Four Seasons Education (Cayman) Inc. (FEDU): Marketing Mix Analysis [Dec-2025 Updated]

You're looking at Four Seasons Education (Cayman) Inc. right now, trying to figure out if their pivot away from the old model is actually working after the regulatory shakeup. Honestly, after reviewing their latest filings, the story is clear: they are aggressively chasing higher-margin enrichment and tourism, which is already showing up in the numbers. For instance, their gross margin jumped from 22.0% to 26.7% by H1 FY2026, even as they spent RMB8.1 million (US$1.1 million) on promotion in H1 FY2025 to push these new offerings. I've broken down exactly how their Product, Place, Promotion, and Price strategies are aligning to support this new reality-dive in to see the concrete evidence behind this strategic shift.

Four Seasons Education (Cayman) Inc. (FEDU) - Marketing Mix: Product

You're looking at the core offerings of Four Seasons Education (Cayman) Inc. (FEDU) as they stand after the first half of their 2026 fiscal year. The company's product strategy is a blend of tourism and education services within China. This dual focus means their offerings span both academic support and travel experiences for various age groups.

The emphasis has definitely shifted toward non-academic enrichment learning programs. This strategic pivot is supported by recent financial performance, showing that the enrichment learning business has a higher gross profit ratio, which is key to their profitability goals. For the six months ended August 31, 2025, total revenue reached RMB145.3 million (US$20.4 million).

The product portfolio is quite diverse, covering several distinct areas of service delivery. You can see the breadth of what Four Seasons Education (Cayman) Inc. is offering:

• Enrichment learning programs.
• School-based tutoring product solutions.
• Training programs for teachers.
• Study camps and learning trips for students.
• Travel agency services for all age groups.

The company explicitly stated a strategic move toward higher-margin tourism offerings is defintely key to establishing a more resilient business model. This focus on higher-margin products is definitely showing up in the gross profit figures. For the first half of fiscal year 2026, the gross profit margin improved to 26.7%, up from 22.0% in the same period of the prior year.

Here's a quick look at how the financial results for the first half of fiscal year 2026 reflect the success of this product mix:

The product development focus includes expanding the enrichment learning business prudently while scaling capacity in lockstep with market demand. Furthermore, the company is actively tilting its tourism product portfolio towards higher-margin, value-added offerings. For context on the full fiscal year ending February 28, 2025, the annual revenue was reported at 251.08M CNY.

The school-based tutoring solutions and teacher training programs remain a core component alongside the newer study camps and learning trips, which cater to all age groups. The strong net income growth of 313.9% year-over-year for the first half of fiscal year 2026 suggests the higher-margin focus is definitely impacting the bottom line.

Finance: draft 13-week cash view by Friday.

Four Seasons Education (Cayman) Inc. (FEDU) - Marketing Mix: Place

Four Seasons Education (Cayman) Inc. distributes its integrated tourism and education services primarily within the China market. The corporate headquarters is located in Shanghai, China.

The distribution strategy centers on a network of physical learning centers, which support their enrichment learning programs and school-based tutoring product solutions. This physical footprint is complemented by expansion into travel-related educational offerings. A key development in the distribution/asset base was the completion of the construction in progress for study camps located in Wuyuan, Jiangxi, during the fiscal year 2025. This completion also resulted in a change in accounting treatment, as interest expenses are no longer capitalized but expensed starting in the first half of fiscal year 2026.

The integrated model combines these local learning centers with travel destinations to deliver services like study camps and learning trips for students, alongside travel agency services for all age groups. Services are delivered through in-person instruction at these physical points of presence. The operational scale supporting this distribution network included a total of 339 employees as of February 28, 2025.

The company continues to focus on expanding this network of learning centers while optimizing operations to ensure program resonance with local learners. The balance sheet as of August 31, 2025, reflects the assets supporting this distribution and operational strategy.

The physical presence and operational capacity are underpinned by the following key figures:

• Headquarters Location: Shanghai, China.
• Study Camps Asset Completion: Wuyuan, Jiangxi facilities completed in fiscal year 2025.
• Total Employees: 339 as of February 28, 2025.
• Revenue (H1 FY2026, ended Aug 31, 2025): RMB145.3 million.

