RYB Education Q2 Revenue Rises Four-Fold; Gang Chen Named As Chairman

RYB Education Inc RYB reported second-quarter FY21 revenue growth of 318.1% year-on-year, to $53.4 million.
Service revenues jumped 342.2% Y/Y, and the product revenue rose 80%.
The number of students enrolled at directly operated facilities was 37,166 as of June 30, 2021.
Gross profit was $14.5 million, compared with a gross loss of $(9.5) million last year. The gross margin was 27.2%.
The operating margin was 16%, and operating income for the quarter was $8.6 million.
Adjusted net income per ADS was $0.23 versus $(0.43) last year. Adjusted EBITDA for the quarter was $13.2 million.
RYB Education held $72.8 million in cash and equivalents as of June 30, 2021. Cash generated from operating activities totaled for the quarter $0.2 million.
"The recurrences of some COVID-19 cases in some regions during the first half of this year, however, cast some impact on the play-and-learn center operations," said CEO Yanlai Shi.
RYB Education said Chimin Cao has resigned as the chairman of the Board of directors. Cao will remain as a director of the Board and be re-designated as the honorary chairman.
Cen Shi resigned as a director and got re-designated as an observer of the Board. The company has appointed Gang Chen as the chairman of the Board, effective September 17, 2021.
Outlook: RYB sees Q3 revenue of $41 million - $42 million, representing a Y/Y increase of 26% - 29%.
Price action: RYB shares are trading higher by 3.09% at $3.00 on the last check Friday.