China Education Holdings (00839) rose nearly 9% in early trading. As of press release, it rose 7.69% to HK$5.04, with a turnover of HK$32.114,400.
The Zhitong Finance App learned that China Education Holdings (00839) rose nearly 9% in early trading. As of press release, it had risen 7.69% to HK$5.04, with a turnover of HK$32.114,400.
According to a report published by China Merchants Securities, the revenue of China Education Holdings reached 3.3 billion yuan for the first half of the fiscal year ending the end of the month, an increase of 18% year-on-year, exceeding the 15% growth rate generally expected by the market. Adjusted EBITDA grew 17% year-on-year, exceeding market expectations of 7% year-on-year, indicating that although the company increased capital investment for high-quality development, profit margin performance was stable. China Merchants Securities pointed out that China Education emphasized its dividend payment plan totaling RMB 3 billion for the 2024-2026 fiscal year, and is likely to further increase the dividend ratio.
Western Securities, on the other hand, said that during the reporting period, the company stepped up its expansion efforts, with a year-on-year increase of 66.6%, mainly related to the construction of new buildings in the existing campus and the expansion capacity of Shandong and Guangdong Province. With the expansion of the campus and the increase in courses, investment in teachers and teaching increased. In the future, as the company expands and completes construction, the scale effect will show, and the company's profitability will have a lot of room to improve.