Four Seasons Education (Cayman) Inc. (FEDU) - Marketing Mix: Promotion

You're looking at how Four Seasons Education (Cayman) Inc. communicates its value proposition, which is key, especially when you see spending shift. The company definitely ramped up promotional spend to back its newer ventures. For instance, sales and marketing expenses for the first half of fiscal year 2025, which ended August 31, 2024, hit RMB8.1 million (US$1.1 million). This was a significant jump from the RMB2.2 million spent in the same period last year, showing support for the development of both the tourism business and the non-academic tutoring business. However, looking at the most recent figures, promotion spending adjusted, decreasing to RMB5.3 million (US$0.7 million) in the first half of fiscal year 2026, ended August 31, 2025, mainly due to a decrease in advertising activities. That's a 34.3% reduction from the H1 FY2025 spend. It's important to see the context of these marketing dollars against the overall financial picture.

Here's a quick look at how those sales and marketing expenses trended:

The core of the promotional message centers on quality, which helps differentiate Four Seasons Education (Cayman) Inc. in a competitive space. The strategy definitely emphasizes delivering high-quality learning experiences designed to resonate with local learners across their offerings. Furthermore, the company is strategically directing its promotional efforts toward segments that offer better profitability. You'll see a distinct focus on promoting the higher-margin enrichment and tourism segments. Specifically, management noted they are tilting the tourism product portfolio towards higher-margin, value-added offerings to build a more resilient business model.

The communication tactics also extend to the financial community, which is a form of promotion for investor confidence. You can track their official disclosures because investor relations are maintained through standard, verifiable channels. This includes making sure their latest financial reports are accessible. For example, Four Seasons Education (Cayman) Inc. filed its annual report on Form 20-F for the fiscal year ended February 28, 2025, with the Securities and Exchange Commission (the SEC) on June 26, 2025. Plus, they keep the market informed through direct outreach and web presence:

• Live and archived webcasts of conference calls are available on the investor relations website at https://ir.sijiedu.com.
• Official financial results announcements are distributed via press releases.
• Shareholders can request hard copies of annual reports containing audited consolidated financial statements.

Honestly, using the SEC filings and a dedicated IR site is the standard, dependable way to manage this part of the communication mix.

Four Seasons Education (Cayman) Inc. (FEDU) - Marketing Mix: Price

You're looking at how Four Seasons Education (Cayman) Inc. structures the money customers pay for its services, which is all about making sure the price reflects the value while hitting profit targets. Honestly, the numbers from the first half of fiscal year 2026 show they're making headway on that front.

The core pricing strategy definitely targets a higher gross profit margin. This isn't just wishful thinking; it's backed by concrete financial movement. The company is clearly leaning into service lines that command better pricing power, which is a smart move given the market dynamics.

Here's the quick math on that profitability push:

As you can see, the gross profit margin improved from 22.0% in the first half of fiscal year 2025 to 26.7% in H1 FY2026. That's a significant jump, showing pricing adjustments or a shift in the service mix is working. Revenue for H1 FY2026 reached RMB145.3 million, which is about US\$20.4 million, showing top-line growth alongside that margin expansion.

The key to this margin improvement lies in the product mix itself. The enrichment learning programs carry a higher gross profit ratio, which strongly suggests a premium pricing structure is in place for these offerings. When you focus on high-quality learning experiences, you can command a higher price point; it's that simple.

Also, the strategic direction points toward value-based pricing for certain segments. The shift to tourism and non-academic programs supports a value-based pricing model, especially when these are framed as higher-margin tourism offerings. This dual approach allows Four Seasons Education (Cayman) Inc. to capture different customer segments effectively.

The services driving this pricing power include:

• Non-academic tutoring programs.
• School-based tutoring product solutions.
• Training programs for teachers.
• Study camps and learning trips for students.
• Travel agency services for all age groups.

The growth in the enrichment learning business, specifically noted as having the higher gross profit ratio, is the primary driver behind the gross profit increase of 30.9% to RMB38.8 million ($\text{US\$5.4 million}$) in H1 FY2026. This confirms that the pricing strategy is successfully monetizing their core, higher-value educational services. Finance: draft 13-week cash view by Friday.