Document And Entity Information
Document And Entity Information | 12 Months Ended |
Jun. 30, 2021 shares | |
Document Information [Line Items] | |
Document Type | 20-F/A |
Document Registration Statement | false |
Document Annual Report | true |
Document Period End Date | Jun. 30, 2021 |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-36907 |
Entity Registrant Name | Hailiang Education Group Inc. |
Entity Incorporation, State or Country Code | E9 |
Entity Address, Address Line One | 1508 Binsheng Road, |
Entity Address, Address Line Two | Binjiang District, |
Entity Address, City or Town | Hangzhou City |
Entity Address, Country | CN |
Entity Address, Postal Zip Code | Zhejiang 310051 |
Title of 12(b) Security | Ordinary shares, par value US$0.0001 per share |
Trading Symbol | HLG |
Security Exchange Name | NASDAQ |
Entity Common Stock, Shares Outstanding | 412,450,256 |
Entity Well-known Seasoned Issuer | No |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Accelerated Filer |
Entity Emerging Growth Company | true |
Entity Ex Transition Period | false |
Document Accounting Standard | International Financial Reporting Standards |
Entity Shell Company | false |
Entity Central Index Key | 0001596964 |
Current Fiscal Year End Date | --06-30 |
Document Fiscal Year Focus | 2021 |
Document Fiscal Period Focus | FY |
Amendment Flag | true |
Amendment Description | Amendment No.1 |
ICFR Auditor Attestation Flag | false |
Business Contact | |
Document Information [Line Items] | |
Contact Personnel Name | Junwei Chen |
Entity Address, Address Line One | 1508 Binsheng Road |
Entity Address, Address Line Two | Binjiang District, |
Entity Address, City or Town | Hangzhou City |
Entity Address, Country | CN |
Entity Address, Postal Zip Code | Zhejiang 310051 |
City Area Code | (+86-571) |
Local Phone Number | 58121974 |
Contact Personnel Fax Number | 58121974 |
Contact Personnel Email Address | ir@hailiangeducation.com |
CONSOLIDATED STATEMENTS OF PROF
CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME | |||
Revenue | ¥ 1,375,790 | ¥ 1,027,373 | ¥ 1,022,795 |
Cost of revenue | (728,586) | (580,260) | (613,780) |
Gross (loss)/profit | 647,204 | 447,113 | 409,015 |
Other income, net | 46,630 | 67,070 | 20,927 |
Selling expenses | (29,737) | (13,944) | (11,796) |
Administrative expenses | (51,321) | (45,118) | (36,495) |
Operating profit/(loss) | 612,776 | 455,121 | 381,651 |
Finance income | 35,840 | 16,037 | 16,596 |
Finance costs | (1,151) | (3,435) | |
Net finance income | 34,689 | 12,602 | 16,596 |
Profit before tax | 647,465 | 467,723 | 398,247 |
Income tax expenses | (165,355) | (121,924) | (108,713) |
Profit from continuing operations | 482,110 | 345,799 | 289,534 |
Profit/(loss) from discontinued operations, net of tax | (243,337) | 24,205 | 23,058 |
Net (loss)/profit | 238,773 | 370,004 | 312,592 |
Profit attributable to the Company's shareholders: | |||
Profit from continuing operations | 483,049 | 349,983 | 267,175 |
Profit/(loss) from discontinued operations | (247,957) | 24,255 | 23,058 |
Net profit attributable to the Company's shareholders | 235,092 | 374,238 | 290,233 |
Profit/(loss) attributable to non-controlling interests | |||
Profit/(loss) from continuing operations | (939) | (4,184) | 22,359 |
Profit/(loss) from discontinued operations | 4,620 | (50) | |
Net profit/(loss) attributable to non-controlling interests | ¥ 3,681 | ¥ (4,234) | ¥ 22,359 |
Earnings per share | |||
Basic earnings per share | ¥ 0.57 | ¥ 0.91 | ¥ 0.70 |
Diluted earnings per share | 0.57 | 0.91 | 0.70 |
Earnings per share - Continuing operations | |||
Basic earnings per share | 1.17 | 0.85 | 0.65 |
Diluted earnings per share | ¥ 1.17 | ¥ 0.85 | ¥ 0.65 |
Net Profit | ¥ 238,773 | ¥ 370,004 | ¥ 312,592 |
Items that will not be reclassified to profit or loss | |||
Exchange differences on transaction of financial statements of the Company | (7,818) | 2,966 | 4,086 |
Items that are or may be reclassified subsequently to profit or loss | |||
Exchange differences on transaction of financial statements of overseas subsidiaries | 1,570 | (640) | (776) |
Other comprehensive income/(loss), net of nil income tax | (6,248) | 2,326 | 3,310 |
Total comprehensive income | 232,525 | 372,330 | 315,902 |
Total comprehensive income attributable to the Company's Shareholders: | |||
Total comprehensive income attributable to the Company's shareholders | 228,844 | 376,564 | 293,543 |
Total comprehensive income attributable to non-controlling interests: | |||
Total comprehensive income/(loss) attributable to non-controlling interests | 3,681 | (4,234) | 22,359 |
Total comprehensive income | ¥ 232,525 | ¥ 372,330 | ¥ 315,902 |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Jun. 30, 2020 |
Assets | ||
Property and equipment, net | ¥ 465,734 | ¥ 659,851 |
Intangible assets and goodwill, net | 18,300 | 97,806 |
Right-of-use assets | 502,813 | 517,609 |
Contract costs | 12,438 | 11,161 |
Prepayments to third party suppliers | 0 | 142 |
Term deposits held at a related party finance entity | 1,420,939 | 0 |
Deferred tax assets | 859 | 568 |
Non-current assets | 2,421,083 | 1,287,137 |
Other receivables due from related parties | 53,868 | 77,442 |
Other current assets | 37,785 | 36,516 |
Term deposits held at a related party finance entity | 477,303 | 921,601 |
Restricted bank deposits | 1,324 | 324 |
Cash and cash equivalents | 279,420 | 516,446 |
Current assets | 849,700 | 1,552,329 |
Total assets | 3,270,783 | 2,839,466 |
Equity | ||
Share capital | 268 | 268 |
Share premium | 134,583 | 134,583 |
Contributed capital | 197,984 | 253,034 |
Reserves | 442,953 | 396,053 |
Retained earnings | 1,424,850 | 1,242,906 |
Total Hailiang Education Group Inc. shareholders' equity | 2,200,638 | 2,026,844 |
Non-controlling interest | 16,222 | 10,797 |
Total equity | 2,216,860 | 2,037,641 |
Liabilities | ||
Contract liabilities | 132 | 3,159 |
Deferred tax liabilities | 4,736 | 4,607 |
Lease liabilities | 30,521 | 18,749 |
Non-current liabilities | 35,389 | 26,515 |
Trade and other payables due to third parties | 376,747 | 272,012 |
Other payables due to related parties | 134,982 | 156,709 |
Contract liabilities | 444,865 | 295,979 |
Income tax payable | 56,707 | 48,857 |
Lease liabilities | 5,233 | 1,753 |
Current liabilities | 1,018,534 | 775,310 |
Total liabilities | 1,053,923 | 801,825 |
Commitments and contingencies | ||
Total equity and liabilities | ¥ 3,270,783 | ¥ 2,839,466 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - CNY (¥) ¥ in Thousands | Share capital | Share premium. | Contributed capital | Translation reserve | Statutory reserve | Retained earnings. | Total Hailiang Education Group Inc. shareholders' equity | Non Controlling interests | Total |
Balance at Jun. 30, 2018 | ¥ 268 | ¥ 134,583 | ¥ 235,895 | ¥ 8,144 | ¥ 304,523 | ¥ 638,246 | ¥ 1,321,659 | ¥ 13,154 | ¥ 1,334,813 |
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY | |||||||||
Business combination under common control | 1,000 | (340) | 660 | 660 | |||||
Total comprehensive income | |||||||||
Cash consideration paid for the acquisition of affiliated entities under common control (note 21) | 1,000 | (340) | 660 | 660 | |||||
Balance at Jun. 30, 2018 | 268 | 134,583 | 235,895 | 8,144 | 304,523 | 638,246 | 1,321,659 | 13,154 | 1,334,813 |
Total comprehensive income | |||||||||
Profit for the year | 312,592 | ||||||||
Total comprehensive (loss)/income | 315,902 | ||||||||
Balance at Jun. 30, 2019 | 268 | 134,583 | 253,034 | 11,454 | 349,481 | 901,460 | 1,650,280 | 37,439 | 1,687,719 |
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY | |||||||||
Business combination under common control | 1,000 | 1,000 | 1,000 | ||||||
Adjustment on initial application of IFRS 15, net of income tax at Jul. 01, 2018 | 18,279 | 18,279 | 18,279 | ||||||
Restated balance at July 1, 2018 at Jul. 01, 2018 | 268 | 134,583 | 236,895 | 8,144 | 304,523 | 656,185 | 1,340,598 | 13,154 | 1,353,752 |
Total comprehensive income | |||||||||
Profit for the year | 0 | 0 | 0 | 0 | 0 | 290,233 | 290,233 | 22,359 | 312,592 |
Other comprehensive income/(loss) | 0 | 0 | 0 | 3,310 | 0 | 0 | 3,310 | 0 | 3,310 |
Total comprehensive (loss)/income | 0 | 0 | 0 | 3,310 | 0 | 290,233 | 293,543 | 22,359 | 315,902 |
Transfer to statutory reserve | 0 | 0 | 0 | 0 | 44,958 | (44,958) | 0 | 0 | 0 |
Contributed capital (note 17(a)(iii)) | 15,139 | 15,139 | 15,139 | ||||||
Dividends paid to a non-controlling shareholder of subsidiaries (note 18) | (7,482) | (7,482) | |||||||
Acquisition of business with non-controlling interests | 9,408 | 9,408 | |||||||
Cash consideration paid for the acquisition of affiliated entities under common control (note 21) | 1,000 | 1,000 | 1,000 | ||||||
Balance at Jun. 30, 2019 | 268 | 134,583 | 253,034 | 11,454 | 349,481 | 901,460 | 1,650,280 | 37,439 | 1,687,719 |
Total comprehensive income | |||||||||
Profit for the year | 374,238 | 374,238 | (4,234) | 370,004 | |||||
Other comprehensive income/(loss) | 2,326 | 2,326 | 2,326 | ||||||
Total comprehensive (loss)/income | 2,326 | 374,238 | 376,564 | (4,234) | 372,330 | ||||
Transfer to statutory reserve | 35,156 | (35,156) | |||||||
Contributed capital (note 17(a)(iii)) | 2,450 | ||||||||
Contribution from a non-controlling shareholder (note 18) | 2,450 | 2,450 | |||||||
Dividends paid to a non-controlling shareholder of subsidiaries (note 18) | (21,145) | (21,145) | |||||||
Liquidation of subsidiaries (note 18) | (2,364) | 2,364 | (3,713) | (3,713) | |||||
Balance at Jun. 30, 2020 | 268 | 134,583 | 253,034 | 13,780 | 382,273 | 1,242,906 | 2,026,844 | 10,797 | 2,037,641 |
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY | |||||||||
Business combination under common control | (56,866) | (56,866) | (56,866) | ||||||
Total comprehensive income | |||||||||
Profit for the year | 235,092 | 235,092 | 3,681 | 238,773 | |||||
Other comprehensive income/(loss) | (6,248) | (6,248) | (6,248) | ||||||
Total comprehensive (loss)/income | (6,248) | 235,092 | 228,844 | 3,681 | 232,525 | ||||
Transfer to statutory reserve | 53,148 | (53,148) | |||||||
Waiving liabilities from non-controlling shareholders (note 17(a)(iii)) | 1,816 | 1,816 | 1,744 | 3,560 | |||||
Cash consideration paid for the acquisition of affiliated entities under common control (note 21) | (56,866) | (56,866) | (56,866) | ||||||
Balance at Jun. 30, 2021 | ¥ 268 | ¥ 134,583 | ¥ 197,984 | ¥ 7,532 | ¥ 435,421 | ¥ 1,424,850 | ¥ 2,200,638 | ¥ 16,222 | ¥ 2,216,860 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Adjustments for: | |||
Depreciation of owned property and equipment | ¥ 42,989 | ¥ 40,321 | ¥ 37,781 |
Depreciation of right-of-use assets | 27,778 | 24,675 | 0 |
Gain on derecognition of a lease contract | (39) | ||
Interest income | (42,834) | ||
Cash flows from financing activities | |||
Loans borrowed from a related party | 4,000 | 13,000 | 9,000 |
Cash and cash equivalents at beginning of the year | 516,446 | ||
Cash and cash equivalents at the end of the year | 279,420 | 516,446 | |
Aggregate continuing and discontinued operations [member] | |||
Cash flows from operating activities | |||
Net profit for the year | 238,773 | 370,004 | 312,592 |
Adjustments for: | |||
Impairment loss on property and equipment | 174,026 | ||
Impairment loss on intangible assets and goodwill | 78,233 | ||
Depreciation of owned property and equipment | 133,420 | 136,693 | 133,316 |
Depreciation of right-of-use assets | 33,649 | 30,485 | 0 |
Gain on derecognition of a lease contract | (39) | ||
Gain on lease modification | (82) | ||
Loss on the disposal of property and equipment | 515 | 693 | 342 |
Amortization of intangible assets | 2,659 | 2,694 | 1,494 |
Net foreign exchange gain | (397) | (287) | (465) |
Interest income | (42,834) | (24,870) | (24,489) |
Interest expenses | 1,584 | 4,803 | 208 |
Income tax expenses | 166,969 | 121,924 | 108,713 |
Adjustments for Cash flows from operating activities | 786,515 | 642,100 | 531,711 |
Changes in operating assets and liabilities, net of effect of acquisitions and disposals: | |||
Other current assets and contract costs | (9,437) | 2,033 | (8,933) |
Trade and other payables due to third parties | 111,180 | 48,854 | 99,642 |
Other payables due to related parties | 11,386 | 8,503 | (3,080) |
Contract liabilities | 145,859 | (121,524) | 204,139 |
Cash generated from operating activities | 1,045,503 | 579,966 | 823,479 |
Income tax paid | (152,111) | (135,596) | (111,317) |
Net cash generated from operating activities | 893,392 | 444,370 | 712,162 |
Cash flows from investing activities | |||
Interest received | 17,990 | 25,308 | 20,592 |
Proceeds from sale of property and equipment | 737 | ||
Purchase of property and equipment | (120,160) | (128,263) | (99,810) |
Purchase of intangible assets | (366) | (935) | (1,743) |
Purchase of right-of-use assets | (524,996) | ||
Payments of restricted bank deposits | (1,000) | (1,613) | |
Collection of restricted bank deposits | 1,289 | ||
Term deposits placed with a related party finance entity | (4,180,615) | (3,816,762) | (4,709,697) |
Maturity of term deposits placed with a related party finance entity | 3,233,296 | 4,282,255 | 3,526,603 |
Repayment of loans from a related party | 21,649 | 11,850 | 12,412 |
Acquisition of an affiliated entity, net of cash acquired | 0 | 0 | (627) |
Net cash used in investing activities | (1,029,206) | (149,517) | (1,253,883) |
Cash flows from financing activities | |||
Loans borrowed from a related party | 4,000 | 13,000 | 9,000 |
Repayment of loans to related parties | (41,981) | (34,079) | (4,000) |
Repayment of interest on loans to a related party | (853) | ||
Acquisition of affiliated entities under common control | (56,866) | ||
Capital contributions | 2,450 | 1,139 | |
Payments to a non-controlling shareholder upon the liquidation of Subsidiaries | (3,713) | ||
Capital element of lease rentals paid | (3,829) | (2,721) | |
Interest element of lease rentals paid | (944) | (4,174) | |
Dividends paid to a non-controlling shareholder of subsidiaries | (21,145) | (7,482) | |
Net cash used in financing activities | (100,473) | (50,382) | (1,343) |
Net (decrease)/increase in cash and cash equivalents | (236,287) | 244,471 | (543,064) |
Cash and cash equivalents at beginning of the year | 516,446 | 271,538 | 815,306 |
Effect of movements in exchange rates on cash and cash equivalents | (739) | 437 | (704) |
Cash and cash equivalents at the end of the year | 279,420 | 516,446 | 271,538 |
Non-cash transaction: | |||
Deemed capital contribution for awards paid to the Group's teachers by the controlling shareholder | 15,000 | ||
Payables for purchase of property and equipment | ¥ 47,600 | ¥ 53,803 | ¥ 21,930 |
Reporting entity and organizati
Reporting entity and organization | 12 Months Ended |
Jun. 30, 2021 | |
Reporting entity and organization | |
Reporting entity and organization | 1 Reporting entity and organization Hailiang Education Group Inc. (the “Company”) is a holding company and is ultimately controlled by Mr. Hailiang Feng (“Mr. Feng”). The Company, its subsidiaries and consolidated affiliated entities are collectively referred to as the “Group”. The Group is principally engaged in the provision of education and management services in the People’s Republic of China (“PRC”). The Group mainly offered K-12 student management services, including accommodation and after-school enrichment services, high school curriculum education services and K-9 compulsory curriculum education services (collectively referred to as “K-12 educational services”) in schools located in 5 provinces of China, operation and management services and ancillary educational services. On May 14, 2021, the PRC State Council announced the issuance of the Implementation Regulations of the People’s Republic of China on the Law Regarding the Promotion of Private Education (the “Implementation Rules”), which became effective on September 1, 2021. Among other things, the Implementation Rules prohibit social organizations and individuals from controlling a private school that provides compulsory education by means of merger, acquisition, contractual arrangements, etc., and a private school providing compulsory education is prohibited from conducting transactions with its related parties. Compulsory education in this context means the nine years of curriculum education mandated by the PRC, consisting of six years of primary education and three years of secondary education. The Implementation Rules impose significant uncertainties over the validity of Contractual Arrangements (see below note 2(b)) that establish the corporate structure for operating compulsory education business. In the event the Group is unable to enforce these Contractual Arrangements, the Group may not be able to exert effective control over the affiliated entities providing compulsory education. In particular, under the Implementation Rules a private school providing compulsory education is prohibited from conducting transactions with its related parties, and this significantly affects the enforceability of the Consulting Services Agreements with affiliated entities providing compulsory education. Therefore, the Group re-assessed its control over the affiliated entities providing compulsory education. It is of the view that the Implementation Rules impose significant uncertainties and restrictions on the Group’s ability to direct the range of ongoing activities that would most significantly impact the returns of those entities and its ability to be exposed to returns that are commensurate with a controlling interest, and that such uncertainties and restrictions already had a significant impact on the Group’s ability to direct and its economic exposure from involvement with such entities as from September 1, 2021. Accordingly, the Group has concluded that it lost control of the affiliated entities providing compulsory education on September 1, 2021. As of June 30, 2021, the Company’s subsidiaries and consolidated affiliated entities are as follows: Place and year of Legal Subsidiaries Establishment Ownership Principal activities Hailiang Education (HK) Limited (“Hailiang HK”) Hong Kong, China, 2011 100 % Investment holding Zhejiang Hailiang Education Consulting and Services Co., Ltd. (“Hailiang Consulting ”or “WOFE“) Zhejiang, China, 2011 100 % Investment holding Ningbo Hailiang Education Logistics Management Co., Ltd. Zhejiang, China, 2017 100 % Operation and management service Ningbo Haoliang Information Consulting Co., Ltd. (“Ningbo Haoliang”) Zhejiang, China, 2017 100 % Operation and management service Zhuji Nianxin Lake Hotel Co., Ltd. Zhejiang, China, 2017 100 % Hotel management service Ningbo Hailiang Sports Development Co., Ltd. Zhejiang, China, 2018 100 % Well-rounded education Zhuji Hailiang Supply Chain Management Co., Ltd. Zhejiang, China, 2018 100 % services Zhuji Hailiang Logistics Service Co., Ltd. Zhejiang, China, 2018 100 % Accommodation service Zhuji Hailiang After-school Service Co., Ltd. Zhejiang, China, 2018 100 % After-school enrichment service Well-rounded education Hailiang Education International Studying Service Limited Hongkong, China, 2018 100 % Overseas study consulting service Hangzhou Hailiang International Studying Service Co., Ltd. Zhejiang, China, 2018 100 % Overseas study consulting service Hangzhou Hailiang Study Trip Co., Ltd Zhejiang, China, 2018 100 % Study trip service Pate’s-Hailiang International College Company Limited United Kingdom, 2018 100 % Overseas study consulting service Hailiang International Education Group Pte. Ltd. Singapore, 2020 100 % Investment holding My Campus Study Centre PTE Ltd. Singapore, 2021 100 % Ancillary educational services Hangzhou Hailiang Youcai Education Technology Co., Ltd. Zhejiang, China, 2021 100 % Investment holding Ninghai Hailiang Education Logistics Management Co., Ltd Zhejiang, China, 2021 100 % Operation and management service Xiantao Hailiang Education Logistics Management Co., Ltd. (“Xiantao Logistics”) Hubei, China, 2021 90 % Operation and management service Place and year of Legal Consolidated affiliated entities Establishment ownership Principal activities Hailiang Management (previously named “Zhejiang Hailiang Education Investment Group Co., Ltd.”) Zhejiang, China, 2012 N/A * Investment holding Zhejiang Hailiang Mingxin Education Technology Co., Ltd. Zhejiang, China, 2017 N/A * overseas study consulting service Zhejiang Zhuji Hailiang Experimental High School (“Experimental High”) Zhejiang, China, 2002 N/A * K-12 student management services and high school curriculum education services Zhejiang Zhuji Hailiang Senior Middle School Zhejiang, China, 2016 N/A * K-12 student management services and high school curriculum education services Zhejiang Zhuji Hailiang High School of Art (Previously named “Hailiang Art Middle School”) Zhejiang, China, 2017 N/A * K-12 student management services and high school curriculum education services Zhuji Hailiang Foreign Language High School Co., Ltd. (“Zhuji Hailiang Foreign Language High School”) Zhejiang, China, 2018 N/A * K-12 student management services and high school curriculum education services Zhenjiang Jianghe High School of Art Jiangsu, China, 2018 N/A * K-12 student management services and high school curriculum education services Zhejiang Mingxin International Travel Co., Ltd. Zhejiang, China, 2018 N/A * Study trip service Shaoxing Sihai International Travel Co., Ltd. (“Sihai International Travel”) Zhejiang, China, 2010 N/A * Study trip service Zhuji Tianma Boya Educational Training Center Co., Ltd. Zhejiang, China, 2019 N/A * Academic subject tutoring Hangzhou Mingyou Educational Training School Co., Ltd. Zhejiang, China, 2019 N/A * Academic subject tutoring Hailiang Mingyou Future (Zhejiang) Education Technology Co., Ltd. (previously named “Zhuji Yuesheng Management Consulting Co., Ltd.”) Zhejiang, China, 2018 N/A * Investment holding Shanghai Yunhan Education Technology Co., Ltd. Shanghai, China, 2020 N/A * Investment holding Xinchang Nanrui Hailiang Education Technology Co., Ltd. Zhejiang, China, 2020 N/A * Investment holding Ninghai Hailiang Education Development Co., Ltd. Zhejiang, China, 2021 N/A * Investment holding Zhuji Mingyou Training Center Co., Ltd. Zhejiang, China, 2020 N/A * Academic subject tutoring Zhuji Hailiang Chengzhong Mingyou Training Center Co., Ltd. Zhejiang, China, 2020 N/A * Academic subject tutoring Zhejiang Hailiang Mingyou Education Technology Co., Ltd. (“Zhejiang Hailiang Mingyou”) Zhejiang, China, 2020 N/A * Investment holding Xinchang Mingyou Cultural Development Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Xinchang Mingyou Education Training Center Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Zhuji Mingyou Lechuang Education Technology Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Ninghai Yipin Education Training Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Suqian Leqi Training Co., Ltd. Jiangsu, China, 2021 N/A * Academic subject tutoring Hangzhou Hailiang Mingyou Online Education Technology Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Hangzhou Hailiang Education Management Co., Ltd. Zhejiang, China, 2018 N/A * Investment holding Zhejiang Zhuji Hailiang Foreign Language School (“Foreign Language”) Zhejiang, China, 1995 N/A * K-9 compulsory curriculum education services Zhejiang Zhuji Tianma Experimental School (“Tianma Experimental”) Zhejiang, China, 1995 N/A * K-9 compulsory curriculum education services Zhejiang Zhuji Hailiang Primary School Zhejiang, China, 2016 N/A * K-9 compulsory curriculum education services Zhejiang Zhuji Hailiang Junior Middle School Zhejiang, China, 2016 N/A * K-9 compulsory curriculum education services Lanzhou Hailiang Education Consulting Co., Ltd. Gansu, China, 2019 N/A * Investment holding Lanzhou Hailiang Experimental School Gansu, China, 2020 N/A * K-9 compulsory curriculum education services Wuhu Hailiang Education Management Co., Ltd. Anhui, China, 2020 N/A * Investment holding Wuhu Hailiang Experimental School Anhui, China, 2020 N/A * K-9 compulsory curriculum education services Jinhua Hailiang Education Technology Co., Ltd. Zhejiang, China, 2020 N/A * Investment holding Wenzhou Hailiang Juxian Education Technology Co., Ltd. (“Juxian Technology”) Zhejiang, China, 2020 N/A * Investment holding Hailiang Overseas Chinese School Zhejiang, China, 2020 N/A * K-9 compulsory curriculum education services Jinhua Hailiang Foreign Language School Zhejiang, China, 2018 N/A * K-9 compulsory curriculum education services Ninghai Hailiang Education Management Co., Ltd. Zhejiang, China, 2021 N/A * Investment holding Xianghu Future School Zhejiang, China, 2021 N/A * K-9 compulsory curriculum education services Feicheng Education Investment Shandong, China, 2018 N/A * Investment holding Feicheng Hailiang Foreign Language School Shandong, China, 2018 N/A * K-9 compulsory curriculum education services * These entities are controlled by the Company pursuant to the contractual arrangements disclosed below in note 2(b). |
Basis of preparation
Basis of preparation | 12 Months Ended |
Jun. 30, 2021 | |
Basis of preparation | |
Basis of preparation | 2 Basis of preparation (a) Statement of compliance The consolidated financial statements of the Group as of June 30, 2020 and 2021 and for each of the years in the three-year period ended June 30, 2021 comprise the accounts of the Company, its subsidiaries and consolidated affiliated entities, in which all intercompany balances and transactions have been eliminated. The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRSs”) as issued by International Accounting Standards Board (“IASB”). The consolidated financial statements were authorized for issue by the Company’s board of directors on November 12, 2021. (b) Basis of presentation Since laws of PRC prohibit foreign ownership of companies and institutions in compulsory educational services at primary and middle school levels, and restrict foreign investment in educational services businesses at the high school level, the Group’s offshore holding companies are not allowed to directly own and operate schools in China. Thus, Hailiang Consulting, the Company’s wholly owned PRC subsidiary, entered into a series of contractual arrangements with Hailiang Management and the shareholder of Hailiang Management, Mr. Feng, on December 31, 2013. These contractual agreements were subsequently amended on June 30, 2017, to revise the original contractual arrangements among the said parties entered into in December 2013 in order to (i) reflect and accommodate additions of new affiliated entities of Hailiang Management since December 2013 as well as any future changes thereto, and (ii) to allow for potential arrangements, if any and when applicable, to be entered into by controlled affiliate(s) of Hailiang Consulting. On February 8, 2018, Zhejiang Beize Group Co., Ltd. (“Beize Group”), a PRC company controlled by Mr. Feng, subscribed 0.1% registered capital of Hailiang Management. Accordingly, on February 23, 2018, Hailiang Consulting, Hailiang Management, Mr. Feng and Beize Group entered into a series of contractual arrangement (“Contractual Agreements”) to reflect the abovementioned increase of shareholders while the terms of these agreements remained unchanged. The Contractual Arrangements include Call Option Agreement, Power of Attorney, Consulting Services Agreement, and Equity Pledge Agreement. The key terms of the Contractual Agreements are as follows: Call Option Agreement: Power of Attorney: Consulting Services Agreement. Equity Pledge Agreement. The Contractual Agreements provide the Company, through Hailiang HK and Hailiang Consulting, the following, (i) the power over the Affiliated Entities; (ii) the exposure or rights to variable returns from its involvement with the Affiliated Entities; and (iii) the ability to affect those returns through its power over the Affiliated Entities. The Company has the power over the Affiliated Entities by virtue of the Power of Attorney, pursuant to which Hailiang Consulting has rights that give it the current ability to direct the activities that significantly affect the returns of the Affiliated Entities. Hailiang Consulting has the rights to appoint, replace or remove directors of Hailiang Management, as well as to make decisions on all operational and financial matters of the Affiliated Entities. The Company has the exposure or rights to variable returns from its involvement with the Affiliated Entities by virtue of the Power of Attorney and Consulting Services Agreement. Hailiang Consulting’s returns from its involvement with the Affiliated Entities have the potential to vary as a result of the performance of the Affiliated Entities. Pursuant to the Power of Attorney, Hailiang Consulting is the only party that can share in the distributed and undistributed earnings of the Affiliated Entities. Pursuant to the Consulting Services Agreement, Hailiang Consulting has the exclusive right to provide consulting, support and services to the Affiliated Entities in return for a fee that could be up to 100% of the profits of the Affiliated Entities. The Company has all decision-making rights over the Affiliated Entities to affect the amounts of its returns. By virtue of the Power of Attorney, Hailiang Consulting is the principal and is the only party that has the decision-making authority on all relevant activities of the Affiliated Entities. There are no substantive rights held by other parties that may affect or restrict Hailiang Consulting’s ability to direct the relevant activities of the Affiliated Entities. The Power of Attorney is irrevocable and no party can remove Hailiang Consulting without cause. Hailiang Consulting also has exposure to variability of returns of the Affiliated Entities from the Call Option Agreement. The following financial statement balances and amounts of the affiliated entities were included in the Group’s consolidated financial statements after the elimination of intercompany balances and transactions. 2020 2021 RMB RMB Total non-current assets 988,794 1,127,437 Total current assets* 1,172,224 953,518 Total assets 2,161,018 2,080,955 Total non-current liabilities 23,130 32,933 Total current liabilities 603,797 757,094 Total liabilities 626,927 790,027 * Intercompany receivables due from the WOFE and its subsidiaries have been eliminated upon consolidation. 2019 2020 2021 RMB RMB RMB Revenue from continuing operations 613,975 598,275 510,200 Revenue from discontinued operations 490,542 489,699 618,653 Profit before tax from continuing operations 175,911 203,817 73,612 Profit/(loss) before tax from discontinued operations (note 9) 23,058 24,205 (241,723) Net profit from continuing operations 126,467 151,169 53,480 Net profit/(loss) from discontinued operations (note 9) 23,058 24,205 (243,337) The affiliated entities contributed an aggregate of 60.0%, 58.2% and 37.1% of the Group’s consolidated revenue from continuing operations for the years ended June 30, 2019, 2020 and 2021, respectively. As of June 30, 2020 and 2021, the affiliated entities accounted for an aggregate of 76.1% and 63.6%, respectively, of the consolidated total assets, and 78.2% and 75.0%, respectively, of the consolidated total liabilities. Creditors do not have recourse to the general credit of the Company for the liabilities of the respective consolidated affiliated entities. There is currently no contractual arrangement that would require the Company to provide additional financial support to the consolidated affiliated entities. As the Group is conducting certain businesses in the PRC through the consolidated affiliated entities, the Group may provide additional financial support on a discretionary basis in the future, which could expose the Group to a loss. (c) Risks and uncertainties Risks and uncertainties of the Contractual Arrangements: In the opinion of management, based on the legal opinion obtained from the Company’s PRC legal counsel, the above Contractual Arrangements are legally binding and enforceable and do not violate current PRC laws and regulations. However, there are uncertainties regarding the interpretation and application of existing and future PRC laws and regulations. Accordingly, the Company cannot be assured that PRC regulatory authorities will not ultimately take a contrary view to its opinion. If the current ownership structure of the Company and the Contractual Arrangements are found to be in violation of any existing or future PRC laws and regulations, the PRC government could: ● require the Company to restructure its ownership structure and operations in the PRC to comply with the existing or future PRC laws and regulations; ● revoke the Affiliated Entities’ business and operating licenses; ● require the Affiliated Entities to discontinue or restrict operations; ● block the Affiliated Entities’ websites; ● impose additional conditions or requirements with which the Affiliated Entities may not be able to comply; or ● take other regulatory or enforcement actions against the Affiliated Entities that could be harmful to the Affiliated Entities’ business. If the imposition of any of these government actions causes the Company to lose its right to direct the activities of the Affiliated Entities or to lose its right to the variable returns from its involvement with the Affiliated Entities and the Company is not able to restructure its ownership structure of the Affiliated Entities (such as acquiring controlling equity interests), the Company would not be able to consolidate the financial results of the Affiliated Entities in the Company’s consolidated financial statements. A substantial part of the assets, liabilities and results of operations reported in the accompanying consolidated financial statements comprise the assets, liabilities and results of operations of the Affiliated Entities. In the opinion of management, the likelihood of loss in respect of the Company’s current ownership structure or Contractual Arrangements is remote based on current facts and circumstances. The equity interests of Hailiang Management are legally held by Mr. Feng and Beize Group on behalf of the Company. Mr. Feng is also the ultimate controlling shareholder of the Company. The Company cannot assure that Mr. Feng and Beize Group will act in the best interests of the Company. The Company relies on Mr. Feng and Beize Group to comply with the terms and conditions of the Contractual Agreements. If Mr. Feng and Beize Group are in breach of their contractual obligations under the Contractual Agreements and the Company cannot resolve any dispute between the Company, Mr. Feng and Beize Group, the Company would have to rely on legal proceedings, which could result in disruption of the Company’s business and subject the Company to substantial uncertainty as to the outcome of any such legal proceedings. (d) Functional and presentation currency The functional currency of each of the Group’s entities is the currency of the primary economic environment in which the entity operates (the “functional currency”). The Company’s functional currency is the United States dollar (“USD”), whereas the functional currency of the entities located in Singapore is the Singapore dollar (“SGD”) and the PRC entities of the Group is the Renminbi (“RMB”), respectively. The Group’s presentation currency is RMB. All financial information presented has been rounded to the nearest thousands, except when otherwise indicated. (e) Use of estimates The preparation of the consolidated financial statements in conformity with IFRSs requires management to make a number of estimates and assumptions relating to the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenue and expenses during the period. Significant items subject to such estimates and assumptions include the consolidation of the Affiliated Entities, assumptions used to determine the fair value of the favorable lease acquired, the useful lives and the recoverability of the carrying amounts of property and equipment and intangible assets (including goodwill), the collectability of a loan made to a related party and cash and term deposits placed with a related party finance entity, income tax, the assessment of contingent liabilities, and incremental borrowing rate to measure lease liabilities. These estimates are often based on complex judgments and assumptions that management believes to be reasonable but are inherently uncertain and unpredictable. Actual results may differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future periods affected. Assumptions and estimation uncertainties Information about assumptions and estimation uncertainties that have a significant risk of resulting in a material adjustment within the next financial year are included in the following notes: ● Note 2 (c), risks and uncertainties (the enforceability of the Contractual Agreements) ● Note 9, Discontinued operations ● Note 10, income tax expenses ● Note 12, property and equipment ● Note 13, Leases ● Note 14, intangible assets and goodwill ● Note 20(a), credit risk Measurement of fair values A number of the Group’s accounting policies and disclosures require the measurement of fair values, for both financial and non-financial assets and liabilities. Management regularly reviews significant unobservable inputs and valuation adjustments. If third party information, such as broker quotes or pricing services, is used to measure fair values, then management assesses the evidence obtained from the third parties to support the conclusion that such valuations meet the requirements of IFRSs, including the level in the fair value hierarchy in which such valuations should be classified. When measuring the fair value of an asset or a liability, the Group uses market observable data as far as possible. Fair values are categorized into different levels in a fair value hierarchy based on the inputs used in the valuation techniques as follows. Level 1: inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date. Level 2: inputs are inputs, other than quoted prices included within Level 1, those are observable for the asset or liability, either directly or indirectly; and Level 3: inputs are unobservable inputs for asset or liability. If the inputs used to measure the fair value of an asset or a liability might be categorized in different levels of the fair value hierarchy, then the fair value measurement is categorized in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement. The Group recognizes transfers between levels of the fair value hierarchy at the end of the reporting period during which the change has occurred. Further information about assumptions made in measuring fair values is included in the following notes: ● Note 20(d), fair value |
Changes in accounting policies
Changes in accounting policies | 12 Months Ended |
Jun. 30, 2021 | |
Changes in accounting policies | |
Changes in accounting policies | 3 Changes in accounting policies The IASB has issued several amendments to IFRSs that are first effective for the current accounting period of the Group and the Company. None of the developments have had a material effect on how the Group’s financial statements for the current or prior periods have been prepared or presented. The Group has not applied any new standard or interpretation that is not yet effective for the current accounting period as set out in note 4(u). |
Significant accounting policies
Significant accounting policies | 12 Months Ended |
Jun. 30, 2021 | |
Significant accounting policies | |
Significant accounting policies | 4 Significant accounting policies The accounting policies set out below have been applied consistently to all periods presented in the consolidated financial statements, and have been applied by each of the entities comprising the Group. (a) Basis of consolidation (i) Business combinations The Group accounts for business combinations (except entities acquired under common control) using the acquisition method when the acquired set of activities and assets meets the definition of a business and control is transferred to the Group. In determining whether a particular set of activities and assets is a business, the Group assesses whether the set of assets and activities includes, at a minimum, an input and substantive process and whether the acquired set has the ability to produce outputs. The consideration transferred in the acquisition is generally measured at fair value, as well as the identifiable net assets acquired. Any goodwill that arises is tested annually for impairment (see note 4(f)(ii)). Any gain on a bargain purchase is recognized in profit or loss immediately. Transaction costs are expensed as incurred, except if related to the issue of debt or equity securities. Any contingent consideration is measured at fair value at the date of acquisition. If an obligation to pay contingent consideration that meets the definition of a financial instrument is classified as equity, then it is not re-measured and settlement is accounted for within equity. Otherwise, other contingent consideration is re-measured at fair value at each reporting date and subsequent changes in the fair value of the contingent consideration are recognized in profit or loss. (ii) Subsidiaries and consolidated affiliated entities Subsidiaries and consolidated affiliated entities are entities controlled by the Group. The Group controls an entity when it is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. The financial statements of subsidiaries and consolidated affiliated entities are included in the consolidated financial statements from the date on which control commences until the date on which control ceases. When the Group loses control over a subsidiary or a consolidated affiliated entity, it derecognizes the assets and liabilities of the entity, and any related NCI and other components of equity. Any resulting gain or loss is recognized in profit or loss. Any interest retained in the former subsidiary or consolidated affiliated entity is measured at fair value when control is lost. (iii) Entities acquired under common control Entities acquired under common control or transactions accounted for in a manner similar to a pooling-of-interests (for example, a reorganization of entities under common control) are accounted under the “book value” accounting, where the Company recognizes the assets acquired and liabilities assumed using the book values of the transferor. When the consolidated financial statements are issued for a period that includes the date the common control transaction occurred, the Company’s consolidated financial statements of all prior periods are retrospectively revised to the earliest date presented. (iv) Non-controlling interests Non-controlling interests (“NCI”) are measured initially at the proportionate share of the acquiree’s identifiable net assets at the date of acquisition, or at the fair value at the date of acquisition, on a transaction by transaction basis. Profit or loss and each component of other comprehensive income (“OCI”) are attributed to the owners of the parent and to non-controlling interests in proportion to their ownership interests in the subsidiary. Losses applicable to the non-controlling interests in a subsidiary (including components of OCI) are allocated to the non-controlling interests even if this causes the non-controlling interests to have a deficit balance. Changes in the Group’s interest in a subsidiary that do not result in a loss of control are accounted for as equity transactions. (b) Foreign currency Transactions in foreign currencies are translated to the respective functional currencies of Group entities at exchange rates ruling at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies are translated to the functional currency at the exchange rate at the reporting date. Non-monetary assets and liabilities that are measured at fair value in a foreign currency are translated to the functional currency at the exchange rate when the fair value was determined. Foreign currency gains and losses are reported on a net basis as either finance income or finance expense depending on whether foreign currency changes are in a net gain or net loss position. Non-monetary items that are measured based on historical cost in a foreign currency are translated using the exchange rate at the date of the transaction. The assets and liabilities of foreign operations, including goodwill and fair value adjustments arising on acquisition, are translated into RMB at the exchange rates at the reporting date. The income and expenses of foreign operations are translated into RMB at the exchange rates at the dates of the transactions. Foreign currency differences are recognized in other comprehensive income and accumulated in the translation reserve. (c) Financial instruments (i) Recognition and initial measurement Trade receivables and debt securities issued are initially recognized when they are originated. All other financial assets and financial liabilities are initially recognized when the Group becomes a party to the contractual provisions of the instrument. A financial asset (unless it is a trade receivable without a significant financing component) or financial liability is initially measured at fair value plus, for an item not at fair value through profit or loss (“FVTPL”), transaction costs that are directly attributable to its acquisition or issue. A trade receivable without a significant financing component is initially measured at the transaction price. (ii) Classification and subsequent measurement Non-derivative financial assets On initial recognition, a financial asset is classified as measured at: amortized cost; Fair value through other comprehensive income (“FVOCI”) - debt investment; FVOCI - equity investment; or FVTPL. Financial assets are not reclassified subsequent to their initial recognition unless the Group changes its business model for managing financial assets, in which case all affected financial assets are reclassified on the first day of the first reporting period following the change in the business model. A financial asset is measured at amortized cost if it meets both of the following conditions and is not designated as at FVTPL: - It is held within a business model whose objective is to hold assets to collect contractual cash flows; and - Its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interests on the principal amount outstanding. On initial recognition of an equity investment that is not held for trading, the Group may irrevocably elect to present subsequent changes in the investment’s fair value on OCI. This election is made on an investment-by-investment basis. All financial assets not classified as measured at amortized cost or FVOCI as