Tarena Clocks 11% Growth In Q2 Revenue; Appoints New CFO

Tarena International Inc TEDU reported second-quarter FY22 sales growth of 11.4% year-on-year, to RMB648.8 million ($96.9 million) versus RMB582.3 million last year.
Total student enrollments in childhood & adolescent quality education business increased 25.9% to 176,500.
Gross profit increased 27.9% Y/Y to RMB376.5 million ($56.2 million), and the gross margin expanded 740 basis points to 58%.
The operating margin was 7.4%, and operating income for the quarter was RMB48 million versus a loss of RMB(90.7) million last year.
The company held RMB425.6 million ($63.5 million) in cash and equivalents as of June 30, 2022.
Diluted income per American Depository Share (ADS) was RMB4.29 ($0.64) compared to a loss per ADS of RMB(6.97) last year.
The board of directors of Tarena has appointed Ping Wei as its Chief Financial Officer (CFO), effective August 16.
Outlook: Tarena sees Q3 revenue of RMB620 million - RMB650 million, representing an increase of 0.8% - 5.7% Y/Y.
Price Action: TEDU shares are trading higher by 8.08% at $6.15 in premarket on the last check Tuesday.