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Document and Entity Information	12 Months Ended
Document and Entity Information	May 31, 2018 shares
Document And Entity Information [Abstract]
Document Type	20-F
Amendment Flag	false
Document Period End Date	May 31, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	FY
Trading Symbol	EDU
Entity Registrant Name	New Oriental Education & Technology Group Inc.
Entity Central Index Key	0001372920
Current Fiscal Year End Date	--05-31
Entity Well-known Seasoned Issuer	Yes
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding	158,319,910

Consolidated Balance Sheets - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Current assets
Cash and cash equivalents	$ 983,319	$ 641,018
Restricted cash	47	44
Term deposits	107,741	195,085
Short-term investments	1,623,763	1,312,942
Accounts receivable, net of allowance of US$585 and US$485 as of May 31, 2017 and 2018, respectively	3,179	3,343
Inventory, net	40,175	31,742
Prepaid expenses and other current assets, net of allowance of US$595 and US$914 as of May 31, 2017 and 2018, respectively	182,095	119,397
Amounts due from related parties, current	1,595	5,948
Long-term investments due within one year		16,743
Total current assets	2,941,914	2,326,262
Restricted cash, non-current	3,399	3,608
Property and equipment, net	449,592	282,800
Land use rights, net	3,785	3,668
Amounts due from related parties, non-current	2,226	1,748
Long-term deposits	40,099	24,023
Long-term prepaid rent	191	849
Intangible assets, net	8,544	4,005
Goodwill, net	31,729	14,083
Long-term investments, net	433,333	217,259
Deferred tax assets, non-current, net	43,323	28,858
Other non-current assets	19,577	17,816
Total assets	3,977,712	2,924,979
Current liabilities
Accounts payable (including accounts payable of the consolidated variable interest entities without recourse to the Company of US$24,138 and US$39,279 as of May 31, 2017 and 2018, respectively)	39,889	24,258
Accrued expenses and other current liabilities (including accrued expenses and other current liabilities of the consolidated variable interest entities without recourse to the Company of US$238,864 and US$335,955 as of May 31, 2017 and 2018, respectively)	373,537	260,700
Income taxes payable (including income taxes payable of the consolidated variable interest entities without recourse to the Company of US$40,306 and US$54,844 as of May 31, 2017 and 2018, respectively)	67,233	51,045
Amounts due to related parties (including amounts due to related parties of the consolidated variable interest entities without recourse to the Company of US$48 and US$30 as of May 31, 2017 and 2018, respectively)	30	48
Deferred revenue (including deferred revenue of the consolidated variable interest entities without recourse to the Company of US$833,932 and US$1,244,748 as of May 31, 2017 and 2018, respectively)	1,270,195	866,630
Total current liabilities	1,750,884	1,202,681
Deferred tax liabilities, non-current (including deferred tax liabilities, non-current of the consolidated variable interest entities without recourse to the Company of US$2,174 and US$12,629 as of May 31, 2017 and 2018, respectively)	12,133	2,220
Total liabilities	1,763,017	1,204,901
Commitments and contingencies (Note 21)
Mezzanie Equity
Redeemable non-controllinginterests	206,624
Equity
Common shares (US$0.01 par value; 300,000,000 shares authorized as of May 31, 2017 and 2018; 158,379,387 shares issued as of May 31, 2017 and 2018; 157,687,444 and 158,319,910 shares outstanding as of May 31, 2017 and 2018, respectively)	1,584	1,584
Treasury stock	(1)	(7)
Additional paid-in capital	129,059	249,126
Statutory reserves	263,518	219,975
Retained earnings	1,352,543	1,171,109
Accumulated other comprehensive income	244,886	39,161
Total New Oriental Education & Technology Group Inc. shareholders' equity	1,991,589	1,680,948
Non-controlling interests	16,482	39,130
Total equity	2,008,071	1,720,078
Total liabilities and equity	$ 3,977,712	$ 2,924,979

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Statement of Financial Position [Abstract]
Accounts receivable, allowance	$ 485	$ 585
Prepaid expenses and other current assets, allowance	914	595
Accounts payable, consolidated variable interest entity without recourse	39,279	24,138
Accrued expenses and other current liabilities, consolidated variable interest entity without recourse	335,955	238,864
Income taxes payable, consolidated variable interest entity without recourse	54,844	40,306
Amounts due to related parties, consolidated variable interest entity without recourse	30	48
Deferred revenue, consolidated variable interest entity without recourse	1,244,748	833,932
Deferred tax liabilities, non-current consolidated variable interest entity without recourse	$ 13,782	$ 2,174
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	158,379,387	158,379,387
Common stock, shares outstanding	158,319,910	157,687,444

Consolidated Statements of Operations - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
NET REVENUES
Educational programs and services	$ 2,165,152	$ 1,608,954	$ 1,309,339
Revenues	2,447,430	1,799,509	1,478,348
Operating cost and expenses
Cost of revenues	(1,065,740)	(749,586)	(614,364)
Selling and marketing	(324,249)	(232,826)	(197,897)
General and administrative	(794,482)	(554,948)	(471,010)
Total operating cost and expenses	(2,184,471)	(1,537,360)	(1,283,271)
Gain on disposal of a subsidiary			3,760
OPERATING INCOME	262,959	262,149	198,837
OTHER INCOME, NET
Interest income	84,838	61,445	66,861
Realized gain from long-term investments	7,366	7,086
Impairment loss from long-term investments	(980)	(2,338)	0
Miscellaneous income, net	2,841	2,367	1,586
Income before income taxes and loss from equity method investments	357,024	330,709	267,284
(Provision) Benefit for income taxes:
Current	(72,785)	(51,142)	(39,467)
Deferred	13,377	518	1,936
Provision for income taxes	(59,408)	(50,624)	(37,531)
Loss from equity method investments	(379)	(3,289)	(4,425)
Net income	297,237	276,796	225,328
Less: Net income attributable to non-controlling interests	1,107	2,339	444
Net income attributable to New Oriental Education & Technology Group Inc.'s shareholders	$ 296,130	$ 274,457	$ 224,884
Net income per common share (Note 19)
- Basic	$ 1.87	$ 1.74	$ 1.43
- Diluted	$ 1.87	$ 1.74	$ 1.43
Weighted average shares used in calculating basic net income per share
- Basic	158,168,794	157,551,320	156,782,439
- Diluted	158,556,500	157,986,394	157,391,686
Books and Other Services [Member]
NET REVENUES
Revenues	$ 282,278	$ 190,555	$ 169,009

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Statement of Comprehensive Income [Abstract]
Net income	$ 297,237	$ 276,796	$ 225,328
Other comprehensive income, net of tax
Foreign currency translation adjustment	79,293	(47,440)	(72,464)
Unrealized gain on available-for-sale investments, net of tax effect of nil, US$3,762 and US$17,466 for the years ended May 31, 2016, 2017 and 2018, respectively	129,545	22,521	36,635
Other comprehensive (loss) / income	208,838	(24,919)	(35,829)
Comprehensive income	506,075	251,877	189,499
Comprehensive income attributable to non-controlling interests	4,220	1,207	1,172
Comprehensive income attributable to New Oriental Education & Technology Group Inc.'s shareholders	$ 501,855	$ 250,670	$ 188,327

- Definition

The consolidated profit or loss for the period, net of income taxes, including the portion attributable to the noncontrolling interest.

+ References

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+ Details

Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Statement of Comprehensive Income [Abstract]
Unrealized gain on available-for-sale investments, tax effect	$ 8,825	$ 3,762	$ 0

Consolidated Statements of Changes in Equity - USD ($)
$ in Thousands

Total

Common Shares [Member]

Additional Paid-in Capital [Member]

Treasury Stock [Member]

Accumulated Other Comprehensive Income (Loss) [Member]

Statutory reserve [Member]

Retained Earnings [Member]

Total New Oriental Education & Technology Group Inc. Shareholders' Equity [Member]

Non-controlling Interests [Member]

Balance at May. 31, 2015

$ 1,223,844

$ 1,584

$ 141,653

$ (19)

$ 99,505

$ 153,610

$ 824,015

$ 1,220,348

$ 3,496

Balance, shares at May. 31, 2015

156,486,763

Reissuance of treasury stock for the exercises of employee share options

2,431

2,428

2,431

Reissuance of treasury stock for the exercises of employee share options, shares

240,304

Reissuance of treasury stock for non-vested equity shares

(7)

Reissuance of treasury stock for non-vested equity shares, shares

712,330

Share-based compensation expenses

16,810

Transfer to statutory reserves

31,853

(31,853)

Dividend declared

^[1]

(62,668)

Equity restructure of a subsidiary

^[2]

23,214

(766)

(22,448)

Net income

225,328

224,884

444

Foreign currency translation adjustment

(72,464)

(72,193)

(271)

Unrealized gain on available-for-sale investments, net of tax effect of nil, US$3,762 and US$17,446

36,635

35,636

999

Capital contribution from non-controlling interests and new non-controlling interests recognized in acquisitions

68,498

39,579

28,919

Repurchase shares from non-controlling interests

(3,752)

(255)

(3,497)

Balance at May. 31, 2016

1,434,662

$ 1,584

223,422

(9)

62,948

184,697

931,930

1,404,572

30,090

Balance, shares at May. 31, 2016

157,439,397

Reissuance of treasury stock for the exercises of employee share options

256

Reissuance of treasury stock for the exercises of employee share options, shares

48,047

Reissuance of treasury stock for non-vested equity shares

(2)

Reissuance of treasury stock for non-vested equity shares, shares

200,000

Share-based compensation expenses

20,287

Transfer to statutory reserves

35,278

(35,278)

Net income

276,796

274,457

2,339

Foreign currency translation adjustment

(47,440)

(46,331)

(1,109)

Unrealized gain on available-for-sale investments, net of tax effect of nil, US$3,762 and US$17,446

22,521

22,544

(23)

Balance at May. 31, 2017

$ 1,720,078

$ 1,584

249,126

(7)

39,161

219,975

1,171,109

1,680,948

39,130

Balance, shares at May. 31, 2017

158,379,387

157,687,444

Capital contribution from non-controlling interests and new non-controlling interests recognized in an acquisition

$ 12,996

5,163

7,833

Reissuance of treasury stock for the exercises of employee share options

$ 1

Reissuance of treasury stock for the exercises of employee share options, shares

500

Reissuance of treasury stock for non-vested equity shares

(6)

Reissuance of treasury stock for non-vested equity shares, shares

2,929,780

631,966

Share-based compensation expenses

$ 57,443

57,443

Transfer to statutory reserves

43,543

(43,543)

Dividend declared

^[3]

(71,384)

(71,153)

(231)

Net income

297,237

296,130

1,107

Foreign currency translation adjustment

79,293

76,344

2,949

Unrealized gain on available-for-sale investments, net of tax effect of nil, US$3,762 and US$17,446

129,545

129,381

164

Capital contribution from non-controlling interests and new non-controlling interests recognized in acquisitions

(111,769)

(113,784)

2,015

Repurchase shares from non-controlling interests

(92,373)

(63,721)

(28,652)

Balance at May. 31, 2018

$ 2,008,071

$ 1,584

$ 129,059

$ (1)

$ 244,886

$ 263,518

$ 1,352,543

$ 1,991,589

$ 16,482

Balance, shares at May. 31, 2018

158,379,387

158,319,910

[1]	On July 19, 2015, the Company declared a special cash dividend in the amount of US$0.4 per American Depositary Share ("ADS"). The aggregate amount of cash dividend paid was US$62,668, which was funded by retained earnings. The dividend was fully paid on October 7, 2015 to shareholders of record at the close of business on September 4, 2015. One ADS represents one common share.
[2]	In January 2016, Beijing New Oriental Xuncheng Network Technology Co., Ltd. ("Xuncheng"), a subsidiary of the Group, transformed from a limited liability company to a joint stock limited company. The Group's accumulated retained earnings and statutory reserve related to Xuncheng were reclassified to additional paid-in-capital in the consolidation financial statements.
[3]	On July 25, 2017, the Company declared a special cash dividend in the amount of US$0.45 per ADS. The aggregate amount of cash dividend paid was US$71,153, which was funded by retained earnings. The dividend was fully paid on October 6, 2017 to shareholders of record at the close of business on September 1, 2017.

Consolidated Statements of Changes in Equity (Parenthetical) - USD ($)			12 Months Ended
	Jul. 25, 2017	Jul. 19, 2015	May 31, 2018	May 31, 2017	May 31, 2016
Unrealized gain on available-for-sale investments, tax effect			$ 8,825,000	$ 3,762,000	$ 0
Special cash dividend declared per share	$ 0.45	$ 0.4
Cash paid for dividend		$ 62,668	71,153,000		62,668,000
Special cash dividend declared date		Jul. 19, 2015
Dividend payment date		Oct. 07, 2015
Shareholders date of record		Sep. 04, 2015
Accumulated Other Comprehensive Income (Loss) [Member]
Unrealized gain on available-for-sale investments, tax effect			8,825,000	3,762,000	0
Retained Earnings [Member]
Cash paid for dividend	$ 71,153
Total New Oriental Education & Technology Group Inc. Shareholders' Equity [Member]
Unrealized gain on available-for-sale investments, tax effect			8,825,000	3,762,000	0
Non-controlling Interests [Member]
Unrealized gain on available-for-sale investments, tax effect			$ 8,825,000	$ 3,762,000	$ 0
Fiscal Year 2018 Dividend [Member]
Special cash dividend declared date	Jul. 25, 2017
Dividend payment date	Oct. 06, 2017
Shareholders date of record	Sep. 01, 2017

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
Consolidated Statements of Cash Flows - USD ($)	May 31, 2018	May 31, 2017	May 31, 2016
Cash flows from operating activities
Net income	$ 297,237,000	$ 276,796,000	$ 225,328,000
Adjustments to reconcile net income to net cash provided by operating activities
Depreciation of property and equipment	77,081,000	53,864,000	47,281,000
Amortization of intangible assets	1,839,000	1,419,000	1,122,000
Amortization of land use rights	110,000	106,000	112,000
Loss on disposal of property and equipment	2,032,000	1,747,000	2,061,000
Gain on disposal of a subsidiary			(3,760,000)
Goodwill impairment	0	1,682,000	0
Impairment loss from long-term investments	980,000	2,338,000	0
Realized gain from long-term investments	(7,366,000)	(7,086,000)
Share-based compensation expenses	57,443,000	20,287,000	16,810,000
Allowance (reversal) for doubtful accounts	576,000	486,000	904,000
Provision (reversal) for inventory	(461,000)	(152,000)	615,000
Loss from equity method investments	379,000	3,289,000	4,425,000
Deferred income taxes	(14,821,000)	(518,000)	(1,936,000)
Changes in operating assets and liabilities
Accounts receivables	767,000	(75,000)	(187,000)
Inventory	(5,855,000)	(5,224,000)	(6,264,000)
Prepaid expenses and other current assets	(51,738,000)	(14,796,000)	(7,711,000)
Amounts due from related parties	4,250,000	(1,288,000)	1,108,000
Long-term deposits	(14,300,000)	(9,652,000)	(532,000)
Long term prepaid rent	1,185,000	(624,000)	169,000
Accounts payable	13,728,000	3,592,000	4,830,000
Accrued expenses and other current liabilities	68,226,000	40,331,000	54,364,000
Income taxes payable	15,473,000	18,529,000	7,878,000
Amounts due to related parties	(21,000)	8,000	(1,887,000)
Deferred revenue	334,383,000	237,635,000	179,583,000
Net cash provided by operating activities	781,127,000	622,694,000	524,313,000
Cash flows from investing activities
Payments for restricted cash	(732,000)	(1,197,000)	(5,461,000)
Proceeds from release of restricted cash	1,159,000	1,333,000	4,747,000
Purchase of term deposits	(117,166,000)	(130,000,000)	(64,540,000)
Proceeds from maturity of term deposits	212,690,000	18,836,000	42,603,000
Payments for short-term investments	(1,250,239,000)	(1,343,198,000)	(1,112,172,000)
Proceeds from maturity of short-term investments	1,025,721,000	820,380,000	851,250,000
Purchase of property and equipment	(214,255,000)	(105,736,000)	(64,401,000)
Proceeds from disposal of property and equipment	9,812,000	2,807,000	1,310,000
Purchase of business, net of cash acquired	(999,000)
Payments for available-for-sale investments	(55,206,000)	(43,498,000)	(78,764,000)
Payments for equity method investments	(456,000)	(1,473,000)	(468,000)
Proceeds from held-to-maturity investments		112,200,000	115,178,000
Purchase of land use rights	(5,357,000)
Payments for cost method investments	(11,688,000)
Proceeds from cost method investment			540,000
Loans provided to related parties		(1,810,000)	(2,575,000)
Net cash used in investing activities	(406,716,000)	(672,264,000)	(309,737,000)
Cash flows from financing activities
Proceeds from issuances of common shares upon exercise of share option	1,000	542,000	2,176,000
Withholding tax for employees	(7,241,000)	(4,557,000)	(6,419,000)
Cash paid for dividend	(71,153,000)		(62,668,000)
Capital contribution from non-controlling interests	93,159,000	8,807,000	69,747,000
Repurchase of shares from non-controlling interests	(89,647,000)		(3,752,000)
Net cash (used in) provided by financing activities	(74,881,000)	4,792,000	(916,000)
Effects of exchange rate changes	42,771,000	(23,413,000)	(35,749,000)
Net change in cash and cash equivalents	342,301,000	(68,191,000)	177,911,000
Cash and cash equivalents at beginning of year	641,018,000	709,209,000	531,298,000
Cash and cash equivalents at end of year	983,319,000	641,018,000	709,209,000
Supplement disclosure of cash flow information
Income taxes paid	57,005,000	36,665,000	32,037,000
Non-cash investing and financing activities
Payable for investments and acquisitions	5,420,000
Payable for purchase of property and equipment	$ 45,590,000	21,445,000	11,953,000
Beijing Dianshi jingwei Technology Co.,Ltd [Member]
Adjustments to reconcile net income to net cash provided by operating activities
Gain on disposal of a subsidiary			(3,760,000)
Cash flows from investing activities
Proceeds from disposal of subsidiaries			1,520,000
Boost Caring [Member]
Cash flows from investing activities
Proceeds from disposal of subsidiaries			$ 1,496,000
Beijing Ainuo Shida Education & Technology Co., Ltd [Member]
Cash flows from investing activities
Purchase of business, net of cash acquired		$ (908,000)

Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Purchase of business, cash acquired	$ 12,210
Beijing Ainuo Shida Education & Technology Co., Ltd [Member]
Purchase of business, cash acquired		$ 2,499

Organization and Principal Activities

12 Months Ended

May 31, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization and Principal Activities

1.	ORGANIZATION AND PRINCIPAL ACTIVITIES

New Oriental Education & Technology Group Inc. (the “Company”) was incorporated in the Cayman Islands. The Company, its consolidated subsidiaries and its variable interest entities (the “VIEs”) and the VIEs’ subsidiaries and schools are collectively referred to as the “Group”.

The Group provides educational services in the People’s Republic of China (the “PRC”) primarily under the “New Oriental” brand. The Group offers a wide range of educational programs, services and products, consisting primarily of language training and test preparation, primary and secondary school education, online education, content development and distribution, overseas study consulting services, pre-school education and study tour.

As of May 31, 2018, details of the Company’s major subsidiaries, its VIEs and the VIEs’ major subsidiaries and schools were as follows:

Name

Date of
incorporation
or acquisition

Place of
incorporation
(or establishment)/
operation

Legal
ownership

Principal activity

Major subsidiaries of the Company:

Beijing Decision Education & Consulting Company Limited (“Beijing Decision”)

April 20, 2005

PRC

100

Educational technology and
management services

Beijing Judgment Education & Consulting Company Limited (“Beijing Judgment”)

April 20, 2005

PRC

100

Educational consulting and
software development

Beijing Hewstone Technology Company Limited (“Beijing Hewstone”)

April 20, 2005

PRC

100

Educational
software development

Elite Concept Holdings Limited (“Elite Concept”)

December 3, 2007

Hong Kong

100

Educational consulting

Winner Park Limited (“Winner Park”)

December 9, 2008

Hong Kong

100

Educational consulting

Smart Shine International Limited (“Smart Shine”)

December 9, 2008

Hong Kong

100

Educational consulting

Beijing Pioneer Technology Company Limited (“Beijing Pioneer”)

January 8, 2009

PRC

100

Educational
software development

Shanghai Smart Words Software Technology Company Limited (“Shanghai Smart Words”)

December 8, 2010

PRC

100

Educational consulting and
software development

Beijing Smart Wood Software Technology Company Limited (“Beijing Smart Wood”)

December 21, 2011

PRC

100

Educational consulting and
software development

Beijing New Oriental Walkite International Travel Co., Ltd.

May 22, 2012

PRC

100

Study tour

Beijing Joy Tend Technology Company Limited (“Beijing Joy Tend”)

January 31, 2013

PRC

100

Educational consulting and
software development

Beijing Right Time Technology Company Limited (“Beijing Right Time”)

January 31, 2013

PRC

100

Educational consulting
and software development

Abundant State Limited (“Abundant”)

March 20, 2013

The British
Virgin Islands

(“BVI”)

100

Educational consulting

Beijing Magnificence Technology Company Limited (“Beijing Magnificence”)

November 1, 2013

PRC

100

Educational consulting
and software development

Beijing Top Technology Company Limited (“Beijing Top”)

November 13, 2013

PRC

100

Educational consulting
and software development

Beijing Shenghe Technology Company Limited (“Beijing Shenghe”)

May 27, 2014

PRC

100

Educational consulting
and software development

Walkite International Academy Co., Ltd. (“Walkite UK”)

March 16, 2015

U.K.

100

Study tour

Walkite International Academy (U.S.A.) Co., Ltd. (“Walkite US”)

April 13, 2015

U.S.A.

100

Study tour

Beijing Jinghong Software Technology Company Limited (“Beijing Jinghong”)

September 18, 2016

PRC

100

Educational consulting
and software development

New Oriental Vision Overseas Consulting Australia Pty Ltd. (“Overseas AU”)

January 25, 2017

Australia

100

Consulting

Zhuhai Zekai Software Technology Company Limited (“Zhuhai Zekai”)

June 26, 2017

PRC

100

Educational consulting
and software development

Name

Date of
incorporation
or acquisition

Place of
incorporation
(or establishment)/
operation

Legal
ownership

Principal activity

Major subsidiaries of the Company:

Garden House Limited (“Garden House”)

September 1, 2017

Hong Kong

Pre-school education

One World Limited (“One World”)

September 1, 2017

Hong Kong

Pre-school education

Blingabc Limited (“Blingabc”)

December 27, 2017

U.S.A.

