Wisdom tree has lost seven years, why does He Jing Technology "never forget" education?

Picture source: Oriental IC

Recently, Hejing Technology received two reorganized inquiry letters issued by the Shenzhen Stock Exchange twice. When replying to the inquiry letter, it said that "it is not a short -term profit."

Since its investment in Huanyu Wanwei in 2014, Hejing Technology has always tried to develop education into a second business curve. However, the Wisdom Tree lost money for seven consecutive years. The small part of the dragon was under the shadow of compliance. The size of the hardware of the wisdom and fun interconnection was small, and the education business had never been effective.

Why do Hejing Technology do education alone?

Five years of accumulation of 450 million, multi -round capital increase has not been effective

Hejing Technology started with the production of white home appliances intelligent controller and was listed on the GEM of the Shenzhen Stock Exchange in 2011. However, the net profit of three years after listing continued to decline, and the company began to seek business transformation. In 2014, Hejing Technology invested 15 million yuan to obtain a 17.65%stake in Huanyu Wanwei, and officially stepped into the field of Internet education through the "Smart Tree". At that time, in a column of investment purposes, the company claimed that "the development trend of mobile Internet and preschool education informatization, optimistic about the business prospects of smart trees, will continue to increase its expansion of the field of Internet education."

In addition to Smart Tree, from 2016 to 2017, with Jing Technology, it has obtained 6%equity of Wisdom Integration and 4.66%equity with Technology, and is involved in learning the hardware industry and children's Enlightenment APP. In 2020, Hejing Technology subsidiaries and Jingyu Smart Tree Technology Co., Ltd. jointly invested 20 million yuan to set up Huijing Education, and developed B -end users of early childhood education.

For many years of development, education has gradually become one of the "two main business" in Hetong Technology. But under the red fire, the business progress did not think smoothly. In 2021, Huanyu Wanwei realized revenue of 40.866 million yuan, with scientific and technological income of 30.585 million yuan, Zhiqu Internet contributed to revenue of 9.0286 million yuan, and the total income of education business accounted for only 3.9%of the company's total revenue. It was not even separately indicated.

Especially as the main force of the educational business revenue, Huanyu Wanwei, in 2014, signed a gambling agreement with Jing Technology and Huanyu Wanwei, which promised that the actual net profit in 2015 was not less than 12 million yuan. However, Huanyu Wanwei not only failed to achieve a promise, but fell into a losing quagmire. In the past five years, Huanyu Wanwei revenue has not exceeded 100 million, but it has caused a total of 450 million yuan.

Although it is not as good as expected, Hejing Technology always seems to be full of confidence in the wisdom tree. From 2015 to 2018, the company increased its capital to Huanyu Wanwei for five consecutive rounds, and the shareholding ratio gradually increased to 48.57%. Especially in early 2018, Hejing Technology announced that it had increased capital to Huanyu Wanwei with 700 million yuan in cash, causing a lot of attention. Although the amount of capital increase was greatly reduced to 100 million yuan after 3 months, the net profit of Jinghe Technology in 2017 was only 76.803 million yuan. It was rare for the "blood transfusion" of the wisdom tree to sell iron.

Even so, Huanyu Wanwei failed to get unexpected growth. Data show that in April 2021, in the ranking of active users of the children's Enlightenment APP, the number of monthly active users of smart trees was only 2.7728 million, which was equivalent to a quarter of the family. Although Huanyu Wanwei achieved the first monthly profit and first quarter profit since 2014. However, the loss of equity disputes with Saturn education and the losses of borrowing disputes have caused Huanyu Wanwei's operations and cash flow to withstand greater pressure. In the 2021 financial report, considering the changes in industry policies such as Huanyu Wanwei and "dual reduction", Hejing Technology filed an impairment preparation of 105 million yuan in the long -term equity investment of Huanyu Wanwei.

Over the years, Wisdom Tree is like a bottomless hole in Hejing Technology.

In addition to the main military ring Yu Wanwei, the progress of education hardware is also difficult to say. In 2021, there were only 1,319 tablet -to -tables in Zhixun Interconnection, and 11,299 readers were read, only 8,847,200 yuan in income, which was far from supporting the education sector.

In all education businesses, there may be a few highlights. It has children's enlightenment education apps such as Xiaoman Dragon Playing Mathematics APP, Xiaoman Dragon Literacy APP, and Xiaoman Dragon Pinyin APP. As of December 2021, a total of about 250 million users have been downloaded, and revenue last year was 30.5805 million yuan, which was close to the revenue scale of Huanyu Wanwei.

However, Xiaomong Dragon also faces his own problems.

The sword of compliance is crumbling

The compliance pressure is a sword hanging on the Hejing technology education business.

In terms of Huanyu Wanwei, in July 2020, the Ministry of Industry and Information Technology notified 10 educational apps that infringed on user rights and interests, and Smart Tree was on the list because of "excessive obtaining permissions". The inquiry letter issued by the Shenzhen Stock Exchange once again mentioned "explaining whether the subsidiaries and shares participating companies provide personal data storage and operation services for customers, whether there are collections and storage data, and providing value -added services for related data mining and providing value -added services. Wait ".

