Event: the company's FY2022H1 revenue and net profit increased by 31.7% and 17.2% respectively. The company's FY2022H1 revenue increased by 31.7% to 1.036 billion yuan, and its net profit increased by 17.2% to 345 million yuan. FY2022H1, the company's gross profit margin is reduced to 40.2%, mainly because the company adheres to the connotative development strategy and increases the investment in talent and teaching; the sales expense rate also increases by 0.5PCTs to 1.5%, mainly due to the company's increased investment in new media, as well as the combination of Gansu schools and Zhengzhou schools; the management expense rate is also reduced by 0.9PCTs to 5.6%. To sum up, the company's FY2022H1 homing net interest rate also fell by 5.4PCTs to 33.3%. The company intends to pay an interim dividend of RMB 0.106 per share.
It has a 100% stake in eight schools, laying the foundation for high-quality connotative development. According to the company's FY2021 annual report, the number of students enrolled in the company's eight schools increased by 14.4% to 144000 in the 2021-2022 school year, accompanied by the consolidation of Zhengzhou School in September 2021, and the company acquired the remaining 26.09% stake in Northeast School in November 2011. at present, the company already owns 100% equity in 8 schools, laying a solid foundation for high-quality connotative development.
Continue to increase investment in teaching and strengthen the core competitiveness of colleges and universities. The professional settings of the company's colleges and universities focus on the sunrise industry, offering new majors including intelligent manufacturing engineering, big data technology, network and new media, and expanding key areas such as manufacturing, pension, care and other livelihood shortage of professional settings. In terms of talents, the company introduced more than 500 high-end talents, increased the number of teachers with a master's degree or above by 21%, and improved the overall salary and treatment of teaching staff in core posts to create a high-quality teaching staff team. In terms of hardware, the company continues to upgrade experimental training rooms, intelligent teachers and other teaching facilities. In terms of digitalization, the company has further upgraded the intelligent cloud teaching platform to provide online and offline integrated teaching experience and improve the quality of personnel training.
With the deepening of cooperation between schools and enterprises, the employment rate of graduates is outstanding. In terms of school-enterprise cooperation, the company has carried out in-depth cooperation with Tencent and other well-known enterprises at home and abroad to build 34 industrial colleges and 163employment classes for famous enterprises, and the talent training mode is becoming more and more mature. Based on this, the company achieved an eye-catching employment performance of graduates. By the end of 2021, the average employment rate of the group reached 98%, and the number of high-quality employment increased by 76% over the same period last year. Gansu schools and Guangxi schools ranked first in similar colleges and universities in the province.
Investment advice. The company insists on running a high-quality school, has a competitive advantage in industry-education integration and collectivization operation, and has an outstanding effect of merger and acquisition of schools in the early stage. With the completion of the 100% equity merger of all eight schools, follow-up high-quality connotative growth is expected to continue to drive performance improvement. Based on the FY2021 report, taking into account the increase in costs brought about by the company's high-quality school, we adjust the company's FY2022-2024 homing net profit forecast to RMB 665, 764, 000, 100, 000, 100, 000, 100, 000, 100, 000
Risk hint: the detailed rules for the implementation of the regulations on the implementation of the people's Promotion Law have not yet been landed, and the company's operation and profitability are not up to expectations.