100

Educational consulting

Beijing Zhiyuan Hangcheng Software Technology Company Limited (“Beijing Zhiyuan Hangcheng”)

January 16, 2018

PRC

100

Educational consulting
and software development

Koolearn Technology Holding Limited (“Koolearn Holding”)

February 7, 2018

Cayman

Online education service

New Oriental Xuncheng Technology (HK) Limited (“Koolearn Tech”)

March 2, 2018

Hong Kong

100

Online education service

Beijing Dexin Dongfang Network Technology Co., Ltd. (“Dexin Dongfang”)

March 21, 2018

PRC

N/A

Educational consulting and software development

VIEs of the Company:

New Oriental Education & Technology Group Co., Ltd (“New Oriental China”)

August 2, 2001

PRC

N/A

Education consulting,
software development and
distributions and other
services

Beijing New Oriental Xuncheng Network Technology Co., Ltd. (“Xuncheng”)

March 11, 2005

PRC

N/A

Online education service

Major subsidiaries and schools of the VIEs:

Beijing Haidian District Privately-Funded New Oriental School (“Beijing Haidian School”)

October 5, 1993

PRC

N/A

Language training and test preparation

Shanghai Yangpu District New Oriental Advanced Study School

June 1, 2000

PRC

N/A

Language training and test preparation

Guangzhou Haizhu District Privately-Funded New Oriental Training School (“Guangzhou Haizhu School”) (a)

September 8, 2000

PRC

N/A

Language training and test preparation

Wuhan New Oriental Training School

April 28, 2002

PRC

N/A

Language training and test preparation

Beijing New Oriental Yangzhou Foreign Language School

June 6, 2002

PRC

N/A

Primary and secondary
school education

Tianjin New Oriental Training School

August 21, 2002

PRC

N/A

Language training and test preparation


Name	Date of incorporation or acquisition	Place of incorporation (or establishment)/ operation	Legal ownership	Principal activity
Major subsidiaries and schools of the VIEs:
Xi’an Yanta District New Oriental School	November 26, 2002	PRC	N/A	Language training and test preparation
Nanjing Gulou New Oriental Advanced Study School	November 28, 2002	PRC	N/A	Language training and test preparation
Beijing New Oriental Dogwood Cultural Communications Co., Ltd.	May 16, 2003	PRC	N/A	Content development and distribution
Chongqing New Oriental Training School	August 15, 2003	PRC	N/A	Language training and test preparation
Chengdu New Oriental School	August 18, 2003	PRC	N/A	Language training and test preparation
Shenzhen New Oriental Training School	October 15, 2003	PRC	N/A	Language training and test preparation
Beijing New Oriental Vision Overseas Consultancy Co., Ltd.	February 19, 2004	PRC	N/A	Oversea study consulting service
Beijing New Oriental Dogwood, Bookstore, Audio & Video Co., Ltd.	March 2, 2004	PRC	N/A	Content development and distribution
Taiyuan New Oriental Training School	April 20, 2005	PRC	N/A	Language training and test preparation
Jinan New Oriental School	May 31, 2005	PRC	N/A	Language training and test preparation
Zhengzhou New Oriental Training School	July 19, 2005	PRC	N/A	Language training and test preparation
Hangzhou New Oriental Advanced Study School	July 21, 2005	PRC	N/A	Language training and test preparation
Qingdao Happy Alice Kindergarten	November 29, 2005	PRC	N/A	Pre-school education
Suzhou New Oriental School	April 26, 2006	PRC	N/A	Language training and test preparation
Nanchang Donghu District New Oriental Language School	March 16, 2007	PRC	N/A	Language training and test preparation
Beijing New Oriental Stars Education & Consulting Co., Ltd	July 11, 2007	PRC	N/A	Pre-school education
Beijing Chaoyang District Kindergarten of Stars	November 20, 2007	PRC	N/A	Pre-school education
Xiamen Siming District New Oriental Education Training School	July 8, 2008	PRC	N/A	Language training and test preparation
Changchun Tongwen Gaokao Training School	September 1, 2008	PRC	N/A	College admission examination training
Changchun Tongwen Senior High School	September 1, 2008	PRC	N/A	Primary and secondary school education
Nanjing Yuhuatai District New Oriental Kindergarten of Stars	April 10, 2009	PRC	N/A	Pre-school education
Beijing Changping New Oriental Foreign Language School	July 19, 2010	PRC	N/A	Primary and secondary school education
Shanghai Vision Overseas Service Co., Ltd.	March 24, 2011	PRC	N/A	Oversea study consulting service
Beijing Management Software Training Institute	September 1, 2012	PRC	N/A	Primary and secondary school education
Beijing New Oriental Kuxue Huisi Network Technology Co., Ltd.	February 1, 2013	PRC	N/A	Online education service
Guangzhou Panyu District Privately-Funded New Oriental Training Centre (“Guangzhou Panyu School”) (a)	June 19, 2013	PRC	N/A	Language training and test preparation
Guangzhou New Oriental Training School (“Guangzhou School”) (a)	August 20, 2013	PRC	N/A	Language training and test preparation
Major subsidiaries and schools of the VIEs:
Beijing Dongfang Zhuoyong Investment Management Co., Ltd.	April 29, 2014	PRC	N/A	Investment management
Qingdao Alice Education & Technology Company Limited	August 21, 2014	PRC	N/A	Pre-school education
Yangzhou Guangling District New Oriental Kindergarten of Stars	August 26, 2014	PRC	N/A	Pre-school education
Qingdao Chengyang District Happy Alice Kindergarten	October 30, 2014	PRC	N/A	Pre-school education
Qingdao Laoshan District Happy Alice Kindergarten	December 4, 2014	PRC	N/A	Pre-school education
New Oriental Vision Overseas Consulting (U.K.) Ltd.	June 10, 2015	U.K.	N/A	Oversea study consulting service
Qingdao New Oriental Vision Overseas Consultancy Co., Ltd.	August 20, 2015	PRC	N/A	Oversea study consulting service
Beijing New Oriental Vision Overseas Service Co., Ltd.	February 24, 2016	PRC	N/A	Oversea study consulting service
Beijing Dongfang Youbo Network Technology Co., Ltd. (“Dongfang Youbo”)	June 23, 2016	PRC	N/A	Online education service
Beijing Bright the Future Education & Technology Co., Ltd.	July 18, 2016	PRC	N/A	Consulting
Beijing Ainuo Shida Education & Technology Co., Ltd (“Ainuo Shida”)	December 1, 2016	PRC	N/A	Oversea study consulting service
Beijing Chaoyang District Taiyanggong Kindergarten of Stars	January 20, 2017	PRC	N/A	Pre-school education
Ningbo Meishan Bonded Port Area Hexin Oriental Asset Management Co., Ltd.	April 28, 2017	PRC	N/A	Asset management
Beijing Haiwei Career Service Co., Ltd.	June 9, 2017	PRC	N/A	Oversea study consulting service
Hangzhou Shengshen Technology Co., Ltd (“Hangzhou Shengshen”)	October 9, 2017	PRC	N/A	Language training and test preparation

(a)

Guangzhou Panyu School and Guangzhou School were established in the year ended May 31, 2014. Although they are separate legal entities, from the perspective of the Group’s internal management, they together with Guangzhou Haizhu School are considered as one school since they are operated by the same local management in Guangzhou, the PRC.

The VIE arrangements

The PRC laws and regulations currently require any foreign entity that invests in the education business in China to be an educational institution with relevant experience in providing educational services outside of China. The Company’s offshore holding companies are not educational institutions and do not provide educational services outside of China. In addition, in the PRC, foreign ownership of high schools for students in grades ten to twelve is restricted and foreign ownership of primary and middle schools for students in grades one to nine is prohibited. Accordingly, the Company’s offshore holding companies are not allowed to directly own and operate schools in China. The Company conducts substantially all of its education business in China through contractual arrangements with its VIEs, New Oriental China and its subsidiaries and schools and Xuncheng and its subsidiaries. Since the operations of New Oriental China and its subsidiaries and schools and Xuncheng and its subsidiaries are closely interrelated and almost indistinguishable from one another, the risks and rewards associated with their operations are substantially the same. In addition, the Company consolidates New Oriental China, its subsidiaries and schools, Xuncheng and its subsidiaries as disclosed. Therefore, the Company aggregates the disclosures related to New Oriental China, its subsidiaries and schools, and Xuncheng and its subsidiaries as the VIEs in the Company’s consolidated financial statements. The VIEs hold the requisite licenses and permits necessary to conduct the Company’s education business. In addition, the VIEs hold leases and other assets necessary to operate the Company’s schools and learning centers, employ teachers and generate substantially all of the Company’s revenues.

VIE Arrangements between New Oriental China and the Company’s PRC subsidiaries

The Company and its wholly owned subsidiaries in China (the “WFOEs”) have entered into the following contractual arrangements with New Oriental China, New Oriental China’s subsidiaries and schools and New Oriental China’s shareholders that enable the Company to (1) have power to direct the activities that most significantly affects the economic performance of the VIEs, (2) receive substantially all of the economic benefits of the VIEs that could be significant to the VIEs and (3) have an exclusive option to purchase all or part of the equity interests in New Oriental China, when and to the extent permitted by PRC law, or request the existing shareholder of New Oriental China to transfer all or part of the equity interest in New Oriental China to another PRC person or entity designated by us at any time in the Company’s discretion. Accordingly, the Company is considered the primary beneficiary of the VIE and has consolidated the VIE’s financial results of operations, assets and liabilities in the Company’s consolidated financial statements. In making the conclusion that the Company is the primary beneficiary of the VIE, the Company believes the Company’s rights under the terms of the exclusive option agreement provide it with the substantive kick-out rights. More specifically, the Company believes the terms of the exclusive option agreement are valid, binding and enforceable under the PRC laws and regulations currently in effect. The Company also believes that the minimum amount of consideration permitted by the applicable PRC law to exercise the option does not represent a financial barrier or disincentive for the Company to currently exercise its rights under the exclusive option agreement. A simple majority vote of the Company’s board of directors is required to pass a resolution to exercise the Company’s rights under the exclusive option agreement, for which Mr. Michael Minhong Yu (“Mr. Yu”)’s consent is not required. The Company’s rights under the exclusive option agreement give the Company the power to control the shareholders of New Oriental China and thus the power to direct the activities that most significantly impact the schools’ economic performance given that New Oriental China has the power to direct the activities of the schools via its sponsorship interest. In addition, the Company’s rights under the power of attorney also reinforce the Company’s abilities to direct the activities that most significantly impact the VIE’s economic performance. The Company also believes that this ability to exercise control ensures that the VIE will continue to execute and renew service agreements and pay service fees to the Company. By charging service fees in whatever amounts the Company deems fit, and by ensuring that service agreements are executed and renewed indefinitely, the Company has the rights to receive substantially all of the economic benefits from the VIE.

Service agreements. There are four types of service agreements: (i) trademark license agreements, (ii) new enrollment system development service agreements, (iii) other operating service agreements, and (iv) sale of educational software agreements.

(i)

Trademark license agreements. Pursuant to the trademark license agreement dated May 13, 2006 between the Company as the licensor and New Oriental China as the licensee, the Company has licensed the trademarks to New Oriental China for its use in China. The Company has also allowed New Oriental China to enter into sub-license agreements with its subsidiaries and schools pursuant to which each of the subsidiaries and schools may use the trademarks in China by paying license fees. This license is valid from May 14, 2006 to December 31, 2050, subject to the renewal every ten years upon the expiration of the trademark registration.

(ii)

New enrollment system development service agreements. Beijing Decision has entered into new enrollment system development service agreements with the schools of New Oriental China, under which Beijing Decision agreed to provide new enrollment system development and regular maintenance services to those schools of New Oriental China for a fee equal to the applicable fee rate multiplied by the number of new student enrollments. These agreements can be renewed by both parties to the agreements.

(iii)

Other operating service agreements. Pursuant to operating service agreements between certain WFOEs and the subsidiaries or schools of New Oriental China, the WFOEs have agreed to provide certain operating services to the subsidiaries or schools of New Oriental China for fees that are calculated based on a percentage, ranging from 2.0% to 6.0%, of respective revenues of each of the subsidiaries and schools. A majority of these agreements provide unlimited two-year or five-year automatic renewal without consent of the WFOEs. The remaining agreements can be renewed by both parties to the agreements.

(iv)

Sale of educational software agreements. Eight WFOEs, namely Beijing Hewstone, Beijing Pioneer, Beijing Smart Wood, Beijing Joy Tend, Beijing Magnificence, Beijing Top, Beijng Shenghe and Beijing Jinghong, entered into agreements whereby the WFOEs sell various self-developed educational software to the subsidiaries or schools of New Oriental China. Except for four agreements that are silent on renewal, these agreements provide unlimited two-year automatic renewal terms, and the subsidiaries and schools of New Oriental China cannot terminate the agreements without the consent of the WFOEs in China.

Master exclusive service agreements. On September 19, 2014, Beijing Pioneer entered into a master exclusive service agreement with New Oriental China to enable the Company’s wholly owned subsidiaries in China to receive substantially all of the economic benefits of New Oriental China and its subsidiaries and schools. Under the master exclusive service agreement, Beijing Pioneer has the exclusive rights to provide or designate any entities affiliated with it to provide New Oriental China and its subsidiaries and schools the technical and business support services, including new enrollment system development service, sale of educational software and other operating services. Each service provider specified in the service agreement (iv) has the rights to determine the fees associated with the services it provides based on the technical difficulty and complexity of the services and the actual labor costs it incurs for providing the services during the relevant period. The term of this agreement is ten years and will be automatically extended upon expiration. Beijing Pioneer may terminate the agreement at any time with a 30-day prior written notice to New Oriental China, whereas none of New Oriental China and its subsidiaries and schools can terminate this agreement. The various existing service agreements mentioned in service agreements (i)~(iv) will remain effective after the inclusion of the master exclusive service agreement; however, if they have any conflict with the terms and conditions of the master exclusive service agreement, the master exclusive service agreement will prevail. The master exclusive service agreement was effective on September 19, 2014.

Equity pledge agreements. Pursuant to the equity pledge agreements dated May 25, 2006 among New Oriental China, all of the shareholders of New Oriental China, Beijing Hewstone and Beijing Decision, each shareholder of New Oriental China agreed to pledge his or its equity interest in New Oriental China to Beijing Hewstone and Beijing Decision to secure the performance of the VIEs’ obligations under the existing service agreements and any such agreements to be entered into in the future. The shareholders of New Oriental China agreed not to transfer, sell, pledge, dispose of or otherwise create any encumbrance on their equity interests in New Oriental China without the prior written consent of Beijing Hewstone and Beijing Decision.

In January 2012, ten former shareholders of New Oriental China completed the transfer, for no consideration, of all of their equity interests in New Oriental China to Beijing Century Friendship Education Investment Co., Ltd. (“Century Friendship”), a PRC domestic enterprise controlled by the Company’s founder and chairman, Mr. Yu. Prior to the transfer, Century Friendship had held 53% of the equity interests in New Oriental China while the ten former shareholders of New Oriental China held the remaining equity interests. In connection to the transfer, five new equity pledge agreements dated April 23, 2012 were entered into among New Oriental China, Century Friendship and five WFOEs, whereby Century Friendship has agreed to pledge all of its equity interests in New Oriental China to the WFOEs to secure the VIEs’ performance of their obligations under the trademark license agreements, new enrollment system development service agreements, other operating service agreements and sale of educational software agreements. Century Friendship has agreed not to transfer, sell, pledge, dispose of or otherwise create any encumbrance on its equity interests in New Oriental China without the prior written consents of the WFOEs. The terms of the April 2012 equity pledge agreements are substantially the same as the 2006 equity pledge agreements.

In February 2017, as part of efforts to streamline the corporate structure, the Group removed Shanghai Smart Words as a party to the contractual arrangements with New Oriental China and its subsidiaries and schools and the shareholders. The rights and obligations of Shanghai Smart Words under these contractual arrangements have been assumed by Beijing Decision. The April 2012 equity pledge agreements have been amended to reflect the foregoing change while the terms of these agreements remain unchanged. The equity pledges of Century Friendship under the amended agreements have been registered with the Haidian District, Beijing branch of the State Administration of Industry and Commerce (the “SAIC”).

Exclusive option agreement. Pursuant to the exclusive option agreements entered into on various dates, as amended on May 25, 2006, among the Company, New Oriental China and its shareholders, the shareholders of New Oriental China are obligated to sell to the Company, and the Company has an exclusive, irrevocable and unconditional rights to purchase, or cause the shareholders of New Oriental China to sell to the Company’s designated party, in the Company’s sole discretion, part or all of the shareholders’ equity interests in New Oriental China when and to the extent that applicable PRC law permits the Company to own part or all of such equity interests in New Oriental China. In addition, pursuant to the exclusive option agreements, the Company has an exclusive, irrevocable and unconditional right to request any existing shareholders of New Oriental China to transfer all or part of the equity interest in New Oriental China held by such shareholder to another PRC person or entity designated by the Company at any time in the discretion. The price to be paid by the Company or a PRC person or entity designated by the WFOEs will be the minimum amount of consideration permitted by applicable PRC law at the time when such share transfer occurs. As a result of the ten former shareholders of New Oriental China transferring all of their equity interests in New Oriental China to Century Friendship in January 2012, Century Friendship executed a new option agreement with Shanghai Smart Words and New Oriental China on April 23, 2012. The terms of this new option agreement are substantially the same as the 2006 exclusive option agreements.

On February 16, 2017, Beijing Decision entered into a new option agreement with Century Friendship and New Oriental China, replacing the previous option agreement dated April 23, 2012. Pursuant to the current option agreement, Century Friendship is obligated to sell to Beijing Decision, and Beijing Decision has an exclusive, irrevocable and unconditional rights to purchase from Century Friendship, in its sole discretion, part or of all of Century Friendship’s equity interests in New Oriental China when and to the extent that applicable PRC law permits it to own part or all of the equity interest in New Oriental China. In addition, Beijing Decision has an exclusive option to require Century Friendship to transfer all or part of Century Friendship’s equity interest in New Oriental China to another PRC person or entity designated by Beijing Decision at any time in its discretion. The purchase price to be paid by Beijing Decision will be the minimum amount of consideration permitted by applicable PRC law at the time when such share transfer occurs.

Power of Attorney. On December 3, 2012, Century Friendship, in the capacity of the sole shareholder of New Oriental China, executed a proxy agreement and power of attorney with Beijing Pioneer, which is one of the Company’s wholly owned subsidiaries in China, and New Oriental China, whereby Century Friendship irrevocably appoints and constitutes Beijing Pioneer as its attorney-in-fact to exercise on Century Friendship’s behalf any and all rights that Century Friendship has in respect of its equity interests in New Oriental China. This proxy agreement and power of attorney became effective on December 3, 2012 and replaces the powers of attorney executed by Century Friendship on April 23, 2012. The proxy agreement and power of attorney will remain effective as long as New Oriental China exists. Century Friendship does not have the rights to terminate the proxy agreement and power of attorney or revoke the appointment of the attorney-in-fact without the prior written consent of Beijing Pioneer.

VIE Arrangements between Dexin Dongfang and Xuncheng

On May 10, 2018, Dexin Dongfang, the wholly-owned subsidiary of Koolearn Holding, entered into the contractual arrangements (the “Contractual Arrangements”) with Xuncheng and the shareholders of Xuncheng, which enable Koolearn Holding to obtain control over Xuncheng, Beijing Kuxue Huisi Network Technology Co., Ltd. (“Kuxue Huisi”) and Dongfang Youbo (together the “Xuncheng VIE entities”).

The Contractual Arrangements include the Exclusive Management Consultancy and Business Cooperation Agreement, Exclusive Call Option Agreement, Equity Pledge Agreement, Powers of Attorney, Dispute resolution and Letters of undertaking.

Through these Contractual Agreements, the Company has the ability to (1) expose, or has rights, to variable returns from its involvement with the investee and has ability to affect those returns through its power over Xuncheng VIE entities; (2) exercise equity holders’ controlling voting rights of Xuncheng VIE entities; (3) receive substantially all of the economic benefits of Xuncheng VIE entities in consideration for the business support, technical and consulting services provided by Dexin Dongfang; (4) obtain an irrevocable and exclusive right to purchase all or part of equity interests in the Xuncheng VIE entities from the respective equity holders at nil consideration or a minimum purchase price permitted under the PRC Laws; (5) obtain a pledge over the entire equity interest of Xuncheng from their equity holders as collateral security for all of Xuncheng VIE entities’ payments.

Risks in relation to the VIE structure

The Company believes that the contractual arrangements with its VIEs and their respective shareholders are in compliance with the PRC laws and regulations and are legally enforceable. However, uncertainties in the PRC legal system could limit the Company’s ability to enforce the contractual arrangements. If the legal structure and contractual arrangements were found to be in violation of the PRC laws and regulations, the PRC government could:

•

revoke the business and operating licenses of the Company’s PRC subsidiaries and the VIEs;

•

discontinue or restrict the operations of any related-party transactions between the Company’s PRC subsidiaries and the VIEs;

•

limit the Group’s business expansion in China by way of entering into contractual arrangements;

•

impose fines or other requirements with which the Company’s PRC subsidiaries and the VIEs may not be able to comply;

•

require the Company or the Company’s PRC subsidiaries or the VIEs to restructure the relevant ownership structure or operations; or

•

restrict or prohibit the Company’s use of the proceeds of the additional public offering to finance the Group’s business and operations in China.

The Company’s ability to conduct its education business may be negatively affected if the PRC government were to carry out of any the aforementioned actions. As a result, the Company may not be able to consolidate its VIEs in its consolidated financial statements as it may lose the ability to exert effective control over the VIEs and their respective shareholders and it may lose the ability to receive economic benefits from the VIEs. The Company, however, does not believe such actions would result in the liquidation or dissolution of the Company, its PRC subsidiaries or the VIEs.

Mr. Yu is the controlling shareholder of Century Friendship, which owns all of the equity interests in New Oriental China, which in turn owns all of the equity interests in Xuncheng, and Mr. Yu is also a beneficial owner of the Company. The interests of Mr. Yu as the beneficial owner of the VIEs may differ from the interests of the Company as a whole, since Mr. Yu is one of the beneficial shareholders of the Company, holding 13.1% of the total common shares outstanding as of May 31, 2018. The Company cannot assure that when conflicts of interest arise, Mr. Yu will act in the best interests of the Company or that conflicts of interests will be resolved in the Company’s favor. Currently, the Company does not have existing arrangements to address potential conflicts of interest Mr. Yu may encounter in his capacity as a beneficial owner and director of the VIEs, on the one hand, and as a beneficial owner and director of the Company, on the other hand. The Company believes Mr. Yu will not act contrary to any of the contractual arrangements and the exclusive option agreement provides the Company with a mechanism to remove Mr. Yu as a beneficial shareholder of the VIEs should he act to the detriment of the Company. The Company relies on Mr. Yu, as a director and executive officer of the Company, to fulfill his fiduciary duties and abide by laws of the PRC and Cayman Islands and act in the best interest of the Company. If the Company cannot resolve any conflicts of interest or disputes between the Company and Mr. Yu, the Company would have to rely on legal proceedings, which could result in disruption of its business, and there is substantial uncertainty as to the outcome of any such legal proceedings.

In addition, the current shareholders of New Oriental China and Xuncheng are also beneficial owners of the Company and therefore have no current interest in seeking to act contrary to the contractual arrangements. However, to further protect the investors’ interest from any risk that the shareholders of New Oriental China may act contrary to the contractual arrangements, the Company, through Beijing Pioneer, entered into an irrevocable power of attorney with Century Friendship on December 3, 2012, which replaces the powers of attorney executed by Century Friendship on April 23, 2012. Through the power of attorney, Century Friendship entrusted Beijing Pioneer as its proxy to exercise its rights as the shareholder of New Oriental China with respect to an aggregate of 100% of the equity interests in New Oriental China.

The following financial statement balances and amounts of the VIEs were included in the accompanying consolidated financial statements after the elimination of intercompany balances and transactions among the offshore companies, WFOEs and the VIEs in the Group:


	As of May 31,
	2017		2018
	US$		US$
Total current assets		1,590,750		2,081,374
Total non-current assets		488,709		750,316

Total assets		2,079,459		2,831,690

Total current liabilities		1,137,288		1,674,857
Total non-current liabilities		2,174		13,782

Total liabilities		1,139,462		1,688,639


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Net revenues		1,443,851			1,777,864			2,417,203
Net income		313,828			333,456			479,190
Net cash provided by operating activities		457,267			454,753			711,591
Net cash used in investing activities		(286,235	)		(459,532	)		(429,265	)
Net cash provided by (used in) financing activities		63,328			4,250			(96,429	)

The VIEs contributed an aggregate of 97.7%, 98.8% and 98.8% of the consolidated net revenues for the years ended May 31, 2016, 2017 and 2018, respectively. The Company’s operations not conducted through contractual arrangements with the VIEs primarily consist of the lease of its commercial property. As of the fiscal years ended May 31, 2017 and 2018, the VIEs accounted for an aggregate of 71.1% and 71.2%, respectively, of the consolidated total assets, and 94.6% and 95.8%, respectively, of the consolidated total liabilities. The assets not associated with the VIEs were primarily consist of cash and cash equivalents, prepaid expenses, short-term investments and long-term investments.

There are no consolidated VIEs’ assets that are collateralized for the VIEs’ obligations and can only be used to settle the VIEs’ obligations. There are no creditors (or beneficial interest holders) of the VIEs that have recourse to the general credit of the Company or any of its consolidated subsidiaries. There are no terms in any arrangements, considering both explicit arrangements and implicit variable interests that require the Company or its subsidiaries to provide financial support to the VIEs. However, if the VIEs ever need financial support, the Company or its subsidiaries may, at its option and subject to statutory limits and restrictions, provide financial support to its VIEs through loans to the shareholders of the VIEs or entrustment loans to the VIEs.

Relevant PRC laws and regulations restrict the VIEs from transferring a portion of its net assets, equivalent to the balance of its statutory reserve and its share capital, to the Company in the form of loans and advances or cash dividends. Please refer to Note 26 for disclosure of restricted net assets.

Significant Accounting Policies

12 Months Ended

May 31, 2018

Accounting Policies [Abstract]

Significant Accounting Policies

2.	SIGNIFICANT ACCOUNTING POLICIES

Basis of presentation

The consolidated financial statements of the Group have been prepared in accordance with the accounting principles generally accepted in the United States of America (“US GAAP”).

