- EDU2021-01-06
EDU: EDU Remains Focused On Executing Its Own OMO Strategy; Positive On FY2Q21 Performance
EDU will report FY2Q21 results on January 22nd before the market opens with an 8am EST conference call. We are positive on EDU’s FY2Q21 performance. While competition in the online education market is heating up, EDU is finding its own way to remain competitive by expanding its regional OMO (online merger offline) reach, instead of burning cash to buy temporary enrollments. We believe EDU’s OMO is likely to enable the company to accomplish better enrollment coverage without pressuring the margin…… - 2020-10-21
TAL: Higher Growth In Attendees Combined With Less Promotional Discounts Driving Better FY2Q21 Topline Results; Marketing For Online Business Was Still High
TAL will report FY2Q21 results on October 22nd before the markets open with an 8am EST conference call. We are positive on TAL’s FY2Q21 topline performance. Based on our data and model, we believe the company’s FY2Q21 revenue is likely to be at least in line, but highly likely to be higher than consensus at $1,133.0M (24.0% Y/Y growth, vs. company’s guidance of 15% - 21% Y/Y growth. …… - EDU2020-10-05
EDU: Stronger Recovery In U-Can And Higher ASP As A Result Of High Volume Of Course Sessions Are Likely To Lead To Positive FY1Q21 Performance
EDU will report FY1Q21 results on October 13th before the market opens with an 8am EST conference call. We are positive on EDU’s FY1Q21 performance. COVID-19 has changed how education is conducted; co-existence of offline, online and semi-online are likely to be the future. For EDU’s business, overseas and 1-1 are impacted, but its K-12, specifically U-Can, has bounced back nicely. While the number of K-12 courses and attendees grew 0.9% Y/Y and declined 7.1% Y/Y, respectively, the U-Can segment…… - NTES2020-08-03
NTES: The Growth Momentum of Games Continues In 2Q20; Growth Likely To Be Maintained On Strong Game Pipeline
NTES will report 2Q20 results on August 13th before the markets open with a call at 7:30am EST. We are positive on NTES’s fundamentals as the company continues to focus on game developments. On a short terms basis, since the game business was very strong in 1Q20 with 14.1% Y/Y growth, higher than prior quarters, we believe 2Q20 is likely to be lower than 1Q as most of the students studied at home so they have less leisure time. However, the company released the list of its 2020 game pipeline on …… - 2020-07-17
TAL: Full Scope Of Course Offerings And Higher Attendees Driving Better FY1Q21 Results
TAL will report FY1Q21 results on July 30th before the markets open with an 8am EST conference call. We are positive on FY1Q21 performance. Based on our data and calculations, we believe that TAL’s revenue in FY1Q21E is likely to be higher than consensus at $886.9M driven by higher attendee growth offset by lower growth in course offerings; the different growth profile in attendees and courses is signaling better gross margin. However, the consensus for FY2Q21E at $1,225M, or 34.0% Y/Y growth is…… - EDU2020-07-16
EDU: Continuing To Do Well In K-12 While Overseas Testing and Consulting Are Experiencing Longer Than Expected Impacts From COVID-19
EDU will report FY4Q20 results on July 28th before the markets open with an 8am EST conference call. Long term wise, COVID-19 has led to market consolidation by the major players like EDU; the underlying off-school tutoring market is at its very beginning stage of development. We believe the underlying market is approximately $100B in 2020 and the top 47 players only accounted for $8B in revenue in 2019; EDU and TAL accounted for about 6% of the total market. Short term wise, the company reset t…… - NTES2020-05-14
NTES: Game And Education Are Resilient Sectors During Economic Downturn; Better Popularity of Games Drive Better 1Q20 Performance; Maintain Buy