described above are measured at FVTPL. This includes all derivative financial assets. On initial recognition, the Group may irrevocably designate a financial asset that, otherwise meets the requirements to be measured at amortized cost or at FVOCI as at FVTPL if doing so eliminates or significantly reduces an accounting mismatch that would otherwise arise. Non-derivative financial assets - Business model assessment The Group makes an assessment of the objective of the business model in which a financial asset is held at a portfolio level because this best reflects the way the business is managed and information is provided to management. The information considered includes: - The stated policies and objectives for the portfolio and the operation of those policies in practice. These include whether management’s strategy focused on earning contractual interest income, maintaining a particular interest rate profile, matching the duration of the financial assets to the duration of any related liabilities or expected cash outflows or realizing cash flows through the sale of the assets; - how the performance of the portfolio is evaluated and reported to the Group’s management; - the risks that affect the performance of the business model (and the financial assets held within that business model) and how those risks are managed; - how managers of the business are compensated - e.g. whether compensation is based on the fair value of the assets managed or the contractual cash flows collected; and - The frequency, volume and timing of sales of financial assets in prior periods, the reasons for such sales and expectations about future sales activity. Transfers of financial assets to third parties in transactions that do not qualify for derecognition are not considered sales for this purpose, consistent with the Group’s continuing recognition of the assets. Financial assets that are held for trading or are managed and whose performance is evaluated on a fair value basis are measured at FVTPL. Non-derivative financial assets - Assessment whether contractual cash flows are solely payments of principal and interest For the purposes of this assessment, ‘principal’ is defined as the fair value of the financial asset on initial recognition. ‘Interest’ is defined as consideration for the time value of money and for the credit risk associated with the principal amount outstanding during a particular period of time and for other basic lending risks and costs (e.g. liquidity risk and administrative costs), as well as a profit margin. In assessing whether the contractual cash flows are solely payments of principal and interest, the Group considers the contractual terms of the instrument. This includes assessing whether the financial asset contains a contractual term that could change the timing or amount of contractual cash flows such that it would not meet this condition. In making this assessment, the Group considers: - contingent events that would change the amount or timing of cash flows; - terms that may adjust the contractual coupon rate, including variable-rate features; - prepayment and extension features; and - terms that limit the Group’s claim to cash flows from specified assets (e.g. non-recourse features). A prepayment feature is consistent with the solely payments of principal and interest criterion if the prepayment amount substantially represents unpaid amounts of principal and interest on the principal amount outstanding, which may include reasonable additional compensation for early termination of the contract. Additionally, for a financial asset acquired at a discount or premium to its contractual par amount, a feature that permits or requires prepayment at an amount that substantially represents the contractual par amount plus accrued (but unpaid) contractual interest (which may also include reasonable additional compensation for early termination) is treated as consistent with this criterion if the fair value of the prepayment feature is insignificant at initial recognition. Non-derivative financial assets - Subsequent measurement and gains and losses Financial assets at amortized cost are subsequently measured at amortized cost using the effective interest method. The amortized cost is reduced by impairment losses. Interest income, foreign exchange gains and losses and impairment are recognized in profit or loss. Any gain or loss on derecognition is recognized in profit or loss. Non-derivative financial liabilities - Classification, subsequent measurement and gains and losses Financial liabilities are classified as measured at amortized cost or FVTPL. A financial liability is classified as at FVTPL if it is classified as held-for-trading, it is a derivative or it is designated as such on initial recognition. Financial liabilities at FVTPL are measured at fair value and net gains and losses, including any interest expense, are recognized in profit or loss. Other financial liabilities are subsequently measured at amortized cost using the effective interest method. Interest expense and foreign exchange gains and losses are recognized in profit or loss. Any gain or loss on derecognition is also recognized in profit or loss. (iii) Derecognition Non-derivative financial assets The Group derecognizes a financial asset when the contractual rights to the cash flows from the financial asset expire, or it transfers the rights to receive the contractual cash flows in a transaction in which substantially all of the risks and rewards of ownership of the financial asset are transferred or in which the Group neither transfers nor retains substantially all of the risks and rewards of ownership and it does not retain control of the financial asset. The Group enters into transactions whereby it transfers assets recognized in its statement of financial position, but retains either all or substantially all of the risks and rewards of the transferred assets. In these cases, the transferred assets are not derecognized. Non-derivative financial liabilities The Group derecognizes a financial liability when its contractual obligations are discharged or cancelled, or expire. The Group also derecognizes a financial liability when its terms are modified and the cash flows of the modified liability are substantially different, in which case a new financial liability based on the modified terms is recognized at fair value. On derecognition of a financial liability, the difference between the carrying amount extinguished and the consideration paid (including any non-cash assets transferred or liabilities assumed) is recognized in profit or loss. (iv) Offsetting Financial assets and financial liabilities are offset and the net amount presented in the statement of financial position when, and only when, the Group currently has a legally enforceable right to set off the amounts and it intends either to settle them on a net basis or to realize the asset and settle the liability simultaneously. (d) Property and equipment (i) Recognition and measurement Items of property and equipment are measured at cost less accumulated depreciation and accumulated impairment losses (Note 4(f)). Cost includes expenditures that are directly attributable to the acquisition of the asset. The cost of self-constructed assets includes the cost of materials and any other costs directly attributable to bringing the asset to a working condition for its intended use. Construction in progress represents property under construction and equipment pending installation, and is stated at cost less impairment losses (Note 4(f)). Capitalization of these costs ceases and the construction in progress is transferred to property and equipment when the asset is substantially ready for its intended use. No depreciation is provided in respect of construction in progress. Gains or losses arising from the retirement or disposal of an item of property and equipment are determined as the difference between the net disposal proceeds and the carrying amount of the item and are recognized in profit or loss on the date of retirement or disposal. (ii) Subsequent costs The cost of replacing a component of an item of property and equipment is recognized in the carrying amount of the item if it is probable that the future economic benefits embodied within the component will flow to the Group, and its cost can be measured reliably. The carrying amount of the replaced component is derecognized. The costs of the day-to-day servicing of property, and equipment are recognized in profit or loss as incurred. (iii) Depreciation Items of property and equipment are depreciated from the date that they are available for use or, in respect of self-constructed assets, from the date that the asset is completed and ready for use. Depreciation is calculated to write off the cost of items of property and equipment less their estimated residual values using the straight-line basis over their estimated useful lives. Leasehold improvements are depreciated over the shorter of the lease term or their useful lives. The estimated useful lives for the current and comparative years of significant property and equipment are as follows: Motor vehicles 5 years Furniture, fixtures and other equipment 3~5 years Leasehold improvements Shorter of the remaining lease terms or estimated useful lives Depreciation methods, useful lives and residual values are reviewed at each reporting date and adjusted if appropriate. (e) Intangible assets and goodwill (i) Goodwill Goodwill is presented with intangible assets and represent the excess of: (i) the aggregate of the fair value of the consideration transferred, the amount of any non-controlling interests in the acquiree and the fair value of the Group’s previously held equity interests in the acquiree; over (ii) the net fair value of the acquiree’s identifiable assets and liabilities measured as at the acquisition date. When (ii) is greater than (i), then this excess is recognized immediately in profit or loss as a gain on a bargain purchase. Goodwill is stated at cost less accumulated impairment losses. Goodwill arising on a business combination is allocated to each cash-generating unit, or groups of cash generating units, that is expected to benefit from the synergies of the combination and is tested annually for impairment (see note 4(f)). On disposal of a cash generating unit during the year, any attributable amount of purchased goodwill is included in the calculation of profit or loss on disposal. (ii) Trademark Trademark is not amortized when their useful life is assessed to be indefinite, which is reviewed annually to determine whether events and circumstances continue to support the indefinite useful life assessment. The change in the useful life assessment from indefinite to finite is accounted for prospectively from the date of change and in accordance with the policy for amortization of intangible assets with finite lives. (iii) Other intangible assets Other intangible assets that have finite useful lives are measured at cost less accumulated amortization and any accumulated impairment losses (Note 4(f)). Other intangible assets include software, student relationships that arose from the acquisition of Tianma Experimental, favorable lease that arose from the acquisition of Zhenjiang Jianghe High School of Art. (iv) Amortization Amortization of intangible assets with finite useful lives is charged to profit or loss on a straight-line basis over the assets’ estimated useful lives. The following intangible assets with finite useful lives are amortized from the date they are available for use and their estimated useful lives are as follows: Student relationships 1~15 years Favorable lease 20 years Others 3 years Amortization methods and useful lives are reviewed at each reporting date and adjusted if appropriate. (f) Impairment (i) Non-derivative financial assets The Group recognizes loss allowances for ECLs on financial assets measured at amortized cost. The Group measures loss allowances at an amount equal to lifetime ECLs, except for the following, which are measured at 12-month ECLs: - debt securities that are determined to have low credit risk at the reporting date; and - other debt securities and bank balances for which credit risk (i.e. the risk of default occurring over the expected life of the financial instrument) has not increased significantly since initial recognition. Loss allowances for trade receivables are always measured at an amount equal to lifetime ECLs. When determining whether the credit risk of a financial asset has increased significantly since initial recognition and when estimating ECLs, the Group considers reasonable and supportable information that is relevant and available without undue cost or effort. This includes both quantitative and qualitative information and analysis, based on the Group’s historical experience and informed credit assessment and including forward-looking information. The Group assumes that the credit risk on a financial asset has increased significantly if it is more than 30 days past due. The Group considers a financial asset to be in default when: - the borrower is unlikely to pay its credit obligations to the Group in full, without recourse by the Group to actions such as realizing security (if any is held); or - the financial asset is more than 90 days past due. Lifetime ECLs are the ECLs that result from all possible default events over the expected life of a financial instrument. 12- month ECLs are the portion of ECLs that result from default events that are possible within the 12 months after the reporting date (or a shorter period if the expected life of the instrument is less than 12 months). The maximum period considered when estimating ECLs is the maximum contractual period over which the Group is exposed to credit risk. Measurement of ECLs ECLs are a probability-weighted estimate of credit losses. Credit losses are measured as the present value of all cash shortfalls (i.e. the difference between the cash flows due to the entity in accordance with the contract and the cash flows that the Group expects to receive). ECLs are discounted at the effective interest rate of the financial asset. Credit-impaired financial assets At each reporting date, the Group assesses whether financial assets carried at amortized cost are credit-impaired. A financial asset is ‘credit-impaired’ when one or more events that have a detrimental impact on the estimated future cash flows of the financial asset have occurred. Evidence that a financial asset is credit-impaired includes the following observable data: - - - - - Presentation of allowance for ECL in the statement of financial position Loss allowances for financial assets measured at amortized cost are deducted from the gross carrying amount of the assets. For debt securities at FVOCI, the loss allowance is recognized in OCI and accumulated in the fair value reserve (recycling). (ii) Non-financial assets The carrying amounts of the Group’s non-financial assets are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated. Goodwill and indefinite-lived intangible assets are tested annually for impairment. For impairment testing, assets are grouped together into the smallest group of assets that generates cash inflows from continuing use that are largely independent of the cash inflows of other assets or cash-generating units (“CGU”s). Goodwill arising from a business combination is allocated to CGUs or groups of CGUs that are expected to benefit from the synergies of the combination. The recoverable amount of an asset or CGU is the greater of its value in use and fair value less costs to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset or CGU. An impairment loss is recognized if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognized in profit or loss. In allocating the impairment loss, the impairment loss is allocated first to reduce the carrying amount of any goodwill (if applicable) and then to the other assets on a pro-rata basis based on the carrying amount of each asset in the unit or the group of CGUs. The carrying amount of an asset is not reduced below the highest of its fair value less costs of disposal (if measurable), its value in use (if determinable) and zero. The amount of the impairment loss that would otherwise have been allocated to the asset is allocated pro rata to the other assets of the unit or the group of CGUs. An impairment loss in respect of goodwill is not reversed. In respect of other non-financial assets, impairment losses recognized in prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, if no impairment loss had been recognized. (g) Contract costs Contract costs are either the incremental costs of obtaining a contract with a customer or the costs to fulfil a contract with a customer which are not capitalized as inventory, property and equipment or intangible assets. Incremental costs of obtaining a contract are those costs that the Group incurs to obtain a contract with a customer that it would not have incurred if the contract had not been obtained (e.g. an incremental sales commission). Incremental costs of obtaining a contract are capitalized when incurred if the costs relate to revenue which will be recognized in a future reporting period and the costs are expected to be recovered. Contract costs are amortized over the expected customer relationship period, generally from one to six years. Other costs of obtaining a contract are expensed when incurred. The Group applies the practical expedient in paragraph 94 of IFRS 15 and recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the Group otherwise would have recognized is one year or less from the initial recognition of the asset. Capitalized contract costs are stated at cost less accumulated amortization and impairment losses. Impairment losses are recognized to the extent that the carrying amount of the contract cost asset exceeds the net of (i) remaining amount of consideration that the Group expects to receive in exchange for the goods or services to which the asset relates, less (ii) any costs that relate directly to providing those goods or services that have not yet been recognized as expenses. Amortization of capitalized contract costs is charged to “selling expenses” in the consolidated statements of profit or loss and other comprehensive income when the revenue to which the asset relates is recognized. (h) Contract liability A contract liability is the obligation to provide services or goods to a customer for which the Group has received consideration from the customer. If a customer pays the consideration before the Group provides services or goods to the customer, a contract liability is recognized when the payment is made or the payment is due. (i) Cash and cash equivalents Cash and cash equivalents in the consolidated statements of financial position comprise cash at banks and on hand and cash equivalents with an original maturity of three months or less that are readily convertible into known amounts of cash and which are subject to an insignificant risk of changes in value and are held for the purpose of meeting short-term cash commitments rather than for investment or other purposes. (j) Term deposits Term deposits comprise highly liquid investments with original maturities of three months or greater than three months, which are held for the purpose of investment. (k) Employee benefits (i) Defined contribution plan Obligations for contributions to defined contribution plans, pursuant to which certain pension benefits, medical care, employee housing fund are provided to employees, are recognized as an employee benefit expense in profit or loss in the period during which services are rendered by employees. Pursuant to the relevant labor rules and regulations in the PRC, the Group participates in defined contribution plans (the “Plans”) organized by the relevant local government authorities for its eligible employees whereby the Group is required to make contributions to the Plans at 25.3% to 38.64% of the deemed salary rate announced annually by the local government authorities. The Group has no other material obligation associated with those Plans beyond the annual contributions described above. (ii) Short-term employee benefits Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service is provided. A provision is recognized for the amount expected to be paid under short-term cash bonus or other short-term benefits if the Group has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee, and the obligation can be estimated reliably. (iii) Long-term employee benefits The Group’s net obligation in respect of long-term employee benefits is the amount of future benefit that employees have earned in return for their service in the current and prior periods. That benefit is discounted to determine its present value. Remeasurements are recognized in profit or loss in the period in which they arise. (l) Provisions and contingent liabilities A provision is recognized if, as a result of a past event, the Group has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. The unwinding of the discount is recognized as finance cost. Where it is not probable that an outflow of economic benefits will be required, or the amount cannot be estimated reliably, the obligation is disclosed as a contingent liability, unless the probability of outflow of economic benefits is remote. Possible obligations, whose existence will only be confirmed by the occurrence or non-occurrence of one or more future events, are also disclosed as contingent liabilities unless the probability of outflow of economic benefits is remote. (m) Revenue recognition The Group has adopted IFRS 15 using the cumulative effect method, with the effect of initially applying this standard recognized at the date of initial application (i.e. July 1, 2018). Additionally, the disclosure requirements in IFRS 15 have not generally been applied to comparative information. As allowed by IFRS 15, the Group has applied the new requirements only to contracts that were not completed before July 1, 2018. Upon the adoption of IFRS 15 on July 1, 2018, the Group capitalized sales commissions related to the acquisitions of new K-12 educational service contracts of RMB18,279 as contract costs, which would be amortized over the expected student relationship period. At the same time, the Group increased retained earnings by the same amount. Revenue is recognized when control of promised goods or services is transferred to the Group’s customers in an amount of consideration to which the Group expects to be entitled to in exchange for those goods or services. The Group follows the five steps approach for revenue recognition under IFRS 15: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the Group satisfies a performance obligation. The primary sources of the Group’s revenues are as follows: K-12 educational services The Group’s revenue is principally derived from the provision of boarding school educational services to students. The Group offers basic educational and international programs at the primary school, middle school and high school. Revenue from K-12 educational services include revenue from K-12 student management services and high school curriculum education services and revenue from K-9 compulsory curriculum education services. K-9 compulsory curriculum education services revenue has been included in the discontinued operations. Tuition fees are generally collected before the beginning of each school year. Each school year is comprised of two semesters. Generally, the first semester starts in September and ends in January next year. The second semester starts the following month in February and ends in June. Due t |
Revenue and segment reporting
Revenue and segment reporting | 12 Months Ended |
Jun. 30, 2021 | |
Revenue and segment reporting | |
Revenue and segment reporting | 5 Revenue and segment reporting (i) Revenue (a) 2019 2020 2021 RMB RMB RMB Revenue from continuing operations K-12 student management services and high school curriculum education services* 754,493 861,923 1,111,585 Ancillary educational services** 230,510 121,611 204,221 Operation and management services 37,792 43,839 59,984 Total 1,022,795 1,027,373 1,375,790 Revenue from discontinued operations K-9 compulsory curriculum education services 490,542 489,699 618,653 Total 490,542 489,699 618,653 * ** (b) 2019 2020 2021 RMB RMB RMB Revenue from continuing operations Timing of revenue recognition Revenue recognized over time 940,108 932,102 1,223,868 Revenue recognized point in time 82,687 95,271 151,922 Total 1,022,795 1,027,373 1,375,790 Revenue from discontinued operations Timing of revenue recognition Revenue recognized over time 375,012 384,371 463,543 Revenue recognized point in time 115,530 105,328 155,110 Total 490,542 489,699 618,653 (c) The following table provides information about contract liabilities from contracts with customers. 2020 2021 RMB RMB Current liabilities Contract liabilities 295,979 444,865 Non-current liabilities Contract liabilities 3,159 132 The contract liabilities primarily relate to payments received related to unsatisfied performance obligations for the K-12 student management services and high school curriculum education services, K-9 compulsory curriculum education services and ancillary educational services as of June 30, 2020 and 2021, included in current and non-current contract liabilities in the Group’s consolidated statements of financial position. (d) Transaction price allocated to the remaining performance obligation The Group has applied the practical expedient in IFRS 15 such that the Group does not disclose the information about revenue that the Group will be entitled to when it satisfies the remaining performance obligations under all sales contracts that had an original expected duration of one year or less. (ii) Segment reporting The Group’s chief operating decision maker (“CODM”) has been identified as the chief executive officer of the Group, who reviews the financial information of operating segments when making decisions to allocate resources and assess performance of the Group. The Group identified four operating segments for the years ended June 30, 2019 and 2020, including K-12 educational and management services, educational training services, study trip and overseas study consulting services and hotel management services. For the year ended June 30, 2021, the Group optimized its management structure due to the impact of Implementation Rules announced on May 14, 2021, and restructured to three operating segments, including K-12 student management services and high school curriculum education services and operation and management services, K-9 compulsory curriculum education services, and ancillary educational services for efficient resource allocation and high-quality management for affiliated and managed schools and students. K-12 student management services and high school curriculum education services and operation and management services, K-9 compulsory curriculum education services, and ancillary educational services were identified as reportable segments, respectively. The Group updated the presentation of segment information for prior years to conform to the current year’s presentation. As disclosed in note 21, as the comparative financial information was restated due to the business combination under common control, the comparative segment information was also restated. As disclosed in note 9, the Group has classified the historical financial results of compulsory education business as discontinued operations, and has updated the presentation of segment information for prior years to conform to the current year’s presentation. Although intra-group transactions have been fully eliminated in the consolidated financial results, when presenting the results of continuing and discontinued operations, management has attributed the elimination of transactions between the continuing operations and the discontinued operation in a way that reflects the continuance of these transactions, because management believes this is useful to the users of the financial statements. To achieve this presentation, management has eliminated the results of the inter-segment sales and cost thereof made that the continuing operations providing to K-9 compulsory education. (a) Segment results The revenue and operating results by segments were as follows: For the year ended June 30, 2019 K-12 student management K-9 compulsory services and high school curriculum curriculum education services education Ancillary and operation and service educational management services (discontinued)** services Unallocated* Total RMB RMB RMB RMB RMB Revenues from external customers 792,285 490,542 230,510 — 1,513,337 Inter-segment revenues 287 135 8,590 — 9,012 Total segment revenues 792,572 490,677 239,100 — 1,522,349 Segment income/(loss) before income tax 299,459 23,058 105,427 (6,639) 421,305 Interest income 13,374 7,889 1,629 1,597 24,489 Interest expenses — 208 — — 208 Depreciation and amortization 31,173 95,793 7,844 — 134,810 * Unallocated income (expenses) are primarily related to corporate administrative costs and other miscellaneous items that are not allocated to individual segment. ** See Note 9. For the year ended June 30, 2020 K-12 student management K-9 compulsory services and high school curriculum curriculum education services education Ancillary and operation and service educational management services (discontinued)** services Unallocated* Total RMB RMB RMB RMB RMB Revenues from external customers 905,762 489,699 121,611 — 1,517,072 Inter-segment revenues 711 418 18,002 — 19,131 Total segment revenues 906,473 490,117 139,613 — 1,536,203 Segment income/(loss) before income tax 459,875 24,205 16,948 (9,100) 491,928 Interest income 14,352 8,827 476 1,215 24,870 Interest expenses 3,040 1,368 395 — 4,803 Depreciation and amortization 59,306 102,345 8,221 — 169,872 * Unallocated income (expenses) are primarily related to corporate administrative costs and other miscellaneous items that are not allocated to individual segment. ** See Note 9. For the year ended June 30, 2021 K-12 student management services and high school curriculum education K-9 compulsory services and curriculum operation and education Ancillary management service educational services (discontinued)** services Unallocated* Total RMB RMB RMB RMB RMB Revenues from external customers 1,171,569 618,653 204,221 — 1,994,443 Inter-segment revenues 1,824 465 12,466 — 14,755 Total segment revenues 1,173,393 619,118 216,687 — 2,009,198 Segment income/(loss) before income tax 566,434 (241,723) 90,285 (9,254) 405,742 Interest income 35,026 6,843 956 9 42,834 Interest expenses 278 433 873 — 1,584 Depreciation and amortization 62,086 96,393 11,249 — 169,728 Impairment loss — 252,259 — — 252,259 * Unallocated income (expenses) are primarily related to corporate administrative costs and other miscellaneous items that are not allocated to individual segment. ** See Note 9. 2019 2020 2021 RMB RMB RMB Revenue Total segment revenues 1,522,349 1,536,203 2,009,198 Elimination of inter-segment revenues (9,012) (19,131) (14,755) Elimination of discontinued operations (490,542) (489,699) (618,653) Consolidated revenues 1,022,795 1,027,373 1,375,790 Profit before tax Segment income before income tax 421,305 491,928 405,742 Elimination of discontinued operations (23,058) (24,205) 241,723 Consolidated profit before tax from continuing operations 398,247 467,723 647,465 Note: The Group has initially applied IFRS 16 as of July 1, 2019 using the modified retrospective approach. Under this approach, comparative information is not restated. See note 4(o). The Group’s customer base is diversified and no customer with whom transactions have exceeded 10% of the Group’s revenues. The Group’s non-current assets are all located in mainland China. The geographical location of the Group’s non-current assets is based on the physical location of the asset, in the case of property and equipment, the location of the operation to which they are allocated, in the case of intangible assets and goodwill. |
Other income, net
Other income, net | 12 Months Ended |
Jun. 30, 2021 | |
Other income, net | |
Other income, net | 6 Other income, net 2019 2020 2021 RMB RMB RMB Government grants 21,121 68,682 46,343 Others (194) (1,612) 287 20,927 67,070 46,630 |
Employee benefit expenses
Employee benefit expenses | 12 Months Ended |
Jun. 30, 2021 | |
Employee benefit expenses | |
Employee benefit expenses | 7 Employee benefit expenses 2019 2020 2021 RMB RMB RMB Wages and salaries 336,605 316,513 438,170 Contributions to defined contribution plans 31,877 44,370 57,006 Long-term employee benefits — — 9,831 368,482 360,883 505,007 The total employee benefit expenses in connection with discontinued operations was RMB313,421 (2020: RMB207,796 and 2019: RMB219,601). |
Profit before tax
Profit before tax | 12 Months Ended |
Jun. 30, 2021 | |
Profit before tax | |
Profit before tax | 8 Profit before tax (i) Net finance income 2019 2020 2021 RMB RMB RMB Interest income 16,131 15,748 35,991 Others 465 289 (151) Finance income 16,596 16,037 35,840 Interest on lease liabilities (Note 13(b)) — (3,435) (1,151) Finance costs — (3,435) (1,151) Net finance income 16,596 12,602 34,689 Interest income was mainly generated from deposits placed with a related party finance entity (Note 22(a)(iii)). Net finance income relating to discontinued operations are disclosed in note 9. (ii) Expenses by nature Expenses by nature from continuing operations include: 2019 2020 2021 RMB RMB RMB Employee benefit expenses (Note 7) 368,482 360,883 505,007 Students related cost 123,888 125,789 125,536 Transportation 25,696 23,689 20,393 Marketing and promotion 11,761 13,897 29,590 Depreciation of owned property and equipment 37,781 40,321 42,989 Depreciation of right-of-use assets — 24,675 27,778 Utilities 19,698 15,247 20,189 Amortization of intangible assets 1,235 2,531 2,567 Operating lease charges 28,252 — — Others 45,278 32,290 35,595 Total cost of revenue, selling expenses and administrative expenses 662,071 639,322 809,644 Students related costs are mainly comprised of costs for textbooks, uniforms, dining services, living accommodations and other educational service costs. The Group has initially applied IFRS 16 using the modified retrospective approach to recognize right-of-use assets relating to leases which were previously classified as operating leases under IAS 17. After initial recognition of right-of-use assets at July 1, 2019, the Group as a lessee is required to recognize the depreciation of right-of-use assets, instead of the previous policy of recognizing rental expenses incurred under operating leases on a straight-line basis over the lease term. Under this approach, the comparative information is not restated. See note 4(o). |
Discontinued operations
Discontinued operations | 12 Months Ended |
Jun. 30, 2021 | |
Discontinued operations | |
Discontinued operations | 9 Discontinued operations On May 14, 2021, the PRC State Council announced the issuance of the Implementation Regulations of the People’s Republic of China on the Law Regarding the Promotion of Private Education (the “Implementation Rules”), which became effective on September 1, 2021. The Implementation Rules prohibit social organizations and individuals from controlling a private school that provides compulsory education by means of merger, acquisition, contractual arrangements, etc., and a private school providing compulsory education is prohibited from conducting transactions with its related parties. As stated in note 1, the Group has considered that it lost control over affiliated entities providing compulsory education as from September 1, 2021. Further, the Group has considered the ancillary nature of the activities and the insignificance of the costs related to the K9 compulsory education business while the related schools were closed between June 30, 2021 and date of loss of control of September 1, 2021. The Group has determined that, in substance, it has ceased all revenue-generating activities related to that business and has discontinued that business by June 30, 2021. As K9 compulsory education business represents an operating segment and a separate major line of business of the Group, the Group has presented the results of K-9 compulsory education business as discontinued operations. The comparative Consolidated Statements of Profit or Loss and Other Comprehensive Income have been represented to show the discontinued operations separately from continuing operations. Details of the results from discontinued operations are set out below: 2019 2020 2021 RMB RMB RMB Revenue 490,542 489,699 618,653 Cost of revenue (437,393) (445,286) (582,755) Gross profit 53,149 44,413 35,898 Other income, net 4,650 6,571 6,096 Selling expenses (13,990) (14,107) (14,509) Administrative expenses (28,900) (20,424) (23,907) Impairment loss on property and equipment — — (174,026) Impairment loss on intangible assets and goodwill — — (78,233) Operating profit 14,909 16,453 (248,681) Finance income 8,357 9,122 7,391 Finance costs (208) (1,370) (433) Net finance income 8,149 7,752 6,958 Profit/(loss) before tax 23,058 24,205 (241,723) Income tax expenses — — (1,614) Profit/(loss) from the discontinued operations, net of tax 23,058 24,205 (243,337) Upon the release of the Implementation Rules, the Group identified impairment indicators relating to the non-financial long-term assets associated with the cash generating units (the “CGUs”) relating to the affiliated entities providing compulsory education, considering the impending loss of control and the uncertainties associated with the ability to recover from the net assets arising from the impact of the Implementation Rules. The Group performed an impairment assessment on these non-financial long-term assets as at June 30, 2021, which included property and equipment, right-of-use assets, and intangible assets and goodwill relating to the affiliated entities providing compulsory education. The estimates of the recoverable amounts of the CGUs were based on the fair values less costs of disposal of the respective CGUs, taking into consideration of the asset-specific sale restrictions and uncertainties under the relevant laws and regulations, the relevant publicly available information, replacement cost, remaining useful lives, newness rates and early-termination clauses in leases. A cost approach has been applied as no comparable market transactions have been identified and estimates of future income from the CGUs are not readily available given the significant uncertainties over profitability under the new regulatory regime. The fair values on which the recoverable amounts are based on are categorized as level 3 fair value measurement. Based on the result of the assessment, impairment losses of RMB174,026 and RMB78,233 (FY2020: nil and nil) have been recognized against the carrying amounts of property and equipment, and intangible assets and goodwill, respectively. Nil impairment loss has been recognized against the carrying amount of right-of-use assets (FY2020: nil). The condensed cash flows of these affiliated entities were as follows: 2019 2020 2021 RMB RMB RMB Net cash generated from operating activities 324,206 190,049 118,311 Net cash used in investing activities (229,228) (389,915) (48,770) Net cash generated from / (used in) financing activities 6,000 12,421 (74,258) |
Income taxes
Income taxes | 12 Months Ended |
Jun. 30, 2021 | |
Income taxes | |
Income taxes | 10 Income taxes The Company is incorporated in the Cayman Islands and conducts its primary business operations through its subsidiaries and consolidated affiliated entities in the PRC. It also has a wholly-owned subsidiary in Hong Kong and Singapore. Under the current laws of the Cayman Islands, the Company is not subject to tax on income or capital gains. Additionally, upon payments of dividends by the Company to its shareholders, no Cayman Islands withholding tax will be imposed. Hong Kong Under the Hong Kong tax laws, subsidiaries in Hong Kong are subject to the Hong Kong profits tax rate at 16.5% and they are exempted from income tax on their foreign-derived income and there are no withholding taxes in Hong Kong on remittance of dividends. A two-tiered profits tax rates regime was introduced in 2018 where the first HK$2 million of assessable profits earned by a company will be taxed at half of the current tax rate (8.25%) while the remaining profits will continue to be taxed at 16.5%. There is an anti-fragmentation measure where each group will have to nominate only one company in the group to benefit from the progressive rates. Singapore Under the Singapore tax laws, subsidiaries in Singapore are subject to the Singapore profits tax rate at 17%. China Under the Enterprise Income Tax (“EIT”) Law, domestic enterprises and Foreign Investment Enterprises (the “FIE”) are subject to a unified 25% enterprise income tax rate, except for certain entities that are entitled to tax holidays or exemptions. According to the Law on the Promotion of Private Education (“2016 Private Education Law”) effective as of September 1, 2017, sponsors of private schools may choose to register their schools as either non-profit or for-profit schools but sponsors are not permitted to register for-profit schools that provide compulsory education. Non-profit private schools will be entitled to the same tax benefits as public schools, while for-profit private schools may be subject to 25% enterprise income tax rate. For Zhenjiang Jianghe High School of Art and Zhuji Hailiang Foreign Language High School, the Group elected to register their statuses as for- profit. Accordingly, these two schools are subject to unified 25% enterprise income tax rate. Except for Zhenjiang Jianghe High School of Art and Zhuji Hailiang Foreign Language High School registered as for-profit schools, other affiliated schools within the Group registered as non-profit schools as of June 30, 2021, which are be entitled to the same tax benefits as public schools, are exempt from income taxes. The Group evaluates whether it is probable that tax authority will accept the tax treatment for each uncertain tax position (including the potential application of interest and penalties) based on the technical merits, and measures the unrecognized benefits associated with the tax positions. As of June 30, 2020 and 2021, the Group did not have any significant unrecognized uncertain tax positions. As of June 30, 2021, the Group had unused tax loss of RMB36,861 available for offset against future taxable profits, of which RMB3,501 will expire as of June 30, 2023, RMB6,079 will expire as of June 30, 2024, RMB6,915 will expire as of June 30, 2025, RMB15,327 will expire as of June 30, 2026 (As of June 30, 2020, the Group had unused tax loss of RMB20,496 available for offset against future taxable profits, of which RMB3,501 will expire as of June 30, 2023, RMB6,994 will expire as of June 30, 2024, RMB9,924 will expire as of June 30, 2025). No deferred tax assets have been recognized in respect of such tax losses, because it is not probable that future taxable profit against which the losses can be utilized will be available in the relevant tax jurisdiction. Under the current EIT Law, dividends paid by an FIE to any of its foreign non-resident enterprise investors are subject to a 10% withholding tax. Thus, the dividends, if and when payable by the Company’s PRC subsidiaries to their offshore parent entities, would be subject to 10% withholding tax. A lower tax rate will be applied if such foreign non-resident enterprise investor’s jurisdiction of incorporation has signed a tax treaty or arrangement for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income with China. Furthermore, pursuant to the applicable circular and interpretations of the current EIT Law, dividends from earnings created prior to 2008 but distributed after 2008 are not subject to withholding income tax. The Company has not provided for deferred income tax liabilities on the PRC entities’ undistributed earnings of RMB1,080,372 and RMB1,425,882 as of June 30, 2020 and 2021, respectively, because the Company controls the timing of the undistributed earnings and it is probable that such earnings will not be distributed. The Company plans to reinvest those earnings in the PRC indefinitely in the foreseeable future. (i) Income tax expenses in the consolidated statements of profit or loss and other comprehensive income represents: 2019 2020 2021 RMB RMB RMB Current —PRC income tax expenses 108,545 122,576 165,517 Deferred —PRC income tax expenses 168 (652) (162) Income tax expenses on continuing operations for the year 108,713 121,924 165,355 Note: Income tax expenses of RMB1,614 (2020: nil and 2019: nil) arises on the profit from discontinued operations (see note 9). (ii) Reconciliation between the provision for income tax computed by applying applicable tax rates: Reconciliation between the provision for income tax computed by applying applicable tax rates in fiscal year 2019, 2020 and 2021 to profit before income taxes and the actual provision for income tax was as follow: 2019 2020 2021 RMB RMB RMB Profit before tax from continuing operations 398,247 467,723 647,465 Notional tax on profit before taxation, calculated at the applicable rates in the tax jurisdictions concerned 101,560 119,221 159,998 Effect of expenses that are not deductible in determining taxable profit 524 519 654 Unrecognized tax losses 2,054 1,955 4,660 Utilization of tax losses previously not recognized (486) (964) (676) Effect of income tax exemptions 5,061 1,193 719 Income tax expense recognized in profit or loss 108,713 121,924 165,355 (iii) Deferred tax assets and liabilities recognized: Right-of- Capitalized use assets contract Favorable and lease costs lease liabilities Total Deferred tax liabilities At June 30, 2019 (328) (4,363) — (4,691) (Charged)/credited to profit or loss (156) 240 — 84 At June 30, 2020 (484) (4,123) — (4,607) (Charged)/credited to profit or loss (369) 240 — (129) At June 30, 2021 (853) (3,883) — (4,736) Deferred tax assets At June 30, 2019 — — — — Credited to profit or loss — — 568 568 At June 30, 2020 — — 568 568 Credited to profit or loss — — 291 291 At June 30, 2021 — — 859 859 |
Earnings per share
Earnings per share | 12 Months Ended |
Jun. 30, 2021 | |
Earnings per share | |