Basis of consolidation

The consolidated financial statements include the financial statements of the Company, its subsidiaries, its VIEs and the VIEs’ subsidiaries and schools. The Company and its WFOEs have entered into contractual arrangements with the VIEs and its shareholders, which enable the Company to (1) have power to direct activities that most significantly affect the economic performance of the VIEs, and (2) receive the economic benefits of the VIEs that could be significant to the VIEs. Accordingly, the Company is considered the primary beneficiary of the VIEs and has consolidated the VIEs’ financial results of operations, assets and liabilities in the Company’s consolidated financial statements. All inter-company transactions and balances have been eliminated upon consolidation.

Use of estimates

The preparation of financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, related disclosures of contingent liabilities at the balance sheet date, and revenue and expenses in the consolidated financial statements and accompanying notes. Significant accounting estimates reflected in the Group’s consolidated financial statements include purchase price allocation relating to the business acquired, the valuation allowance for deferred tax assets, economic lives and impairment of property and equipment, impairment of goodwill, impairment of intangible assets, impairment of long-term investments, fair value of long-term available-for-sale investments, allowance for doubtable accounts, mezzanine equity and etc. Actual results could differ from those estimates.

Business combinations

Business combinations are recorded using the acquisition method of accounting. The purchase price of the acquisition is allocated to the tangible assets, liabilities, identifiable intangible assets acquired and non-controlling interest, if any, based on their estimated fair values as of the acquisition date. The excess of the purchase price over those fair values is recorded as goodwill. Acquisition-related expenses and restructuring costs are expensed as incurred.

In a business combination achieved in stages, the Group remeasures the previously held equity interest in the acquiree immediately before obtaining control at its acquisition-date fair value and the remeasurement gain or loss, if any, is recognized in the consolidated statements of operations.

Cash and cash equivalents

Cash and cash equivalents consist of cash on hand and highly liquid investments which are unrestricted as to withdrawal or use, and which have original maturities of three months or less when purchased.

Restricted cash

Restricted cash represents Renminbi (“RMB”) deposit in bank accounts as deposits for establishing new subsidiaries and schools. Restricted cash is classified as either current or non-current based on when the funds will be released in accordance with the terms of the respective agreement.

Term deposits

Term deposits consist of deposits placed with financial institutions with original maturities of greater than three months and less than one year.

Short-term investments

The Group’s short-term held-to-maturity investments are classified as short-term investments on the consolidated balance sheets based on their contractual maturity dates which are less than one year and are stated at their amortized costs.

The Group reviews its held-to-maturity investments for other-than-temporary impairment (“OTTI”) based on the specific identification method. The Group considers available quantitative and qualitative evidence in evaluating the potential impairment of its short-term investments. If the cost of an investment exceeds the investment’s fair value, the Group considers, among other factors, general market conditions, expected future performance of the investees, the duration and the extent to which the fair value of the investment is less than the cost, and the Group’s intent and ability to hold the investments. OTTI is recognized as a loss in the consolidated statements of operations.

Allowance for doubtful accounts

Accounts receivable represents amounts due from corporate customers of the Group’s various subsidiaries and schools. The Group provides allowance for doubtful accounts based on historical collection experience and a review of the current status of accounts receivable and other receivable. Accounts receivable and other receivable are presented net of allowance for doubtful accounts.

Changes in the allowance for doubtful accounts were as follows:


	As of May 31,
	2017			2018
	US$			US$
Beginning balance		1,210			1,180
Charge during the year		486			576
Written-off		(516	)		(357	)

Ending balance		1,180			1,399

Inventory

Inventory mainly consists of books. Inventory is stated at the lower of cost or net realizable value.

Property and equipment

Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization are calculated on a straight line basis over the following estimated useful lives:


Buildings			20-50 years
Transportation equipment			10 years
Furniture and education equipment			5 years
Computer equipment and software			3 years
Leasehold improvements			Shorter of the lease term or estimated useful life

Construction in progress

The Group constructs certain of its property and equipment. Construction in progress represents the costs incurred in connection with the construction of property and equipment. Costs classified as construction in progress include all costs of obtaining the asset and bringing it to the location and in the condition necessary for its intended use. Depreciation is recorded at the time the assets are ready for intended use.

Land use rights

Land use rights are recorded at cost and amortized on a straight-line basis over the remaining term of the land certificate, from 38.5 years to 50 years.

Impairment of long-lived assets

The Group reviews its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may no longer be recoverable. When these events occur, the Group measures impairment by comparing the carrying value of the long-lived assets to the estimated undiscounted future cash flows expected to result from the use of the assets and their eventual disposition. If the sum of the expected undiscounted cash flow is less than the carrying amount of the assets, the Group would recognize an impairment loss based on the fair value of the assets. The Group did not record any impairment losses on long-lived assets during the years ended May 31, 2016, 2017 and 2018.

Goodwill

Goodwill represents the excess of the purchase price over the fair value of identifiable net assets acquired in business combinations. Goodwill is not amortized but is tested for impairment annually or more frequently if events or changes in circumstances indicate that it might be impaired.

Goodwill is tested for impairment at the reporting unit level on an annual basis (May 31 for the Group) and between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value. These events or circumstances could include a significant change in the stock prices, business climate, legal factors, operating performance indicators, competition, or sale or disposition of a significant portion of a reporting unit.

Application of the goodwill impairment test requires judgment, including the identification of reporting units, assignment of assets and liabilities to reporting units, assignment of goodwill to reporting units, and determination of the fair value of each reporting unit. The estimation of fair value of each reporting unit using a discounted cash flow methodology also requires significant judgments, including estimation of future cash flows, which is dependent on internal forecasts, estimation of the long-term rate of growth for the Group’s business, estimation of the useful life over which cash flows will occur, and determination of the Group’s weighted average cost of capital. The estimates used to calculate the fair value of a reporting unit change from year to year based on operating results and market conditions. Changes in these estimates and assumptions could materially affect the determination of fair value and goodwill impairment for the reporting unit.

In order to test goodwill for impairment, the Group first assesses qualitative factors to determine whether it is “more likely than not” that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test. If it is more likely than not that the fair value of a reporting unit is less than its carrying amount, goodwill is then tested following a two-step process. The first step compares the fair value of each reporting unit to its carrying amount, including goodwill. If the fair value of each reporting unit exceeds its carrying amount, goodwill is not considered to be impaired and the second step will not be required. If the carrying amount of a reporting unit exceeds its fair value, the second step compares the implied fair value of goodwill to the carrying value of a reporting unit’s goodwill.

The implied fair value of goodwill is determined in a manner similar to accounting for a business combination with the allocation of the assessed fair value determined in the first step to the assets and liabilities of the reporting unit. The excess of the fair value of the reporting unit over the amounts assigned to the assets and liabilities is the implied fair value of goodwill.

An impairment loss is recognized for any excess in the carrying value of goodwill over the implied fair value of goodwill. The Group recorded nil, US$1,682 and nil impairment losses during the years ended May 31, 2016, 2017 and 2018, respectively.

Long-term investments

The Group’s long-term investments consist of cost method investments, equity method investments and available-for-sale investments.

(a)

Cost Method Investments

For investee companies over which the Group does not have significant influence nor control through investment in common shares or in-substance common shares and which do not have readily determinable fair value, the Group carries the investment at cost and recognizes as income any dividend received from distribution of the investee’s earnings.

The Group reviews its cost method investments for impairment whenever an event or circumstance indicates that an OTTI has occurred. The Group considers available quantitative and qualitative evidence in evaluating potential impairment of its cost method investments. An impairment charge is recorded if the cost of an investment exceeds its fair value and such excess is determined to be other-than temporary.

The Group estimates the fair value of these investee companies based on the discounted cash flow approach. Factors the Group considers in making such a determination include general market conditions, the duration and the extent to which the fair value of an investment is less than its cost, and the Group’s intent and ability to hold such investment. The Group did not record any impairment losses on its cost method investments during the years ended May 31, 2016, 2017 and 2018.

(b)

Equity Method Investments

Investee companies over which the Group has the ability to exercise significant influence, but does not have a controlling interest through investment in common shares or in-substance common shares, are accounted for using the equity method. Significant influence is generally considered to exist when the Group has an ownership interest in the voting stock of the investee between 20% and 50%. Other factors, such as representation on the investee’s board of directors, voting rights and the impact of commercial arrangements, are also considered in determining whether the equity method of accounting is appropriate. For certain investments, where the Group holds more than 50% equity interest, the Group may only have significant influence but not have control over the investees. For certain investments, where the Group hold less than 20% equity or voting interest, the Group may also have significant influence. Equity method is also used to account for these investments.

Under the equity method, the Group initially records its investments at cost and subsequently recognizes its proportionate share of each equity investee’s net income or loss after the date of investment into earnings and accordingly adjusts the carrying amount of the investment.

An impairment charge is recorded if the carrying amount of the investment exceeds its fair value and this condition is determined to be other-than temporary. The Group estimated the fair value of the investee company based on comparable quoted price for similar investment in active market, if applicable, or discounted cash flow approach which requires significant judgments, including the estimation of future cash flows, which depends on internal forecasts, the estimation of long term growth rate of a company’s business, the estimation of the useful life over which cash flows will occur, and the determination of the weighted average cost of capital. The Company recorded nil impairment losses on its equity method investment during the years ended May 31, 2016, 2017 and 2018.

(c)

Available-for-sale Investments

For investments in investees’ preferred shares which are determined to be debt securities, the Group accounts for them as long-term available-for-sale investments when they are not classified as either trading or held-to-maturity investments. Available-for-sale investments are carried at their fair values and the unrealized gains or losses from the changes in fair values are recorded in accumulated other comprehensive income. Realized gains or losses, and provision for decline in value judged to be other than temporary, if any, are recognized in the consolidated statements of operations.

The Group reviews its investments for OTTI based on the specific identification method. The Group considers available quantitative and qualitative evidence in evaluating potential impairment of its investments. If the cost of an investment exceeds the investment’s fair value, the Group considers, among other factors, general market conditions, government economic plans, the duration and the extent to which the fair value of the investment is less than the cost, the Group’s intent and ability to hold the investment, and the financial condition and near term prospects of the investees. The Company recorded nil, US$2,338 and US$980 impairment losses on its available-for-sale investments during the years ended May 31, 2016, 2017 and 2018, respectively.

Non-controlling interests and redeemable non-controlling interests

The Group’s consolidated financial statements include entities in which the Company has a controlling financial interest. Earnings or losses attributable to minority shareholders of the consolidated affiliated company are classified separately as “non-controlling interests” in the Company’s consolidated statements of operations.

Non-controlling interests in subsidiaries that are redeemable outside of the Company’s control for cash or other assets are classified outside of permanent equity at the redemption value. If the redemption event is probable to occur, the Company adjusts the redeemable non-controllinginterests to the redemption value on each balance sheet date with the changes recognized as an adjustment to retained earnings, or in the absence of retained earnings, as an adjustment to additional paid-in capital.

Value added tax (“VAT”)

Pursuant to the PRC tax laws, in case of any product sales, generally the VAT rate is 3% of the gross sales for small scale VAT payer and 17% of the gross sales for general VAT payer. Most of the subsidiaries of the Company are deemed as general VAT payers for the sales of guidance materials and the intercompany sales of self-developed software. For general VAT payer, VAT on sales is calculated at 17% on revenue from product sales and paid after deducting input VAT on purchases. The net VAT balance between input VAT and output VAT is recorded as accrued expenses in the Group’s consolidated financial statements.

On January 1, 2012, the PRC Ministry of Finance and the State Administration of Taxation officially launched a pilot VAT reform program (“Pilot Program”), applicable to businesses in selected industries. Such VAT Pilot Program was phased in Beijing, Jiangsu, Anhui, Fujian, Guangdong, Tianjin, Zhejiang, and Hubei between September and December 2012. Business in the Pilot Program would pay VAT instead of sales tax. Starting from August 1, 2013, the Pilot Program was expanded to cover all regions in the PRC. Implementation of the Pilot Program, the new enrollment system development services and other operating services which were previously subject to business tax are therefore subject to VAT at the rate of 6% of revenue. The net VAT balance between input VAT and output VAT is recorded as accrued expenses in the Group’s consolidated financial statements.

Since May 2016, in accordance with Cai Shui [2016] No. 68, the non-academic educational programs and services in short-term training schools are subject to a simple VAT collection method and apply for a 3% VAT rate. Therefore, the Group’s non-academic educational programs and services in short-term language training schools which were previously subject to business tax are now subject to a VAT rate of 3%.

Since May 2018, in accordance with Cai Shui [2018] No.32, the VAT rate decreased to 16% of the gross sales for general VAT payer. Most of the Group’s entities are deemed as general VAT payers for the sales of books and teaching materials and the intercompany sales of self-developed software. Therefore, for general VAT payer, VAT on sales is calculated at 16% on revenue from product sales and paid after deducting input VAT on purchases since May 1, 2018.

Revenue recognition

Revenue is recognized when persuasive evidence that an arrangement exists, delivery of the product or service has occurred, the selling price is both fixed and determinable and collection is reasonably assured. Revenue is reported net of business taxes, VAT and refunds. Business tax and VAT amounted to US$52,993 for the year ended May 31, 2016. Subsequent to May 2016, the Group no longer incurred business taxes. The primary sources of the Group’s revenues are as follows:

(a)

Educational programs and services

The educational programs and services consist of language training and test preparation courses, pre-school education, primary and secondary school education and online education. Tuition is generally paid in advance and is initially recorded as deferred revenue. Revenue is recognized proportionately as the instruction is delivered over the period of the course for the course fees collected for enrollment in the language training and test preparation courses and online education or ratably over the corresponding academic year for the school fees collected for enrollment in the pre-school education and primary and secondary school education, and is reported net of business taxes, VAT and refunds. Students are entitled to a short term trial period which commences on the date the course begins. Refunds are provided to students if they decide within the trial period that they no longer want to take the course. After the trial period, if a student withdraws from a class, usually only those collected but unearned portion of the fee is available to be returned. Refunds have been insignificant for the years ended May 31, 2016, 2017 and 2018.

(b)

Other services

Other service revenues are primarily derived from consulting services to students regarding overseas studies and study tours. Revenue is recognized upon meeting the following criteria after a contract is signed, the price is fixed or determinable, services are delivered and collection is reasonably assured.

(c)

Books

The Group sells books or other educational materials developed or licensed by the Group either through its own distribution channels or through third party distributors. Revenue from sales of books and other educational materials is recognized when the products are sold to the end customers. The Group provides books and other educational materials that are required for its courses and does not separately charge students for these items.

Operating leases

Leases where substantially all the rewards and risks of ownership of assets remain with the leasing company are accounted for as operating leases. Payments made under operating leases are charged to the consolidated statements of operations on a straight-line basis over the shorter of the lease term or estimated economic life.

Advertising costs

The Group expenses advertising costs as they incurred. Total advertising expenses were US$39,753, US$41,498 and US$55,936, for the years ended May 31, 2016, 2017 and 2018, respectively, and have been included as part of selling and marketing expenses.

Government subsidies

The Group recognizes government subsidies as miscellaneous income when they are received because they are not subject to any past or future conditions, there are no performance conditions or conditions of use, and they are not subject to future return. Government subsidies received and recognized as miscellaneous income totaled US$494, US$1,325 and US$2,945, for the years ended May 31, 2016, 2017 and 2018, respectively.

Foreign currency translation

The Company’s functional and reporting currency is the United States dollars (“U.S. dollars”). The financial records of the Company’s subsidiaries and the VIEs located in the PRC are maintained in their local currency, the RMB, which is the functional currency of these entities. The financial records of the Company’s subsidiaries located in Hong Kong are maintained in U.S. dollars, which is the functional currency of these entities. The financial records of the Company’s subsidiaries located in United Kingdom are maintained in their local currency, the Great Britain Pound (“GBP”), which is the functional currency of these entities. The financial records of the Company’s subsidiary located in Australia are maintained in its local currency, the Australian Dollar (“AUD”), which is the functional currency of the entity. All financial records of the other entities are maintained in U.S. dollars.

Monetary assets and liabilities denominated in currencies other than the applicable functional currencies are translated into the reporting currency at the rates of exchange ruling at the balance sheet date. Equity accounts are translated at historical exchange rates, and revenues and expenses are translated using the average rate of exchange in effect during the reporting period. Translation adjustments are reported and shown as a separate component of other comprehensive income in the consolidated statements of changes in equity and consolidated statements of comprehensive income.

Transactions in currencies other than the functional currencies during the year are converted into the applicable functional currencies at the applicable rates of exchange prevailing at the dates of the transactions. Exchange gains and losses are recognized in the consolidated statements of operations.

Foreign currency risk

The RMB is not a freely convertible currency. The State Administration for Foreign Exchange, under the authority of the People’s Bank of China, controls the conversion of the RMB into other currencies. The value of the RMB is subject to changes in central government policies and to international economic and political developments affecting supply and demand in the China Foreign Exchange Trading System market. The Group’s cash and cash equivalents, restricted cash, and term deposits denominated in RMB amounted to US$762,895 and US$989,070 as of May 31, 2017 and 2018, respectively.

Fair value

Fair value is the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Group considers the principal or most advantageous market in which it would transact and it considers assumptions that market participants would use when valuing the asset or liability. Authoritative literature provides a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The level in the hierarchy within which the fair value measurement in its entirety falls is based upon the lowest level of input that is significant to the fair value measurement as follows:

Level 1

Level 1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities.

Level 2

Level 2 applies to assets or liabilities for which there are inputs other than quoted prices included within Level 1 that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data.

Level 3

Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.

Fair value of financial instruments

The Group’s financial instruments consist primarily of cash and cash equivalents, restricted cash, term deposits, short-term investments, accounts receivable, amount due from/to related parties, long-term investment due within one year, available-for-sale investments, accounts payable and income tax payable. Available-for-sale investments are carried at fair value. The carrying amounts of cash and cash equivalents, restricted cash, term deposits, short-term investments, long-term investment due within one year, accounts receivable, amount due from/to related parties, accounts payable and income tax payable approximate their fair values due to the short-term maturities of these instruments.

Net income per share

Basic net income per share is computed by dividing net income attributable to the holders of common shareholders by the weighted average number of common shares outstanding during the year. Diluted net income per share reflects the potential dilution that could occur if securities or other contracts to issue common shares were exercised into common shares. Common share equivalents are excluded from the computation of the diluted net income per share in years when their effect would be anti-dilutive. The Group has share option and non-vested equity shares which could potentially dilute basic earnings per share in the future. To calculate the number of shares for diluted net income per share, the effect of the share options and non-vested equity shares is computed using the treasury stock method. The effect of mezzanine equity is computed using the if-converted method.

Income taxes

The Group accounts for income taxes using the asset and liability approach. Under this method, deferred tax assets and liabilities are determined based on the difference between the financial reporting and tax basis of assets and liabilities, net of operating loss carry forwards and credits, by applying enacted tax rates that will be in effect for the period in which the differences are expected to reverse. The effect on deferred taxes of a change in tax rates is recognized in the consolidated statements of operations in the period of change. Deferred tax assets are reduced by a valuation allowance when it is considered more likely than not that some portion or all of the deferred tax assets will not be realized.

The Group accounts for uncertain tax positions by reporting a liability for unrecognized tax benefits resulting from uncertain tax positions taken or expected to be taken in a tax return. Tax benefits are recognized from uncertain tax positions when the Group believes that it is more likely than not that the tax position will be sustained on examination by the tax authorities based on the technical merits of the position. The Group recognizes interest and penalties, if any, related to unrecognized tax benefits in income tax expenses.

Comprehensive income

Comprehensive income includes net income, unrealized gain or loss on available-for-sale securities and foreign currency translation adjustments. Comprehensive income is reported in the consolidated statements of comprehensive income.

Share-based compensation

Share-based payments to employees and directors are measured based on the grant-date fair value of the equity instrument issued and recognized as compensation expenses net of forfeitures on a straight-line basis over the requisite service period, with a corresponding addition to paid-incapital. The Group uses the binomial option pricing model to measure the fair value of options granted and the quoted market price of the Company’s common shares to measure the fair value of non-vested equity shares (“NES”) granted to employees at each measurement date. The binomial option pricing model is adopted because the Group believes that considering the possibility of exercise an option over the life of the option, as affected by the reality of changing stock prices and non-constant risk free rates, would better reflect the measurement objective of relevant accounting literature.

The amount of compensation expenses recognized at any date is at least equal to the portion of the fair value of the awards that are vested as of that date. The forfeitures are recognized based on the estimated forfeitures rate, upon the adoption of ASU 2016-09 on June 1, 2017, they are recognized as they occur.

Concentration of credit risk

Financial instruments that potentially expose the Group to significant concentration of credit risk consist primarily of cash and cash equivalents, term deposits, restricted cash, short-term investments and accounts receivable. As of May 31, 2018, substantially all of the Group’s cash and cash equivalents, term deposits, restricted cash and short-term investments were deposited with financial institutions with high-credit ratings and quality. Accounts receivable are typically unsecured and are derived from revenues earned from customers in the PRC. The Group performs periodic credit evaluations and provides an allowance for doubtful accounts to reduce the accounts receivable balance to its net realizable value. The Group did not have any customers constituting 10% or more of the consolidated net revenues and accounts receivable in the fiscal years 2016, 2017 and 2018, respectively.

Recent accounting pronouncements adopted

In March 2016, the FASB issued ASU 2016-09, Compensation—Stock Compensation (Topic 718). The new guidance simplifies certain aspects related to income taxes, statement of cash flows, and forfeitures when accounting for share-based payment transactions. Certain of the amendments related to timing of the recognition of tax benefits and tax withholding requirements should be applied using a modified retrospective transition method. Amendments related to the presentation of the statement of cash flows should be applied retrospectively. All other provisions may be applied on a prospective or modified retrospective basis. For a public entity, the amendments in this ASU are effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. The Group adopted this ASU on June 1, 2017 and has elected to account for forfeitures as they occur rather than applying an estimated forfeiture rate to share-based compensation expenses on a prospective basis. The adoption did not have a material impact on the Group’s financial position or results of operations. However, the retrospective application of cash paid for employee taxes on withheld shares from share-based awards resulted in a US$6,419 and US$4,557 reclassification of these cash outflows from operating activities to financing activities on the consolidated statements of cash flows for the years ended May 31, 2016 and 2017, respectively.

In March 2016, the FASB issued ASU No. 2016-07, simplifying the Transition to the Equity Method of Accounting. The amendments eliminate the requirement that when an investment qualified for use of the equity method as a result of an increase in the level of ownership interest or degree of influence, an investor must adjust the investment, results of operations, and retained earnings retroactively on a step-by-step basis as if the equity method had been in effect during all previous periods that the investment had been held. The amendments require that the equity method investor add the cost of acquiring the additional interest in the investee to the current basis of the investor’s previous held interest and adopt the equity method of accounting as of the date the investment becomes qualified for equity method accounting. Therefore, upon qualifying for the equity method of accounting, no retroactive adjustment of the investment is required. The amendments require that an entity that has an available-for-sale equity security that becomes qualified for the equity method of accounting recognize through earnings the unrealized holding gain or loss in accumulated other comprehensive income at the date the investment becomes qualified for use of the equity method. The amendments are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. The amendments should be applied prospectively upon their effective date to increase in the level of ownership interest or degree of influence that result in the adoption of the equity method. Earlier application is permitted. The Group adopted this ASU on June 1, 2017 and determined it had no impact on its consolidated financial statements as of May 31, 2018.

Recently issued accounting pronouncements not yet adopted

In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 requires revenue recognition to depict the transfer of goods or services to customers in an amount that reflects the consideration that a company expects to be entitled to in exchange for the goods or services. To achieve this principle, a company must apply five steps including identifying the contract with a customer, identifying the performance obligations in the contract, determining the transaction price, allocating the transaction price to the performance obligations, and recognizing revenue when (or as) the company satisfies the performance obligations. Additional quantitative and qualitative disclosure to enhance the understanding about the nature, amount, timing, and uncertainty of revenue and cash flows is also required. ASU 2014-09 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. In April 2016, the FASB issued ASU 2016-10, “Identifying Performance Obligations and Licensing.” ASU 2016-10 clarifies the following two aspects of ASU 2014-09:identifying performance obligations and licensing implementation guidance. The effective date of ASU 2016-10 is the same as the effective date of ASU 2014-09.

