Shanghai-based Gench Education reported first-half 2026 revenue of RMB569.18 million, up 6.6% year on year, driven chiefly by stronger tuition and boarding income, which together added RMB28.40 million.

Gross profit advanced 11.7% to RMB354.28 million, pushing the margin to 62.2%, a 2.8-percentage-point improvement, as higher average fees offset essentially flat cost of sales at RMB214.90 million.

Net profit attributable to shareholders rose 10.2% to RMB178.62 million, while basic earnings per share climbed to RMB0.45 from RMB0.41.

Administrative expenses expanded 19.8% to RMB125.14 million, reflecting campus renovation and higher professional fees, though staff costs were trimmed 9.8%. Finance costs dropped 69.0% to RMB4.04 million after a sharp reduction in interest-bearing borrowings to RMB276.67 million.

Operating cash outflow reached RMB158.25 million, impacted by the cyclical timing of tuition receipts. Cash and cash equivalents fell 57.3% to RMB167.43 million versus end-2025, leaving the gearing ratio unchanged at 0.1. Capital expenditure during the period was RMB44.47 million, mainly for teaching facilities and campus upgrades.

The board declared an interim dividend of HK$0.04 per share, down from HK$0.10 a year earlier, payable on or around 23 October 2026 to shareholders on record 9 October 2026.

Operationally, the university now offers 42 undergraduate and 10 junior college programmes, added two new majors—Artificial Intelligence and Electronic Packaging Technology—and maintained a student employment rate above 99%. The institution continues to leverage supportive policies for vocational education and the Lingang New Area’s industry-education integration initiative to strengthen applied learning and expand industrial college projects.

Looking ahead, Gench Education intends to deepen industry collaboration in the strategic Lingang zone, pursue digital and international expansion, and sustain quality-driven growth while managing costs and capital allocation.