BEIJING, May 16, 2012 /PRNewswire-Asia-FirstCall/
-- China Distance Education Holdings Limited (NYSE: DL)
("CDEL", or the "Company"), a leading provider of online education
in China focusing on professional
education, reported today its unaudited financial results for the
second quarter of fiscal year 2012 ended March 31, 2012.
Second Quarter Fiscal 2012 Business and Financial
Highlights:
- Total course enrollments from continuing operations was
293,000, an increase of 27.7% from the second quarter of fiscal
2011.
- Net revenues from continuing operations increased 36.7% over
the second quarter of fiscal 2011 to US$12.3
million.
- Gross profit from continuing operations increased 49.3% from
the second quarter of fiscal 2011 to US$7.02
million.
- Non-GAAP(1) gross profit from continuing operations increased
39.9% over the second quarter of fiscal 2011 to US$7.03 million.
- Gross profit margin from continuing operations was 56.9%,
compared to 52.1% in the second quarter of fiscal 2011. Non-GAAP
gross profit margin from continuing operations was 57.0%, compared
to 55.7% in the same period last year.
- Operating income from continuing operations was US$3.2 million, compared to US$0.3 million in the second quarter of fiscal
2011. Non-GAAP operating income from continuing operations was
US$3.3 million, compared to
US$1.2 million in the second quarter
of fiscal 2011.
- Net income was US$2.8 million,
compared to US$0.5 million in the
second quarter of fiscal 2011.
- Non-GAAP(1) net income was US$2.9
million, compared to US$1.4
million in the second quarter of fiscal 2011.
- Basic net income per American Depositary Share
("ADS") was US$0.083, compared to
basic net income per ADS of US$0.013
for the second quarter of fiscal 2011. Diluted net income per ADS
was US$0.082, compared to diluted net
income per ADS of US$0.013 for the
second quarter of fiscal 2011. Each ADS represents four ordinary
shares.
- Basic non-GAAP(1) net income per ADS was US$0.086, compared to basic non-GAAP(1) net
income per ADS of US$0.040 for the
second quarter of fiscal 2011. Diluted non-GAAP(1) net income per
ADS was US$0.085, compared to diluted
non-GAAP(1) net income per ADS of US$0.040 for the second quarter of fiscal
2011.
- Deferred revenue and refundable fees balance was US$15.8 million, a 3.6% increase from the balance
of US$15.2 million for the first
quarter of fiscal 2012 and a 19.5% increase from the second quarter
of fiscal 2011.
Commenting on the results, Mr. Zhengdong
Zhu, Chairman and Chief Executive Officer said, "We are very
pleased to report another quarter of healthy top- and bottom-line
growth, building on the momentum we have gained in recent
quarters. Supported by steady enrollment growth across our
core online education courses and increasing pricing power, revenue
for the quarter again exceeded guidance. Our results
demonstrate the robust underlying demand for high quality online
training and educational services and the growing strength of our
brand power in China's education
market. We are also pleased to see that our recent
initiatives, including our newly launched high definition
courseware and mobile learning platform, are helping to drive
incremental enrollment growth across our course offerings, while
also supporting growth in average student payments. These new
services highlight our innovative and student-focused approach
which we believe will help to further strengthen our industry
leading position for years to come.
"While overall market conditions and student demand remain
healthy, some major Accounting Professional Qualification
Examination, or 'APQE', originally scheduled for May have been
delayed to October. At the same time we are still awaiting the
release of the official policy on this year's CPA exams, including
the exam dates, registration timeline and text books. The release
of this information is already more than six weeks behind the usual
schedule. Consequently, we anticipate a shift in the timing of
enrollments and revenue recognition for APQE and CPA exams.
Specifically, a significant portion of APQE revenue that we had
expected to record in the third fiscal quarter will shift into next
fiscal year, and post-exam APQE enrollment will also be delayed
until next fiscal year. The delayed release of CPA exam policy for
this year may also affect both the timing and the amount of revenue
we may earn in the remainder of this fiscal year. While the delayed
timing of these exams will impact our results, we believe that
these regulatory changes are a one-time event and such changes will
only affect the timing of the revenue contribution related to these
exams.