NTES will report 1Q20 results on May 19th after the markets close followed by a 10pm EST conference call. Based on our data and model, NTES’s 1Q20 revenue is likely to be higher than the Street at RMB15,592M. In recent months, NTES published several new hit games, including Xuanyuan Sword and Fantasy Westward Journey 3D, along with its flagship games, contributing to better topline growth. NTES’s games gained more popularity in 1Q20 because of the COVID-19 outbreak worldwide. …… - 2020-04-27
TAL: Combination Of Online And Offline Supporting Better Enrollments In FY4Q20 And FY1Q21; Maintain BUY
TAL will report FY4Q20 results on April 28th before the markets open with an 8am EST conference call. We are positive on TAL’s performance in FY4Q20. Based on our data and calculations, we believe that TAL’s revenue in FY4Q20E is likely to be higher than consensus at $860.8M (excluding Light Class). The revenue for Small Class/Peiyou is likely to grow 8.6% Y/Y, vs. 40.6% Y/Y in FY3Q20. The slower growth was because Peiyou offered a lot of lower price and promotional courses during the period of …… - EDU2020-04-20
EDU: K-12 Performed Well In FY3Q20; But In FY4Q20 & Onward Overseas Testing and Consulting Are Impacted By Outbreaks Worldwide; Adjusting Estimates Accordingly
EDU will report FY3Q20 results on April 21st before the markets open with an 8am EST conference call. We believe FY3Q20 is likely to be better than consensus and our model. But in 4Q20 and over the next several quarters, although we expect K-12 to continue to do well, EDU’s overseas testing preparation business is likely to be impacted by both domestic and international outbreaks as international travel is almost frozen. We believe such impacts have not been fully baked in yet and this part of r…… - NTES2020-02-11
T. H. Data Flash - NetEase, Inc. – December & 4Q19: Finalized Streamlining Its Businesses; Focusing On Core Business May Lead To Better Margin; Maintain Buy And Raise Price Target
While China is experiencing an outbreak of the coronavirus, which is going to have significant impact on China’s economy, we are positive on NTES’s business outlook. One thing that came out of the outbreak is that the internet has become a mainstream channel for many businesses, including online education and remote telecommuting. For NTES, its online games and online education are benefiting from the nationwide self-confinement and delayed school opening schedules. We are positive on NTES’s 4Q …… - EDU2020-01-16
EDU: Better Operation And Previous Gov’t Policies Led To High Growth In K-12 Attendees And Better FY2Q20 Performance; Maintain BUY And Raise Price Target
EDU will report FY2Q20 results on January 20th before the markets open with an 8am EST conference call. We are positive on EDU into FY2Q20 earnings. During the quarter, the growth of K-12 course offerings was strong. Based on our data and calculation, we believe EDU’s revenue in FY2Q20 is likely to be higher than consensus at $771.8M (29.3% Y/Y growth), driven by the higher growth of K-12 attendees. …… - 2020-01-13
TAL: Positive FY3Q20 Performance Driven By Expansions In Both Online And Offline; Maintain BUY
TAL will report FY3Q20 results on January 21st before the markets open with an 8am EST conference call. We are positive on TAL’s performance in FY3Q20. Based on our data and calculations, we believe that TAL’s revenue in FY3Q20E is likely to be higher than consensus at $837M driven by capacity expansion in both online and offline. Peiyou’s fully registered attendee capacity grew at a faster pace of 49.6% Y/Y as the company was aggressively adopting online and dual-teacher models, and acceleratin…… - 2019-10-16
TAL: Expect Better FY2Q20 Driven By High Growth In Course And Attendee Capacity Due To Online; Maintain BUY
TAL will report FY2Q20 results on October 24th before the markets open with an 8am EST conference call. Based on our data and model, we believe TAL’s FY2Q20E revenue is likely to be higher than consensus at $915M and our model. Peiyou is likely to grow 25.0% Y/Y vs. 20.0% Y/Y growth in FY1Q20 as its course and attendee capacities increased significantly due to its dual teacher and Peiyou Online. Xueersi.com, TAL’s online education, is also growing rapidly and is likely to grow 115% - 118% Y/Y dr…… - 2019-09-16