The Group expects to adopt ASU 2014-09 utilizing the modified retrospective method in the first quarter of fiscal year 2019. The Group has substantially completed the assessment of the impacts of the new standard to its existing portfolio of customer contracts. The Group does not believe the adoption of ASU 2014-09 would have a material effect on its current revenue recognition policies, except that it will be required to assess variable consideration included in its consulting service related to overseas study over the expected service period. The Group has also identified a provision under the new standard in relation to the incremental cost, commission fees, of obtaining a contract and will make judgments and estimates throughout the applicable periods. Certain additional financial statement disclosure are mandated by the new standard including disclosure of contract assets and contract liabilities as well as a disaggregated view of revenue.

In January 2016, the FASB issued a new pronouncement ASU 2016-01 Financial Instruments-Overall: Recognition and Measurement of Financial Assets and Financial Liabilities. The ASU requires equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income. The ASU also requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments.

ASU 2016-01 was further amended in February 2018 by ASU 2018-03, “Technical Corrections and Improvements to Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities”. This update was issued to clarify certain narrow aspects of guidance concerning the recognition of financial assets and liabilities established in ASU 2016-01. This includes an amendment to clarify that an entity measuring an equity security using the measurement alternative may change its measurement approach to a fair valuation method in accordance with Topic 820, Fair Value Measurement, through an irrevocable election that would apply to that security and all identical or similar investments of the same issued.

ASU 2016-01 and ASU 2018-03 are effective for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Adoption of the amendment must be applied by means of a cumulative-effect adjustment to the balance sheet as of the beginning of the fiscal year of adoption, except for amendments related to equity instruments that do not have readily determinable fair values which should be applied prospectively. The Group will apply the new standard in the first quarter of fiscal year 2019. For investments in equity securities without readily determinable fair values, the Group will elect to use the measurement alternative defined as cost, less impairment, adjusted by observable price change. For investments in equity securities with readily determinable fair values, the Group will elect to account them at fair value change through earnings. The Group anticipates that the adoption of ASU 2016-01 may increase the volatility of its other income / expenses, as a result of the remeasurement of the equity securities upon the occurrence of observable price change.

In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). The guidance supersedes existing guidance on accounting for leases with the main difference being that operating leases are to be recorded in the statement of financial position as right-of-use assets and lease liabilities, initially measured at the present value of the lease payments. For operating leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election not to recognize lease assets and liabilities. For public business entities, the guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application of the guidance is permitted. In transition, entities are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The Group is in the process of evaluating the impact of the adoption of this pronouncement on its consolidated financial statements.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments — Credit Losses (Topic 326), Measurement of Credit Losses on Financial Statements. This ASU requires a financial asset (or group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial asset(s) to present the net carrying value at the amount expected to be collected on the financial asset. This Accounting Standards Update affects entities holding financial assets and net investment in leases that are not accounted for at fair value through net income. The amendments affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual rights to receive cash. For public business entities, the amendments in this Update are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. All entities may adopt the amendments in this Update through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (that is, a modified-retrospective approach). The Group is in the process of evaluating the impact of the adoption of this pronouncement on its consolidated financial statements.

In November 2016, the FASB issued ASU 2016-18: Statement of Cash Flows (Topic 230): Restricted Cash. The amendments in this Update require that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The amendments in this Update do not provide a definition of restricted cash or restricted cash equivalents. The amendments in this ASU on update are effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. The amendments in this Update should be applied using a retrospective transition method to each period presented. The Group expects the adoption of this new ASU will change the presentation of restricted cash on the statement of cash flow.

In January 2017, the FASB issued ASU 2017-01: Business Combinations (Topic 805): Clarifying the Determination of Business. The Update requires that when substantially all of the fair value of the gross assets acquired (or dispose of) is concentrated in a single identifiable asset or a group of similar identifiable assets, the set is not a business. This screen reduces the number of transactions that need to be further evaluated. If the screen is not met, the amendments in this ASU on update (1) required that to be considered a business, a set must include, at a minimum, an input and a substantive process that together significantly contribute to the ability to create output and (2) remove the evaluation of whether a market participant could replace missing elements. Public business entities should apply the amendments in this Update to annual periods beginning after December 15, 2017, including interim period within those periods. Early adoption of the amendments in this Update is allowed. The amendments in this Update should be applied prospectively on or after the effective date. No disclosure are required at transition. The Group is in the process of evaluating the impact of the adoption of this pronouncement on its consolidated financial statements.

In January 2017, the FASB issued ASU 2017-04: Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. To simplify the subsequent measurement of goodwill, the FASB eliminated Step 2 from the goodwill impairment test. Under the amendments in this Update, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. An entity should apply the amendments in this ASU on update on a prospective basis. An entity is required to disclose the nature of and reason for the change in accounting principle upon transition. A public business entity that is a SEC filer should adopt the amendments in this Update for its annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Group is in the process of evaluating the impact of the adoption of this pronouncement on its consolidated financial statements.

Business Acquisitions

12 Months Ended

May 31, 2018

Business Combinations [Abstract]

Business Acquisitions

3.	BUSINESS ACQUISITIONS

Business acquisition in fiscal year 2017:

Acquisition of Ainuo Shida

In March 2015, the Group invested and paid US$1,129 to obtain 18% equity interest in Ainuo Shida to expand the business of its oversea consulting and benefit from the synergistic effect expected from such investment. The investment was initially recognized as available-for-sale investment as the Group determined that it was a debt security and measured the investment subsequently at fair value. In December 2016, the Group acquired an additional 33% equity interest in Ainuo Shida, for a total consideration of US$3,842, which was paid in full as of May 31, 2017. The acquisition resulted in the Group obtaining control of Ainuo Shida with an ownership of 51% equity interest.

The Group recognized an investment gain of US$723 as a result of remeasuring the 18% equity interest immediately to fair value before the business combination. The acquisition was recorded using the acquisition method of accounting. Accordingly, the acquired assets and liabilities were recorded at their fair value on the date of acquisition. The acquisition-date fair value of the equity interest held by the Group immediately prior to the acquisition date was measured at fair value using a discounted cash flow method and taking into account certain factors including the management projection of discounted future cash flow and an appropriate discount rate. The purchase price allocation was determined by the Group with assistance of an independent valuation appraiser. The purchase price was allocated on the date of acquisition as follows:


	US$			Amortization period
Cash		2,499
Other current assets		4,874
Property and equipment		493			1-5 years
Intangible assets
Trademark		1,708			10 years
Student base		1,069			1 year
Courseware		76			3 years
Goodwill		5,516
Deferred revenue		(4,544	)
Other current liabilities		(1,496	)
Deferred tax liabilities		(713	)
Fair value of the 18% equity interest		(1,741	)
Non-controlling interests		(3,899	)

Total		3,842

Business acquisition in fiscal year 2018:

Acquisition of Hangzhou Shengshen

In October 2017, the Group acquired 100% equity interest in Hangzhou Shengshen, a K-12 education group located in Zhejiang, for a total consideration of US$11,012, in which US$5,309 had been paid during the year ended May 31, 2018. The acquisition was recorded using the acquisition method of accounting, accordingly, the acquired assets and liabilities were recorded at their fair value on the date of acquisition. The purchase price allocation was determined by the Group with assistance of an independent appraiser. The acquired goodwill is not deductible for tax purposes. The purchase price was allocated on the date of acquisition as follows:


	US$			Amortization period
Cash		3,571
Other current assets		704
Property and equipment		1,148			1-5 years
Intangible assets
Trademark		1,713			5 years
Student base		2,164			3 years
Goodwill		9,809
Deferred revenue		(5,566	)
Other current liabilities		(1,562	)
Deferred tax liabilities		(969	)

Total		11,012

Other acquisitions

During the year ended May 31, 2018, the Group also made several other business acquisitions.

The total cash consideration of the business acquisitions was US$6,992, in which US$5,902 had been paid during the fiscal year 2018. The cash and cash equivalents, intangible assets, goodwill, deferred revenue and non-controlling interests acquired from these business acquisitions were US$8,639, US$2,294, US$6,383, US$15,215 and US$1,683, respectively. The purchase price allocations were determined by the Group with assistance of an independent valuation appraiser.

The results of operations for all these acquired entities have been included in the Group’s consolidated financial statements from their respective acquisition dates. The acquired goodwill is not deductible for tax purposes.

The following summarized unaudited pro forma results of operations for the years ended May 31, 2017 and 2018 assuming that these acquisitions during the year ended May 31, 2018 occurred as of June 1, 2017. These pro forma results have been prepared for comparative purpose only and do not purport to be indicative of the results of operations which actually would have resulted had the acquisitions occurred as of June 1, 2017, nor is it indicative of future operating results.


	For the years ended May 31,
	2017		2018
	(unaudited)		(unaudited)
	US$		US$
Pro forma net revenues		1,815,660		2,451,735
Pro forma net income attributable to New Oriental Education and Technology Group Inc.		275,685		296,697
Pro forma net income per share – basic		1.75		1.88
Pro forma net income per share – diluted		1.75		1.87

Disposal of Subsidiaries

12 Months Ended

May 31, 2018

Discontinued Operations and Disposal Groups [Abstract]

Disposal of Subsidiaries

4.	DISPOSAL OF SUBSIDIARIES

Disposal of Dianshi Jingwei

In April 2016, the Group sold 51% equity interest in Beijing Dianshi Jingwei Technololy Co., Ltd (“Dianshi Jingwei”) to management of Dianshi Jingwei for a cash consideration of US$2,325. As of the disposal date, Dianshi Jingwei had accumulated deficit resulting in the Group deriving a gain from the deconsolidation. The disposal gain recognized by the Group was US$3,760 and was recorded in the consolidated statements of operations for the year ended May 31, 2016. Subsequent to this disposal, the Group accounted for its 49% investment in Dianshi Jingwei as an equity method investment because the Group retained the ability to exercise significant influence. The disposal of Dianshi Jingwei did not represent a strategic shift and did not have a major effect on the Group’s operation.

The disposal gains from the transaction was presented as continuing operation.

Short-Term Investments

12 Months Ended

May 31, 2018

Investments, Debt and Equity Securities [Abstract]

Short-Term Investments

5.	SHORT-TERM INVESTMENTS

Short-term investments consisted of the following:


	As of May 31,
	2017		2018
	US$		US$
Held-to-maturity investments		1,312,942		1,623,763

Short-term investments consist of various financial products purchased from Chinese banks and trusts and are classified as held-to-maturity investments as the Group has the positive intent and ability to hold the investments to maturity. The maturities of these financial products range from one month to less than one year, with variable interest rates. They are classified as short-term investments on the consolidated balance sheets as their contractual maturity dates are equal to or less than one year.

While these fixed-income financial products are not publicly traded, the Group estimated that their fair value approximate their amortized costs considering their short term maturities and high credit quality. No OTTI loss was recognized for the years ended May 31, 2016, 2017 and 2018, respectively.

Inventory, Net

12 Months Ended

May 31, 2018

Inventory Disclosure [Abstract]

Inventory, Net

6.	INVENTORY, NET

Inventory, net, consisted of the following:


	As of May 31,
	2017		2018
	US$		US$
Course materials in schools		7,419		12,020
Publications in bookstores		24,323		28,155

		31,742		40,175

Inventory was marked to the lower of cost or net realizable value and the inventory provision was reversed in the amount of US$152 and US$461 for the years ended May 31, 2017 and 2018, respectively.

Prepaid Expenses and Other Current Assets, Net

12 Months Ended

May 31, 2018

Text Block [Abstract]

Prepaid Expenses and Other Current Assets, Net

7.	PREPAID EXPENSES AND OTHER CURRENT ASSETS, NET

Prepaid expenses and other current assets, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Prepaid rent		44,746			56,531
Advances to suppliers		29,358			43,913
Interest receivable		14,005			23,647
Rental deposits		8,355			10,953
Staff advances (a)		2,514			9,544
Receivable from exercise of options/NES		—			7,300
Prepaid advertising fees		4,235			6,917
Receivable from third parties’ platforms		3,211			5,967
VAT recoverable		2,305			3,493
Deposits of advertising and decoration		1,411			3,342
Prepaid property taxes and other taxes		947			212
Others (b)		8,905			11,190
Less: allowance for other receivables		(595	)		(914	)

		119,397			182,095

(a)	Staff advances were provided to staff for traveling and related use which are expensed as incurred.

(b)	Others primarily included prepaid maintenance fees, other receivables and other miscellaneous prepayments.

Long -Term Investment Due Within One Year

12 Months Ended

May 31, 2018

Text Block [Abstract]

Long -Term Investment Due Within One Year

8.	LONG -TERM INVESTMENT DUE WITHIN ONE YEAR

In October 2015, the Group invested US$15,654 in a two-year trust named Trust 556 with an expected annualized interest rate of 8.5%. The principal and the interest are not guaranteed during the Group’s holding period and will be paid upon maturity. The investments were classified as available-for-sale investments as the Group determined that the shares were debt security and unrealized gains of US$706 and US$1,089 were reported in other comprehensive income for the years ended May 31, 2016 and 2017, respectively. As of May 31, 2017, the investment amounting to US$16,743 was reclassified to long-term investment due within one year.

In October 2017, Trust 556 was due and the Group accordingly redeemed the principal and interest for a total of US$18,475 with realized gain of US$2,821.

Property and Equipment, Net

12 Months Ended

May 31, 2018

Property, Plant and Equipment [Abstract]

Property and Equipment, Net

9.	PROPERTY AND EQUIPMENT, NET

Property and equipment, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Buildings		141,477			156,324
Transportation equipment		8,618			9,936
Furniture and education equipment		88,671			128,670
Computer equipment and software		48,385			65,227
Leasehold improvements		216,848			349,953

		503,999			710,110
Less: accumulated depreciation		(243,035	)		(275,940	)
Exchange differences		7,182			(15,499	)
Construction in progress		14,654			30,921

		282,800			449,592

Depreciation expenses for the years ended May 31, 2016, 2017 and 2018 were US$47,281, US$53,864 and US$77,081, respectively.

Land Use Rights, Net

12 Months Ended

May 31, 2018

Text Block [Abstract]

Land Use Rights, Net

10.

LAND USE RIGHTS, NET

Land use rights, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Land use rights		5,003			5,315
Less: accumulated amortization		(1,307	)		(1,417	)
Exchange differences		(28	)		(113	)

Land use rights, net		3,668			3,785

Amortization expenses for land use rights for the years ended May 31, 2016, 2017 and 2018 were US$112, US$106 and US$110, respectively. The Group expects to recognize US$110 in amortization expense for each of the next five years and US$3,235 thereafter.

Intangible Assets, Net

12 Months Ended

May 31, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets, Net

11.

INTANGIBLE ASSETS, NET

Intangible assets, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Intangible assets with indefinite lives:
Trademark		241			256
Intangible assets with finite lives:
Trademark		2,976			5,575
Courseware		122			129
Student base		2,995			7,014
Favorable lease		689			732
License		415			415

		7,438			14,121

Less: accumulated amortization		(3,498	)		(5,272	)
Exchange differences		65			(305	)

		4,005			8,544

Amortization expenses for the intangible assets for the years ended May 31, 2016, 2017 and 2018, were US$1,122, US$1,419 and US$1,839, respectively. As of May 31, 2018, the Group expects to record amortization expenses related to intangible assets US$2,004, US$1,982, US$1,332, US$1,037 and US$720 for the years ended May 31, 2019, 2020, 2021, 2022, 2023, respectively, and US$1,213 thereafter.

Goodwill, Net

12 Months Ended

May 31, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill, Net

12.

GOODWILL, NET

Goodwill, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Beginning balance		10,545			15,765
Acquisition		5,516			16,192
Exchange differences		(296	)		1,454

Ending balance		15,765			33,411
Accumulated impairment		(1,682	)		(1,682	)

Goodwill, net		14,083			31,729

The goodwill reflects the excess of the consideration paid or transferred over the fair values of the identifiable net assets acquired. The Company acquired Tongwen Gaokao and Tongwen High School (collectively “Tongwen”) in September 2008. For the fiscal year ended May 31, 2017, the Group performed its annual goodwill impairment testing and determined there was an impairment. As a result, the entire balance of goodwill associated with Tongwen and amounting to US$1,682 was written off. The Group did not incur impairment loss for the year ended May 31, 2018.

Long-Term Investments, Net

12 Months Ended

May 31, 2018

Investments Schedule [Abstract]

Long-Term Investments, Net

13.

LONG-TERM INVESTMENTS, NET

Long term investments, net, consisted of the following:


	As of May 31,
	2017		2018
	US$		US$
Cost method investments:
Asia Pacific Montessori Education Co., Ltd.(“Asia Pacific”) (a)		—		11,216
Other cost method investments (b)		8,132		27,291
Equity method investments: (c)		11,537		9,131
Available-for-sale investments:
Sunlands Online Education Group (“Sunlands”) (d)		32,644		134,423
Shanghai Golden Education & Training Co., Ltd.(“Golden Finance”) (e)		44,809		86,937
Boxfish Education Group Limited (“Boxfish”) (f)		—		15,000
Shanghai ALO7 Technology Co., Ltd.(“Alo7.com”) (g)		17,370		14,395
Tianjin Uhozz Internet Technology Co., Ltd (“Uhozz”) (h)		9,552		12,826
Beijing Kaisheng Culture Media Ltd. (“Kaisheng Culture”) (i)		7,342		11,263
Tarena International, Inc. (“Tarena”) (j)		25,695		9,610
Dr. Cuiyutao Healthcare Limited (“Yuxueyuan”) (k)		—		9,316
Beijing Shengtong Printing Co., Ltd (“Shengtong”) (l)		10,711		9,261
Lele Global Limited (“Lele”) (m)		9,105		9,157
Xiamen Shenzhouying Software & Technology Co., Ltd (“Shenzhouying”) (n)		6,856		8,451
Special assets management plan-Guotai Yuanxin & New Oriental (“Assets Management Plan”) (o)		7,486		8,336
Other available-for-sale investments (p)		26,020		56,720

		217,259		433,333

(a)

In April and November 2017, the Group paid US$3,205 and US$8,011, respectively, in Asia Pacific, a company engaging in pre-school education, for 35% equity interests. Asia Pacific’s equity interest was equity security but not in-substance common shares due to substantial liquidation preference rights. Accordingly, the investment in Asia Pacific was accounted for as a cost method investment.

(b)

As to the other investments, they represent several insignificant investments in third-party private companies classified as cost method investments as of May 31, 2017 and 2018. The Group accounts for these investments under the cost method as the Group has no ability to exercise significant influence over the investees.

(c)

The Group holds 6.86% to 50% equity interests in nine third-party companies through investments in their common shares or in-substancecommon shares. Majority of the long-term investments are engaged in educational services. The Group accounts for these investment under the equity method because the Group has the ability to exercise significant influence but does not have control over the investees. The Group recognized impairment loss from equity method investments of US$4,425, US$3,289 and US$379 for the years ended May 31, 2016, 2017 and 2018, respectively.

(d)

In January 2016, the Group invested US$12,310 in Sunlands, which focuses on online education specific to vocational qualification training, for subscribing the convertible bonds. In July 2016, the Group converted all of the convertible bonds into redeemable preferred shares of Sunlands for 4.9% equity interests. In the meantime, the Group invested an additional US$12,205 redeemable preferred shares for another 4.9% equity interest in Sunlands. Upon the additional investment, the Group holds 9.8% equity interest in Sundlands.

On March 23, 2018, Sunlands was listed in the New York Stock Exchange Market. All of the preferred shares were converted to 529,426 Class A ordinary shares immediately upon the completion of the listing. The Group additional invested US$10,000 for 34,783 Class A ordinary shares in April, 2018 and holds 8% aggregate equity interests in Sunlands. Unrealized gains of nil, US$8,129 and US$101,779 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.

(e)

In April and November 2015, the Group invested US$3,398 and US$11,437, respectively, in Golden Finance, a company focusing on training programs associated with finance and business management, for 19.5% equity interests. Unrealized gain of US$19,407, US$10,567 and US$42,128 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.

(f)

In April 2018, the Group paid US$15,000 in Boxfish, an online educational institution in China focusing on K-12 English training, for 6.52% equity interests. The equity interests acquired in Boxfish were classified as available-for-sale investment as the Group determined the interests were debt security and measured at fair value. No fair value change was recognized for the year ended May 31, 2018.

(g)

On March 5, 2012, the Group acquired a convertible promissory note from Alo7.com for US$1,000, which entitled the Group to automatically convert the note into equity security upon certain conditions were met. On July 1, 2012, the Group converted the US$1,000 promissory note into convertible redeemable preferred shares for 3.4% equity interests in Alo7.com on an as-converted basis.

In March, June and September 2014, the Group further invested US$2,576, US$300 and US$10,000 of redeemable preferred shares into Alo7.com. As of May 31, 2018, the Company had 14.3% equity interests in Alo7.com. Unrealized gain of US$1,704, losses of US$8,678 and US$2,975 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.

(h)

In May 2015, the Group invested US$460 in Uhozz, a company providing oversea rental agency services, for 10% equity interests. The equity interests acquired by the Group were classified as available-for-sale investment and measured at fair value. In March 2018, the Group further subscribed 15.18% equity interests with a cash consideration of US$9,000. New subscribed equity interests were still classified as available-for-sale investment and measured at fair value. Unrealized gains of US$4,254 and US$4,838 and loss of US$5,726 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.

(i)

In April 2017, the Group invested US$7,342 in Kaisheng Culture, a company engaging in providing educational services to students aging from 2 to 12, for 8.33% equity interests. The equity interests acquired in Kaisheng Culture were classified as available-for-sale investment and measured at fair value. Unrealized gain of nil and US$3,921 were reported in other comprehensive income for the years ended May 31, 2017 and 2018, respectively.

(j)

In March 2014, the Group invested US$13,500 in Tarena, a listed A-share company that provides IT professional education services in China, for 3% equity interests. Unrealized loss of US$1,005 and gain of US$9,750 were reported in other comprehensive income for the years ended May 31, 2016 and 2017, respectively. In July 2017, the Group sold 1% equity interest in Tarena to third parties and the realized gain of US$4,545 was recognized in investment income for the year ended May 31, 2018. Unrealized loss of US$7,040 was reported in other comprehensive income for the year ended May 31, 2018.

(k)

In February 2018, the Group invested US$15,516 in Yuxueyuan, a company engaging in providing professional childcare and medical services for children aging from 1 to 6, for 10% equity interests. The investment consists of two tranches. The first tranche was to obtain 8,490,642 series B-1preferred shares at US$6,200 and the other tranche was to obtain 11,073,049 series C+ preferred shares at US$9,316. The investment in series B-1preferred shares was classified as a cost method investment because the series B-1 preferred shares were not in-substance common shares due to its liquidation preference rights and the Group does not have significant influence in the investee. The investment in series C+ preferred shares was classified as available-for-sale investment as the Group determined that it was a debt security due to redemption and liquidation preference rights and measured the investment subsequently at fair value. No fair value change was recognized for the year ended May 31, 2018.

(l)

In April 2015, the Group acquired 18% equity interest in Beijing ROBOROBO Technology Co., Ltd. (“ROBOROBO”) for a cash consideration of US$4,356, a company applying various robots build training course for kids with different ages. In February 2017, the Group disposed all of the ownership in ROBOROBO, totaling in exchange for 1.87% common shares issued by Shengtong, which is a listed A-share company in China. Realized gain of US$7,086 was recognized for the year ended May 31, 2017. The equity interests acquired in Shengtong were classified as available-for-sale investment since the Group determined that the shares were debt securities and measured at fair value. Unrealized gain of US$423 and loss of US$1,450 were reported in other comprehensive income for the years ended May 31, 2017 and 2018, respectively.

(m)

In September 2015, the Group invested US$8,500 in Lele, a company providing online learning and tutoring services for students from kindergarten through 12th grade, to acquire 48,796,296 convertible redeemable preferred shares for 8.5% equity interests. The investment was classified as available-for-sale investment as the Group determined that the shares were debt securities due to the redemption option available to the investor and measured the investment subsequently at fair value. Unrealized gains of nil, US$605 and US$52 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.

(n)

In May 2016, the Group invested US$6,839 in Shenzhouying, a company engaging in providing remote video monitoring control, for 10% equity interests. In August 2017, the Group further invested US$759 to subscribe 139,094 series C+ convertible redeemable preferred shares. The investment was classified as available-for-sale investment as the Group determined that the investment was a debt security and measured the investment subsequently at fair value. Unrealized gains of nil, nil and US$836 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.

(o)

In August 2015, the Group invested US$7,315 in Assets Management Plan with a maturity of five years and owned 50% interests in the fund. The other 50% interests were invested by Mr. Yu and some other employees in the Group. The investment was classified as available-for-saleinvestment as the Group determined that the investment was a debt security and measured the investment subsequently at fair value. Unrealized gains of US$61, US$110 and US$850 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.

