Core Viewpoint - The report from Everbright Securities indicates a downward revision of New Oriental-S (09901) net profit forecasts for FY26-28 due to intensified industry competition and increased business base, with projected profits of $442 million, $514 million, and $582 million respectively, each down by 8% [1] Group 1: Financial Performance - In FY26Q1, New Oriental achieved net revenue of $1.523 billion, a year-on-year increase of 6.1%, exceeding previous guidance [1] - The company reported a net profit attributable to shareholders of $240,700, a decrease of 1.9% year-on-year, while Non-GAAP net profit was $258 million, down 1.6% [1] - The company expects FY26Q2 overall net revenue to be between $1.132 billion and $1.163 billion, representing a year-on-year growth of 9%-12% [2] Group 2: Business Segments - In the overseas business segment, exam preparation revenue grew by 1.0% and consulting revenue by 2.0%, with slower growth rates observed [1] - Domestic exam preparation for adults and university students saw a robust revenue increase of 14.4% year-on-year [1] - New educational business revenue grew by 15.3% year-on-year, although growth was impacted by increased competition from low-cost/free classes during the summer [1] Group 3: Operational Efficiency - Non-GAAP operating profit for FY26Q1 was $336 million, reflecting an 11.3% year-on-year increase, with an operating profit margin of 22.0%, up 1.0 percentage points [3] - The improvement in profit margin is attributed to ongoing efforts in cost optimization and operational efficiency [3] - The company is implementing a cautious capacity expansion strategy and enhancing the use of AI technology in its educational ecosystem and internal operations [3] Group 4: Shareholder Returns - The company announced a three-year shareholder return plan, committing to return at least 50% of the previous fiscal year's net profit to shareholders, including a cash dividend of $190 million and a $300 million share buyback plan [2]

Core Viewpoint - Company has adjusted its net profit forecasts for New Oriental-S (09901) for FY26-28 down by 8% to $4.42 billion, $5.14 billion, and $5.82 billion respectively, while maintaining an "Overweight" rating due to strong industry demand despite increased competition [1] Group 1: Financial Performance - In FY26Q1, the company achieved net revenue of $15.23 billion, a year-on-year increase of 6.1%, exceeding previous guidance [2][3] - The company reported a net profit attributable to shareholders of $240,700, a decrease of 1.9% year-on-year, while Non-GAAP net profit was $258 million, down 1.6% [2] - The company expects FY26Q2 net revenue to be between $11.32 billion and $11.63 billion, representing a year-on-year growth of 9%-12% [4] Group 2: Business Segments - The overseas examination preparation business saw a revenue increase of 1.0%, while the overseas consulting business grew by 2.0%, indicating a slowdown in growth [3] - Domestic examination preparation for adults and university students experienced a robust revenue growth of 14.4% [3] - New educational business revenue grew by 15.3%, although growth has slowed due to increased competition from low-cost/free classes during the summer [3] Group 3: Operational Efficiency - Non-GAAP operating profit for FY26Q1 was $336 million, an increase of 11.3% year-on-year, with an operating profit margin of 22.0%, up 1.0 percentage point [5] - The improvement in profit margin is attributed to ongoing efforts in cost optimization and operational efficiency [5] - The company is implementing a three-year shareholder return plan, committing at least 50% of the previous fiscal year's net profit to shareholder returns, including a $190 million cash dividend and a $300 million share buyback plan [4]

Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for future performance [4][6]. Core Insights - The company reported a net revenue of $1.523 billion for FY26Q1, representing a year-on-year increase of 6.1%, exceeding previous guidance [2][3]. - The company expects FY26Q2 net revenue to be between $1.132 billion and $1.163 billion, reflecting a year-on-year growth of 9%-12% [3]. - A three-year shareholder return plan has been initiated, with at least 50% of the previous fiscal year's net profit allocated for shareholder returns, including a cash dividend of $190 million and a $300 million share buyback plan [3]. Revenue and Profitability - The core business showed steady growth, with the overseas examination preparation business growing by 1.0% and domestic examination preparation for adults and college students increasing by 14.4% [2]. - Non-GAAP operating profit for FY26Q1 was $336 million, up 11.3% year-on-year, with an operating profit margin of 22.0%, an increase of 1.0 percentage points [3]. Financial Forecasts - The company has adjusted its net profit forecasts for FY26 to FY28 downwards by 8%, now projecting $442 million, $514 million, and $582 million respectively [4]. - Corresponding EPS for FY26 to FY28 is expected to be $0.28, $0.33, and $0.37, with current P/E ratios of 22x, 19x, and 16x respectively [4].

