Financial Data and Key Metrics Changes - Total net revenue decreased by 2% year over year, but net revenue excluding Easter buy increased by 21.2% year over year [6] - Operating income increased by 9.8% year over year to $124.5 million [17] - Net income attributable to New Oriental increased by 0.1% year over year to $87.3 million [18] - Non-GAAP net income decreased by 14.3% year over year to $113.3 million [18] - Cash and cash equivalents totaled approximately $1.42 billion, with total assets around $4.7 billion [19] Business Line Data and Key Metrics Changes - Overseas test drive business revenue increased by 7% year over year [9] - Overseas study consulting business revenue increased by 21% year over year [9] - Adults and university students business revenue increased by 17% year over year [9] - New educational business initiatives recorded a revenue increase of 35% year over year [11] - Integrated tourism-related business line revenue increased by 85% year over year [11] Market Data and Key Metrics Changes - Top 10 cities contributed over 60% of the overseas test drive business [10] - Top 10 cities contributed approximately 50% of the intelligent learning system and device business [11] - Revenue contribution from top 10 cities in integrated tourism-related business exceeded 50% [12] Company Strategy and Development Direction - Company remains committed to long-term value creation and operational consistency [6] - Continued investments in AI and technology integration to enhance educational offerings and operational efficiency [14][22] - Share repurchase program extended with an increased aggregate value from $400 million to $700 million [15] Management Comments on Operating Environment and Future Outlook - Management anticipates total net revenue growth in the range of 10% to 13% for the upcoming quarter [20] - Cost control measures initiated to enhance efficiency and operating margins [21] - Management expects overseas related business growth to be in the range of 5% to 10% in the upcoming quarter [27] Other Important Information - Operating costs decreased by 3.2% year over year, while selling and marketing expenses increased by 13% [17] - Deferred revenue increased by 15% year over year to approximately $1.75 billion [19] Q&A Session Summary Question: Drivers of slowdown in overseas related businesses - Management indicated that the slowdown is due to macroeconomic conditions and international relations changes, projecting growth of 5% to 10% for overseas related business in Q4 [27] Question: Breakdown of other business growth in Q4 - Management provided estimates for Q4 growth: overseas related business around 8%, domestic university students business around 19%, high school business around 16-17%, and K-9 educational business around 30-35% [30] Question: K-9 offline enrollment growth and learning device impact - Management explained that slower K-9 growth is impacted by enrollment timing differences and expects K-9 business to grow over 35% in Q4 [41] Question: Sustainability of margin expansion into FY26 - Management expects margin expansion due to ongoing cost control and efficiency enhancements, aiming for a lower percentage of headquarters expenses in FY26 [70][72] Question: Future shareholder payback plans - Management confirmed ongoing discussions for future capital allocation plans, including potential dividends and share buybacks [50] Question: Growth expectations for other business segments next year - Management anticipates similar growth rates for core business lines as in Q4, with overseas related business stabilizing and K-9 new business expected to grow around 25-30% [58] Question: AI and technology development strategy - Management emphasized the integration of AI in teaching and learning processes, enhancing efficiency and data collection for better student outcomes [63][64] Question: Learning hardware business strategy amid competition - Management expressed confidence in the learning hardware business model, leveraging educational strengths and technology to maintain competitive margins [81][83]

Exhibit 99.1 New Oriental Announces Results for the Third Fiscal Quarter Ended February 28, 2025 BEIJING, April 23, 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 third fiscal quarter ended February 28, 2025, which is the third quarter of New Oriental's fiscal year 2025. Financial Highlights for the Third Fiscal Quarter End ...

