China Beststudy Education Group — Earnings Release 2019

Mar 13, 2020

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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**China Beststudy Education Group 卓越教育集團 ***

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 3978)

POSITIVE PROFIT ALERT

This announcement is made by China Beststudy Education Group (the “ Company ”, together with its subsidiaries and consolidated affiliated entities, the “ Group ”) pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “ Listing Rules ”) and the Inside Information Provisions (as defined under the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

The board of directors (the “ Board ”) of the Company wishes to inform the shareholders of the Company and potential investors that based on the preliminary review and analysis of the latest available unaudited consolidated management accounts of the Group for the year ended 31 December 2019, it is expected that, without taking into account the effect of equity-settled share compensation costs, which is not directly attributable to the operating performance of the Group, the Group would record an increase in adjusted net profit (which is a Non-GAAP measurement) of not less than 30% as compared with that for the year ended 31 December 2018.

The Board considers that such increase was mainly attributable to (i) the increase in the number of overall enrollments, tutoring hours and per-hour charges, which in turn contributed to an increase in revenue; and (ii) the increase in revenue in the second half of 2019 was higher than that in the first half of 2019, which was a stronger drive to the annual results.

The information contained in this announcement is based on the preliminary review and assessment by the Company on the unaudited management accounts of the Group that have not been reviewed by the Company’s audit committee or the independent auditors.

• For identification purposes only

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Shareholders and potential investors of the Company should read the Group’s annual results announcement for the year ended 31 December 2019 carefully which is expected to be published before end of March 2020 and the corresponding 2019 annual report will be published subsequently.

Since the management accounts of the Company are not yet audited, shareholders of the Company and potential investors are advised to exercise caution when dealing in the shares of the Company.

By Order of the Board China Beststudy Education Group Junjing Tang Chairman, Chief Executive Officer and Executive Director

Hong Kong, March 13, 2020

As at the date of this announcement, the executive Directors are Mr. Junjing Tang, Mr. Junying Tang and Mr. Gui Zhou, the non-executive Director is Mr. Wenhui Xu, and the independent non-executive Directors are Mr. Yingmin Wu, Ms. Yu Long and Mr. Peng Xue.

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