(p)

The other available-for-sale represent several insignificant investments classified as available-for-sale investments as of May 31, 2017 and 2018. Unrealized gain of US$8,155, US$323 and US$2,700 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively. The Group recognized impairment loss from long term investments of nil, US$2,338 and US$980 for the years ended May 31, 2016, 2017 and 2018, respectively.

Fair Value Measurement

12 Months Ended

May 31, 2018

Fair Value Disclosures [Abstract]

Fair Value Measurement

14.

FAIR VALUE MEASUREMENT

Assets and liabilities measured at fair value on a recurring basis

The Group measured its financial assets and liabilities primarily including available-for-sale investments at fair value on a recurring basis as of May 31, 2017 and 2018.

As of May 31, 2017 and 2018, the available-for-sale investments recorded in long-term investments include redeemable preferred shares, convertible note, common shares of three listed companies and Assets Management Plan (Refer to Note 13). Those are measured and recorded at fair value on a recurring basis in periods subsequent to their initial recognition and are as follows:


	As of May 31, 2017
Description	Quoted Prices in Active Market for Identical Assets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3		Total
	US$		US$		US$		US$
Available-for-sales investments:
Common shares		36,406		—		—		36,406
Redeemable preferred shares		—		30,669		123,029		153,698
Assets Management Plan		—		7,486		—		7,486

Total		36,406		38,155		123,029		197,590


	As of May 31, 2018
Description	Quoted Prices in Active Market for Identical Assets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3		Total
	US$		US$		US$		US$
Available-for-sales investments:
Common shares		153,294		—		—		153,294
Redeemable preferred shares and convertible note		—		90,168		133,897		224,065
Assets Management Plan		—		8,336		—		8,336

Total		153,294		98,504		133,897		385,695

The long-term investments accounted for as available-for-sale investments on a recurring basis are as follows:


	Available-for-sale investments
	US$
Balance as of June 1, 2016		163,804
Purchase		19,893
Changes in fair value		22,521
Impairment amount		(2,876	)
Foreign exchange difference		(5,752	)

Balance as of May 31, 2017		197,590

Purchase		62,980
Disposal		(25,308	)
Changes in fair value		129,545
Impairment amount		(138	)
Foreign exchange difference		21,026

Balance as of May 31, 2018		385,695

The Company measured the fair value of its investments in common shares using the market approach based on the quoted stock price of its investee in the active market and has classified it as level 1 measurement.

The Company measured the fair value of its investment in convertible note and Assets Management Plan based on the respective principal and expected returns and has classified those as level 2 measurement.

For redeemable preferred shares do not have a quoted market rate, the Company measured their fair value based on recent transactions or based on the market approach or income approach when no recent transactions are available. Recent transactions include the purchase price agreed by an independent third party for an investment with similar terms or a recent transaction agreed by the Company and the investee and has been classified as level 2 measurement. When no recent transactions are available, a market approach or income approach will be used by the Company to measure fair value. The market approach takes into consideration a number of factors including market multiple and discount rates from traded companies in the industry and requires the Company to make certain assumptions and estimates regarding industry factors. Specifically, some of the significant unobservable inputs included the investee’s historical earning on sale, discount of lack of marketability, investee’s time to the Initial Public Offering as well as related volatility. The income approach takes into consideration a number of factors including management projection of discounted future cash flow of the investee as well as an appropriate discount rate. The Company has classified those as level 3 measurement. The assumptions are inherently uncertain and subjective. Changes in any unobservable inputs may have a significant impact on the fair values.

The Group did not have any transfers between level 1 and level 2 fair value measurements during the periods presented. During the year ended May 31, 2017, the Group transferred several redeemable preferred shares from level 2 to level 3 for a total of US$31,505 as the Group changed its fair value measurements for those investees. Specifically, the Group changed its measurement method from recent transactions to a market approach or income approach described in the previous paragraph to determine the investment’s fair value as no recent transactions were available as of May 31, 2017. During the year ended May 31, 2018, the Group transferred one redeemable preferred share from level 3 to level 1 for a total of US$32, 644.

The following table provides additional information about the reconciliation of the fair value measurements of assets and liabilities using significant unobservable inputs (level 3).


	Available-for-sale investments
	US$
Balance as of June 1, 2016		69,873
Transfer from level 2 fair value measurements		31,505
Initial recognition		—
Unrealized gain		21,651

Balance as of May 31, 2017		123,029

Transfer to level 1 fair value measurements		(32,644	)
Initial recognition		—
Unrealized gain		43,512

Balance as of May 31, 2018		133,897

Assets and liabilities measured at fair value on a nonrecurring basis

Goodwill and acquired intangible assets are measured at fair value on a non-recurring basis when an impairment is recognized.

The Group measures goodwill at fair value annually or whenever events or changes in circumstances indicate that carrying amount of a reporting unit exceeds its fair value. The Group measures acquired intangible assets using the income approach—discounted cash flow method, when events or changes in circumstances indicate that the carrying amount of an asset may no longer be recoverable. The Group did not recognize any impairment loss related to intangible assets acquired for the years ended May 31, 2016, 2017 and 2018. The fair value of goodwill is determined using discounted cash flows, and an impairment loss is recognized for any excess in the carrying value of goodwill over the implied fair value of goodwill.

The Group measures cost method investments and equity method investments at fair value on a non-recurring basis whenever events or changes in circumstances indicate that the carrying value may no longer be recoverable.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Accrued Expenses and Other Current Liabilities

12 Months Ended

May 31, 2018

Payables and Accruals [Abstract]

Accrued Expenses and Other Current Liabilities

15.

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

Accrued expenses and other current liabilities consisted of the following:


	As of May 31,
	2017		2018
	US$		US$
Accrued payroll		163,621		212,677
Payable for purchase of property and equipment		21,445		45,590
Rent payable		7,532		18,210
Amounts reimbursable to employees (a)		11,022		16,157
VAT payable		9,516		12,125
Refundable fees received from students (b)		8,687		11,541
Welfare payable		6,102		9,187
Accrued advertising fees		7,798		8,548
Refundable deposits (c)		5,382		7,290
Payable for investments and acquisitions		—		5,420
Royalty fees payable (d)		4,011		4,410
Other taxes payable		1,604		2,945
Accrued professional service fees		1,486		1,134
Others (e)		12,494		18,303

Total		260,700		373,537

(a)	Amounts reimbursable to employees include traveling and the related expenses.

(b)	Refundable fees received from students represent (1) the miscellaneous expenses other than tuition fees received from students which will be paid out on behalf of students; and (2) tuition fees refundable to students for classes withdrawn.

(c)	Refundable deposits represent student deposits for dormitory or other fees that will be refunded upon graduation and student security deposits refunded upon completion of the study tour.

(d)	Royalty fees payable relate to payments to content providers for on-line learning programs and those to counterparties for copyrights and resource sharing.

(e)	Others primarily include transportation expenses, utility fees, property management fees and other miscellaneous expenses payable.

Redeemable Non-Controlling Interestes

12 Months Ended

May 31, 2018

Temporary Equity Disclosure [Abstract]

Redeemable Non-Controlling Interestes

16.

REDEEMABLE NON-CONTROLLING INTERESTES

On April 24, 2018, Koolearn Holding entered into preferred share purchase agreements with a group of investors to issue an aggregate of 64,396,251 Series B convertible redeemable participating preferred shares (“Series B”) for an aggregate consideration of $92,699. On May 17, 2018, Koolearn Holding entered into preferred share purchase agreement with an investor to issue 90,416,181 Series A convertible redeemable participating preferred shares (“Series A”).

The transactions were completed in May 2018. After the issuance of Series B and Series A preferred shares, the Group held approximately 68% equity interests in Koolearn Holding on a fully-diluted basis.

The Group classified Series B and Series A preferred shares as mezzanine equity since they are contingently redeemable at any time after December 31, 2019 by the holders in the event that (i) a qualified initial public offering (“QIPO”) has not occurred, or (ii) any material violation of applicable laws, or (iii) material breach of representations, warranties, undertaking or other obligations by Koolearn Holding’s group entities or shareholders, or (iv) at any time any other preferred shareholder requests for redemption. These matters are not certain to occur, and they are not solely within the control of Koolearn Holding. As of May 31, 2018, the Company determined the redemption is not probable and accordingly, did not adjust the carrying amount of the Series B and Series A preferred shares to the redemption value as Koolearn Holding was in the process of an initial public offering and has made an application for listing its securities on the Stock Exchange of Hong Kong Limited.

The key terms of the Series B and Series A preferred shares are summarized as below:

Voting rights

Preferred shareholders have the right to one vote for each ordinary share into which each outstanding preferred share held could then be converted.

Dividends

Each holder of the Series A preferred shares and the Series B preferred shares shall be entitled to receive dividends and distributions from Koolearn Holding. Any dividend available for distribution shall be distributed ratably among all shareholders, on an as-converted basis.

Liquidation preference

In the event of any liquidation, all assets and funds of Koolearn Holding legally available for distribution to the shareholders (the “Liquidation Proceeds”), shall be distributed to the shareholders in the following manners:

(i)

Before any distribution or payment shall be made to the holders of any ordinary shares, the Series A shareholders, the Series B shareholders shall be entitled to receive for each outstanding Series B shares held, the higher of the following: (i) an amount equal to 100% of the Series B issue price, together with a 10% annual compound interest accrued thereon (calculated from the Series B issuance date to the date of the liquidation), plus all declared but unpaid dividends; or (ii) the pro rata share of the Liquidation Proceeds of the Series B shareholders calculated on an as-converted basis.

(ii)

Before any distribution or payment shall be made to the holders of any ordinary shares, each Series A shareholder shall be entitled to receive the higher of the following; (i) an amount equal to 120% of the Series A issue price, plus all declared but unpaid dividends; or (ii) the pro rata share of the Liquidation Proceeds of the Series A shareholders calculated on an as-converted basis.

(iii)

After distribution or payment in full in pursuant to (i) and (ii), the remaining Liquidation Proceeds shall be distributed ratably among the ordinary shareholders of Koolearn Holding in proportion to the number of ordinary shares they held.

Redemption

To the extent permitted by applicable law and upon the occurrence of redemption events as defined in the articles of association of the Company, the Company is contractually obligated to redeem all or part of the issued and outstanding preferred shares upon request.

Conversion

Each preferred share shall automatically be converted into ordinary share of Koolearn Holding based on the then-effective conversion ratio (the “Conversion Price”) applicable to such preferred share (i) upon the approval of Series A shareholders with respect to the conversion of Series A preferred shares, (ii) upon the approval of Series B shareholders with respect to the conversion of the Series B preferred shares, or (iii) immediately prior to the occurrence of a QIPO.

The Conversion Price of the preferred shares was initially the issuance price of the preferred shares at an initial conversion ratio of 1:1, and shall be adjusted from time to time for proportional adjustment (the “Proportional Adjustment”), which means the Conversion Price adjustment in the event that if at any time the number of outstanding ordinary shares proportionately changes.

Koolearn Holding has determined that there was no beneficial conversion feature attributable to the various series of preferred shares because the initial conversion prices was higher than the fair value of Koolearn Holding’s ordinary shares on issue date of each series preferred shares.

The Group recorded non-controlling interest of US$206,624 upon issuance of shares for the year ended May 31, 2018.

Share-Based Compensation

12 Months Ended

May 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-Based Compensation

17.

SHARE-BASED COMPENSATION

2006 Share Incentive Plan

On January 20, 2006, the Company adopted 2006 Share Incentive Plan (“2006 Share Incentive Plan”), under which the Company may grant share options to purchase up to 8,000,000 common shares of the Group, to its employees, directors and consultants. 2006 Share Incentive Plan is effective upon its adoption by the board and continue in effect for a term of ten years unless sooner terminated. The number of common shares available for grant under 2006 Share Incentive Plan may be increased by (i) an additional 5,000,000 shares on January 1, 2007, (ii) an additional 5,000,000 shares on January 1, 2008, and (iii) an annual increase in common shares to be added on the first business day of each calendar year beginning in 2009 equal to the lesser of (x) 3,000,000 shares, (y) two percent (2%) of total common shares outstanding as of such date, or (z) a lesser number of shares as determined by the plan administrator. Since the adoption of 2006 Share Incentive Plan, the Company have granted share options to purchase 15,826,000 common shares, of which 2,277,546 options to purchase common shares had been forfeited under 2006 Share Incentive Plan. In addition, since the adoption of 2006 Share Incentive Plan, the Company has granted a total of 8,608,671 NES under 2006 Share Incentive Plan. In general, one-sixth of the common shares underlying the share option and NES will vest on each six-month anniversary of the vesting commencement date specified in the option award notice. The vesting will be suspended if the grantee’s leave of absence exceeds 90 days and will resume upon the grantee’s return to service to the Group. The vesting schedule of NES is subject to the applicable award agreement. In January 2016, the Company’s 2006 Share Incentive Plan expired. However, the expiration of 2006 Share Incentive Plan did not affect the exercise right of options granted prior to such expiration.

2016 Share Incentive Plan

The Company adopted 2016 Share Incentive Plan (“2016 Share Incentive Plan”) in January 2016 to provide incentives to employees and directors after the expiration of 2006 Share Incentive Plan. Under 2016 Share Incentive Plan, the Company is authorized to issue up to 10,000,000 common shares pursuant to awards (including options) granted to its employees, directors and consultants. 2016 Share Incentive Plan is effective upon its adoption by the board and continue in effect for a term of ten years unless sooner terminated. Since the adoption of 2016 Share Incentive Plan, the Company has granted a total of 1,921,646 NES, among which, 436,016 and 1,485,630 were granted in the years ended May 31, 2017 and 2018, respectively. 4,050 and 47,006 shares were forfeited in the years ended May 31, 2017 and 2018, respectively.

The Company’s board of directors may at any time amend, suspend or terminate 2016 Share Incentive Plan. Unless the following amendments to 2016 Share Incentive Plan require approval from the shareholders (i) increase of the number of shares available under 2016 Share Incentive Plan, (ii) extension of the term of 2016 Share Incentive Plan, (iii) extension of the exercise period of an option beyond ten years, and (iv) any other amendments about which shareholders’ approval are necessary and desirable under applicable laws or stock exchange rules. The remaining terms of 2016 Share Incentive Plan are substantially identical to the terms of 2006 Share Incentive Plan.

Information regarding the share options granted under 2006 Share Incentive Plan is as follows:


Grant date	Share options granted		Grant-date fair value		Exercise price
			US$		US$
February 28, 2006		7,099,500		1.00		2.02
July 21, 2006		1,620,000		1.15		2.38
September 7, 2006		100,000		2.38		3.75
March 5, 2007		3,946,500		4.09		8.75
January 17, 2012		3,060,000		10.33		12.19

Total		15,826,000

The share option activities for the years ended May 31, 2016, 2017 and 2018 are summarized as follows:


	Number of share options			Weighted- average exercise prices		Weighted-average remaining contractual life		Aggregated intrinsic value
				US$		years		US$
Options outstanding as of May 31, 2015		318,641			5.30		1.92		5,903
Exercised		(240,304	)		5.03

Options outstanding as of May 31, 2016		78,337			6.13		0.58		2,829

Exercised		(48,047	)		5.37
Canceled		(23,938	)		8.75

Options outstanding as of May 31, 2017		6,352			2.02		1.58		442

Exercised		(500	)		2.02

Options outstanding as of May 31, 2018		5,852			2.02		0.57		475

Options exercisable as of May 31, 2018		5,852			2.02		0.57		475

The total intrinsic value of share options exercised during the years ended May 31, 2016, 2017 and 2018 were US$4,802, US$2,133 and US$38, respectively. As of May 31, 2018, no unrecognized compensation expense related to share options granted.

As of May 31, 2018, the Company transferred 17,000,000 common shares to its depositary bank for the issuance to employees and directors upon the exercise of their vested share options or upon the vesting of NES. In 2013, the Company launched a share repurchase program and has since repurchased a cumulative 5,246,349 of common shares from the open market. Such shares are reserved for the employees to exercise of their vested share options and NES in the future. The share repurchase program was completed in April 2015. As of May 31, 2018, 59,477 treasury shares were available for future issuance upon exercise the vested share options and NES.

The exercise price of share options is at least 100% of the common share fair value on the date of the grant. The term of a share option is up to ten years from the date of grant. During the year ended May 31, 2016, the Group extended the terms of share options granted on February 28, 2006 for another three years. The extension did not have a material impact on the Group’s consolidated financial statements. The share options generally vest over three years at six-month vesting increments per year. During the year ended May 31, 2017, the Group canceled 23,938 outstanding share options granted on March 5, 2007 due to the validity period of 10 years.

NES

As of May 31, 2018, 4,714,490 common shares out of 17,000,000 common shares held by the depositary bank had been issued to employees and directors upon the vesting of their NES, and 2,929,780 shares out of 5,246,349 treasury shares had been reissued to employees and directors upon the vesting of their NES.

The NES activities under 2006 and 2016 Share Incentive Plan for the years ended May 31, 2016, 2017 and 2018 are summarized as follows:


	Number of NES			Weighted- average grant date fair value and intrinsic value
				US$
NES outstanding as of May 31, 2015		606,400			18.55
Granted		546,330			22.66
Vested		(712,330	)		21.39
Forfeited		(40,400	)		20.61

NES outstanding as of May 31, 2016		400,000			18.91

Granted		436,016			47.19
Vested		(200,000	)		18.91
Forfeited		(4,050	)		47.19

NES outstanding as of May 31, 2017		631,966			38.24

Granted		1,485,630			82.75
Vested		(631,966	)		38.24
Forfeited		(47,006	)		82.75

NES outstanding as of May 31, 2018		1,438,624			82.75

NES vested and expect to vest as of May 31, 2018		1,438,624

The total fair value of NES vested during the years ended May 31, 2016, 2017 and 2018 were US$15,235, US$3,783 and US$24,167, respectively. The weighted average grant date fair value of NES granted during the years ended May 31, 2016, 2017 and 2018 were US$22.66, US$47.19 and US$82.75, respectively. As of May 31, 2018, the total unrecognized compensation expenses for NES of US$65,719 are expected to be recognized over a weighted average period of 1.57 years.

The total compensation expense is recognized on a straight-line basis over the respective vesting periods. The Group recorded the related compensation expense of US$16,810, US$20,287 and US$57,443 for the years ended May 31, 2016, 2017 and 2018, respectively.

Income Taxes

12 Months Ended

May 31, 2018

Income Tax Disclosure [Abstract]

Income Taxes

18.

INCOME TAXES

Cayman Islands & BVI

The Company and Koolearn Holding are tax-exempted companies incorporated in the Cayman Islands. Under the current law of the Cayman Islands, the Company and Koolearn Holding are not subject to income, corporate or capital gains tax, and the Cayman Islands currently have no form of estate duty, inheritance tax or gift tax. In addition, payments of dividends and capital in respect of their shares are not subject to taxation and no withholding will be required in the Cayman Islands on the payment of any dividend or capital to any holder of their shares, nor will gains derived from the disposal of their shares be subject to the Cayman Islands income or corporation tax.

The Company’s subsidiary, Abundant, is incorporated in BVI and is not subject to income tax.

United States (“US”)

Walkite US and Blingabc are incorporated in the U.S.A. and are subject to state income tax and federal income tax at 21% and 29.84%, respectively, depending upon the taxable income levels.

In December 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act makes broad and complex changes to the U.S. tax code including, but not limited to, (1) reducing the U.S. federal corporate tax rate, (2) requiring a one-time transition tax on certain unrepatriated earnings of foreign subsidiaries that is payable over eight years, and (3) bonus depreciation that will allow for full expensing of qualified property. The impact of the Tax Act is not material to the Group’s operation and resulted in a decrease in income tax rate from 35% before January 1, 2018 to 21% after January 1, 2018 for tax and income earned as determined in accordance with the relevant tax rules and regulations.

United Kingdom (“UK”)

Walkite UK is incorporated in the UK and is subject to income tax rate at 20%.

Australia

New Oriental Vision Overseas Consulting Australia Pty Ltd is incorporated in Australia and is subject to income tax rate at 27.5%.

Hong Kong

Smart Shine, Winner Park, Elite Concept, One World, Garden House and Koolearn Tech are incorporated in Hong Kong and are subject to an income tax rate of 16.5% for taxable income generated from operations in Hong Kong. Elite Concept and Smart Shine received special dividend of US$75,898, nil and US$69,567 during the years ended May 31, 2016, 2017 and 2018, respectively. Withholding taxes of US$7,590, nil and US$6,957 in connection with the dividends were fully paid during the years ended May 31, 2016, 2017 and 2018, respectively.

The Company’s PRC subsidiaries and the VIEs are subject to 25% standard enterprise income tax except for those accepted as deemed profit method enterprises, or qualified for small-scale enterprises, or granted preferential tax treatment.

Significant components of provision for income taxes for the years ended May 31, 2016, 2017 and 2018 were as follows:


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Current:
PRC		39,467			51,142			72,785

Deferred:
PRC		(1,936	)		(518	)		(13,377	)

Total provision for income taxes		37,531			50,624			59,408

Enterprises that qualify as a high and new technology enterprise (“HNTE”) are subject to a tax rate of 15%. Beijing Decision, Beijing Hewstone and Xuncheng continued to qualify as HNTE and were subject to a tax rate of 15% during the years ended May 31, 2016, 2017 and 2018. Beijing Smart Wood, Beijing Right Time and Beijing Joy Tend were qualified as HNTE and enjoys a tax rate of 15% from January 2017 to December 2019, from January 2018 to December 2019 and from January 2018 to December 2019, respectively. Beijing Pioneer’s HNTE certificate terminated as of December 31, 2017. According to the application timetable required by the local tax bureau, Beijing Pioneer will launch the application for new HNTE certificate in November 2018. Once qualified as HNTE, Beijing Pioneer will be subject to a tax rate of 15% starting January 1, 2018.

Enterprises that qualify as the “newly established software enterprise” (“NESE”) are exempt from Enterprise Income Tax (“EIT”) for two years beginning the enterprise’s first profitable year followed by a tax rate of 12.5% for the succeeding three years. Beijing Smart Wood, Beijing Right Time and Beijing Joy Tend were qualified as NESE and enjoyed the EIT tax benefit that from January 2012 to December 2016, from January 2013 to December 2017, from January 2013 to December 2017, respectively. Beijing Top, Beijing Shenghe, Beijing Magnificence and Beijing Jinghong were qualified as NESE and enjoyed the EIT tax benefit from January 2014 to December 2018, from January 2014 to December 2018, from January 2015 to December 2019 and from January 2017 to December 2021, respectively.

Since its establishment through May 31, 2018, Beijing Haidian School was not required by the governing tax bureau to pay any EIT. If Beijing Haidian School is required to pay EIT in the future, this could have material impact to the Group’s consolidated financial statements. However, the Group believes that it is more likely than not that any change to the tax treatment of Beijing Haidian School shall be prospectively applied.

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of the Group’s deferred tax assets and liabilities are as follows:


	As of May 31,
	2017			2018
	US$			US$
Deferred tax assets
Allowance doubtful accounts		2,017			1,965
Accrued expenses		22,126			32,253
Net operating loss carry-forward		8,696			14,611

Total deferred tax assets		32,839			48,829
Less: valuation allowance		(3,981	)		(5,506	)

Net, deferred tax assets		28,858			43,323

Deferred tax liabilities
Acquired of intangible assets and tax impact from the unrealized gain on available-for-sale investments		2,220			12,133

Total deferred tax liabilities		2,220			12,133

The Group does not file combined or consolidated tax returns, therefore, losses from individual subsidiaries or the VIEs may not be used to offset other subsidiaries’ earnings within the Group.

The Group determined the valuation allowance on an entity by entity basis. The valuation allowance, which is primarily related to entities with net operating loss carry-forwards for which the Company does not believe it will ultimately be realized, was US$3,981 and US$5,506 as of May 31, 2017 and 2018, respectively.

As of the year ended May 31, 2018, the Group had net operating loss carried-forwards of US$54,949 from the Company’s PRC subsidiaries and the VIEs, which will expire on various dates from May 31, 2019 to May 31, 2024.