T. H. Data Flash – Chinese TAL Education – August & FY2Q20E: High Growth In Course and Attendee Capacity Drive Better FY2Q20; Maintain BUY
We are positive on TAL’s performance in FY2Q20. The company lowered its FY2Q20 revenue guidance as well as guided down its margins due to its online education expansion efforts. However, based on our data and model, we believe TAL’s FY2Q20E revenue is likely to be higher than consensus at $916M. Peiyou is likely to reach $696M in FY2Q20, growing 25.0% Y/Y vs. 20.0% Y/Y growth in FY1Q20; its course and attendee capacities increased significantly due to its dual teacher and Peiyou Online. …… - 2019-07-08
TAL: Online Courses Driving Enrollment Growth in FY1Q20; Xueersi.com Ramping, Driving Up Marketing Expense; Maintain BUY
TAL will report FY1Q20 earnings on July 25th before the markets open with an 8am EST conference call. We are positive on TAL into FY1Q20. Based on our data and analysis, we believe TAL’s FY1Q20 revenue is likely to be better than consensus driven by the growth in enrollments as a result of its online efforts. TAL’s online efforts are on two fronts: dual-teacher and online for its core Peiyou courses and xueersi.com, a new start up within TAL. …… - EDU2019-07-08
EDU: K-12 Enrollments Driving Better Performance In FY4Q19; Expansion With Discipline; Maintain BUY
EDU will report FY4Q19 results on July 23rd before the markets open with an 8am EST conference call. We are positive on EDU into FY4Q19 earnings. Based on our data and analysis, we believe EDU’s revenue in FY4Q19 is likely to be higher than consensus at $836.9M (exchange rate adjusted) and the high end of guidance range of $807.1M to $826.8M (exchange rate adjusted). …… - XRS2019-01-16
TAL: Complying With Government Regulations While Managing FY3Q19 Growth; Maintain BUY
TAL will report FY3Q19 earnings on Thursday, January 24th before the markets open with an 8am EST conference call. The Chinese government came out with four different sets of policies regulating the non-State-owned education sector, including the off-school tutoring area. Due to the policies, TAL provided its FY3Q19 guidance much lower than its growth in FY2Q19 and previously at 30% - 32% Y/Y growth. …… - EDU2019-01-10
EDU: Complying With New Regulations While Managing Growth of Attendees And Utilizations In FY2Q19; Maintain BUY
EDU will report FY2Q19 results on January 22nd before the markets open with an 8am EST conference call. We are positive on EDU into FY2Q19. The Chinese government came out with four different sets of policies regulating the non-State-owned education sector, including the off-school tutoring area. Due to the policies, EDU provided a lower guidance for FY2Q19 at about 22% - 26% Y/Y growth in US dollar terms. …… - XRS2018-12-20
T. H. Data Flash - Chinese TAL Education Group – FY3Q19E: Adjustment of Course Pricing Composition To Lead To Better Revenue and Margin For Small Class In FY3Q19; Maintain Buy
We are positive into TAL’s FY3Q19 on both revenue and margin. In October, TAL provided a surprisingly low guidance for FY3Q19; however, we believe total revenue is likely to be higher than the high end of the company’s guidance range of $563.2M to $571.9M and consensus at $577.7M, driven by the company’s new operational focus, which is getting rid of many lower priced temporary courses, promotional courses as well as some other kinds of low price courses. …… - 2018-10-23
TAL: Expect Better FY2Q19 Results; Uncertainties From Policies Are Likely To Promote Company’s Conservative Approach To Its Near Future
TAL will report FY2Q19 earnings on Thursday, October 25thbefore the markets open with an 8am EST conference call. We are positive forits FY2Q19 as our data show that revenue is likely to be better than the Streetexpectation. However, there are some uncertainties that are caused by thegovernment. During 2018, about 4 different policies and regulations came out inthe off-school education area. ……
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