BEIJING, Aug. 1, 2024 /PRNewswire/ -- TAL Education Group (NYSE: TAL) ("TAL" or the "Company"), a smart learning solutions provider in China, today announced its unaudited financial results for the first quarter of fiscal year 2025 ended May 31, 2024. Highlights for the First Quarter of Fiscal Year 2025 Net revenues were US$414.2 million, compared to net revenues of US$275.4 million in the same period of the prior year. Loss from operations was US$17.3 million, compared to loss from operations of US$57.8 m ...

Investment Rating - The report maintains a "Buy" rating for TAL Education Group (TAL US) with a target price of USD 15.50, representing a potential upside of 47.3% from the current price of USD 10.52 [1][10]. Core Insights - The report highlights TAL's strong revenue growth, projecting a 42% year-over-year increase in Q1 FY2025, with expected revenues of USD 390 million [2][3]. - The company is expanding its teaching points significantly, with an estimated 14% quarter-over-quarter increase and a year-over-year growth of approximately 65-70% [2][3]. - TAL's hardware sales, particularly the new learning machine launched in May, are expected to drive high growth, with sales estimates of 70,000 to 80,000 units for the quarter [2][3]. Financial Overview - Revenue projections for TAL are as follows: USD 1,490 million for FY2024, USD 2,036 million for FY2025, and USD 2,514 million for FY2026, with respective growth rates of 46.2%, 36.6%, and 23.5% [4][11]. - The adjusted net profit is expected to reach USD 142 million in FY2025, with a significant increase of 67% year-over-year [3][4]. - The report estimates a non-GAAP net profit of USD 85 million for FY2024 and USD 142 million for FY2025, indicating a recovery from previous losses [11]. Valuation Metrics - The current price corresponds to a price-to-earnings (P/E) ratio of 47 times for FY2025, with a price/earnings growth (PEG) ratio of 0.7, suggesting an attractive valuation [3][4]. - The report indicates a projected gross margin of 56.3% for FY2025, reflecting operational efficiency improvements [11].

交银国际研究 公司更新 好未来教育 (TAL US) 1 年股价表现 7/23 11/23 3/24 -20% 0% 20% 40% 60% 80% 100% 120% 140% 160% TAL US MSCI中国指数 资料来源: FactSet 教学点扩张布局暑期拉新,学习机新品发售,硬件收入保持高增长 教育 2024 年 7 月 9 日 收盘价 目标价 潜在涨幅 美元 10.52 美元 15.50 +47.3% 股份资料 | | | |--------------------|----------| | 52周高位 (美元) | 15.24 | | 52周低位 (美元) | 6.00 | | 市值 (百万美元) | 4,805.22 | | 日均成交量 (百万) | 1.75 | | 年初至今变化 (%) | (16.71) | | 200天平均价 (美元) | 12.06 | 资料来源: FactSet 估值:我们维持公司2025财年收入增速37%以及调整后净利润增速67%的 | | | |-------------------------------------------------------- ...

BEIJING, May 31, 2024 /PRNewswire/ -- TAL Education Group ("TAL" or the "Company") (NYSE: TAL), a smart learning solutions provider in China, today announced that it filed its annual report on Form 20-F for the fiscal year ended February 29, 2024 (the "Annual Report") with the Securities and Exchange Commission (the "SEC") on May 31, 2024, U.S. Eastern Time. The Annual Report can be accessed and downloaded on the Company's website at https://ir.100tal.com/, as well as on the SEC's website at http://www.sec. ...

