Core Viewpoint - Pacific Securities is optimistic about Kevin Education, giving it an "Overweight" rating due to its turnaround in profitability and growth in AI education initiatives [1] Financial Performance - In the first three quarters, Kevin Education achieved a net profit attributable to shareholders of 960,000, compared to a loss of 22.19 million in the same period last year, marking a significant turnaround [1] - In Q3, the net profit attributable to shareholders was 221,500, while in Q3 2024, it was a loss of 1.23 million, indicating a year-on-year improvement [1] - The company's cash flow has significantly improved, and its debt ratio has decreased [1] Business Development - Kevin Education is steadily growing its educational services and has entered the AI + education sector [1] - In September, the company announced the establishment of a joint venture, Zhihui Wenzhang, with Zhihui Huazhang and an employee stock ownership platform, holding a 65% stake [1] - Zhihui Wenzhang focuses on developing and operating AI smart products, providing solutions for modern educational learning, primarily targeting primary and secondary schools in Haidian District, with plans for future expansion [1] Growth Potential - Pacific Securities is optimistic about the continuous growth in student enrollment and the scale effects brought by the AI business layout [1]