TAL Education Group key statistics and ratios

In fiscal 2026, TAL Education Group had return on equity of 14.1%, an operating margin of 9.2%, debt equal to 0.0% of equity and a current ratio of 2.17. Each ratio below is calculated from the figures on its income statement, balance sheet and cash flow pages.

Financial ratios

US$ thousands unless shown otherwise. Fiscal years, plus the last twelve months (LTM) when newer.

TAL Education Group: financial ratios, annual
Fiscal year	2010Feb 2010	2011Feb 2011	2012Feb 2012	2013Feb 2013	2014Feb 2014	2015Feb 2015	2016Feb 2016	2017Feb 2017	2018Feb 2018	2019Feb 2019	2020Feb 2020	2021Feb 2021	2022Feb 2022	2023Feb 2023	2024Feb 2024	2025Feb 2025	2026Feb 2026
Gross margin	46.0%	49.2%	46.2%	48.8%	51.7%	53.2%	51.0%	49.9%	48.6%	54.6%	55.1%	54.4%	49.8%	57.2%	54.1%	53.3%	55.4%
Operating margin	22.2%	23.1%	11.8%	13.9%	18.3%	15.5%	13.7%	12.9%	12.2%	13.3%	4.2%	−9.7%	−14.0%	−8.9%	−4.6%	−0.1%	9.2%
Net margin	20.6%	21.7%	13.7%	14.8%	19.3%	15.5%	16.6%	11.2%	11.6%	14.3%	−3.4%	−2.6%	−25.9%	−13.3%	−0.2%	3.8%	17.6%
Free-cash-flow margin	33.8%	44.0%	0.4%	26.2%	28.9%	26.9%	26.1%	29.5%	32.6%	2.2%	20.7%	15.8%	−27.0%	−10.1%	13.0%	12.7%	16.9%
Return on equity	79.5%	27.8%	14.1%	17.5%	26.8%	23.4%	27.4%	21.6%	17.5%	17.9%	−4.4%	−3.0%	−24.6%	−3.4%	−0.1%	2.3%	14.1%
Return on assets	—	11.0%	9.5%	11.0%	16.3%	11.2%	11.2%	8.1%	8.1%	10.8%	−2.4%	−1.3%	−13.2%	−2.8%	−0.1%	1.6%	9.3%
Asset turnover	—	0.51	0.69	0.74	0.84	0.72	0.68	0.72	0.70	0.76	0.70	0.51	0.51	0.21	0.31	0.43	0.53
Current ratio	—	3.28	2.01	1.82	1.80	2.32	1.35	1.31	1.47	1.47	1.38	2.42	4.02	4.42	3.42	2.86	2.17
Debt to equity	0.0%	0.0%	0.0%	0.0%	0.3%	72.2%	52.1%	34.9%	14.6%	8.5%	10.4%	5.2%	0.0%	0.0%	0.0%	0.0%	0.0%
Interest cover (operating income ÷ interest)	—	—	—	—	—	11.6x	11.3x	10.2x	12.5x	19.4x	11.6x	n/m	n/m	—	—	—	—
Effective tax rate	8.8%	9.7%	14.6%	10.9%	9.9%	12.1%	24.5%	22.0%	18.1%	16.7%	—	—	—	—	88.0%	29.0%	22.5%
Capital spending as % of revenue	5.5%	4.7%	40.9%	2.7%	3.5%	7.1%	5.7%	6.8%	7.4%	5.4%	5.4%	5.5%	5.6%	10.8%	7.6%	5.0%	3.1%
Free cash flow ÷ net income	164.2%	202.4%	3.1%	177.2%	149.7%	174.0%	157.5%	263.4%	281.7%	15.2%	—	—	—	—	—	338.3%	95.8%
Dividends ÷ net income	—	124.8%	—	116.7%	—	—	0.0%	0.0%	20.7%	0.0%	—	—	—	—	—	—	—
Dividends and buybacks ÷ free cash flow	—	61.7%	—	70.0%	—	—	0.0%	0.0%	7.4%	0.0%	—	1.4%	—	—	120.7%	4.6%	126.7%

Returns use average equity or assets over the year. Return on equity is left blank when equity is negative or so small that the ratio says nothing (above ±200%); interest cover is left blank above 200 times. Price-based ratios such as P/E are on the valuation page.

Financial health

2 of 2 checks passed · February 28, 2026

What it owns · $5.9bn

Short-term assets $3.8bnLonger-term assets $2.1bn

What it owes, and who funded it · $5.9bn

Short-term liabilities $1.8bnLonger-term liabilities $395mShareholders' equity $3.8bn

Short-term assets cover short-term liabilities $3.8bn of assets due within a year against $1.8bn of liabilities due within a year.
Short-term assets cover long-term liabilities $3.8bn short-term assets against $395m of longer-dated liabilities.
More cash than debt Cash or debt not separately reported. Not assessable.
Debt below 40% of shareholders' equity Equity or debt not reported. Not assessable.
Debt burden no higher than five years ago Five-year comparison not available. Not assessable.
A year's operating cash flow covers at least 20% of debt Cash flow or debt not reported. Not assessable.
Operating profit covers interest at least five times over Interest not separately reported. Not assessable.

From TAL Education Group's latest balance sheet as filed. Checks are fixed, documented rules (methodology), counted only where the company reports the figures — a dot means the filing doesn't break the item out. Descriptions of reported data, not advice.

Moat

56 /100

Moderate moat

How hard TAL Education Group's competitive advantage looks for rivals to wear away, judged from 5 years of its own filings: returns on capital, pricing power, profit durability, cash conversion and discipline.

Pricing power 16 / 20

Gross margin has been a median 49.8%, moving by 3.1 percentage points (standard deviation) across 5 years.
Durability 3 / 20

Operating margin has been a median 12.2%; its worst year was -14.0%.
Cash conversion 18 / 20

Free cash flow was positive in 4 of 5 years, at a median 28.9% of revenue.

AI disruption exposure: Medium. In this industry, AI could change how the product is made or sold, without replacing the core asset. The score above includes a 5-point deduction for that exposure (61 before it).

A rules-based reading of reported figures, not a forecast and not investment advice. How the score is built: methodology.

Compare with peers

Head to head: KLC vs TAL LRN vs TAL CVSA vs TAL EDU vs TAL

More: Education Services stocks compared, Consumer Discretionary sector, rankings of US companies

Figures from TAL Education Group's SEC filings (10-K and 10-Q). How we read and check them: methodology and data sources. Not investment advice. Back to TAL Education Group.