Earnings per share | 11 Earnings per share The calculation of basic EPS has been based on the following net profit attributable to the Company’s shareholders and weighted-average number of ordinary shares outstanding. The calculation of diluted EPS has been based on the following net profit attributable to the Company’s shareholders and weighted-average number of ordinary shares outstanding after adjustment for the effects of all dilutive potential ordinary shares. (i) Net profit attributable to the Company’s shareholders 2019 2020 2021 RMB RMB RMB Net profit from continuing and discontinued operations attributable to shareholders of the Company (basic and diluted) 290,233 374,238 235,092 Net profit from continuing operations 267,175 349,983 483,049 Net profit/(loss) from discontinued operations 23,058 24,255 (247,957) (ii) Weighted-average number of ordinary shares 2019 2020 2021 Weighted average number of ordinary shares 412,450,256 412,450,256 412,450,256 (iii) Earnings per share 2019 2020 2021 Basic and diluted earnings per share 0.70 0.91 0.57 - Continuing operations 0.65 0.85 1.17 - Discontinued operations 0.05 0.06 (0.60) There were no dilutive potential ordinary shares for each of the fiscal years ended June 30, 2019, 2020 and 2021, therefore, diluted earnings per share are equivalent to basic earnings per share. |
Property and equipment
Property and equipment | 12 Months Ended |
Jun. 30, 2021 | |
Property and equipment | |
Property and equipment | 12 Property and equipment Furniture, fixtures and Motor other Leasehold Construction vehicles equipment improvement in progress Total RMB RMB RMB RMB RMB Cost Balance at June 30, 2019 (restated) 21,593 312,905 782,840 8,404 1,125,742 Additions (restated) 1,134 23,163 13,923 121,076 159,296 Transferred from construction in progress (restated) — 559 110,404 (110,963) — Transferred to intangible assets (Note 14) — — — (223) (223) Disposals (restated) (68) (3,939) (2,011) — (6,018) Balance at June 30, 2020 (restated) 22,659 332,688 905,156 18,294 1,278,797 Additions 2,119 22,402 22,514 66,809 113,844 Transferred from construction in progress — 1,771 78,212 (79,983) — Disposals (58) (2,400) — — (2,458) Balance at June 30, 2021 24,720 354,461 1,005,882 5,120 1,390,183 Accumulated depreciation and impairment Balance at June 30, 2019 (restated) (17,686) (168,977) (300,186) — (486,849) Depreciation for the year (restated) (1,354) (60,980) (74,359) — (136,693) Disposals (restated) 40 3,617 939 — 4,596 Balance at June 30, 2020 (restated) (19,000) (226,340) (373,606) — (618,946) Depreciation for the year (1,296) (48,274) (83,850) — (133,420) Disposals 53 1,890 — — 1,943 Impairment loss recognized in profit or loss (note 9) — (15,322) (158,704) — (174,026) Balance at June 30, 2021 (20,243) (288,046) (616,160) — (924,449) Net book value At June 30, 2020 (restated) 3,659 106,348 531,550 18,294 659,851 At June 30, 2021 4,477 66,415 389,722 5,120 465,734 The depreciation charge for the year includes RMB90,431 (2020: RMB96,372) in respect of discontinued operations of which RMB1,240 relating to motor vehicles (2020: RMB1,340), RMB32,726 relating to furniture, fixtures and other equipment (2020: RMB45,652) and RMB56,465 relating to leasehold and improvement (2020: RMB49,380). |
Lease
Lease | 12 Months Ended |
Jun. 30, 2021 | |
Lease | |
Lease | 13 Lease (a) Right-of-use assets As of June 30, 2021, the Group leases office spaces and several campuses. The Group generally enters into lease agreements with initial terms of 3 to 20 years. Most of the lease agreements contain termination options that permit the Group to terminate the lease agreement early at any time without cause, provided the Group notifies the lessor in writing within certain period in advance. The Group generally has extension options for the leases. Such extension options are accounted for only when it is reasonably certain that the Group will exercise the options. The rent under lease agreements is payable with fixed payments including a fixed escalation. The Group entered into certain long-term cooperative arrangements with local governments in areas where some of the schools are located. Pursuant to such arrangements, the government agreed to provide the existing land, buildings and equipment free of charge for the Group to carry out the cooperative education throughout the whole period of cooperative arrangements. The Group recognizes the asset and the relevant grants at their nominal amounts, which is zero. The movements in right-of-use asset are as follows: RMB Leasehold buildings held for own use, carried at depreciated cost: As at July 1, 2019 411,115 Additions-new leases 9,571 Lease modification* 131,634 Deprecation charge for the year (30,485) Derecognition of a lease contract due to termination (4,226) As at June 30, 2020 517,609 Additions-new leases 19,809 Lease modification** (956) Deprecation charge for the year (33,649) As at June 30, 2021 502,813 The depreciation charge for the year includes RMB5,871 (2020: RMB5,810) in respect of discontinued operations. * Lease modification for the year ended June 30, 2020 was related to the supplementary contracts with the lessor, Hailiang Education Investment Group Co., Ltd. (“Hailiang Investment”), a related party controlled by Mr. Feng, regarding the lease of campuses in Zhuji, China signed on September 6, 2019. ** Lease modification for the year ended June 30, 2021 was related to a contract with the lessor, Hangzhou Hailiang Real Estate Co., Ltd, (“Hailiang Real Estate”), a related party controlled by Mr Hailiang Feng regarding the lease of office in Hangzhou, China. (b) The analysis of expense items in relation to leases recognized in profit or loss from continuing operations is as follows: 2020 2021 RMB RMB Depreciation charge of right-of-use assets 24,675 27,778 Interest on lease liabilities 3,435 1,151 Expense relating to short-term leases 53 565 Expense relating to leases of low-value assets, excluding short-term leases of low-value assets 511 342 Gain on derecognition of a lease contract due to termination 39 — Gain on lease modification — 82 (c) Amounts recognized in statement of cash flows Amounts included in the statement of cash flow for leases comprise the following: 2020 2021 RMB RMB Within operating cash flows 826 2,054 Within investing cash flows 524,996 — Within financing cash flows 6,895 4,773 532,717 6,827 In the consolidated statements of cash flows, the Group as a lessee is required to split rentals paid under capitalized leases into their capital element and interest element. These elements are classified as financing cash outflows, similar to how leases previously classified as finance leases under IAS 17 were treated, rather than as operating cash outflows, as was the case for operating leases under IAS 17. Although total cash flows are unaffected, the adoption of IFRS 16 therefore results in a change in presentation of cash flows within the statement of cash flow. On September 6, 2019, the Group entered into a series of supplementary contracts with Hailiang Investment regarding the school buildings and the related facilities in three campuses in Zhuji, China from Hailiang Investment, pursuant to which, on September 12, 2019, the Group made lease prepayments of RMB524,996 regarding the school buildings and the related facilities in three campuses in Zhuji, China from Hailiang Investment for the remaining lease period until June 30, 2037. The Group classified the lease prepayments within investing cashflows. The amounts recognized in statement of cash flows for the year includes RMB1,665 (2020: RMB109,517) in respect of discontinued operations of which RMB907 relating to within operating cash flows (2020: RMB564), Nil relating to investing cash flows (2020: RMB103,813) and RMB758 relating to financing cash flows (2020: RMB5,140). (d) Lease liabilities The carrying amount of lease liabilities and the movements during the year are as follows: 2020 2021 RMB RMB As at July 1 411,090 20,502 New leases 9,571 19,684 Lease modification 131,634 (1,038) Accretion of interest recognized during the year 4,363 1,379 Payments (531,891) (4,773) Derecognition of a lease contract due to termination (4,265) — As at June 30 20,502 35,754 Analyzed into: Current portion 1,753 5,233 Non-current portion 18,749 30,521 The accretion of interest recognized during the year charge for the year includes RMB228 (2020: RMB928) in respect of discontinued operations. The following table shows the remaining contractual maturities of the Group’s lease liabilities at the end of the current year and at the date of transition to IFRS 16: June 30, 2020 June 30, 2021 Present Total Present Total value of the minimum value of the minimum minimum lease minimum lease lease payments lease payments payments payments RMB RMB RMB RMB Within 1 year 1,753 2,687 5,233 6,801 After 1 year but within 2 years 2,623 3,442 5,225 6,544 After 2 years but within 5 years 6,222 7,999 11,179 13,786 After 5 years 9,904 13,228 14,117 17,432 20,502 27,356 35,754 44,563 Less: total future interest expenses 6,854 8,809 Present value of lease liabilities 20,502 35,754 |
Intangible assets and goodwill
Intangible assets and goodwill | 12 Months Ended |
Jun. 30, 2021 | |
Intangible assets and goodwill. | |
Intangible assets and goodwill | 14 Intangible assets and goodwill Student Favorable Goodwill Trademark relationship lease Others Total RMB RMB RMB RMB RMB RMB Cost Balance at June 30, 2019 61,640 16,540 45,037 18,091 4,181 145,489 Addition — 23 — — 729 752 Transferred from construction in progress — — — — 223 223 Balance at June 30, 2020 61,640 16,563 45,037 18,091 5,133 146,464 Addition — — — — 1,386 1,386 Balance at June 30, 2021 61,640 16,563 45,037 18,091 6,519 147,850 Accumulated Amortization and impairment Balance at June 30, 2019 — — (44,730) (640) (594) (45,964) Amortization for the year — (4) (162) (961) (1,567) (2,694) Balance at June 30, 2020 — (4) (44,892) (1,601) (2,161) (48,658) Amortization for the year — (19) (92) (961) (1,587) (2,659) Impairment loss recognized in profit or loss (note 9) (61,640) (16,540) (53) — — (78,233) Balance at June 30, 2021 (61,640) (16,563) (45,037) (2,562) (3,748) (129,550) Net book value At June 30, 2020 61,640 16,559 145 16,490 2,972 97,806 At June 30, 2021 — — — 15,529 2,771 18,300 The amortization charge for the year includes RMB92 (2020: RMB163) in respect of discontinued operations. Student relationship, goodwill and trademark with indefinite useful lives arose from the acquisition of Tianma Experimental on July 1, 2009. Goodwill and trademark with indefinite useful lives For the purpose of impairment testing, goodwill and trademark are allocated to a group of CGUs which represents the lowest level within the Group at which the goodwill and trademark are monitored for internal management purpose. The recoverable amount of goodwill is estimated based on discounted cash flows forecast, which is based upon a combination of long-term trends, industry forecasts and in house estimates. For the purpose of impairment testing, the carrying amounts of goodwill and trademark are allocated to the business relating to Tianma Experimental, which is the lowest level for which the assets are monitored for internal management purpose. The aggregated carrying amounts of goodwill and trademark with indefinite useful lives are as follows: 2020 2021 RMB RMB Goodwill 61,640 61,640 Trademark with indefinite useful lives 16,540 16,540 Less: impairment loss recognized in profit or loss — (78,180) Total 78,180 — For the years ended June 30, 2019 and 2020, the recoverable amount of this CGU was based on value in use, which was estimated using discounted cash flow projections. For the year ended June 30, 2021, please see note 9 for details. The key assumptions used for the years ended June 30, 2019 and 2020 in the estimation of the recoverable amount are set out below. The values assigned to the key assumptions represented management’s assessment of future trends in the relevant industry and were based on historical data from both external and internal sources. In percent 2019 2020 Discount rate 15.5 % 15.5 % Revenue growth rates over the next five fiscal years 3%-5 % 5 % Terminal value growth rate 3 % 3 % The discount rate was a pre-tax measure estimated based on the historical industry average weighted-average cost of capital, with a possible debt leveraging of 0%. The cash flow projections included the following specific estimates for five years and a terminal growth rate thereafter. The terminal growth rate was determined based on management’s estimate, consistent with the assumption that a market participant would make. ● Revenue growth was projected considering the average growth levels experienced over the past five years and the estimated student headcount and tuition growth for the next five years. It was assumed that tuition would increase in line with forecast inflation over the next five years. ● Growth of cost of sales, selling expenses and administrative expenses were projected considering inflation and estimated student headcount for the next five years. The estimated recoverable amount of the CGU exceeded its carrying amount as of June 30, 2019 and 2020, respectively. The recoverable amount of trademark is determined using the relief from royalty method, which was based on pre-tax cash flow projections for 5 years based on financial budgets approved by management, including royalty rate of 3%, terminal growth rate of 3% and the applicable discount rate of 15.5% for the years ended June 30, 2019 and 2020. Management determined the expected growth rates and the operating results based on the past performance and its expectations in relation to market developments. The discount rate used is pre-tax and reflects specific risks relating to the Company. Based on management’s assessment results, there was no impairment of goodwill and trademark as of and for the years ended June 30, 2019 and 2020. Student relationship The amortization of student relationship is included in “selling expenses”. No impairment loss of the student relationship intangible asset was recognized in the statements of profit or loss and other comprehensive income for the years ended June 30, 2019 and 2020. For the year ended June 30, 2021, the Group recognized impairment loss of RMB53 relating to the student relationship intangible assets in the statements of profit or loss and other comprehensive income. For details, please see note 9. Favorable lease Favorable lease arose from the acquisition of Zhenjiang Jianghe High School of Art in October 2018. The amortization was recognized in “cost of revenue” over the period of leasing. |
Other current assets
Other current assets | 12 Months Ended |
Jun. 30, 2021 | |
Other current assets. | |
Other current assets | 15 Other current assets 2020 2021 RMB RMB Prepayments 3,571 8,070 Trade receivables 4,473 11,265 Contract costs 9,201 11,194 Advances to employees 2,187 1,270 Deductible VAT and prepaid income tax 14,988 4,920 Other receivables due from third parties 2,096 1,066 Total 36,516 37,785 Contract costs represented the capitalized sales commissions relating to the acquisitions of new contracts, which would be amortized over the expected student relationship period. The amount of capitalized costs recognized in profit or loss from continuing operations and discontinued operations during the years ended June 30, 2019, 2020 and 2021 was RMB13,302, RMB13,439 and RMB13,906, respectively. The current portion of capitalized sales commissions that is expected to be amortized within one year is included in “other current assets” and the non-current portion is included in “contract costs”. |
Cash and cash equivalents
Cash and cash equivalents | 12 Months Ended |
Jun. 30, 2021 | |
Cash and cash equivalents. | |
Cash and cash equivalents | 16 Cash and cash equivalents (i) Cash and cash equivalents comprise: 2020 2021 RMB RMB Note Cash at bank 8,709 44,255 Cash held at a related party finance entity 22(b) 502,289 200,023 Cash held at other financial institutions 5,448 35,142 Total 516,446 279,420 As of June 30, 2020 and 2021, the cash and cash equivalents of the Group denominated in RMB amount to RMB511,569 and RMB247,355, respectively. (ii) Reconciliation of liabilities and equity arising from financing activities Liabilities Equity Loans due to Contributed Non-controlling related parties Lease liability capital interests Total RMB RMB RMB RMB RMB (Note 19) (Note 13(d)) (Note 17(a)(iii)) (Note 18) At June 30, 2019(Restated) 104,811 — 253,034 37,439 395,284 Impact on initial application of IFRS 16 — 411,090 — — 411,090 At July 1, 2019(Restated) 104,811 411,090 253,034 37,439 806,374 Changes from financing cash flows: Loans borrowed from a related party 13,000 — — — 13,000 Repayment of loans to related parties (34,079) — — — (34,079) Capital contributions — — — 2,450 2,450 Payments to NCI upon liquidation of subsidiaries — — — (3,713) (3,713) Capital element of lease rentals paid — (2,721) — — (2,721) Interest element of lease rentals paid — (4,174) — — (4,174) Dividends paid to a non-controlling shareholder of subsidiaries — — — (21,145) (21,145) Total changes from financing cash flows (21,079) (6,895) — (22,408) (50,382) Other changes: New leases — 9,571 — — 9,571 Interest on lease liabilities — 4,363 — — 4,363 Termination of a lease contract — (4,265) — — (4,265) Lease modification — 131,634 — — 131,634 Leases prepayments — (524,996) — — (524,996) Interest on loans borrowed from a related party 440 — — — 440 Net loss and total comprehensive loss attributable to NCI — — — (4,234) (4,234) Total other changes 440 (383,693) — (4,234) (387,487) At June 30, 2020(Restated) 84,172 20,502 253,034 10,797 368,505 Changes from financing cash flows: Loans borrowed from a related party 4,000 — — — 4,000 Repayment of loans to related parties (41,981) — — — (41,981) Repayment of interest on loans to a related party (853) — — — (853) Acquisition of affiliated entities under common control — — (56,866) — (56,866) Capital element of lease rentals paid — (3,829) — — (3,829) Interest element of lease rentals paid — (944) — — (944) Total changes from financing cash flows (38,834) (4,773) (56,866) — (100,473) Other changes: New leases — 19,684 — — 19,684 Lease modification — (1,038) — — (1,038) Interest on lease liabilities — 1,379 — — 1,379 Interest on loans borrowed from a related party 205 — — — 205 Net loss and total comprehensive loss attributable to NCI — — — 3,681 3,681 Waving liabilities from non-controlling shareholders — — 1,816 1,744 3,560 Total other changes 205 20,025 1,816 5,425 27,471 At June 30, 2021 45,543 35,754 197,984 16,222 295,503 |
Capital and reserve
Capital and reserve | 12 Months Ended |
Jun. 30, 2021 | |
Capital and reserve | |
Capital and reserve | 17 Capital and reserve (a) Share capital and share premium 2019 2020 2021 At June 30 par value USD0.0001‑authorized 1,000,000,000 1,000,000,000 1,000,000,000 - issued 412,450,256 412,450,256 412,450,256 All ordinary shares rank equally. (i) Ordinary shares Holders of these shares are entitled to dividends as declared from time to time and are entitled to one vote per share at general meetings of the Company. In March 2012, in connection with a private placement by a third-party investor, the Board resolved to increase the authorized ordinary shares from 360,000,000 shares to 365,000,000 shares. Concurrently, 5,000,000 newly authorized ordinary shares were issued to Maxida International Company Limited (“Maxida”). The Company received cash proceeds of USD3,000 (equivalent to RMB18,867) from Maxida in exchange for 1.4% equity interest in the Company. In December 2014, the Board resolved to increase the authorized ordinary shares from 365,000,000 shares to 1,000,000,000 shares. In July 2015, the Company completed an IPO in the US market, in which the Company issued 2,858,000 American depositary shares, or ADSs (equal to 45,728,000 ordinary shares), at a public offering price of US$7 per ADS. Each ADS represents 16 ordinary shares, par value USD0.0001 per share. In September 2015, the Company granted 480,000 restricted shares to a consultant as a consideration for its service rendered. Per valuation of the restricted shares, the fair value of 480,000 shares is USD229 (equivalent to RMB1,459). On December 15, 2017, all the warrants issued to the underwriter were exercised into 77,641 ADSs (equal to 1,242,256 ordinary shares). (ii) Share premium Share premium relates to the following issuances of the Company’s ordinary shares: (1) Share deficit of RMB 236 for ordinary shares issued by the Company to Mr. Feng for nil consideration upon the Company’s incorporation in 2011. (2) The capital contributed by Maxida in excess of the par value of the ordinary shares issued in the private placement of RMB 18,864 in 2012. (3) The gross proceeds of RMB 122,369 received from IPO deducting the issuance cost of RMB 9,551 and par value of ordinary shares issued to public of RMB 28 , with net proceed of RMB 112,790 in July, 2015. (4) The fair value of warrants issued to the underwriter of RMB 1,707 upon completion of IPO. On December 15, 2017, all the warrants issued to the underwriter were exercised into 77,641 ADSs (equal to 1,242,256 ordinary shares). (5) The fair value of restricted shares issued to consultant in September, 2015, in excess of par value of ordinary shares issued of RMB 1,459 . (iii) Contributed capital Contributed capital represented the following capital transactions with the Company’s shareholders: (1) Upon completion of the IPO restructure in October 2014, contributed capital arose from below transactions: - The contributions of the registered capital of 100% of Foreign Language and 60% of Experimental High made by Mr. Feng totaling RMB82,800. - The consideration of RMB110,000 made by Mr. Feng for the acquisition of 80% equity interest in Tianma Experimental. - The share capital of HKD10 (equivalent to RMB9) contributed by Mr. Feng upon incorporation of Hailiang HK. - RMB32,906 arising from acquisition of non-controlling interests. In November 2011, Mr. Feng acquired 40% registered capital equity interest in Experimental High and 20% registered capital equity interest in Tianma Experimental from Mr. Meng, the non-controlling shareholder of both schools for cash considerations of RMB35,000 and RMB6,000, respectively. Upon the acquisitions, Mr. Feng became the sole sponsor of Experimental High and Tianma Experimental and owned 100% registered capital equity interest in each of the two schools. The non-controlling interests’ proportionate shares of the net identifiable assets of Experimental High and Tianma Experimental on the date of the acquisitions were RMB28,790 and RMB4,116, respectively. The aggregate cash consideration of RMB41,000 paid by Mr. Feng for the acquisitions was recorded in contributed capital. The difference between the cash consideration paid of RMB41,000 and the total carrying amount of the non-controlling interests of RMB32,906, which amounted to RMB8,094, was charge to deduct contributed capital within equity. - The capital contributions of RMB139,980 paid by Mr. Feng upon incorporation of Hailiang Management. - Cash consideration of RMB139,800 paid to Mr. Feng for the transfer of 100% registered capital equity interest in each of the Foreign Language, Experimental High and Tianma Experimental. (2) Capital contribution of RMB 10,000 from Hailiang Investment, a related party controlled by Mr. Feng, through waiving liability during the year ended June 30, 2017. (3) Capital contribution of RMB 139 from Beize Group through subscribing 0.1% registered capital of Hailiang Management during the year ended June 30, 2019. (4) Deemed capital contribution of RMB 15,000 from Mr. Feng, through payment of awards to the Group’s outstanding teachers to recognize their outstanding performance and contributions during the year ended June 30, 2019. (5) As mentioned in note 21, the consolidated financial statements of the Group have been restated as a result of the business combinations involving the entities under common control during the year ended June 30, 2021, and the total cash consideration of RMB 56,866 was recorded as deduction of contribution capital within total shareholders’ equity. The share capital of the combining entities amounting to RMB 1,000 for each of combining entities was recognized in contributed capital for the relevant period from the earliest date presented or since the date when combining entities or businesses first came under common control. (6) Waiving liabilities from non-controlling shareholders of RMB 1,816 represent liabilities waived by non-controlling shareholders of Zhenjiang Jianghe High School of Art, therefore, the Group recorded an increase to “contributed capital” during the year ended June 30, 2021. (b) Reserves (i) Statutory reserve As stipulated by relevant PRC laws and regulations, the Company’s subsidiaries and affiliated entities in the PRC must take appropriations from after-tax profit to non-distributive funds. These reserves include general reserve and the development reserve. The general reserve requires annual appropriation 10% of after-tax profits at each year-end until the balance reaches 50% of the PRC company’s registered capital. Other reserve is set aside at the Company’s discretion. These reserves can only be used for general enterprise expansion and are not distributable as cash dividends. The general reserve as of June 30, 2020 and 2021 was RMB63,239 and RMB93,983, respectively. Each of the schools is required to appropriate 25% of its after-tax profits to a non-distributable education development reserve, which could only be used for school construction, maintenance and upgrade of educational equipment in accordance with the Law of Promoting Private Education. The development reserve is restricted net assets of the schools which are un-distributable to the Company in the form of dividends or loans. The education development reserve as of June 30, 2020 and 2021 was RMB319,034 and RMB341,438, respectively. (ii) Translation reserve The translation reserve comprises foreign currency differences arising from the translation of the financial statements of the Company and its subsidiaries into the presentation currency. ( c) Dividends No dividends were declared or paid by the Company during the years ended June 30, 2019, 2020 and 2021. |
Non-controlling interests
Non-controlling interests | 12 Months Ended |
Jun. 30, 2021 | |
Non-controlling interests. | |
Non-controlling interests | 18 Non-controlling interests Non-controlling interests (“NCI”) represent 44% non-controlling interests in Jiangxi Haibo Education Management Co., Ltd. (“Haibo Education”) and Jiangxi Haibo Logistics Management Co., Ltd. (“Haibo Logistics”), which are held by Nanchang Baishu Education Group (“Nanchang Baishu”), a related party of the Group before October 30, 2019, 49% non-controlling interests in Zhenjiang Jianghe High School of Art,49% non-controlling interests in Juxian Technology and 10% non-controlling interests in Xiantao Hailiang Education Logistics Management Co., Ltd., which are held by third parties. In the fiscal year of 2020, the Group ceased the operation of Haibo Education and Haibo Logistics. The following table summarizes the changes in non-controlling interests from June 30, 2019 to June 30, 2021. Haibo Haibo Zhenjiang Jianghe High Juxian Xiantao Education Logistics School of Art Technology Logistics Total RMB RMB RMB RMB RMB RMB Balance at June 30, 2019 22,850 6,165 8,424 — — 37,439 Capital contribution from NCI — — — 2,450 — 2,450 Net loss and total comprehensive loss attributable to NCI (3,478) (679) (27) (50) — (4,234) Dividends paid to NCI (17,670) (3,475) — — — (21,145) Payments to NCI upon liquidation of Haibo Education and Haibo Logistics (1,702) (2,011) — — — (3,713) Balance at June 30, 2020 — — 8,397 2,400 — 10,797 Net profit/(loss) and total comprehensive loss attributable to NCI — — (1,343) 4,620 404 3,681 Waving liabilities from non-controlling shareholders — — 1,744 — — 1,744 Balance at June 30, 2021 — — 8,798 7,020 404 16,222 |
Trade and other payables
Trade and other payables | 12 Months Ended |
Jun. 30, 2021 | |
Trade and other payables | |
Trade and other payables | 19 Trade and other payables 2020 2021 RMB RMB Trade payables 18,808 22,821 Accrued payroll 141,231 238,690 Other taxes payable 5,688 13,532 Advances from students 61,897 36,260 Deposits 9,958 7,226 Others 34,430 58,218 Trade and other payables due to third parties 272,012 376,747 Loans due to related parties 84,172 45,543 Amounts due to related parties 72,537 89,439 Other payables due to related parties 156,709 134,982 Total 428,721 511,729 The Group’s exposure to liquidity risk related to trade and other payables is disclosed in Note 20. |
Financial risk management and f
Financial risk management and fair values | 12 Months Ended |
Jun. 30, 2021 | |
Financial risk management and fair values | |
Financial risk management and fair values | 20 Financial risk management and fair values The Group has exposure to the following risks from financial instruments: ● credit risk ● liquidity risk ● market rate risk This note presents information about the Group’s exposure to each of the above risks, the Group’s objectives, policies and processes for measuring and managing risk, and the Group’s management of capital. The Board of Directors has overall responsibility for the establishment and oversight of the Group’s risk management framework. (a) Credit risk The Group’s credit risk is primarily attributable to cash at bank, cash and term deposits held at a related party finance entity, and receivables due from related parties. The carrying amount of financial assets represents the maximum credit exposure. The Group does not provide any other guarantees which would expose the Group to credit risk. Cash at bank All of the Group’s cash at bank is held by third-party financial institutions located in the PRC and Hong Kong SAR. The bank deposits with financial institutions in the PRC are insured by the government authority for up to RMB500. The bank deposits with financial institutions in the Hong Kong SAR are insured by the government authority for up to HK$500. The Company has not experienced any losses in uninsured bank deposits and does not believe that it is exposed to any significant risks on cash held in bank accounts. To limit exposure to credit risk, the Company primarily places bank deposits with large financial institutions in the PRC and Hong Kong SAR with acceptable credit rating. Cash and term deposits placed with a related party finance entity As of June 30, 2021, the Group had cash of RMB200,023 and term deposits of RMB1,898,242 at Hailiang Group Finance Co., Ltd. (“Hailiang Finance”), which represented 64% of the Group’s consolidated assets as of June 30, 2021. Hailiang Group, an entity controlled by Mr. Feng, established a finance group, namely, Hailiang Finance, which is licensed to provide intra-group financing arrangements within Hailiang Group’s subsidiaries and other related party companies. The establishment of Hailiang Finance was approved by the China Banking Regulatory Commission (“CBRC”) as a non-banking financial institution to solely facilitate Hailiang Group’s internal financing transactions including issuing loans to and accepting cash deposits from its subsidiaries and other related party entities. Pursuant to the license issued by CBRC, Hailiang Finance is not permitted to make any loans or accept any deposits from any parties that are unrelated to Hailiang Group, except for inter-bank transactions with other unrelated commercial banks. Since September 2014, Hailiang Group and Mr. Feng provided an annual guarantee on the Group’s deposits with Hailiang Finance, and the guarantee was renewed annually. Based on one most recent PRC credit rating organizations, Hailiang Group has been rated AA+ which indicates strong ability to make payments on debts as they become due. Management believes that the credit risk on the Group’s cash of RMB200,023 and term deposits of RMB1,898,242 is low considering Hailiang Group’s guarantee and credit rating. Receivables due from related parties Receivables due from related parties primarily represent loan receivables due from Hong Kong Leonit Limited (“Leonit”), which has been guaranteed by a related party, incorporated in British Virgin Island and controlled by Hailiang Group. The Group concludes that the credit risk arising from the receivables is low considering the guarantee. (b) Liquidity risk Liquidity risk is the risk that the Group will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Group’s approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Group’s reputation. The following are the contractual maturities of financial liabilities, which are based on contractual undiscounted cash flows and the earliest date the Group can be required to pay: June 30, 2020 Carrying Contractual 1 year or More than Non-derivative financial instruments amount Cash flow less 1-2 years 2-5 years 5 years RMB RMB RMB RMB RMB RMB Trade and other payables due to third parties 272,012 272,012 272,012 — — — Other payables due to related parties 156,709 156,709 156,709 — — — Lease liabilities (Note 13(d)) 20,502 27,356 2,687 3,442 7,999 13,228 June 30, 2021 Carrying Contractual 1 year or more than Non-derivative financial instruments amount cash flow less 1-2 years 2-5 years 5 years RMB RMB RMB RMB RMB RMB Trade and other payables due to third parties 376,747 376,747 376,747 — — — Other payables due to related parties 134,982 134,982 134,982 — — — Lease liabilities (Note 13(d)) 35,754 44,563 6,801 6,544 13,786 17,432 (c) Market rate risk Interest rate risk The interest rates of cash held in bank and cash and term deposits placed with Hailiang Finance ranged from 0.30% to 2.1% per annum for the year ended June 30, 2020, and ranged from 0.30% to 3.85% for the year ended June 30, 2021, respectively. The Group does not have any fixed-rate or variable-rate interest bearing financial instrument other than cash and cash equivalent, term deposits placed with a related party finance entity and lease liabilities. A change of 10 basis point in interest rate would not be expected to have a significant impact on the Group’s financial condition or results of operations. (d) Fair value The carrying amounts of financial assets and liabilities approximate their respective fair values as of June 30, 2020 and 2021, respectively, due to their short-term maturities. As of June 30, 2020 and 2021, the Group did not have financial instruments carried at fair value. During the years ended June 30, 2020 and 2021, there were no transfers between Level 1 and Level 2, or transfers into or out of Level 3. Further, the fair value disclosure of lease liabilities is not required for the year ended June 30, 2020 and 2021. (e) Capital management The Group actively and regularly reviews and manages its capital structure to maintain a balance between higher shareholders’ return that might be possible with higher levels of borrowings, and makes adjustments to the capital structure in light of changes in economic conditions. The Group is not subject to externally imposed capital requirements. |
Acquisition of affiliated entit
Acquisition of affiliated entities | 12 Months Ended |
Jun. 30, 2021 | |
Acquisition of affiliated entities | |
Acquisition of affiliated entities | 21 Acquisition of affiliated entities Acquisition of Jinhua Hailiang Foreign Language School and Feicheng Education Investment During the year ended June 30, 2021, the Group acquired 100% sponsorship of Jinhua Hailiang Foreign Language School and 100% equity interests in Feicheng Education Investment (referred to as “combining entities”) from Hailiang Investment controlled by Mr. Feng at a cash consideration of RMB34,000 and RMB22,866 respectively. Since the Company and the combining entities are under common control of Mr. Feng both before and after the acquisitions and the control is not transitory, the acquisitions have been accounted as a business combination involving entities under common control. The cash consideration of RMB56,866 was recorded as deduction of contribution capital within total shareholders’ equity. Since the Company, Jinhua Hailiang Foreign Language School and Feicheng Education Investment were under common control of Mr. Hailiang Feng, both before and after the acquisition and the control was not temporary, the transactions were accounted for as a business combination between entities under common control. The assets and liabilities of Jinhua Hailiang Foreign Language School and Feicheng Education Investment acquired by the Company have been accounted for at existing book value and the financial statements of the Company for period prior to the combination have been restated to include the balance sheet and results of operation of Jinhua Hailiang Foreign Language School and Feicheng Education Investment on a combined basis. The consideration of RMB56,866 has been recorded as deduction of contribution capital within total shareholders’ equity. Consideration transferred RMB Cash consideration paid to Hailiang Investment 56,866 Total consideration transferred 56,866 The following table summarizes the aggregate amounts of the assets and liabilities of the combining entities recognized at the carrying value based on the transferor’s financial statements (i.e. Hailiang Investment) which had been incorporated into the comparative figures of the Group’s consolidated financial statements: June 30, 2020 RMB Property and equipment, net 31,312 Contract costs 395 Prepayments to third party suppliers 67 Non-current assets 31,774 Other receivables due from related parties 15 Other current assets 705 Term deposits held at a related party finance entity 5,000 Cash and cash equivalents 13,425 Current assets 19,145 Total assets 50,919 Trade and other payables due to third parties 7,222 Other payables due to related parties 20,715 Contract Liabilities 21,104 Current liabilities 49,041 Net assets acquired 1,878 The following tables summarize the aggregate results and cash flows of the combining entities from the earliest date presented or since the date when combining entities first came under common control, where this is a shorter period, regardless of the date of the common control combination: 2019 2020 RMB RMB Revenue 17,463 38,951 Cost of revenue (18,069) (34,003) Gross (loss)/profit (606) 4,948 Other income, net 476 864 Selling expenses (800) (1,090) Administrative expenses (2,068) (915) Operating (loss)/profit (2,998) 3,807 Finance income 19 37 Finance costs (208) (440) Net finance costs (189) (403) (Loss)/profit before tax (3,187) 3,404 Net (loss)/profit (3,187) 3,404 Net cash generated from operating activities 21,845 13,357 Net cash (used in) investing activities (19,677) (21,786) Net cash generated from financing activities 6,000 11,000 |
Related party transactions
Related party transactions | 12 Months Ended |
Jun. 30, 2021 | |
Related party transactions | |
Related party transactions | 22 Related party transactions Except for related party transactions disclosed in other notes of the financial statements, the Group entered into the following significant transactions with related parties during the years ended June 30, 2019, 2020 and 2021. (a) The significant related party transactions are summarized as follows: 2019 2020 2021 (Restated) (Restated) Note RMB RMB RMB Repayment of loans to related parties (i)(ii) (4,000) (34,079) (41,981) Repayment of loans from a related party (i) 12,412 11,850 21,649 Loans borrowed from a related party (ii) 9,000 13,000 4,000 Interest on loans borrowed from a related party (ii) 208 440 205 Repayment of on loans borrowed from a related party (ii) — — 853 Interest income from deposits placed with a related party finance entity (iii) 24,331 24,835 42,820 Net (withdrawals)/ deposits of cash at a related party finance entity (iii) (509,067) 267,937 (302,266) Term deposits placed with a related party finance entity (iii) 4,709,697 3,816,762 4,180,615 Maturity of term deposits placed with a related party finance entity (iii) 3,526,603 4,282,255 3,233,296 Rental expenses (iv) 33,814 — — Purchase of right-of-use assets (iv) — 529,406 3,509 Interest on lease liabilities (iv) — 3,624 227 Payments of lease liabilities (iv) — 529,377 976 Payments of expenses by the Group on behalf of related parties (v) 6,750 10,253 14,748 Payments of expenses by related parties on behalf of the Group (v) 2,731 2,958 4,852 Collection of fees by the Group on behalf of related parties (v) 46,922 34,936 61,764 Purchase of leasehold improvement from a related party (vi) 38,520 118,718 68,070 Purchase of food products from related parties (vii) 70,045 75,654 111,835 Operation and management service provided to related parties (viii) 30,081 8,045 17,822 Other service and product provided to related parties (ix) 3,165 3,181 4,641 Service provided by related parties (x) 23,669 20,364 23,573 Acquisition of affiliated entities (xi) — 200 56,866 Dividends paid to a non-controlling shareholder of subsidiaries (xi) 7,482 21,145 — Payments to a non-controlling shareholder upon the liquidation of subsidiaries (xi) — 3,713 — Capital contribution (xii) 15,000 — 3,560 (b) The significant related party balances are summarized as follows: 2020 2021 (Restated) Note RMB RMB Other receivables due from related parties (i) (iii) (iv) (vii) (viii) (ix) 77,442 53,868 Cash held at a related party finance entity (iii) 502,289 200,023 Term deposits placed with a related party finance entity (iii) 921,601 1,898,242 Other payables due to related parties (i) (iv) (v) (vi) (ix) (x) 156,709 134,982 Lease liabilities (iv) 3,628 5,554 – Current portion 1,338 1,504 – Non-current portion 2,290 4,050 The Company’s majority shareholder, Mr. Feng owns or controls other non-educational services businesses (“Related Party Companies”) that from time to time require short-term financing to support their business operations and working capital needs. After considering the cash on hand and forecasted cash flows to fund its operations, the Group issued financing to Related Party Companies during the periods presented. (i) On October 31, 2016, the Company provided a one-year-period interest-free loan to Leonit, which is controlled by Hailiang Group, amounting to USD14,500 (equivalent to RMB98,229) (“USD Loan”). On the same date, Hailiang Consulting borrowed a one-year-period interest-free loan from Hailiang Group amounting to RMB99,603 (“RMB Loan”). On October 9, 2017, the Company agreed to extend the loan with Leonit, pursuant to which the USD Loan’s due date was extended to due on October 30, 2018 with renewal option if both parties agree. Similarly, Hailiang Group and Hailiang Consulting agreed to a loan extension pursuant to which the RMB Loan was due on October 30, 2018 with renewal option if both parties agree. Per the agreement among the four parties mentioned above, when the USD Loan is repaid, the RMB Loan will similarly be repaid. On December 5, 2017, the Company borrowed a one-year-period interest-free loan from Leonit amounting to USD1,150 (equivalent to RMB7,609). The loan of USD1,150 was offset against the USD loan per the agreement between the Company and Leonit. During the year ended June 30, 2019, Leonit settled part of the USD loan in cash, amounting to USD1,820 (equivalent to RMB12,412) to the Company. During the year ended June 30, 2020, Leonit settled part of the USD loan in cash, amounting to USD1,700 (equivalent to RMB11,850) to the Company, while Hailiang Consulting repaid part of the RMB loan, amounting to RMB32,079 to Hailiang Group. During the year ended June 30, 2021, Leonit settled part of the USD loan in cash, amounting to USD3,200 (equivalent to RMB21,649) to the Company, while Hailiang Consulting repaid part of the RMB loan, amounting to RMB21,981 to Hailiang Group. As of June 30, 2020 and 2021, the USD loan made to Leonit of USD9,830 (equivalent to RMB69,591) and USD6,630 (equivalent to RMB42,830) was included in “Other receivables due from related parties”, respectively, and the RMB loan borrowed from Hailiang Group of RMB67,524 and RMB45,543 was included in “Other payables due to related parties”, respectively. (ii) During the years ended June 30, 2019, 2020 and 2021, Jinhua Hailiang Foreign Language School and Feicheng Hailiang Foreign Language School borrowed loans amounted to RMB9,000, RMB13,000 and RMB4,000 at an interest rate of 5.145% from Hailiang Investment. a related party controlled by Mr.Feng. During the years ended June 30, 2019, 2020 and 2021, Jinhua Hailiang Foreign Language School and Feicheng Hailiang Foreign Language School repaid of the loans amounted to RMB 4,000, RMB2,000 and RMB20,000 to Hailiang Investment. As of June 30, 2021, the loans and interests have been all repaid to Hailiang Investment. (iii) As of June 30, 2020 and 2021, the Group has cash held at a related party finance entity of RMB502,289 and RMB200,023, respectively. During the year ended June 30, 2020, net amount of RMB267,937 were placed with Hailiang Finance. During the years ended June 30, 2019 and 2021, net amount of RMB509,067 and RMB302,266 were withdrawn from Hailiang Finance, respectively. The cash held at a related party finance entity is held for the purpose of meeting short-term cash commitments, such as to pay for the Group’s operating expenses at any time. During the years ended June 30, 2019, 2020 and 2021, term deposits of RMB4,709,697, RMB3,816,762 and RMB4,180,615 were placed with Hailiang Finance, and RMB3,526,603, RMB4,282,255 and RMB3,233,296 were matured, respectively. The term deposits are held for investment purpose and can be withdrawn prior to their maturity without incurring significant penalties. Such amounts have been presented as investing activities in the consolidated statements of cash flows. As of June 30, 2020 and 2021, the Group has term deposits with maturities more than three months to RMB921,601 and RMB1,898,242 that are placed at Hailiang Finance, respectively. The interest income from the deposits during the years ended June 30, 2019, 2020 and 2021 amounted to RMB24,331, RMB24,835 and RMB42,820, respectively. Interest income that can be collected but not yet collected from the due term deposits as of June 30, 2020 amounted to RMB4,478 was included in “Other receivables due from related parties”. As of June 30, 2021, the Group had interest income receivable from undue term deposits amounted to RMB29,322, which was included in” Term deposits held at a related party finance entity”. (iv) The Group leases the school buildings and the related facilities in three campuses in Zhuji, China from Hailiang Investment, a related party controlled by Mr. Feng, which incurred rental expenses of RMB31,504 during the year ended June 30, 2019. The Group also leases some office spaces from Hailiang Real Estate, a related party controlled by Mr. Feng, which incurred