VANCOUVER, BRITISH COLUMBIA–(Marketwired – Nov. 30, 2016) – 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 financial results for the third quarter of 2016. All figures are expressed in U.S. dollars.
China Education Resources generated gross revenues of $1,914,856 (RMB 12,934,161) in the third quarter of 2016. This is compared to gross revenue of $2,414,871 (RMB 15,430,428) for the same period in 2015. It recorded a net income attributable to shareholders of $511,406 as compared to a net profit attributable to shareholders of $369,437 for the same period in 2015.
During the nine months ended September 30, 2016, the Company generated revenue of $9,856,034 (RMB 64,850,863) as compared with $9,811,465 (RMB 61,213,832) for the same period in 2015. The net profit attributable to the shareholders of the Company for the period was $1,553,454 as compared to $924,083 net profit for the same period in 2015.
The Q3 of 2016 financial highlights are as summarized as follows:
| 2016 | 2015 | Percentage | |
| (USD) | (USD) | change | |
| Consolidated Statements of Comprehensive Income | |||
| Three months ended September 30, | |||
| Book sales and distribution services | 844,982 | 1,565,384 | -46.0% |
| Online products | 1,069,874 | 849,487 | 25.9% |
| Total revenue | 1,914,856 | 2,414,871 | -20.7% |
| Net income attributable to shareholdersof the Company for the three months | 511,406 | 369,437 | 38.4% |
As all of our sales revenue were generated in China in Chinese local currency, Renminbi (“RMB”), their amounts are summarized below for strict forward comparison purpose without the impact of conversion into USD with different exchange rates at different period of time:
| 2016 | 2015 | Percentage | |
| (RMB) | (RMB) | change | |
| Consolidated Statements of Comprehensive Income | |||
| Nine months ended September 30, | |||
| Book sales and distribution services | 31,256,462 | 32,784,595 | -4.7% |
| Online products | 33,594,401 | 28,429,237 | 18.2% |
| Total revenue | 64,850,863 | 61,213,832 | 5.9% |
The sales revenue for the third quarter of 2016 decreased as compared with the same period of last year. However, the net income attributable to shareholders increased in the third quarter of 2016 as compared with the same period of last year.
The sales revenue and net income attributable to shareholders for the nine-month period ended September 30, 2016 both increased as compared with the same period of last year.
“We are pleased with our overall performance for the nine-month period ended September 30, 2016, and the operating performance of the company is expected strong for the remaining of the year.” said Chengfeng Zhou, CEO, China Education Resources. “We have launched our soccer education online platform which integrates the functions of CER online teacher training platform and school platform. Together with our partners, we will create a brand new student soccer learning and training model with high quality soccer textbook contents together with the leading edge online training platform for K to 12 students and teachers. We expect our unique and comprehensive blend of education resources and services will provide CER with long-term revenue potential.” 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.
The TSX Venture Exchange has not reviewed, and does not accept, responsibility for the adequacy or accuracy of the contents of this press release.