"We believe that the continuing strength of our other accounting
and non-accounting courses will help to partially offset the
near-term impact from these delays. The continued
diversification of our business in recent years and the growing
momentum of our recent initiatives have helped us to develop a more
robust platform with multiple sustainable revenue streams. As a
result, we still expect to achieve our revenue guidance for the
full year of 20-30% revenue increase year-over-year."
Ms. Ping Wei, Chief Financial
Officer of CDEL, commented, "Our performance in the second quarter
has again demonstrated the scalability of our business model as we
registered another quarter of strong top- and bottom-line growth.
Both our gross and net margin continue to expand at a healthy pace
while cash flow has also continued to increase, registering a
US$4.8 million increase in the second
quarter.
"The delayed timing of the AQPE exams and the delayed release of
CPA exam policy will result in about 15-20% of third-quarter
revenue being delayed to later quarters. On a fiscal year basis,
APQE alone will result in the delayed recognition of at least
US$1.8 million in revenue into fiscal
2013. As most of our costs and expenses are fixed, the impact to
our bottom line for the next quarter and for fiscal year 2012 will
be even more significant.
"Nonetheless, as most of our other education verticals are
growing at a particularly high rate, and as we continue to tightly
control our costs and expenses, we remain confident that despite
these unexpected delays, we will still maintain net profit growth
in-line with our revenue growth in fiscal year 2012."
Fiscal Second Quarter 2012 Unaudited Financial
Results
Net Revenues. Total net
revenues from continuing operations for the second quarter of
fiscal 2012 were US$12.3 million,
representing a year-over-year increase of 36.7% from US$9.0 million in the second quarter of fiscal
2011.
Online education services net revenues for the second quarter of
fiscal 2012 were US$9.2 million, an
increase of 36.4% from the second quarter of fiscal 2011. The
increase was a result of increased revenue in all major test
preparation courses. Such increase was partially offset by
decreased revenue from accounting continuing education courses
primarily as it is low enrollment season for continuing education
courses.
Net revenues from books and reference materials for the second
quarter of fiscal 2012 were US$1.3
million after reallocating the delivery of online course
services deliverable of US$0.2
million as online education services net revenues, almost
unchanged from the second quarter of fiscal 2011.
Net revenues from others increased by 86.6% year-over-year to
US$1.9 million for the second quarter
of fiscal 2012 from US$1.0 million in
the same period last year. The increase was a result of increased
revenue in courseware production services, offline business
start-up training courses provided by Zhengbao Yucai and other
offline supplementary training courses. Such increase was partially
offset by decreased revenue from magazine content production
services.
Cost of Sales. Cost of sales from continuing
operations for the second quarter of fiscal 2012 was US$5.32 million, representing a 23.0% increase
over the second quarter of fiscal 2011. Non-GAAP(1) cost of sales
from continuing operations for the second quarter of fiscal 2012
was US$5.31 million, an increase of
32.7% over the same period last year. The increase in cost of sales
was primarily due to the increased salaries and related expenses,
and lecturer fees. Such increase was partially offset by decreased
cost of books and reference materials.
Gross Profit and Gross Margin. Gross
profit from continuing operations for the second quarter of fiscal
2012 was US$7.02 million,
representing a 49.3% increase from US$4.7
million in the same period last year. Non-GAAP(1) gross
profit from continuing operations was US$7.03 million, an increase of 39.9%
year-over-year. Gross profit margin from continuing operations for
the second quarter of fiscal 2012 was 56.9%, compared to 52.1% in
the second quarter of fiscal 2011. Non-GAAP(1) gross profit margin
from continuing operations for the second quarter of fiscal 2012
expanded to 57.0%, compared to 55.7% in the same period last year
as we continue to leverage on our highly scalable online revenue
model.
Operating Expenses. Total operating expenses from
continuing operations for the second quarter of fiscal 2012 were
US$3.8 million, a decrease of 13.3%
year-over-year. Non-GAAP(1) operating expenses from continuing
operations were US$3.7 million,
representing a year-over-year decrease of 2.2%.