A reconciliation of the effective tax rates from 25% statutory tax rates for the years ended May 31, 2016, 2017 and 2018 is as follows:


	For the years ended May 31,
	2016			2017			2018
	%			%			%
Statutory tax rate		25.00			25.00			25.00
Effect of not deductible expenses for tax purposes		4.57			2.03			4.35
Tax effect of exempt entities		(14.00	)		(7.85	)		(8.10	)
Effect of tax holiday		(4.05	)		(5.56	)		(5.70	)
Changes in valuation allowance		0.25			0.11			0.43
Effect of dividend withholding tax		2.27			1.58			0.66

Effective tax rate		14.04			15.31			16.64

If WFOE and certain subsidiaries and schools of the VIEs did not enjoy income tax exemptions and preferential tax rates for the years ended May 31, 2016, 2017 and 2018, the increase in income tax expenses and the decrease in net income per share amounts would be as follows:


	For the years ended May 31,
	2016		2017		2018
	US$		US$		US$
Increase in income tax expenses		47,559		42,895		48,444
Decrease in net income per share - basic		0.30		0.27		0.31
Decrease in net income per share - diluted		0.30		0.27		0.31

Under the New Income Tax Law effective from January 1, 2008, the rules for determining whether an entity is resident in the PRC for tax purposes have changed and the determination of residence depends among other things on the “place of actual management”. If the Group, or its non-PRC subsidiaries, were to be determined as a PRC resident for tax purposes, they would be subject to a 25% income tax rate on their worldwide income including the income arising in jurisdictions outside the PRC. The Group does not believe that its legal entities organized outside of the PRC are considered the PRC residents.

If the Company were to be a non-resident for the PRC tax purposes, dividends paid to it out of profits earned after January 1, 2008 would be subject to a withholding tax. In the case of dividends paid by the PRC schools and subsidiaries to their foreign investors, the withholding tax would be 10%, unless any such foreign investor’s jurisdiction of incorporation has a tax treaty with China that provides for a different withholding arrangement. During the year ended May 31, 2016, Beijing Hewstone, Shanghai Smart Words and Beijing Decision paid US$7,590 withholding tax when they paid a special dividend to their parent companies, Elite Concept. During the year ended May 31, 2018, Beijing Hewstone, Shanghai Smart Words, Beijing Smart Wood and Beijing Pioneer paid US$6,957 withholding tax when they paid a special dividend to their parent companies, Elite Concept and Smart Shine.

Aggregate undistributed earnings of the Company’s PRC subsidiaries and the VIEs that are available for distribution were US$1,457,705 and US$1,819,317 as of May 31, 2017 and 2018, respectively. Upon distribution of such earnings, the Company will be subject to the PRC EIT, the amount of which is impractical to estimate. The Company did not record any withholding tax on any of the aforementioned undistributed earnings because the relevant subsidiaries and the VIEs do not intend to declare dividends and the Company intends to permanently reinvest it within the PRC. Additionally, no deferred tax liability was recorded for taxable temporary differences attributable to the undistributed earnings because the Company believes the undistributed earnings can be distributed in a manner that would not be subject to income tax.

The Group did not identify any significant unrecognized tax benefits for the years ended May 31, 2016, 2017 and 2018. The Group did not incur any significant interest and penalties related to potential underpaid income tax expenses and also does not anticipate any significant increases or decreases in unrecognized tax benefits in the next twelve months. The Group has no material unrecognized tax benefits which would favorably affect the effective income tax rate in future periods.

According to the PRC Tax Administration and Collection Law, the tax authority may require the taxpayer or the withholding agent to make delinquent tax payment within three years if the underpayment of taxes is resulted from the tax authority’s act or error. No late payment surcharge will be assessed under such circumstances. The statute of limitation will be three years if the underpayment of taxes is due to the computational errors made by the taxpayer or the withholding agent. Late payment surcharge will be assessed in such case. The statute of limitation will be extended to five years under special circumstances which are not clearly defined (but an underpayment of tax liability exceeding US$16 (RMB0.1 million) is specifically listed as a “special circumstance”). The statute of limitation for transfer pricing related issue is ten years. There is no statute of limitation in the case of tax evasion. Therefore, the Group’s PRC domiciled entities are subject to examination by the PRC tax authorities based on the above.

Net Income Per Share

12 Months Ended

May 31, 2018

Earnings Per Share [Abstract]

Net Income Per Share

19.

NET INCOME PER SHARE

The computation of basic and diluted net income per share for the years ended May 31, 2016, 2017 and 2018 is as follows:


	For the years ended May 31,
	2016		2017		2018
	US$		US$		US$
Numerator:
Net income attributable to New Oriental
Education & Technology Group Inc.’s shareholders		224,884		274,457		296,130

Net income available for future distribution		224,884		274,457		296,130

Denominator
Weighted average common shares outstanding Basic		156,782,439		157,551,320		158,168,794

Plus: incremental weighted average common shares from assumed exercise of share options and vesting of NES using the treasury stock method		609,247		435,074		387,706

Weighted average common shares outstanding Diluted		157,391,686		157,986,394		158,556,500

Net income per common share
- Basic		1.43		1.74		1.87
- Diluted		1.43		1.74		1.87

The weighted average of 1,596,948, 828,067 and 210,593 treasury shares have been excluded in computing basic net income per share for the years ended May 31, 2016, 2017 and 2018, respectively.

There was no employee share options excluded from the dilutive share calculation for the years ended May 31, 2016, 2017 and 2018 due to anti-dilutive effects.

Related-Parties Transactions

12 Months Ended

May 31, 2018

Related-Parties Transactions

20.

RELATED-PARTIES TRANSACTIONS

The Group had the following balances and transactions with related parties:

(a) Balances:


					Amounts due from related parties, current As of May 31,				Amounts due to related parties, current As of May 31,
	Notes			Relationship	2017		2018		2017		2018
					US$		US$		US$		US$
Metropolis Holding China Limited (“Metropolis”)		(1	)	Company controlled by the Executive Chairman		1,895		787		—		—
MaxEn				Joint Venture		—		374		12		13
Beijing Haiwei Career Services Co., Ltd (“Haiwei Career”)		(2	)	Joint Venture		3,965		—		—		—
Others		(4	)			88		434		36		17

Total						5,948		1,595		48		30


					Amounts due from related parties, non-current As of May 31,
	Notes			Relationship	2017				2018
					US$				US$
Metropolis		(1	)	Company controlled by the Executive Chairman		1,064				2,226
MaxEn				Joint Venture		684				—

Total						1,748				2,226


(b) Transactions:

							Rental expenses For the years ended May 31,
							2016		2017		2018
							US$		US$		US$
Metropolis		(1	)	Company controlled by the Executive Chairman				7,139		6,790		7,899



				Loans provided to related parties For the years ended May 31,
				2016		2017		2018
				US$		US$		US$
Haiwei Career	(2	)	Joint Venture		1,520		3,965		—
Beijing Weixue Mingri Network Technology Co., Ltd. (“Weixue Mingri”)	(3	)	Joint Venture		998		1,733		—
Great Thanks Holdings Limited			Company established by the shareholder ofthe Joint Venture		—		1,450		—

Total					2,518		7,148		—


				Revenues For the years ended May 31,
				2016		2017		2018
				US$		US$		US$
MaxEn			Joint Venture		177		—		—
Beijing Tongban Education & Technology Co., Ltd (“Tongban”)			Long-term investee		3		12		—
STEMedu.cn			Long-term investee		11		60		66
Golden Finance			Long-term investee		—		18		26

Total					191		90		92


				Cost For the years ended May 31,
				2016		2017		2018
				US$		US$		US$
STEMedu.cn			Long-term investee		30		23		—

(1)

Since April 2010, the Group began renting a large portion of a building owned by Metropolis for office space. In March 2012, Metropolis was acquired by a company wholly -owned by Mr. Yu, the Group’s executive chairman. As a result, Metropolis became a related party of the Group thereafter. As of May 31, 2018, the current and non-current amounts due from Metropolis were US$787 and US$2,226, respectively, which represented prepaid rent and deposit for the building. The amount of the rental payments was determined based on the prevailing market rates and was duly approved by the Board.

(2)	In October 2014, Haiwei Career formed a joint venture with the Group. As a result, Haiwei Career became a related party of the Group. In 2018, Haiwei Career was consolidated by the Group. All transaction and balances between the Group and Haiwei Career are eliminated since then.

(3)

The amount due from Weixue Mingri in 2017 represented the non-interest bearing loans provided by the Group to support its daily operation and the outstanding loans were fully written off by the Group in fiscal year 2017. Weixue Mingri was a long-term investment under equity method and carrying amount of such investment was nil.

(4)	As of May 31, 2018, the balance in “others” included the current receivables from long-term investees.

Commitments and Contingencies

12 Months Ended

May 31, 2018

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

21.

COMMITMENTS AND CONTINGENCIES

Operating leases

The Group has certain operation-leases for offices, classroom and warehouse facilities. The terms of substantially all of these leases are ten years or less. Future minimum lease payments under non-cancelable operating leases as of May 31, 2018 were as follows:


	US$
Years ending May 31:
2019		296,575
2020		271,387
2021		225,424
2022		176,188
2023		123,444
Thereafter		164,444

Total		1,257,462

Rental expenses for the years ended May 31, 2016, 2017 and 2018 related to all cancelable and non-cancelable leases were US$173,797, US$199,329 and US$320,877, respectively.

Capital commitments

As of May 31, 2018, the future minimum capital commitments were as follows:


	US$
Capital commitment for the purchase of property and equipment		2,112
Capital commitment for leasehold improvements		29,875

		31,987

Contingent liabilities

The Group has been named in a number of lawsuits arising in its ordinary course of business. Although the outcome of those lawsuits are uncertain, the Group does not believe the possibility of loss is probable. The Group is unable to estimate a range of loss, if any, that could result if there would be an adverse decision, as such, and the Group has not accrued any liabilities.

Non-controlling Interests

12 Months Ended

May 31, 2018

Noncontrolling Interest [Abstract]

Non-controlling Interests

22.

NON-CONTROLLING INTERESTS


	Non-controlling interests
	US$
Balance as of June 1, 2015		3,496
Capital contribution from non-controlling interests		28,919
Repurchase shares from non-controlling interests		(3,497	)
Unrealized gain on available-for-sale investments		999
Foreign currency translation adjustment		(271	)
Net income attributed to non-controlling interests		444

Balance as of June 1, 2016		30,090

Capital contribution from non-controlling interests		3,924
Addition of non-controlling interests in connection with acquisition		3,909
Unrealized (loss) on available-for-sale investments		(23	)
Foreign currency translation adjustment		(1,109	)
Net income attributed to non-controlling interests		2,339

Balance as of May 31, 2017		39,130

Capital contribution from non-controlling interests		2,015
Repurchase shares from non-controlling interests		(28,652	)
Dividend declared		(231	)
Unrealized gain on available-for-sale investments		164
Foreign currency translation adjustment		2,949
Net income attributed to non-controlling interests		1,107

Balance as of May 31, 2018		16,482

The effects of changes in the Company’s ownership interest on the Company’s equity is as follows:


	For the years ended May 31,
	2017			2018
	US$			US$
Net income attribute to New Oriental Education & Technology Group Inc.‘s shareholders		274,457			296,130
Increase in the Group’s additional paid-in capital resulting from capital injection of Beijing Fishpond Software Technology Co., Ltd. Fishpond and Huoerguosi Oriental Xinchuang Equity Investment Partnership (Limited Partnership)’s non-controlling interests		—			138
Increase in the Group’s additional paid-in capital resulting from capital injection of Dongfang Youbo’s non-controlling interests		138			—
Increase in the Group’s additional paid-in capital resulting from capital injection of Xuncheng’s non-controlling interests		4,733			(113,922	)
Decrease in the Group’s additional paid-in capital resulting from repurchase shares from Xuncheng’s non-controlling interests		(5,412	)		(63,721	)
Increase in the Group’s additional paid-in capital resulting from transferring Xuncheng’s common shares to non-controlling interests		5,704			—

Changes from net income attributable to New Oriental Education & Technology Group Inc.‘s shareholders and transfers from/to non-controlling interests		279,620			118,625

Segment Information

12 Months Ended

May 31, 2018

Segment Reporting [Abstract]

Segment Information

23.

SEGMENT INFORMATION

The Group’s chief operating decision maker has been identified as the Chief Executive Officer who reviews financial information of operating segments based on US GAAP amounts when making decisions about allocating resources and assessing performance of the Group. The Group identified seven operating segments, including language training and test preparation, primary and secondary school education, online education, content development and distribution, overseas study consulting services, pre-school education and study tour, for the years ended May 31, 2016, 2017 and 2018. Language training and test preparation has been identified as a reportable segment. Online education, content development and distribution, overseas study consulting services, pre-school education, primary and secondary school education and study tour operating segments were aggregated as others because individually they do not exceed the 10% quantitative threshold.

The Group primarily operates in the PRC and substantially all of the Group’s long-lived assets are located in the PRC.

The Group’s chief operating decision maker evaluates performance based on each reporting segment’s net revenue, operating cost and expenses, and operating income. Net revenues, operating cost and expenses, operating income, and total assets by segment were as follows:

For the year ended May 31, 2016


	Language training and test preparation courses			Others			Consolidated
	US$			US$			US$
Net revenues		1,238,572			239,776			1,478,348

Operating cost and expenses:
Cost of revenues		(516,370	)		(97,994	)		(614,364	)
Selling and marketing		(125,815	)		(48,999	)		(174,814	)
General and administrative		(296,686	)		(68,495	)		(365,181	)
Unallocated corporate expenses		—			—			(128,912	)

Total operating cost and expenses		(938,871	)		(215,488	)		(1,283,271	)

Gain on disposal of a subsidiary		—			3,760			3,760
Operating income		299,701			28,048			198,837

Segment assets		1,120,580			490,300			1,610,880
Unallocated corporate assets		—			—			743,954

Total assets		1,120,580			490,300			2,354,834

For the year ended May 31, 2017


	Language training and test preparation courses			Others			Consolidated
	US$			US$			US$
Net revenues		1,510,497			289,012			1,799,509

Operating cost and expenses:
Cost of revenues		(623,364	)		(126,222	)		(749,586	)
Selling and marketing		(146,544	)		(61,919	)		(208,463	)
General and administrative		(363,949	)		(74,723	)		(438,672	)
Unallocated corporate expenses		—			—			(140,639	)

Total operating cost and expenses		(1,133,857	)		(262,864	)		(1,537,360	)

Operating income		376,640			26,148			262,149

Segment assets		1,361,261			606,955			1,968,216
Unallocated corporate assets		—			—			956,763

Total assets		1,361,261			606,955			2,924,979

For the year ended May 31, 2018


	Language training and test preparation courses			Others			Consolidated
	US$			US$			US$
Net revenues		2,022,978			424,452			2,447,430

Operating cost and expenses:
Cost of revenues		(869,012	)		(196,728	)		(1,065,740	)
Selling and marketing		(193,851	)		(99,549	)		(293,400	)
General and administrative		(504,985	)		(108,343	)		(613,328	)
Unallocated corporate expenses		—			—			(212,003	)

Total operating cost and expenses		(1,567,848	)		(404,620	)		(2,184,471	)

Operating income		455,130			19,832			262,959

Segment assets		1,898,504			844,691			2,743,195
Unallocated corporate assets		—			—			1,234,517

Total assets		1,898,504			844,691			3,977,712

Mainland China Contribution Plan

12 Months Ended

May 31, 2018

Text Block [Abstract]

Mainland China Contribution Plan

24.

MAINLAND CHINA CONTRIBUTION PLAN

The Group’s full time employees in the PRC participate in a government-mandated multiemployer defined contribution plan pursuant to which certain pension benefits, medical care, unemployment insurance, employee housing fund and other welfare benefits are provided to employees. The PRC labor regulations require the Group to accrue for these benefits based on certain percentages of the employees’ salaries. The total contributions for such employee benefits were US$71,434, US$89,709 and US$129,334 for the years ended May 31, 2016, 2017 and, 2018, respectively.

Statutory Reserve

12 Months Ended

May 31, 2018

Text Block [Abstract]

Statutory Reserve

25.

STATUTORY RESERVE

Prior to payment of dividends, pursuant to the laws applicable to the PRC’s Foreign Investment Enterprises, the Company’s subsidiaries and the VIEs in the PRC must make appropriations from after-tax profit to non-distributable reserve funds as determined by the Board of Directors of each company. These reserves include (i) general reserve and (ii) the development fund.

Subject to certain cumulative limits, the general reserve requires annual appropriations of 10% of after-tax profits as determined under the PRC laws and regulations at each year-end until the balance reaches 50% of the PRC entity registered capital; the other reserve appropriations are at the Company’s discretion. These reserves can only be used for specific purposes of enterprise expansion and are not distributable as cash dividends. During the years ended May 31, 2016, 2017 and 2018, US$695, US$1,749 and US$1,830 was accrued for the general reserve, respectively.

The PRC laws and regulations require private schools that require reasonable returns to make annual appropriations of 25% of after-tax income prior to payments of dividend to its development fund, which is to be used for the construction or maintenance of the school or procurement or upgrading of educational equipment, while in the case of a private school that does not require reasonable return, this amount should be equivalent to no less than 25% of the annual increase of net assets of the school as determined in accordance with generally accepted accounting principles in the PRC. During the years ended May 31, 2016, 2017 and 2018, appropriations to the development fund amounted to US$31,158, US$33,529 and US$41,713, respectively.

These reserves are included as statutory reserves in the consolidated statements of changes in equity and comprehensive income. The Group allocated US$31,853, US$ 35,278 and US$ 43,543 to statutory reserves during the years ended May 31, 2016, 2017 and 2018, respectively.

Restricted Net Assets

12 Months Ended

May 31, 2018

Receivables [Abstract]

Restricted Net Assets

26.

RESTRICTED NET ASSETS

Relevant PRC laws and regulations restrict the WFOEs and the VIEs from transferring a portion of their net assets, equivalent to the balance of their statutory reserves and their share capital, to the Company in the form of loans, advances or cash dividends, except in the event of liquidation. The balance of restricted net assets was US$488,560 and US$542,534, of which US$425,927 and US$448,103 was attributed to the paid-in capital, additional paid-in capital and statutory reserves of the VIEs and US$62,633 and US$94,431 was attributed to the paid-in capital, additional paid-in capital and statutory reserves of the WFOEs, as of May 31, 2017 and 2018, respectively. The WFOEs’ accumulated profits may be distributed as dividends to the Company without the consent of a third party. The VIEs’ revenues and accumulated profits may be transferred to the Company through contractual arrangements without the consent of a third party. Under applicable PRC law, loans from the PRC companies to their offshore affiliated entities require governmental approval, and advances by the PRC companies to their offshore affiliated entities must be supported by bona fide business transactions.

Subsequent Events

12 Months Ended

May 31, 2018

Subsequent Events [Abstract]

Subsequent Events

27.

SUBSEQUENT EVENTS

Koolearn Holding initiated its initial public offering process and has made the application for listing its securities on the Stock Exchange of Hong Kong Limited in July 2018.

On June 15, 2018, Koolearn Holding issued 13,858,832 ordinary shares with par value of US$0.00002 each at a price of US$1.4914 per share for a total consideration of US$20,668 to Tigerstep Developments Limited (“Tigerstep”). Tigerstep is controlled by Mr. Yu, Minhong, the Director and Chairman of the Koolearn Holding.

On July 13, 2018, the board of directors of Koolearn Holding approved an employees’ share option plan (the “Pre- IPO Share Option Scheme”), under which Koolearn Holding is authorised to grant options to purchase up to an aggregate of 47,836,985 ordinary shares. Koolearn Holding adopted the Pre-IPO Share Option Scheme on the same day and subsequently granted 27,904,930 options to the employees. The exercise price of all the options granted under the plan is US$1.13 per share.

In July 2018, New Oriental Education Industry Fund (the “Education Industry Fund”), with the total committed capital of US$234,000 (RMB1.5 billion), was established. An entity controlled by Mr. Yu and an unrelated third party act as the joint general partners of the Education Industry Fund. The Company participates in the Education Industry Fund as a limited partner and has committed to invest US$78,000 (RMB500 million) in the Education Industry Fund.

Schedule I - Condensed Financial Information of Parent Company

12 Months Ended

May 31, 2018

Condensed Financial Information Disclosure [Abstract]

Schedule I - Condensed Financial Information of Parent Company

NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

Additional Information - Financial Statement Schedule I

Condensed Financial Information of Parent Company

Balance Sheets

(All amounts in thousands, except for share and per share data, or otherwise noted)


	As of May 31,
	2017			2018
	US$			US$
ASSETS
Current assets
Cash and cash equivalents		11,472			5,537
Term deposits		10,000			—
Prepaid expenses and other current assets		210			7,358

Total current assets		21,682			12,895
Amounts due from related parties		56,965			80,603
Deferred tax assets		—			1,170
Long-term investments		120,260			228,471
Investments in its subsidiaries and the VIEs		1,569,358			1,758,551

Total assets		1,768,265			2,081,690

LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Accrued expenses and other current liabilities		3,675			1,021
Amounts due to related parties		83,642			89,080

Total current liabilities		87,317			90,101

Equity:
Common shares (US$0.01 par value; 300,000,000 shares authorized as of May 31, 2017 and 2018; 158,379,387 shares issued as of May 31, 2017 and 2018; 157,687,444 and 158,319,910 shares outstanding as of May 31, 2017 and 2018, respectively)		1,584			1,584
Treasury stock		(7	)		(1	)
Additional paid-in capital		249,126			129,059
Retained earnings		1,391,084			1,616,061
Accumulated other comprehensive income		39,161			244,886

Total shareholders’ equity		1,680,948			1,991,589

Total liabilities and equity		1,768,265			2,081,690

NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

Additional Information - Financial Statement Schedule I

Condensed Financial Information of Parent Company

Statements of Operations

(All amounts in thousands, except for share and per share data, or otherwise noted)


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Operating expenses
General and administrative		16,732			18,236			14,435

Total operating expenses		16,732			18,236			14,435

Operating loss		(16,732	)		(18,236	)		(14,435	)
Interest income		1			122			16
Equity in earnings of its subsidiaries, the VIEs and the VIEs’ subsidiaries and schools		241,615			292,571			310,549

Net income		224,884			274,457			296,130

NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

Additional Information - Financial Statement Schedule I

Condensed Financial Information of Parent Company

Statements of Comprehensive Income

(All amounts in thousands, except for share and per share data, or otherwise noted)


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Net income		224,884			274,457			296,130

Other comprehensive income, net of tax
Foreign currency translation adjustment		(72,193	)		(46,331	)		76,344
Unrealized gain on available-for-sale investment, net of tax effect of nil, nil and US$(1,170) for the years ended May 31, 2016, 2017 and 2018, respectively		35,636			22,544			129,381

Other comprehensive (loss)/ income		(36,557	)		(23,787	)		205,725

Comprehensive income attributable to New Oriental Education & Technology Group Inc.’s shareholders		188,327			250,670			501,855

NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

Additional Information - Financial Statement Schedule I

Condensed Financial Information of Parent Company

Statements of Changes in Equity

(All amounts in thousands, except for share and per share data, or otherwise noted)


	Common shares				Additional paid-in capital			Treasury stock			Accumulated other comprehensive income			Retained earnings			Total shareholders’ equity
	Unrestricted shares		Amount		Additional paid-in capital			Treasury stock			Accumulated other comprehensive income			Retained earnings			Total shareholders’ equity
	Unrestricted shares		US$		US$			US$			US$			US$			US$
Balance as of May 31, 2015		156,486,763		1,584		141,653			(19	)		99,505			977,625			1,220,348

Reissuance of treasury stock for the exercises of employee share options		240,304		—		2,428			3			—			—			2,431
Reissuance of treasury stock for non-vested equity shares		712,330		—		(7	)		7			—			—			—
Share-based compensation expenses		—		—		16,810			—			—			—			16,810
Dividend declared		—		—		—			—			—			(62,668	)		(62,668	)
Net income		—		—		—			—			—			224,884			224,884
Foreign currency translation adjustment		—		—		—			—			(72,193	)		—			(72,193	)
Unrealized gain on available-for-sale investments, net of tax effect of nil		—		—		—			—			35,636			—			35,636
Capital injection of non-controlling interests		—		—		39,579			—			—			—			39,579
Repurchase share from non-controlling interests		—		—		(255	)		—			—			—			(255	)
Equity restructure of a subsidiary		—		—		23,214			—			—			(23,214	)		—

Balance as of May 31, 2016		157,439,397		1,584		223,422			(9	)		62,948			1,116,627			1,404,572

Reissuance of treasury stock for the exercises of employee share options		48,047		—		256			—			—			—			256
Reissuance of treasury stock for non-vested equity shares		200,000		—		(2	)		2			—			—			—
Share-based compensation expenses		—		—		20,287			—			—			—			20,287
Net income		—		—		—			—			—			274,457			274,457
Foreign currency translation adjustment		—		—		—			—			(46,331	)		—			(46,331	)
Unrealized gain on available-for-sale investments, net of tax effect of nil		—		—		—			—			22,544			—			22,544
Capital injection of non-controlling interests and new non-controlling interests recognized in an acquisition		—		—		5,163			—			—			—			5,163

Balance as of May 31, 2017		157,687,444		1,584		249,126			(7	)		39,161			1,391,084			1,680,948

Reissuance of treasury stock for the exercises of employee share options		500		—		1			—			—			—			1
Reissuance of treasury stock for non-vested equity shares		631,966		—		(6	)		6			—			—			—
Share-based compensation expenses		—		—		57,443			—			—			—			57,443
Dividend declared		—		—		—			—			—			(71,153	)		(71,153	)
Net income		—		—		—			—			—			296,130			296,130
Foreign currency translation adjustment		—		—		—			—			76,344			—			76,344
Unrealized gain on available-for-sale investments, net of tax effect of US$(1,170)		—		—		—			—			129,381			—			129,381
Capital injection of non-controlling interests		—		—		(113,784	)		—			—			—			(113,784	)
Repurchase shares from Non-controlling interests		—		—		(63,721	)		—			—			—			(63,721	)

Balance as of May 31, 2018		158,319,910		1,584		129,059			(1	)		244,886			1,616,061			1,991,589

NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

Additional Information - Financial Statement Schedule I

Condensed Financial Information of Parent Company

Statements of Cash Flows

(All amounts in thousands, except for share and per share data, or otherwise noted)


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Cash flows from operating activities
Net income		224,884			274,457			296,130
Adjustments to reconcile net income to net cash provided by operating activities
Equity in earnings of its subsidiaries and the VIEs		(241,615	)		(292,571	)		(310,549	)
Dividend received from subsidiaries		49,984			43,417			38,471
Realized gain from long-term investments		—			—			(4,785	)
Share-based compensation expenses		16,810			20,287			57,443
Changes in operating assets and liabilities:
Prepaid expenses and other current assets		5,135			5,404			(7,148	)
Amounts due from related parties		—			—			(30,307	)
Accrued expenses and other current liabilities		(3,673	)		(2,341	)		(2,653	)
Amounts due to related parties		(1,446	)		(40,207	)		12,903

Net cash provided by operating activities		50,079			8,446			49,505

Cash flows from investing activities
Investments in term deposits		(10,000	)		—			10,000
Payment for available-for-sale investments		(9,500	)		(1,000	)		(2,766	)
Proceed from long-term investments		540			—			9,285
Loans to related parties		1,487			—			(1,487	)
Investments in a subsidiary		—			(8,500	)		(10	)
Repayment from related parties		8,512			—			—

Net cash (used in)/provided by investing activities		(8,961	)		(9,500	)		15,022

Cash flows from financing activities
Proceeds from issuance of common shares upon exercise of share options		2,176			542			1
Loan from a related party		8,610			—			690
Cash paid for dividend		(62,668	)		—			(71,153	)

Net cash (used in)/provided by financing activities		(51,882	)		542			(70,462	)

Net decrease in cash and cash equivalents		(10,764	)		(512	)		(5,935	)
Cash and cash equivalents, beginning of year		22,748			11,984			11,472

Cash and cash equivalents, end of year		11,984			11,472			5,537

NEW ORIENTAL EDUCATION & TECHNOLOGY GROUP INC.