VIE Structure and Regulatory Risks - VIEs and VIE Subsidiaries contributed 95.5%, 84.9%, and 82.6% to the company's net revenues for the fiscal years ended February 28, 2022, 2023, and February 29, 2024, respectively[14]. - The company relies on VIE Contractual Arrangements to control VIEs and VIE Subsidiaries, which may not be as effective as direct ownership[21]. - The company faces risks related to the VIE structure, including potential regulatory changes that could affect the enforceability of VIE Contractual Arrangements[22]. - The Holding Foreign Companies Accountable Act could lead to the prohibition of trading the company's shares if audit reports are not compliant for two consecutive years[24]. - The company is subject to uncertainties regarding the interpretation and application of PRC laws affecting its operations and VIE structure[22]. - The company may incur substantial costs to enforce VIE Contractual Arrangements due to potential conflicts of interest with individual equity holders[21]. - The company faces potential penalties if the PRC government determines that its VIE structure is not compliant with applicable laws[170]. - The company may incur substantial costs to enforce rights under VIE contracts, relying on PRC laws, which may not be effective[183]. - The legal owners of the VIEs may have conflicts of interest that could adversely affect the company's business and financial condition[184]. - The VIEs' assets are not secured for the benefit of the company, which may limit the ability to seize assets if VIEs fail to pay amounts due[181]. - Any failure by the VIEs or their equity holders to perform obligations under the VIE Contractual Arrangements could materially affect the company's financial condition[182]. - The company does not have priority pledges or liens against the assets of the VIEs, which poses risks if any VIE undergoes liquidation[196]. Financial Performance - Total consolidated net revenues for the year ended February 28, 2023, were $1,019,772,000, a decrease from $4,390,907,000 in the previous year[44]. - The company reported a net loss of $131,978,000 for the year ended February 28, 2023, compared to a net loss of $1,164,335,000 in the previous year[44]. - Net revenues decreased by 76.8% from $4,390.9 million for the fiscal year ended February 28, 2022, to $1,019.8 million for the fiscal year ended February 28, 2023, primarily due to the cessation of K-9 Academic AST Services in mainland China[53]. - The company experienced net losses in each of the fiscal years ended February 28, 2022, 2023, and February 29, 2024, indicating ongoing financial challenges[148]. - Total costs and operating expenses for the consolidated total were $(1,576,114) thousand for the year ended February 29, 2024[43]. - The company reported total costs and operating expenses of $1,133,185,000 for the year ended February 28, 2023[44]. - The company has not made any dividends or distributions to TAL Education Group from its PRC subsidiaries as of the date of the report[34]. - The PRC Enterprise Income Tax Law imposes a withholding income tax of 10% on dividends distributed to foreign holding companies[40]. Regulatory Environment and Compliance - The PRC government has indicated an intent to exert more oversight over overseas offerings, creating uncertainties for TAL Education Group's future capital raising activities[29]. - The PRC government has indicated an intent to strengthen oversight over overseas offerings by China-based issuers, with new regulations effective from March 31, 2023, requiring filing procedures with the CSRC for domestic companies seeking to list abroad[201]. - The Revised Cybersecurity Review Measures, effective February 15, 2022, mandate that network platform operators holding personal information of over one million users must apply for a cybersecurity review before listing abroad[201]. - The Draft Data Security Regulations require data processors that process personal information of more than one million individuals to apply for a cybersecurity review for overseas listings, but the standards for national security impact remain unclear[202]. - The PRC Data Security Law, effective September 2021, establishes security review procedures for data-related activities that may affect national security, with significant discretion given to government authorities in enforcement[208]. - Compliance with evolving PRC laws regarding cybersecurity and data privacy may lead to increased costs and operational changes for the company, potentially harming its business and reputation[206]. - The company is closely monitoring the evolving regulatory environment and is making efforts to comply with relevant administrative measures[86]. Operational Challenges - The company is facing significant uncertainties regarding compliance with PRC laws and regulations affecting the after-school tutoring industry, which could materially impact its operations[62]. - The company has noted that failure to develop new learning products under recent regulatory policies may adversely affect its business and results of operations[60]. - The company faces significant challenges in developing new learning products and services under current regulatory policies in China, which may adversely affect business operations and revenue growth[79]. - The company must maintain and enhance brand value to attract new learners, with potential risks from learner dissatisfaction and ineffective marketing strategies[83]. - The learning solutions market in China is highly competitive, with significant pressure to reduce course fees or increase spending to retain or attract learners[87]. - The company may face challenges in recruiting, training, and retaining qualified teachers, which are critical to the effective delivery of services[92]. - The company has faced disruptions due to the COVID-19 pandemic, affecting customer acquisition and operational management[157]. - The company has faced challenges in obtaining leases at desirable locations, which could adversely affect its operations and expansion plans[133]. Legal and Litigation Risks - The company is currently facing multiple legal proceedings, claims, and investigations that could adversely affect its reputation and financial condition[118]. - A civil money penalty of US$1.25 million was paid to the SEC to settle allegations without admitting or denying the claims, concluding the SEC's proceeding[123]. - The company is defending against putative shareholder class action lawsuits related to its ADSs, with ongoing motions to dismiss filed in response to amended complaints[120][122]. - The company has not been able to estimate the possible loss associated with ongoing lawsuits, which could materially impact its business and cash flows if unsuccessful[123]. - The company is subject to various claims arising from alleged violations of laws by learners, teachers, vendors, and competitors, which could lead to significant legal costs and damages[124]. Cash Flow and Capital Needs - The company generated net cash provided by operating activities of $306,172,000 for the year ended February 29, 2024[48]. - The company reported a total of $137,445,000 in net cash provided by investing activities for the year ended February 29, 2024[48]. - The company may need additional capital to pursue business objectives, but financing may not be available on acceptable terms[146]. - The company relies on its subsidiaries for cash distributions to meet payment obligations under its indebtedness, which may face legal limitations[145]. Technology and Innovation - The company relies on innovative technologies and research and development capabilities, including AI-driven teaching methodologies, to fuel growth[90]. - The introduction of AI in the company's services may present operational and reputational challenges, which could adversely affect its financial condition and results of operations[214]. - The company cannot assure that it will keep up with the fast pace of technology changes, which could adversely affect its competitive position[90]. Internal Controls and Governance - The company's internal control over financial reporting was deemed effective as of February 29, 2024, according to management and an independent registered public accounting firm[165]. - The company incurred considerable costs to comply with Section 404 of the Sarbanes-Oxley Act, which may impact investor confidence if internal controls are not maintained[166]. Environmental, Social, and Governance (ESG) Concerns - The company is under increasing scrutiny regarding its environmental, social, and governance (ESG) practices, which could impact its access to capital[160].

