Why did EDU's Q2 2025 EPS outperform expectations?

New Oriental's Q2 2025 EPS outperformed expectations due to several key factors:

1. **Revenue Growth**: Total net revenues increased by 19.4% year-over-year to $1,038.6 million for the second fiscal quarter of 2025. This robust growth is a testament to the company's successful business model and market demand for its educational services.
2. **Diversified Revenue Streams**: New Oriental's revenue growth was driven by various streams, including overseas test drive business and overseas study consulting business, which saw increases of 18% and 17% respectively, in dollar terms. This diversification mitigates risks and contributes to consistent revenue growth.
3. **Market Expansion**: The company's strategic expansion into new markets and channels, such as offline channels through vending machines, has contributed to its growth. This innovative approach allows New Oriental to reach a broader customer base and capitalize on emerging opportunities.

In conclusion, New Oriental's Q2 2025 EPS outperformance can be attributed to its strong revenue growth, diversified revenue streams, and successful market expansion. These factors collectively contribute to the company's financial performance and future prospects.