Investment Rating - The investment rating for the company is "Outperform the Market" [6][4][22] Core Views - The company has shown a steady improvement in Non-GAAP operating profit margin, achieving a revenue of $1.523 billion in Q1 FY2026, a year-on-year increase of 6.1%, exceeding previous expectations [1][9] - The K12 business outlook remains positive, with expectations for revenue acceleration in FY2026Q2, projected to grow by 9%-12% [3][20] - A three-year shareholder return plan has been announced, with plans to distribute at least 50% of the previous fiscal year's net profit to shareholders, including a cash dividend of approximately $190 million and a share buyback plan of up to $300 million [3][20] Business Performance Summary - K9 education new business revenue increased by 15%, with non-subject training participants reaching 530,000, a 10% increase [2][11] - High school training revenue grew by 7%, impacted by scheduling and regional discounts [2][11] - The study abroad and university student business revenues increased by 1% and 14% respectively, outperforming previous expectations [2][11] - The company plans to enhance K12 business product capabilities and quality, anticipating improved retention rates and revenue growth [2][11] Financial Forecasts and Metrics - Revenue projections for FY2026 are set at $5.453 billion, with a year-on-year growth of 11.3% [5][24] - The adjusted net profit forecasts for FY2026-2028 are $430 million, $483 million, and $532 million respectively, with corresponding PE ratios of 22.6, 20.2, and 18.3 [4][22] - The company maintains a gross margin of 58.1% and continues to improve operational efficiency, with management and sales expense ratios decreasing [17][24]
新东方-S（09901）：经调经营利润率提升，K12业务展望积极，更新股东回报计划