China Education Group Holdings (HKSE:00839) Pretax Margin %: 31.75% (As of Feb. 2026) — 16% Below Median

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HKSE:00839 China Education Group Holdings Ltd HKSE:00839
82 GF Score
Price HK$1.87
GF Value HK$4.93
Valuation Possible Value Trap
! 6 Warning Signs
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What is China Education Group Holdings Pretax Margin %?

China Education Group Holdings HKSE:00839 +1.08% 82 Pretax Margin % is 31.75% as of Feb. 2026, which is 16% below its 10-year median of 37.62. GuruFocus rates HKSE:00839 with a GF Score™ of 82/100 and a GF Value™ of HK$4.93 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 255 Education companies, China Education Group Holdings ranks better than 55.29% on this metric.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. China Education Group Holdings's Pre-Tax Income for the six months ended in Feb. 2026 was HK$1,363 Mil. China Education Group Holdings's Revenue for the six months ended in Feb. 2026 was HK$4,292 Mil. Therefore, China Education Group Holdings's pretax margin for the quarter that ended in Feb. 2026 was 31.75%.

The historical rank and industry rank for China Education Group Holdings's Pretax Margin % or its related term are showing as below:

HKSE:00839' s Pretax Margin % Range Over the Past 10 Years
Min: 7.6   Med: 37.62   Max: 49.38
Current: 10.85


HKSE:00839's Pretax Margin % is ranked better than
55.29% of 255 companies
in the Education industry
Industry Median: 8.24 vs HKSE:00839: 10.85

China Education Group Holdings  (HKSE:00839) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.


China Education Group Holdings Pretax Margin % Related Terms


China Education Group Holdings Pretax Margin % Historical Data

* Premium members only.

The historical data trend for China Education Group Holdings's Pretax Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

China Education Group Holdings Pretax Margin % Chart

China Education Group Holdings Annual Data
Trend Dec15 Dec16 Dec17 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
Pretax Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 41.04 41.40 27.80 7.60 11.22

China Education Group Holdings Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24 Aug24 Feb25 Aug25 Feb26
Pretax Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 39.07 -23.76 33.98 -11.44 31.75

HKSE:00839 vs EDU, TAL, LAUR: Pretax Margin % Comparison

For the Education & Training Services subindustry, China Education Group Holdings's Pretax Margin %, along with its competitors' market caps and Pretax Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


China Education Group Holdings Pretax Margin % vs Education Industry

For the Education industry and Consumer Defensive sector, China Education Group Holdings's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where China Education Group Holdings's Pretax Margin % falls into.


HKSE:00839
82GF Score
China Education Group Holdings Ltd HKSE:00839
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

China Education Group Holdings Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

China Education Group Holdings's Pretax Margin for the fiscal year that ended in Aug. 2025 is calculated as

Pretax Margin=Pre-Tax Income (A: Aug. 2025 )/Revenue (A: Aug. 2025 )
=901.233/8033.633
=11.22 %

China Education Group Holdings's Pretax Margin for the quarter that ended in Feb. 2026 is calculated as

Pretax Margin=Pre-Tax Income (Q: Feb. 2026 )/Revenue (Q: Feb. 2026 )
=1362.624/4291.586
=31.75 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Pretax Margin % →
What does a Pretax Margin % of 31.75% mean?
China Education Group Holdings (HKSE:00839) has a Pretax Margin % of 31.75% as of Feb. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on China Education Group Holdings and its competitors. This is 16% below median its historical median of 37.62. Over the past decade, China Education Group Holdings' Pretax Margin % has ranged from 7.60 to 49.38. According to the industry distribution chart, China Education Group Holdings ranks #114 out of 255 companies in the Education industry, placing it in the top 44.7%.
Is China Education Group Holdings' Pretax Margin % too high?
China Education Group Holdings' current Pretax Margin % of 31.75% is 16% below median its 10-year median of 37.62. Over the past 10 years, this metric has ranged from a low of 7.60 to a high of 49.38. The Education industry median Pretax Margin % is 8.24. China Education Group Holdings' value of 31.75% is 285.3% above this industry median. Based on the distribution chart, China Education Group Holdings ranks #114 out of 255 companies in the Education industry, which is above the industry midpoint. Overall, China Education Group Holdings has a GF Score™ of 82/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does China Education Group Holdings' Pretax Margin % compare to EDU and TAL?
According to the Education industry distribution chart, China Education Group Holdings ranks #114 out of 255 companies for Pretax Margin %. This puts China Education Group Holdings in the upper half of its industry. The industry median Pretax Margin % is 8.24. China Education Group Holdings' value of 31.75% is 285.3% above this benchmark. Historically, China Education Group Holdings' own Pretax Margin % has ranged from 7.60 to 49.38 over the past decade. While the company's 10-year median is 37.62 vs. the industry median of 8.24, China Education Group Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for an Education company?
The median Pretax Margin % among Education companies is 8.24, based on 255 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. China Education Group Holdings's current Pretax Margin % of 31.75% is 285.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on China Education Group Holdings and its competitors. For the Education industry, the median Pretax Margin % is 8.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Education Group Holdings's current Pretax Margin % is 31.75%, which is 16% below median its own 10-year median of 37.62. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Education Group Holdings stock overvalued right now?
Based on GuruFocus' analysis, China Education Group Holdings (HKSE:00839) is currently considered Possible Value Trap. The stock's GF Value™ is HK$4.93, compared to a current price of HK$1.87 — trading 62.1% below its estimated fair value. The current Pretax Margin % is 31.75%, which is 16% below median its 10-year median of 37.62 and 285.3% above the Education industry median of 8.24. China Education Group Holdings' overall GF Score™ is 82/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For China Education Group Holdings (HKSE:00839), the current Pretax Margin % is 31.75% as of Feb. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is China Education Group Holdings (HKSE:00839) Overvalued in 2026?

Based on GuruFocus' analysis, China Education Group Holdings stock appears to be undervalued. The current stock price of HK$1.87 is trading 62.1% below its estimated GF Value™ of HK$4.93. GuruFocus considers China Education Group Holdings to be Possible Value Trap.

Key valuation signals for HKSE:00839:

  • Pretax Margin %: 31.75% (16% below median its 10-year median of 37.62)
  • GF Value™: HK$4.93 vs. price of HK$1.87 (62.1% below fair value)
  • GF Score™: 82/100 with 6 warning signs
  • Industry Position: 285.3% above the Education median (#114 of 255)

No single metric tells the full story. See the HKSE:00839 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Education Group Holdings Business Description

Other Exchanges C3W:Germany
Address 4 4A Des Voeux Road Central, Room NO 1202, 12TH Floor, Standard Chartered Bank Building, Wanchai, Hong Kong, HKG
China Education Group Holdings Ltd is a ultra-large-scale private education group in China with 30 years of experience in higher education operations. CEG's schools offer both higher vocational education and secondary vocational education. The school network spans domestic China and overseas. CEG's full-time student enrollment was about 270,000 as of August 2024.
82GF Score

Get the complete analysis for HKSE:00839

Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

HK$1.87
Price
HK$4.93
GF Value