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Making Education Borderless
Making Learning Accessible
Samebest Co., Ltd.
Presented by: Mr. Hong-Tai Wei
2018 60/259= 23%
259/120,000= 0.21%
Company Overview
2
Company Profile
Founded October 30th, 2006
Chairman Yong-Xin Shi CEO Hong-tai Wei
No. of Employees 200 (as of July 31st, 2018)
Major Business
▶ Age 3-18 (K-12) Digital Learning Products R&D, Operations, and Services
• Course Design• Platform Development• Content Production• Operations and Services
▶ O2O Online to Offline Integration• Digital Learning Physical Transformation
Platform• Physical Tutorial School Resource
Integration▶ Online Tutoring Sessions and Service
System• Integrate Online Tutoring Sessions with
the Physical Tutoring Schools
ChairmanYong-Xin ShiSamebest, CEO
EDT, GM
Great China Int’l Edu., GM
Disney Taiwan, Chief Supervisor
CEOHong-Tai WeiSamebest, CSO
Ru-lin Tutorial School, Physics Lecturer
Li-Cheng Tutorial School, CEO
Chia-hwa Private school, Chairman
Executive VP
Ming-Shan YuSamebest, CFO
EDT, VP
Great China Int’l Edu.,VP
Operations VP
Ming-Chi TsaoKid Castle Education Taiwan, VP
ED TV, Education Group, COO
Sales VP
Jian-li LinFL Culture, Director
Marketing VP
You-Quan ZhangTai-da-Taipei, Marketing Director
Wen-cheng Taichung, MarketingVP
Wen-cheng Kaohsiung, MarketingVP
Management Team
Major Products
5
Ages 3-6 (Kindergarten)
Videos: 19,018Animations: 1,643Games: 260
Percent of Total Revenue2015: 28.0%2016: 14.5%2017: 8.9%
Grade 1-3
Percent of Total Revenue2015: 1.4%2016: 1.4%2017: 9.7%
Grade 4-6
Percent of Total Revenue2015: 5.3%2016: 6.5%2017: 11.9%
Grade 7-9
Percent of Total Revenue2015: 27.8%2016: 38.3%2017: 33.1%
Citizenship-Chen Sheng
Chemistry-Wang Yu
Biology-Yu Xia
Geography-Wu Hong-li
Physics-Wei Hong-tai
English-Wu Han-sheng
Chinese-Yang Mo
Math-Xu Zhe
History-Lu Jie
Teacher Lineup
In 2018, out of the 259 students with a perfect score on the National College Entrance
Examination, 98 studied with these Famous Teachers, accounting for 38% of the total.
Math-Lin Ming-yang
Percent of Total Revenue2015: 35.2%2016: 36.6%2017: 33.9%
Core Competitive Advantage
Kindergarten Elementary
School
Junior High
SchoolSenior High
School
Our Curriculum Covers All Age Groups
Progressive Learning via ‘Mini Units’Targeted Learning – Allowing Diagnosis of Student Strengths and Weaknesses
No Knowledge Points Awarded =
Student Feels Frustrated & Burnt Out
Equation with one unknown
One Big Topic
Time Allotted =
100min
Each unit takes 100
minutes to complete.
By the time I finish,
my brain feels like it
will explode…
Knowledge Points Awarded at Each
Level = Progressive Learning &
Greater Understanding
一元一次方程式
Application of Simple Equation 5min
Basic Relationships of Common Application Questions 5min
Simple Application of a Simple Equation 5min
Application of a Simple Equation with Fractions 5min
Age-related Problem 5min
Numerical Problem 5min
Before and After Transformation Problem 5min
Working with Averages 5min
Allocation Problem 5min
Calculating Levels of Concentration 5min
Calculating Lengths 5min
Calculating Profits 5min
Determining Groupings 5min
Calculating Velocity 5min
Interesting Application
The Math of EKGs 5min
Equation with one unknown
With knowledge points, I
use less time, but learn
much more and have a
greater sense of
achievement!
