TAL Education Group (NYSE: TAL), a leading smart learning solutions provider in China, witnessed a stellar performance in the second quarter of fiscal year 2025, fueling a pre-market surge of 5.19% in its stock price.

For the quarter ended August 31, 2024, the company reported a 50.4% year-over-year increase in net revenues to $619.4 million, driven by strong growth in its learning services and AI learning device segments. Operating income soared 49.8% to $47.6 million, while net income attributable to TAL jumped 51.5% to $57.4 million, or $0.09 per American Depositary Share (ADS).

The impressive results extended into the first six months of fiscal 2025, with net revenues rising 50.4% year-over-year to $1.03 billion. Operating income for the period was $30.3 million, a significant improvement from the $26.0 million loss in the same period last year. Net income attributable to TAL reached $68.8 million, compared to a net loss of $7.1 million in the prior-year period.

TAL's President and Chief Financial Officer, Alex Peng, expressed enthusiasm about the company's AI learning device business, stating, "We are excited about the opportunity to provide for our customers more accessibility to quality learning contents through these AI-power devices." The company plans to prudently manage its learning center network while maintaining a focus on offering quality learning experiences both online and offline.

As of August 31, 2024, TAL Education Group maintained a robust financial position with $3.45 billion in cash, cash equivalents, and short-term investments, providing ample resources for future growth and expansion initiatives.