VANCOUVER, BRITISH COLUMBIA–(Marketwired – May 2, 2017) – China Education Resources, Inc. (“CER”) (TSX VENTURE:CHN)(OTCQX:CHNUF), an edu-tech company with leading technology in intelligent system and content provider for online learning, training courses and social media for teachers, students and education professionals, announced its audited financial results for the year ended December 31, 2016. All figures are expressed in U.S. dollars except otherwise stated.
For the year ended December 31, 2016, CER reported aggregate sales revenue of $13,420,347 as compared to $12,715,834 for the same period in 2015. The Company recognized a net profit of $916,204 attributable to the shareholders for the year ended December 31, 2016 as compared to a net loss of $395,519 attributable to the shareholders for the same period in 2015.
The 2016 financial highlights are as summarized as follows:
| 2016 | 2015 | Percentage | |||||||
| (USD) | (USD) | Change | |||||||
| Consolidated Statements of Income and Comprehensive Income for the year ended December 31, 2016: | |||||||||
| Book sales and distribution services | 7,411,968 | 7,223,021 | 2.62 | % | |||||
| Online products | 6,008,379 | 5,492,813 | 9.39 | % | |||||
| Total revenue | 13,420,347 | 12,715,834 | 5.54 | % | |||||
| Net income (loss) attributable to shareholders of the Company | 916,204 | (395,519 | ) | 331.65 | % | ||||
Our sales revenue was generated in China and in Chinese local currency, Renminbi (“RMB”). If we calculate the percentage change using our functional currency RMB, we actually had an 11.53% increase in total revenue in 2016 as compared with the same period in 2015, which was much higher than the corresponding 5.54% in US dollars (“USD”) mentioned above as different exchange rates were used for the conversion of RMB into USD for different period of time.
The sales revenue and net income attributable to shareholders for the twelve-month period ended December 31, 2016 both increased as compared with the same period of last year.
CER is very delighted on having a strong operational framework and achieved both accelerated top-line growth and continued solid bottom-line performance in 2016, reflecting continuous improvement in product mix, brand recognition and optimizing the business operations.
“We are very pleased with our overall performance for the year ended December 31, 2016 and also very happy to reverse $1.33 million income tax payables on the consolidated balance sheet, which were overstated for more than 10 years,” said Chengfeng Zhou, CEO, China Education Resources. “The operating performance of the company is expected strong for the year 2017. We have been approached by different institutions and companies from various countries since we launched our soccer education online platform which integrates with the functions of CER online teacher training platform and school platform. We expect our unique and comprehensive blend of education resources and services will provide CER with long-term revenue potential. We are encouraged by the increase in utilization of our internet platform and educational social network, which work together with our existing online/offline products. We will update our shareholders on the progress.” For more information, please visit www.chinaeducationresources.com or Email: [email protected].
In collaboration with China’s education administrators and experts, China Education Resources has been helping to transform the curriculum of the world’s largest educational system. Recognizing the need to address education reform changes, China Education Resources has created educational tools and curriculum for China’s entire kindergarten through twelfth grade system. The Company is playing an integral part in transforming China’s educational system through helping to convert the existing educational system from a memory-based learning system to a creative thinking and interactive approach. Presently, China Education Resources has over 1 million kindergarten through twelfth grade teachers registered through its Web portal.
Safe Harbor Statement
Certain statements made herein, and other statements relating to matters that are not historical facts and statements of our beliefs, intentions and expectations about developments, results and events which will or may occur in the future, constitute “forward-looking information” within the meaning of applicable securities legislation. Forward-looking information and statements are typically identified by words such as “anticipate”, “could”, “should”, “expect”, “seek”, “may”, “intend”, “likely”, “plan”, “estimate”, “will”, “believe” and similar expressions suggesting future outcomes or statements regarding an outlook. All such forward-looking information and statements are based on certain assumptions and analysis made by China Education Resources, Inc.’s management in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. These statements, however, are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information or statements. Important factors that could cause actual results to differ from these forward-looking statements include those described under the heading “Risks and Uncertainties” elsewhere in the Company’s MD&A filed at www.SEDAR.com. The reader is cautioned not to place undue reliance on forward-looking information or statements. Except as required by law the Company does not assume the obligation to revise or update these forward looking statements after the date of this document or to revise them to reflect the occurrence of future, unanticipated events.
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