On March 28, 2018, Elite Education was listed on the New York Stock Exchange (NYSE: ONE), becoming the 13th education stock in China. Based on the issue price of $11 per share, Elite Education has a market value of $1.79 billion.
Established in 2008, Elite Education started with K12 high-end tutoring, and has since expanded into the international education and quality education industry chain. At present, it has formed three business segments: high-end extracurricular tutoring, high-end preschool education, and international education, with revenue reaching 2.1 billion in fiscal year 2017. Yuan. With the listing of Elite Education on the New York Stock Exchange, the domestic K12 education industry is bound to break the previous pattern of "double kings" in the education and training industry by New Oriental and TAL, and usher in the three-legged situation of TON.
The next decade of elite education
Compared with New Oriental and TAL, Elite Education entered the market late. As we all know, Zhang Xi, founder of Elite Education, Yu Minhong, founder of New Oriental, and Zhang Bangxin, founder of TAL, all graduated from Peking University. But what is different from New Oriental and TAL is that Elite Education has clarified the positioning of high-end K12 extracurricular training since its establishment in 2008. As a "double talent" of Peking University and Harvard, the founder Zhang Xi summed up his own study experience and integrated it into the "Harvard case teaching method", and put forward the concept of "learning ability", which has become the core competitiveness of elite education.
On April 10th, at the Elite Education Strategy Conference and the New York Stock Exchange Listing Appreciation Meeting held on April 10, Zhang Xi made an outlook and plan for the next decade of Elite Education. He proposed that the next ten years will be a golden decade for the development of the education industry, and Elite Education will take advantage of the opportunity of listing to become the world's largest and most respected high-end education and training group. In the future development, Elite Education will promote the group development of the company with the three strategic development cores of improving customer satisfaction, realizing profitable growth and diversifying operations.
Elite Education Ecological Chain
Regarding the current business line of Elite Education, Zhang Xi also made a detailed introduction. Elite Education currently has domestic higher education business group, early childhood business group, international education business group, academic education business group, online business group and B2B/cloud computing business group. According to Zhang Xi, in addition to the expansion of business groups, Elite Education will also upgrade existing business lines:
In terms of high-end K12 extracurricular tutoring, Elite 1v8 group classes and classes with less than 25 students will be released this summer, complementing the existing Elite Education personalized and elite classes;
Zhihui School changed its name to Elite Zhihui School, and developed from mathematics to four subjects: mathematics, Chinese, programming and science;
In terms of international education, Elite Education has launched Elite International English, focusing on serving students and families with international curriculum needs and overseas study plans. He also emphasized that the acquired children's English training program Little Earth will grow from 18 to 100 within 3 years.
In terms of online education, three online business brands, Youshi English, Elite Zhihui Online and Elite Jiabo, have been formed, and the online business section of Elite Education has been formed by investing in Yimi Tutoring, Jiayou Xueba, Beibeibang, etc.;
Homeopathically launched an online e-commerce platform to meet the real-time personalized teaching needs of students aged 3-18;
It will also create super IP around the two-dimensional characters Xueba Zhang and Wisdom Rabbit to make users' perception of the brand more vivid.
Through a series of business layouts and investment mergers and acquisitions, Elite Education has formed K12 education (Private School, Home Learning World, Mushroom Peiyou, Feichang Memory), online education (Yimi Tutoring, Jiayou Xueba, Beibei Gang), A multi-educational ecological chain of quality education (off-campus treasure, Tongcheng education, Hanxiang calligraphy education, Aishang Taekwondo).
At the press conference, Zhang Xi also explained the layout of Elite Education after listing. He said that Elite Education will make full efforts in the following four aspects in the future:
National layout to increase market penetration and share;
Continue to invest more in new technologies, teachers and education;
Integrate regional K12 brands through mergers and acquisitions; increase investment in Internet AI education, quality education and overseas education assets and other measures to continuously improve the education ecological chain.
TON is a tripod
As the education industry covers the widest range of age groups and population, K12 has gradually become a must for major education companies. Today, New Oriental, which mainly focuses on the overseas language training business, has extended its tentacles to K12 business, and TAL has gradually extended its business to international education, study abroad, etc. Elite Education, which has been deeply engaged in K12 high-end extracurricular training, has expanded its business by investing in the international education market and realized the upgrade of a comprehensive and diversified education group.
In the field of "AI + education", New Oriental has written "Using AI and deep learning to further improve the efficiency and standardization of education" in the New Year's vision as early as the beginning of the year, and plans to invest 15% in technology + education, family education, etc. million to further promote the upgrading of education and the development of educational technology. TAL is also deploying the "AI + education" field while cooperating with Stanford University's Urban Brain Science Laboratory.
The application of Elite Education in the field of artificial intelligence should not be underestimated. The ALTS social adaptive learning system and the i Elite Learning Ability Improvement System essentially include students, parents, and teachers in the entire learning process. Focus on in-depth analysis of the behavioral data of teachers, students, and parents, so as to carry out targeted matching and improvement, form a unique learning path for each student, and realize teaching in accordance with aptitude, interesting teaching, and efficient learning.
It can be said that TAL, Onesmart and New Oriental, although the three companies have different starting points, are also the leading extracurricular training companies in China. In the future, they may become a new generation of TON like BAT in the Internet industry. The pattern has been compared by others. For the elite education, which has always been committed to the international high-end education industry, it is believed that a new wave of development opportunities will soon be ushered in. It is just around the corner to catch up with the pace of New Oriental and TAL.