rental expenses of RMB730 during the year ended June 30, 2019. In addition, Haibo Education and Haibo Logistics leased the office space and warehouse from Nanchang Hongtou Property Management Co., Ltd, (“Nanchang Hongtou”), a related party before October 30, 2019 and owned by Mr. Honggen Min, who is the controlling shareholder of Nanchang Baishu, which incurred rental expenses of RMB1,580 during the year ended June 30, 2019. On September 6, 2019, the Group terminated the lease contract with Nanchang Hongtou due to the liquidation of Haibo Education and Haibo Logistics. The Group has initially applied IFRS 16 using the modified retrospective approach and adjusted the opening balances at July 1, 2019 to recognize right-of-use assets relating to leases which were previously classified as operating leases under IAS 17. After initial recognition of right-of-use assets at July 1, 2019, the Group as a lessee is required to recognize the depreciation of right-of-use assets, instead of the previous policy of recognizing rental expenses incurred under operating leases on a straight-line basis over the lease term. Under this approach, the comparative information is not restated. See note 4(o). On September 6, 2019, the Group entered into a series of supplementary contracts with Hailiang Investment regarding the school buildings and the related facilities in three campuses in Zhuji, China from Hailiang Investment, pursuant to which, on September 12, 2019, the Group purchased right-of-use assets of RMB524,996 regarding the school buildings and the related facilities in three campuses in Zhuji, China from Hailiang Investment for the remaining lease period until June 30, 2037. Regarding other lease contracts with Hailiang Investment, Hailiang Real Estate and Xiantao Tiancheng Education Investment Co., Ltd., a related party controlled by Hailiang Investment, the Group purchased right-of-use assets RMB4,410 and RMB3,509 respectively during the years ended June 30, 2020 and 2021. During the years ended June 30, 2020 and 2021, the Group recognized interest expense of RMB3,624 and RMB227 on lease liabilities, respectively, and settled lease liabilities of RMB529,377 and RMB976 relating to the above lease contracts with Hailiang Investment and Hailiang Real Estate, respectively. As of June 30, 2020 and 2021, the above unsettled balances of RMB3,628 and RMB5,554 were recognized in “Lease liabilities”, respectively. (v) During the years ended June 30, 2019, 2020 and 2021, the Group paid expenses, which mainly include staff related expenses and other miscellaneous expenses, of RMB 6,750, RMB10,253 and RMB14,748 respectively on behalf of the related parties. Such amount is receivable on demand, and the related parties repaid RMB6,656, RMB9,180 and RMB9,925 to the Group during the years ended June 30, 2019, 2020 and 2021, respectively. During the years ended June 30, 2019, 2020 and 2021, the related parties paid expenses, which mainly include staff related expenses and other miscellaneous expenses, of RMB2,731, RMB2,958 and RMB4,852 respectively on behalf of the Group. Such amount is due and payable on demand, and the Group repaid RMB4,663, RMB2,510 and RMB4,807 to the related parties during the years ended June 30, 2019, 2020 and 2021, respectively. During the years ended June 30, 2019, 2020 and 2021, the Group collected amounts of RMB46,922, RMB34,936 and RMB61,764, mainly on behalf of Ming Kang Hui supermarkets, which are operated by Zhejiang Ming Kang Hui Food Co., Ltd., a related party controlled by Mr. Feng. Such amount is due and payable on demand, and the Group repaid RMB47,858, RMB33,011 and RMB58,405 to related parties during the years ended June 30, 2019, 2020 and 2021, respectively. The above unsettled balances were included in “Other payables due to related parties” and “Other receivables due from related parties” as of June 30, 2020 and 2021, respectively. (vi) The Group entered into a series of leasehold improvement contracts with Heng Zhong Da Construction Limited Company (“Heng Zhong Da”), a company over which Mr. Feng has significant influence, for the leasehold improvement of classroom buildings, dining halls and student dormitories. During the years ended June 30, 2019, 2020 and 2021, the Group purchased leasehold improvement service from Heng Zhong Da of RMB38,520, RMB118,718 and RMB68,070 respectively. As of June 30, 2020 and 2021, the above unsettled balances of RMB45,293 and RMB41,554 were recognized in “Other payables due to related parties”. (vii) The Group purchased food products from Zhejiang Ming Kang Hui E-Commerce Co., Ltd. and Ming Kang Hui Ecological Agriculture Group Co., Ltd. (collectively referred as “Ming Kang Hui”), two companies controlled by Mr. Feng, amounting to RMB70,045 during the year ended June 30, 2019, respectively. The Group purchased food products from Ming Kang Hui Ecological Agriculture Group Co., Ltd. and Zhuji Hailiang Food Co., Ltd., two related parties controlled by Mr. Feng, totally amounting to RMB75,654 and RMB111,835 during the years ended June 30, 2020 and 2021. As of June 30, 2020 and 2021, the above unsettled balances of RMB11,977 and RMB22,262 were recognized in “Other payables due to related parties”. (viii) Operation and management service provided to related parties are as follow: 2019 2020 2021 RMB RMB RMB Operation and management service provided to managed schools 25,203 4,622 11,452 Service provided to Ming Kang Hui 4,878 3,423 6,370 Total 30,081 8,045 17,822 Pursuant to the strategic cooperation agreement signed with Hailiang Group and Hailiang investment, the Group provided operation and management services to Hailiang Kindgarten, Zhuji Hailiang Jinshan Kindgarten and Tianma Kindgarten, which were controlled by Mr Hailiang Feng, and other 17 schools controlled by Hailiang Investment, including Xiantao No.1 Middle School, Xinchang Nanrui Experimental School, and 15 schools controlled by Xinyu Baishu Technology Service Co., Ltd. (“Xinyu Baishu”). Operation and management service fees of RMB25,203, RMB4,622 and RMB11,452 were charged to the abovementioned schools during the years ended June 30, 2019, 2020 and 2021, respectively. On October 30, 2019, Hailiang Investment disposed all of the equity interest in Xinyu Baishu and hence Xinyu Baishu is not considered as a related party to the Group since then. The Group provided service to Ming Kang Hui supermarkets, which are operated by Zhejiang Ming Kang Hui Food Co., Ltd., controlled by Mr. Feng, in the Group’s campuses, amounting to RMB4,878, RMB3,423 and RMB6,370 during the years ended June 30, 2019, 2020 and 2021, respectively. (ix) Other service and product provided to related parties mainly include daily consumables sold to related parties, hotel services and etc. (x) The Group received IT services, physical examination services, travel services and other services from related parties controlled by Hailiang Group, amounting to RMB23,669, RMB20,364 and RMB23,573 during the years ended June 30, 2019, 2020 and 2021. As of June 30, 2020 and 2021, the above unsettled balances of RMB9,160 and RMB15,021 were recognized in “Other payables due to related parties”. (xi) In November 2018, Haibo Education and Haibo Logistics declared and fully paid dividends amounting to RMB6,075 and RMB1,407 to Nanchang Baishu, respectively. In September 2019, Haibo Education and Haibo Logistics declared and fully paid dividends amounting to RMB17,670 and RMB3,475 to Nanchang Baishu, respectively. In December 2019, net assets attributable to Nanchang Baishu was paid upon the liquidation of Haibo Education and Haibo Logistics, totally amounting to RMB3,713. In July 2019, the Company acquired 100% shares of Zhuji Tianma Boya Training Center Co., Ltd. with the consideration of RMB100 from Hailiang Investment. In May 2020, the Company acquired 100% shares of Zhuji Yuesheng Management Consulting Co., Ltd. with the consideration of RMB100 from Hailiang Investment. In July 15, 2020, the Company entered into a sponsorship transfer agreement with Hailiang Investment to acquire 100% sponsorship of Jinhua Hailiang Foreign Language School, with a total consideration of RMB34,000. In April 2021, the Company acquired from Hailiang Investment, 100% equity interests in Feicheng Education Investment, for a total consideration of RMB 22,866. (xii) Mr. Feng, paid awards of RMB15,000 to the Group’s outstanding teachers to recognize their outstanding performance and contributions during the year ended June 30, 2019. The transaction is accounted for as a deemed contribution from a controlling shareholder. Capital contribution of RMB3,560 from non-controlling shareholders of Zhenjiang Jianghe High School of Art, through waiving liability during the year ended June 30, 2021. (c) Transactions with key management personnel Remuneration of the directors and key management personnel of the Group for the years ended June 30, 2019, 2020 and 2021 are as follows: 2019 2020 2021 RMB RMB RMB Short-term benefits 5,713 5,549 5,861 Total remuneration is included in “employee benefit expenses” (Note 7). |
Commitments and contingencies
Commitments and contingencies | 12 Months Ended |
Jun. 30, 2021 | |
Commitments and contingencies | |
Commitments and contingencies | 23 Commitments and contingencies (a) Capital commitments Capital commitments, which are primarily related to the campus decoration are as follows: 2020 2021 RMB RMB Contracted, but not provided for: Leasehold improvement 47,813 23,495 Furniture, fixtures and other equipment 2,826 4,143 |
Subsequent events
Subsequent events | 12 Months Ended |
Jun. 30, 2021 | |
Subsequent events | |
Subsequent events | 24 Subsequent events (a) Loss from loss of control of the affiliated entities Pursuant to the effectiveness of the Implementation Rules from September 1, 2021, a private school providing compulsory education is prohibited from conducting transactions with its related party, including the consulting service under the Contractual Agreement with these affiliated entities providing compulsory education. As a result, the Group has considered that the clauses or provisions of the Consulting Services Agreement, in relation to related party transactions between a private school providing compulsory education and Hailiang Consulting and its affiliated entities, are not legally enforceable since September 1, 2021. The Group concluded that it lost control of the following affiliated entities on September 1, 2021, considering the significant restrictions and uncertainties the Implementation Rules impose on the Company’s ability to direct the range of ongoing activities that would most significantly impact the returns of those entities and to be exposed to returns that are commensurate with a controlling interest. Since September 1, 2021, the Group has stopped providing services to the affiliated entities providing compulsory education. Consolidated affiliated entities Place and year of establishment Principal activities Hangzhou Hailiang Education Management Co., Ltd. Zhejiang, China, 2018 Investment holding Zhejiang Zhuji Hailiang Foreign Language School (“Foreign Language”) Zhejiang, China, 1995 K-9 compulsory curriculum education services Zhejiang Zhuji Tianma Experimental School (“Tianma Experimental”) Zhejiang, China, 1995 K-9 compulsory curriculum education services Zhejiang Zhuji Hailiang Primary School Zhejiang, China, 2016 K-9 compulsory curriculum education services Zhejiang Zhuji Hailiang Junior Middle School Zhejiang, China, 2016 K-9 compulsory curriculum education services Lanzhou Hailiang Education Consulting Co., Ltd. Gansu, China, 2019 Investment holding Lanzhou Hailiang Experimental School Gansu, China, 2020 K-9 compulsory curriculum education services Wuhu Hailiang Education Management Co., Ltd. Anhui, China, 2020 Investment holding Wuhu Hailiang Experimental School Anhui, China, 2020 K-9 compulsory curriculum education services Jinhua Hailiang Education Technology Co., Ltd. Zhejiang, China, 2020 Investment holding Wenzhou Hailiang Juxian Education Technology Co., Ltd. (“Juxian Technology”) Zhejiang, China, 2020 Investment holding Hailiang Overseas Chinese School Zhejiang, China, 2020 K-9 compulsory curriculum education services Jinhua Hailiang Foreign Language School Zhejiang, China, 2018 K-9 compulsory curriculum education services Ninghai Hailiang Education Management Co., Ltd. Zhejiang, China, 2021 Investment holding Xianghu Future School Zhejiang, China, 2021 K-9 compulsory curriculum education services Feicheng Education Investment Shandong, China, 2018 Investment holding Feicheng Hailiang Foreign Language School Shandong, China, 2018 K-9 compulsory curriculum education services The following table summarizes the consolidated financial position of these affiliated entities as of June 30, 2020 and 2021. June 30, 2020 June 30, 2021 RMB RMB Property and equipment, net 460,245 268,479 Intangible assets and goodwill, net 78,325 — Right of use assets 103,143 97,053 Contract costs 9,826 10,021 Prepayments to third party suppliers 126 — Non-current assets 651,665 375,553 Other receivables due from related parties 43,065 44,206 Other current assets 11,286 17,618 Term deposits held at a related party finance entity 385,000 362,265 Cash and cash equivalents 123,061 118,344 Current assets 562,412 542,433 Total assets 1,214,077 917,986 Lease liabilities 4,881 4,325 Non-current liabilities 4,881 4,325 Trade and other payables due to third parties 117,426 162,410 Other payables due to related parties* 423,430 444,635 Income tax payable — 992 Contract Liabilities 235,399 290,860 Lease liabilities 133 159 Current liabilities 776,388 899,056 Total liabilities 781,269 903,381 Net assets** 432,808 14,605 Net assets attributable to the Company’s shareholders 430,408 7,585 Non-controlling interests 2,400 7,020 * Other payables due to related parties mainly include payables arising from the payments settled by related parties on behalf of these affiliated entities and services and materials provided to these affiliated entities by related parties. ** The difference between the loss from the discontinued operations, net of tax of RMB243,337 for the fiscal year ended June 30, 2021 and the movement of net assets of RMB418,203 during the fiscal year end June 30, 2021 was due to the elimination of intra-group transactions when presenting the financial results of discontinued operations as mentioned in note 5(ii) and the deduction of contribution capital arising from business combinations under common control as mentioned in note 21. For the results of operations and cash flows of discontinued operations during the year ended June 30, 2019, 2020 and 2021, please see note 9. Notwithstanding the above, after September 1, 2021 there are still other ongoing transactions between these schools providing compulsory education, which the Group lost control September 1, 2021, and their related parties, such as cash and deposits placed with Hailiang Finance, campus lease from Hailiang Investment. These ongoing transactions may be subject to risk of violating the Implementation Rules. In accordance with the Implementation Rules, there is a risk of being ordered to rectify violations within a time limit, and any illegal gains shall be confiscated after the fees collected are returned; if the violations are serious, the sponsor, actual controller and member of the decision-making body or supervisory body shall not become the sponsor, actual controller or member of the decision-making body or supervisory body of any other private schools within one to five years; and if the violations are especially serious with adverse social impact, the sponsor, actual controller and member of the decision-making body or supervisory body shall not become the sponsor, actual controller and members of the decision-making body or supervisory body of other private schools permanently; if there is a violation of public security administration, the public security authority shall impose a public security administrative penalty; if a crime is committed, criminal responsibility shall be investigated. As of the date of this report, these schools providing compulsory education have not received any further rectification requirements or penalty notices from the relevant competent authority. Considering there still remain uncertainty as to when and how such Implementation Rules will become specifically applied, it is uncertain whether the Group is subject to risk of violating the Implementation Rules. Overall, in the view of the Group the possibility of a material loss is less than probable. However, the Group is unable to estimate reliably the range of loss, if any, that could result if the Group was considered as being violating the Implementation Rules by the relevant competent authority. The relevant authorities have yet to promulgate any detailed implementation rules and regulations under the Implementation Rules, therefore, the Group and these schools providing compulsory education will continue to monitor the developments and evaluate the possible impact of the Implementation Rules. (b) Disposal of Mingyou Future On October 9, 2021, the Group disposed Hailiang Mingyou Future (Zhejiang) Education Technology Co., Ltd, (“Mingyou Future”) and its subsidiaries to Hailiang Investment, a related party controlled by Mr. Feng, for a consideration of RMB6,534. The revenue proportion of Mingyou Future has been immaterial to the business, and the total revenue derived from Mingyou Future for each of the fiscal years ended June 30, 2019, 2020 and 2021 was less than 1%. |
Comparative figures
Comparative figures | 12 Months Ended |
Jun. 30, 2021 | |
Comparative figures | |
Comparative figures | 25 Comparative figures The Group has initially applied IFRS 16 at July 1, 2019. Under the cumulative effect method, comparative information is not restated. See note 4(o). As mentioned in note 21, as a result of business combinations under common control, the financial statements of the Group for period prior to the combinations have been restated to include the financial statements items of Jinhua Hailiang Foreign Language School and Feicheng Education Investment as if the entities or businesses had been consolidated at the earliest balance sheet date presented or when they first came under common control, whichever is later. As mentioned in note 9, the Consolidated Statements of Profit or Loss and Other Comprehensive Income has been represented to show the discontinued operation separately from continuing operations. |
Immediate and ultimate controll
Immediate and ultimate controlling party | 12 Months Ended |
Jun. 30, 2021 | |
Immediate and ultimate controlling party | |
Immediate and ultimate controlling party | 26 Immediate and ultimate controlling party At June 30, 2021, the Directors consider the immediate parent of the Group to be Jet Victory International Limited, which is incorporated in British Virgin Island, and the ultimate controlling party to be Mr.Feng. Neither of the parties produce financial statements available for public use. |
Parent company financial statem
Parent company financial statement | 12 Months Ended |
Jun. 30, 2021 | |
Parent company financial statement | |
Parent company financial statement | 27 Parent company financial statement The following condensed parent company financial information of Hailiang Education Group Inc. has been prepared using the same accounting policies as set out in the accompanying consolidated financial statements. HAILIANG EDUCATION GROUP INC. CONDENSED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE LOSS FOR THE YEARS ENDED JUNE 30, 2019, 2020 AND 2021 (Amounts in thousands) 2019 2020 2021 RMB RMB RMB Cost of revenue — — — Gross loss — — — Administrative expenses (8,176) (10,060) (5,057) Operating loss (8,176) (10,060) (5,057) Net finance expenses — — — Loss before tax (8,176) (10,060) (5,057) Loss (8,176) (10,060) (5,057) Items that will not be reclassified to profit or loss Exchange differences on transaction of financial statements of the Company 4,086 2,966 (7,818) Total comprehensive loss (4,090) (7,094) (12,875) HAILIANG EDUCATION GROUP INC. CONDENSED STATEMENTS OF FINANCIAL POSITION AS OF JUNE 30, 2020 AND 2021 (Amounts in thousands) 2020 2021 RMB RMB Assets Other receivables due from subsidiaries 27,237 5,077 Long-term investment — 10,091 Non-current assets 27,237 15,168 Other receivables due from related parties 69,591 42,830 Other current assets 225 1,233 Cash 891 23,244 Current assets 70,707 67,307 Total assets 97,944 82,475 Shareholders’ equity Share capital 268 268 Share premium 134,583 134,583 Translation reserve 16,161 8,343 Accumulated losses (55,739) (60,796) Total shareholders’ equity 95,273 82,398 Liabilities Other payables due to third parties 2,669 75 Other payables due to related parties 2 2 Current liabilities 2,671 77 Total liabilities 2,671 77 Total shareholders’ equity and liabilities 97,944 82,475 HAILIANG EDUCATION GROUP INC. CONDENSED STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED JUNE 30, 2019, 2020 AND 2021 (Amounts in thousands) 2019 2020 2021 RMB RMB RMB Cash flows from operating activities Loss for the year (8,176) (10,060) (5,057) Adjustments for: Change in other payables due to third parties 887 389 (2,594) Changes in other current assets — (225) (1,008) Change in other receivable due from subsidiaries (4,664) (1,528) 160 Change in other receivable due from related parties (201) — — Net cash used in operating activities (12,154) (11,424) (8,499) Cash flows from investing activities Repayment of loans from a related party 12,412 11,850 21,649 Investment in a subsidiary — — (10,091) Net cash generated from investing activities 12,412 11,850 11,558 Cash flows from financing activities Loan borrowed from a subsidiary — — 22,000 Net cash generated from financing activities — — 22,000 Effect of movements in exchange rates on cash (394) 75 (2,706) Net (decrease) / increase in cash (136) 501 22,353 Cash at the beginning of the year 526 390 891 Cash at end of the year 390 891 23,244 |
Significant accounting polici_2
Significant accounting policies (Policies) | 12 Months Ended |
Jun. 30, 2021 | |
Significant accounting policies | |
Basis of consolidation | (a) Basis of consolidation (i) Business combinations The Group accounts for business combinations (except entities acquired under common control) using the acquisition method when the acquired set of activities and assets meets the definition of a business and control is transferred to the Group. In determining whether a particular set of activities and assets is a business, the Group assesses whether the set of assets and activities includes, at a minimum, an input and substantive process and whether the acquired set has the ability to produce outputs. The consideration transferred in the acquisition is generally measured at fair value, as well as the identifiable net assets acquired. Any goodwill that arises is tested annually for impairment (see note 4(f)(ii)). Any gain on a bargain purchase is recognized in profit or loss immediately. Transaction costs are expensed as incurred, except if related to the issue of debt or equity securities. Any contingent consideration is measured at fair value at the date of acquisition. If an obligation to pay contingent consideration that meets the definition of a financial instrument is classified as equity, then it is not re-measured and settlement is accounted for within equity. Otherwise, other contingent consideration is re-measured at fair value at each reporting date and subsequent changes in the fair value of the contingent consideration are recognized in profit or loss. (ii) Subsidiaries and consolidated affiliated entities Subsidiaries and consolidated affiliated entities are entities controlled by the Group. The Group controls an entity when it is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. The financial statements of subsidiaries and consolidated affiliated entities are included in the consolidated financial statements from the date on which control commences until the date on which control ceases. When the Group loses control over a subsidiary or a consolidated affiliated entity, it derecognizes the assets and liabilities of the entity, and any related NCI and other components of equity. Any resulting gain or loss is recognized in profit or loss. Any interest retained in the former subsidiary or consolidated affiliated entity is measured at fair value when control is lost. (iii) Entities acquired under common control Entities acquired under common control or transactions accounted for in a manner similar to a pooling-of-interests (for example, a reorganization of entities under common control) are accounted under the “book value” accounting, where the Company recognizes the assets acquired and liabilities assumed using the book values of the transferor. When the consolidated financial statements are issued for a period that includes the date the common control transaction occurred, the Company’s consolidated financial statements of all prior periods are retrospectively revised to the earliest date presented. (iv) Non-controlling interests Non-controlling interests (“NCI”) are measured initially at the proportionate share of the acquiree’s identifiable net assets at the date of acquisition, or at the fair value at the date of acquisition, on a transaction by transaction basis. Profit or loss and each component of other comprehensive income (“OCI”) are attributed to the owners of the parent and to non-controlling interests in proportion to their ownership interests in the subsidiary. Losses applicable to the non-controlling interests in a subsidiary (including components of OCI) are allocated to the non-controlling interests even if this causes the non-controlling interests to have a deficit balance. Changes in the Group’s interest in a subsidiary that do not result in a loss of control are accounted for as equity transactions. |
Foreign currency | (b) Foreign currency Transactions in foreign currencies are translated to the respective functional currencies of Group entities at exchange rates ruling at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies are translated to the functional currency at the exchange rate at the reporting date. Non-monetary assets and liabilities that are measured at fair value in a foreign currency are translated to the functional currency at the exchange rate when the fair value was determined. Foreign currency gains and losses are reported on a net basis as either finance income or finance expense depending on whether foreign currency changes are in a net gain or net loss position. Non-monetary items that are measured based on historical cost in a foreign currency are translated using the exchange rate at the date of the transaction. The assets and liabilities of foreign operations, including goodwill and fair value adjustments arising on acquisition, are translated into RMB at the exchange rates at the reporting date. The income and expenses of foreign operations are translated into RMB at the exchange rates at the dates of the transactions. Foreign currency differences are recognized in other comprehensive income and accumulated in the translation reserve. |
Financial instruments | (c) Financial instruments (i) Recognition and initial measurement Trade receivables and debt securities issued are initially recognized when they are originated. All other financial assets and financial liabilities are initially recognized when the Group becomes a party to the contractual provisions of the instrument. A financial asset (unless it is a trade receivable without a significant financing component) or financial liability is initially measured at fair value plus, for an item not at fair value through profit or loss (“FVTPL”), transaction costs that are directly attributable to its acquisition or issue. A trade receivable without a significant financing component is initially measured at the transaction price. (ii) Classification and subsequent measurement Non-derivative financial assets On initial recognition, a financial asset is classified as measured at: amortized cost; Fair value through other comprehensive income (“FVOCI”) - debt investment; FVOCI - equity investment; or FVTPL. Financial assets are not reclassified subsequent to their initial recognition unless the Group changes its business model for managing financial assets, in which case all affected financial assets are reclassified on the first day of the first reporting period following the change in the business model. A financial asset is measured at amortized cost if it meets both of the following conditions and is not designated as at FVTPL: - It is held within a business model whose objective is to hold assets to collect contractual cash flows; and - Its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interests on the principal amount outstanding. On initial recognition of an equity investment that is not held for trading, the Group may irrevocably elect to present subsequent changes in the investment’s fair value on OCI. This election is made on an investment-by-investment basis. All financial assets not classified as measured at amortized cost or FVOCI as described above are measured at FVTPL. This includes all derivative financial assets. On initial recognition, the Group may irrevocably designate a financial asset that, otherwise meets the requirements to be measured at amortized cost or at FVOCI as at FVTPL if doing so eliminates or significantly reduces an accounting mismatch that would otherwise arise. Non-derivative financial assets - Business model assessment The Group makes an assessment of the objective of the business model in which a financial asset is held at a portfolio level because this best reflects the way the business is managed and information is provided to management. The information considered includes: - The stated policies and objectives for the portfolio and the operation of those policies in practice. These include whether management’s strategy focused on earning contractual interest income, maintaining a particular interest rate profile, matching the duration of the financial assets to the duration of any related liabilities or expected cash outflows or realizing cash flows through the sale of the assets; - how the performance of the portfolio is evaluated and reported to the Group’s management; - the risks that affect the performance of the business model (and the financial assets held within that business model) and how those risks are managed; - how managers of the business are compensated - e.g. whether compensation is based on the fair value of the assets managed or the contractual cash flows collected; and - The frequency, volume and timing of sales of financial assets in prior periods, the reasons for such sales and expectations about future sales activity. Transfers of financial assets to third parties in transactions that do not qualify for derecognition are not considered sales for this purpose, consistent with the Group’s continuing recognition of the assets. Financial assets that are held for trading or are managed and whose performance is evaluated on a fair value basis are measured at FVTPL. Non-derivative financial assets - Assessment whether contractual cash flows are solely payments of principal and interest For the purposes of this assessment, ‘principal’ is defined as the fair value of the financial asset on initial recognition. ‘Interest’ is defined as consideration for the time value of money and for the credit risk associated with the principal amount outstanding during a particular period of time and for other basic lending risks and costs (e.g. liquidity risk and administrative costs), as well as a profit margin. In assessing whether the contractual cash flows are solely payments of principal and interest, the Group considers the contractual terms of the instrument. This includes assessing whether the financial asset contains a contractual term that could change the timing or amount of contractual cash flows such that it would not meet this condition. In making this assessment, the Group considers: - contingent events that would change the amount or timing of cash flows; - terms that may adjust the contractual coupon rate, including variable-rate features; - prepayment and extension features; and - terms that limit the Group’s claim to cash flows from specified assets (e.g. non-recourse features). A prepayment feature is consistent with the solely payments of principal and interest criterion if the prepayment amount substantially represents unpaid amounts of principal and interest on the principal amount outstanding, which may include reasonable additional compensation for early termination of the contract. Additionally, for a financial asset acquired at a discount or premium to its contractual par amount, a feature that permits or requires prepayment at an amount that substantially represents the contractual par amount plus accrued (but unpaid) contractual interest (which may also include reasonable additional compensation for early termination) is treated as consistent with this criterion if the fair value of the prepayment feature is insignificant at initial recognition. Non-derivative financial assets - Subsequent measurement and gains and losses Financial assets at amortized cost are subsequently measured at amortized cost using the effective interest method. The amortized cost is reduced by impairment losses. Interest income, foreign exchange gains and losses and impairment are recognized in profit or loss. Any gain or loss on derecognition is recognized in profit or loss. Non-derivative financial liabilities - Classification, subsequent measurement and gains and losses Financial liabilities are classified as measured at amortized cost or FVTPL. A financial liability is classified as at FVTPL if it is classified as held-for-trading, it is a derivative or it is designated as such on initial recognition. Financial liabilities at FVTPL are measured at fair value and net gains and losses, including any interest expense, are recognized in profit or loss. Other financial liabilities are subsequently measured at amortized cost using the effective interest method. Interest expense and foreign exchange gains and losses are recognized in profit or loss. Any gain or loss on derecognition is also recognized in profit or loss. (iii) Derecognition Non-derivative financial assets The Group derecognizes a financial asset when the contractual rights to the cash flows from the financial asset expire, or it transfers the rights to receive the contractual cash flows in a transaction in which substantially all of the risks and rewards of ownership of the financial asset are transferred or in which the Group neither transfers nor retains substantially all of the risks and rewards of ownership and it does not retain control of the financial asset. The Group enters into transactions whereby it transfers assets recognized in its statement of financial position, but retains either all or substantially all of the risks and rewards of the transferred assets. In these cases, the transferred assets are not derecognized. Non-derivative financial liabilities The Group derecognizes a financial liability when its contractual obligations are discharged or cancelled, or expire. The Group also derecognizes a financial liability when its terms are modified and the cash flows of the modified liability are substantially different, in which case a new financial liability based on the modified terms is recognized at fair value. On derecognition of a financial liability, the difference between the carrying amount extinguished and the consideration paid (including any non-cash assets transferred or liabilities assumed) is recognized in profit or loss. (iv) Offsetting Financial assets and financial liabilities are offset and the net amount presented in the statement of financial position when, and only when, the Group currently has a legally enforceable right to set off the amounts and it intends either to settle them on a net basis or to realize the asset and settle the liability simultaneously. |
Property and equipment | (d) Property and equipment (i) Recognition and measurement Items of property and equipment are measured at cost less accumulated depreciation and accumulated impairment losses (Note 4(f)). Cost includes expenditures that are directly attributable to the acquisition of the asset. The cost of self-constructed assets includes the cost of materials and any other costs directly attributable to bringing the asset to a working condition for its intended use. Construction in progress represents property under construction and equipment pending installation, and is stated at cost less impairment losses (Note 4(f)). Capitalization of these costs ceases and the construction in progress is transferred to property and equipment when the asset is substantially ready for its intended use. No depreciation is provided in respect of construction in progress. Gains or losses arising from the retirement or disposal of an item of property and equipment are determined as the difference between the net disposal proceeds and the carrying amount of the item and are recognized in profit or loss on the date of retirement or disposal. (ii) Subsequent costs The cost of replacing a component of an item of property and equipment is recognized in the carrying amount of the item if it is probable that the future economic benefits embodied within the component will flow to the Group, and its cost can be measured reliably. The carrying amount of the replaced component is derecognized. The costs of the day-to-day servicing of property, and equipment are recognized in profit or loss as incurred. (iii) Depreciation Items of property and equipment are depreciated from the date that they are available for use or, in respect of self-constructed assets, from the date that the asset is completed and ready for use. Depreciation is calculated to write off the cost of items of property and equipment less their estimated residual values using the straight-line basis over their estimated useful lives. Leasehold improvements are depreciated over the shorter of the lease term or their useful lives. The estimated useful lives for the current and comparative years of significant property and equipment are as follows: Motor vehicles 5 years Furniture, fixtures and other equipment 3~5 years Leasehold improvements Shorter of the remaining lease terms or estimated useful lives Depreciation methods, useful lives and residual values are reviewed at each reporting date and adjusted if appropriate. |
Intangible assets and goodwill | (e) Intangible assets and goodwill (i) Goodwill Goodwill is presented with intangible assets and represent the excess of: (i) the aggregate of the fair value of the consideration transferred, the amount of any non-controlling interests in the acquiree and the fair value of the Group’s previously held equity interests in the acquiree; over (ii) the net fair value of the acquiree’s identifiable assets and liabilities measured as at the acquisition date. When (ii) is greater than (i), then this excess is recognized immediately in profit or loss as a gain on a bargain purchase. Goodwill is stated at cost less accumulated impairment losses. Goodwill arising on a business combination is allocated to each cash-generating unit, or groups of cash generating units, that is expected to benefit from the synergies of the combination and is tested annually for impairment (see note 4(f)). On disposal of a cash generating unit during the year, any attributable amount of purchased goodwill is included in the calculation of profit or loss on disposal. (ii) Trademark Trademark is not amortized when their useful life is assessed to be indefinite, which is reviewed annually to determine whether events and circumstances continue to support the indefinite useful life assessment. The change in the useful life assessment from indefinite to finite is accounted for prospectively from the date of change and in accordance with the policy for amortization of intangible assets with finite lives. (iii) Other intangible assets Other intangible assets that have finite useful lives are measured at cost less accumulated amortization and any accumulated impairment losses (Note 4(f)). Other intangible assets include software, student relationships that arose from the acquisition of Tianma Experimental, favorable lease that arose from the acquisition of Zhenjiang Jianghe High School of Art. (iv) Amortization Amortization of intangible assets with finite useful lives is charged to profit or loss on a straight-line basis over the assets’ estimated useful lives. The following intangible assets with finite useful lives are amortized from the date they are available for use and their estimated useful lives are as follows: Student relationships 1~15 years Favorable lease 20 years Others 3 years Amortization methods and useful lives are reviewed at each reporting date and adjusted if appropriate. |
Impairment | (f) Impairment (i) Non-derivative financial assets The Group recognizes loss allowances for ECLs on financial assets measured at amortized cost. The Group measures loss allowances at an amount equal to lifetime ECLs, except for the following, which are measured at 12-month ECLs: - debt securities that are determined to have low credit risk at the reporting date; and - other debt securities and bank balances for which credit risk (i.e. the risk of default occurring over the expected life of the financial instrument) has not increased significantly since initial recognition. Loss allowances for trade receivables are always measured at an amount equal to lifetime ECLs. When determining whether the credit risk of a financial asset has increased significantly since initial recognition and when estimating ECLs, the Group considers reasonable and supportable information that is relevant and available without undue cost or effort. This includes both quantitative and qualitative information and analysis, based on the Group’s historical experience and informed credit assessment and including forward-looking information. The Group assumes that the credit risk on a financial asset has increased significantly if it is more than 30 days past due. The Group considers a financial asset to be in default when: - the borrower is unlikely to pay its credit obligations to the Group in full, without recourse by the Group to actions such as realizing security (if any is held); or - the financial asset is more than 90 days past due. Lifetime ECLs are the ECLs that result from all possible default events over the expected life of a financial instrument. 12- month ECLs are the portion of ECLs that result from default events that are possible within the 12 months after the reporting date (or a shorter period if the expected life of the instrument is less than 12 months). The maximum period considered when estimating ECLs is the maximum contractual period over which the Group is exposed to credit risk. Measurement of ECLs ECLs are a probability-weighted estimate of credit losses. Credit losses are measured as the present value of all cash shortfalls (i.e. the difference between the cash flows due to the entity in accordance with the contract and the cash flows that the Group expects to receive). ECLs are discounted at the effective interest rate of the financial asset. Credit-impaired financial assets At each reporting date, the Group assesses whether financial assets carried at amortized cost are credit-impaired. A financial asset is ‘credit-impaired’ when one or more events that have a detrimental impact on the estimated future cash flows of the financial asset have occurred. Evidence that a financial asset is credit-impaired includes the following observable data: - - - - - Presentation of allowance for ECL in the statement of financial position Loss allowances for financial assets measured at amortized cost are deducted from the gross carrying amount of the assets. For debt securities at FVOCI, the loss allowance is recognized in OCI and accumulated in the fair value reserve (recycling). (ii) Non-financial assets The carrying amounts of the Group’s non-financial assets are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated. Goodwill and indefinite-lived intangible assets are tested annually for impairment. For impairment testing, assets are grouped together into the smallest group of assets that generates cash inflows from continuing use that are largely independent of the cash inflows of other assets or cash-generating units (“CGU”s). Goodwill arising from a business combination is allocated to CGUs or groups of CGUs that are expected to benefit from the synergies of the combination. The recoverable amount of an asset or CGU is the greater of its value in use and fair value less costs to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset or CGU. An impairment loss is recognized if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognized in profit or loss. In allocating the impairment loss, the impairment loss is allocated first to reduce the carrying amount of any goodwill (if applicable) and then to the other assets on a pro-rata basis based on the carrying amount of each asset in the unit or the group of CGUs. The carrying amount of an asset is not reduced below the highest of its fair value less costs of disposal (if measurable), its value in use (if determinable) and zero. The amount of the impairment loss that would otherwise have been allocated to the asset is allocated pro rata to the other assets of the unit or the group of CGUs. An impairment loss in respect of goodwill is not reversed. In respect of other non-financial assets, impairment losses recognized in prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, if no impairment loss had been recognized. |
