On the evening of February 27th Beijing time, Dana Education announced before the US stock market that, according to the resolution of the shareholders' meeting on February 20th, the name of the listed company has been officially changed from "Tarena International Inc." to "TCTM Kids IT Education Inc." and will take effect on February 28th Eastern Time.
According to public information, Dane Education was founded in 2002 and listed on the NASDAQ Stock Exchange in April 2014, becoming the first IT training enterprise in China to be listed in the United States. "Tongcheng Tongmei" is a children's programming education sub brand launched by Dane Education in 2015.
According to public information, Danei Education has separated its IT training business from the listed company system, and the business scope of the listed company will be changed to children's programming education business, Tongcheng Tongmei.
Earlier on January 10, 2024, Danone Education's stock trading code on NASDAQ had been changed from "TEDU" to "TCTM". With the completion of this company name modification, Tongcheng Tongmei (NASDAQ: TCTM) has become the first American listed company in the field of children's programming education in China.
Established 22 years ago, both the main business and the "second curve" business have entered the leading position in the industry
At the beginning of its establishment, the main business of Dane Education was to provide IT skills training for college students. Since then, it has continued to deepen adult vocational education and set foot in many fields such as university industry education integration, school enterprise cooperation, etc. At present, Dane Education has carried out a variety of in-depth cooperation with more than 200000 well-known enterprises at home and abroad, including employer relationship cooperation, and has helped more than 1.2 million college students successfully enter well-known IT Internet enterprises at home and abroad.
In November 2015, the "Tongcheng Tongmei" brand was officially launched and quickly became the "second curve" of Danone's education business development in the following eight years. Tongcheng Tongmei mainly provides children's programming and robot education solutions for the Chinese youth group aged 3-18, providing one-stop, full chain programming learning planning, products and services.
As of now, Tongcheng Tongmei has established over 200 directly operated offline learning centers in 53 cities across the country, as well as the independently developed online learning system "Tongcheng Online". With over 5000 employees and over 200000 students, it is currently the largest comprehensive offline children's programming education institution in China.
With an annual revenue of 1.4 billion yuan, Tongcheng Tongmei became the first children's programming American listed company in China
After the restructuring and renaming, Tongcheng Tongmei has become the first US listed company in China to focus on children's programming education.
According to financial report data, in the entire year of 2022, under the Danei education system, Tongcheng Tongmei, as the "second curve", achieved a revenue of 1.4 billion yuan, accounting for 56.7% of the contribution, exceeding half of the share. In the first half of 2023, Tongcheng Tongmei achieved a revenue of nearly 600 million yuan, with a further increase in revenue contribution to 64.3%.
According to a research report by Huatai Securities, the current penetration rate of China's children's programming market is less than 2%. It is expected that with the gradual increase of penetration rate, the scale of China's children's programming industry is expected to reach about 50 billion yuan by 2025, with a 23-25E CAGR of about 10.79%. Considering that the concentration of the children's programming industry is still relatively low so far, there will be huge room for improvement in the future for Tongcheng and Tongmei.
Han Shaoyun, founder and chairman of Tongcheng Tongmei, stated that this strategic adjustment will make the listed company more focused on children's programming business, in order to provide more competitive training products and services for children's programming customers. At the same time, the focus on managing resources will also be further enhanced.