Xueda Education Group (NYSE: XUE) (“Xueda” or the “Company”), the leading national provider of tutoring services for primary and secondary school students in China with a focus on offering personalized tutoring services, today announced its unaudited financial results for the second quarter of 2011.
Second Quarter 2011 Highlights
- Total net revenue for the second quarter 2011 increased by 52.6% year-over-year to $71.6 million from $47.0 million for the second quarter of 2010.
- Gross profit for the second quarter 2011 increased by 46.4% year-over-year to $29.0 million from $19.8 million for the second quarter of 2010.
- Income from operations for the second quarter of 2011 increased by 75.7% year-over-year to $15.6 million from $8.9 million for the second quarter of 2010.
- Net income for the second quarter of 2011 increased by 80.2% year-over-year to $15.1 million from $8.4 million for the second quarter of 2010.
- Total number of learning centers increased to 256, covering 61 cities, as of the end of the second quarter of 2011, up from 218 learning centers covering 54 cities as of the end of the previous quarter. As of the end of the second quarter of 2010, total number of learning centers was 157, covering 44 cities.
- Course hours delivered in the second quarter of 2011 increased by 38.1% year-over-year to 2.9 million hours from 2.1 million hours for the second quarter of 2010.
- Total number of students served in the second quarter of 2011 increased by 50.7% year-over-year to approximately 66,340 students from approximately 44,020 students for the second quarter of 2010.
- Average hourly course fee in the second quarter of 2011 increased by 10.9% year-over-year to $26.2 from $23.6 in the second quarter of 2010.
Commenting on the results, Mr. Xin Jin, co-founder and Chief Executive Officer of Xueda, stated, “We are very gratified by the results of the second quarter. Our business model is returning strong results while at the same time delivering a superior educational experience to our students. A survey of thousands of our students who took the college entrance exams this year indicates that 95% of students surveyed were admitted to universities and colleges in China, and with such success it is no wonder that Xueda was selected to act as the organizer of the 2011 International Conference on Personalized Education that was held last week in Beijing. We have established Xueda as the premier provider of personalized education in China, and we intend to continue to grow through expansion of our learning center network, new offerings to students and developing our online presence. We think the future is very bright for our company.”