oI
oxo
x
o
L
o
O
Qo
E
o
Rx
Q&A
We Provide a Comprehensive Method of Learning & Retention
Learn
Interact
Organize
Quiz
Review
Exam
Competitive Advantage
Full Function
PC
ANDROID
Tablet PC
iOS
PHONEANDROID
PHONEiOS
iPAD
We Support All Digital Platforms
Our Core Competitive Advantage
ExperienceOver 20 years in Secondary Tutorial Schools7 years in Private Junior High School EducationOver 10 years in Elementary SchoolsOver 10 years in Preschool Education
Educational BackgroundSkilled with TechnologyTeaching experience enhances management capability
Awards
Talent ProductsBarriers to Entry in Curriculum Design and Technology Use
2010Executive Yuan Digital
Publishing Golden
Tripod Award
2014Ranked No. 205 in the
Deloitte Technology
Fast 500
2014POLI Best Distributor,
Asia-Pacific Designers
Federation Design
Award
2017Golden Peak
‘Top Ten
Entrepreneurs in
Taiwan’
2016Golden Torch
‘Top Ten
Entrepreneurs in
Taiwan’
2018‘Taiwan Entrepreneurs
Award’
Operating Performance
Business Model Innovation Leads to More Rapid Member Accrual & Reduced Acquisition Costs
2014
14,735
(1,112)
6,283
18,700
2015
18,832
(957)
7,618
20,500
2016
151,630
(185)
8,492
22,500
New Free
Memberships
Current Year
(Ad Cost/Member)
New High Value
Members
Current Year
Cumulative
Number of High-
Value Members*
2017
9,609
72,686
(207)
32,000
Online payment
percentage 2% 11%
*Approximate Number
Note: Only a hard disk and cloud account number are provided to members who pay online, and costs such as full-color textbooks,
complimentary tablets or laptops, and sales commissions are avoided.
2018 H1
5,813
37,514
(167)
31%
34,600
Strong Growth in Revenue and Profit over the Past 3 Years
3.22
2.00
8.01
5.27
0
1
2
3
4
5
6
7
8
9
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
/通用格式 /通用格式 /通用格式 /通用格式
Revenue Net income (w/tax) EPS
2015 2016 2017 2018 H1
Revenue(unit：1,000)
677,964 768,273 988,330 760,646
YOY 42.5% 13.3% 28.6% 89.0%
Net income
(w/tax)(unit: 1,000)
69,783 45,764 237,350 189,990
EPS 3.22 2.00 8.01 5.27
2015 2016 2017 2018Q1
Samebest (Parent) 2017 H1 2017 H2 2018 H1
Operating Revenue 402,464 465,569 438,395
Gross Profit Margin 84% 87% 91%
Operating Expense
Ratio61% 48% 42%
Operating Profit
Margin24% 39% 48%
ACE Edulink
(Subsidiary)2017 H1 2017 H2 2018 H1
Operating Revenue 0 156,719 352,370
Gross Profit Margin 0 37% 47%
Operating Expense
Ratio0 32% 31%
Operating Profit
Margin0 4% 16%
Parent-Subsidiary Analysis
Samebest (Combined
Statement)2017 H1 2017 H2 2018 H1
Operating Revenue 402,464 585,866 760,646
Gross Profit Margin 84% 84% 86%
Operating Expense
Ratio61% 47% 39%
Operating Profit
Margin24% 32% 35%
Net Income 81,505 151,483 189,990
Note: The combined statement nets out intra-group
transaction amounts.