Additional Information - Financial Statement Schedule I

Condensed Financial Information of Parent Company

Note to the Financial Statements

1.	BASIS FOR PREPARATION

The condensed financial information of the Company has been prepared using the same accounting policies as set out in the Group’s consolidated financial statements except that the Company used the equity method to account for investments in its subsidiaries, the VIEs and the VIEs’ subsidiaries and schools. The parent company’s condensed financial information should be read in conjunction with the Group’s consolidated financial statements.

2.	INVESTMENTS IN SUBSIDIARIES AND VIEs

The Company, its subsidiaries, the VIEs and the VIEs’ subsidiaries and schools were included in the consolidated financial statements where the inter-company balances and transactions were eliminated upon consolidation. For purpose of the Company’s stand-alone financial statements, its investments in subsidiaries, the VIEs and the VIEs’ subsidiaries and schools were reported using the equity method of accounting. The Company’s share of income from its subsidiaries, the VIEs and the VIEs’ subsidiaries and schools were reported as equity in earnings of its subsidiaries, the VIEs and the VIEs’ subsidiaries and schools in the condensed statements of operations.

3.	INCOME TAXES

The Company is a company incorporated in the Cayman Islands, therefore, is not subject to income taxes for all the years presented.

4.	RELATED-PARTY TRANSACTIONS

The following represented the related party balances as of May 31, 2017 and 2018:


	As of May 31,
	2017		2018
	US$		US$
Amounts due from related parties:
Winner Park		12		12
Smart Shine		—		1,420
Abundant		40,000		—
Elite Concept		10,104		79,171
Koolearn Holdings Limited (a)		180		—
New Oriental China		6,669		—

		56,965		80,603

Amounts due to related parties:
Elite Concept		357		359
Abundant		81,798		82,487
Smart Shine		1,487		—
New Oriental China		—		6,234

		83,642		89,080

All related party balances were non-interest bearing and unsecured. The amounts due to related parties will be paid upon demand.

(a)

Koolearn Holdings Limited was a HK subsidiary of the Group which dissolved in the fiscal year of 2018.

Significant Accounting Policies (Policies)

12 Months Ended

May 31, 2018

Accounting Policies [Abstract]

Basis of presentation

The consolidated financial statements of the Group have been prepared in accordance with the accounting principles generally accepted in the United States of America (“US GAAP”).

Basis of consolidation

Use of estimates

Business combinations

In a business combination achieved in stages, the Group remeasures the previously held equity interest in the acquire immediately before obtaining control at its acquisition-date fair value and the remeasurement gain or loss, if any, is recognized in the consolidated statements of operations.

Cash and cash equivalents

Restricted cash

Restricted cash represents Renminbi (“RMB”) deposits in bank accounts as deposits for establishing new subsidiaries and schools. Restricted cash is classified as either current or non-current based on when the funds will be released in accordance with the terms of the respective agreement.

Term deposits

Term deposits consist of deposits placed with financial institutions with original maturities of greater than three months and less than one year.

Short-term investments

Allowance for doubtful accounts

Changes in the allowance for doubtful accounts were as follows:


	As of May 31,
	2017			2018
	US$			US$
Beginning balance		1,210			1,180
Charge during the year		486			576
Written-off		(516	)		(357	)

Ending balance		1,180			1,399

Inventory

Inventory mainly consists of books. Inventory is stated at the lower of cost or net realizable value.

Property and equipment


Buildings			20-50 years
Transportation equipment			10 years
Furniture and education equipment			5 years
Computer equipment and software			3 years
Leasehold improvements			Shorter of the lease term or estimated useful life

Construction in progress

Land use rights

Land use rights are recorded at cost and amortized on a straight-line basis over the remaining term of the land certificate, from 38.5 years to 50 years.

Impairment of long-lived assets

Goodwill

Cost Method Investments

(a)

Cost Method Investments

Equity Method Investments

b)	Equity Method Investments

Available-for-sale Investments

(c)

Available-for-sale Investments

Non-controlling interests and redeemable non-controlling interests

Non-controlling interests in subsidiaries that are redeemable outside of the Company’s control for cash or other assets are classified outside of permanent equity at the redemption value. If the redemption event is probable to occur, the Company adjusts the redeemable non-controlling interests to the redemption value on each balance sheet date with the changes recognized as an adjustment to retained earnings, or in the absence of retained earnings, as an adjustment to additional paid-in capital.

Value added tax ("VAT")

Value added tax (“VAT”)

Revenue recognition

(a)

Educational programs and services

(b)

Other services

(c)

Books

Operating leases

Advertising costs

Government subsidies

Foreign currency translation

Foreign currency risk

Fair value

Level 1

Level 1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities.

Level 2

Level 3

Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities.

Fair value of financial instruments

Net income per share

Income taxes

Comprehensive income

Share-based compensation

Share-based payments to employees and directors are measured based on the grant-date fair value of the equity instrument issued and recognized as compensation expenses net of forfeitures on a straight-line basis over the requisite service period, with a corresponding addition to paid-in capital. The Group uses the binomial option pricing model to measure the fair value of options granted and the quoted market price of the Company’s common shares to measure the fair value of non-vested equity shares (“NES”) granted to employees at each measurement date. The binomial option pricing model is adopted because the Group believes that considering the possibility of exercise an option over the life of the option, as affected by the reality of changing stock prices and non-constant risk free rates, would better reflect the measurement objective of relevant accounting literature.

Concentration of credit risk

Recent accounting pronouncements adopted

Recently issued accounting pronouncements not yet adopted

In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 requires revenue recognition to depict the transfer of goods or services to customers in an amount that reflects the consideration that a company expects to be entitled to in exchange for the goods or services. To achieve this principle, a company must apply five steps including identifying the contract with a customer, identifying the performance obligations in the contract, determining the transaction price, allocating the transaction price to the performance obligations, and recognizing revenue when (or as) the company satisfies the performance obligations. Additional quantitative and qualitative disclosure to enhance the understanding about the nature, amount, timing, and uncertainty of revenue and cash flows is also required. ASU 2014-09 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. In April 2016, the FASB issued ASU 2016-10, “Identifying Performance Obligations and Licensing.” ASU 2016-10 clarifies the following two aspects of ASU 2014-09: identifying performance obligations and licensing implementation guidance. The effective date of ASU 2016-10 is the same as the effective date of ASU 2014-09.

Organization and Principal Activities (Tables)

12 Months Ended

May 31, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Details of Company's Major Subsidiaries and VIEs and Its Major Subsidiaries

As of May 31, 2018, details of the Company’s major subsidiaries, its VIEs and the VIEs’ major subsidiaries and schools were as follows:

Name

Date of
incorporation
or acquisition

Place of
incorporation
(or establishment)/
operation

Legal
ownership

Principal activity

Major subsidiaries of the Company:

Beijing Decision Education & Consulting Company Limited (“Beijing Decision”)

April 20, 2005

PRC

100

Educational technology and
management services

Beijing Judgment Education & Consulting Company Limited (“Beijing Judgment”)

April 20, 2005

PRC

100

Educational consulting and
software development

Beijing Hewstone Technology Company Limited (“Beijing Hewstone”)

April 20, 2005

PRC

100

Educational
software development

Elite Concept Holdings Limited (“Elite Concept”)

December 3, 2007

Hong Kong

100

Educational consulting

Winner Park Limited (“Winner Park”)

December 9, 2008

Hong Kong

100

Educational consulting

Smart Shine International Limited (“Smart Shine”)

December 9, 2008

Hong Kong

100

Educational consulting

Beijing Pioneer Technology Company Limited (“Beijing Pioneer”)

January 8, 2009

PRC

100

Educational
software development

Shanghai Smart Words Software Technology Company Limited (“Shanghai Smart Words”)

December 8, 2010

PRC

100

Educational consulting and
software development

Beijing Smart Wood Software Technology Company Limited (“Beijing Smart Wood”)

December 21, 2011

PRC

100

Educational consulting and
software development

Beijing New Oriental Walkite International Travel Co., Ltd.

May 22, 2012

PRC

100

Study tour

Beijing Joy Tend Technology Company Limited (“Beijing Joy Tend”)

January 31, 2013

PRC

100

Educational consulting and
software development

Beijing Right Time Technology Company Limited (“Beijing Right Time”)

January 31, 2013

PRC

100

Educational consulting
and software development

Abundant State Limited (“Abundant”)

March 20, 2013

The British
Virgin Islands

(“BVI”)

100

Educational consulting

Beijing Magnificence Technology Company Limited (“Beijing Magnificence”)

November 1, 2013

PRC

100

Educational consulting
and software development

Beijing Top Technology Company Limited (“Beijing Top”)

November 13, 2013

PRC

100

Educational consulting
and software development

Beijing Shenghe Technology Company Limited (“Beijing Shenghe”)

May 27, 2014

PRC

100

Educational consulting
and software development

Walkite International Academy Co., Ltd. (“Walkite UK”)

March 16, 2015

U.K.

100

Study tour

Walkite International Academy (U.S.A.) Co., Ltd. (“Walkite US”)

April 13, 2015

U.S.A.

100

Study tour

Beijing Jinghong Software Technology Company Limited (“Beijing Jinghong”)

September 18, 2016

PRC

100

Educational consulting
and software development

New Oriental Vision Overseas Consulting Australia Pty Ltd. (“Overseas AU”)

January 25, 2017

Australia

100

Consulting

Zhuhai Zekai Software Technology Company Limited (“Zhuhai Zekai”)

June 26, 2017

PRC

100

Educational consulting
and software development

Name

Date of
incorporation
or acquisition

Place of
incorporation
(or establishment)/
operation

Legal
ownership

Principal activity

Major subsidiaries of the Company:

Garden House Limited (“Garden House”)

September 1, 2017

Hong Kong

Pre-school education

One World Limited (“One World”)

September 1, 2017

Hong Kong

Pre-school education

Blingabc Limited (“Blingabc”)

December 27, 2017

U.S.A.

100

Educational consulting

Beijing Zhiyuan Hangcheng Software Technology Company Limited (“Beijing Zhiyuan Hangcheng”)

January 16, 2018

PRC

100

Educational consulting
and software development

Koolearn Technology Holding Limited (“Koolearn Holding”)

February 7, 2018

Cayman

Online education service

New Oriental Xuncheng Technology (HK) Limited (“Koolearn Tech”)

March 2, 2018

Hong Kong

100

Online education service

Beijing Dexin Dongfang Network Technology Co., Ltd. (“Dexin Dongfang”)

March 21, 2018

PRC

N/A

Educational consulting and software development

VIEs of the Company:

New Oriental Education & Technology Group Co., Ltd (“New Oriental China”)

August 2, 2001

PRC

N/A

Education consulting,
software development and
distributions and other
services

Beijing New Oriental Xuncheng Network Technology Co., Ltd. (“Xuncheng”)

March 11, 2005

PRC

N/A

Online education service

Major subsidiaries and schools of the VIEs:

Beijing Haidian District Privately-Funded New Oriental School (“Beijing Haidian School”)

October 5, 1993

PRC

N/A

Language training and test preparation

Shanghai Yangpu District New Oriental Advanced Study School

June 1, 2000

PRC

N/A

Language training and test preparation

Guangzhou Haizhu District Privately-Funded New Oriental Training School (“Guangzhou Haizhu School”) (a)

September 8, 2000

PRC

N/A

Language training and test preparation

Wuhan New Oriental Training School

April 28, 2002

PRC

N/A

Language training and test preparation

Beijing New Oriental Yangzhou Foreign Language School

June 6, 2002

PRC

N/A

Primary and secondary
school education

Tianjin New Oriental Training School

August 21, 2002

PRC

N/A

Language training and test preparation


Name	Date of incorporation or acquisition	Place of incorporation (or establishment)/ operation	Legal ownership	Principal activity
Major subsidiaries and schools of the VIEs:
Xi’an Yanta District New Oriental School	November 26, 2002	PRC	N/A	Language training and test preparation
Nanjing Gulou New Oriental Advanced Study School	November 28, 2002	PRC	N/A	Language training and test preparation
Beijing New Oriental Dogwood Cultural Communications Co., Ltd.	May 16, 2003	PRC	N/A	Content development and distribution
Chongqing New Oriental Training School	August 15, 2003	PRC	N/A	Language training and test preparation
Chengdu New Oriental School	August 18, 2003	PRC	N/A	Language training and test preparation
Shenzhen New Oriental Training School	October 15, 2003	PRC	N/A	Language training and test preparation
Beijing New Oriental Vision Overseas Consultancy Co., Ltd.	February 19, 2004	PRC	N/A	Oversea study consulting service
Beijing New Oriental Dogwood, Bookstore, Audio & Video Co., Ltd.	March 2, 2004	PRC	N/A	Content development and distribution
Taiyuan New Oriental Training School	April 20, 2005	PRC	N/A	Language training and test preparation
Jinan New Oriental School	May 31, 2005	PRC	N/A	Language training and test preparation
Zhengzhou New Oriental Training School	July 19, 2005	PRC	N/A	Language training and test preparation
Hangzhou New Oriental Advanced Study School	July 21, 2005	PRC	N/A	Language training and test preparation
Qingdao Happy Alice Kindergarten	November 29, 2005	PRC	N/A	Pre-school education
Suzhou New Oriental School	April 26, 2006	PRC	N/A	Language training and test preparation
Nanchang Donghu District New Oriental Language School	March 16, 2007	PRC	N/A	Language training and test preparation
Beijing New Oriental Stars Education & Consulting Co., Ltd	July 11, 2007	PRC	N/A	Pre-school education
Beijing Chaoyang District Kindergarten of Stars	November 20, 2007	PRC	N/A	Pre-school education
Xiamen Siming District New Oriental Education Training School	July 8, 2008	PRC	N/A	Language training and test preparation
Changchun Tongwen Gaokao Training School	September 1, 2008	PRC	N/A	College admission examination training
Changchun Tongwen Senior High School	September 1, 2008	PRC	N/A	Primary and secondary school education
Nanjing Yuhuatai District New Oriental Kindergarten of Stars	April 10, 2009	PRC	N/A	Pre-school education
Beijing Changping New Oriental Foreign Language School	July 19, 2010	PRC	N/A	Primary and secondary school education
Shanghai Vision Overseas Service Co., Ltd.	March 24, 2011	PRC	N/A	Oversea study consulting service
Beijing Management Software Training Institute	September 1, 2012	PRC	N/A	Primary and secondary school education
Beijing New Oriental Kuxue Huisi Network Technology Co., Ltd.	February 1, 2013	PRC	N/A	Online education service
Guangzhou Panyu District Privately-Funded New Oriental Training Centre (“Guangzhou Panyu School”) (a)	June 19, 2013	PRC	N/A	Language training and test preparation
Guangzhou New Oriental Training School (“Guangzhou School”) (a)	August 20, 2013	PRC	N/A	Language training and test preparation
Major subsidiaries and schools of the VIEs:
Beijing Dongfang Zhuoyong Investment Management Co., Ltd.	April 29, 2014	PRC	N/A	Investment management
Qingdao Alice Education & Technology Company Limited	August 21, 2014	PRC	N/A	Pre-school education
Yangzhou Guangling District New Oriental Kindergarten of Stars	August 26, 2014	PRC	N/A	Pre-school education
Qingdao Chengyang District Happy Alice Kindergarten	October 30, 2014	PRC	N/A	Pre-school education
Qingdao Laoshan District Happy Alice Kindergarten	December 4, 2014	PRC	N/A	Pre-school education
New Oriental Vision Overseas Consulting (U.K.) Ltd.	June 10, 2015	U.K.	N/A	Oversea study consulting service
Qingdao New Oriental Vision Overseas Consultancy Co., Ltd.	August 20, 2015	PRC	N/A	Oversea study consulting service
Beijing New Oriental Vision Overseas Service Co., Ltd.	February 24, 2016	PRC	N/A	Oversea study consulting service
Beijing Dongfang Youbo Network Technology Co., Ltd. (“Dongfang Youbo”)	June 23, 2016	PRC	N/A	Online education service
Beijing Bright the Future Education & Technology Co., Ltd.	July 18, 2016	PRC	N/A	Consulting
Beijing Ainuo Shida Education & Technology Co., Ltd (“Ainuo Shida”)	December 1, 2016	PRC	N/A	Oversea study consulting service
Beijing Chaoyang District Taiyanggong Kindergarten of Stars	January 20, 2017	PRC	N/A	Pre-school education
Ningbo Meishan Bonded Port Area Hexin Oriental Asset Management Co., Ltd.	April 28, 2017	PRC	N/A	Asset management
Beijing Haiwei Career Service Co., Ltd.	June 9, 2017	PRC	N/A	Oversea study consulting service
Hangzhou Shengshen Technology Co., Ltd (“Hangzhou Shengshen”)	October 9, 2017	PRC	N/A	Language training and test preparation

(a)

Balances and Amounts of Company's WFOEs and VIEs


	As of May 31,
	2017		2018
	US$		US$
Total current assets		1,590,750		2,081,374
Total non-current assets		488,709		750,316

Total assets		2,079,459		2,831,690

Total current liabilities		1,137,288		1,674,857
Total non-current liabilities		2,174		13,782

Total liabilities		1,139,462		1,688,639


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Net revenues		1,443,851			1,777,864			2,417,203
Net income		313,828			333,456			479,190
Net cash provided by operating activities		457,267			454,753			711,591
Net cash used in investing activities		(286,235	)		(459,532	)		(429,265	)
Net cash provided by (used in) financing activities		63,328			4,250			(96,429	)

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details

Significant Accounting Policies (Tables)

12 Months Ended

May 31, 2018

Accounting Policies [Abstract]

Changes in Allowance for Doubtful Accounts

Changes in the allowance for doubtful accounts were as follows:


	As of May 31,
	2017			2018
	US$			US$
Beginning balance		1,210			1,180
Charge during the year		486			576
Written-off		(516	)		(357	)

Ending balance		1,180			1,399

Estimated Useful Lives of Assets

Depreciation and amortization are calculated on a straight line basis over the following estimated useful lives:


Buildings			20-50 years
Transportation equipment			10 years
Furniture and education equipment			5 years
Computer equipment and software			3 years
Leasehold improvements			Shorter of the lease term or estimated useful life

Business Acquisitions (Tables)

12 Months Ended

May 31, 2018

Pro Froma Result from Operation

These pro forma results have been prepared for comparative purpose only and do not purport to be indicative of the results of operations which actually would have resulted had the acquisitions occurred as of June 1, 2017, nor is it indicative of future operating results.


	For the years ended May 31,
	2017		2018
	(unaudited)		(unaudited)
	US$		US$
Pro forma net revenues		1,815,660		2,451,735
Pro forma net income attributable to New Oriental Education and Technology Group Inc.		275,685		296,697
Pro forma net income per share – basic		1.75		1.88
Pro forma net income per share – diluted		1.75		1.87

Ainuo Shida [Member]

Purchase Price Allocation

The purchase price was allocated on the date of acquisition as follows:


	US$			Amortization period
Cash		2,499
Other current assets		4,874
Property and equipment		493			1-5 years
Intangible assets
Trademark		1,708			10 years
Student base		1,069			1 year
Courseware		76			3 years
Goodwill		5,516
Deferred revenue		(4,544	)
Other current liabilities		(1,496	)
Deferred tax liabilities		(713	)
Fair value of the 18% equity interest		(1,741	)
Non-controlling interests		(3,899	)

Total		3,842

Hangzhou Shengshen [Member]

Purchase Price Allocation

The purchase price was allocated on the date of acquisition as follows:


	US$			Amortization period
Cash		3,571
Other current assets		704
Property and equipment		1,148			1-5 years
Intangible assets
Trademark		1,713			5 years
Student base		2,164			3 years
Goodwill		9,809
Deferred revenue		(5,566	)
Other current liabilities		(1,562	)
Deferred tax liabilities		(969	)

Total		11,012

Short-Term Investments (Tables)

12 Months Ended

May 31, 2018

Investments, Debt and Equity Securities [Abstract]

Summary of Short-Term Investments

Short-term investments consisted of the following:


	As of May 31,
	2017		2018
	US$		US$
Held-to-maturity investments		1,312,942		1,623,763

Inventory, Net (Tables)

12 Months Ended

May 31, 2018

Inventory Disclosure [Abstract]

Components of Inventory

Inventory, net, consisted of the following:


	As of May 31,
	2017		2018
	US$		US$
Course materials in schools		7,419		12,020
Publications in bookstores		24,323		28,155

		31,742		40,175

Prepaid Expenses and Other Current Assets, Net (Tables)

12 Months Ended

May 31, 2018

Text Block [Abstract]

Components of Prepaid Expenses and Other Current Assets, Net

Prepaid expenses and other current assets, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Prepaid rent		44,746			56,531
Advances to suppliers		29,358			43,913
Interest receivable		14,005			23,647
Rental deposits		8,355			10,953
Staff advances (a)		2,514			9,544
Receivable from exercise of options/NES		—			7,300
Prepaid advertising fees		4,235			6,917
Receivable from third parties’ platforms		3,211			5,967
VAT recoverable		2,305			3,493
Deposits of advertising and decoration		1,411			3,342
Prepaid property taxes and other taxes		947			212
Others (b)		8,905			11,190
Less: allowance for other receivables		(595	)		(914	)

		119,397			182,095

(a)	Staff advances were provided to staff for traveling and related use which are expensed as incurred.