Selling expenses from continuing operations amounted to
US$1.72 million for the second
quarter of fiscal 2012, representing a 11.9% decrease
year-over-year. Non-GAAP(1) selling expenses from continuing
operations were US$1.71 million, a
7.2% decrease from the same period last year primarily as a result
of decreased advertising and promotional activities and commissions
to our agents as we continue to refine the collaboration model with
our online distribution partners. Such decrease was partially
offset by increased salaries and related expenses.
General and administrative expenses from continuing operations
were US$2.1 million in the second
quarter of fiscal 2012, representing a 14.4% decrease
year-over-year. Non-GAAP(1) general and administrative
expenses from continuing operations were US$2.0 million, an increase of 2.5%
year-over-year primarily due to increased salaries and related
expenses. Such increase was partially offset by decreased
professional fees.
Income Tax Expenses. Income
tax expenses for the second quarter of fiscal 2012 were
US$0.7 million, compared with
US$0.1 million in the same period
last year.
Net Income from continuing
operations attributable to China Distance Education
Holdings Limited. Net income from continuing operations was
US$2.8 million for the second quarter
of fiscal 2012, compared to net income from continuing operations
of US$0.5 million in the same period
last year. Non-GAAP(1) net income from continuing operations for
the second quarter of fiscal 2012 was US$2.9
million, compared to non-GAAP(1) net income from continuing
operations of US$1.4 million in the
same period last year.
Net Income (Loss) from discontinued operations
attributable to China Distance Education Holdings Limited.
Net income from discontinued operations was US$0.02 million for the second quarter of fiscal
2012, compared to net loss from discontinued operations of
US$0.01 million in the same period
last year.
Net Income. Net income was
US$2.8 million for the second quarter
of fiscal 2012, compared to net income of US$0.4 million in the same period last year.
Non-GAAP(1) net income for the second quarter of fiscal 2012 was
US$2.9 million, compared to non-GAAP
net income of US$1.4 million in the
same period last year.
Operating Cash Flow.Net operating cash
inflow for the second quarter of fiscal 2012 was US$4.8 million, compared to a net operating cash
inflow of US$2.7 million in the same
period last year. The increase was primarily the result of
increased profit generated in the quarter, decrease in accounts
receivable and deferred cost, increase in income tax payable, and
higher deferred revenue and refundable fees balance resulted
primarily from increased payments by our students to obtain our
courses. Such increase was partially offset by increase in
prepayment and other current assets, and inventories.
Cash and Cash Equivalents, Term Deposits and
Restricted Cash. Cash and cash equivalents, term
deposits and restricted cash as of March 31,
2012 increased to US$54.5
million from US$49.7 million
as of December 31, 2011 primarily due
to US$4.8 million of operating cash
flow generated from operations in the quarter, partially offset by
US$0.5 million of capital
expenditures.
Third Quarter Fiscal 2012 Guidance —
The Company expects to generate total net revenues from continuing
operations for the third quarter of fiscal 2012 in the range of
US$12.3 million to US$13.3 million,
as compared to net revenues from continuing operations of
US$12.1 million in the third quarter
of fiscal 2011, representing a 2% to 10% year-over-year increase.
This represents our current and preliminary view, which is subject
to change.
(1) For more information
about the non-GAAP financial measures contained in this press
release, please see "Use of Non-GAAP Financial Measures"
below
|
Conference Call
China Distance Education Holdings Limited senior management will
host a conference call at 8:00 am
(Eastern) / 5:00 am (Pacific) /
8:00 pm (Beijing/Hong
Kong) on May 17, 2012 to
discuss its second fiscal quarter 2012 financial results and recent
business activity. The conference call may be accessed by
calling +1 866 519 4004 (US), 800 930 346 (Hong Kong), 800 819 0121 (China Land-line), 400 620 8038 (China Mobile),
or 0 808 234 6646 (UK). The pass code is CDEL.
A telephone replay will be available shortly after the call
until May 24, 2012 at +1 866 214 5335
(US), 800 901 596 (Hong Kong), 10
800 714 0386 (China North), 10 800 140 0386 (China South), or 0 800 731 7846 (UK). The Pass
code is 76311305.
