Investment Rating - The report maintains a "Buy" rating for New Oriental-S (09901) with a target price indicating an expected return of over 20% within the next six months [5][10]. Core Views - The company reported a revenue increase of 32.1% year-on-year for FY24Q4, reaching $1.14 billion, driven by strong growth in overseas exam preparation and new educational services [1][2]. - Despite a decrease in Non-GAAP net profit by 40.5% in FY24Q4, the overall annual performance showed a significant increase in revenue and net profit, indicating robust long-term growth potential [1][4]. - The company plans to expand its network by 20-25% in FY25, reflecting strong demand in the education sector and expected rapid growth in performance as new centers become operational [2][4]. Summary by Sections Financial Performance - FY24Q4 revenue was $1.14 billion, up 32.1% year-on-year, with significant contributions from overseas exam preparation (up 17.7%) and new educational services (up 50.3%) [1]. - For the full FY24, total revenue reached $4.31 billion, a 43.9% increase, with Non-GAAP net profit growing by 74.6% to $310 million [1][4]. Business Expansion - As of May, the total number of schools and learning centers reached 1,025, with a net increase of 114 centers in Q4, marking a 37% year-on-year growth [2]. - The company anticipates a revenue of $12.5-12.8 billion for FY25Q1, representing a year-on-year growth of 31-34% [1][4]. Strategic Outlook - The report highlights that the short-term impact from the performance of Dongfang Zhenxuan and the integration of tourism business will stabilize, allowing for improved profitability in the future [3][4]. - The tourism business is expected to contribute significantly to revenue, with projections of $1.2 billion in FY25 and potential breakeven by FY26 [3].
新东方-S：拨开短期杂音，加速成长