlook could differ materially from these preliminary estimates. You should exercise caution in relying on these preliminary estimates and should not place undue reliance on this information or draw any inferences from this information regarding financial or operating data not yet provided or available. These preliminary results are subject to the final review by our audit committee and review by our independent registered public accounting firm. Accordingly, our independent registered public accounting firm does not express an opinion or any other form of assurance with respect thereto. Important factors that could cause our actual results to differ from these preliminary estimates are set forth below under “Forward- Looking Statements.”
Forward-Looking Statements
This press release includes statements that express Laureate’s opinions, expectations, beliefs, plans, objectives, assumptions or projections regarding future events or future results and therefore are, or may be deemed to be, ”forward-looking statements” within the meaning of the federal securities laws, which involve risks and uncertainties. Laureate’s actual results may vary significantly from the results anticipated in these forward-looking statements. You can identify forward-looking statements because they contain words such as ”believes,” ”expects,” ”may,” ”will,” ”should,” ”seeks,” ”approximately,” ”intends,” ”plans,” ”estimates” or ”anticipates” or similar expressions that concern our strategy, plans or intentions. All statements we make relating to (i) guidance (including, but not limited to, total enrollments, revenues, and Adjusted EBITDA), (ii) our current growth strategy and other future plans, strategies or transactions that may be identified, explored or implemented and any litigation or dispute resulting from any completed transaction, (iii) any anticipated share repurchases or cash distributions and (iv) the potential impact of the COVID-19 pandemic on our business or the global economy as a whole are forward-looking statements. In addition, we, through our senior management, from time to time make forward-looking public statements concerning our expected future operations and performance and other developments. All of these forward-looking statements are subject to risks and uncertainties that may change at any time, including with respect to our current growth strategy and the impact of any completed divestiture. Accordingly, our actual results may differ materially from those we expected. We derive most of our forward-looking statements from our operating budgets and forecasts, which are based upon many detailed assumptions. While we believe that our assumptions are reasonable, we caution that it is very difficult to predict the impact of known factors, and, of course, it is impossible for us to anticipate all factors that could affect our actual results. Important factors that could cause actual results to differ materially from our expectations are disclosed in our Annual Report on Form 10-K filed with the SEC on February 25, 2021, our Quarterly Reports on Form 10-Q filed and to be filed with the SEC and other filings made with the SEC. These forward-looking statements speak only as of the time of this release and we do not undertake to publicly update or revise them, whether as a result of new information, future events or otherwise, except as required by law.
Presentation of Non-GAAP Measures
In addition to the results provided in accordance with GAAP in this press release, Laureate provides the non-GAAP measurement of Adjusted EBITDA. We have included this non-GAAP measurement because it is a key measure used by our management and board of directors to understand and evaluate our core operating performance and trends, to prepare and approve our annual budget and to develop short- and long-term operational plans.
Adjusted EBITDA consists of income (loss) from continuing operations, adjusted for certain items. The exclusion of certain expenses in calculating Adjusted EBITDA can provide a useful measure for period-to-period comparisons of our core business. Additionally, Adjusted EBITDA is a key input into the formula used by the compensation committee of our board of directors and our Chief Executive Officer in connection with the payment of incentive compensation to our executive officers and other members of our management team. Accordingly, we believe that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results in the same manner as our management and board of directors.
We have not included a GAAP reconciliation of our Adjusted EBITDA amounts for the quarter or the year ended December 31, 2021, because we have not yet completed our financial closing procedures for the quarter and year ended December 31, 2021, and such reconciliation could not be produced without unreasonable effort.
About Laureate Education, Inc.
Laureate Education, Inc. operates five universities across Mexico and Peru, enrolling more than 350,000 students in high-quality undergraduate, graduate, and specialized degree programs through campus-based and online learning. Our universities have a deep commitment to academic quality and innovation, strive for market-leading employability outcomes, and work to make higher education more accessible. At Laureate, we know that when our students succeed, countries prosper, and societies benefit. Learn more at laureate.net.
Investor Relations Contact: ir@laureate.net
Media Contact: Adam Smith Laureate Education, Inc. adam.smith@laureate.net U.S.: +1 (443) 255 0724
