Action Education(605098) 民生证券·2025-03-09 07:48Investment Rating - The report maintains a "Recommended" rating for the company [5][6]. Core Viewpoints - The company is positioned as the "first stock" in effective management education, aiming to become a global effective business school by providing comprehensive lifecycle services for enterprises, including management training, consulting, and learning tools [1][11]. - The management training business is the core focus, with a compound annual growth rate (CAGR) of 21.68% from 2020 to 2023, accounting for 88.56% of the business in 2023, with a gross margin of 82.16% [2][18]. - The company has adopted a "one core, two wings" strategy to enhance its market network and expand its consulting business, which has seen a significant resurgence with a 122.81% year-on-year growth in the first half of 2024 [3][36]. - The company has a strong cash position with a high average dividend payout ratio, and it has secured a substantial order backlog, indicating good growth potential [4][5]. Summary by Sections Company Overview - The company, established in 2006, transitioned to a joint-stock company in 2011 and was listed on the stock market in 2021, becoming the first effective management education stock in China [11][13]. - The ownership structure features family control and platform holdings, with significant employee stock options introduced in 2022 [15][16]. Industry Analysis - The management training industry is experiencing rapid growth, with a projected market size of over 900 billion yuan in 2023, expected to reach 1.32 trillion yuan by 2025 [2][30]. - The industry is characterized by a large number of small companies, with leading firms like the company and its competitor holding a low market share of 0.07% and 0.03% respectively [2][34]. Strategic Development - The "one core, two wings" strategy focuses on strengthening management training while expanding consulting and equity investment services, with a notable increase in consulting revenue [3][36]. - The company is actively pursuing opportunities for international expansion and enhancing its digital education offerings [1][11]. Financial Performance - The company has demonstrated strong profitability with a net profit margin that has shown a consistent upward trend, and it has maintained a high return on equity (ROE) and return on assets (ROA) [19][20]. - Revenue forecasts for 2024 to 2026 predict significant growth, with expected revenues of 863 million yuan, 1.036 billion yuan, and 1.191 billion yuan respectively [5][6].