According to Hejing Technology, Smart Tree does not have illegal collection, storage, use, and transmission of personal information, but has been repeatedly named and questioned, indicating that Huanyu Wanwei still fails to completely rectify the issue. With the formal implementation of the "Personal Information Protection Law" on November 1 last year, the protection requirements for user privacy will be more stringent. Smart tree needs to collect personal mobile phone numbers to verify the identity, which may continue to assume the cooperation with personal data related to personal data. Risks.

What is even more tricky is accompanied by technology. The company has a variety of apps such as Xiaoman Dragon to play mathematics, small companion dragon literacy, and small companion dragon pinyin. They are all applications for preschool children. Although Hejing Technology said in a reply letter that the company did not engage in discipline education and training business. However, whether it is mathematics, literacy, or pinyin, they are suspected of teaching elementary school curriculum knowledge in advance, and illegally conduct discipline training for preschool children. The "dual reduction" policy stipulates that online training for preschool children shall not be conducted. It is strictly forbidden to carry out offline disciplines (including foreign languages) training in preschool children in the name of preschool classes, children's connection classes, and thinking training classes. In April 2021, the Ministry of Education issued the "Guiding Opinions on Vigorously Promoting the Connection of Kindergarten and Primary Schools", emphasizing the implementation of relevant national regulations, and out -of -school training institutions shall not train preschool children in violation of regulations. On June 1, 2021, the new version of the "Protection Law of the Minor" was officially implemented. It stipulates that kindergartens and off -campus training institutions shall not conduct primary school education for pre -school minors.

On May 9 this year, Beijing issued a document of "Notice on Further Doing a File and Management of Education Mobile Internet Applications", which clearly stipulates that it will no longer accept applications for the mobile application for education mobile application for training on the frontline of academic frontlines. Although the main body of the Xiaomong APP is in Shenzhen, in a strict sense, the app owned by Xiaomong Dragon is suspected of conducting discipline training for preschool children and online training for preschool children. The risk of compliance cannot be ignored.

Under the pressure of compliance, it seems risky to gamble the future of education business in accompanying technology.

Is there still a chance for home education?

In the inquiry letter, the Shenzhen Stock Examination questioned that the education assets held by Jing Technology were not the basis and rationality of financial investment. The company said in a reply letter that Hejing Technology's entry into the education business sector is not a financial investment in obtaining short -term interests. The purpose of holding relevant company equity is to cooperate with the long -term development of the education business. From this point of view, for a period of time, Hejing Technology still does not intend to give up the education business.

The education assets of the split company, the contribution of Zhixu interconnection income is limited, the research and development of education hardware also takes time and cost, and the business scale cannot be expanded in a short time. Although the income scale is not small, under strict supervision, it is facing compliance risks. As of a few days ago, the Smart Tree APP has covered about 20,000 in active use of kindergartens. Although the scale has been greatly reduced compared to the 120,000 kindergartens in the peak period, with the support of Hejing Technology for many years, Smart Tree "buy and buy" all the way all the way all the way to "buy and buy" all the way. , Still as a head company in the home school communion.

It seems that the main revenue of education business is still concentrated on the wisdom tree. So, is there any chance in the home education competition?

After many consecutive years of continuous losses, Smart Tree made many attempts in commercialization in 2017. In terms of B -side, the layout of basic management, kindergarten training, purchasing in the park, and financial loan, the C -end business is mainly member services and advertisements. Earlier, the founder Yuan Shengjun said to Blue Whale Education that 2018 would be profitable, but his determined confidence failed to complete the performance. In 2018, the overall operating performance of the smart tree still lost money.

In fact, difficulty in profitability is a common problem for home education platforms. There are two main reasons for the reason: First, the market facing the home education platform is too vertical and has limited attractiveness to advertisers. Advertising is one of the important profit channels for the home education platform, but even if it is the wisdom tree of the head platform in the industry, the average monthly monthly work is only 2.5136 million. Compared with the hundreds of millions of monthly living users of social platforms, the homeland co -educating the homeland co -educating users The traffic advantage of the platform is not obvious.

Second, the homeland co -education platform has not been able to develop its core competitive advantage, and its products are seriously homogeneous. In addition to providing park management for kindergartens, the home -wide education platform also enables parents to open the camera authority for parents so that parents can view their children's performance and dynamic videos in schools. However, whether it is a video call or a dynamic video, it can be implemented through WeChat or children's hardware. It is understood that the WeChat group is the main channel for many kindergartens to communicate with parents. The teacher will take the initiative to share the children's photos and small videos in the group, which is not only convenient to operate, but also does not pay. In contrast, the role of home education platform is relatively embarrassing. If it has always played a simple information conveying role in parents and parks, it is easy to be replaced.

Some analysts said that the homeland co -education platform needs to explore in a deeper communication. At present, most of the platforms have the role of transmitting information, and failed to achieve the effect of "co -education". If you want to achieve better educational results, it is not enough to rely on teachers alone. Parents and teachers need to deepen. If the home education platform can play unique value in this link, it may be rejuvenated again.

A few days ago, Hejing Technology issued an announcement saying that the reorganization items were suspended due to the expiration of financial data. In 2021, the company's net profit was 6127 million yuan, and it had not returned to the level of 2017. Under the pressure of unstable performance and tight cash flow, there are not many space for the exploration of smart trees.

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