New Oriental Q2 Profit Rises; Issues Q3 Outlook - Quick Facts

(RTTNews) - New Oriental Education and Technology Group Inc. (EDU), the largest provider of private educational services in China, reported second-quarter net income attributable to company of $5.9 million, representing a 70.3% increase from prior year. Earnings per ADS was $0.04 compared to $0.02. Non-GAAP net income attributable to New Oriental for the quarter was $10.9 million, representing a 40.5% increase from the same period of the prior fiscal year. Non-GAAP earnings per ADS attributable to New Oriental was $0.07, for the quarter.

Total net revenues increased by 17.7% year-over-year to $278.1 million. Net revenues from educational programs and services were $251.5 million, representing an 18.7% increase year-over-year. The company said the growth was mainly driven by increases in student enrollments in K-12 after-school tutoring courses.

New Oriental expects total net revenues in the third quarter of fiscal year 2016 to be in the range of $328.0 million to $339.5 million, representing year-over-year growth in the range of 14% to 18%. If not including the impact from the recent depreciation of Renminbi against the U.S. Dollar, the projected revenue growth rate is expected to be in the range of 20% to 24% for the third quarter of fiscal year 2016.