China’s New Oriental Education & Technology Group plans to cease tutoring services related to students from kindergarten through grade nine at all learning centres across the nation by the end of 2021, the firm said in a statement.
The service termination, in compliance with applicable rules and measures, will have “a substantial adverse impact on the Company’s revenues for the fiscal year ending May 31, 2022,” New Oriental said. The related K-9 Academic AST Service accounted for about 50% to 60% of its total revenues for each of the prior two financial years, it said.
The company will shiftt its focus and resources to services unrelated to K-9 Academic AST services, and continue to explore new growth opportunities.
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