Kaiwen Education(002659) 民生证券·2025-04-25 06:23Investment Rating - The report maintains a "Recommended" rating for the company, indicating a potential upside of over 15% relative to the benchmark index [5][10]. Core Insights - The company is experiencing a turning point in operations, with a steady increase in student enrollment and revenue growth, leading to a projected profitability turnaround [1][3]. - The "dual-track" system is expected to significantly enhance student capacity and enrollment at the Chaoyang Kevin school, with a projected increase in student numbers from 1,100 to 3,000 [2]. - The company is actively developing vocational education and government-enterprise training programs, establishing strategic partnerships with major tech firms, which is anticipated to drive future growth [2][3]. Financial Performance - In 2024, the company achieved a revenue of 320 million yuan, a year-on-year increase of 25.92%, with a projected revenue of 403 million yuan in 2025 [4][8]. - The gross profit margin is expected to improve, reaching 39.40% in 2025, up from 27.45% in 2024 [4][8]. - The net profit for 2025 is projected to be 43 million yuan, marking a significant turnaround from a loss of 37 million yuan in 2024 [4][8]. Future Projections - Revenue forecasts for 2025, 2026, and 2027 are 403 million yuan, 476 million yuan, and 547 million yuan respectively, with growth rates of 26.1%, 18.0%, and 15.0% [4][8]. - Earnings per share (EPS) are expected to improve from -0.06 yuan in 2024 to 0.20 yuan by 2027, reflecting the company's recovery trajectory [4][8]. Operational Efficiency - The company maintains a low debt ratio of 28.47% as of March 2025, with a good cash flow position, indicating financial stability [3]. - The company aims to optimize its asset structure to enhance performance and reduce the impact of depreciation and financial costs on earnings [3].