A live webcast of the conference call and replay will be
available on the investor relations page of China Distance
Education Holdings Limited's website at:
http://ir.cdeledu.com/versions/Financials_en/EarningsAnnouncements_en.html
About China Distance Education Holdings Limited
China Distance Education Holdings Limited is a leading provider
of online education in China
focusing on professional education. The courses offered by the
Company through its websites are designed to help professionals and
other course participants obtain and maintain the skills, licenses
and certifications necessary to pursue careers in China in the areas of accounting, law,
healthcare, construction engineering, and other industries. The
Company also offers online test preparation courses to self-taught
learners pursuing higher education diplomas or degrees and to
secondary school and college students preparing for various
academic and entrance exams. In addition, the Company offers online
foreign language courses and offline business start-up training
courses. For further information please visit
http://ir.cdeledu.com.
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," "may," "should," "potential," "continue," "expect,"
"anticipate," "future," "intend," "plan," "believe," "is/are likely
to," "estimate" and similar statements. Among other things, the
outlook for the third quarter of the fiscal year 2012 and the
quotations from management in this announcement, the impact on us
of the delayed timing of the APQE and CPA exams, as well as the
Company's strategic and operational plans, contain forward-looking
statements. The Company may also make written or oral
forward-looking statements in its periodic reports to the SEC in
its annual report to shareholders, in press releases and other
written materials and in oral statements made by its officers,
directors or employees to third parties. 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: our goals and growth strategies; our
future prospects and market acceptance of our online and offline
courses and other products and services; our future business
development and results of operations; projected revenues, profits,
earnings and other estimated financial information; projected
enrollment numbers; our plans to expand and enhance our online and
offline courses and other products and services; competition in the
education and test preparation markets; and Chinese laws,
regulations and policies, including those applicable to the
Internet and Internet content providers, the education and
telecommunications industries, mergers and acquisitions, taxation
and foreign exchange.
Further information regarding these and other risks is included
in the Company's annual report on Form 20-F and other documents
filed with the SEC. The Company 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.
Statement Regarding Unaudited Financial Information
The unaudited financial information set forth above is
preliminary and subject to adjustments. Adjustments to the
financial statements may be identified when audit work is performed
for the year-end audit, which could result in significant
differences from this preliminary unaudited financial
information.
Use of Non-GAAP Financial Measures
To supplement the Company's consolidated financial results
presented in accordance with U.S. generally accepted accounting
principles, or GAAP, the Company uses the following measures
defined as non-GAAP financial measures: non-GAAP net income,
operating income, gross profit, cost of sales, selling expenses,
general and administrative expenses, net income margin, operating
margin, gross profit margin and basic and diluted earnings per ADS
and per share. 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 comparable GAAP measures" set forth at the
end of this release.
The Company believes that these non-GAAP financial measures
provide meaningful supplemental information regarding its
performance and liquidity by excluding share-based compensation
expenses that may not be indicative of its operating performance
from a cash perspective. The Company 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 the Company's historical
performance and liquidity. The Company computes its non-GAAP
financial measures using the same consistent method from quarter to
quarter. The Company 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
excluding share-based compensation expenses from the
above-mentioned line items and presenting these non-GAAP measures
is that such charges may continue to be for the foreseeable future
a significant recurring expense in our business. Management
compensates for this limitation by providing specific information
regarding the GAAP amounts excluded from each non-GAAP measure. The
accompanying table at the end of this release provides more detail
on the reconciliations between GAAP financial measures that are
most directly comparable to non-GAAP financial measures.
