New Oriental Education & Technology Group Inc. (EDU) operates as a prominent private education provider throughout the People's Republic of China, primarily ...
New Oriental Education & Technology Group Inc. (NYSE: EDU) is one of China’s best-known private education services companies, headquartered in Beijing. Since its founding in 1993, the company has built a nationwide footprint through a combination of physical schools/learning centers and digital learning platforms. Its model is centered on tutoring ...New Oriental Education & Technology Group Inc. (NYSE: EDU) is one of China’s best-known private education services companies, headquartered in Beijing. Since its founding in 1993, the company has built a nationwide footprint through a combination of physical schools/learning centers and digital learning platforms. Its model is centered on tutoring and education services that help students improve academic outcomes and language proficiency, particularly for standardized and entrance exams, along with broad-based English and foreign-language instruction.
From a business and service perspective, New Oriental’s operations are commonly organized around K-12 after-school tutoring (AST), test preparation, and language training. The company also operates an Online Education division that provides programs for learners across stages—ranging from early education and K-12 to college-level learning. Services extend beyond classroom-style instruction to include international education-related consulting, such as assistance for overseas academic studies and international study tours.
Product-wise, New Oriental emphasizes scalable content and curriculum development for language training and exam-oriented instruction. The company’s offerings include English instruction for children, as well as additional foreign languages (e.g., German, Japanese, French, Korean, Italian, and Spanish). In test preparation, New Oriental’s curriculum typically targets education admission examinations and related pathways in both China and international contexts.
On cost and operating economics, like many education providers, the business depends heavily on maintaining qualified teaching staff, classroom/learning-center operations, and content delivery systems. The company’s reported financial metrics (from the provided dataset snapshot) indicate solid gross margins (grossProfitMarginTTM ~0.546) and positive profitability measures (e.g., netProfitMarginTTM ~0.084), suggesting the platform can convert revenue into earnings after operating costs and overhead. Operational liquidity appears supportive with a current ratio around 1.50 (currentRatioTTM ~1.499), which helps fund ongoing staffing, facilities, and technology investments.
In terms of scale and people, the company reports a very large workforce (full-time employees shown in the dataset as 76,646). It also maintains a broad network of physical learning sites and learning centers (the provided description references a large footprint and an online infrastructure), and it has positioned its digital delivery to extend reach and reduce dependency on any single channel.
Key people include founder Michael Minhong Yu (Yu Minhong), who has served as the company’s chairman and is identified as the founder in the provided materials. The dataset also lists Chenggang Zhou as CEO. Looking ahead, New Oriental’s strategic focus is generally aligned with expanding and refining educational content, growing online and offline learning capacity, and supporting students’ long-term development through “lifelong” education offerings under the New Oriental brand.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$5.7B
+15.9%
+8.1%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$476.9M
+28.0%
-50.9%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+54.6%
-1.5%
-1.1%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+11.4%
+30.0%
-55.9%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+8.4%
+10.4%
-54.6%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$1.0B
+61.1%
+650.5%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+18.1%
+39.0%
+609.4%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
21.3%
-3.0%
+7.8%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
1.50x
-4.9%
-9.4%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator : Good evening, and thank you for standing by for New Oriental's FY 2026 Fourth Quarter Results Earnings Conference Call. [Operator Instructions] Today's conference is being recorded. If you have any objections, you may disconnect at this time. I'd now like to turn the meeting over to your host for today's conference, Ms. Sisi Zhao.
Sisi Zhao : Thank you. Hello, everyone, and welcome to New Oriental's Fourth Fiscal Quarter 2026 Earnings Conference Call. Our financial results for the period were released earlier today and are available on the company's website as well as on Newswire Services. Today, Stephen Yang, Executive President and Chief Financial Officer; and I will share New Oriental's latest earnings results and business updates in detail with you. After that, Stephen and I will be available to answer your questions. Before we continue, please note that the discussion today will contain forward-looking statements made under the Safe Harbor Provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. As such, our results may be materially different from the view expressed today. A number of potential risks and uncertainties are outlined in our public filings with the SEC. New Oriental does not undertake any obligation to update any forward-looking statements, except as required under applicable law. As a reminder, this conference is being recorded. In addition, a webcast of this conference call will be available on New Oriental's Investor Relations website at investor.neworiental.org. I will now first turn the call over to Mr. Yang. Stephen, please go ahead.
Zhihui Yang : Thank you, Sisi. Hello, everyone, and thank you for joining us on the call. We're pleased to bring you another quarter of remarkable results with revenue and income growth that have once again exceeded expectations. Our performance this quarter reflects not only the continued strength of our core business, but also the outstanding contributions of East Buy and our new creative ventures. Taken together, these assets have energized our strategic ambitions as we look ahead with confidence in the year to come. We're particularly pleased that despite the economic headwinds and external challenges, our relentless efforts to deliver the very best to our customers are yielding strong results. In this quarter, total net revenue grew 23% year-over-year to $1,529.5 million. Non-GAAP operating income rose 34.7% to $110 million, while operating margins for both the quarter and the fiscal year 2026 showed healthy increments. Both our core business and new initiatives continue to score meaningful traction this quarter. Breaking it down, overseas test prep business recorded a revenue increase of 6% year-over-year for the fourth quarter of 2026. Overseas study consulting business recorded a revenue increase of about 1% year-over-year for this quarter. Our adults and university students business …
