TAL Education Group

Latest Results (16.05.2026):

TAL Education Group — Fourth fiscal quarter and fiscal year ended February 28, 2026: TAL reported strong revenue and profit recovery. For Q4 FY2026 net revenues were US$802.4 million (up 31.5% YoY) and GAAP net income attributable to TAL was US$244.8 million (versus a US$7.3 million loss in Q4 FY2025), with basic and diluted net income per ADS of US$0.44. For the full fiscal year 2026, net revenues were US$3,008.9 million (up 33.7% YoY) and GAAP net income attributable to TAL was US$530.8 million, with basic and diluted net income per ADS of US$0.93 and US$0.92 respectively.

Revenue

Q4 FY2026 net revenues: US$802.4M (+31.5% YoY). FY2026 net revenues: US$3,008.9M (+33.7% YoY), showing broad top-line growth across the year.

Profitability (GAAP)

Q4 FY2026 income from operations: US$72.5M (vs a US$16.0M loss in Q4 FY2025). Q4 GAAP net income attributable to TAL: US$244.8M. FY2026 GAAP income from operations: US$276.0M and GAAP net income attributable to TAL: US$530.8M.

Non‑GAAP results

Q4 non‑GAAP income from operations (ex‑share‑based comp.): US$82.2M (vs non‑GAAP loss US$1.7M prior year). Q4 non‑GAAP net income attributable: US$254.5M; non‑GAAP net income per ADS: US$0.46 (basic), US$0.45 (diluted). FY2026 non‑GAAP net income: US$573.8M; non‑GAAP net income per ADS: US$1.00 (basic), US$0.99 (diluted).

Margins and costs

Q4 gross profit rose to US$427.2M and gross margin improved to 53.2% (from 52.0%). Q4 operating costs and expenses increased 16.6% YoY to US$729.9M; FY operating costs rose 21.3% to US$2,732.9M. Share‑based compensation allocated to operating costs declined (Q4: US$9.8M vs US$14.3M prior year; FY: US$43.1M vs US$64.9M).

Other income and impairments

Q4 other income jumped to US$275.0M (driven by fair‑value fluctuations of certain investments) vs US$13.0M prior year; Q4 impairment loss on long‑term investments was US$41.4M (vs US$4.2M). FY2026 other income: US$390.2M; impairment loss FY: US$42.8M.

Cash, liquidity and deferred revenue

As of Feb 28, 2026, cash, cash equivalents and short‑term investments totaled US$3,239.3M (cash & equivalents US$1,523.9M; short‑term investments US$1,715.4M), down from US$3,618.4M a year earlier. Deferred revenue rose to US$882.2M (from US$671.2M).

Cash flow

Q4 net cash used in operating activities: US$215.0M. FY2026 net cash provided by operating activities: US$601.5M. Investing and financing flows narrowed FY cash outflows (investing down vs prior year; financing large outflow partly from share repurchase authorization timing).

Capital return & management

Board authorized a new US$600M share repurchase program on July 28, 2025; between Jan 29 and Apr 22, 2026 the company repurchased 101,371 shares for ~US$3.3M. Management change: CTO Mi Tian stepped down to Senior VP on April 22, 2026 to focus on select technology initiatives.