Contacts:
China Distance Education
Holdings Limited
Lingling Kong, IR
manager
Tel:
+86-10-8231-9999 ext1805
Email:
IR@cdeledu.com
|
Investor Relations
(HK):
Mahmoud Siddig, Managing
Director
Taylor
Rafferty
Tel: +852 3196
3712
Email:
cdel@taylor-rafferty.com
|
Financial Tables Follow
China Distance
Education Holdings Limited
|
Consolidated Balance
Sheets
|
(in thousands of US
Dollars, except number of shares and per share data)
|
|
|
|
|
|
|
|
September 30,
2011
|
|
March 31, 2012
|
|
(Derived from
audited)
|
|
(Unaudited)
|
Assets:
|
|
|
|
Current
assets:
|
|
|
|
|
Cash and cash
equivalents
|
49,738
|
|
46,459
|
|
Term deposit
|
7,839
|
|
7,940
|
|
Restricted
cash
|
2,676
|
|
90
|
|
Accounts receivable, net
of allowance for doubtful accounts of US$3,190
and US$3,250 as of September 30, 2011 and March 31, 2012,
respectively
|
4,661
|
|
3,435
|
|
Inventories
|
363
|
|
692
|
|
Prepayment and other
current assets
|
2,861
|
|
3,878
|
|
Deferred tax assets,
current portion
|
1,556
|
|
1,555
|
|
Deferred cost
|
1,868
|
|
1,533
|
|
Current assets of
discontinued operations
|
2,306
|
|
1,649
|
|
Total
current assets
|
73,868
|
|
67,231
|
|
|
|
|
|
Non-current
assets:
|
|
|
|
|
Property, plant and
equipment, net
|
8,586
|
|
8,791
|
|
Goodwill
|
7,403
|
|
7,496
|
|
Other intangible assets,
net
|
2,382
|
|
1,993
|
|
Deposit for purchase of
non-current assets
|
242
|
|
217
|
|
Long term loan to
employees
|
-
|
|
3,918
|
|
Deferred tax assets,
non-current portion
|
668
|
|
611
|
|
Other non-current
assets
|
729
|
|
968
|
|
Total
non-current assets
|
20,010
|
|
23,994
|
|
|
|
|
|
|
Total
assets
|
93,878
|
|
91,225
|
|
|
|
|
|
Liabilities and
equity:
|
|
|
|
Current
liabilities:
|
|
|
|
|
Accrued expenses and
other liabilities (including accrued expenses
and other liabilities of the consolidated VIE without recourse to
China
Distance Education Holdings Limited of US$5,738 and US$6,877 as
of
September 30, 2011 and March 31, 2012, respectively)
|
6,514
|
|
7,625
|
|
Dividend payable
(including dividend payable of the consolidated VIE without
recourse to China Distance Education Holdings Limited of nil and
nil as of
September 30, 2011 and March 31, 2012, respectively)
|
-
|
|
348
|
|
Income tax payable
(including income tax payable of the consolidated VIE
without recourse to China Distance Education Holdings Limited of
US$2,170
and US$2,314 as of September 30, 2011 and March 31, 2012,
respectively)
|
2,329
|
|
2,212
|
|
Deferred revenue
(including deferred revenue of the consolidated VIE without
recourse to China Distance Education Holdings Limited of US$7,848
and
US$13,553 as of September 30, 2011 and March 31, 2012,
respectively)
|
7,861
|
|
13,555
|
|
Refundable fees
(including refundable fees of the consolidated VIE without
recourse to China Distance Education Holdings Limited of US$2,580
and
US$2,222 as of September 30, 2011 and March 31, 2012,
respectively)
|
2,580
|
|
2,222
|
|
Current liabilities of
discontinued operations (including current liabilities of
discontinued operations of the consolidated VIE without recourse to
China
Distance Education Holdings Limited of US$1,860 and US$945 as of
September
30, 2011 and March 31, 2012, respectively)
|
1,860
|
|
945
|
|
Total
current liabilities
|
21,144
|
|
26,907
|
|
|
