RAFFLES EDUCATION LIMITED 
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- Revenue of S$32.8 million
- Other operating income of S$19.9 million
- Net Profit of S$5.4 million
- EPS at 0.42 cents
- Net Asset Value per share of 56.92 cents
- Cash position of S$60.1 million
- Net gearing ratio of 0.30 times
Singapore, 9 November 2012 - Raffles Education Corporation Limited ("RafflesEducationCorp" or "the Group"), the largest private education provider in the Asia Pacific region, today reported a revenue of S$32.8 million and a net profit of S$5.4 million respectively for its first quarter FY2013, ended 30 September 2012 ("FY2013Q1").
Revenue for FY2013Q1 increased from S$32.7 million a year ago to S$32.8 million due mainly to an increase in Asia Pacific ("Ex-PRC") revenues as the Group's geographic diversification strategy and investments in new markets bring forth positive results to offset the decline in PRC revenues. Though not significant, the increment signifies a gradual turnaround and affirms that the Group's focus on developing and investing in Ex-PRC over the last few years is bearing fruit.
The Group recorded other operating income of S$19.9 million in FY2013Q1 due to gains on sale of investment properties in Oriental University City ("OUC") as it continues to divest its non-core assets to realise returns for investment into its education business.
FY2013Q1 net profit was S$5.4 million from a net profit of S$16.9 million reported a
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year ago due primarily to an increase in other operating expenses of S$9.3 million which mainly comprised of provisions for potential compensation and demolition in OUC. Other operating expenses also increased due to foreign exchange loss resulting from the appreciation of Singapore Dollar against the Renminbi and Australia Dollar.
The performance this quarter included the gain on disposal of the 118 mu of investment properties in OUC. We do not expect further disposal of investment properties in this current financial year. Nevertheless, should opportunities arise, the Group will consider divesting its non-core assets to realize returns on investments.
Chew Hua Seng, Chairman and CEO of RafflesEducationCorp, said, "Although PRC revenue is declining due to the challenging operating conditions, the Group has been repositioning and implementing new strategies in PRC. However, our geographic diversification and expansion strategies in Ex-PRC are bringing in positive results."
Raffles Education Corporation Limitp.ed ("RafflesEducationCorp") is the largest private education group in Asia- Pacific. Since establishing its first college in Singapore in 1990, the Group has grown to operate 33 colleges in 30 cities across 13 countries in Asia Pacific: Australia, Bangladesh, Cambodia, China, India, Indonesia, Malaysia, Mongolia, New Zealand, Philippines, Singapore, Sri Lanka and Thailand.
More than 21,900 students enrolled in RafflesEducationCorp's tertiary programmes benefit from a quality education that provides graduates with a well-rounded hands-on experience relevant to the industry.
The Group also owns the Oriental University City in Langfang, Hebei Province, China - a 1.3 million square metre self-contained campus. Within this campus, Oriental University City provides education services to 6 colleges with an additional student population of over 24,300.
Headquartered in Singapore, RafflesEducationCorp employs close to 2,500 academic and administrative staff, and is listed on the Mainboard of the Singapore Exchange. For more information on the Group, please visit the
RafflesEducationCorp's website at www.raffles-education-corporation.com.
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CONTACT INFORMATIONMs Elaine Ang
Director, Investor Relations
Raffles Education Corporation Limited
Tel : 9125-5889
Email: elaineang@raffles-education-corporation.com
Ms Tan Poh Lay
Manager, Corporate Communications Raffles Education Corporation Limited Tel : 6336-2270 (Ext : 342)
Email : tanpohlay@raffles-education-corporation.com
9 November 2012
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