Financial Performance - For the third quarter of fiscal year 2025, net revenue decreased by 2.0% year-over-year to $1,183.1 million, while net revenue excluding self-operated products and live e-commerce increased by 21.2% to $1,038.3 million[9]. - Operating profit for the third quarter increased by 9.8% year-over-year to $124.5 million, with operating profit excluding losses from self-operated products and live e-commerce rising by 5.0% to $125.5 million[9]. - Net profit attributable to New Oriental shareholders for the third quarter rose by 0.1% year-over-year to $87.3 million[9]. - In the first nine months of fiscal year 2025, net revenue increased by 15.1% year-over-year to $3,657.1 million, and operating profit rose by 28.5% to $436.9 million[10]. - The company reported a Non-GAAP operating profit margin of 13.3% for the third quarter, down from 15.1% in the same period last year[12]. - The operating profit for the quarter was $124.5 million, an increase of 9.8% year-over-year, with a Non-GAAP operating profit of $142.1 million, a slight decrease of 0.2%[17]. - The net profit attributable to shareholders for the quarter was $87.3 million, a year-over-year increase of 0.1%, with basic and diluted earnings per ADS of $0.54[20]. - The Non-GAAP net profit attributable to shareholders was $113.3 million, a year-over-year decrease of 14.3%, with Non-GAAP earnings per ADS of $0.70[21]. - For the first nine months of fiscal year 2025, net revenue was $3,657.1 million, a year-over-year increase of 15.1%[24]. - Net revenue for the three months ended February 28, 2025, was $1,183,055, a decrease of 2.1% compared to $1,207,286 for the same period in 2024[42]. - Operating profit increased to $124,519, representing a 9.6% increase from $113,432 in the prior year[42]. - Net profit attributable to shareholders was $87,255, slightly up from $87,167 year-over-year[42]. - For the nine months ended February 28, 2025, net revenue rose to $3,657,107, an increase of 15.1% from $3,176,907 in the previous year[49]. - Operating profit for the nine-month period was $436,924, a 28.5% increase compared to $339,898 in the same period last year[49]. Cash and Assets - As of February 28, 2025, cash and cash equivalents totaled $1,418.8 million, with deferred revenue increasing by 15.0% year-over-year to $1,749.9 million[23]. - As of February 28, 2025, total assets amounted to $7,447.2 million, a decrease from $7,531.7 million as of May 31, 2024[39]. - Total liabilities decreased slightly to $3,471.7 million from $3,482.7 million during the same period[40]. - Shareholders' equity totaled $3,686.2 million, down from $3,775.9 million[40]. - Cash and cash equivalents increased to $1,418.8 million from $1,389.4 million[39]. - Short-term investments decreased to $1,853.6 million from $2,065.6 million[39]. - Cash and cash equivalents at the end of February 28, 2025, were $1,589,277, a decrease from $2,189,074 at the end of February 29, 2024[54]. Operational Efficiency and Strategy - The company is focusing on enhancing product quality and operational efficiency to drive sustainable growth and profitability[12]. - New Oriental is increasing investments in artificial intelligence technology applications in the education sector to improve operational efficiency and service satisfaction[12]. - The company is actively managing the expansion of its school network and executing strategic plans amid regulatory uncertainties in the private education sector in China[34]. - The company is focused on maintaining and enhancing the "New Oriental" brand while ensuring teaching and service quality[34]. - Future outlook includes potential benefits from recent and upcoming acquisitions, despite ongoing litigation risks[34]. Shareholder Returns and Financial Metrics - The total value of the share repurchase plan has been increased to $700 million, with approximately 14.4 million ADS repurchased for a total value of about $695.5 million as of April 22, 2025[13]. - The company reported a net profit excluding stock-based compensation and other adjustments, indicating a focus on Non-GAAP financial metrics[35]. - The company emphasized the importance of Non-GAAP financial indicators for assessing performance and liquidity[36]. - The weighted average shares used for calculating basic net profit per ADS decreased from 1,653,742,514 in 2024 to 1,630,423,658 in 2025, a reduction of approximately 1.4%[52]. - New Oriental's basic net profit per American depositary share (ADS) for the nine months ended February 28, 2025, was $2.24, up from $1.71 for the same period in 2024, representing a 31% increase[52]. - The diluted net profit per ADS under non-GAAP for the nine months ended February 28, 2025, was $2.55, compared to $2.40 for the same period in 2024, reflecting a 6.25% increase[52]. Cash Flow and Expenses - Operating cash flow for the nine months ended February 28, 2025, was $497,470, down from $745,808 in the same period of 2024, indicating a decrease of approximately 33.3%[54]. - Total revenue costs for the nine months ended February 28, 2025, amounted to $31,297, significantly reduced from $96,661 in the same period of 2024, showing a decrease of about 67.6%[52]. - The company reported a significant increase in cash flow from investing activities, which amounted to $79,891, compared to $11,285 in the previous year[47]. - The company experienced a net cash used in financing activities of $(486,494) for the nine months ended February 28, 2025, compared to $(51,208) in the same period of 2024, indicating a substantial increase in cash outflow[54]. - The impact of foreign exchange rate changes resulted in a cash outflow of $(5,667) for the nine months ended February 28, 2025, compared to $(21,041) in the same period of 2024, showing a decrease in negative impact[54].