Core Viewpoint - Guosen Securities maintains an "outperform" rating for New Oriental-S (09901) due to its clear quality enhancement strategy, positive performance outlook, and attractive shareholder returns [1] Group 1: Financial Performance - In Q1 FY2026, the company achieved revenue of $1.523 billion, a year-on-year increase of 6.1%, exceeding the previous forecast of 5% [1] - Non-GAAP operating profit reached $336 million, up 11.3%, with a Non-GAAP operating profit margin increasing by 1 percentage point to 22% [1] - Non-GAAP net profit attributable to shareholders was $258 million, down 1.6%, primarily due to the impact of dividend withholding tax [1] - Deferred revenue at the end of the period was $1.907 billion, reflecting a 10% increase [1] Group 2: Business Segment Performance - K9 education new business revenue grew by 15%, with non-academic training participants at 530,000, up 10%, and paid active users for learning machines at 452,000, up 40% [2] - High school training revenue increased by 7%, affected by scheduling and regional discounts, with expectations for improved K12 business revenue in FY26Q2 [2] - Study abroad training and consulting revenue grew by 1% and 2%, respectively, benefiting from a favorable external environment and the company's focus on non-U.S. countries and younger demographics [2] - University student business revenue increased by 14%, outperforming the previous expectation of 10% growth [2] Group 3: Future Outlook and Shareholder Returns - For FY2026Q2, the company expects net revenue growth of 9%-12%, maintaining a full-year guidance of 5%-10% growth [3] - A three-year shareholder return plan has been announced, with plans to distribute at least 50% of the previous fiscal year's net profit to shareholders [3] - The board has approved a total cash dividend of approximately $190 million and a share buyback plan of up to $300 million within the next 12 months, totaling 132% of the FY2025 net profit [3] - The current shareholder return plan corresponds to an estimated return rate of about 5.1% based on the latest market capitalization [3]

Core Viewpoint - Guosen Securities maintains an "outperform" rating for New Oriental-S (09901) due to its clear quality enhancement strategy, positive performance outlook, and attractive shareholder returns [1] Financial Performance - In Q1 FY2026, the company achieved revenue of $1.523 billion, a year-on-year increase of 6.1%, exceeding the previous forecast of 5% [2] - Non-GAAP operating profit reached $336 million, up 11.3%, with a Non-GAAP operating margin improvement of 1 percentage point to 22% [2] - Non-GAAP net profit attributable to shareholders was $258 million, down 1.6%, primarily due to the impact of dividend withholding tax [2] Business Segment Performance - K9 education new business revenue grew by 15%, with non-subject training participants reaching 530,000, an increase of 10% [2] - The number of active paid users for learning machines increased by 40% to 452,000, indicating strong brand appeal [2] - High school training revenue increased by 7%, affected by scheduling and regional discounts [3] - Study abroad and consultation revenue grew by 1% and 2% respectively, benefiting from improved external conditions [3] - University business revenue rose by 14%, outperforming the previous expectation of 10% growth [3] Future Outlook - For Q2 FY2026, the company expects revenue growth of 9%-12% and maintains a full-year revenue growth guidance of 5%-10% [4] - A three-year shareholder return plan has been announced, with plans to distribute at least 50% of the previous fiscal year's net profit to shareholders [4] - The board has approved a cash dividend of approximately $190 million and a share buyback plan of up to $300 million within the next 12 months, totaling 132% of the previous fiscal year's net profit [4]

