Cash Management Needs ImprovementCompany disclosure flags cash management as an area to improve despite strong FCF growth. Persistent timing or working-capital inefficiencies could constrain liquidity for seasonal program buildup, limit optimization of returns, and raise operational risk.
Revenue Concentration RiskHeavy reliance on tuition and exam-prep fees concentrates exposure to enrollment trends, demographics and local education policy. Without significant non-tuition diversification, revenue is vulnerable to sustained shifts in student demand or competitive pricing.
Moderate Net Profit MarginA net margin around 6.7% is modest, limiting the firm's buffer against cost inflation or adverse enrollment shocks. Lower absolute profitability reduces free cash conversion headroom and constrains excess funds for strategic initiatives or aggressive growth investments.