Investment Rating - The report maintains a "Buy" rating for New Oriental Education Technology (9901 HK) with a target price adjusted to HKD 46.00, indicating a potential upside of 24.7% from the current price of HKD 36.90 [1][4][10]. Core Insights - The report highlights that the study company is experiencing pressure in its study abroad business while maintaining stable performance in K12 education. The revenue for non-selective business is expected to grow by 22% year-on-year, with an adjusted operating profit margin declining by approximately 2.5 percentage points due to slower growth in study abroad-related services and investments in cultural tourism [2][8]. - The company plans to allocate more resources to youth study abroad services, and with cost reduction and efficiency improvement measures taking effect, there is still potential for long-term profit margin improvement [2][8]. Financial Forecast Adjustments - Revenue projections for FY25E have been slightly adjusted to USD 4,902 million, a decrease of 0.9% from previous estimates. For FY26E and FY27E, revenue is projected at USD 5,670 million and USD 6,420 million, reflecting decreases of 2.2% and 3.9% respectively [3][13]. - The adjusted operating profit for FY25E is forecasted at USD 503 million, with an operating profit margin of 10.3%. For FY26E and FY27E, the adjusted operating profit is expected to be USD 656 million and USD 771 million, with margins of 11.6% and 12.0% respectively [3][13]. - The adjusted net profit for FY25E is projected at USD 474 million, with a net profit margin of 9.7%. For FY26E and FY27E, net profit is expected to be USD 519 million and USD 620 million, with margins of 9.2% and 9.7% respectively [3][13]. Revenue Breakdown - The report provides a detailed breakdown of revenue sources, indicating that the study abroad consulting and preparation services are expected to generate USD 1,182 million in FY25E, while high school education is projected at USD 1,295 million. New business segments are expected to contribute USD 1,268 million [3][8][13].

Investment Rating - The report maintains a "Buy" rating for New Oriental Education Technology (9901 HK) with a target price adjusted to HKD 46.00, indicating a potential upside of 24.7% from the current price of HKD 36.90 [1][10][12]. Core Insights - The report highlights that the study company is experiencing pressure in its study abroad business while maintaining stable performance in K12 education. The revenue for non-selective business is expected to grow by 22% year-on-year, with an adjusted operating profit margin declining by approximately 2.5 percentage points due to slower growth in study abroad-related services and investments in cultural tourism [2][4][8]. - The company plans to allocate more resources to youth study abroad services, and with cost reduction and efficiency improvement measures taking effect, there is still potential for long-term profit margin improvement [2][3][4]. Financial Forecast Adjustments - Revenue projections for FY25E have been slightly adjusted to USD 4,902 million, a decrease of 0.9% from previous estimates. For FY26E and FY27E, revenue is projected at USD 5,670 million and USD 6,420 million, reflecting decreases of 2.2% and 3.9% respectively [3][13]. - The adjusted operating profit for FY25E is forecasted at USD 503 million, with an operating profit margin of 10.3%. For FY26E and FY27E, the adjusted operating profit is expected to be USD 656 million and USD 771 million, with margins of 11.6% and 12.0% respectively [3][13][14]. - The adjusted net profit for FY25E is projected at USD 474 million, with a net profit margin of 9.7%. For FY26E and FY27E, net profits are expected to be USD 519 million and USD 620 million, with margins of 9.2% and 9.7% respectively [3][13][14]. Market Performance - The stock has a 52-week high of HKD 70.90 and a low of HKD 35.40, with a market capitalization of HKD 60,342.20 million. The stock has seen a year-to-date decline of 24.62% [6][12].