4 好未来（TAL） 更新报告 买入 2024年5月22日 FY24Q4 业绩超预期，新业务保持高速增长。 但玉翠  24 财年 4 季度业绩概览：公司 24 财年 4 季度（23 年 12 月-24 年 2 +852-25321539 月）收入为 4.3 亿美元，同比增长 59.7%（美元计，下同），GAAP Tracy.dan@firstshanghai.com.hk 归母净利润为 0.28 亿美元，去年同期为-0.39 亿美元；Non-GAAP 归 母净利润 0.48 亿美元，去年同期为-0.13 亿美元，同比扭亏。季度 主要数据 末公司现金+短期投资为 34.7 亿美元，无银行负债。此外，公司递 延收入为4.3亿，同比增长80%。 行业 教育  线下网点持续扩张，新业务高速增长：我们估算 24 财年 Q4 公司业 股价 12.6美元 务结构:（1）教育培训业务占比约 2/3，其中素质教育培训业务占比 目标价 16.0美元 超 40%，同比增长超 50%，高中教培业务占比约 20%，实现稳定增 长。海外教培及其他业务总体占比较小。预估其线下教学点增加至 （+29.7%） 300-350 间。（2）内 ...

Group 1: Company Overview - Think Academy is a leading education solution provider owned by TAL Education Group, recognized for its innovative approach to mathematical education [1][5] - The company serves K-9 students across various countries, including the United States, Singapore, Australia, and the United Kingdom, offering both in-person and online educational opportunities [5] Group 2: Sponsorship of the International Mathematical Olympiad - Think Academy has announced its sponsorship of the International Mathematical Olympiad (IMO) from 2024 to 2028, aiming to support the preparation and development of the competition [1][2] - The sponsorship includes providing specialized training programs, resources, and mentorship opportunities for students, particularly those from countries facing financial difficulties [1][2] Group 3: Educational Philosophy and Impact - The company emphasizes not only mathematical proficiency but also the development of critical thinking, problem-solving skills, and a deep understanding of mathematical concepts [3][4] - Think Academy's teaching model has led to notable academic achievements, with several students selected to represent their national teams in the 2024 IMO, showcasing the effectiveness of its educational approach [4]