(Unit: NTD 000)
24%
32% 35%
0%
5%
10%
15%
20%
25%
30%
35%
40%
106年H1 106年H2 107年H1
Operation Profit Margin
(Unit: NTD 000)
2017 H1 2017 H2 2018 H1
經營實績Samebest Group (Subsidiaries
Included)2015 H1 2016 H1 2017 H1 2018 H1
Operating Revenue 270,920 379,911 402,464 760,646
Operating Costs 35,340 60,629 63,883 194,881
Gross Profit Margin
87% 84% 84% 74%
Operating Expenses
229,888 284,924 243,539 296,945
Operating Expense Ratio
85% 75% 61% 39%
Operating Profit Margin
2% 9% 24% 35%
Net Income 13,828 27,845 81,505 189,990
EPS 0.86 1.21 2.90 5.27
Samebest Group (Subsidiaries
Included)2015 H2 2016 H2 2017 H2 2018 H2
Operating Revenue 407,044 388,362 585,866
Cost of Sales 70,061 64,175 122,829
Profit Margin 83% 83% 84%
Operating Expenses
270,022 303,042 275,584
Operating Expense Ratio
66% 78% 47%
Operating Profit Margin
16% 5% 32%
Net Income 55,955 17,919 151,483
EPS 3.33 0.78 5.11
Interim Report Analysis
0
1
2
3
4
5
6
2,015.00 2,016.00 2,017.00 2,018.00
EPS (NTD)
H1 H2
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
2015 2016 2017 2018
Operating Revenue
H1 H2
(Unit: NTD 000)
Future Outlook
24
Samebest (HK)
Limited
Capital: 25 Million
(Registered)
ACE EdulinkWinning Master
Education Co., Ltd
Capital: 7 Million Capital: 55 Million
Stock Code: 8489Capital: 360 Million
Samebest Group Corporate Structure
Samebest Taiwan Co., LTD
100% 100%51%
Winning Master Education
Co., LtdSamebest (HK) Limited
ACE Edulink Co., LTD
Capital: 55 Million
60%
Sheimon
Education
Capital:
2 Million
Jinhuahsin
Education
Capital:
5 Million
Huahsin
Education
Capital:
9.5 Million
Harvard
Education
Capital:
15 Million
Xueyi
Xianyue
Education
Capital:
4 Million
Liyang
Education
Capital:
5 Million
Xinyuanjing
Education
Capital:
2 Million
Quality
Taida
Education
Capital:
2 Million
Taishi
Elite
Education
Capital:
12 Million
Sigma
Education
Capital:
2 Million
Janhao
Education
Capital: 2
Million
Chuxi
Education
Capital: 2
Million
Chinxue
Education
Capital:
1.5Million
Monthly
Revenue:
4.9 Million
Monthly
Revenue :
11.8
Million
Monthly
Revenue :
16.8
Million
Monthly
Revenue :
2.1 Million
Monthly
Revenue :
3.9 Million
Monthly
Revenue :
4.1 Million
Monthly
Revenue :
4.9 Million
Monthly
Revenue :
4.1 Million
Monthly
Revenue :
5.9 Million
Monthly
Revenue :
5.5 Million
Monthly
Revenue :
7.1 Million
Monthly
Revenue :
6.1 Million
Monthly
Revenue :
4.16Million
ACE Edulink Performance
M&A ProgressRapidly Combining Taiwan’s Leading
Tutorial Schools
Robust Growth in Revenue and Profit
Operating Performance
ACE Edulink Combined Operating
Revenue
ACE Edulink Combined Operating
Net ProfitCumulative Number of Tutorial
School Service Sites Acquired
Cumulative Number of Tutorial
School Companies Acquired
2017 Q3 2017 Q4 2018 Q1 2018 Q2 2018 Q3
2017 Q3 2017 Q4 2018 Q1 2018 Q2 2018 Q3
2017 Q3 2017 Q4 2018 Q1 2018 Q2
2017 Q3 2017 Q4 2018 Q1 2018 Q2
Physical Teaching Sites
➢ A True O2O Model: Integration of
virtual and classroom-based
curriculums
➢ Integration of 13 top tutorial schools in
six cities throughout Taiwan
➢ A total of 46 service sites
➢ Aggregating Taiwan’s Top Teachers in
one integrated educational organization
ACE Edulink Co. Ltd.
