TAL Education Group-ADR (NYSE:TAL) Reports Q1 2026 Earnings: EPS Beat Offsets Revenue Miss, Shares Surge 10.8% in Pre-Market

TAL Education Group-ADR (NYSE:TAL) reported its unaudited financial results for the first quarter of fiscal year 2026, ending May 31, 2025. The company, a leading provider of smart learning solutions in China, posted revenue of $575 million, falling short of analyst expectations of $590.1 million. However, earnings per share (EPS) came in at $0.07, surpassing the consensus estimate of $0.04.

Key Financial Highlights

• Revenue Miss: Reported revenue of $575 million was 2.6% below the estimated $590.1 million.
• EPS Beat: The company delivered $0.07 in EPS, outperforming the $0.04 estimate by 75%.
• Pre-Market Reaction: Following the earnings release, shares surged 10.8% in pre-market trading, suggesting investor optimism despite the revenue shortfall.
• Recent Performance: Over the past month, TAL's stock has declined 2%, while the two-week and one-week performances show losses of 3.9% and 2.9%, respectively.

Market Reaction & Outlook

The strong EPS beat appears to be driving the positive pre-market response, as investors may be focusing on profitability improvements rather than the slight revenue miss. Analysts project full-year 2026 revenue at $3.005 billion, with Q2 2026 estimates set at $856.3 million in sales and $0.18 in EPS.

Press Release Summary

The earnings release reiterated TAL’s position as a key player in China’s K-12 tutoring and online education sector, though no explicit forward guidance was provided. The company continues to operate its core brands, including Xueersi and Firstleap, while expanding its digital learning platforms.

For a deeper dive into TAL’s earnings and analyst estimates, visit TAL Education Group’s earnings page.

Disclaimer: This article is for informational purposes only and does not constitute investment advice.