Meten EdtechX Education Group Ltd. (NASDAQ: METX) (“Meten EdtechX” or the “Company”), a leading omnichannel English language training (“ELT”) service provider in China, today provided update of its “ABC” brand. After the acquisition of ABC Education Group, a junior ELT service provider operating under the “ABC” brand, in 2018, the Company has been constantly upgrading and optimizing the brand. The business of ABC junior ELT has gradually matured, and starts to show the profitability.
ABC junior ELT is an independent brand of Meten EdtechX, focusing on providing junior ELT service for children aged three to 16. Since the resumption of classes in September this year, the resumption rate of ABC junior ELT has exceeded approximately 90%, and the attendance rate of which has reached 100%. The gross billing of ABC junior ELT in November 2020 increased by approximately 10% on a year-on-year basis, and the business has returned to pre-pandemic levels. Recently, the dual-teacher classrooms have been introduced at 16 learning centers of ABC junior ELT, integrating the online and offline business model. The Company has optimized the structure and functions of ABC junior ELT in the fourth quarter of 2020, which is expected to lower the cost of foreign language teaching for ABC junior ELT by approximately 25% on a year-on-year basis in 2021, significantly improving operating efficiency.
At present, there is still a large space for the development of the junior ELT training market in China and the penetration rate is expected to increase going forward. Relying on the network of existing adult and junior offline learning centers, Meten EdtechX will continue to explore the high-end junior ELT training market in China, which may consolidate the long-term competitive advantages of the Company.
About Meten EdtechX
Meten EdtechX is a leading ELT service provider in China, delivering English language and future skills training for Chinese students and professionals. Through a sophisticated digital platform and nationwide network of learning centers, the Company provides its services under three industry-leading brands: Meten (adult and junior ELT services), ABC (primarily junior ELT services) and Likeshuo (online ELT). It offers superior teaching quality and student satisfaction, which are underpinned by cutting edge technology deployed across its business, including AI-driven centralized teaching and management systems that record and analyze learning processes in real time.
The Company is committed to improving the overall English language competence and competitiveness of the Chinese population to keep abreast of the rapid development of globalization. Its experienced management is focused on further developing its digital platform and expanding its network of learning centers to deliver a continually evolving service offerings to a growing number of students across China.