Contract costs | (g) Contract costs Contract costs are either the incremental costs of obtaining a contract with a customer or the costs to fulfil a contract with a customer which are not capitalized as inventory, property and equipment or intangible assets. Incremental costs of obtaining a contract are those costs that the Group incurs to obtain a contract with a customer that it would not have incurred if the contract had not been obtained (e.g. an incremental sales commission). Incremental costs of obtaining a contract are capitalized when incurred if the costs relate to revenue which will be recognized in a future reporting period and the costs are expected to be recovered. Contract costs are amortized over the expected customer relationship period, generally from one to six years. Other costs of obtaining a contract are expensed when incurred. The Group applies the practical expedient in paragraph 94 of IFRS 15 and recognizes the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that the Group otherwise would have recognized is one year or less from the initial recognition of the asset. Capitalized contract costs are stated at cost less accumulated amortization and impairment losses. Impairment losses are recognized to the extent that the carrying amount of the contract cost asset exceeds the net of (i) remaining amount of consideration that the Group expects to receive in exchange for the goods or services to which the asset relates, less (ii) any costs that relate directly to providing those goods or services that have not yet been recognized as expenses. Amortization of capitalized contract costs is charged to “selling expenses” in the consolidated statements of profit or loss and other comprehensive income when the revenue to which the asset relates is recognized. |
Contract liability | (h) Contract liability A contract liability is the obligation to provide services or goods to a customer for which the Group has received consideration from the customer. If a customer pays the consideration before the Group provides services or goods to the customer, a contract liability is recognized when the payment is made or the payment is due. |
Cash and cash equivalents | (i) Cash and cash equivalents Cash and cash equivalents in the consolidated statements of financial position comprise cash at banks and on hand and cash equivalents with an original maturity of three months or less that are readily convertible into known amounts of cash and which are subject to an insignificant risk of changes in value and are held for the purpose of meeting short-term cash commitments rather than for investment or other purposes. |
Term deposits | (j) Term deposits Term deposits comprise highly liquid investments with original maturities of three months or greater than three months, which are held for the purpose of investment. |
Employee benefits | (k) Employee benefits (i) Defined contribution plan Obligations for contributions to defined contribution plans, pursuant to which certain pension benefits, medical care, employee housing fund are provided to employees, are recognized as an employee benefit expense in profit or loss in the period during which services are rendered by employees. Pursuant to the relevant labor rules and regulations in the PRC, the Group participates in defined contribution plans (the “Plans”) organized by the relevant local government authorities for its eligible employees whereby the Group is required to make contributions to the Plans at 25.3% to 38.64% of the deemed salary rate announced annually by the local government authorities. The Group has no other material obligation associated with those Plans beyond the annual contributions described above. (ii) Short-term employee benefits Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service is provided. A provision is recognized for the amount expected to be paid under short-term cash bonus or other short-term benefits if the Group has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee, and the obligation can be estimated reliably. (iii) Long-term employee benefits The Group’s net obligation in respect of long-term employee benefits is the amount of future benefit that employees have earned in return for their service in the current and prior periods. That benefit is discounted to determine its present value. Remeasurements are recognized in profit or loss in the period in which they arise. |
Provisions and contingent liabilities | (l) Provisions and contingent liabilities A provision is recognized if, as a result of a past event, the Group has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. The unwinding of the discount is recognized as finance cost. Where it is not probable that an outflow of economic benefits will be required, or the amount cannot be estimated reliably, the obligation is disclosed as a contingent liability, unless the probability of outflow of economic benefits is remote. Possible obligations, whose existence will only be confirmed by the occurrence or non-occurrence of one or more future events, are also disclosed as contingent liabilities unless the probability of outflow of economic benefits is remote. |
Revenue recognition | (m) Revenue recognition The Group has adopted IFRS 15 using the cumulative effect method, with the effect of initially applying this standard recognized at the date of initial application (i.e. July 1, 2018). Additionally, the disclosure requirements in IFRS 15 have not generally been applied to comparative information. As allowed by IFRS 15, the Group has applied the new requirements only to contracts that were not completed before July 1, 2018. Upon the adoption of IFRS 15 on July 1, 2018, the Group capitalized sales commissions related to the acquisitions of new K-12 educational service contracts of RMB18,279 as contract costs, which would be amortized over the expected student relationship period. At the same time, the Group increased retained earnings by the same amount. Revenue is recognized when control of promised goods or services is transferred to the Group’s customers in an amount of consideration to which the Group expects to be entitled to in exchange for those goods or services. The Group follows the five steps approach for revenue recognition under IFRS 15: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the Group satisfies a performance obligation. The primary sources of the Group’s revenues are as follows: K-12 educational services The Group’s revenue is principally derived from the provision of boarding school educational services to students. The Group offers basic educational and international programs at the primary school, middle school and high school. Revenue from K-12 educational services include revenue from K-12 student management services and high school curriculum education services and revenue from K-9 compulsory curriculum education services. K-9 compulsory curriculum education services revenue has been included in the discontinued operations. Tuition fees are generally collected before the beginning of each school year. Each school year is comprised of two semesters. Generally, the first semester starts in September and ends in January next year. The second semester starts the following month in February and ends in June. Due to the impact of COVID-19, the second semester of 2019/2020 was extended to July. Each contract with a student in respect of the educational programs contains multiple performance obligations consisting of the provision of the curriculum education services, after-school enrichment services, accommodations, transportation services, other ancillary school activities, delivery of educational books and related materials, and meal catering services. These performance obligations are distinct in the context of the contract. The consideration expected to be received is allocated at contract inception among the performance obligations based on their stand-alone selling prices. The Group generally utilizes the portfolio approach to estimate the amount of revenue to recognize for its contracts and groups contracts together that have similar characteristics. Significant judgment is used to determine which contracts are grouped together to form a portfolio. The portfolio approach is utilized only when the result of the accounting is not expected to be materially different than if applied to individual contracts. Revenue attributable to the provision of the curriculum education services, after-school enrichment services, accommodations, transportation services and other ancillary school activities is recognized over time, based on a straight-line basis over the school year, as customers simultaneously receive and consume the benefits of these services throughout the service period, and the control of curriculum education services, after-school enrichment services, accommodations, transportation services and other ancillary school activities is transferred evenly over the school year. Revenue attributable to the delivery of educational books and related materials, and meal catering services is recognized at point in time, respectively, when the control of the educational books and related materials or underlying goods is transferred to customers. The Group considers that it is acting as the principal in the transaction and recognizes revenue from sales of the educational materials on a gross basis. During the year ended June 30, 2020, in response to the COVID-19 pandemic, between February 2020 and April 2020, the Group temporarily stopped providing offline curriculum education services, accommodations and transportation services to students, instead it offered online curriculum education services to students during the period. Revenue attributable to the curriculum education services is recognized over the service period based on the estimated progress of courses delivery, and revenue attributable to the accommodations and transportation services is recognized over time evenly over the period with service provided. The amount of considerations relating to accommodations and transportation service to students between February 2020 and April 2020, which were not provided, has been recorded as refund liability in trade and other payables to third parties. The Group considers contract modifications to exist when the parties to a contract approve a modification that either creates new or changes the existing enforceable rights and obligations of the parties to the contract. The effect of a contract modification on a change in the transaction price is accounted for as if it was a termination of existing contract and the creation of a new contract when the remaining goods or services are distinct from those transferred on or before the date of the contract modification, and on a cumulative catch-up basis when the remaining goods or services are not distinct. Operation and management services The Group also provides operation and management services to schools, including but not limited to branding, academic management, basic and international education resources, school culture, admission, finance, human resources, procurement, IT, internal audit, property and logistics management services. The promised services in each operation and management service contract are combined and accounted as a single performance obligation, as the promised services in a contract are not distinct and are considered as a significant integrated service. The revenue is recognized on a straight-line basis over the period of the operation and management service, as customers simultaneously receive and consume the benefits of these services throughout the service period. Invoices are usually settled within 30 days from billing date. Ancillary educational services i) well-rounded education and academic subject tutoring The Group provides various extracurricular courses to arouse students’ interest and broaden their both academic and nonacademic outlook. Each contract of well-rounded education and academic subject tutoring contains a single performance obligation. Tuition fee is generally collected in advance and is initially recorded as contract liability. Revenue from well-rounded education and academic subject tutoring is recognized over time, proportionately as the tutoring sessions are delivered, as customers simultaneously receive and consume the benefits of these services throughout the service period. The Group is the principal in providing well-rounded education and academic tutoring as it controls such services before the services are transferred to the customer. ii) Study trip services The Group provides overseas study tours and summer and winter camps to students. Each contract of study strip service contains a single performance obligation. Study trip service fee is generally collected in advance and is initially recorded as contract liability. Study trip service revenue is recognized on a straight-line basis over the period of the study trip services, as customers simultaneously receive and consume the benefits of these services throughout the service period. iii) Others Others mainly include revenue derived from overseas study consulting services and hotel management services. Revenue is recognized when control of promised services is transferred to the customers in an amount of consideration to which the Group expects to be entitled to in exchange for those services. VAT collected from customers is excluded from revenue. The Company’s PRC subsidiaries and affiliated companies are subject to VAT. The deductible input VAT balance is reflected in the other current assets, and VAT payable balance is recorded in the trade and other payables due to third parties. |
Government grants | (n) Government grants Government grants are recognized in the statements of profit or loss and other comprehensive income when the grants are unconditional and become receivable. Grants that compensate the Group for expenses incurred are recognized as income in profit or loss on a systematic basis in the same periods in which the expenses are incurred. For government grant in the form of non-monetary assets, the Group records those assets and grant at a nominal amount. |
Leases | (o) Leases On July 1, 2019, the Group adopted IFRS 16, Lease On transition to IFRS 16, the Group elected to apply the practical expedient to grandfather the assessment of which transactions are leases. The Group applied IFRS 16 only to contracts that were previously identified as leases. Contracts that were not identified as leases under IAS 17 and IFRIC 4 were not reassessed for whether there is a lease under IFRS 16. Therefore, the definition of a lease under IFRS 16 was applied only to contracts entered into or changed on or after July 1, 2019. Policy applicable from July 1, 2019 At inception of a contract, the Group assesses whether a contract is, or contains, a lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Group uses the definition of a lease in IFRS 16. (i) As a lessee Right-of-use assets and lease liabilities The Group recognizes a right-of-use asset and a lease liability at the lease commencement date. The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located, less any lease incentives received. The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the end of the lease term, unless the lease transfers ownership of the underlying asset to the Group by the end of the lease term or the cost of the right-of-use asset reflects that the Group will exercise a purchase option. In that case the right-of-use asset will be depreciated over the useful life of the underlying asset, which is determined on the same basis as those of property and equipment. In addition, the right-of-use asset is periodically reduced by impairment losses, if any, and adjusted for certain remeasurements of the lease liability. In determining the lease term, management considers all facts and circumstances that create an economic incentive to exercise an extension option, or not exercise a termination option. Extension options and periods after termination options are only included in the lease term if the lease is reasonably certain to be extended or not terminated. The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the Group’s incremental borrowing rate. The Group determines its incremental borrowing rate by obtaining interest rates from various external financing sources and makes certain adjustments to reflect the terms of the lease and type of the asset leased. Lease payments included in the measurement of the lease liability comprise the following: –– fixed payments, including in-substance fixed payments; –– variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date; –– amounts expected to be payable under a residual value guarantee; and –– the exercise price under a purchase option that the Group is reasonably certain to exercise, lease payments in an optional renewal period if the Group is reasonably certain to exercise an extension option, and penalties for early termination of a lease unless the Group is reasonably certain not to terminate early. The lease liability is measured at amortized cost using the effective interest method. It is remeasured when there is a change in future lease payments arising from a change in an index or rate, if there is a change in the Group’s estimate of the amount expected to be payable under a residual value guarantee, if the Group changes its assessment of whether it will exercise a purchase, extension or termination option or if there is a revised in-substance fixed lease payment. When the lease liability is remeasured by discounting the revised lease payments using a revised discount rate to reflect changes to the lease payments, a corresponding adjustment is made to the carrying amount of the right-of-use asset, or is recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero. Short-term leases and leases of low-value assets The Group has elected not to recognize right-of-use assets and lease liabilities for leases of low-value assets and short-term leases. The Group recognizes the lease payments associated with these leases in profit or loss on a straight-line basis over the lease term. Policy applicable before July 1, 2019 (i) Leased assets Leases of property and equipment that transfer to the Group substantially all of the risks and rewards of ownership are classified as finance leases. The leased assets are measured initially at an amount equal to the lower of their fair value and the present value of the minimum lease payments. Subsequent to initial recognition, the assets are accounted for in accordance with the accounting policy applicable to that asset. Assets held under other leases are classified as operating leases and are not recognized in the Group’s statement of financial position. (ii) Lease payments Payments made under operating lease are recognized in profit or loss on a straight-line basis over the term of the lease. Lease incentives received are recognized as an integral part of the total lease expenses over the term of the lease. |
Finance income | (p) Finance income Finance income comprises interest income. Interest income is recognized using the effective interest method. The ‘effective interest rate’ is the rate that exactly discounts estimated future cash payments or receipts through the expected life of the financial instrument to the gross carrying amount of the financial asset. In calculating interest income, the effective interest rate is applied to the gross carrying amount of the asset (when the asset is not credit-impaired). However, for financial assets that have become credit-impaired subsequent to initial recognition, interest income is calculated by applying the effective interest rate to the amortized cost of the financial asset. If the asset is no longer credit-impaired, then the calculation of interest income reverts to the gross basis. |
Income tax expense | (q) Income tax expense Income tax expense comprises current tax and movements in deferred tax assets and liabilities. Current tax and movements in deferred tax assets and liabilities are recognized in profit or loss except to the extent that they relate to a business combination, or items recognized directly in equity or in other comprehensive income. Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted at the reporting date, and any adjustment to tax payable in respect of previous years. Deferred tax assets and liabilities arise from deductible and taxable temporary differences respectively, being the differences between the carrying amounts of assets and liabilities for financial reporting purposes and their tax bases. Deferred tax assets also arise from unused tax losses and unused tax credits. Deferred tax is not recognized for the following temporary differences: taxable temporary differences arising on the initial recognition of goodwill; the initial recognition of assets or liabilities in a transaction that is not a business combination and that affects neither accounting nor taxable profit, and differences relating to investments in subsidiaries to the extent that, in the case of taxable differences, the Group controls the timing of the reversal and it is probable they will not reverse in the foreseeable future, or in the case of deductible differences, unless it is probable that they will reverse in the future. The amount of deferred tax recognized is measured based on the expected manner of realization or settlement of the carrying amount of the assets and liabilities, using tax rates enacted or substantively enacted at the reporting date. Current tax balances and deferred tax balances, and movements therein, are presented separately from each other and are not offset. Current tax assets are offset against current tax liabilities, and deferred tax assets are offset against deferred tax liabilities, if there is a legal enforceable right to offset current tax assets and current tax liabilities, and in the case of current tax assets and liabilities, the Group intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously, or in the case of deferred tax assets and liabilities, if they relate to income taxes levied by the same tax authority on the same taxable entity. Deferred tax assets are recognized for unused tax losses, unused tax credits and deductible temporary differences to the extent that it is probable that future taxable profits will be available against which they can be utilized. The carrying amount of a deferred tax asset is reviewed at each reporting date and is reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow the related tax benefit to be utilized. Any such reduction is reversed to the extent that it becomes probable that sufficient taxable profits will be available. |
Earnings per share | (r) Earnings per share Basic earnings per share (“basic EPS”) is calculated by dividing the profit by the weighted-average number of ordinary shares outstanding during the period. Diluted earnings per share (“diluted EPS”) is similar to basic earnings per share but presents the dilutive effect on a per share basis of potential ordinary shares (e.g. warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. |
Discontinued operation | (s) Discontinued operation A discontinued operation is a component of the Group’s business, the operations and cash flows of which can be clearly distinguished from the rest of the Group and which: –– represents a separate major line of business or geographic area of operations; –– is part of a single co-ordinated plan to dispose of a separate major line of business or geographic area of operations; or –– is a subsidiary acquired exclusively with a view to resale. Classification as a discontinued operation occurs at the earlier of when an operation meets the criteria to be classified as held-for-sale, when a group of assets ceases to be used or when the Group disposes of an operation. When an operation is classified as a discontinued operation, the comparative statement of profit or loss and OCI is re-presented as if the operation had been discontinued from the start of the comparative year. |
Related parties | (t) Related parties For the purposes of these consolidated financial statements, a person or entity is considered to be related to the Group if: (a) A person, or a close member of that person’s family, is related to the Group if that person: (i) has control or joint control over the Group. (ii) has significant influence over the Group; or of a parent of the Group. (iii) is a member of the key management personnel of the Group or of a parent of the Group. (b) An entity is related to the Group if any of the following conditions applies: (i) the entity and the Group are members of the same Group (which means that each parent, subsidiary and fellow subsidiary is related to the other). (ii) one entity is an associate or joint venture of the other entity (or an associate or joint venture of a member of the Group of which the other entity is a member). (iii) both entities are joint ventures of the same third party. (iv) one entity is a joint venture of a third entity and the other entity is an associate of the third entity. (v) the entity is a post-employment benefit plan for the benefit of employees of either the Group or an entity related to the Group. (vi) the entity is controlled or jointly controlled by a person identified in (a). (vii) a person identified in (a)(i) has significant influence over the entity or is a member of the key management personnel of the entity (or of a parent of the entity). (viii) the entity, or any member of a group of which it is a part, provides key management personnel services to the Group or to the Group’s parent. Close members of the family of a person are those family members who may be expected to influence, or be influenced by, that person in their dealings with the entity. |
Possible impact of amendments, new standards and interpretations issued but not yet effective for the year ended June 30, 2021 | (u) Possible impact of amendments, new standards and interpretations issued but not yet effective for the year ended June 30, 2021 Up to the date of issue of these consolidated financial statements, the IASB has issued a number of amendments, new standards and interpretations which are not yet effective for the year ended June 30, 2021 and which have not been adopted in these consolidated financial statements. These include the following which may be relevant to the Group. Effective for accounting periods beginning on or after Amendments to IFRS 3, Reference to the Conceptual Framework January 1, 2022 Amendments to IAS 37, Onerous Contracts – Cost of Fulfilling a Contract January 1, 2022 Amendments to IAS 16, Property, Plant and Equipment: Proceeds before Intended Use January 1, 2022 For those other new standards with effective date beginning on or after January 1, 2021, the Group is in the process of making an assessment of what the impact of these amendments is expected to be in the period of initial application. Amendments to IFRS 3 are intended to replace a reference to the previous Framework for the Preparation and Presentation of Financial Statements with a reference to the Conceptual Framework for Financial Reporting issued in March 2018. The amendments also add to IFRS 3 a requirement that, for transactions and other events within the scope of IAS 37 or IFRIC 21, an acquirer applies IAS 37 or IFRIC 21 to identify the liabilities it has assumed in a business combination instead of referring to the Conceptual Framework. Furthermore, the amendments clarify that contingent assets do not qualify for recognition at the acquisition date. The Group expects to adopt the amendments prospectively from July 1, 2022. Since the amendments apply prospectively to business combinations for which the acquisition date is on or after the date of first application, the Group will not be affected by these amendments on the date of transition. Amendments to IAS 37 specify that the cost of fulfilling the contract comprises the costs that relate directly to the contract. Costs that relate directly to a contract can either be the incremental costs of fulfilling that contract (e.g., direct labor and materials) or an allocation of other costs that relate directly to fulfilling that contract (e.g., an allocation of the depreciation charge for an item of property, plant and equipment used in fulfilling the contract as well as contract management and supervision costs). General and administrative costs do not relate directly to a contract and are excluded unless they are explicitly chargeable to the counterparty under the contract. The Group expects to adopt the amendments from July 1, 2022. The amendments are not expected to have any significant impact on the Group’s financial statements. Amendments to IAS 16 prohibit deducting from the cost of an item of property, plant and equipment any proceeds from selling items produced while bringing that asset to the location and condition necessary for it to be capable of operating in the manner intended by management. Instead, an entity recognises the proceeds from selling any such items, and the cost of those items, in profit or loss. The amendments are effective for annual periods beginning on or after January 1, 2022 and shall be applied retrospectively only to items of property, plant and equipment made available for use on or after the beginning of the earliest period presented in the financial statements in which the entity first applies the amendments. The Group expects to adopt the amendments prospectively from July 1, 2022. The amendments are not expected to have any significant impact on the Group’s financial statements. |
Reporting entity and organiza_2
Reporting entity and organization (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Reporting entity and organization | |
Schedule of entities subsidiaries and affiliates | As of June 30, 2021, the Company’s subsidiaries and consolidated affiliated entities are as follows: Place and year of Legal Subsidiaries Establishment Ownership Principal activities Hailiang Education (HK) Limited (“Hailiang HK”) Hong Kong, China, 2011 100 % Investment holding Zhejiang Hailiang Education Consulting and Services Co., Ltd. (“Hailiang Consulting ”or “WOFE“) Zhejiang, China, 2011 100 % Investment holding Ningbo Hailiang Education Logistics Management Co., Ltd. Zhejiang, China, 2017 100 % Operation and management service Ningbo Haoliang Information Consulting Co., Ltd. (“Ningbo Haoliang”) Zhejiang, China, 2017 100 % Operation and management service Zhuji Nianxin Lake Hotel Co., Ltd. Zhejiang, China, 2017 100 % Hotel management service Ningbo Hailiang Sports Development Co., Ltd. Zhejiang, China, 2018 100 % Well-rounded education Zhuji Hailiang Supply Chain Management Co., Ltd. Zhejiang, China, 2018 100 % services Zhuji Hailiang Logistics Service Co., Ltd. Zhejiang, China, 2018 100 % Accommodation service Zhuji Hailiang After-school Service Co., Ltd. Zhejiang, China, 2018 100 % After-school enrichment service Well-rounded education Hailiang Education International Studying Service Limited Hongkong, China, 2018 100 % Overseas study consulting service Hangzhou Hailiang International Studying Service Co., Ltd. Zhejiang, China, 2018 100 % Overseas study consulting service Hangzhou Hailiang Study Trip Co., Ltd Zhejiang, China, 2018 100 % Study trip service Pate’s-Hailiang International College Company Limited United Kingdom, 2018 100 % Overseas study consulting service Hailiang International Education Group Pte. Ltd. Singapore, 2020 100 % Investment holding My Campus Study Centre PTE Ltd. Singapore, 2021 100 % Ancillary educational services Hangzhou Hailiang Youcai Education Technology Co., Ltd. Zhejiang, China, 2021 100 % Investment holding Ninghai Hailiang Education Logistics Management Co., Ltd Zhejiang, China, 2021 100 % Operation and management service Xiantao Hailiang Education Logistics Management Co., Ltd. (“Xiantao Logistics”) Hubei, China, 2021 90 % Operation and management service Place and year of Legal Consolidated affiliated entities Establishment ownership Principal activities Hailiang Management (previously named “Zhejiang Hailiang Education Investment Group Co., Ltd.”) Zhejiang, China, 2012 N/A * Investment holding Zhejiang Hailiang Mingxin Education Technology Co., Ltd. Zhejiang, China, 2017 N/A * overseas study consulting service Zhejiang Zhuji Hailiang Experimental High School (“Experimental High”) Zhejiang, China, 2002 N/A * K-12 student management services and high school curriculum education services Zhejiang Zhuji Hailiang Senior Middle School Zhejiang, China, 2016 N/A * K-12 student management services and high school curriculum education services Zhejiang Zhuji Hailiang High School of Art (Previously named “Hailiang Art Middle School”) Zhejiang, China, 2017 N/A * K-12 student management services and high school curriculum education services Zhuji Hailiang Foreign Language High School Co., Ltd. (“Zhuji Hailiang Foreign Language High School”) Zhejiang, China, 2018 N/A * K-12 student management services and high school curriculum education services Zhenjiang Jianghe High School of Art Jiangsu, China, 2018 N/A * K-12 student management services and high school curriculum education services Zhejiang Mingxin International Travel Co., Ltd. Zhejiang, China, 2018 N/A * Study trip service Shaoxing Sihai International Travel Co., Ltd. (“Sihai International Travel”) Zhejiang, China, 2010 N/A * Study trip service Zhuji Tianma Boya Educational Training Center Co., Ltd. Zhejiang, China, 2019 N/A * Academic subject tutoring Hangzhou Mingyou Educational Training School Co., Ltd. Zhejiang, China, 2019 N/A * Academic subject tutoring Hailiang Mingyou Future (Zhejiang) Education Technology Co., Ltd. (previously named “Zhuji Yuesheng Management Consulting Co., Ltd.”) Zhejiang, China, 2018 N/A * Investment holding Shanghai Yunhan Education Technology Co., Ltd. Shanghai, China, 2020 N/A * Investment holding Xinchang Nanrui Hailiang Education Technology Co., Ltd. Zhejiang, China, 2020 N/A * Investment holding Ninghai Hailiang Education Development Co., Ltd. Zhejiang, China, 2021 N/A * Investment holding Zhuji Mingyou Training Center Co., Ltd. Zhejiang, China, 2020 N/A * Academic subject tutoring Zhuji Hailiang Chengzhong Mingyou Training Center Co., Ltd. Zhejiang, China, 2020 N/A * Academic subject tutoring Zhejiang Hailiang Mingyou Education Technology Co., Ltd. (“Zhejiang Hailiang Mingyou”) Zhejiang, China, 2020 N/A * Investment holding Xinchang Mingyou Cultural Development Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Xinchang Mingyou Education Training Center Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Zhuji Mingyou Lechuang Education Technology Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Ninghai Yipin Education Training Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Suqian Leqi Training Co., Ltd. Jiangsu, China, 2021 N/A * Academic subject tutoring Hangzhou Hailiang Mingyou Online Education Technology Co., Ltd. Zhejiang, China, 2021 N/A * Academic subject tutoring Hangzhou Hailiang Education Management Co., Ltd. Zhejiang, China, 2018 N/A * Investment holding Zhejiang Zhuji Hailiang Foreign Language School (“Foreign Language”) Zhejiang, China, 1995 N/A * K-9 compulsory curriculum education services Zhejiang Zhuji Tianma Experimental School (“Tianma Experimental”) Zhejiang, China, 1995 N/A * K-9 compulsory curriculum education services Zhejiang Zhuji Hailiang Primary School Zhejiang, China, 2016 N/A * K-9 compulsory curriculum education services Zhejiang Zhuji Hailiang Junior Middle School Zhejiang, China, 2016 N/A * K-9 compulsory curriculum education services Lanzhou Hailiang Education Consulting Co., Ltd. Gansu, China, 2019 N/A * Investment holding Lanzhou Hailiang Experimental School Gansu, China, 2020 N/A * K-9 compulsory curriculum education services Wuhu Hailiang Education Management Co., Ltd. Anhui, China, 2020 N/A * Investment holding Wuhu Hailiang Experimental School Anhui, China, 2020 N/A * K-9 compulsory curriculum education services Jinhua Hailiang Education Technology Co., Ltd. Zhejiang, China, 2020 N/A * Investment holding Wenzhou Hailiang Juxian Education Technology Co., Ltd. (“Juxian Technology”) Zhejiang, China, 2020 N/A * Investment holding Hailiang Overseas Chinese School Zhejiang, China, 2020 N/A * K-9 compulsory curriculum education services Jinhua Hailiang Foreign Language School Zhejiang, China, 2018 N/A * K-9 compulsory curriculum education services Ninghai Hailiang Education Management Co., Ltd. Zhejiang, China, 2021 N/A * Investment holding Xianghu Future School Zhejiang, China, 2021 N/A * K-9 compulsory curriculum education services Feicheng Education Investment Shandong, China, 2018 N/A * Investment holding Feicheng Hailiang Foreign Language School Shandong, China, 2018 N/A * K-9 compulsory curriculum education services * These entities are controlled by the Company pursuant to the contractual arrangements disclosed below in note 2(b). |
Basis of preparation (Tables)
Basis of preparation (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Basis of preparation | |
Schedule of Information About Financial Statements and Amounts of Affiliated Entities Explanatory | 2020 2021 RMB RMB Total non-current assets 988,794 1,127,437 Total current assets* 1,172,224 953,518 Total assets 2,161,018 2,080,955 Total non-current liabilities 23,130 32,933 Total current liabilities 603,797 757,094 Total liabilities 626,927 790,027 * Intercompany receivables due from the WOFE and its subsidiaries have been eliminated upon consolidation. 2019 2020 2021 RMB RMB RMB Revenue from continuing operations 613,975 598,275 510,200 Revenue from discontinued operations 490,542 489,699 618,653 Profit before tax from continuing operations 175,911 203,817 73,612 Profit/(loss) before tax from discontinued operations (note 9) 23,058 24,205 (241,723) Net profit from continuing operations 126,467 151,169 53,480 Net profit/(loss) from discontinued operations (note 9) 23,058 24,205 (243,337) |
Significant accounting polici_3
Significant accounting policies (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Significant accounting policies | |
Schedule of property and equipment | Motor vehicles 5 years Furniture, fixtures and other equipment 3~5 years Leasehold improvements Shorter of the remaining lease terms or estimated useful lives |
Schedule of estimated useful lives of intangible assets | Student relationships 1~15 years Favorable lease 20 years Others 3 years |
Revenue and segment reporting (
Revenue and segment reporting (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Revenue and segment reporting | |
Schedule of disaggregation of revenue from contracts with customers by major service lines | (a) 2019 2020 2021 RMB RMB RMB Revenue from continuing operations K-12 student management services and high school curriculum education services* 754,493 861,923 1,111,585 Ancillary educational services** 230,510 121,611 204,221 Operation and management services 37,792 43,839 59,984 Total 1,022,795 1,027,373 1,375,790 Revenue from discontinued operations K-9 compulsory curriculum education services 490,542 489,699 618,653 Total 490,542 489,699 618,653 * ** (b) 2019 2020 2021 RMB RMB RMB Revenue from continuing operations Timing of revenue recognition Revenue recognized over time 940,108 932,102 1,223,868 Revenue recognized point in time 82,687 95,271 151,922 Total 1,022,795 1,027,373 1,375,790 Revenue from discontinued operations Timing of revenue recognition Revenue recognized over time 375,012 384,371 463,543 Revenue recognized point in time 115,530 105,328 155,110 Total 490,542 489,699 618,653 |
Schedule of contract liabilities from contracts with customers | 2020 2021 RMB RMB Current liabilities Contract liabilities 295,979 444,865 Non-current liabilities Contract liabilities 3,159 132 |
Schedule of the revenue and operating results by segments | The revenue and operating results by segments were as follows: For the year ended June 30, 2019 K-12 student management K-9 compulsory services and high school curriculum curriculum education services education Ancillary and operation and service educational management services (discontinued)** services Unallocated* Total RMB RMB RMB RMB RMB Revenues from external customers 792,285 490,542 230,510 — 1,513,337 Inter-segment revenues 287 135 8,590 — 9,012 Total segment revenues 792,572 490,677 239,100 — 1,522,349 Segment income/(loss) before income tax 299,459 23,058 105,427 (6,639) 421,305 Interest income 13,374 7,889 1,629 1,597 24,489 Interest expenses — 208 — — 208 Depreciation and amortization 31,173 95,793 7,844 — 134,810 * Unallocated income (expenses) are primarily related to corporate administrative costs and other miscellaneous items that are not allocated to individual segment. ** See Note 9. For the year ended June 30, 2020 K-12 student management K-9 compulsory services and high school curriculum curriculum education services education Ancillary and operation and service educational management services (discontinued)** services Unallocated* Total RMB RMB RMB RMB RMB Revenues from external customers 905,762 489,699 121,611 — 1,517,072 Inter-segment revenues 711 418 18,002 — 19,131 Total segment revenues 906,473 490,117 139,613 — 1,536,203 Segment income/(loss) before income tax 459,875 24,205 16,948 (9,100) 491,928 Interest income 14,352 8,827 476 1,215 24,870 Interest expenses 3,040 1,368 395 — 4,803 Depreciation and amortization 59,306 102,345 8,221 — 169,872 * Unallocated income (expenses) are primarily related to corporate administrative costs and other miscellaneous items that are not allocated to individual segment. ** See Note 9. For the year ended June 30, 2021 K-12 student management services and high school curriculum education K-9 compulsory services and curriculum operation and education Ancillary management service educational services (discontinued)** services Unallocated* Total RMB RMB RMB RMB RMB Revenues from external customers 1,171,569 618,653 204,221 — 1,994,443 Inter-segment revenues 1,824 465 12,466 — 14,755 Total segment revenues 1,173,393 619,118 216,687 — 2,009,198 Segment income/(loss) before income tax 566,434 (241,723) 90,285 (9,254) 405,742 Interest income 35,026 6,843 956 9 42,834 Interest expenses 278 433 873 — 1,584 Depreciation and amortization 62,086 96,393 11,249 — 169,728 Impairment loss — 252,259 — — 252,259 * Unallocated income (expenses) are primarily related to corporate administrative costs and other miscellaneous items that are not allocated to individual segment. ** See Note 9. 2019 2020 2021 RMB RMB RMB Revenue Total segment revenues 1,522,349 1,536,203 2,009,198 Elimination of inter-segment revenues (9,012) (19,131) (14,755) Elimination of discontinued operations (490,542) (489,699) (618,653) Consolidated revenues 1,022,795 1,027,373 1,375,790 Profit before tax Segment income before income tax 421,305 491,928 405,742 Elimination of discontinued operations (23,058) (24,205) 241,723 Consolidated profit before tax from continuing operations 398,247 467,723 647,465 |
Other income, net (Tables)
Other income, net (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Other income, net | |
Schedule of other income, net | 2019 2020 2021 RMB RMB RMB Government grants 21,121 68,682 46,343 Others (194) (1,612) 287 20,927 67,070 46,630 |
Employee benefit expenses (Tabl
Employee benefit expenses (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Employee benefit expenses | |
Schedule of employee benefit expenses | 2019 2020 2021 RMB RMB RMB Wages and salaries 336,605 316,513 438,170 Contributions to defined contribution plans 31,877 44,370 57,006 Long-term employee benefits — — 9,831 368,482 360,883 505,007 |
Profit before tax (Tables)
Profit before tax (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Profit before tax | |
Schedule of net finance income | (i) Net finance income 2019 2020 2021 RMB RMB RMB Interest income 16,131 15,748 35,991 Others 465 289 (151) Finance income 16,596 16,037 35,840 Interest on lease liabilities (Note 13(b)) — (3,435) (1,151) Finance costs — (3,435) (1,151) Net finance income 16,596 12,602 34,689 |
Disclosure of expenses by nature | (ii) Expenses by nature Expenses by nature from continuing operations include: 2019 2020 2021 RMB RMB RMB Employee benefit expenses (Note 7) 368,482 360,883 505,007 Students related cost 123,888 125,789 125,536 Transportation 25,696 23,689 20,393 Marketing and promotion 11,761 13,897 29,590 Depreciation of owned property and equipment 37,781 40,321 42,989 Depreciation of right-of-use assets — 24,675 27,778 Utilities 19,698 15,247 20,189 Amortization of intangible assets 1,235 2,531 2,567 Operating lease charges 28,252 — — Others 45,278 32,290 35,595 Total cost of revenue, selling expenses and administrative expenses 662,071 639,322 809,644 |
Discontinued operations (Tables
Discontinued operations (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Discontinued operations | |
Summary of results from discontinued operations | 2019 2020 2021 RMB RMB RMB Revenue 490,542 489,699 618,653 Cost of revenue (437,393) (445,286) (582,755) Gross profit 53,149 44,413 35,898 Other income, net 4,650 6,571 6,096 Selling expenses (13,990) (14,107) (14,509) Administrative expenses (28,900) (20,424) (23,907) Impairment loss on property and equipment — — (174,026) Impairment loss on intangible assets and goodwill — — (78,233) Operating profit 14,909 16,453 (248,681) Finance income 8,357 9,122 7,391 Finance costs (208) (1,370) (433) Net finance income 8,149 7,752 6,958 Profit/(loss) before tax 23,058 24,205 (241,723) Income tax expenses — — (1,614) Profit/(loss) from the discontinued operations, net of tax 23,058 24,205 (243,337) The condensed cash flows of these affiliated entities were as follows: 2019 2020 2021 RMB RMB RMB Net cash generated from operating activities 324,206 190,049 118,311 Net cash used in investing activities (229,228) (389,915) (48,770) Net cash generated from / (used in) financing activities 6,000 12,421 (74,258) |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Income taxes | |
Schedule of income tax expenses in the consolidated statements of profit or loss and other comprehensive income | 2019 2020 2021 RMB RMB RMB Current —PRC income tax expenses 108,545 122,576 165,517 Deferred —PRC income tax expenses 168 (652) (162) Income tax expenses on continuing operations for the year 108,713 121,924 165,355 |
Schedule of reconciliation between the provision for income tax | Reconciliation between the provision for income tax computed by applying applicable tax rates in fiscal year 2019, 2020 and 2021 to profit before income taxes and the actual provision for income tax was as follow: 2019 2020 2021 RMB RMB RMB Profit before tax from continuing operations 398,247 467,723 647,465 Notional tax on profit before taxation, calculated at the applicable rates in the tax jurisdictions concerned 101,560 119,221 159,998 Effect of expenses that are not deductible in determining taxable profit 524 519 654 Unrecognized tax losses 2,054 1,955 4,660 Utilization of tax losses previously not recognized (486) (964) (676) Effect of income tax exemptions 5,061 1,193 719 Income tax expense recognized in profit or loss 108,713 121,924 165,355 |
