Investment Rating - The report maintains a "Buy" rating for the company [1] Core Insights - The company achieved revenue of USD 1.039 billion in FY25Q2, representing a year-on-year increase of 19.4%. The net profit attributable to shareholders was USD 32 million, up 6.2% year-on-year, while the Non-GAAP net profit attributable to shareholders decreased by 29.1% to USD 36 million [3][4] Revenue Performance - The core education business (excluding selection) saw revenue growth of 31.3% year-on-year, exceeding previous guidance of 25%-28% [4] - Revenue from overseas exam preparation and consulting services grew by 21.1% and 31.0% year-on-year, respectively, with the consulting business benefiting from an increase in 2+2 projects and early revenue recognition [4] - Revenue from adult and college exam preparation services increased by 34.9% year-on-year, supported by a more favorable competitive landscape due to the exit of several institutions from the market [4] - New education business revenue grew by 42.6% year-on-year, with non-subject tutoring services expanding in nearly 60 cities and enrollment increasing by 26.5% to 994,000 [4] Guidance and Profitability - For FY25Q3, the company expects revenue (excluding selection) to be between USD 1.0073 billion and USD 1.0325 billion, reflecting a year-on-year growth of 18%-21% [5] - The company has adjusted its full-year revenue growth guidance (excluding selection) to 25% in RMB terms, down from a previous estimate of 30% [5] - The gross margin for FY25Q2 improved by 0.6 percentage points to 52.0%, while the Non-GAAP operating margin decreased by 3.2 percentage points to 2.7% due to pressures from new tourism and selection businesses [5] Profit Forecast and Valuation - The report lowers the net profit forecast for FY2025-2027 to USD 413 million, USD 555 million, and USD 712 million, respectively, reflecting reductions of 13%, 12%, and 11% [6] - The projected EPS for FY2025-2027 is USD 0.25, USD 0.34, and USD 0.44, with corresponding P/E ratios of 18x, 13x, and 10x [6] - The report expresses optimism about the education training industry's outlook and the company's competitive advantages, maintaining the "Buy" rating [6]
新东方-S：FY25Q2业绩点评：FY25Q2教育业务表现稳健，下半财年利润率预计承压