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 considerable 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 consultation 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 [1] - The company aims to enhance service quality and operational efficiency while balancing sustainable growth and profitability [1] Summary by Sections Financial Performance - For FY25 H1, the company reported revenue of $2.47 billion, a year-on-year increase of 25.6%. Operating profit was $310 million, up 37.9%, while net profit attributable to shareholders was $280 million, an increase of 41.9% [2] - The company has expanded its self-operated product offerings to 600 SKUs, contributing approximately 37% to total GMV [2] Operational Metrics - The Non-GAAP operating profit for FY25 Q2 was $28 million, a decrease of 45.8%. The net profit attributable to shareholders was $32 million, reflecting a 6.2% increase [1] - The company recorded a net operating cash flow of $310 million for the quarter, with total cash and cash equivalents amounting to approximately $4.8 billion [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 revenue forecast for FY25-27 has been adjusted to $5.2 billion, $6.3 billion, and $7.5 billion respectively. The adjusted net profit forecast for FY25-27 is $500 million, $620 million, and $750 million respectively [5]
新东方-S：核心教育业务保持可观增长