Investment Rating - The investment rating for the company is "Outperform the Market" [6][4][22] Core Views - The company has shown a steady improvement in Non-GAAP operating profit margin, achieving a revenue of $1.523 billion in Q1 FY2026, a year-on-year increase of 6.1%, exceeding previous expectations [1][9] - The K12 business outlook remains positive, with expectations for revenue acceleration in FY2026Q2, projected to grow by 9%-12% [3][20] - A three-year shareholder return plan has been announced, with plans to distribute at least 50% of the previous fiscal year's net profit to shareholders, including a cash dividend of approximately $190 million and a share buyback plan of up to $300 million [3][20] Business Performance Summary - K9 education new business revenue increased by 15%, with non-subject training participants reaching 530,000, a 10% increase [2][11] - High school training revenue grew by 7%, impacted by scheduling and regional discounts [2][11] - The study abroad and university student business revenues increased by 1% and 14% respectively, outperforming previous expectations [2][11] - The company plans to enhance K12 business product capabilities and quality, anticipating improved retention rates and revenue growth [2][11] Financial Forecasts and Metrics - Revenue projections for FY2026 are set at $5.453 billion, with a year-on-year growth of 11.3% [5][24] - The adjusted net profit forecasts for FY2026-2028 are $430 million, $483 million, and $532 million respectively, with corresponding PE ratios of 22.6, 20.2, and 18.3 [4][22] - The company maintains a gross margin of 58.1% and continues to improve operational efficiency, with management and sales expense ratios decreasing [17][24]

Core Viewpoint - The company has announced its third-quarter financial report for 2025, ensuring the accuracy and completeness of the information provided, and has also established a joint venture company named Carbon Nest New Material Technology (Tengzhou) Co., Ltd. [7][10][8] Financial Data Summary - The third-quarter financial report for 2025 has not been audited [3] - The company reported a revenue of 17.407 million yuan from its computing power business, accounting for 6.24% of the main business revenue, with costs amounting to 9.8892 million yuan [10] Shareholder Information - The company guarantees the accuracy of the quarterly report and the financial information provided by its management team [2][6] Joint Venture Establishment - The joint venture, Carbon Nest New Material Technology (Tengzhou) Co., Ltd., has been registered with a capital of 100 million yuan and focuses on high-performance fibers and composite materials [8] Board Meeting and Resolutions - The sixth board meeting was held on October 28, 2025, where the third-quarter report was approved unanimously by all attending directors [14]

Exhibit 99.1 New Oriental Announces Results for the First Fiscal Quarter Ended August 31, 2025 BEIJING, Oct. 28, 2025 /PRNewswire/ – New Oriental Education & Technology Group Inc. (the "Company" or "New Oriental") (NYSE: EDU/ 9901.SEHK), a provider of private educational services in China, today announced its unaudited financial results for the first fiscal quarter ended August 31, 2025, which is the first quarter of New Oriental's fiscal year 2026. Financial Highlights for the First Fiscal Quarter Ended Au ...

Financial Data and Key Metrics Changes - Total net revenue increased by 6.1% year over year, reaching $1,412.6 million [4] - Non-GAAP operating margin improved to 22%, a year-over-year increase of 100 basis points [4] - Operating income rose by 6% year over year to $310.8 million [11] - Net income attributable to New Oriental decreased by 1.9% year over year to $240.7 million [12] - Non-GAAP net income decreased by 1.6% year over year to $258.3 million [12] - Deferred revenue increased by 10% year over year to $1,906.7 million [14] Business Line Data and Key Metrics Changes - Overseas test prep business revenue increased by about 1% year over year [5] - Overseas study consulting business revenue increased by about 2% year over year [5] - Adults and university students business revenue increased by 14% year over year [5] - New educational business initiatives recorded a revenue increase of about 15% year over year [7] Market Data and Key Metrics Changes - Non-academic tutoring business expanded to around 60 cities, with top 10 cities contributing over 60% of revenue [6] - Intelligent learning system and device business tested in around 60 cities, with top 10 cities contributing over 50% of revenue [7] - Integrated tourism-related business connected across 55 cities, with top 10 cities contributing over 50% of revenue [7] Company Strategy and Development Direction - The company is focused on enhancing operational resilience and sustainable profitability [4] - Plans to increase presence in cities with stronger performance while managing resources carefully [15] - Continued investments in AI and OMO (online merging offline) systems to improve educational services [8][9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about improving margins and operational efficiency while maintaining cost control [15] - Guidance for total net revenue in Q2 2026 is projected to be between $1,132.1 million and $1,263.3 million, representing a year-over-year increase of 9% to 12% [16] - Full fiscal year 2026 revenue guidance remains between $5,145.3 million and $5,390.3 million, indicating a year-over-year increase of 5% to 10% [16] Other Important Information - The company announced a cash dividend of $0.12 per common share and a share repurchase program of up to $300 million [17][18] - The effective tax rate for Q1 was higher due to special circumstances, expected to normalize in future quarters [54] Q&A Session Summary Question: Competition landscape in K-12 business - Management noted increased competition during summer but highlighted improved student retention and enrollment in autumn classes [22][23] Question: Share-based compensation increase - The increase in share-based compensation was attributed to grants issued in the previous fiscal year, expected to remain at similar levels in upcoming quarters [28][29] Question: Overseas business growth breakdown - Management indicated that younger age groups in overseas test prep grew over 25% year over year, while consulting business saw strong growth in non-U.S. and U.K. markets [34][35] Question: Operating margin outlook - Management expects continued margin expansion driven by cost control and operational efficiency, with optimism for Q2 [49][50] Question: Tax rate expectations - The effective tax rate was higher in Q1 due to special circumstances, with expectations for it to normalize in future quarters [54]