Investment Rating - The investment rating for the company is maintained as "Buy" [1]. Core Views - The report emphasizes the ongoing adjustments in the study abroad business while highlighting the growth supported by the quality education and training sector [1][7]. - The company is expected to generate revenue of $1.225 billion in Q3 FY25, reflecting a year-on-year growth of 1.5%, with the education business (including cultural tourism) contributing $1.111 billion, a 21% increase [4]. - The report anticipates a decline in net profit attributable to the parent company, projected at $91 million, down 13.2% year-on-year, with a Non-GAAP net profit margin of 7.6%, narrowing by 1.1 percentage points [4]. Summary by Sections Study Abroad Business - The growth rate of the study abroad business has slowed, with revenue from overseas exam training and consulting reaching $310 million, a 16.6% increase, but down 30.1 percentage points from the previous year [5]. - The high-end one-on-one training segment faces challenges due to its premium pricing, and the demand for studying abroad is returning to normal after a surge due to the pandemic [5]. New Business Growth - New business segments, including K9 quality education and learning machine services, are expected to see a 37% year-on-year revenue growth, reaching $332 million [6]. - The company plans to expand its service offerings to meet differentiated demands in primary and secondary education, which is expected to drive rapid growth in new business [6]. Financial Projections - Revenue forecasts for FY25-FY27 have been revised down to $4.96 billion, $6.02 billion, and $7.34 billion, respectively, due to the slowdown in the high-margin study abroad business [7]. - Non-GAAP net profit estimates for FY25-FY27 have also been adjusted to $454 million, $534 million, and $636 million, respectively [7]. - The DCF target price has been lowered to $74.8, corresponding to a PE ratio of 17.3 for FY25 and a PEG ratio of 0.93 [7]. Financial Data - The company’s revenue for FY25 is projected at $4.959 billion, with a year-on-year growth rate of 14.96% [9]. - Adjusted net profit for FY25 is expected to be $454 million, reflecting a growth rate of 19.21% [11]. - The company’s cash and bank deposits are projected to increase to $2.021 billion by FY25 [12].

作 者丨 刘婧汐 编 辑丨骆一帆 天眼查显示，近日，上海山海有野酒店集团获得由上海赫程国际旅行社有限公司A轮融资2 6 2 6万元，占股6 7%，而后者由成都携程信息技术有 限公司1 0 0%持股。 也就是说，携程以2 6 2 6万元拿下了高端民宿品牌大乐之野6 7%股权。 价格战、同质化竞争激烈 小宁在桂林、阳朔运营民宿已有十年时间，但近两年来，她愈发觉得生意不好做了。 | 实际控制人 1 ⑦ ♀♀ 岳 实际控制人图谱 | | 国导出 2天眼查 | | --- | --- | --- | | 序号 | 实际控制人 | 总持股比例 | | | 携程 携程旅行网（香港）有限公司 (CTRIP.COM (HONGKONG) LIMITED) 垂 143 | 67.0443% + | 携程持有山海有野6 7 %股份。图源：天眼查 据悉，上海山海有野酒店集团有限公司2 0 1 7年成立于莫干山，创始人吉晓祥为同济大学规划专业背景。目前，山海有野旗下酒店数量为2 5家， 分布在莫干山碧坞村、苏州余山岛、宁夏中卫等地。 就在前不久，俞敏洪也向一家小众高端酒店品牌递去了橄榄枝 。天眼查显示，西藏松赞绿谷文化旅游有限公司的注 ...