Schedule of deferred tax assets and liabilities | Right-of- Capitalized use assets contract Favorable and lease costs lease liabilities Total Deferred tax liabilities At June 30, 2019 (328) (4,363) — (4,691) (Charged)/credited to profit or loss (156) 240 — 84 At June 30, 2020 (484) (4,123) — (4,607) (Charged)/credited to profit or loss (369) 240 — (129) At June 30, 2021 (853) (3,883) — (4,736) Deferred tax assets At June 30, 2019 — — — — Credited to profit or loss — — 568 568 At June 30, 2020 — — 568 568 Credited to profit or loss — — 291 291 At June 30, 2021 — — 859 859 |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Earnings per share | |
Schedule of earnings per share | (i) Net profit attributable to the Company’s shareholders 2019 2020 2021 RMB RMB RMB Net profit from continuing and discontinued operations attributable to shareholders of the Company (basic and diluted) 290,233 374,238 235,092 Net profit from continuing operations 267,175 349,983 483,049 Net profit/(loss) from discontinued operations 23,058 24,255 (247,957) (ii) Weighted-average number of ordinary shares 2019 2020 2021 Weighted average number of ordinary shares 412,450,256 412,450,256 412,450,256 (iii) Earnings per share 2019 2020 2021 Basic and diluted earnings per share 0.70 0.91 0.57 - Continuing operations 0.65 0.85 1.17 - Discontinued operations 0.05 0.06 (0.60) |
Property and equipment (Tables)
Property and equipment (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Property and equipment | |
Summary of property and equipment | Furniture, fixtures and Motor other Leasehold Construction vehicles equipment improvement in progress Total RMB RMB RMB RMB RMB Cost Balance at June 30, 2019 (restated) 21,593 312,905 782,840 8,404 1,125,742 Additions (restated) 1,134 23,163 13,923 121,076 159,296 Transferred from construction in progress (restated) — 559 110,404 (110,963) — Transferred to intangible assets (Note 14) — — — (223) (223) Disposals (restated) (68) (3,939) (2,011) — (6,018) Balance at June 30, 2020 (restated) 22,659 332,688 905,156 18,294 1,278,797 Additions 2,119 22,402 22,514 66,809 113,844 Transferred from construction in progress — 1,771 78,212 (79,983) — Disposals (58) (2,400) — — (2,458) Balance at June 30, 2021 24,720 354,461 1,005,882 5,120 1,390,183 Accumulated depreciation and impairment Balance at June 30, 2019 (restated) (17,686) (168,977) (300,186) — (486,849) Depreciation for the year (restated) (1,354) (60,980) (74,359) — (136,693) Disposals (restated) 40 3,617 939 — 4,596 Balance at June 30, 2020 (restated) (19,000) (226,340) (373,606) — (618,946) Depreciation for the year (1,296) (48,274) (83,850) — (133,420) Disposals 53 1,890 — — 1,943 Impairment loss recognized in profit or loss (note 9) — (15,322) (158,704) — (174,026) Balance at June 30, 2021 (20,243) (288,046) (616,160) — (924,449) Net book value At June 30, 2020 (restated) 3,659 106,348 531,550 18,294 659,851 At June 30, 2021 4,477 66,415 389,722 5,120 465,734 |
Lease (Tables)
Lease (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Lease | |
Schedule of movements in right-of-use assets | RMB Leasehold buildings held for own use, carried at depreciated cost: As at July 1, 2019 411,115 Additions-new leases 9,571 Lease modification* 131,634 Deprecation charge for the year (30,485) Derecognition of a lease contract due to termination (4,226) As at June 30, 2020 517,609 Additions-new leases 19,809 Lease modification** (956) Deprecation charge for the year (33,649) As at June 30, 2021 502,813 * Lease modification for the year ended June 30, 2020 was related to the supplementary contracts with the lessor, Hailiang Education Investment Group Co., Ltd. (“Hailiang Investment”), a related party controlled by Mr. Feng, regarding the lease of campuses in Zhuji, China signed on September 6, 2019. ** Lease modification for the year ended June 30, 2021 was related to a contract with the lessor, Hangzhou Hailiang Real Estate Co., Ltd, (“Hailiang Real Estate”), a related party controlled by Mr Hailiang Feng regarding the lease of office in Hangzhou, China. |
Schedule of amounts recognized in profit or loss account and statement of cash flow | 2020 2021 RMB RMB Depreciation charge of right-of-use assets 24,675 27,778 Interest on lease liabilities 3,435 1,151 Expense relating to short-term leases 53 565 Expense relating to leases of low-value assets, excluding short-term leases of low-value assets 511 342 Gain on derecognition of a lease contract due to termination 39 — Gain on lease modification — 82 2020 2021 RMB RMB Within operating cash flows 826 2,054 Within investing cash flows 524,996 — Within financing cash flows 6,895 4,773 532,717 6,827 |
Schedule of movements in lease liabilities | 2020 2021 RMB RMB As at July 1 411,090 20,502 New leases 9,571 19,684 Lease modification 131,634 (1,038) Accretion of interest recognized during the year 4,363 1,379 Payments (531,891) (4,773) Derecognition of a lease contract due to termination (4,265) — As at June 30 20,502 35,754 Analyzed into: Current portion 1,753 5,233 Non-current portion 18,749 30,521 |
Schedule of remaining contractual maturities | June 30, 2020 June 30, 2021 Present Total Present Total value of the minimum value of the minimum minimum lease minimum lease lease payments lease payments payments payments RMB RMB RMB RMB Within 1 year 1,753 2,687 5,233 6,801 After 1 year but within 2 years 2,623 3,442 5,225 6,544 After 2 years but within 5 years 6,222 7,999 11,179 13,786 After 5 years 9,904 13,228 14,117 17,432 20,502 27,356 35,754 44,563 Less: total future interest expenses 6,854 8,809 Present value of lease liabilities 20,502 35,754 |
Intangible assets and goodwill
Intangible assets and goodwill (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Intangible assets and goodwill. | |
Summary of intangible assets and goodwill | Student Favorable Goodwill Trademark relationship lease Others Total RMB RMB RMB RMB RMB RMB Cost Balance at June 30, 2019 61,640 16,540 45,037 18,091 4,181 145,489 Addition — 23 — — 729 752 Transferred from construction in progress — — — — 223 223 Balance at June 30, 2020 61,640 16,563 45,037 18,091 5,133 146,464 Addition — — — — 1,386 1,386 Balance at June 30, 2021 61,640 16,563 45,037 18,091 6,519 147,850 Accumulated Amortization and impairment Balance at June 30, 2019 — — (44,730) (640) (594) (45,964) Amortization for the year — (4) (162) (961) (1,567) (2,694) Balance at June 30, 2020 — (4) (44,892) (1,601) (2,161) (48,658) Amortization for the year — (19) (92) (961) (1,587) (2,659) Impairment loss recognized in profit or loss (note 9) (61,640) (16,540) (53) — — (78,233) Balance at June 30, 2021 (61,640) (16,563) (45,037) (2,562) (3,748) (129,550) Net book value At June 30, 2020 61,640 16,559 145 16,490 2,972 97,806 At June 30, 2021 — — — 15,529 2,771 18,300 |
Summary of aggregated carrying amounts of goodwill and trademark | For the purpose of impairment testing, the carrying amounts of goodwill and trademark are allocated to the business relating to Tianma Experimental, which is the lowest level for which the assets are monitored for internal management purpose. The aggregated carrying amounts of goodwill and trademark with indefinite useful lives are as follows: 2020 2021 RMB RMB Goodwill 61,640 61,640 Trademark with indefinite useful lives 16,540 16,540 Less: impairment loss recognized in profit or loss — (78,180) Total 78,180 — |
Summary of key assumptions for the 2020 fiscal year used in the estimation of the recoverable amount | In percent 2019 2020 Discount rate 15.5 % 15.5 % Revenue growth rates over the next five fiscal years 3%-5 % 5 % Terminal value growth rate 3 % 3 % |
Other current assets (Tables)
Other current assets (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Other current assets. | |
Summary of other current assets | 2020 2021 RMB RMB Prepayments 3,571 8,070 Trade receivables 4,473 11,265 Contract costs 9,201 11,194 Advances to employees 2,187 1,270 Deductible VAT and prepaid income tax 14,988 4,920 Other receivables due from third parties 2,096 1,066 Total 36,516 37,785 |
Cash and cash equivalents (Tabl
Cash and cash equivalents (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Cash and cash equivalents. | |
Schedule of detailed information about Cash and cash equivalents | 2020 2021 RMB RMB Note Cash at bank 8,709 44,255 Cash held at a related party finance entity 22(b) 502,289 200,023 Cash held at other financial institutions 5,448 35,142 Total 516,446 279,420 |
Schedule of reconciliation of liabilities and equity arising from financing activities | (ii) Reconciliation of liabilities and equity arising from financing activities Liabilities Equity Loans due to Contributed Non-controlling related parties Lease liability capital interests Total RMB RMB RMB RMB RMB (Note 19) (Note 13(d)) (Note 17(a)(iii)) (Note 18) At June 30, 2019(Restated) 104,811 — 253,034 37,439 395,284 Impact on initial application of IFRS 16 — 411,090 — — 411,090 At July 1, 2019(Restated) 104,811 411,090 253,034 37,439 806,374 Changes from financing cash flows: Loans borrowed from a related party 13,000 — — — 13,000 Repayment of loans to related parties (34,079) — — — (34,079) Capital contributions — — — 2,450 2,450 Payments to NCI upon liquidation of subsidiaries — — — (3,713) (3,713) Capital element of lease rentals paid — (2,721) — — (2,721) Interest element of lease rentals paid — (4,174) — — (4,174) Dividends paid to a non-controlling shareholder of subsidiaries — — — (21,145) (21,145) Total changes from financing cash flows (21,079) (6,895) — (22,408) (50,382) Other changes: New leases — 9,571 — — 9,571 Interest on lease liabilities — 4,363 — — 4,363 Termination of a lease contract — (4,265) — — (4,265) Lease modification — 131,634 — — 131,634 Leases prepayments — (524,996) — — (524,996) Interest on loans borrowed from a related party 440 — — — 440 Net loss and total comprehensive loss attributable to NCI — — — (4,234) (4,234) Total other changes 440 (383,693) — (4,234) (387,487) At June 30, 2020(Restated) 84,172 20,502 253,034 10,797 368,505 Changes from financing cash flows: Loans borrowed from a related party 4,000 — — — 4,000 Repayment of loans to related parties (41,981) — — — (41,981) Repayment of interest on loans to a related party (853) — — — (853) Acquisition of affiliated entities under common control — — (56,866) — (56,866) Capital element of lease rentals paid — (3,829) — — (3,829) Interest element of lease rentals paid — (944) — — (944) Total changes from financing cash flows (38,834) (4,773) (56,866) — (100,473) Other changes: New leases — 19,684 — — 19,684 Lease modification — (1,038) — — (1,038) Interest on lease liabilities — 1,379 — — 1,379 Interest on loans borrowed from a related party 205 — — — 205 Net loss and total comprehensive loss attributable to NCI — — — 3,681 3,681 Waving liabilities from non-controlling shareholders — — 1,816 1,744 3,560 Total other changes 205 20,025 1,816 5,425 27,471 At June 30, 2021 45,543 35,754 197,984 16,222 295,503 |
Capital and reserve (Tables)
Capital and reserve (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Capital and reserve | |
Summary of Share capital and share premium | 2019 2020 2021 At June 30 par value USD0.0001‑authorized 1,000,000,000 1,000,000,000 1,000,000,000 - issued 412,450,256 412,450,256 412,450,256 |
Non-controlling interests (Tabl
Non-controlling interests (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Non-controlling interests. | |
Schedule of information of changes in noncontrolling interests | Haibo Haibo Zhenjiang Jianghe High Juxian Xiantao Education Logistics School of Art Technology Logistics Total RMB RMB RMB RMB RMB RMB Balance at June 30, 2019 22,850 6,165 8,424 — — 37,439 Capital contribution from NCI — — — 2,450 — 2,450 Net loss and total comprehensive loss attributable to NCI (3,478) (679) (27) (50) — (4,234) Dividends paid to NCI (17,670) (3,475) — — — (21,145) Payments to NCI upon liquidation of Haibo Education and Haibo Logistics (1,702) (2,011) — — — (3,713) Balance at June 30, 2020 — — 8,397 2,400 — 10,797 Net profit/(loss) and total comprehensive loss attributable to NCI — — (1,343) 4,620 404 3,681 Waving liabilities from non-controlling shareholders — — 1,744 — — 1,744 Balance at June 30, 2021 — — 8,798 7,020 404 16,222 |
Trade and other payables (Table
Trade and other payables (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Trade and other payables | |
Schedule of Trade and other payables | 2020 2021 RMB RMB Trade payables 18,808 22,821 Accrued payroll 141,231 238,690 Other taxes payable 5,688 13,532 Advances from students 61,897 36,260 Deposits 9,958 7,226 Others 34,430 58,218 Trade and other payables due to third parties 272,012 376,747 Loans due to related parties 84,172 45,543 Amounts due to related parties 72,537 89,439 Other payables due to related parties 156,709 134,982 Total 428,721 511,729 |
Financial risk management and_2
Financial risk management and fair values (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Financial risk management and fair values | |
Schedule of Contractual maturities of financial liabilities | The following are the contractual maturities of financial liabilities, which are based on contractual undiscounted cash flows and the earliest date the Group can be required to pay: June 30, 2020 Carrying Contractual 1 year or More than Non-derivative financial instruments amount Cash flow less 1-2 years 2-5 years 5 years RMB RMB RMB RMB RMB RMB Trade and other payables due to third parties 272,012 272,012 272,012 — — — Other payables due to related parties 156,709 156,709 156,709 — — — Lease liabilities (Note 13(d)) 20,502 27,356 2,687 3,442 7,999 13,228 June 30, 2021 Carrying Contractual 1 year or more than Non-derivative financial instruments amount cash flow less 1-2 years 2-5 years 5 years RMB RMB RMB RMB RMB RMB Trade and other payables due to third parties 376,747 376,747 376,747 — — — Other payables due to related parties 134,982 134,982 134,982 — — — Lease liabilities (Note 13(d)) 35,754 44,563 6,801 6,544 13,786 17,432 |
Acquisition of affiliated ent_2
Acquisition of affiliated entities (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Acquisition of affiliated entities | |
Schedule of consideration, identifiable assets acquired and liabilities assumed | RMB Cash consideration paid to Hailiang Investment 56,866 Total consideration transferred 56,866 The following table summarizes the aggregate amounts of the assets and liabilities of the combining entities recognized at the carrying value based on the transferor’s financial statements (i.e. Hailiang Investment) which had been incorporated into the comparative figures of the Group’s consolidated financial statements: June 30, 2020 RMB Property and equipment, net 31,312 Contract costs 395 Prepayments to third party suppliers 67 Non-current assets 31,774 Other receivables due from related parties 15 Other current assets 705 Term deposits held at a related party finance entity 5,000 Cash and cash equivalents 13,425 Current assets 19,145 Total assets 50,919 Trade and other payables due to third parties 7,222 Other payables due to related parties 20,715 Contract Liabilities 21,104 Current liabilities 49,041 Net assets acquired 1,878 The following tables summarize the aggregate results and cash flows of the combining entities from the earliest date presented or since the date when combining entities first came under common control, where this is a shorter period, regardless of the date of the common control combination: 2019 2020 RMB RMB Revenue 17,463 38,951 Cost of revenue (18,069) (34,003) Gross (loss)/profit (606) 4,948 Other income, net 476 864 Selling expenses (800) (1,090) Administrative expenses (2,068) (915) Operating (loss)/profit (2,998) 3,807 Finance income 19 37 Finance costs (208) (440) Net finance costs (189) (403) (Loss)/profit before tax (3,187) 3,404 Net (loss)/profit (3,187) 3,404 Net cash generated from operating activities 21,845 13,357 Net cash (used in) investing activities (19,677) (21,786) Net cash generated from financing activities 6,000 11,000 |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Related party transactions | |
Schedule of Significant transactions between related parties | (a) The significant related party transactions are summarized as follows: 2019 2020 2021 (Restated) (Restated) Note RMB RMB RMB Repayment of loans to related parties (i)(ii) (4,000) (34,079) (41,981) Repayment of loans from a related party (i) 12,412 11,850 21,649 Loans borrowed from a related party (ii) 9,000 13,000 4,000 Interest on loans borrowed from a related party (ii) 208 440 205 Repayment of on loans borrowed from a related party (ii) — — 853 Interest income from deposits placed with a related party finance entity (iii) 24,331 24,835 42,820 Net (withdrawals)/ deposits of cash at a related party finance entity (iii) (509,067) 267,937 (302,266) Term deposits placed with a related party finance entity (iii) 4,709,697 3,816,762 4,180,615 Maturity of term deposits placed with a related party finance entity (iii) 3,526,603 4,282,255 3,233,296 Rental expenses (iv) 33,814 — — Purchase of right-of-use assets (iv) — 529,406 3,509 Interest on lease liabilities (iv) — 3,624 227 Payments of lease liabilities (iv) — 529,377 976 Payments of expenses by the Group on behalf of related parties (v) 6,750 10,253 14,748 Payments of expenses by related parties on behalf of the Group (v) 2,731 2,958 4,852 Collection of fees by the Group on behalf of related parties (v) 46,922 34,936 61,764 Purchase of leasehold improvement from a related party (vi) 38,520 118,718 68,070 Purchase of food products from related parties (vii) 70,045 75,654 111,835 Operation and management service provided to related parties (viii) 30,081 8,045 17,822 Other service and product provided to related parties (ix) 3,165 3,181 4,641 Service provided by related parties (x) 23,669 20,364 23,573 Acquisition of affiliated entities (xi) — 200 56,866 Dividends paid to a non-controlling shareholder of subsidiaries (xi) 7,482 21,145 — Payments to a non-controlling shareholder upon the liquidation of subsidiaries (xi) — 3,713 — Capital contribution (xii) 15,000 — 3,560 (b) The significant related party balances are summarized as follows: 2020 2021 (Restated) Note RMB RMB Other receivables due from related parties (i) (iii) (iv) (vii) (viii) (ix) 77,442 53,868 Cash held at a related party finance entity (iii) 502,289 200,023 Term deposits placed with a related party finance entity (iii) 921,601 1,898,242 Other payables due to related parties (i) (iv) (v) (vi) (ix) (x) 156,709 134,982 Lease liabilities (iv) 3,628 5,554 – Current portion 1,338 1,504 – Non-current portion 2,290 4,050 The Company’s majority shareholder, Mr. Feng owns or controls other non-educational services businesses (“Related Party Companies”) that from time to time require short-term financing to support their business operations and working capital needs. After considering the cash on hand and forecasted cash flows to fund its operations, the Group issued financing to Related Party Companies during the periods presented. (i) On October 31, 2016, the Company provided a one-year-period interest-free loan to Leonit, which is controlled by Hailiang Group, amounting to USD14,500 (equivalent to RMB98,229) (“USD Loan”). On the same date, Hailiang Consulting borrowed a one-year-period interest-free loan from Hailiang Group amounting to RMB99,603 (“RMB Loan”). On October 9, 2017, the Company agreed to extend the loan with Leonit, pursuant to which the USD Loan’s due date was extended to due on October 30, 2018 with renewal option if both parties agree. Similarly, Hailiang Group and Hailiang Consulting agreed to a loan extension pursuant to which the RMB Loan was due on October 30, 2018 with renewal option if both parties agree. Per the agreement among the four parties mentioned above, when the USD Loan is repaid, the RMB Loan will similarly be repaid. On December 5, 2017, the Company borrowed a one-year-period interest-free loan from Leonit amounting to USD1,150 (equivalent to RMB7,609). The loan of USD1,150 was offset against the USD loan per the agreement between the Company and Leonit. During the year ended June 30, 2019, Leonit settled part of the USD loan in cash, amounting to USD1,820 (equivalent to RMB12,412) to the Company. During the year ended June 30, 2020, Leonit settled part of the USD loan in cash, amounting to USD1,700 (equivalent to RMB11,850) to the Company, while Hailiang Consulting repaid part of the RMB loan, amounting to RMB32,079 to Hailiang Group. During the year ended June 30, 2021, Leonit settled part of the USD loan in cash, amounting to USD3,200 (equivalent to RMB21,649) to the Company, while Hailiang Consulting repaid part of the RMB loan, amounting to RMB21,981 to Hailiang Group. As of June 30, 2020 and 2021, the USD loan made to Leonit of USD9,830 (equivalent to RMB69,591) and USD6,630 (equivalent to RMB42,830) was included in “Other receivables due from related parties”, respectively, and the RMB loan borrowed from Hailiang Group of RMB67,524 and RMB45,543 was included in “Other payables due to related parties”, respectively. (ii) During the years ended June 30, 2019, 2020 and 2021, Jinhua Hailiang Foreign Language School and Feicheng Hailiang Foreign Language School borrowed loans amounted to RMB9,000, RMB13,000 and RMB4,000 at an interest rate of 5.145% from Hailiang Investment. a related party controlled by Mr.Feng. During the years ended June 30, 2019, 2020 and 2021, Jinhua Hailiang Foreign Language School and Feicheng Hailiang Foreign Language School repaid of the loans amounted to RMB 4,000, RMB2,000 and RMB20,000 to Hailiang Investment. As of June 30, 2021, the loans and interests have been all repaid to Hailiang Investment. (iii) As of June 30, 2020 and 2021, the Group has cash held at a related party finance entity of RMB502,289 and RMB200,023, respectively. During the year ended June 30, 2020, net amount of RMB267,937 were placed with Hailiang Finance. During the years ended June 30, 2019 and 2021, net amount of RMB509,067 and RMB302,266 were withdrawn from Hailiang Finance, respectively. The cash held at a related party finance entity is held for the purpose of meeting short-term cash commitments, such as to pay for the Group’s operating expenses at any time. During the years ended June 30, 2019, 2020 and 2021, term deposits of RMB4,709,697, RMB3,816,762 and RMB4,180,615 were placed with Hailiang Finance, and RMB3,526,603, RMB4,282,255 and RMB3,233,296 were matured, respectively. The term deposits are held for investment purpose and can be withdrawn prior to their maturity without incurring significant penalties. Such amounts have been presented as investing activities in the consolidated statements of cash flows. As of June 30, 2020 and 2021, the Group has term deposits with maturities more than three months to RMB921,601 and RMB1,898,242 that are placed at Hailiang Finance, respectively. The interest income from the deposits during the years ended June 30, 2019, 2020 and 2021 amounted to RMB24,331, RMB24,835 and RMB42,820, respectively. Interest income that can be collected but not yet collected from the due term deposits as of June 30, 2020 amounted to RMB4,478 was included in “Other receivables due from related parties”. As of June 30, 2021, the Group had interest income receivable from undue term deposits amounted to RMB29,322, which was included in” Term deposits held at a related party finance entity”. (iv) The Group leases the school buildings and the related facilities in three campuses in Zhuji, China from Hailiang Investment, a related party controlled by Mr. Feng, which incurred rental expenses of RMB31,504 during the year ended June 30, 2019. The Group also leases some office spaces from Hailiang Real Estate, a related party controlled by Mr. Feng, which incurred rental expenses of RMB730 during the year ended June 30, 2019. In addition, Haibo Education and Haibo Logistics leased the office space and warehouse from Nanchang Hongtou Property Management Co., Ltd, (“Nanchang Hongtou”), a related party before October 30, 2019 and owned by Mr. Honggen Min, who is the controlling shareholder of Nanchang Baishu, which incurred rental expenses of RMB1,580 during the year ended June 30, 2019. On September 6, 2019, the Group terminated the lease contract with Nanchang Hongtou due to the liquidation of Haibo Education and Haibo Logistics. The Group has initially applied IFRS 16 using the modified retrospective approach and adjusted the opening balances at July 1, 2019 to recognize right-of-use assets relating to leases which were previously classified as operating leases under IAS 17. After initial recognition of right-of-use assets at July 1, 2019, the Group as a lessee is required to recognize the depreciation of right-of-use assets, instead of the previous policy of recognizing rental expenses incurred under operating leases on a straight-line basis over the lease term. Under this approach, the comparative information is not restated. See note 4(o). On September 6, 2019, the Group entered into a series of supplementary contracts with Hailiang Investment regarding the school buildings and the related facilities in three campuses in Zhuji, China from Hailiang Investment, pursuant to which, on September 12, 2019, the Group purchased right-of-use assets of RMB524,996 regarding the school buildings and the related facilities in three campuses in Zhuji, China from Hailiang Investment for the remaining lease period until June 30, 2037. Regarding other lease contracts with Hailiang Investment, Hailiang Real Estate and Xiantao Tiancheng Education Investment Co., Ltd., a related party controlled by Hailiang Investment, the Group purchased right-of-use assets RMB4,410 and RMB3,509 respectively during the years ended June 30, 2020 and 2021. During the years ended June 30, 2020 and 2021, the Group recognized interest expense of RMB3,624 and RMB227 on lease liabilities, respectively, and settled lease liabilities of RMB529,377 and RMB976 relating to the above lease contracts with Hailiang Investment and Hailiang Real Estate, respectively. As of June 30, 2020 and 2021, the above unsettled balances of RMB3,628 and RMB5,554 were recognized in “Lease liabilities”, respectively. (v) During the years ended June 30, 2019, 2020 and 2021, the Group paid expenses, which mainly include staff related expenses and other miscellaneous expenses, of RMB 6,750, RMB10,253 and RMB14,748 respectively on behalf of the related parties. Such amount is receivable on demand, and the related parties repaid RMB6,656, RMB9,180 and RMB9,925 to the Group during the years ended June 30, 2019, 2020 and 2021, respectively. During the years ended June 30, 2019, 2020 and 2021, the related parties paid expenses, which mainly include staff related expenses and other miscellaneous expenses, of RMB2,731, RMB2,958 and RMB4,852 respectively on behalf of the Group. Such amount is due and payable on demand, and the Group repaid RMB4,663, RMB2,510 and RMB4,807 to the related parties during the years ended June 30, 2019, 2020 and 2021, respectively. During the years ended June 30, 2019, 2020 and 2021, the Group collected amounts of RMB46,922, RMB34,936 and RMB61,764, mainly on behalf of Ming Kang Hui supermarkets, which are operated by Zhejiang Ming Kang Hui Food Co., Ltd., a related party controlled by Mr. Feng. Such amount is due and payable on demand, and the Group repaid RMB47,858, RMB33,011 and RMB58,405 to related parties during the years ended June 30, 2019, 2020 and 2021, respectively. The above unsettled balances were included in “Other payables due to related parties” and “Other receivables due from related parties” as of June 30, 2020 and 2021, respectively. (vi) The Group entered into a series of leasehold improvement contracts with Heng Zhong Da Construction Limited Company (“Heng Zhong Da”), a company over which Mr. Feng has significant influence, for the leasehold improvement of classroom buildings, dining halls and student dormitories. During the years ended June 30, 2019, 2020 and 2021, the Group purchased leasehold improvement service from Heng Zhong Da of RMB38,520, RMB118,718 and RMB68,070 respectively. As of June 30, 2020 and 2021, the above unsettled balances of RMB45,293 and RMB41,554 were recognized in “Other payables due to related parties”. (vii) The Group purchased food products from Zhejiang Ming Kang Hui E-Commerce Co., Ltd. and Ming Kang Hui Ecological Agriculture Group Co., Ltd. (collectively referred as “Ming Kang Hui”), two companies controlled by Mr. Feng, amounting to RMB70,045 during the year ended June 30, 2019, respectively. The Group purchased food products from Ming Kang Hui Ecological Agriculture Group Co., Ltd. and Zhuji Hailiang Food Co., Ltd., two related parties controlled by Mr. Feng, totally amounting to RMB75,654 and RMB111,835 during the years ended June 30, 2020 and 2021. As of June 30, 2020 and 2021, the above unsettled balances of RMB11,977 and RMB22,262 were recognized in “Other payables due to related parties”. (viii) Operation and management service provided to related parties are as follow: 2019 2020 2021 RMB RMB RMB Operation and management service provided to managed schools 25,203 4,622 11,452 Service provided to Ming Kang Hui 4,878 3,423 6,370 Total 30,081 8,045 17,822 Pursuant to the strategic cooperation agreement signed with Hailiang Group and Hailiang investment, the Group provided operation and management services to Hailiang Kindgarten, Zhuji Hailiang Jinshan Kindgarten and Tianma Kindgarten, which were controlled by Mr Hailiang Feng, and other 17 schools controlled by Hailiang Investment, including Xiantao No.1 Middle School, Xinchang Nanrui Experimental School, and 15 schools controlled by Xinyu Baishu Technology Service Co., Ltd. (“Xinyu Baishu”). Operation and management service fees of RMB25,203, RMB4,622 and RMB11,452 were charged to the abovementioned schools during the years ended June 30, 2019, 2020 and 2021, respectively. On October 30, 2019, Hailiang Investment disposed all of the equity interest in Xinyu Baishu and hence Xinyu Baishu is not considered as a related party to the Group since then. The Group provided service to Ming Kang Hui supermarkets, which are operated by Zhejiang Ming Kang Hui Food Co., Ltd., controlled by Mr. Feng, in the Group’s campuses, amounting to RMB4,878, RMB3,423 and RMB6,370 during the years ended June 30, 2019, 2020 and 2021, respectively. (ix) Other service and product provided to related parties mainly include daily consumables sold to related parties, hotel services and etc. (x) The Group received IT services, physical examination services, travel services and other services from related parties controlled by Hailiang Group, amounting to RMB23,669, RMB20,364 and RMB23,573 during the years ended June 30, 2019, 2020 and 2021. As of June 30, 2020 and 2021, the above unsettled balances of RMB9,160 and RMB15,021 were recognized in “Other payables due to related parties”. (xi) In November 2018, Haibo Education and Haibo Logistics declared and fully paid dividends amounting to RMB6,075 and RMB1,407 to Nanchang Baishu, respectively. In September 2019, Haibo Education and Haibo Logistics declared and fully paid dividends amounting to RMB17,670 and RMB3,475 to Nanchang Baishu, respectively. In December 2019, net assets attributable to Nanchang Baishu was paid upon the liquidation of Haibo Education and Haibo Logistics, totally amounting to RMB3,713. In July 2019, the Company acquired 100% shares of Zhuji Tianma Boya Training Center Co., Ltd. with the consideration of RMB100 from Hailiang Investment. In May 2020, the Company acquired 100% shares of Zhuji Yuesheng Management Consulting Co., Ltd. with the consideration of RMB100 from Hailiang Investment. In July 15, 2020, the Company entered into a sponsorship transfer agreement with Hailiang Investment to acquire 100% sponsorship of Jinhua Hailiang Foreign Language School, with a total consideration of RMB34,000. In April 2021, the Company acquired from Hailiang Investment, 100% equity interests in Feicheng Education Investment, for a total consideration of RMB 22,866. (xii) Mr. Feng, paid awards of RMB15,000 to the Group’s outstanding teachers to recognize their outstanding performance and contributions during the year ended June 30, 2019. The transaction is accounted for as a deemed contribution from a controlling shareholder. Capital contribution of RMB3,560 from non-controlling shareholders of Zhenjiang Jianghe High School of Art, through waiving liability during the year ended June 30, 2021. |
Schedule of Transactions with key management personnel | Remuneration of the directors and key management personnel of the Group for the years ended June 30, 2019, 2020 and 2021 are as follows: 2019 2020 2021 RMB RMB RMB Short-term benefits 5,713 5,549 5,861 |
Commitments and contingencies (
Commitments and contingencies (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Commitments and contingencies | |
Schedule of Capital commitments | Capital commitments, which are primarily related to the campus decoration are as follows: 2020 2021 RMB RMB Contracted, but not provided for: Leasehold improvement 47,813 23,495 Furniture, fixtures and other equipment 2,826 4,143 |
Subsequent events (Tables)
Subsequent events (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Subsequent events | |
Schedule of entities subsidiaries and affiliates | Consolidated affiliated entities Place and year of establishment Principal activities Hangzhou Hailiang Education Management Co., Ltd. Zhejiang, China, 2018 Investment holding Zhejiang Zhuji Hailiang Foreign Language School (“Foreign Language”) Zhejiang, China, 1995 K-9 compulsory curriculum education services Zhejiang Zhuji Tianma Experimental School (“Tianma Experimental”) Zhejiang, China, 1995 K-9 compulsory curriculum education services Zhejiang Zhuji Hailiang Primary School Zhejiang, China, 2016 K-9 compulsory curriculum education services Zhejiang Zhuji Hailiang Junior Middle School Zhejiang, China, 2016 K-9 compulsory curriculum education services Lanzhou Hailiang Education Consulting Co., Ltd. Gansu, China, 2019 Investment holding Lanzhou Hailiang Experimental School Gansu, China, 2020 K-9 compulsory curriculum education services Wuhu Hailiang Education Management Co., Ltd. Anhui, China, 2020 Investment holding Wuhu Hailiang Experimental School Anhui, China, 2020 K-9 compulsory curriculum education services Jinhua Hailiang Education Technology Co., Ltd. Zhejiang, China, 2020 Investment holding Wenzhou Hailiang Juxian Education Technology Co., Ltd. (“Juxian Technology”) Zhejiang, China, 2020 Investment holding Hailiang Overseas Chinese School Zhejiang, China, 2020 K-9 compulsory curriculum education services Jinhua Hailiang Foreign Language School Zhejiang, China, 2018 K-9 compulsory curriculum education services Ninghai Hailiang Education Management Co., Ltd. Zhejiang, China, 2021 Investment holding Xianghu Future School Zhejiang, China, 2021 K-9 compulsory curriculum education services Feicheng Education Investment Shandong, China, 2018 Investment holding Feicheng Hailiang Foreign Language School Shandong, China, 2018 K-9 compulsory curriculum education services |
Summary of consolidated financial position of these affiliated entities | June 30, 2020 June 30, 2021 RMB RMB Property and equipment, net 460,245 268,479 Intangible assets and goodwill, net 78,325 — Right of use assets 103,143 97,053 Contract costs 9,826 10,021 Prepayments to third party suppliers 126 — Non-current assets 651,665 375,553 Other receivables due from related parties 43,065 44,206 Other current assets 11,286 17,618 Term deposits held at a related party finance entity 385,000 362,265 Cash and cash equivalents 123,061 118,344 Current assets 562,412 542,433 Total assets 1,214,077 917,986 Lease liabilities 4,881 4,325 Non-current liabilities 4,881 4,325 Trade and other payables due to third parties 117,426 162,410 Other payables due to related parties* 423,430 444,635 Income tax payable — 992 Contract Liabilities 235,399 290,860 Lease liabilities 133 159 Current liabilities 776,388 899,056 Total liabilities 781,269 903,381 Net assets** 432,808 14,605 Net assets attributable to the Company’s shareholders 430,408 7,585 Non-controlling interests 2,400 7,020 * Other payables due to related parties mainly include payables arising from the payments settled by related parties on behalf of these affiliated entities and services and materials provided to these affiliated entities by related parties. ** The difference between the loss from the discontinued operations, net of tax of RMB243,337 for the fiscal year ended June 30, 2021 and the movement of net assets of RMB418,203 during the fiscal year end June 30, 2021 was due to the elimination of intra-group transactions when presenting the financial results of discontinued operations as mentioned in note 5(ii) and the deduction of contribution capital arising from business combinations under common control as mentioned in note 21. |
Parent company financial stat_2
Parent company financial statement (Tables) | 12 Months Ended |
Jun. 30, 2021 | |
Parent company financial statement | |
Schedule of condensed statement of financials | The following condensed parent company financial information of Hailiang Education Group Inc. has been prepared using the same accounting policies as set out in the accompanying consolidated financial statements. HAILIANG EDUCATION GROUP INC. CONDENSED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE LOSS FOR THE YEARS ENDED JUNE 30, 2019, 2020 AND 2021 (Amounts in thousands) 2019 2020 2021 RMB RMB RMB Cost of revenue — — — Gross loss — — — Administrative expenses (8,176) (10,060) (5,057) Operating loss (8,176) (10,060) (5,057) Net finance expenses — — — Loss before tax (8,176) (10,060) (5,057) Loss (8,176) (10,060) (5,057) Items that will not be reclassified to profit or loss Exchange differences on transaction of financial statements of the Company 4,086 2,966 (7,818) Total comprehensive loss (4,090) (7,094) (12,875) HAILIANG EDUCATION GROUP INC. CONDENSED STATEMENTS OF FINANCIAL POSITION AS OF JUNE 30, 2020 AND 2021 (Amounts in thousands) 2020 2021 RMB RMB Assets Other receivables due from subsidiaries 27,237 5,077 Long-term investment — 10,091 Non-current assets 27,237 15,168 Other receivables due from related parties 69,591 42,830 Other current assets 225 1,233 Cash 891 23,244 Current assets 70,707 67,307 Total assets 97,944 82,475 Shareholders’ equity Share capital 268 268 Share premium 134,583 134,583 Translation reserve 16,161 8,343 Accumulated losses (55,739) (60,796) Total shareholders’ equity 95,273 82,398 Liabilities Other payables due to third parties 2,669 75 Other payables due to related parties 2 2 Current liabilities 2,671 77 Total liabilities 2,671 77 Total shareholders’ equity and liabilities 97,944 82,475 HAILIANG EDUCATION GROUP INC. CONDENSED STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED JUNE 30, 2019, 2020 AND 2021 (Amounts in thousands) 2019 2020 2021 RMB RMB RMB Cash flows from operating activities Loss for the year (8,176) (10,060) (5,057) Adjustments for: Change in other payables due to third parties 887 389 (2,594) Changes in other current assets — (225) (1,008) Change in other receivable due from subsidiaries (4,664) (1,528) 160 Change in other receivable due from related parties (201) — — Net cash used in operating activities (12,154) (11,424) (8,499) Cash flows from investing activities Repayment of loans from a related party 12,412 11,850 21,649 Investment in a subsidiary — — (10,091) Net cash generated from investing activities 12,412 11,850 11,558 Cash flows from financing activities Loan borrowed from a subsidiary — — 22,000 Net cash generated from financing activities — — 22,000 Effect of movements in exchange rates on cash (394) 75 (2,706) Net (decrease) / increase in cash (136) 501 22,353 Cash at the beginning of the year 526 390 891 Cash at end of the year 390 891 23,244 |
Reporting entity and organiza_3
Reporting entity and organization (Details) | 12 Months Ended |
Jun. 30, 2021 | |
Hailiang Management (previously named "Zhejiang Hailiang Education Investment Group Co., Ltd.") [member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2012 |
Description of nature of entity's operations and principal activities | Investment holding |
Hailiang Mingxin [member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2017 |
Description of nature of entity's operations and principal activities | overseas study consulting service |
Zhejiang Zhuji Hailiang Foreign Language School [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 1995 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Hailiang Experimental High School (Experimental High) [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2002 |
Description of nature of entity's operations and principal activities | K-12 student management services and high school curriculum education services |
Hailiang Senior Middle School [member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2016 |
Description of nature of entity's operations and principal activities | K-12 student management services and high school curriculum education services |
Hailiang High School of Art (previously named Hailiang Art Middle School) [member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2017 |
Description of nature of entity's operations and principal activities | K-12 student management services and high school curriculum education services |
Zhuji Hailiang Foreign Language High School Co., Ltd. (Zhuji Hailiang Foreign Language High School) [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2018 |
Description of nature of entity's operations and principal activities | K-12 student management services and high school curriculum education services |
Zhenjiang Jianghe High School of Art [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Jiangsu, China, 2018 |
Description of nature of entity's operations and principal activities | K-12 student management services and high school curriculum education services |
Zhejiang Mingxin International Travel Co Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2018 |
Description of nature of entity's operations and principal activities | Study trip service |
Shaoxing Sihai International Travel Co., Ltd ("Sihai International Travel") [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2010 |
Description of nature of entity's operations and principal activities | Study trip service |
Zhuji Tianma Boya Educational Training Center Co., Ltd. [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2019 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Hangzhou Mingyou Educational Training School Co., Ltd. [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2019 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Mingyou Future | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2018 |
Description of nature of entity's operations and principal activities | Investment holding |
Shanghai Yunhan Education Technology Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Shanghai, China, 2020 |
Description of nature of entity's operations and principal activities | Investment holding |
Xinchang Nanrui Hailiang Education Technology Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 |
Description of nature of entity's operations and principal activities | Investment holding |
Ninghai Hailiang Education Development Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 |
Description of nature of entity's operations and principal activities | Investment holding |
Zhuji Mingyou Training Center Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Zhuji Hailiang Chengzhong Mingyou Training Center Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Zhejiang Hailiang Mingyou Education Technology Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 |
Description of nature of entity's operations and principal activities | Investment holding |
Xinchang Mingyou Cultural Development Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Xinchang Mingyou Education Training Center Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Zhuji Mingyou Lechuang Education Technology Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Ninghai Yipin Education Training Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Suqian Leqi Training Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Jiangsu, China, 2021 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Hangzhou Hailiang Mingyou Online Education Technology Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 |
Description of nature of entity's operations and principal activities | Academic subject tutoring |
Hangzhou Hailiang Education Management Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2018 |
Description of nature of entity's operations and principal activities | Investment holding |
Zhejiang Zhuji Tianma Experimental School (?Tianma Experimental?) | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 1995 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Zhejiang Zhuji Hailiang Primary School [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2016 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Zhejiang Zhuji Hailiang Junior Middle School [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2016 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Lanzhou Hailiang Education Consulting Co., Ltd. [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Gansu, China, 2019 |
Description of nature of entity's operations and principal activities | Investment holding |
Lanzhou Hailiang Experimental School [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Gansu, China, 2020 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Wuhu Hailiang Education Management Co., Ltd. [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Anhui, China, 2020 |
Description of nature of entity's operations and principal activities | Investment holding |
Wuhu Hailiang Experimental School [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Anhui, China, 2020 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Jinhua Hailiang Education Technology Co., Ltd. [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 |
Description of nature of entity's operations and principal activities | Investment holding |
Wenzhou Hailiang Juxian Education Technology Co., Ltd. (Juxian Technology) [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 |
Description of nature of entity's operations and principal activities | Investment holding |
Hailiang Overseas Chinese School [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Jinhua Hailiang Foreign Language School | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2018 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Ninghai Hailiang Education Management Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 |
Description of nature of entity's operations and principal activities | Investment holding |