Financial Data and Key Metrics Changes - Total net revenue increased by 6.1% year-over-year, reaching $1,412.6 million [4] - Non-GAAP operating margin improved to 22%, a year-over-year increase of 100 basis points [4] - Operating income rose by 6% year-over-year to $310.8 million [11] - Net income attributable to New Oriental decreased by 1.9% year-over-year to $240.7 million [12] - Net cash flow from operations was approximately $192.3 million [13] Business Line Data and Key Metrics Changes - Overseas test prep business revenue increased by about 1% year-over-year [5] - Overseas study consulting business revenue increased by about 2% year-over-year [5] - Adults and university students business revenue increased by 14% year-over-year [5] - New educational business initiatives recorded a revenue increase of about 15% year-over-year [7] Market Data and Key Metrics Changes - Non-academic tutoring business expanded to around 60 cities, with top 10 cities contributing over 60% of revenue [6] - Intelligent learning system and device business tested in around 60 cities, with top 10 cities contributing over 50% of revenue [7] - Integrated tourism-related business connected across 55 cities, with top 10 cities contributing over 50% of revenue [7] Company Strategy and Development Direction - The company is focused on enhancing operational resilience and sustainable profitability [4] - Continued investments in new education business initiatives, particularly in AI and OMO systems [8] - Strategic approach to capacity expansion and hiring to ensure quality offerings [15] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about improving margins and operational efficiency [15] - Guidance for total net revenue in Q2 2026 is projected to be between $1,132.1 million and $1,263.3 million, representing a year-over-year increase of 9%-12% [16] - Full fiscal year 2026 revenue guidance remains between $5,145.3 million and $5,390.3 million, indicating a year-over-year increase of 5%-10% [16] Other Important Information - Shareholder return plan includes a cash dividend of $0.12 per common share and a share repurchase program of up to $300 million [17][18] - Deferred revenue increased by 10% year-over-year to $1,906.7 million [14] Q&A Session Summary Question: Competition landscape in K-12 business - Management noted increased competition during summer but highlighted improved student retention and enrollment in autumn classes [22][23] Question: Share-based compensation increase - The increase in share-based compensation was attributed to grants issued to management and staff, with expectations of similar levels in upcoming quarters [28][29] Question: Overseas business growth breakdown - Overseas test prep for younger age groups grew over 25% year-over-year, while consulting business saw strong growth in non-U.S. and U.K. markets [34][35] Question: Operating margin outlook - Margin expansion was driven by better utilization and cost control, with expectations for continued improvement throughout the year [48][49] Question: Tax rate expectations - The effective tax rate was higher due to special circumstances, with expectations for it to remain elevated in the near term [53] Question: Shareholder return policy - The company plans to maintain a high payout ratio and continue share buybacks as part of its capital allocation strategy [40][41]