Tan Nguyen's questions to Bright Scholar Education Holdings Ltd (BEDU) leadership • Q1 2025
Question
Tan Nguyen inquired about the recent movements in cash flow, the rationale behind the share buyback program versus paying dividends given low stock liquidity, and the company's long-term strategic vision for the next 5-10 years.
Answer
CFO Zhang Hui explained that the negative operating cash flow was due to the timing of tuition collection versus commission payments. Executive Ruolei Niu addressed the capital allocation, stating the buyback reflects confidence and that dividends will be considered once profitability is more sustained. He then detailed the 'dual-engine' strategy, focusing on expanding the international Schools business globally and growing the student recruitment platform in new developing markets to become a major global K12 education service provider.