|
|
|
|
Total
liabilities
|
21,144
|
|
26,907
|
|
|
|
|
|
Equity:
|
|
|
|
|
Ordinary shares (par
value of US$0.0001 per share at September 30, 2011 and
March 31, 2012, respectively; Authorized – 480,000,000 shares at
September 30,
2011 and March 31, 2012; Issued and outstanding – 127,800,673 and
135,557,585
shares at September 30, 2011 and March 31, 2012,
respectively)
|
13
|
|
14
|
|
Additional paid-in
capital
|
78,804
|
|
66,669
|
|
Accumulated other
comprehensive income
|
4,221
|
|
4,770
|
|
Cumulative
deficits
|
(10,304)
|
|
(7,135)
|
|
Total China Distance Education Holdings Limited
shareholders' equity
|
72,734
|
|
64,318
|
|
Total
equity
|
72,734
|
|
64,318
|
|
Total
liabilities and equity
|
93,878
|
|
91,225
|
China Distance
Education Holdings Limited
|
Unaudited
Consolidated Statements Of Operations
|
(in thousands of US
dollars, except number of shares, per share and per ADS
data)
|
|
|
Three Months
Ended March 31,
|
|
2011
|
|
2012
|
|
|
|
|
Sales, net of
business tax, value-added tax and related
surcharges:
|
|
|
|
|
Online education
services
|
6,747
|
|
9,202
|
|
Books and reference
materials
|
1,285
|
|
1,280
|
|
Others
|
993
|
|
1,853
|
|
Total
net revenues
|
9,025
|
|
12,335
|
|
|
|
|
|
Cost of
sales
|
|
|
|
|
Cost of
services
|
(3,586)
|
|
(4,683)
|
|
Cost of tangible goods
sold
|
(739)
|
|
(637)
|
|
Total
cost of sales
|
(4,325)
|
|
(5,320)
|
|
|
|
|
|
Gross
profit
|
4,700
|
|
7,015
|
|
|
|
|
Operating
expenses
|
|
|
|
|
Selling
expenses
|
(1,948)
|
|
(1,717)
|
|
General and
administrative expenses
|
(2,422)
|
|
(2,073)
|
|
Total
operating expenses
|
(4,370)
|
|
(3,790)
|
Other operating
income
|
2
|
|
-
|
|
|
|
|
|
Operating
income
|
332
|
|
3,225
|
|
|
|
|
Interest
income
|
198
|
|
229
|
Exchange loss
|
(26)
|
|
(16)
|
|
|
|
|
|
Income before
income taxes
|
504
|
|
3,438
|
Less: Income tax
expense
|
(101)
|
|
(658)
|
Net income from
continuing operations
|
403
|
|
2,780
|
Net loss of continuing
operations attributable to noncontrolling interest
|
58
|
|
-
|
|
|
|
|
|
Net income
from continuing operations attributable to China
Distance Education
Holdings Limited
|
461
|
|
2,780
|
|
|
|
|
Net income (loss) from
discontinued operations attributable to China Distance Education
Holdings
Limited, net of tax
|
(12)
|
|
21
|
|
|
|
|
Net income
attributable to China Distance Education Holdings
Limited
|
449
|
|
2,801
|
Net income (loss)
per share:
|
|
|
|
Net income (loss)
attributable to China Distance Education Holdings
Limited shareholders
|
|
|
|
|
Basic from continuing
operations
|
0.003
|
|
0.021
|
|
Basic from discontinued
operations
|
(0.000)
|
|
0.000
|
|
Basic
|
0.003
|
|
0.021
|
|
|
|
|
|
|
Diluted from continuing
operations
|
0.003
|
|
0.021
|
|
Diluted from
discontinued operations
|
(0.000)
|
|
0.000
|
|
Diluted
|
0.003
|
|
0.021
|
Net income (loss)
per ADS:
|
|
|
|
Net income (loss)
attributable to China Distance Education Holdings
Limited shareholders
|
|
|
|
|
Basic from continuing
operations
|
0.013
|
|
0.082
|
|
Basic from discontinued
operations
|
(0.000)
|
|
0.001
|
|
Basic
|
0.013
|
|
0.083
|
|
|
|
|
|
|
Diluted from continuing
operations
|
0.013
|
|
0.082
|
|
Diluted from
discontinued operations
|
(0.000)
|
|
0.000
|
|
Diluted
|
0.013
|
|
0.082
|
|
|
|
|
Weighted average
