Investment Rating - The report assigns an "Accumulate" rating to the company [2][9][10]. Core Views - The company has successfully transformed into a profitable high school service provider, leveraging its reputation and superior teaching resources to attract students, while extending its asset-light model [2][3]. - The company is expected to achieve significant revenue growth, with projected revenues of CNY 32.63 billion, CNY 44.93 billion, and CNY 57.35 billion for FY2024, FY2025, and FY2026 respectively, reflecting year-on-year growth rates of 42%, 38%, and 28% [9][10][41]. Summary by Sections Investment Recommendations and Profit Forecast - The company is expected to achieve net profits of CNY 5.47 billion, CNY 7.09 billion, and CNY 8.88 billion for FY2024, FY2025, and FY2026, corresponding to PE ratios of 16, 12, and 10 times respectively [3][10][19]. Company Overview: Successful Transformation of a Private Education Leader - The company was a leading K12 private school group that transitioned to focus on profitable high school services after regulatory changes in 2021 [2][3]. - In FY24H1, the company reported revenue of CNY 16.45 billion, a 74% increase year-on-year, and a net profit of CNY 2.86 billion, up 66% year-on-year [19][41]. Industry Analysis: Demand Remains Rigid, Policies Gradually Clarified, High School Segment Expanding - The high school education sector is expected to benefit from an 8-9 year demographic dividend, with strong demand for education continuing [24][41]. - The private high school market is projected to grow from CNY 1,434 billion in 2024 to CNY 3,608 billion by 2032, with a CAGR of 12.23% [41][42]. Competitive Advantages: Leading Reputation and Teaching Resources, Asset-Light Model Extending Boundaries - The company boasts a higher-than-average admission rate and strong teaching capabilities, supported by a well-established educational system and diverse training paths [43][44]. - The company currently operates over 50 schools, with more than 33 high school campuses, indicating significant room for capacity utilization improvement [48][49].
天立国际控股公司首次覆盖报告：民办教育龙头成功转型，扎根高中业务再出发