Xianghu Future School [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Feicheng Education Investment | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Shandong, China, 2018 |
Description of nature of entity's operations and principal activities | Investment holding |
Feicheng Hailiang Foreign Language School [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of associate and year of establishment | Shandong, China, 2018 |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Hailiang Education (HK) Limited (Hailiang HK) [member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Hong Kong, China, 2011 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Investment holding |
Hailiang Consulting [member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2011 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Investment holding |
Ningbo Hailiang Education Logistics Management Co Ltd [member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2017 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Operation and management service |
Ningbo Haoliang Information Consulting Co., Ltd. ("Ningbo Haoliang") | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2017 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Operation and management service |
Zhuji Nianxin Lake Hotel Co Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2017 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Hotel management service |
Ningbo Hailiang Sports Development Co Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2018 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Well-rounded education |
Zhuji Hailiang Supply Chain Management Co Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2018 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Procurement and transportation services |
Zhuji Hailiang Logistics Service Co Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2018 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Accommodation service |
Zhuji Hailiang After-school Service Co Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2018 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | After-school enrichment service Well-rounded education |
Hailiang Education International Studying Service Limited [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Hongkong, China, 2018 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Overseas study consulting service |
Hangzhou Hailiang International Studying Service Co Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2018 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Overseas study consulting service |
Hangzhou Hailiang Study Trip Co Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2018 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Study trip service |
Pates-Hailiang International College Company Limited [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | United Kingdom, 2018 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Overseas study consulting service |
Hailiang International Education Group Pte. Ltd. | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Singapore, 2020 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Investment holding |
My Campus Study Centre PTE Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Singapore, 2021 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Ancillary educational services |
Hangzhou Hailiang Youcai Education Technology Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2021 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Investment holding |
Ninghai Hailiang Education Logistics Management Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Zhejiang, China, 2021 |
Proportion of ownership interest in subsidiary | 100% |
Description of nature of entity's operations and principal activities | Operation and management service |
Xiantao Hailiang Education Logistics Management Co., Ltd [Member] | |
Disclosure of reporting entity and organization [Line Items] | |
Principal place of business of subsidiary and year of establishment | Hubei, China, 2021 |
Proportion of ownership interest in subsidiary | 90% |
Description of nature of entity's operations and principal activities | Operation and management service |
Reporting entity and organiza_4
Reporting entity and organization - Additional Information (Details) | Jun. 30, 2021 |
Reporting entity and organization | |
Number of provinces of China which Group mainly offers private K-12 educational services in schools | 5 |
Basis of preparation (Details)
Basis of preparation (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Disclosure of Basis of preparation [Line Items] | ||||
Total non-current assets | ¥ 2,421,083 | ¥ 1,287,137 | ||
Total current assets | 849,700 | 1,552,329 | ||
Total assets | 3,270,783 | 2,839,466 | ||
Total non-current liabilities | 35,389 | 26,515 | ||
Total current liabilities | 1,018,534 | 775,310 | ||
Total liabilities | 1,053,923 | 801,825 | ||
Revenue | 1,375,790 | 1,027,373 | ¥ 1,022,795 | |
Revenue from discontinued operations | 618,653 | 489,699 | 490,542 | |
Net profit from continuing operations | 482,110 | 345,799 | 289,534 | |
Net profit/(loss) from discontinued operations (note 9) | (243,337) | 24,205 | 23,058 | |
Affiliated entities [Member] | ||||
Disclosure of Basis of preparation [Line Items] | ||||
Total non-current assets | 1,127,437 | 988,794 | ||
Total current assets | [1] | 953,518 | 1,172,224 | |
Total assets | 2,080,955 | 2,161,018 | ||
Total non-current liabilities | 32,933 | 23,130 | ||
Total current liabilities | 757,094 | 603,797 | ||
Total liabilities | 790,027 | 626,927 | ||
Revenue from continuing operations | 510,200 | 598,275 | 613,975 | |
Profit before tax from continuing operations | 73,612 | 203,817 | 175,911 | |
Profit/(loss) before tax from discontinued operations (note 9) | (241,723) | 24,205 | 23,058 | |
Net profit from continuing operations | 53,480 | 151,169 | 126,467 | |
Net profit/(loss) from discontinued operations (note 9) | ¥ (243,337) | ¥ 24,205 | ¥ 23,058 | |
[1]Intercompany receivables due from the WOFE and its subsidiaries have been eliminated upon consolidation. |
Basis of preparation - Addition
Basis of preparation - Additional Information (Details) | 12 Months Ended | |||
Feb. 08, 2018 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Basis of Preparation [Line Items] | ||||
Percentage of entity's revenue | 100% | |||
Affiliated entities [Member] | ||||
Basis of Preparation [Line Items] | ||||
Percentage of entity's revenue | 37.10% | 58.20% | 60% | |
Percentage of entity's assets | 63.60% | 76.10% | ||
Percentage of entitys liabilities | 75% | 78.20% | ||
Beize Group [Member] | ||||
Basis of Preparation [Line Items] | ||||
Capital contribution percentage | 0.10% |
Significant accounting polici_4
Significant accounting policies (Details) | 12 Months Ended |
Jun. 30, 2021 | |
Motor vehicles [member] | |
Significant Accounting Policies [Line Items] | |
Useful life measured as period of time, property, plant and equipment | 5 years |
Furniture, fixtures and other equipment [member] | Minimum [member] | |
Significant Accounting Policies [Line Items] | |
Useful life measured as period of time, property, plant and equipment | 3 years |
Furniture, fixtures and other equipment [member] | Maximum [member] | |
Significant Accounting Policies [Line Items] | |
Useful life measured as period of time, property, plant and equipment | 5 years |
Leasehold improvements | |
Significant Accounting Policies [Line Items] | |
Useful life measured as period of time, property, plant and equipment | Shorter of the remaining lease terms or estimated useful lives |
Significant accounting polici_5
Significant accounting policies - Estimated useful lives of intangible assets (Details) | 12 Months Ended |
Jun. 30, 2021 | |
Favorable lease | |
Significant Accounting Policies [Line Items] | |
Amortization period | 20 years |
Others | |
Significant Accounting Policies [Line Items] | |
Amortization period | 3 years |
Minimum [member] | Student relationships | |
Significant Accounting Policies [Line Items] | |
Amortization period | 1 year |
Maximum [member] | Student relationships | |
Significant Accounting Policies [Line Items] | |
Amortization period | 15 years |
Significant accounting polici_6
Significant accounting policies - Additional Information (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jul. 01, 2019 | Jul. 31, 2018 | |
Significant Accounting Policies [Line Items] | ||||
Contract costs | ¥ 18,279 | |||
Right-of-use assets | ¥ 502,813 | ¥ 517,609 | ||
Lease liabilities | 35,754 | ¥ 20,502 | ||
IFRS 16 | ||||
Significant Accounting Policies [Line Items] | ||||
Right-of-use assets | ¥ 411,115 | |||
Lease liabilities | ¥ 35,754 | ¥ 411,090 | ||
Minimum [member] | ||||
Significant Accounting Policies [Line Items] | ||||
Percent of contributions expected to be paid to plan for annual reporting period | 25.30% | |||
Maximum [member] | ||||
Significant Accounting Policies [Line Items] | ||||
Percent of contributions expected to be paid to plan for annual reporting period | 38.64% |
Revenue and segment reporting -
Revenue and segment reporting - (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | ¥ 1,994,443 | ||
Revenue | 1,375,790 | ¥ 1,027,373 | ¥ 1,022,795 |
Goods or services transferred over time [member] | |||
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | 1,223,868 | 932,102 | 940,108 |
Goods or services transferred at point in time [member] | |||
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | 151,922 | 95,271 | 82,687 |
Discontinued operations. | |||
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | 618,653 | 489,699 | 490,542 |
Discontinued operations. | Goods or services transferred over time [member] | |||
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | 463,543 | 384,371 | 375,012 |
Discontinued operations. | Goods or services transferred at point in time [member] | |||
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | 155,110 | 105,328 | 115,530 |
K-12 educational services [Member] | |||
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | 1,111,585 | 861,923 | 754,493 |
K-9 Compulsory Curriculum Education Services [Member] | |||
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | 618,653 | 489,699 | 490,542 |
Educational training services [Member] | |||
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | 204,221 | 121,611 | 230,510 |
Education and management services | |||
Disclosure of disaggregation of revenue from contracts with customers [line items] | |||
Revenue | ¥ 59,984 | ¥ 43,839 | ¥ 37,792 |
Revenue and segment reporting_2
Revenue and segment reporting - Schedule of contract liabilities from contract with customers (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Jun. 30, 2020 |
Current liabilities | ||
Contract liabilities | ¥ 444,865 | ¥ 295,979 |
Non-current liabilities | ||
Contract liabilities | ¥ 132 | ¥ 3,159 |
Revenue and segment reporting_3
Revenue and segment reporting - Schedule of the revenue and operating results by segments (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disclosure of operating segments [line items] | |||
Revenue from contracts with customers | ¥ 1,994,443 | ||
Intra-segment revenues | 14,755 | ||
Revenues | 1,375,790 | ¥ 1,027,373 | ¥ 1,022,795 |
Segment income/(loss) before income tax | 405,742 | 491,928 | 421,305 |
Elimination of discontinued operations | 243,337 | (24,205) | (23,058) |
Consolidated profit before tax from continuing operations | 647,465 | 467,723 | 398,247 |
Consolidated profit before tax from continuing operations | 241,723 | (24,205) | (23,058) |
Interest income | 42,834 | ||
Interest expenses | 1,584 | ||
Interest on lease liabilities | 1,379 | 4,363 | |
Depreciation and amortization | 169,728 | ||
Impairment loss | 252,259 | ||
Aggregate continuing and discontinued operations [member] | |||
Disclosure of operating segments [line items] | |||
Interest income | 42,834 | 24,870 | 24,489 |
Interest on lease liabilities | 1,379 | 4,363 | |
Discontinued operations. | |||
Disclosure of operating segments [line items] | |||
Revenues | 618,653 | 489,699 | 490,542 |
Elimination of discontinued operations | 243,337 | (24,205) | (23,058) |
Interest on lease liabilities | 228 | 928 | |
Operating Segments [Member] | |||
Disclosure of operating segments [line items] | |||
Revenues | 2,009,198 | 1,536,203 | 1,522,349 |
Elimination of intersegment revenues | |||
Disclosure of operating segments [line items] | |||
Revenues | (14,755) | (19,131) | (9,012) |
K-12 educational services [Member] | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with customers | 1,171,569 | 905,762 | 792,285 |
Intra-segment revenues | 1,824 | 711 | 287 |
Segment income/(loss) before income tax | 566,434 | 459,875 | 299,459 |
Interest income | 35,026 | 14,352 | 13,374 |
Interest expenses | 278 | 3,040 | 0 |
Depreciation and amortization | 62,086 | 59,306 | 31,173 |
K-12 educational services [Member] | Discontinued operations. | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with customers | 489,699 | 490,542 | |
Intra-segment revenues | 418 | 135 | |
Segment income/(loss) before income tax | 24,205 | 23,058 | |
Interest income | 8,827 | 7,889 | |
Interest expenses | 1,368 | 208 | |
Depreciation and amortization | 102,345 | 95,793 | |
K-12 educational services [Member] | Operating Segments [Member] | |||
Disclosure of operating segments [line items] | |||
Revenues | 1,173,393 | 906,473 | 792,572 |
K-12 educational services [Member] | Operating Segments [Member] | Discontinued operations. | |||
Disclosure of operating segments [line items] | |||
Revenues | 490,117 | 490,677 | |
Educational training services [Member] | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with customers | 618,653 | 121,611 | 230,510 |
Intra-segment revenues | 465 | 18,002 | 8,590 |
Segment income/(loss) before income tax | (241,723) | 16,948 | 105,427 |
Interest income | 6,843 | 476 | 1,629 |
Interest expenses | 433 | 395 | |
Depreciation and amortization | 96,393 | 8,221 | 7,844 |
Impairment loss | 252,259 | ||
Educational training services [Member] | Operating Segments [Member] | |||
Disclosure of operating segments [line items] | |||
Revenues | 619,118 | 139,613 | 239,100 |
Others [Member] | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with customers | 204,221 | ||
Intra-segment revenues | 12,466 | ||
Segment income/(loss) before income tax | 90,285 | (9,100) | (6,639) |
Interest income | 956 | 1,215 | 1,597 |
Interest expenses | 873 | ||
Depreciation and amortization | 11,249 | ||
Others [Member] | Operating Segments [Member] | |||
Disclosure of operating segments [line items] | |||
Revenues | 216,687 | ||
Unallocated [Member] | |||
Disclosure of operating segments [line items] | |||
Revenue from contracts with customers | 0 | 1,517,072 | 1,513,337 |
Intra-segment revenues | 0 | 19,131 | 9,012 |
Segment income/(loss) before income tax | (9,254) | 491,928 | 421,305 |
Interest income | 9 | 24,870 | 24,489 |
Interest expenses | 0 | 4,803 | 208 |
Depreciation and amortization | 0 | 169,872 | 134,810 |
Impairment loss | 0 | ||
Unallocated [Member] | Operating Segments [Member] | |||
Disclosure of operating segments [line items] | |||
Revenues | ¥ 0 | ¥ 1,536,203 | ¥ 1,522,349 |
Revenue and segment reporting_4
Revenue and segment reporting - Additional information (Details) - segment | 12 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Revenue and segment reporting | ||
Number of operating segments | 4 | 4 |
Other income, net (Details)
Other income, net (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Other income, net | |||
Government grants | ¥ 46,343 | ¥ 68,682 | ¥ 21,121 |
Others | 287 | (1,612) | (194) |
Other income, net | ¥ 46,630 | ¥ 67,070 | ¥ 20,927 |
Employee benefit expenses (Deta
Employee benefit expenses (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
ifrs-full_ Statement [Line Items] | |||
Wages and salaries | ¥ 438,170 | ¥ 316,513 | ¥ 336,605 |
Contributions to defined contribution plans | 57,006 | 44,370 | 31,877 |
Long-term employee benefits | 9,831 | ||
Employee benefit expenses | 505,007 | 360,883 | 368,482 |
Discontinued operations. | |||
ifrs-full_ Statement [Line Items] | |||
Employee benefit expenses | ¥ 313,421,000 | ¥ 207,796,000 | ¥ 219,601,000 |
Profit before tax - Net finance
Profit before tax - Net finance income (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Profit Before Tax [Line Items] | |||
Interest income | ¥ 42,834 | ||
Others | (151) | ¥ 289 | ¥ 465 |
Finance income | 35,840 | 16,037 | 16,596 |
Interest on lease liabilities (Note 13(b)) | 1,151 | 3,435 | |
Interest expense | (1,584) | ||
Finance costs | (1,151) | (3,435) | |
Net finance income | 34,689 | 12,602 | 16,596 |
Hailiang Finance [Member] | |||
Profit Before Tax [Line Items] | |||
Interest income | 35,991 | 15,748 | 16,131 |
Aggregate continuing and discontinued operations [member] | |||
Profit Before Tax [Line Items] | |||
Interest income | 42,834 | 24,870 | 24,489 |
Discontinued operations. | |||
Profit Before Tax [Line Items] | |||
Finance income | 7,391 | 9,122 | 8,357 |
Finance costs | ¥ (433) | ¥ (1,370) | ¥ (208) |
Profit before tax - Expenses by
Profit before tax - Expenses by nature from continuing operations (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Profit Before Tax [Line Items] | |||
Employee benefit expenses (Note 7) | ¥ 505,007 | ¥ 360,883 | ¥ 368,482 |
Students related cost | 125,536 | 125,789 | 123,888 |
Transportation | 20,393 | 23,689 | 25,696 |
Marketing and promotion | 29,590 | 13,897 | 11,761 |
Depreciation of owned property and equipment | 42,989 | 40,321 | 37,781 |
Depreciation of right-of-use assets | 27,778 | 24,675 | 0 |
Utilities | 20,189 | 15,247 | 19,698 |
Amortization of intangible assets | 2,567 | 2,531 | 1,235 |
Operating lease charges | 0 | 0 | 28,252 |
Others | 35,595 | 32,290 | 45,278 |
Total cost of revenue, selling expenses and administrative expenses | 809,644 | 639,322 | 662,071 |
Aggregate continuing and discontinued operations [member] | |||
Profit Before Tax [Line Items] | |||
Depreciation of owned property and equipment | 133,420 | 136,693 | 133,316 |
Depreciation of right-of-use assets | 33,649 | 30,485 | 0 |
Discontinued operations. | |||
Profit Before Tax [Line Items] | |||
Employee benefit expenses (Note 7) | 313,421,000 | 207,796,000 | ¥ 219,601,000 |
Depreciation of owned property and equipment | 90,431,000 | 96,372,000 | |
Depreciation of right-of-use assets | ¥ 5,871 | ¥ 5,810 |
Discontinued operations (Detail
Discontinued operations (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disclosure of analysis of single amount of discontinued operations [line items] | |||
Revenue | ¥ 1,375,790 | ¥ 1,027,373 | ¥ 1,022,795 |
Cost of revenue | (728,586) | (580,260) | (613,780) |
Gross profit | 647,204 | 447,113 | 409,015 |
Selling expenses | (29,737) | (13,944) | (11,796) |
Administrative expenses | (51,321) | (45,118) | (36,495) |
Operating profit/(loss) | 612,776 | 455,121 | 381,651 |
Finance income | 35,840 | 16,037 | 16,596 |
Finance costs | (1,151) | (3,435) | |
Net finance income | 34,689 | 12,602 | 16,596 |
Profit/(loss) before tax | 647,465 | 467,723 | 398,247 |
Profit/(loss) from the discontinued operations, net of tax | (243,337) | 24,205 | 23,058 |
Discontinued operations. | |||
Disclosure of analysis of single amount of discontinued operations [line items] | |||
Revenue | 618,653 | 489,699 | 490,542 |
Cost of revenue | (582,755) | (445,286) | (437,393) |
Gross profit | 35,898 | 44,413 | 53,149 |
Other income, net | 6,096 | 6,571 | 4,650 |
Selling expenses | (14,509) | (14,107) | (13,990) |
Administrative expenses | (23,907) | (20,424) | (28,900) |
Impairment loss on property and equipment | (174,026) | 0 | |
Impairment loss on intangible assets and goodwill | (78,233) | 0 | |
Operating profit/(loss) | (248,681) | 16,453 | 14,909 |
Finance income | 7,391 | 9,122 | 8,357 |
Finance costs | (433) | (1,370) | (208) |
Net finance income | 6,958 | 7,752 | 8,149 |
Profit/(loss) before tax | (241,723) | 24,205 | 23,058 |
Income tax expenses | (1,614) | 0 | 0 |
Profit/(loss) from the discontinued operations, net of tax | (243,337) | 24,205 | 23,058 |
The condensed cash flows of these affiliated entities were as follows: | |||
Net cash generated from operating activities | 118,311 | 190,049 | 324,206 |
Net cash used in investing activities | (48,770) | (389,915) | (229,228) |
Net cash generated from / (used in) financing activities | (74,258) | 12,421 | ¥ 6,000 |
Impairment loss on carrying amount of right-of-use assets | ¥ 0 | ¥ 0 |
Income taxes - Income tax expen
Income taxes - Income tax expenses in profit or loss and other comprehensive income (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Current | |||
PRC income tax expenses | ¥ 165,517 | ¥ 122,576 | ¥ 108,545 |
Deferred | |||
PRC income tax expenses | (162) | (652) | 168 |
Income tax expenses on continuing operations for the year | 165,355 | 121,924 | 108,713 |
Discontinued operations. | |||
Deferred | |||
Income tax expenses arising on the profit from discontinued operations | ¥ 1,614 | ¥ 0 | ¥ 0 |
Income taxes - Schedule of Reco
Income taxes - Schedule of Reconciliation Between the Provision for income tax (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income taxes | |||
Profit before tax from continuing operations | ¥ 647,465 | ¥ 467,723 | ¥ 398,247 |
Notional tax on profit before taxation, calculated at the applicable rates in the tax jurisdictions concerned | 159,998 | 119,221 | 101,560 |
Effect of expenses that are not deductible in determining taxable profit | 654 | 519 | 524 |
Unrecognized tax losses | 4,660 | 1,955 | 2,054 |
Utilization of tax losses previously not recognized | (676) | (964) | (486) |
Effect of income tax exemptions | 719 | 1,193 | 5,061 |
Income tax expense recognized in profit or loss | ¥ 165,355 | ¥ 121,924 | ¥ 108,713 |
Income taxes - Deferred tax ass
Income taxes - Deferred tax assets and liabilities (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Reconciliation of changes in deferred tax liability (asset) [abstract] | ||
Balance at the beginning | ¥ (4,607) | ¥ (4,691) |
Charged/(credited) to profit or loss | (129) | 84 |
Balance at the end | (4,736) | (4,607) |
Balance at the beginning | 568 | 0 |
Credited to profit or loss | 291 | 568 |
Balance at the end | 859 | 568 |
Capitalized Contract Costs [Member] | ||
Reconciliation of changes in deferred tax liability (asset) [abstract] | ||
Balance at the beginning | (484) | (328) |
Charged/(credited) to profit or loss | (369) | (156) |
Balance at the end | (853) | (484) |
Balance at the beginning | 0 | 0 |
Credited to profit or loss | 0 | 0 |
Balance at the end | 0 | 0 |
Favorable Lease [Member] | ||
Reconciliation of changes in deferred tax liability (asset) [abstract] | ||
Balance at the beginning | (4,123) | (4,363) |
Charged/(credited) to profit or loss | 240 | 240 |
Balance at the end | (3,883) | (4,123) |
Balance at the beginning | 0 | 0 |
Credited to profit or loss | 0 | |
Balance at the end | 0 | 0 |
Right of Use Assets And Lease Liabilities [Member] | ||
Reconciliation of changes in deferred tax liability (asset) [abstract] | ||
Balance at the beginning | 0 | |
Charged/(credited) to profit or loss | 0 | |
Balance at the end | 0 | |
Balance at the beginning | 568 | 0 |
Credited to profit or loss | 291 | 568 |
Balance at the end | ¥ 859 | ¥ 568 |
Income taxes - Additional infor
Income taxes - Additional information (Details) ¥ in Thousands, $ in Millions | 12 Months Ended | |||
Jun. 30, 2021 CNY (¥) | Jun. 30, 2020 CNY (¥) | Jun. 30, 2018 HKD ($) | Jun. 30, 2019 CNY (¥) | |
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Applicable tax rate | 25% | 16.50% | ||
Withholding Tax Rate | 10% | |||
Adjustments for undistributed profits of associates | ¥ 1,425,882 | ¥ 1,080,372 | ||
Deferred tax assets | ¥ 859 | 568 | ¥ 0 | |
Hong Kong [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Applicable tax rate | 16.50% | 8.25% | ||
Adjustments for undistributed profits of associates | $ | $ 2 | |||
Singapore | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Applicable tax rate | 17% | |||
China [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Applicable tax rate | 25% | |||
China [member] | Unused tax losses [member] | ||||
Disclosure of temporary difference, unused tax losses and unused tax credits [line items] | ||||
Tax credit carryforward amounts | ¥ 36,861 | |||
Unused tax losses expiration on June 30 2021 | 15,327 | |||
Unused tax losses expiration on June 30 2023 | 3,501 | 3,501 | ||
Unused tax losses expiration on June 30 2024 | 6,079 | 6,994 | ||
Unused tax losses expiration on June 30 2025 | 6,915 | ¥ 9,924 | ||
Deferred tax assets | ¥ 20,496 |
Earnings per share (Details)
Earnings per share (Details) - CNY (¥) ¥ / shares in Units, ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Net profit from continuing and discontinued operations attributable to shareholders of the Company (basic and diluted) | |||
Net profit from continuing and discontinued operations attributable to shareholders of the Company (basic and diluted) | ¥ 235,092 | ¥ 374,238 | ¥ 290,233 |
Net profit from continuing operations | 483,049 | 349,983 | 267,175 |
Net profit/(loss) from discontinued operations | ¥ (247,957) | ¥ 24,255 | ¥ 23,058 |
Weighted average number of ordinary shares for basic EPS | 412,450,256 | 412,450,256 | 412,450,256 |
Basic and diluted earnings per share | |||
Basic earnings per share | ¥ 0.57 | ¥ 0.91 | ¥ 0.70 |
Diluted earnings per share | 0.57 | 0.91 | 0.70 |
Basic earnings per share Continuing operations | 1.17 | 0.85 | 0.65 |
Diluted earnings per share Continuing operations | 1.17 | 0.85 | 0.65 |
Basic earnings per share Discontinued operations | (0.60) | 0.06 | 0.05 |
Diluted earnings per share Discontinued operations | ¥ (0.60) | ¥ 0.06 | ¥ 0.05 |
Property and equipment - Proper
Property and equipment - Property and Equipment (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | ¥ 659,851 | ||
Depreciation for the year | (42,989) | ¥ (40,321) | ¥ (37,781) |
Ending Balance | 465,734 | 659,851 | |
Discontinued operations. | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 460,245 | ||
Depreciation for the year | (90,431,000) | (96,372,000) | |
Impairment loss recognized in profit or loss (note 9) | 174,026 | 0 | |
Ending Balance | 268,479 | 460,245 | |
Cost | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 1,278,797 | 1,125,742 | |
Additions | 113,844 | 159,296 | |
Transferred from construction in progress | 0 | 0 | |
Transferred to intangible assets | (223) | ||
Disposals | (2,458) | (6,018) | |
Ending Balance | 1,390,183 | 1,278,797 | 1,125,742 |
Accumulated Amortization | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | (618,946) | (486,849) | |
Depreciation for the year | (133,420) | (136,693) | |
Disposals | 1,943 | 4,596 | |
Impairment loss recognized in profit or loss (note 9) | (174,026) | ||
Ending Balance | (924,449) | (618,946) | (486,849) |
Motor vehicles [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 3,659 | ||
Ending Balance | 4,477 | 3,659 | |
Motor vehicles [member] | Discontinued operations. | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation for the year | (1,240,000) | (1,340,000) | |
Motor vehicles [member] | Cost | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 22,659 | 21,593 | |
Additions | 2,119 | 1,134 | |
Transferred from construction in progress | 0 | 0 | |
Transferred to intangible assets | 0 | ||
Disposals | (58) | (68) | |
Ending Balance | 24,720 | 22,659 | 21,593 |
Motor vehicles [member] | Accumulated Amortization | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | (19,000) | (17,686) | |
Depreciation for the year | (1,296) | (1,354) | |
Disposals | 53 | 40 | |
Impairment loss recognized in profit or loss (note 9) | 0 | ||
Ending Balance | (20,243) | (19,000) | (17,686) |
Furniture, fixtures and other equipment | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 106,348 | ||
Ending Balance | 66,415 | 106,348 | |
Furniture, fixtures and other equipment | Discontinued operations. | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation for the year | (32,726,000) | (45,652,000) | |
Furniture, fixtures and other equipment | Cost | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 332,688 | 312,905 | |
Additions | 22,402 | 23,163 | |
Transferred from construction in progress | 1,771 | 559 | |
Transferred to intangible assets | 0 | ||
Disposals | (2,400) | (3,939) | |
Ending Balance | 354,461 | 332,688 | 312,905 |
Furniture, fixtures and other equipment | Accumulated Amortization | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | (226,340) | (168,977) | |
Depreciation for the year | (48,274) | (60,980) | |
Disposals | 1,890 | 3,617 | |
Impairment loss recognized in profit or loss (note 9) | (15,322) | ||
Ending Balance | (288,046) | (226,340) | (168,977) |
Leasehold improvements | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 531,550 | ||
Ending Balance | 389,722 | 531,550 | |
Leasehold improvements | Discontinued operations. | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation for the year | (56,465,000) | (49,380,000) | |
Leasehold improvements | Cost | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 905,156 | 782,840 | |
Additions | 22,514 | 13,923 | |
Transferred from construction in progress | 78,212 | 110,404 | |
Transferred to intangible assets | 0 | ||
Disposals | 0 | (2,011) | |
Ending Balance | 1,005,882 | 905,156 | 782,840 |
Leasehold improvements | Accumulated Amortization | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | (373,606) | (300,186) | |
Depreciation for the year | (83,850) | (74,359) | |
Disposals | 0 | 939 | |
Impairment loss recognized in profit or loss (note 9) | (158,704) | ||
Ending Balance | (616,160) | (373,606) | (300,186) |
Construction in progress | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 18,294 | ||
Ending Balance | 5,120 | 18,294 | |
Construction in progress | Cost | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 18,294 | 8,404 | |
Additions | 66,809 | 121,076 | |
Transferred from construction in progress | (79,983) | (110,963) | |
Transferred to intangible assets | (223) | ||
Disposals | 0 | 0 | |
Ending Balance | 5,120 | 18,294 | 8,404 |
Construction in progress | Accumulated Amortization | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Beginning Balance | 0 | 0 | |
Depreciation for the year | 0 | 0 | |
Disposals | 0 | 0 | |
Impairment loss recognized in profit or loss (note 9) | 0 | ||
Ending Balance | ¥ 0 | ¥ 0 | ¥ 0 |
Lease (Details)
Lease (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | Sep. 12, 2019 | |
Movements in right-of-use assets | ||||
As at July 1, 2019 | ¥ 517,609 | |||
Lease modification | (1,038) | ¥ 131,634 | ||
Depreciation of right-of-use assets | (27,778) | (24,675) | ¥ 0 | |
As at June 30, 2020 | 502,813 | 517,609 | ||
Leases recognized in profit or loss | ||||
Depreciation of right-of-use assets | 27,778 | 24,675 | 0 | |
Interest on lease liabilities | 1,151 | 3,435 | ||
Expense relating to short-term leases | 565 | 53 | ||
Expense relating to leases of low-value assets, excluding short-term leases of low-value assets | 342 | 511 | ||
Gain on derecognition of a lease contract | 39 | |||
Gain on Lease modification | 82 | |||
Amounts included in the statement of cash flow for leases | ||||
Within operating cash flows | 2,054 | 826 | ||
Within investing cash flows | 524,996 | |||
Within financing cash flows | 4,773 | 6,895 | ||
Amount included in cash flows | 6,827 | 532,717 | ||
lease prepayments | ¥ 524,996 | |||
lease liabilities and the movements | ||||
As at July 1, 2019 | 20,502 | |||
Accretion of interest recognized during the year | 1,379 | 4,363 | ||
As at June 30, 2020 | 35,754 | 20,502 | ||
Analyzed into: | ||||
Current portion | 5,233 | 1,753 | ||
Non-current portion | 30,521 | 18,749 | ||
Discontinued operations. | ||||
Movements in right-of-use assets | ||||
As at July 1, 2019 | 103,143 | |||
Depreciation of right-of-use assets | (5,871) | (5,810) | ||
As at June 30, 2020 | 97,053 | 103,143 | ||
Leases recognized in profit or loss | ||||
Depreciation of right-of-use assets | 5,871 | 5,810 | ||
Interest on lease liabilities | 433 | 1,370 | 208 | |
Amounts included in the statement of cash flow for leases | ||||
Within operating cash flows | 907 | 564 | ||
Within investing cash flows | 0 | 103,813 | ||
Within financing cash flows | 758 | 5,140 | ||
Amount included in cash flows | 1,665 | 109,517 | ||
lease liabilities and the movements | ||||
Accretion of interest recognized during the year | 228 | 928 | ||
Analyzed into: | ||||
Current portion | 159 | 133 | ||
Non-current portion | 4,325 | 4,881 | ||
Aggregate continuing and discontinued operations [member] | ||||
Movements in right-of-use assets | ||||
As at July 1, 2019 | 517,609 | 411,115 | ||
Additions - new leases | 19,809 | 9,571 | ||
Lease modification | (1,038) | 131,634 | ||
Depreciation of right-of-use assets | (33,649) | (30,485) | 0 | |
Derecognition of a lease contract due to termination | (4,226) | |||
As at June 30, 2020 | 502,813 | 517,609 | 411,115 | |
Leases recognized in profit or loss | ||||
Depreciation of right-of-use assets | 33,649 | 30,485 | 0 | |
Gain on derecognition of a lease contract | 39 | |||
lease liabilities and the movements | ||||
As at July 1, 2019 | 20,502 | 411,090 | ||
New leases | 19,684 | 9,571 | ||
Lease modification | 956 | 131,634 | ||
Accretion of interest recognized during the year | 1,379 | 4,363 | ||
Payments | (4,773) | (531,891) | ||
Derecognition of a lease contract due to termination | (4,265) | |||
As at June 30, 2020 | 35,754 | 20,502 | ¥ 411,090 | |
Analyzed into: | ||||
Current portion | 5,233 | 1,753 | ||
Non-current portion | ¥ 30,521 | ¥ 18,749 | ||
Maximum [member] | ||||
Amounts included in the statement of cash flow for leases | ||||
Lease agreements, initial terms | 20 years | |||
Minimum [member] | ||||
Amounts included in the statement of cash flow for leases | ||||
Lease agreements, initial terms | 3 years |
Lease - Remaining contractual m
Lease - Remaining contractual maturities (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jul. 01, 2019 | |
Remaining contractual maturities | |||
Lease liabilities | ¥ 35,754 | ¥ 20,502 | |
Total minimum lease payments | 44,563 | 27,356 | |
Less: total future interest expenses | 6,854 | ||
1 year or less | |||
Remaining contractual maturities | |||
Lease liabilities | 1,753 | ||
Total minimum lease payments | 6,801 | 2,687 | |
1-2 years | |||
Remaining contractual maturities | |||
Lease liabilities | 2,623 | ||
Total minimum lease payments | 6,544 | 3,442 | |
2-5 years | |||
Remaining contractual maturities | |||
Lease liabilities | 6,222 | ||
Total minimum lease payments | 13,786 | 7,999 | |
more than 5 years | |||
Remaining contractual maturities | |||
Lease liabilities | 9,904 | ||
Total minimum lease payments | 17,432 | ¥ 13,228 | |
IFRS 16 | |||
Remaining contractual maturities | |||
Lease liabilities | 35,754 | ¥ 411,090 | |
Total minimum lease payments | 44,563 | ||
Less: total future interest expenses | 8,809 | ||
IFRS 16 | 1 year or less | |||
Remaining contractual maturities | |||
Lease liabilities | 5,233 | ||
Total minimum lease payments | 6,801 | ||
IFRS 16 | 1-2 years | |||
Remaining contractual maturities | |||
Lease liabilities | 5,225 | ||
Total minimum lease payments | 6,544 | ||
IFRS 16 | 2-5 years | |||
Remaining contractual maturities | |||
Lease liabilities | 11,179 | ||
Total minimum lease payments | 13,786 | ||
IFRS 16 | more than 5 years | |||
Remaining contractual maturities | |||
Lease liabilities | 14,117 | ||
Total minimum lease payments | ¥ 17,432 |
Intangible assets and goodwil_2
Intangible assets and goodwill - Intangible Assets and Goodwill (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | ¥ 97,806 | |
Impairment loss recognized in profit or loss | (78,180) | |
Ending Balance | 18,300 | ¥ 97,806 |
Goodwill [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 61,640 | |
Ending Balance | 61,640 | |
Student relationship [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 145 | |
Ending Balance | 145 | |
Trademark [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 16,559 | |
Ending Balance | 16,559 | |
Favorable lease | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 16,490 | |
Ending Balance | 15,529 | 16,490 |
Others | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 2,972 | |
Ending Balance | 2,771 | 2,972 |
Discontinued operations. | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 78,325 | |
Amortization for the year | (92) | (163) |
Ending Balance | 78,325 | |
Cost | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 146,464 | 145,489 |
Addition | 1,386 | 752 |
Transferred from construction in progress | 223 | |
Ending Balance | 147,850 | 146,464 |
Cost | Goodwill [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 61,640 | 61,640 |
Addition | 0 | 0 |
Transferred from construction in progress | 0 | |
Ending Balance | 61,640 | 61,640 |
Cost | Student relationship [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 45,037 | 45,037 |
Addition | 0 | 0 |
Transferred from construction in progress | 0 | |
Ending Balance | 45,037 | 45,037 |
Cost | Trademark [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 16,563 | 16,540 |
Addition | 0 | 23 |
Transferred from construction in progress | 0 | |
Ending Balance | 16,563 | 16,563 |
Cost | Favorable lease | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 18,091 | 18,091 |
Addition | 0 | 0 |
Transferred from construction in progress | 0 | |
Ending Balance | 18,091 | 18,091 |
Cost | Others | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 5,133 | 4,181 |
Addition | 1,386 | 729 |
Transferred from construction in progress | 223 | |
Ending Balance | 6,519 | 5,133 |
Accumulated Amortization | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | (48,658) | (45,964) |
Amortization for the year | (2,659) | (2,694) |
Impairment loss recognized in profit or loss | (78,233) | |
Ending Balance | (129,550) | (48,658) |
Accumulated Amortization | Goodwill [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | 0 | 0 |
Amortization for the year | 0 | 0 |
Impairment loss recognized in profit or loss | (61,640) | |
Ending Balance | (61,640) | 0 |
Accumulated Amortization | Student relationship [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | (44,892) | (44,730) |
Amortization for the year | (92) | (162) |
Impairment loss recognized in profit or loss | (53) | |
Ending Balance | (45,037) | (44,892) |
Accumulated Amortization | Trademark [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | (4) | 0 |
Amortization for the year | (19) | (4) |
Impairment loss recognized in profit or loss | (16,540) | |
Ending Balance | (16,563) | (4) |
Accumulated Amortization | Favorable lease | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | (1,601) | (640) |
Amortization for the year | (961) | (961) |
Impairment loss recognized in profit or loss | 0 | |
Ending Balance | (2,562) | (1,601) |
Accumulated Amortization | Others | ||
Disclosure of detailed information about intangible assets [line items] | ||
Beginning Balance | (2,161) | (594) |
Amortization for the year | (1,587) | (1,567) |
Ending Balance | ¥ (3,748) | ¥ (2,161) |
Intangible assets and goodwil_3
Intangible assets and goodwill - Aggregated Carrying Amount of Goodwill and Trademark (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Intangible assets and goodwill. | ||
Goodwill | ¥ 61,640 | ¥ 61,640 |
Trademark with indefinite useful lives | 16,540 | 16,540 |
Less: impairment loss recognized in profit or loss | ¥ (78,180) | |
Total | ¥ 78,180 |
Intangible assets and goodwil_4
Intangible assets and goodwill - Key Assumptions (Details) | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 |
Disclosure of detailed information about intangible assets [line items] | |||
Discount rate | 15.50% | 15.50% | 15.50% |
Terminal value growth rate | 3% | 3% | 3% |
Minimum [member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Revenue growth rates over the next five fiscal years | 5% | 3% | |
Maximum [member] | |||
Disclosure of detailed information about intangible assets [line items] | |||
Revenue growth rates over the next five fiscal years | 5% |
Intangible assets and goodwil_5
Intangible assets and goodwill - Additional Information (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disclosure of detailed information about intangible assets [line items] | |||
Debt Leverage Rate | 0% | ||
Description Of Royalty Rates Applied To Cash Flow Projections | 3% | ||
Growth rate used to extrapolate cash flow projections | 3% | 3% | 3% |
Discount rate applied to cash flow projections | 15.50% | 15.50% | 15.50% |
Impairment loss recognized in profit or loss | ¥ (78,180) | ||
Description Of Royalty Applied To Cash Flow Projections | 5 years |
Other current assets (Details)
Other current assets (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Other current assets. | |||
Prepayments | ¥ 8,070 | ¥ 3,571 | |
Trade receivables | 11,265 | 4,473 | |
Contract costs | 11,194 | 9,201 | |
Advances to employees | 1,270 | 2,187 | |
Deductible VAT and prepaid income tax | 4,920 | 14,988 | |
Other receivables due from third parties | 1,066 | 2,096 | |
Total | 37,785 | 36,516 | |
Capitalized costs recognized in profit or loss | ¥ 13,906 | ¥ 13,439 | ¥ 13,302 |
Cash and cash equivalents (Deta
Cash and cash equivalents (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash and cash equivalents. | ||
Cash at bank | ¥ 44,255 | ¥ 8,709 |
Cash held at a related party finance entity | 200,023 | 502,289 |
Cash held at other financial institutions | 35,142 | 5,448 |
Total | ¥ 279,420 | ¥ 516,446 |
Cash and cash equivalents - Rec
Cash and cash equivalents - Reconciliation of Liabilities Arising from Financing Activities (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | |
Cash and Equivalents [Line Items] | ||||
Cash and cash equivalents | ¥ 279,420 | ¥ 516,446 | ||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 368,505 | 395,284 | ||
Changes from financing cash flows: | ||||
Loans borrowed from a related party | 4,000 | 13,000 | ¥ 9,000 | |
Repayment of loans to a related party | (41,981) | (34,079) | (4,000) | |
Repayment of interest on loans to a related party | (853) | |||
Acquisition of affiliated entities under common control | (56,866) | |||
Capital contribution | 2,450 | ¥ 15,139 | ||
Payments to NCI upon liquidation of subsidiaries | (3,713) | 0 | ||
Capital element of lease rentals paid | (3,829) | (2,721) | ||
Interest element of lease rentals paid | (944) | (4,174) | ||
Dividends paid to NCI | 21,145 | |||
Dividends declared to be payable to a non-controlling shareholder of subsidiaries | 21,145 | 7,482 | ||
Total changes from financing cash flows | (100,473) | (50,382) | ||
Other changes: | ||||
New leases | 19,684 | 9,571 | ||
Interest on lease liabilities | 1,379 | 4,363 | ||
Interest on loans borrowed from a related party | 205 | 440 | ||
Termination of a lease contract | (4,265) | |||
Lease modification | (1,038) | 131,634 | ||
Leases prepayments | (524,996) | |||
Net profit (loss) and total comprehensive income attributable to NCI | 3,681 | (4,234) | 22,359 | |
Waving liabilities from non-controlling shareholders | 3,560 | |||
Total other changes | 27,471 | (387,487) | ||
Lease liabilities | 35,754 | 20,502 | ||
Ending balance | 295,503 | 368,505 | 395,284 | 395,284 |
IFRS 16 | ||||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 806,374 | |||
Other changes: | ||||
Lease liabilities | 411,090 | 411,090 | ||
Ending balance | 806,374 | 806,374 | ||
Loans Due to Related Parties [Member] | ||||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 84,172 | 104,811 | ||
Changes from financing cash flows: | ||||
Loans borrowed from a related party | 4,000 | 13,000 | ||
Repayment of loans to a related party | (41,981) | (34,079) | ||
Repayment of interest on loans to a related party | (853) | |||
Total changes from financing cash flows | (38,834) | (21,079) | ||
Other changes: | ||||
Interest on loans borrowed from a related party | 205 | 440 | ||
Total other changes | 205 | 440 | ||
Ending balance | 45,543 | 84,172 | 104,811 | 104,811 |
Loans Due to Related Parties [Member] | IFRS 16 | ||||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 104,811 | |||
Other changes: | ||||
Ending balance | 104,811 | 104,811 | ||
Lease liabilities [member] | ||||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 20,502 | |||
Changes from financing cash flows: | ||||
Capital element of lease rentals paid | (3,829) | (2,721) | ||
Interest element of lease rentals paid | (944) | (4,174) | ||
Total changes from financing cash flows | (4,773) | (6,895) | ||
Other changes: | ||||
New leases | 19,684 | 9,571 | ||
Interest on lease liabilities | 1,379 | 4,363 | ||
Termination of a lease contract | (4,265) | |||
Lease modification | (1,038) | 131,634 | ||
Leases prepayments | (524,996) | |||
Total other changes | 20,025 | (383,693) | ||
Ending balance | 35,754 | 20,502 | ||
Lease liabilities [member] | IFRS 16 | ||||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 411,090 | |||
Other changes: | ||||
Lease liabilities | 411,090 | 411,090 | ||
Ending balance | 411,090 | 411,090 | ||
Contributed capital | ||||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 253,034 | 253,034 | ||
Changes from financing cash flows: | ||||
Acquisition of affiliated entities under common control | (56,866) | |||
Total changes from financing cash flows | (56,866) | |||
Other changes: | ||||
Waving liabilities from non-controlling shareholders | 1,816 | |||
Total other changes | 1,816 | |||
Ending balance | 197,984 | 253,034 | 253,034 | 253,034 |
Contributed capital | IFRS 16 | ||||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 253,034 | |||
Other changes: | ||||
Ending balance | 253,034 | 253,034 | ||
Non Controlling interests | ||||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 10,797 | 37,439 | ||
Changes from financing cash flows: | ||||
Capital contribution | 2,450 | |||
Payments to NCI upon liquidation of subsidiaries | (3,713) | |||
Dividends paid to NCI | 21,145 | |||
Total changes from financing cash flows | (22,408) | |||
Other changes: | ||||
Net profit (loss) and total comprehensive income attributable to NCI | 3,681 | (4,234) | ||
Waving liabilities from non-controlling shareholders | 1,744 | |||
Total other changes | 5,425 | (4,234) | ||
Ending balance | 16,222 | 10,797 | 37,439 | 37,439 |
Non Controlling interests | IFRS 16 | ||||
Reconciliation of liabilities arising from financing activities | ||||
Beginning balance | 37,439 | |||
Other changes: | ||||
Ending balance | ¥ 37,439 | ¥ 37,439 | ||
Group denominated [member] | ||||
Cash and Equivalents [Line Items] | ||||