Creating a Brand New Business Model
More Star Power Than Any Other Tutorial School in Taiwan
ChineseWu Yueh
Duan Yu
Pan Hua3
EnglishHansheng
Jiangjei
Yufan6
Math 9
Biology 2
Physics 6
Chemistry 5
Liuli
Kaoling
Zhou bai-cheng
Lee yang
Ching Yuan
Chen Ping
Chi Kang
He Min
Weili
Jei Sheng
Liu, Li-Wei
Lu, Shou-Ren
Yu Hsia
Jiang, Meng-Xi
Tien Jien
Brother Tao
Wu Di
Zheng Ling
Yueh Jei
Yang, Jun-Hsiang
Wang Yu
Zhou Yu
Wang Hao
Tsung Han
Wang Hua
Hong LiSociety 1
Top Teachers
Samebest Senior High School Membership Market Share
On-line Physical
Learning King Sheimon Jinhuahsin Huahsin Harvard Liyang XinyuanjingQuality
TaidaSigma Janhao
Number of
Students14,326 1,130 2,700 1,250 5,800 1,280 1,200 1,150 5,200 1,075
Total 35,111
Market
Share 11.31%
The total number of students enrolled in Taiwan’s
senior high schools in 2017 was
310,239
We have a large share of the current market with room
for more rapid growth
The Samebest O2O Upgrade & Integrate Model
Aggregated
results from 10
tutorial schools
that we acquired
in Taiwan
At the time of acquisition,
average historical net
profit margin was about
12%
M&A
Projected 2018 Acquisitions
15 Schools
Back Office Cost
Reduction
Net profit margin rises to
15%
Cross-SellingNet profit margin rises to
22%
Consolidation
• Combine same-quality junior
high school level tutorial schools
within the same district
• Reduce marketing & enrollment
costs
Online course at tutorial school
31
Samebest M&A-Driven Growth Strategy
M&A Criteria Amount
2018 Total Amount of Tutorial Schools 18,204
Schools with Operating Revenue
Over NT$50 million1,900
Schools with Net Profit Margin
Over 10%1,600
Schools with a Market Share of
20% or More Within Their
Region
1,100
PR90 List
Schools with a Market Share of
30% or More Within Their
Region
700
■First-tier City
■Second-tier City
32
Samebest (HK)
Limited
Capital: 25 Million
(Registered)
ACE EdulinkWinning Master
Education Co., Ltd
Capital: 7 Million Capital: 55 Million
Stock Code: 8489Capital: 360 Million
Samebest Music Education (PRC)
Current Customers:
➢ Liaoyuan Bilingual School
➢ Hong Qiao International School
➢ Zhoushan Zhongxu
➢ Ningbo Zhongxu
➢ Cixi Wengu
➢ Shanghai Zhuyuan
➢ Starriver Bilingual
➢ SIP Foreign Language
➢ Canadian Int’l School Kunshan
➢ Sino-Canadian Int’l School
We will focus on Jiangsu, Zhejiang, and
Shanghai and conduct M&A to integrate
leading or decently scaled training schools
Send teachers into schools, allowing
students to join “proactively”
Samebest Music Education (PRC)
Asia
Offline
2017H1 2017H2 2018H1 2018H2 2019H1
PRC
Samebest
Online
Our Plan For 2018-2019 Growth
2017 Whole Year
Operating Revenue
NT$156 Million
Taiwan
O2O>Established subsidiary – Roll Out Winning Master service
Focus and Targets:
Promote Online Teaching Materials
Operating revenue growth of 5-15%
per year
Maintain Net profit margin at 50-45%
2017 Whole Year
Operating Revenue
NT$860 Million
EPS 8.01
>Launched interactive personalized live broadcasting
2019H2
2018 H1
Operating Revenue
NT$760 Million
EPS 5.27
2018 H1
Operating Revenue 352
NT$ Million
>K-3 Grade iQiyi released
Focus and Targets:
Offline Tutorial Schools
Integrate/Merge 3 schools per quarter
Continual increase in profit margin
>International School Music Education
Thank You