社会服务/教育 公 司 研 好未来（TAL.N） 科技教育领军者，政策常态化迎教培新纪元 究 2024年05月07日 ——公司首次覆盖报告 投资评级：买入（首次） 初敏（分析师） 李睿娴（联系人） chumin@kysec.cn liruixian@kysec.cn 日期 2024/5/7 证 书编号：S0790522080008 证书编号：S0790122120005  好未来乘风再启航，素养教育+ 学习机双轮驱动，归来仍是王者 当前股价(美元) 13.14 2021 年 9 月公司全面转型素养教育，目前业务分为学习服务解决方案以及学习 公 一年最高最低(美元) 15.52/5.09 内容方案两大板块。政策明晰下公司线下业务提速扩张，同时以学习机为主的内 司 首 总市值(亿美元) 84 容解决方案收入比重持续提升，预计FY2024两项业务实现收入10.7/4.2亿美元， 占收入的72%/28%。2023年9月以来好未来学习机线上销售额始终保持品类第 次 流通市值(亿美元) 64 覆 一，同时推出大模型 MathGPT 有望推动商业模式再进阶。我们预计 盖 总股本(亿股) 2.12 FY2025-FY202 ...

Investment Rating - The report maintains a "Buy" rating for TAL Education Group (TAL US) with a target price of $15.50, indicating a potential upside of 16.1% from the current price of $13.35 [1][2]. Core Insights - TAL Education Group reported better-than-expected performance for Q4 FY2024, with revenues of $430 million, a year-on-year increase of 60%, surpassing both internal and Bloomberg consensus estimates of 45% and 44% respectively [1][5]. - The strong revenue growth was driven by robust demand for quality education training and excellent sales performance of new learning devices, with a gross margin of 53% remaining stable year-on-year [1][5]. - Adjusted operating profit reached $9 million, with an operating margin of 2.2%, significantly improving from expected losses of $18 million [1][5]. Revenue Breakdown - Learning services revenue grew over 50% year-on-year, accounting for more than 40% of total revenue, primarily due to strong offline tutoring growth and rapid expansion of teaching centers, which reached 300-350 locations [1][5]. - Content solutions revenue more than doubled, driven by sales of learning devices, with approximately 100,000 units sold in Q4, exceeding the previous expectation of 80,000 units [1][5]. - The average selling price of new devices increased by 40%, contributing significantly to revenue growth [1][5]. Future Outlook - For Q1 FY2025, revenue is expected to grow by 42% year-on-year to $391 million, with tutoring services projected to increase by over 60% and content solutions by 85% [1][5]. - The company anticipates a narrowing of adjusted operating losses by 5 percentage points year-on-year to -7% due to improved R&D and marketing efficiency [1][5]. - For FY2025, total revenue is projected to grow by over 60%, driven by a 30%+ expansion in tutoring centers and an 80%+ increase in learning device-related revenue, leading to an overall revenue forecast of $2 billion [1][6]. Valuation Metrics - The current price corresponds to a P/E ratio of 24x for FY2025/26, which is in line with the industry average [1][6]. - The report suggests a target price based on a 20x P/E for education services and a 1x P/S for learning device business, maintaining the target price of $15.50 [1][6].

海外教育行业点评：好未来（TAL.N）发布2024财年四季报 营收、利润均超预期，业务趋势向好 2024年04月28日 事项：4月25日晚间，好未来（TAL.N）发布FY2024Q4季报，2023年12月 -2024年2月净收入4.30亿美元，yoy+60%；归母净利润2751万美元，同比 扭亏；经营亏损1106万美元，同比收窄75%，Non-GAAP经营利润944万美 元，同比扭亏。FY2024全年净收入14.9亿美元，yoy+46%；归母净亏损357 [Table_Author] 万美元，同比收窄97%；经营亏损6923万美元，同比收窄24%，Non-GAAP 经营利润1967万美元，yoy+10%。 ➢ 营收超市场预期，FY2024Q4末递延收入余额同比增长80%。FY2024Q4 公司净收入 4.30 亿美元/yoy+60%，高于彭博一致预期的 3.86 亿美元 /yoy+44%，其中，学习服务业务是收入的主要来源，Q4 保持增长趋势，主要 得益于教学点的增加和入学人数的上升。根据我们的统计，截至2024年2月， 分析师 易永坚 公司线下教学点数量约为 300-350 家。内容业务高增，主要受到学习机 ...