Core Viewpoint - Thinker Education (01769) has seen its stock price drop over 6%, reaching a low of 2.22 HKD, which is a 57.6% decline from its yearly high of 5.23 HKD [1] Financial Performance - For the six months ending June 30, 2025, the company reported revenue of 439 million RMB, representing a year-on-year growth of 10.1% [1] - The profit attributable to the company's owners was 62.93 million RMB, a decrease of 23.9% year-on-year [1] - After excluding share-based compensation expenses, the adjusted net profit attributable to owners was 81 million RMB, down 13.1% year-on-year [1] Margin Analysis - The gross margin for the first half of the year was 34.3%, which is a decline of 10.1 percentage points year-on-year [1] - The decline in gross margin is attributed to the new learning center in Guangzhou being in a ramp-up phase, leading to higher initial costs for rent and salaries, while initial revenues from experiential courses were relatively low [1] Market Dynamics - Revenue growth has slowed compared to 2024, primarily due to challenges in the Shenzhen market [1] - Increased competition in the Shenzhen market, along with personnel changes and management adjustments, have contributed to the slowdown in revenue growth [1]