Changes in Hong Kong stocks | New Higher Education Group (02001) rose nearly 7% in the afternoon, medium-term net profit increased 8.6% year-on-year, and recently signed a new Hainan Higher Education Cooperation

The Zhitong Finance App learned that the New Higher Education Group (02001) rose nearly 7% in the afternoon. As of press release, it had risen 5.75% to HK$0.92, with a turnover of HK$127.74 million.

According to the news, New Higher Education Group previously announced its interim results. Main revenue increased 7.8% year on year to RMB 1,413 billion, total revenue increased 11.4% year on year to RMB 1,651.3 billion, adjusted net profit increased 7.0% year on year to RMB 456 million, and net profit increased 8.6% year on year to 469 million yuan. In addition, the company signed a school-running cooperation agreement in mid-April to set up a higher education institution at the Hainan Free Trade Port.

According to Huatai Securities, the company's capital expenditure in the first half of the year was 393 million yuan, and the expenditure pace was in line with the annual guidelines (800 to 90 million yuan). The application process for upgrading academic qualifications in existing schools under the company is progressing steadily, and it was announced that it will cooperate in Hainan to set up a higher education institution with a bachelor's degree or above to further expand the school network. We believe that the fundamentals of the company have maintained steady growth during the transition period of academic upgrading. Higher education income and profits are stable, and we are optimistic about long-term sustainable endogenous growth.