shares used in calculating net income (loss)
per share:
|
|
|
|
|
Basic
|
136,461,653
|
|
135,562,521
|
|
Diluted
|
136,555,042
|
|
136,024,388
|
China Distance
Education Holdings Limited
|
Unaudited
Reconciliation of non-GAAP measures to comparable GAAP measures
from continuing operations
|
(In thousands of US
Dollars, except number of shares, per share and per ADS
data)
|
|
|
|
|
|
Three Months
Ended March 31,
|
|
|
2011
|
|
2012
|
|
|
|
|
|
Cost of sales
|
|
4,325
|
|
5,320
|
Share-based compensation
expense in cost of sales
|
|
325
|
|
13
|
Non-GAAP cost of
sales
|
|
4,000
|
|
5,307
|
|
|
|
|
|
Selling
expenses
|
|
1,948
|
|
1,717
|
Share-based compensation
expense in selling expenses
|
|
108
|
|
10
|
Non-GAAP selling
expenses
|
|
1,840
|
|
1,707
|
|
|
|
|
|
General and
administrative expenses
|
|
2,422
|
|
2,073
|
Share-based compensation
expense in general and administrative expenses
|
|
479
|
|
81
|
Non-GAAP general and
administrative expenses
|
|
1,943
|
|
1,992
|
|
|
|
|
|
Gross profit
|
|
4,700
|
|
7,015
|
Share-based compensation
expenses
|
|
325
|
|
13
|
Non-GAAP gross
profit
|
|
5,025
|
|
7,028
|
|
|
|
|
|
Gross profit
margin
|
|
52.1%
|
|
56.9%
|
Non-GAAP gross profit
margin
|
|
55.7%
|
|
57.0%
|
|
|
|
|
|
Operating
income
|
|
332
|
|
3,225
|
Share-based compensation
expenses
|
|
912
|
|
104
|
Non-GAAP operating
income
|
|
1,244
|
|
3,329
|
|
|
|
|
|
Operating
margin
|
|
3.7%.
|
|
26.1%
|
Non-GAAP operating
margin
|
|
13.8%
|
|
27.0%
|
|
|
|
|
|
Net income attributable
to China Distance Education Holdings Limited
|
|
461
|
|
2,780
|
Share-based compensation
expenses
|
|
912
|
|
104
|
Non-GAAP net income
attributable to China Distance Education Holdings
Limited
|
|
1,373
|
|
2,884
|
|
|
|
|
|
Net income margin
attributable to China Distance Education Holdings
Limited
|
|
5.1%
|
|
22.5%
|
Non-GAAP net income
margin attributable to China Distance Education Holdings
Limited
|
|
15.2%
|
|
23.4%
|
|
|
|
|
|
Net income per
share—basic
|
|
0.003
|
|
0.021
|
Net income per
share—diluted
|
|
0.003
|
|
0.021
|
Non-GAAP net income per
share—basic
|
|
0.010
|
|
0.021
|
Non-GAAP net income per
share—diluted
|
|
0.010
|
|
0.021
|
|
|
|
|
|
Net income per ADS
attributable to China Distance Education Holdings Limited
shareholders—basic (note 1)
|
|
0.013
|
|
0.082
|
Net income per ADS
attributable to China Distance Education Holdings Limited
shareholders—diluted (note 1)
|
|
0.013
|
|
0.082
|
Non-GAAP net income per
ADS attributable to China Distance Education Holdings Limited
shareholders—basic (note 1)
|
|
0.040
|
|
0.085
|
Non-GAAP net income per
ADS attributable to China Distance Education Holdings Limited
shareholders—diluted (note 1)
|
|
0.040
|
|
0.085
|
|
|
|
|
|
Weighted average shares
used in calculating basic net income per share
|
|
136,461,653
|
|
135,562,521
|
Weighted average shares
used in calculating diluted net income per share
|
|
136,555,042
|
|
136,024,388
|
Weighted average shares
used in calculating basic non-GAAP net income per share
|
|
136,461,653
|
|
135,562,521
|
Weighted average shares
used in calculating diluted non-GAAP net income per
share
|
|
136,555,042
|
|
136,024,388
|
|
|
|
|
|
Note 1: Each ADS
represents four ordinary shares
|
SOURCE China Distance Education Holdings Limited