HK Stock Market Move | CHINA EAST EDU (00667) up nearly 4%, the company's core profit capability is improving, institutions point to potential seasonal trade opportunities.

CHINA EAST EDU (00667) rose by nearly 4%, reaching 2.91% at the time of the report, at 5.29 Hong Kong dollars, with a turnover of 79.337 million Hong Kong dollars. In terms of news, CHINA EAST EDU previously disclosed its performance for 2025. Citigroup believes that the company's performance for the 2025 fiscal year confirms a recovery, with adjusted net profit increasing by 50.9% year-on-year to 7.92 billion yuan, at the upper limit of the profit forecast range, and 3.6% lower than the bank's forecast of 8.22 billion yuan. However, this difference is entirely due to non-operating items and is not related to profit margins. Revenue for the period was 46.16 billion yuan, up 12.1%, beating the bank's forecast of 10% and management guidance. The gross profit margin increased by 3.9 percentage points to 55.3%, indicating that the core profitability is improving. The actual dividend payout ratio is about 76%. Guosen pointed out that under the boost of domestic demand expectations, he continues to be optimistic about the related education tracks that empower employment. Combining with the seasonal characteristics of operations, he recommends Shanghai Action Education Technology, a leader in entrepreneur training, and CHINA EAST EDU, a leader in blue-collar vocational skills training. In addition, he suggests paying attention to potential seasonal trading opportunities in the personalized tutoring business of Xueda (Xiamen) Education Technology Group under the countdown sprint window for the college entrance examination.