Investment Rating - The report maintains a "Buy" rating for the company with a target price not specified [5]. Core Insights - The core education business continues to show significant growth, with FY25 Q2 revenue reaching $1.04 billion, a year-on-year increase of 19.4%. Excluding self-operated products and live e-commerce, revenue grew by 31% [1]. - The company reported a strong performance in overseas exam preparation and consulting services, with revenue growth of 21% and 31% respectively. Domestic exam preparation for adults and university students saw a revenue increase of 34.9% [1]. - New educational initiatives maintained robust growth, with a revenue increase of 42.6%. Non-subject tutoring services were launched in approximately 60 cities, attracting around 994,000 registrations this quarter [1]. - The company is focused on improving service quality and operational efficiency while balancing sustainable growth and profitability [1]. Financial Performance Summary - For FY25 H1, the company reported revenue of $2.47 billion, a 25.6% increase year-on-year. Operating profit was $310 million, up 37.9%, while net profit attributable to shareholders was $280 million, reflecting a 41.9% increase [2]. - The Non-GAAP operating profit for FY25 H1 was $330 million, a 10.8% increase, and the Non-GAAP net profit was $300 million, up 25.4% [2]. - The company recorded a Non-GAAP operating profit margin of 3.2% for FY25 Q2, an increase of 12 basis points year-on-year [3]. Future Outlook - The company expects FY25 Q3 revenue (excluding self-operated products and live e-commerce) to be between $1.01 billion and $1.03 billion, representing a year-on-year growth of approximately 18% to 21% [4]. Adjusted Earnings Forecast - The report adjusts revenue forecasts for FY25-27 to $5.2 billion, $6.3 billion, and $7.5 billion respectively. The adjusted net profit forecasts for FY25-27 are $500 million, $620 million, and $750 million respectively [5].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of $68.2 or HKD 53.0, representing an upside of approximately 44.3% and 42.1% respectively [4][5]. Core Insights - The company's FY25Q2 net revenue increased by 19.4% year-over-year to $1.04 billion, with a 31.3% increase in revenue excluding the self-operated products and e-commerce business of Dongfang Zhenxuan [2]. - The overall education business remains strong, although growth in new business segments has slightly slowed down [2]. - The company has a solid cash reserve of $4.8 billion, indicating strong financial health [4]. Financial Performance Summary - For FY25Q2, the company reported a gross margin of 52.0%, a slight increase of 0.6 percentage points year-over-year [3]. - The operating profit margin, excluding Dongfang Zhenxuan's self-operated products and e-commerce, was 2.8%, up by 1.0 percentage points year-over-year [3]. - The company expects FY25Q2 net revenue to be between $1.01 billion and $1.03 billion, reflecting a year-over-year growth of 18% to 21%, which is lower than previous guidance [3]. Revenue and Profit Forecast - The company forecasts revenue growth of 13.3% for FY25, reaching approximately $4.89 billion, with a projected operating profit of $494 million [6]. - Non-GAAP net profit is expected to grow by 28.5% in FY25, reaching $490 million [6]. - The report anticipates a continued strong performance in overseas exam preparation and consulting services, with expected growth of 15% [3]. Market Position and Valuation - The company's current market capitalization stands at $7.725 billion, with a price-to-earnings ratio of 44.7 at the current stock price of $47.24 [5][6]. - The report highlights the impact of macroeconomic uncertainties on high-end services, particularly in overseas exam preparation and one-on-one tutoring [4].

Investment Rating - The investment rating for the company is upgraded to "Accumulate" [4] Core Views - The company reported FY2025Q2 results with revenue and profit slightly exceeding previous guidance, but business growth is showing divergence, particularly in high-end segments like overseas education and cultural tourism, which are impacted by the macro environment [1] - The company expects a slowdown in revenue growth for FY2025, with projections adjusted from over 30% to over 25% for the year, and guidance for FY25Q3 non-selective business revenue growth set at 18%-21% [3][4] - The company anticipates a total of 1,143 schools and learning centers by FY25Q2, with a steady expansion forecast of 20%-25% for the full year [2] Financial Performance - For FY2025, the company forecasts net profits of $417 million, $555 million, and $672 million for FY2025, FY2026, and FY2027 respectively, with corresponding P/E ratios of 19.06x, 14.32x, and 11.83x [4][9] - FY2025Q2 revenue reached $1.04 billion, a year-on-year increase of 19%, surpassing Bloomberg consensus by 2% [8] - Non-GAAP operating profit for FY2025Q2 was $28 million, with a profit margin of 2.7% [8] Business Segments - The high-end business lines, particularly overseas exam preparation and cultural tourism, are experiencing significant growth but are also facing challenges due to macroeconomic factors [8] - K12 business remains resilient, with a year-on-year growth of 42.6% in new educational offerings for FY25Q2, and guidance for FY25Q3 growth exceeding 40% [8] - The cultural tourism segment saw a remarkable year-on-year revenue increase of 233% in FY25Q2, although growth is expected to slow in FY25Q3 due to external influences [8]