Lixiang Education recently announced its performance in the 2023 semi annual report. In the first half of the year, Lixiang Education achieved a total revenue of 25.9907 million yuan, a year-on-year increase of 14.23%.
Among them, in terms of tuition fees and accommodation income, the vocational education business contributed 12.7 million yuan during the period, mainly from Langfang Urban Rail Transit Technical School (hereinafter referred to as Langfang School), with a year-on-year increase of 82.7%, mainly due to the comprehensive impact of new student enrollment and the increase in average tuition fees for the new semester; During high school education, Qingtian Overseas Chinese International School contributed 8 million yuan in income, a year-on-year increase of 44.7%, mainly due to the enrollment of new students.
In the first half of the year, the comprehensive service income for flexible employment was 800000 yuan, a year-on-year decrease of 86.44%, mainly due to the sluggish economic situation in 2023. After the epidemic, the demand for employment temporarily decreased in the first half of 2023, and the company is still actively searching for potential customers to bridge the supply and demand gap between employers and talents.
In addition, due to a decrease in the number of school uniforms and learning materials purchased by students from Langfang School, the revenue contribution from the sales of meals, uniforms, and learning materials in the first half of the year decreased by approximately 43.33% year-on-year. In terms of other income, in the first half of 2023, the enrollment consulting services for international students amounted to 1.3 million yuan, rental income from third parties amounted to 700000 yuan, and related parties amounted to 400000 yuan.
In terms of profit, Lixiang Education achieved a gross profit of 6.1 million yuan in the first half of the year, a year-on-year increase of 12.96%. The net loss was 8.2497 million yuan, an increase of 63.37% year-on-year.
In terms of expenses and costs, the revenue and costs in the first half of the year were 19.9 million yuan, an increase of 14.37% year-on-year. Mainly including an increase of 3.3 million yuan in teacher salaries, bonuses, social security, and benefits, mainly due to the optimization of teacher structure and the increase in salary incentives for teacher motivation; The increase in rental costs and other water and electricity expenses of 600000 yuan was partially offset by a decrease of 1.6 million yuan in wages and benefits for flexible employment comprehensive service interns.
The total operating expenses were 12.6 million yuan, a year-on-year decrease of 25.44%. Among them, general and administrative expenses were 12.2 million yuan, a year-on-year decrease of 23.19%, mainly due to the optimization of management structure and cost control, resulting in a decrease of 2.8 million yuan in wages, bonuses, social security and welfare expenses; After the epidemic, the rental market prices decreased, resulting in a decrease of 500000 yuan in rental fees. The sales and marketing expenses were 400000 yuan, a year-on-year decrease of 60.15%, mainly due to the reduction in training expenses for marketing personnel.
As of June 30, 2023, the total balance of cash and cash equivalents, as well as short-term investments, of Lixiang Education was 240.1 million yuan, a decrease of 2.71% from 246.8 million yuan as of December 31, 2022. The main reason for the decrease is the repayment of loans from external schools during the period, partially offset by prepaid tuition and accommodation fees paid by students, as well as bank loan income.