Financial Performance - The company reported total net revenue of $1.24 billion for Q4 FY2025, a year-on-year increase of 9.4%. Excluding non-core business revenues, the core education business net revenue was $1.09 billion, reflecting an 18.7% increase, indicating a recovery in the education sector [2][3] - For the full fiscal year 2025, total net revenue reached $4.9 billion, a 13.6% year-on-year growth, maintaining double-digit growth for two consecutive years, outperforming the industry average [2][3] - The company experienced an operating loss of $8.7 million in Q4, compared to an operating profit of $10.5 million in the same period last year, with net profit declining by 73.7% to $7.1 million due to short-term losses in the Oriental Selection segment and goodwill impairment [3][4] Cost Structure - Total operating costs and expenses for Q4 amounted to $1.25 billion, a year-on-year increase of 11.2%, slightly above revenue growth, primarily due to new business expansion and technology investment [4] - The cost of revenue was $570 million, growing by 5.1%, which is lower than revenue growth, indicating improved resource utilization [4] - Sales and marketing expenses were $210 million, up 1.8%, significantly lower than revenue growth, reflecting enhanced brand influence and customer retention [4] Business Segments - The overseas business showed resilience with a 14.6% year-on-year increase in revenue from overseas exam preparation and an 8.2% increase from overseas learning consulting [5][6] - Domestic core business targeting adults and university students grew by 17.0%, aligning with the increasing demand for higher education due to competitive job markets [7] - New education initiatives, particularly non-subject tutoring and intelligent learning systems, saw a 32.5% revenue increase, with significant student engagement in various educational fields [8] Strategic Upgrades - The company is focusing on improving its OMO (Online-Merge-Offline) teaching system and investing in AI technology across its educational ecosystem, enhancing product capabilities and operational efficiency [10] - A three-year shareholder return plan was approved, committing at least 50% of net profit for dividends and stock buybacks starting from FY2026, reflecting confidence in future cash flows [11][12] Future Outlook - The company projects total net revenue for FY2026 to be between $5.1453 billion and $5.3903 billion, representing a growth of 5%-10%, with cautious optimism due to seasonal factors and geopolitical influences [14] - Despite positive growth expectations, the company faces challenges such as intensified industry competition, regulatory uncertainties, and risks associated with overseas operations [15]