Cash and cash equivalents | ¥ 247,355 | ¥ 511,569 |
Capital and reserve - Share Cap
Capital and reserve - Share Capital and Share Premium (Details) - shares | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 |
Capital and reserve | |||
Number of shares authorised | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 |
Number of shares issued | 412,450,256 | 412,450,256 | 412,450,256 |
Number of shares outstanding | 412,450,256 | 412,450,256 | 412,450,256 |
Capital and reserve - Additiona
Capital and reserve - Additional Information (Details) ¥ / shares in Units, $ / shares in Units, ¥ in Thousands, $ in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||||||||||||||||||||
Dec. 15, 2017 | Mar. 12, 2012 CNY (¥) shares | Mar. 12, 2012 USD ($) shares | Sep. 30, 2015 CNY (¥) shares | Sep. 30, 2015 USD ($) shares | Jul. 31, 2015 CNY (¥) | Nov. 30, 2011 CNY (¥) | Jun. 30, 2021 CNY (¥) shares | Jun. 30, 2021 HKD ($) | Jun. 30, 2020 CNY (¥) shares | Jun. 30, 2019 CNY (¥) shares | Jun. 30, 2016 CNY (¥) | Jun. 30, 2012 shares | Jun. 30, 2011 CNY (¥) | Jun. 30, 2021 USD ($) $ / shares shares | Jun. 30, 2017 CNY (¥) | Dec. 15, 2016 shares | Jul. 31, 2015 $ / shares shares | Jul. 31, 2015 ¥ / shares shares | Dec. 31, 2014 shares | Nov. 30, 2014 shares | Apr. 30, 2012 CNY (¥) | Feb. 28, 2011 shares | Jul. 31, 2009 | |
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Number of shares authorised | shares | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 | ||||||||||||||||||||
Number of ordinary share in exchange of each other share | shares | 480,000 | 480,000 | 16 | 16 | ||||||||||||||||||||
Par value per share | $ / shares | $ 0.0001 | $ 0.0001 | ||||||||||||||||||||||
Number of instruments granted in share-based payment arrangement | 480,000 | 480,000 | ||||||||||||||||||||||
Value of instruments granted in share-based payment arrangement | ¥ 1,459 | $ 229 | ||||||||||||||||||||||
Proceeds from issuing shares | ¥ 122,369 | |||||||||||||||||||||||
Share issue related cost | ¥ 9,551 | |||||||||||||||||||||||
Par value of ordinary shares issued to public | ¥ / shares | ¥ 28 | |||||||||||||||||||||||
Net proceeds from issuing shares | ¥ 112,790 | |||||||||||||||||||||||
Contributed registered capital | ¥ 41,000 | ¥ 82,800 | ||||||||||||||||||||||
Consideration transferred, acquisition-date fair value | 56,866 | |||||||||||||||||||||||
Proceeds from contributions of non-controlling interests | ¥ 1,459 | 32,906 | ||||||||||||||||||||||
Charge to deduct capital | 8,094 | |||||||||||||||||||||||
Capital contribution | 197,984 | ¥ 253,034 | ||||||||||||||||||||||
Deduction from contributed capital arising from business combination under common control | ¥ 56,866 | |||||||||||||||||||||||
Description of annual appropriation for general reserve | general reserve requires annual appropriation 10% of after-tax profits at each year-end until the balance reaches 50% of the PRC company’s registered capital | general reserve requires annual appropriation 10% of after-tax profits at each year-end until the balance reaches 50% of the PRC company’s registered capital | ||||||||||||||||||||||
General reserve | ¥ 93,983 | 63,239 | ||||||||||||||||||||||
Education development reserve, percentage | 25% | 25% | ||||||||||||||||||||||
Education development reserve | ¥ 341,438 | 319,034 | ||||||||||||||||||||||
Dividend declared and paid | 0 | ¥ 0 | ¥ 0 | |||||||||||||||||||||
warrants [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Issue of equity in number | shares | 1,242,256 | |||||||||||||||||||||||
Number of other equity instruments exercised or vested in share-based payment arrangement | 1,242,256 | |||||||||||||||||||||||
American depositary shares [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Public offering price per share | $ / shares | $ 7 | |||||||||||||||||||||||
Issue of equity in number | shares | 2,858,000 | 2,858,000 | ||||||||||||||||||||||
American depositary shares [Member] | warrants [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Issue of equity in number | shares | 77,641 | |||||||||||||||||||||||
Number of other equity instruments exercised or vested in share-based payment arrangement | 77,641 | |||||||||||||||||||||||
Share capital | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Issue of equity in number | shares | 45,728,000 | 45,728,000 | ||||||||||||||||||||||
Non Controlling interests | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Consideration For Acquisition Equity Interest | 32,906 | |||||||||||||||||||||||
Hailiang HK [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Proceeds from contributions of non-controlling interests | 9 | $ 10 | ||||||||||||||||||||||
Zhenjiang Jianghe High School of Art [Member] | Non Controlling interests | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Waiving Liabilities | ¥ 1,816 | |||||||||||||||||||||||
Mr. Feng [member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Share deficit | ¥ 236 | |||||||||||||||||||||||
Net proceeds from issuing shares | ¥ 0 | |||||||||||||||||||||||
Capital contribution | 41,000 | |||||||||||||||||||||||
Deemed capital contribution | ¥ 15,000 | |||||||||||||||||||||||
Hailiang Education Investment Group Co Ltd [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Capital contribution | ¥ 10,000 | ¥ 139,980 | ||||||||||||||||||||||
Beize Group [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Percentage of contribution to registered capital | 0.10% | |||||||||||||||||||||||
Capital contribution | ¥ 139 | |||||||||||||||||||||||
Independent Appraiser [member] | Network 1 Financial Securities, Inc. [member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Fair Value of Adjustment of Warrants | ¥ 1,707 | |||||||||||||||||||||||
Maxida International Company Limited [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Number of shares authorised | shares | 365,000,000 | 365,000,000 | 1,000,000,000 | 365,000,000 | 360,000,000 | |||||||||||||||||||
Increase (decrease) in number of ordinary shares issued | shares | 5,000,000 | 5,000,000 | 18,864 | |||||||||||||||||||||
Proceeds from issue of ordinary shares | ¥ 18,867 | $ 3,000 | ||||||||||||||||||||||
Proportion of equity interest held by third party | 1.40% | 1.40% | ||||||||||||||||||||||
Foreign Language [member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Percentage of contribution to registered capital | 100% | 100% | ||||||||||||||||||||||
Tianma Experimental School [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Consideration transferred, acquisition-date fair value | 6,000 | |||||||||||||||||||||||
Percentage of voting equity interests acquired | 80% | |||||||||||||||||||||||
Financial assets recognised as of acquisition date | ¥ 4,116 | |||||||||||||||||||||||
Percentage of Noncontrolling Interests Acquired | 20% | |||||||||||||||||||||||
Consideration For Acquisition Equity Interest | $ | $ 110,000 | |||||||||||||||||||||||
Three Schools [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Percentage of contribution to registered capital | 100% | |||||||||||||||||||||||
Equity interest transferred , Cash Consideration | ¥ 139,800 | |||||||||||||||||||||||
Hailiang Experimental High School (Experimental High) [Member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Consideration transferred, acquisition-date fair value | ¥ 35,000 | |||||||||||||||||||||||
Financial assets recognised as of acquisition date | ¥ 28,790 | |||||||||||||||||||||||
Percentage of Noncontrolling Interests Acquired | 40% | |||||||||||||||||||||||
Hailiang Experimental High School (Experimental High) [Member] | Mr. Feng [member] | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Percentage of contribution to registered capital | 60% | 60% | ||||||||||||||||||||||
Feicheng Education Investment | ||||||||||||||||||||||||
Disclosure Of Capital and reserve [Line Items] | ||||||||||||||||||||||||
Capital contribution | ¥ 1,000 |
Non-controlling interests (Deta
Non-controlling interests (Details) - CNY (¥) ¥ in Thousands | 1 Months Ended | 12 Months Ended | |||
Sep. 30, 2015 | Nov. 30, 2011 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disclosure Of Non controlling Interest [Line Items] | |||||
Balance at June 30, 2019 | ¥ 10,797 | ||||
Capital contribution from NCI | ¥ 1,459 | ¥ 32,906 | |||
Net profit (loss) and total comprehensive income attributable to NCI | 3,681 | ¥ (4,234) | ¥ 22,359 | ||
Payments to NCI upon liquidation of subsidiaries | (3,713) | 0 | |||
Balance at June 30, 2020 | 16,222 | 10,797 | |||
Non Controlling interests | |||||
Disclosure Of Non controlling Interest [Line Items] | |||||
Balance at June 30, 2019 | 10,797 | 37,439 | |||
Capital contribution from NCI | 2,450 | ||||
Net profit (loss) and total comprehensive income attributable to NCI | 3,681 | (4,234) | |||
Dividends paid to NCI | (21,145) | ||||
Payments to NCI upon liquidation of subsidiaries | (3,713) | ||||
Waving liabilities from non-controlling shareholders | 1,744 | ||||
Balance at June 30, 2020 | 16,222 | 10,797 | 37,439 | ||
Non Controlling interests | Haibo Education [Member] | |||||
Disclosure Of Non controlling Interest [Line Items] | |||||
Balance at June 30, 2019 | 22,850 | ||||
Capital contribution from NCI | 0 | ||||
Net profit (loss) and total comprehensive income attributable to NCI | (3,478) | ||||
Dividends paid to NCI | (17,670) | ||||
Payments to NCI upon liquidation of subsidiaries | (1,702) | ||||
Balance at June 30, 2020 | 22,850 | ||||
Non Controlling interests | Haibo Logistic [Member] | |||||
Disclosure Of Non controlling Interest [Line Items] | |||||
Balance at June 30, 2019 | 6,165 | ||||
Capital contribution from NCI | 0 | ||||
Net profit (loss) and total comprehensive income attributable to NCI | (679) | ||||
Dividends paid to NCI | (3,475) | ||||
Payments to NCI upon liquidation of subsidiaries | (2,011) | ||||
Balance at June 30, 2020 | 6,165 | ||||
Non Controlling interests | Zhenjiang Jianghe High School of Art [Member] | |||||
Disclosure Of Non controlling Interest [Line Items] | |||||
Balance at June 30, 2019 | 8,397 | 8,424 | |||
Capital contribution from NCI | 0 | ||||
Net profit (loss) and total comprehensive income attributable to NCI | (1,343) | (27) | |||
Waving liabilities from non-controlling shareholders | 1,744 | ||||
Balance at June 30, 2020 | 8,798 | 8,397 | 8,424 | ||
Non Controlling interests | Juxian Technology [Member] | |||||
Disclosure Of Non controlling Interest [Line Items] | |||||
Balance at June 30, 2019 | 2,400 | 0 | |||
Capital contribution from NCI | 2,450 | ||||
Net profit (loss) and total comprehensive income attributable to NCI | 4,620 | (50) | |||
Balance at June 30, 2020 | 7,020 | 2,400 | 0 | ||
Non Controlling interests | Xiantao Logistics [Member] | |||||
Disclosure Of Non controlling Interest [Line Items] | |||||
Balance at June 30, 2019 | 0 | ||||
Capital contribution from NCI | ¥ 0 | ||||
Net profit (loss) and total comprehensive income attributable to NCI | 404 | ||||
Balance at June 30, 2020 | ¥ 404 | ¥ 0 |
Non-controlling interests - Sum
Non-controlling interests - Summarized financial information and additional information (Details) | 12 Months Ended |
Jun. 30, 2021 | |
Haibo Logistics and Haibo Education | |
Non-controlling interest Considered material | |
Proportion of ownership interests held by non-controlling interests | 44% |
Zhenjiang Jianghe High School of Art [Member] | |
Non-controlling interest Considered material | |
Proportion of ownership interests held by non-controlling interests | 49% |
Juxian Technology [Member] | |
Non-controlling interest Considered material | |
Proportion of ownership interests held by non-controlling interests | 49% |
Xiantao Hailiang Education Logistics Management Co., Ltd [Member] | |
Non-controlling interest Considered material | |
Proportion of ownership interests held by non-controlling interests | 10% |
Trade and other payables (Detai
Trade and other payables (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Jun. 30, 2020 |
Trade and other payables | ||
Trade payables | ¥ 22,821 | ¥ 18,808 |
Accrued payroll | 238,690 | 141,231 |
Other taxes payable | 13,532 | 5,688 |
Advances from students | 36,260 | 61,897 |
Deposits | 7,226 | 9,958 |
Others | 58,218 | 34,430 |
Trade and other payables due to third parties | 376,747 | 272,012 |
Loans due to related parties | 45,543 | 84,172 |
Amounts due to related parties | 89,439 | 72,537 |
Other payables due to related parties | 134,982 | 156,709 |
Total | ¥ 511,729 | ¥ 428,721 |
Financial risk management and_3
Financial risk management and fair values (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Jun. 30, 2020 |
Financial risk management and fair values | ||
Carrying amount, Trade and other payables due to third parties | ¥ 376,747 | ¥ 272,012 |
Contractual cash flow, Trade and other payables due to third parties | ¥ 376,747 | 272,012 |
Carrying amount, Other payables due to related parties | 156,709 | |
Contractual cash flow, Other payables due to related parties | ¥ 156,709 |
Financial risk management and_4
Financial risk management and fair values - Contractual Maturities of Financial Liabilities (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Carrying amount, Trade and other payables due to third parties | ¥ 376,747 | ¥ 272,012 |
Carrying amount, Trade and other payables due to third parties | 376,747 | 272,012 |
Carrying amount, Other payables due to related parties | 134,982 | 156,709 |
Contractual cash flow, Trade and other payables due to third parties | 376,747 | 272,012 |
Contractual cashflow, Other payables due to related parties | 134,982 | |
Lease liabilities | 35,754 | 20,502 |
Contractual cash flow, Lease liabilities | 44,563 | 27,356 |
1 year or less | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Carrying amount, Trade and other payables due to third parties | 376,747 | 272,012 |
Carrying amount, Other payables due to related parties | 156,709 | |
Contractual cashflow, Other payables due to related parties | 134,982 | |
Lease liabilities | 1,753 | |
Contractual cash flow, Lease liabilities | 6,801 | 2,687 |
1-2 years | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Lease liabilities | 2,623 | |
Contractual cash flow, Lease liabilities | 6,544 | 3,442 |
2-5 years | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Lease liabilities | 6,222 | |
Contractual cash flow, Lease liabilities | 13,786 | 7,999 |
more than 5 years | ||
Disclosure of maturity analysis for non-derivative financial liabilities [line items] | ||
Lease liabilities | 9,904 | |
Contractual cash flow, Lease liabilities | ¥ 17,432 | ¥ 13,228 |
Financial risk management and_5
Financial risk management and fair values - Additional Information (Details) ¥ in Thousands, $ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 CNY (¥) | Jun. 30, 2020 CNY (¥) | Jun. 30, 2021 HKD ($) | |
Financial risk management and fair values [Line Items] | |||
Cash held at a related party finance entity | ¥ 200,023 | ¥ 502,289 | |
Term deposits held by related party | ¥ 1,898,242 | 921,601 | |
Percentage of consolidated current assets | 64% | 64% | |
Borrowings, interest rate basis | 10 | ||
Transfers out of Level 1 into Level 2 of fair value hierarchy, assets held at end of reporting period | ¥ 0 | 0 | |
Transfers out of Level 2 into Level 1 of fair value hierarchy, assets held at end of reporting period | 0 | 0 | |
Transfers into Level 3 of fair value hierarchy, assets | 0 | 0 | |
Transfers out of Level 3 of fair value hierarchy, assets | 0 | 0 | |
Transfers out of Level 1 into Level 2 of fair value hierarchy, liabilities held at end of reporting period | 0 | 0 | |
Transfers out of Level 2 into Level 1 of fair value hierarchy, liabilities held at end of reporting period | 0 | 0 | |
Transfers into Level 3 of fair value hierarchy, liabilities | 0 | 0 | |
Transfers out of Level 3 of fair value hierarchy, liabilities | ¥ 0 | ¥ 0 | |
Minimum [member] | |||
Financial risk management and fair values [Line Items] | |||
Interest rate on bank deposits | 0.30% | 0.30% | |
Maximum [member] | |||
Financial risk management and fair values [Line Items] | |||
Interest rate on bank deposits | 3.85% | 2.10% | |
China [member] | |||
Financial risk management and fair values [Line Items] | |||
Bank Deposits, Government Authority Insured Amount | ¥ 500 | ||
Hong Kong [member] | |||
Financial risk management and fair values [Line Items] | |||
Bank Deposits, Government Authority Insured Amount | $ | $ 500 |
Acquisition of affiliated ent_3
Acquisition of affiliated entities (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Apr. 30, 2021 | Jul. 15, 2020 |
Disclosure of detailed information about business combination [line items] | |||
Cash consideration | ¥ 56,866 | ||
Hailiang Investment [Member] | |||
Disclosure of detailed information about business combination [line items] | |||
Cash consideration | ¥ 56,866 | ||
Hailiang Investment [Member] | Jinhua Hailiang Foreign Language School | |||
Disclosure of detailed information about business combination [line items] | |||
Percentage of voting equity interests acquired | 100% | 100% | |
Cash consideration | ¥ 34,000 | ¥ 34,000 | |
Hailiang Investment [Member] | Feicheng Education Investment | |||
Disclosure of detailed information about business combination [line items] | |||
Percentage of voting equity interests acquired | 100% | 100% | |
Cash consideration | ¥ 22,866 | ¥ 22,866 |
Acquisition of affiliated ent_4
Acquisition of affiliated entities - Assets and liabilities (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Jun. 30, 2020 |
Consideration transferred | ||
Total consideration transferred | ¥ 56,866 | |
Jinhua Hailiang Foreign Language School and Feicheng Education Investment [Member] | ||
Consideration transferred | ||
Cash consideration paid to Hailiang Investment | 56,866 | |
Total consideration transferred | 56,866 | |
Hailiang Investment [Member] | ||
Consideration transferred | ||
Total consideration transferred | ¥ 56,866 | |
Hailiang Investment [Member] | Jinhua Hailiang Foreign Language School and Feicheng Education Investment [Member] | ||
Identifiable assets acquired and liabilities assumed as of the date of acquisition | ||
Property and equipment, net | ¥ 31,312 | |
Contract costs | 395 | |
Prepayments to third party suppliers | 67 | |
Non-current assets | 31,774 | |
Other receivables due from related parties | 15 | |
Other current assets | 705 | |
Term deposits held at a related party finance entity | 5,000 | |
Cash and cash equivalents | 13,425 | |
Current assets | 19,145 | |
Total assets | 50,919 | |
Trade and other payables due to third parties | 7,222 | |
Other payables due to related parties | 20,715 | |
Contract liabilities | 21,104 | |
Current liabilities | 49,041 | |
Net assets acquired | ¥ 1,878 |
Acquisition of affiliated ent_5
Acquisition of affiliated entities - Profit and Loss , Cash flow (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | |
Disclosure of detailed information about business combination [line items] | ||||
Revenue | ¥ 1,375,790 | ¥ 1,027,373 | ¥ 1,022,795 | |
Cost of revenue | (728,586) | (580,260) | (613,780) | |
Gross (loss)/profit | 647,204 | 447,113 | 409,015 | |
Other income, net | 46,630 | 67,070 | 20,927 | |
Selling expenses | (29,737) | (13,944) | (11,796) | |
Administrative expenses | (51,321) | (45,118) | (36,495) | |
Operating profit/(loss) | 612,776 | 455,121 | 381,651 | |
Finance income | 35,840 | 16,037 | 16,596 | |
Finance costs | (1,151) | (3,435) | ||
Net finance income | 34,689 | 12,602 | 16,596 | |
Profit/(loss) before tax | 647,465 | 467,723 | 398,247 | |
Net (loss)/profit | ¥ 238,773 | 370,004 | ¥ 312,592 | 312,592 |
Hailiang Investment [Member] | Jinhua Hailiang Foreign Language School and Feicheng Education Investment [Member] | ||||
Disclosure of detailed information about business combination [line items] | ||||
Revenue | 38,951 | 17,463 | ||
Cost of revenue | (34,003) | (18,069) | ||
Gross (loss)/profit | 4,948 | (606) | ||
Other income, net | 864 | 476 | ||
Selling expenses | (1,090) | (800) | ||
Administrative expenses | (915) | (2,068) | ||
Operating profit/(loss) | 3,807 | (2,998) | ||
Finance income | 37 | 19 | ||
Finance costs | (440) | (208) | ||
Net finance income | (403) | (189) | ||
Profit/(loss) before tax | 3,404 | (3,187) | ||
Net (loss)/profit | 3,404 | (3,187) | ||
Net cash generated from operating activities | 13,357 | 21,845 | ||
Net cash generated from investing activities | (21,786) | (19,677) | ||
Net cash used in financing activities | ¥ 11,000 | ¥ 6,000 |
Related party transactions (Det
Related party transactions (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Related party transactions | |||
Repayment of loans to a related party | ¥ (41,981) | ¥ (34,079) | ¥ (4,000) |
Repayment of loans from a related party | 21,649 | 11,850 | 12,412 |
Loans borrowed from a related party | 4,000 | 13,000 | 9,000 |
Interest on loans borrowed from a related party | 205 | 440 | 208 |
Repayment of on loans borrowed from a related party | 853 | 0 | 0 |
Interest income from deposits placed with a related party finance entity | 42,820 | 24,835 | 24,331 |
Net (withdrawals)/ deposits of cash at a related party finance entity | (302,266) | 267,937 | (509,067) |
Term deposits placed with a related party finance entity | 4,180,615 | 3,816,762 | 4,709,697 |
Maturity of term deposits placed with a related party finance entity | 3,233,296 | 4,282,255 | 3,526,603 |
Rental expenses | 0 | 33,814 | |
Purchase of Right-of-use assets | 3,509 | 529,406 | 0 |
Interest on lease liabilities | 227 | 3,624 | 0 |
Payments of lease liabilities | 976 | 529,377 | 0 |
Payments of expenses by the Group on behalf of related parties | 14,748 | 10,253 | 6,750 |
Payments of expenses by related parties on behalf of the Group | 4,852 | 2,958 | 2,731 |
Collection by the Group on behalf of related parties | 61,764 | 34,936 | 46,922 |
Purchase of leasehold improvement from a related party | 68,070 | 118,718 | 38,520 |
Purchase of food products from related parties | 111,835 | 75,654 | 70,045 |
Operation and management service provided to related parties | 17,822 | 8,045 | 30,081 |
Other service and product provided to related parties | 4,641 | 3,181 | 3,165 |
Service provided by related parties | 23,573 | 20,364 | 23,669 |
Acquisition of subsidiaries | 56,866 | 200 | 0 |
Dividends paid to a non-controlling shareholder of subsidiaries | 21,145 | 7,482 | |
Payments to a non-controlling shareholder upon the liquidation of subsidiaries | 3,713 | 0 | |
Capital contribution | 3,560 | 0 | ¥ 15,000 |
Other receivables due from related parties | 53,868 | 77,442 | |
Cash held at a related party finance entity | 200,023 | 502,289 | |
Term deposits placed with a related party finance entity | 1,898,242 | 921,601 | |
Other payables due to related parties | 134,982 | 156,709 | |
Lease liabilities | 5,554 | 3,628 | |
- Current portion | 1,504 | 1,338 | |
- Non-current portion | ¥ 4,050 | ¥ 2,290 |
Related party transactions - Ed
Related party transactions - Education and management service provided to related parties (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disclosure of related party [Line Items] | |||
Total | ¥ 17,822 | ¥ 8,045 | ¥ 30,081 |
Operation And Management Service Provided To Managed Schools [Member] | |||
Disclosure of related party [Line Items] | |||
Revenue from rendering of services, related party transactions | 11,452 | 4,622 | 25,203 |
Ming Kang Hui Supermarket Service Fee [Member] | |||
Disclosure of related party [Line Items] | |||
Revenue from rendering of services, related party transactions | ¥ 6,370 | ¥ 3,423 | ¥ 4,878 |
Related party transactions - Tr
Related party transactions - Transactions with key management personnel (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Related party transactions | |||
Short-term benefits | ¥ 5,861 | ¥ 5,549 | ¥ 5,713 |
Related party transactions - Ad
Related party transactions - Additional Information (Details) ¥ in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||||||||||||||||
Sep. 06, 2019 CNY (¥) | Dec. 05, 2017 CNY (¥) | Dec. 05, 2017 USD ($) | Oct. 31, 2016 CNY (¥) | Oct. 31, 2016 USD ($) | Dec. 31, 2019 CNY (¥) | Sep. 30, 2019 CNY (¥) | Nov. 30, 2018 CNY (¥) | Jun. 30, 2021 CNY (¥) item | Jun. 30, 2021 USD ($) item | Jun. 30, 2020 CNY (¥) | Jun. 30, 2020 USD ($) | Jun. 30, 2019 CNY (¥) | Jun. 30, 2019 USD ($) | Jun. 30, 2021 USD ($) | Apr. 30, 2021 CNY (¥) | Jul. 15, 2020 CNY (¥) | Jun. 30, 2020 USD ($) | May 31, 2020 CNY (¥) | Jul. 31, 2019 CNY (¥) | |
Disclosure of related party [Line Items] | ||||||||||||||||||||
Cash payments for loan made to related party | ¥ (41,981) | ¥ (34,079) | ¥ (4,000) | |||||||||||||||||
Cash loans from related parties | 4,000 | 13,000 | 9,000 | |||||||||||||||||
Rental expenses | 0 | 33,814 | ||||||||||||||||||
Cash held at a related party finance entity | 200,023 | 502,289 | ||||||||||||||||||
Net deposits/(withdrawals) of cash at a related party finance entity | (302,266) | 267,937 | (509,067) | |||||||||||||||||
Cash payments for term deposits placed with related party finance entity | 4,180,615 | 3,816,762 | 4,709,697 | |||||||||||||||||
Cash receipts of maturity of term deposits placed with related party finance entity | 3,233,296 | 4,282,255 | 3,526,603 | |||||||||||||||||
Term deposits held by related party | 1,898,242 | 921,601 | ||||||||||||||||||
Interest income on deposits | 42,820 | 24,835 | 24,331 | |||||||||||||||||
Interest income receivable from term deposit | 29,322 | 4,478 | ||||||||||||||||||
Interest on lease liabilities | 227 | 3,624 | 0 | |||||||||||||||||
Lease liabilities | 5,554 | 3,628 | ||||||||||||||||||
Staff, Start-up Cost and Other Miscellaneous Expense Paid on Behalf of Related Party | 14,748 | 10,253 | 6,750 | |||||||||||||||||
Repayment of expenses paid by a related party on behalf of the Group | 9,925 | 9,180 | 6,656 | |||||||||||||||||
Staff, Start-up Cost and Other Miscellaneous Expense Paid By Related Party Transactions On Behalf Of Affiliates | 4,852 | 2,958 | 2,731 | |||||||||||||||||
Amount Payable For Expenses paid By Related Party On Behalf Of Affiliates | 4,807 | 2,510 | 4,663 | |||||||||||||||||
Amounts payable, related party transactions | ¥ 58,405 | 33,011 | 47,858 | |||||||||||||||||
Number of schools | item | 15 | 15 | ||||||||||||||||||
Payments to a non-controlling shareholder upon the liquidation of subsidiaries | 3,713 | 0 | ||||||||||||||||||
Cash consideration | ¥ 56,866 | |||||||||||||||||||
Capital Contribution, Related Party Transactions | 3,560 | 0 | 15,000 | |||||||||||||||||
Nanchang Baishu [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Payments to a non-controlling shareholder upon the liquidation of subsidiaries | ¥ 3,713 | |||||||||||||||||||
Haibo Logistics [Member] | Nanchang Baishu [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Dividends Paid to Related Party Transactions | ¥ 3,475 | ¥ 1,407 | ||||||||||||||||||
Zhuji Tianma Boya Training Center Co., Ltd [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Ownership interest acquired | 100% | |||||||||||||||||||
Cash consideration | ¥ 100 | |||||||||||||||||||
Zhuji Yuesheng Management Consulting Co., Ltd [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Ownership interest acquired | 100% | |||||||||||||||||||
Cash consideration | ¥ 100 | |||||||||||||||||||
Ming Kang Hui [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Amount Received By Affiliates on Behalf Of Related Party Transactions | 61,764 | 34,936 | 46,922 | |||||||||||||||||
Cash Payments For Purchase Of Healthy Food From Related Parties | 111,835 | |||||||||||||||||||
Hailiang Education Investment Group Co Ltd [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Cash loan Due to related party outstanding | ¥ 45,543 | 67,524 | ||||||||||||||||||
Number of schools | item | 17 | 17 | ||||||||||||||||||
Zhenjiang Jianghe High School of Art [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Capital Contribution, Related Party Transactions | ¥ 3,560 | |||||||||||||||||||
Operation And Management Service Provided To Managed Schools [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Revenue from rendering of services, related party transactions | 11,452 | 4,622 | 25,203 | |||||||||||||||||
Heng Zhong Da Leasehold Improvement Service [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Amounts payable, related party transactions | 41,554 | 45,293 | ||||||||||||||||||
Services received, related party transactions | 68,070 | 118,718 | 38,520 | |||||||||||||||||
Mr.Feng [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Amounts payable, related party transactions | 22,262 | 11,977 | ||||||||||||||||||
Cash Payments For Purchase Of Healthy Food From Related Parties | 70,045 | |||||||||||||||||||
Capital Contribution, Related Party Transactions | 15,000 | |||||||||||||||||||
Mr. Honggen Min [Member] | Haibo Logistics [Member] | Nanchang Baishu [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Rental expenses | 1,580 | |||||||||||||||||||
IT Services, Students Physical Examination Services, Travel Services and Other Service [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Amounts payable, related party transactions | 15,021 | 9,160 | ||||||||||||||||||
Services received, related party transactions | 23,573 | 20,364 | 23,669 | |||||||||||||||||
Ming Kang Hui Ecological Agriculture Group Co., Ltd. and Zhuji Hailiang Food Co., Ltd | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Cash Payments For Purchase Of Healthy Food From Related Parties | 75,654 | |||||||||||||||||||
Ming Kang Hui Supermarket Service Fee [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Revenue from rendering of services, related party transactions | 6,370 | 3,423 | 4,878 | |||||||||||||||||
Hong Kong Leonit Limited [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Cash payments for loan made to related party | ¥ 98,229 | $ 14,500 | 21,981 | 32,079 | ||||||||||||||||
Cash loans from related parties | ¥ 7,609 | $ 1,150 | ¥ 99,603 | |||||||||||||||||
Loan offset against the USD loan due | $ | $ 1,150 | |||||||||||||||||||
Cash receipts from repayment of advances and loans made to related parties | 21,649 | $ 3,200 | 11,850 | $ 1,700 | 12,412 | $ 1,820 | ||||||||||||||
Cash loan Due from related party outstanding | 42,830 | 69,591 | $ 6,630 | $ 9,830 | ||||||||||||||||
Hailiang Finance [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Cash held at a related party finance entity | 200,023 | 502,289 | ||||||||||||||||||
Net deposits/(withdrawals) of cash at a related party finance entity | 302,266 | 267,937 | 509,067 | |||||||||||||||||
Cash payments for term deposits placed with related party finance entity | 4,180,615 | 3,816,762 | 4,709,697 | |||||||||||||||||
Cash receipts of maturity of term deposits placed with related party finance entity | 3,233,296 | 4,282,255 | ¥ 3,526,603 | |||||||||||||||||
Term deposits held by related party | 1,898,242 | ¥ 921,601 | ||||||||||||||||||
Hailiang Finance [Member] | Minimum [member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Term deposit maturity period | 3 months | 3 months | 3 months | 3 months | ||||||||||||||||
Haibo Education [Member] | Nanchang Baishu [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Dividends Paid to Related Party Transactions | ¥ 17,670 | ¥ 6,075 | ||||||||||||||||||
Hailiang Investment [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Purchase of right-of-use assets | ¥ 524,996 | 3,509 | ¥ 4,410 | |||||||||||||||||
Interest on lease liabilities | 3,624 | |||||||||||||||||||
Lease liabilities | 529,377 | |||||||||||||||||||
Lease liabilities, unsettled balance | 5,554 | 3,628 | ||||||||||||||||||
Cash consideration | ¥ 56,866 | |||||||||||||||||||
Hailiang Investment [Member] | Jinhua Hailiang Foreign Language School | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Ownership interest acquired | 100% | 100% | 100% | |||||||||||||||||
Cash consideration | ¥ 34,000 | ¥ 34,000 | ||||||||||||||||||
Hailiang Investment [Member] | Feicheng Education Investment | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Ownership interest acquired | 100% | 100% | 100% | |||||||||||||||||
Cash consideration | ¥ 22,866 | ¥ 22,866 | ||||||||||||||||||
Hailiang Investment [Member] | Jinhua Hailiang Foreign Language School and Feicheng Hailiang Foreign Language School | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Cash payments for loan made to related party | 20,000 | 2,000 | ¥ 4,000 | |||||||||||||||||
Cash loans from related parties | ¥ 4,000 | ¥ 13,000 | ¥ 9,000 | |||||||||||||||||
Borrowings, interest rate | 5.145% | 5.145% | 5.145% | 5.145% | 5.145% | |||||||||||||||
Hailiang Investment [Member] | Mr.Feng [Member] | Zhuji Hailiang Hospital [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Rental expenses | ¥ 31,504 | |||||||||||||||||||
Hailiang Real estate [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Interest on lease liabilities | ¥ 227 | |||||||||||||||||||
Lease liabilities | ¥ 976 | |||||||||||||||||||
Hailiang Real estate [Member] | Mr.Feng [Member] | Zhuji Hailiang Hospital [Member] | ||||||||||||||||||||
Disclosure of related party [Line Items] | ||||||||||||||||||||
Rental expenses | ¥ 730 |
Commitments and contingencies -
Commitments and contingencies - Capital commitments (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Jun. 30, 2020 |
Leasehold improvements | ||
Contracted, but not provided for: | ||
Contracted, but not provided for: | ¥ 23,495 | ¥ 47,813 |
Furniture, fixtures and other equipment | ||
Contracted, but not provided for: | ||
Contracted, but not provided for: | ¥ 4,143 | ¥ 2,826 |
Subsequent events (Details)
Subsequent events (Details) | 12 Months Ended | |
Sep. 01, 2021 | Jun. 30, 2021 | |
Hangzhou Hailiang Education Management Co., Ltd [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2018 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Zhejiang Zhuji Tianma Experimental School (?Tianma Experimental?) | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 1995 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Zhejiang Zhuji Hailiang Primary School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2016 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Zhejiang Zhuji Hailiang Junior Middle School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2016 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Lanzhou Hailiang Education Consulting Co., Ltd. [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Gansu, China, 2019 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Lanzhou Hailiang Experimental School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Gansu, China, 2020 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Wuhu Hailiang Education Management Co., Ltd. [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Anhui, China, 2020 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Wuhu Hailiang Experimental School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Anhui, China, 2020 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Jinhua Hailiang Education Technology Co., Ltd. [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Wenzhou Hailiang Juxian Education Technology Co., Ltd. (Juxian Technology) [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Hailiang Overseas Chinese School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Jinhua Hailiang Foreign Language School | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2018 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Ninghai Hailiang Education Management Co., Ltd [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Xianghu Future School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Feicheng Education Investment | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Shandong, China, 2018 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Feicheng Hailiang Foreign Language School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Shandong, China, 2018 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Hangzhou Hailiang Education Management Co., Ltd [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2018 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Subsequent event [member] | Zhejiang Zhuji Hailiang Foreign Language School (?Foreign Language?) | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 1995 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Zhejiang Zhuji Tianma Experimental School (?Tianma Experimental?) | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 1995 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Zhejiang Zhuji Hailiang Primary School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2016 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Zhejiang Zhuji Hailiang Junior Middle School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2016 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Lanzhou Hailiang Education Consulting Co., Ltd. [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Gansu, China, 2019 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Subsequent event [member] | Lanzhou Hailiang Experimental School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Gansu, China, 2020 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Wuhu Hailiang Education Management Co., Ltd. [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Anhui, China, 2020 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Subsequent event [member] | Wuhu Hailiang Experimental School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Anhui, China, 2020 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Jinhua Hailiang Education Technology Co., Ltd. [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Subsequent event [member] | Wenzhou Hailiang Juxian Education Technology Co., Ltd. (Juxian Technology) [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Subsequent event [member] | Hailiang Overseas Chinese School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2020 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Jinhua Hailiang Foreign Language School | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2018 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Ninghai Hailiang Education Management Co., Ltd [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Subsequent event [member] | Xianghu Future School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Zhejiang, China, 2021 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services | |
Subsequent event [member] | Feicheng Education Investment | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Shandong, China, 2018 | |
Description of nature of entity's operations and principal activities | Investment holding | |
Subsequent event [member] | Feicheng Hailiang Foreign Language School [Member] | ||
Disclosure of reporting entity and organization [Line Items] | ||
Principal place of business of associate and year of establishment | Shandong, China, 2018 | |
Description of nature of entity's operations and principal activities | K-9 compulsory curriculum education services |
Subsequent events - Consolidate
Subsequent events - Consolidated financial position of these affiliated entities (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Jun. 30, 2020 |
Disclosure of analysis of single amount of discontinued operations [line items] | ||
Property and equipment, net | ¥ 465,734 | ¥ 659,851 |
Intangible assets and goodwill, net | 18,300 | 97,806 |
Right of use assets | 502,813 | 517,609 |
Contract costs | 12,438 | 11,161 |
Non-current assets | 2,421,083 | 1,287,137 |
Other receivables due from related parties | 53,868 | 77,442 |
Other current assets | 37,785 | 36,516 |
Term deposits held at a related party finance entity | 477,303 | 921,601 |
Cash and cash equivalents | 279,420 | 516,446 |
Current assets | 849,700 | 1,552,329 |
Total assets | 3,270,783 | 2,839,466 |
Lease liabilities | 30,521 | 18,749 |
Non-current liabilities | 35,389 | 26,515 |
Trade and other payables due to third parties | 376,747 | 272,012 |
Other payables due to related parties | 134,982 | 156,709 |
Income tax payable | 56,707 | 48,857 |
Contract liabilities | 444,865 | 295,979 |
Lease liabilities | 5,233 | 1,753 |
Current liabilities | 1,018,534 | 775,310 |
Total liabilities | 1,053,923 | 801,825 |
Discontinued operations. | ||
Disclosure of analysis of single amount of discontinued operations [line items] | ||
Property and equipment, net | 268,479 | 460,245 |
Intangible assets and goodwill, net | 78,325 | |
Right of use assets | 97,053 | 103,143 |
Contract costs | 10,021 | 9,826 |
Prepayments to third party suppliers | 126 | |
Non-current assets | 375,553 | 651,665 |
Other receivables due from related parties | 44,206 | 43,065 |
Other current assets | 17,618 | 11,286 |
Term deposits held at a related party finance entity | 362,265 | 385,000 |
Cash and cash equivalents | 118,344 | 123,061 |
Current assets | 542,433 | 562,412 |
Total assets | 917,986 | 1,214,077 |
Lease liabilities | 4,325 | 4,881 |
Non-current liabilities | 4,325 | 4,881 |
Trade and other payables due to third parties | 162,410 | 117,426 |
Other payables due to related parties | 444,635 | 423,430 |
Income tax payable | 992 | |
Contract liabilities | 290,860 | 235,399 |
Lease liabilities | 159 | 133 |
Current liabilities | 899,056 | 776,388 |
Total liabilities | 903,381 | 781,269 |
Net assets | 14,605 | 432,808 |
Net assets attributable to the Companys shareholders | 7,585 | 430,408 |
Non-controlling interests | ¥ 7,020 | ¥ 2,400 |
Subsequent events - Additional
Subsequent events - Additional Information (Details) - CNY (¥) | 12 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | Oct. 09, 2021 | |
Subsequent Events [Line Items] | ||||
Profit (loss) from discontinued operations | ¥ 243,337,000 | ¥ (24,205,000) | ¥ (23,058,000) | |
Movement of net assets due to elimination of intra group transactions | ¥ 418,203,000 | |||
Subsequent event [member] | Mingyou Future | ||||
Subsequent Events [Line Items] | ||||
Consideration for disposal | ¥ 6,534 | |||
Maximum total revenue derived from disposed business (as a percent) | 1% | 1% | 1% |
Parent company financial stat_3
Parent company financial statement - Comprehensive Loss (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | |
Disclosure of transactions between related parties [line items] | ||||
Cost of revenue | ¥ (728,586) | ¥ (580,260) | ¥ (613,780) | |
Gross loss | 647,204 | 447,113 | 409,015 | |
Operating loss | 612,776 | 455,121 | 381,651 | |
Net finance expenses | (1,151) | (3,435) | ||
Profit/(loss) before tax | 647,465 | 467,723 | 398,247 | |
Loss | 238,773 | 370,004 | ¥ 312,592 | 312,592 |
Items that will not be reclassified to profit or loss | ||||
Total comprehensive loss | 232,525 | 372,330 | ¥ 315,902 | 315,902 |
Parent [Member] | ||||
Disclosure of transactions between related parties [line items] | ||||
Cost of revenue | 0 | 0 | 0 | |
Gross loss | 0 | 0 | 0 | |
Administrative expenses | (5,057) | (10,060) | (8,176) | |
Operating loss | (5,057) | (10,060) | (8,176) | |
Net finance expenses | 0 | 0 | 0 | |
Profit/(loss) before tax | (5,057) | (10,060) | (8,176) | |
Loss | (5,057) | (10,060) | (8,176) | |
Items that will not be reclassified to profit or loss | ||||
Exchange differences on transaction of financial statements of the Company | (7,818) | 2,966 | 4,086 | |
Total comprehensive loss | ¥ (12,875) | ¥ (7,094) | ¥ (4,090) |
Parent company financial stat_4
Parent company financial statement - Financial Position (Details) - CNY (¥) ¥ in Thousands | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 |
Assets | ||||
Non-current assets | ¥ 2,421,083 | ¥ 1,287,137 | ||
Other current assets | 37,785 | 36,516 | ||
Cash | 279,420 | 516,446 | ||
Current assets | 849,700 | 1,552,329 | ||
Total assets | 3,270,783 | 2,839,466 | ||
Shareholders' equity | ||||
Share capital | 268 | 268 | ||
Share premium | 134,583 | 134,583 | ||
Accumulated losses | 1,424,850 | 1,242,906 | ||
Total shareholders' equity | 2,216,860 | 2,037,641 | ¥ 1,687,719 | ¥ 1,334,813 |
Liabilities | ||||
Other payables due to related parties | 89,439 | 72,537 | ||
Current liabilities | 1,018,534 | 775,310 | ||
Total liabilities | 1,053,923 | 801,825 | ||
Total shareholders' equity and liabilities | 3,270,783 | 2,839,466 | ||
Parent [Member] | ||||
Assets | ||||
Other receivables due from subsidiaries | 5,077 | 27,237 | ||
Long-term investment | 10,091 | 0 | ||
Non-current assets | 15,168 | 27,237 | ||
Other receivables due from related parties | 42,830 | 69,591 | ||
Other current assets | 1,233 | 225 | ||
Cash | 23,244 | 891 | ¥ 390 | ¥ 526 |
Current assets | 67,307 | 70,707 | ||
Total assets | 82,475 | 97,944 | ||
Shareholders' equity | ||||
Share capital | 268 | 268 | ||
Share premium | 134,583 | 134,583 | ||
Translation reserve | 8,343 | 16,161 | ||
Accumulated losses | (60,796) | (55,739) | ||
Total shareholders' equity | 82,398 | 95,273 | ||
Liabilities | ||||
Other payables due to third parties | 75 | 2,669 | ||
Other payables due to related parties | 2 | 2 | ||
Current liabilities | 77 | 2,671 | ||
Total liabilities | 77 | 2,671 | ||
Total shareholders' equity and liabilities | ¥ 82,475 | ¥ 97,944 |
Parent company financial stat_5
Parent company financial statement - Cash Flow (Details) - CNY (¥) ¥ in Thousands | 12 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | |
Cash flows from operating activities | ||||
Loss for the year | ¥ 238,773 | ¥ 370,004 | ¥ 312,592 | ¥ 312,592 |
Cash flows from financing activities | ||||
Cash and cash equivalents at beginning of the year | 516,446 | |||
Cash and cash equivalents at the end of the year | 279,420 | 516,446 | ||
Parent [Member] | ||||
Cash flows from operating activities | ||||
Loss for the year | (5,057) | (10,060) | (8,176) | |
Adjustments for: | ||||
Change in other payables due to third parties | (2,594) | 389 | 887 | |
Changes in other current assets | (1,008) | (225) | 0 | |
Change in other receivable due from subsidiaries | 160 | (1,528) | (4,664) | |
Change in other receivable due from related parties | 0 | 0 | (201) | |
Net cash used in operating activities | (8,499) | (11,424) | (12,154) | |
Cash flows from investing activities | ||||
Repayment of loans from a related party | 21,649 | 11,850 | 12,412 | |
Investment in a subsidiary | (10,091) | 0 | 0 | |
Net cash generated from investing activities | 11,558 | 11,850 | 12,412 | |
Cash flows from financing activities | ||||
Loan borrowed from a subsidiary | 22,000 | 0 | 0 | |
Net cash from financing activities | 22,000 | 0 | 0 | |
Effect of movements in exchange rates on cash | (2,706) | 75 | (394) | |
Net (decrease) / increase in cash | 22,353 | 501 | (136) | |
Cash and cash equivalents at beginning of the year | 891 | 390 | 526 | |
Cash and cash equivalents at the end of the year | ¥ 23,244 | ¥ 891 | ¥ 390 | ¥ 390 |