(b)	Others primarily included prepaid maintenance fees, other receivables and other miscellaneous prepayments.

Property and Equipment, Net (Tables)

12 Months Ended

May 31, 2018

Property, Plant and Equipment [Abstract]

Summary of Property and Equipment, Net

Property and equipment, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Buildings		141,477			156,324
Transportation equipment		8,618			9,936
Furniture and education equipment		88,671			128,670
Computer equipment and software		48,385			65,227
Leasehold improvements		216,848			349,953

		503,999			710,110
Less: accumulated depreciation		(243,035	)		(275,940	)
Exchange differences		7,182			(15,499	)
Construction in progress		14,654			30,921

		282,800			449,592

Land Use Rights, Net (Tables)

12 Months Ended

May 31, 2018

Text Block [Abstract]

Land Use Rights, Net

Land use rights, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Land use rights		5,003			5,315
Less: accumulated amortization		(1,307	)		(1,417	)
Exchange differences		(28	)		(113	)

Land use rights, net		3,668			3,785

Intangible Assets, Net (Tables)

12 Months Ended

May 31, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Intangible Assets, Net

Intangible assets, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Intangible assets with indefinite lives:
Trademark		241			256
Intangible assets with finite lives:
Trademark		2,976			5,575
Courseware		122			129
Student base		2,995			7,014
Favorable lease		689			732
License		415			415

		7,438			14,121

Less: accumulated amortization		(3,498	)		(5,272	)
Exchange differences		65			(305	)

		4,005			8,544

Goodwill, Net (Tables)

12 Months Ended

May 31, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill, Net

Goodwill, net, consisted of the following:


	As of May 31,
	2017			2018
	US$			US$
Beginning balance		10,545			15,765
Acquisition		5,516			16,192
Exchange differences		(296	)		1,454

Ending balance		15,765			33,411
Accumulated impairment		(1,682	)		(1,682	)

Goodwill, net		14,083			31,729

Long-Term Investments, Net (Tables)

12 Months Ended

May 31, 2018

Investments Schedule [Abstract]

Schedule of Long Term Investments, Net

Long term investments, net, consisted of the following:


	As of May 31,
	2017		2018
	US$		US$
Cost method investments:
Asia Pacific Montessori Education Co., Ltd.(“Asia Pacific”) (a)		—		11,216
Other cost method investments (b)		8,132		27,291
Equity method investments: (c)		11,537		9,131
Available-for-sale investments:
Sunlands Online Education Group (“Sunlands”) (d)		32,644		134,423
Shanghai Golden Education & Training Co., Ltd.(“Golden Finance”) (e)		44,809		86,937
Boxfish Education Group Limited (“Boxfish”) (f)		—		15,000
Shanghai ALO7 Technology Co., Ltd.(“Alo7.com”) (g)		17,370		14,395
Tianjin Uhozz Internet Technology Co., Ltd (“Uhozz”) (h)		9,552		12,826
Beijing Kaisheng Culture Media Ltd. (“Kaisheng Culture”) (i)		7,342		11,263
Tarena International, Inc. (“Tarena”) (j)		25,695		9,610
Dr. Cuiyutao Healthcare Limited (“Yuxueyuan”) (k)		—		9,316
Beijing Shengtong Printing Co., Ltd (“Shengtong”) (l)		10,711		9,261
Lele Global Limited (“Lele”) (m)		9,105		9,157
Xiamen Shenzhouying Software & Technology Co., Ltd (“Shenzhouying”) (n)		6,856		8,451
Special assets management plan-Guotai Yuanxin & New Oriental (“Assets Management Plan”) (o)		7,486		8,336
Other available-for-sale investments (p)		26,020		56,720

		217,259		433,333

(a)

(b)

(c)

(d)

(e)

(f)

(g)

(h)

(i)

(j)

(k)

(l)

(m)

(n)

(o)

(p)

Fair Value Measurement (Tables)

12 Months Ended

May 31, 2018

Fair Value Disclosures [Abstract]

Schedule of Available-for-Sale Securities Recorded in Long Term Investments Include Redeemable Preferred Shares, Common Shares, Convertible Bond and Assets Management Plan and Trust Measured and Recorded at Fair Value on Recurring Basis


	As of May 31, 2017
Description	Quoted Prices in Active Market for Identical Assets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3		Total
	US$		US$		US$		US$
Available-for-sales investments:
Common shares		36,406		—		—		36,406
Redeemable preferred shares		—		30,669		123,029		153,698
Assets Management Plan		—		7,486		—		7,486

Total		36,406		38,155		123,029		197,590


	As of May 31, 2018
Description	Quoted Prices in Active Market for Identical Assets Level 1		Significant Other Observable Inputs Level 2		Significant Unobservable Inputs Level 3		Total
	US$		US$		US$		US$
Available-for-sales investments:
Common shares		153,294		—		—		153,294
Redeemable preferred shares and convertible note		—		90,168		133,897		224,065
Assets Management Plan		—		8,336		—		8,336

Total		153,294		98,504		133,897		385,695

Summary of Long-Term Investments Accounted for as Available-for-Sale Investments on a Recurring Basis

The long-term investments accounted for as available-for-sale investments on a recurring basis are as follows:


	Available-for-sale investments
	US$
Balance as of June 1, 2016		163,804
Purchase		19,893
Changes in fair value		22,521
Impairment amount		(2,876	)
Foreign exchange difference		(5,752	)

Balance as of May 31, 2017		197,590

Purchase		62,980
Disposal		(25,308	)
Changes in fair value		129,545
Impairment amount		(138	)
Foreign exchange difference		21,026

Balance as of May 31, 2018		385,695

Reconciliation of the fair value measurements of assets and liabilities using significant unobservable inputs

The following table provides additional information about the reconciliation of the fair value measurements of assets and liabilities using significant unobservable inputs (level 3).


	Available-for-sale investments
	US$
Balance as of June 1, 2016		69,873
Transfer from level 2 fair value measurements		31,505
Initial recognition		—
Unrealized gain		21,651

Balance as of May 31, 2017		123,029

Transfer to level 1 fair value measurements		(32,644	)
Initial recognition		—
Unrealized gain		43,512

Balance as of May 31, 2018		133,897

Accrued Expenses and Other Current Liabilities (Tables)

12 Months Ended

May 31, 2018

Payables and Accruals [Abstract]

Schedule of Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consisted of the following:


	As of May 31,
	2017		2018
	US$		US$
Accrued payroll		163,621		212,677
Payable for purchase of property and equipment		21,445		45,590
Rent payable		7,532		18,210
Amounts reimbursable to employees (a)		11,022		16,157
VAT payable		9,516		12,125
Refundable fees received from students (b)		8,687		11,541
Welfare payable		6,102		9,187
Accrued advertising fees		7,798		8,548
Refundable deposits (c)		5,382		7,290
Payable for investments and acquisitions		—		5,420
Royalty fees payable (d)		4,011		4,410
Other taxes payable		1,604		2,945
Accrued professional service fees		1,486		1,134
Others (e)		12,494		18,303

Total		260,700		373,537

(a)	Amounts reimbursable to employees include traveling and the related expenses.

(b)	Refundable fees received from students represent (1) the miscellaneous expenses other than tuition fees received from students which will be paid out on behalf of students; and (2) tuition fees refundable to students for classes withdrawn.

(c)	Refundable deposits represent student deposits for dormitory or other fees that will be refunded upon graduation and student security deposits refunded upon completion of the study tour.

(d)	Royalty fees payable relate to payments to content providers for on-line learning programs and those to counterparties for copyrights and resource sharing.

(e)	Others primarily include transportation expenses, utility fees, property management fees and other miscellaneous expenses payable.

Share-Based Compensation (Tables)

12 Months Ended

May 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of Share Options Granted

Information regarding the share options granted under 2006 Share Incentive Plan is as follows:


Grant date	Share options granted		Grant-date fair value		Exercise price
			US$		US$
February 28, 2006		7,099,500		1.00		2.02
July 21, 2006		1,620,000		1.15		2.38
September 7, 2006		100,000		2.38		3.75
March 5, 2007		3,946,500		4.09		8.75
January 17, 2012		3,060,000		10.33		12.19

Total		15,826,000

Summary of Share Options Activity

The share option activities for the years ended May 31, 2016, 2017 and 2018 are summarized as follows:


	Number of share options			Weighted- average exercise prices		Weighted-average remaining contractual life		Aggregated intrinsic value
				US$		years		US$
Options outstanding as of May 31, 2015		318,641			5.30		1.92		5,903
Exercised		(240,304	)		5.03

Options outstanding as of May 31, 2016		78,337			6.13		0.58		2,829

Exercised		(48,047	)		5.37
Canceled		(23,938	)		8.75

Options outstanding as of May 31, 2017		6,352			2.02		1.58		442

Exercised		(500	)		2.02

Options outstanding as of May 31, 2018		5,852			2.02		0.57		475

Options exercisable as of May 31, 2018		5,852			2.02		0.57		475

Summary of NES Activities under 2006 and 2016 Share Incentive Plan

The NES activities under 2006 and 2016 Share Incentive Plan for the years ended May 31, 2016, 2017 and 2018 are summarized as follows:


	Number of NES			Weighted- average grant date fair value and intrinsic value
				US$
NES outstanding as of May 31, 2015		606,400			18.55
Granted		546,330			22.66
Vested		(712,330	)		21.39
Forfeited		(40,400	)		20.61

NES outstanding as of May 31, 2016		400,000			18.91

Granted		436,016			47.19
Vested		(200,000	)		18.91
Forfeited		(4,050	)		47.19

NES outstanding as of May 31, 2017		631,966			38.24

Granted		1,485,630			82.75
Vested		(631,966	)		38.24
Forfeited		(47,006	)		82.75

NES outstanding as of May 31, 2018		1,438,624			82.75

NES vested and expect to vest as of May 31, 2018		1,438,624

Income Taxes (Tables)

12 Months Ended

May 31, 2018

Income Tax Disclosure [Abstract]

Components of Provision for Income Taxes

Significant components of provision for income taxes for the years ended May 31, 2016, 2017 and 2018 were as follows:


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Current:
PRC		39,467			51,142			72,785

Deferred:
PRC		(1,936	)		(518	)		(13,377	)

Total provision for income taxes		37,531			50,624			59,408

Components of Group's Deferred Tax Assets and Liabilities

Significant components of the Group’s deferred tax assets and liabilities are as follows:


	As of May 31,
	2017			2018
	US$			US$
Deferred tax assets
Allowance doubtful accounts		2,017			1,965
Accrued expenses		22,126			32,253
Net operating loss carry-forward		8,696			14,611

Total deferred tax assets		32,839			48,829
Less: valuation allowance		(3,981	)		(5,506	)

Net, deferred tax assets		28,858			43,323

Deferred tax liabilities
Acquired of intangible assets and tax impact from the unrealized gain on available-for-sale investments		2,220			12,133

Total deferred tax liabilities		2,220			12,133

Reconciliation of Effective Tax Rates from 25% Statutory Tax Rates

A reconciliation of the effective tax rates from 25% statutory tax rates for the years ended May 31, 2016, 2017 and 2018 is as follows:


	For the years ended May 31,
	2016			2017			2018
	%			%			%
Statutory tax rate		25.00			25.00			25.00
Effect of not deductible expenses for tax purposes		4.57			2.03			4.35
Tax effect of exempt entities		(14.00	)		(7.85	)		(8.10	)
Effect of tax holiday		(4.05	)		(5.56	)		(5.70	)
Changes in valuation allowance		0.25			0.11			0.43
Effect of dividend withholding tax		2.27			1.58			0.66

Effective tax rate		14.04			15.31			16.64

Schedule of Increase in Income Tax Expenses and Decrease in Net Income Per Share


	For the years ended May 31,
	2016		2017		2018
	US$		US$		US$
Increase in income tax expenses		47,559		42,895		48,444
Decrease in net income per share - basic		0.30		0.27		0.31
Decrease in net income per share - diluted		0.30		0.27		0.31

Net Income Per Share (Tables)

12 Months Ended

May 31, 2018

Earnings Per Share [Abstract]

Computation of Basic and Diluted Net Income Per Share

The computation of basic and diluted net income per share for the years ended May 31, 2016, 2017 and 2018 is as follows:


	For the years ended May 31,
	2016		2017		2018
	US$		US$		US$
Numerator:
Net income attributable to New Oriental
Education & Technology Group Inc.’s shareholders		224,884		274,457		296,130

Net income available for future distribution		224,884		274,457		296,130

Denominator
Weighted average common shares outstanding Basic		156,782,439		157,551,320		158,168,794

Plus: incremental weighted average common shares from assumed exercise of share options and vesting of NES using the treasury stock method		609,247		435,074		387,706

Weighted average common shares outstanding Diluted		157,391,686		157,986,394		158,556,500

Net income per common share
- Basic		1.43		1.74		1.87
- Diluted		1.43		1.74		1.87

Related-Parties Transactions (Tables)

12 Months Ended

May 31, 2018

Balances and Transaction with Related Parties

The Group had the following balances and transactions with related parties:

(a) Balances:


					Amounts due from related parties, current As of May 31,				Amounts due to related parties, current As of May 31,
	Notes			Relationship	2017		2018		2017		2018
					US$		US$		US$		US$
Metropolis Holding China Limited (“Metropolis”)		(1	)	Company controlled by the Executive Chairman		1,895		787		—		—
MaxEn				Joint Venture		—		374		12		13
Beijing Haiwei Career Services Co., Ltd (“Haiwei Career”)		(2	)	Joint Venture		3,965		—		—		—
Others		(4	)			88		434		36		17

Total						5,948		1,595		48		30


					Amounts due from related parties, non-current As of May 31,
	Notes			Relationship	2017				2018
					US$				US$
Metropolis		(1	)	Company controlled by the Executive Chairman		1,064				2,226
MaxEn				Joint Venture		684				—

Total						1,748				2,226


(b) Transactions:

							Rental expenses For the years ended May 31,
							2016		2017		2018
							US$		US$		US$
Metropolis		(1	)	Company controlled by the Executive Chairman				7,139		6,790		7,899



				Loans provided to related parties For the years ended May 31,
				2016		2017		2018
				US$		US$		US$
Haiwei Career	(2	)	Joint Venture		1,520		3,965		—
Beijing Weixue Mingri Network Technology Co., Ltd. (“Weixue Mingri”)	(3	)	Joint Venture		998		1,733		—
Great Thanks Holdings Limited			Company established by the shareholder ofthe Joint Venture		—		1,450		—

Total					2,518		7,148		—


				Revenues For the years ended May 31,
				2016		2017		2018
				US$		US$		US$
MaxEn			Joint Venture		177		—		—
Beijing Tongban Education & Technology Co., Ltd (“Tongban”)			Long-term investee		3		12		—
STEMedu.cn			Long-term investee		11		60		66
Golden Finance			Long-term investee		—		18		26

Total					191		90		92


				Cost For the years ended May 31,
				2016		2017		2018
				US$		US$		US$
STEMedu.cn			Long-term investee		30		23		—

(1)

(2)	In October 2014, Haiwei Career formed a joint venture with the Group. As a result, Haiwei Career became a related party of the Group. In 2018, Haiwei Career was consolidated by the Group. All transaction and balances between the Group and Haiwei Career are eliminated since then.

(3)

(4)	As of May 31, 2018, the balance in “others” included the current receivables from long-term investees.

Parent Company [Member]

Balances and Transaction with Related Parties

The following represented the related party balances as of May 31, 2017 and 2018:


	As of May 31,
	2017		2018
	US$		US$
Amounts due from related parties:
Winner Park		12		12
Smart Shine		—		1,420
Abundant		40,000		—
Elite Concept		10,104		79,171
Koolearn Holdings Limited (a)		180		—
New Oriental China		6,669		—

		56,965		80,603

Amounts due to related parties:
Elite Concept		357		359
Abundant		81,798		82,487
Smart Shine		1,487		—
New Oriental China		—		6,234

		83,642		89,080

All related party balances were non-interest bearing and unsecured. The amounts due to related parties will be paid upon demand.

(a)

Koolearn Holdings Limited was a HK subsidiary of the Group which dissolved in the fiscal year of 2018.

Commitments and Contingencies (Tables)

12 Months Ended

May 31, 2018

Commitments and Contingencies Disclosure [Abstract]

Future Minimum Lease Payments under Non-Cancelable Operating Leases


	US$
Years ending May 31:
2019		296,575
2020		271,387
2021		225,424
2022		176,188
2023		123,444
Thereafter		164,444

Total		1,257,462

Future Minimum Capital Commitments under Non-Cancelable Construction and Investments

As of May 31, 2018, the future minimum capital commitments were as follows:


	US$
Capital commitment for the purchase of property and equipment		2,112
Capital commitment for leasehold improvements		29,875

		31,987

Non-controlling Interests (Tables)

12 Months Ended

May 31, 2018

Noncontrolling Interest [Abstract]

Summary of Changes in Non-controlling Interest


	Non-controlling interests
	US$
Balance as of June 1, 2015		3,496
Capital contribution from non-controlling interests		28,919
Repurchase shares from non-controlling interests		(3,497	)
Unrealized gain on available-for-sale investments		999
Foreign currency translation adjustment		(271	)
Net income attributed to non-controlling interests		444

Balance as of June 1, 2016		30,090

Capital contribution from non-controlling interests		3,924
Addition of non-controlling interests in connection with acquisition		3,909
Unrealized (loss) on available-for-sale investments		(23	)
Foreign currency translation adjustment		(1,109	)
Net income attributed to non-controlling interests		2,339

Balance as of May 31, 2017		39,130

Capital contribution from non-controlling interests		2,015
Repurchase shares from non-controlling interests		(28,652	)
Dividend declared		(231	)
Unrealized gain on available-for-sale investments		164
Foreign currency translation adjustment		2,949
Net income attributed to non-controlling interests		1,107

Balance as of May 31, 2018		16,482

Schedule of Effects of Changes in Ownership Interest on Equity

The effects of changes in the Company’s ownership interest on the Company’s equity is as follows:


	For the years ended May 31,
	2017			2018
	US$			US$
Net income attribute to New Oriental Education & Technology Group Inc.‘s shareholders		274,457			296,130
Increase in the Group’s additional paid-in capital resulting from capital injection of Beijing Fishpond Software Technology Co., Ltd. Fishpond and Huoerguosi Oriental Xinchuang Equity Investment Partnership (Limited Partnership)’s non-controlling interests		—			138
Increase in the Group’s additional paid-in capital resulting from capital injection of Dongfang Youbo’s non-controlling interests		138			—
Increase in the Group’s additional paid-in capital resulting from capital injection of Xuncheng’s non-controlling interests		4,733			(113,922	)
Decrease in the Group’s additional paid-in capital resulting from repurchase shares from Xuncheng’s non-controlling interests		(5,412	)		(63,721	)
Increase in the Group’s additional paid-in capital resulting from transferring Xuncheng’s common shares to non-controlling interests		5,704			—

Changes from net income attributable to New Oriental Education & Technology Group Inc.‘s shareholders and transfers from/to non-controlling interests		279,620			118,625

Segment Information (Tables)

12 Months Ended

May 31, 2018

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment

For the year ended May 31, 2016


	Language training and test preparation courses			Others			Consolidated
	US$			US$			US$
Net revenues		1,238,572			239,776			1,478,348

Operating cost and expenses:
Cost of revenues		(516,370	)		(97,994	)		(614,364	)
Selling and marketing		(125,815	)		(48,999	)		(174,814	)
General and administrative		(296,686	)		(68,495	)		(365,181	)
Unallocated corporate expenses		—			—			(128,912	)

Total operating cost and expenses		(938,871	)		(215,488	)		(1,283,271	)

Gain on disposal of a subsidiary		—			3,760			3,760
Operating income		299,701			28,048			198,837

Segment assets		1,120,580			490,300			1,610,880
Unallocated corporate assets		—			—			743,954

Total assets		1,120,580			490,300			2,354,834

For the year ended May 31, 2017


	Language training and test preparation courses			Others			Consolidated
	US$			US$			US$
Net revenues		1,510,497			289,012			1,799,509

Operating cost and expenses:
Cost of revenues		(623,364	)		(126,222	)		(749,586	)
Selling and marketing		(146,544	)		(61,919	)		(208,463	)
General and administrative		(363,949	)		(74,723	)		(438,672	)
Unallocated corporate expenses		—			—			(140,639	)

Total operating cost and expenses		(1,133,857	)		(262,864	)		(1,537,360	)

Operating income		376,640			26,148			262,149

Segment assets		1,361,261			606,955			1,968,216
Unallocated corporate assets		—			—			956,763

Total assets		1,361,261			606,955			2,924,979

For the year ended May 31, 2018


	Language training and test preparation courses			Others			Consolidated
	US$			US$			US$
Net revenues		2,022,978			424,452			2,447,430

Operating cost and expenses:
Cost of revenues		(869,012	)		(196,728	)		(1,065,740	)
Selling and marketing		(193,851	)		(99,549	)		(293,400	)
General and administrative		(504,985	)		(108,343	)		(613,328	)
Unallocated corporate expenses		—			—			(212,003	)

Total operating cost and expenses		(1,567,848	)		(404,620	)		(2,184,471	)

Operating income		455,130			19,832			262,959

Segment assets		1,898,504			844,691			2,743,195
Unallocated corporate assets		—			—			1,234,517

Total assets		1,898,504			844,691			3,977,712

Schedule I - Condensed Financial Information of Parent Company (Tables) - Parent Company [Member]

12 Months Ended

May 31, 2018

Condensed Financial Information of Parent Company - Balance Sheets

Condensed Financial Information of Parent Company

Balance Sheets

(All amounts in thousands, except for share and per share data, or otherwise noted)


	As of May 31,
	2017			2018
	US$			US$
ASSETS
Current assets
Cash and cash equivalents		11,472			5,537
Term deposits		10,000			—
Prepaid expenses and other current assets		210			7,358

Total current assets		21,682			12,895
Amounts due from related parties		56,965			80,603
Deferred tax assets		—			1,170
Long-term investments		120,260			228,471
Investments in its subsidiaries and the VIEs		1,569,358			1,758,551

Total assets		1,768,265			2,081,690

LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Accrued expenses and other current liabilities		3,675			1,021
Amounts due to related parties		83,642			89,080

Total current liabilities		87,317			90,101

Equity:
Common shares (US$0.01 par value; 300,000,000 shares authorized as of May 31, 2017 and 2018; 158,379,387 shares issued as of May 31, 2017 and 2018; 157,687,444 and 158,319,910 shares outstanding as of May 31, 2017 and 2018, respectively)		1,584			1,584
Treasury stock		(7	)		(1	)
Additional paid-in capital		249,126			129,059
Retained earnings		1,391,084			1,616,061
Accumulated other comprehensive income		39,161			244,886

Total shareholders’ equity		1,680,948			1,991,589

Total liabilities and equity		1,768,265			2,081,690

Condensed Financial Information of Parent Company - Statements of Operations

Condensed Financial Information of Parent Company

Statements of Operations

(All amounts in thousands, except for share and per share data, or otherwise noted)


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Operating expenses
General and administrative		16,732			18,236			14,435

Total operating expenses		16,732			18,236			14,435

Operating loss		(16,732	)		(18,236	)		(14,435	)
Interest income		1			122			16
Equity in earnings of its subsidiaries, the VIEs and the VIEs’ subsidiaries and schools		241,615			292,571			310,549

Net income		224,884			274,457			296,130

Condensed Financial Information of Parent Company - Statements of Comprehensive Income

Additional Information - Financial Statement Schedule I

Condensed Financial Information of Parent Company

Statements of Comprehensive Income

(All amounts in thousands, except for share and per share data, or otherwise noted)


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Net income		224,884			274,457			296,130

Other comprehensive income, net of tax
Foreign currency translation adjustment		(72,193	)		(46,331	)		76,344
Unrealized gain on available-for-sale investment, net of tax effect of nil, nil and US$(1,170) for the years ended May 31, 2016, 2017 and 2018, respectively		35,636			22,544			129,381

Other comprehensive (loss)/ income		(36,557	)		(23,787	)		205,725

Comprehensive income attributable to New Oriental Education & Technology Group Inc.’s shareholders		188,327			250,670			501,855

Condensed Financial Information of Parent Company - Statements of Changes in Equity

Additional Information - Financial Statement Schedule I

Condensed Financial Information of Parent Company

Statements of Changes in Equity

(All amounts in thousands, except for share and per share data, or otherwise noted)


	Common shares				Additional paid-in capital			Treasury stock			Accumulated other comprehensive income			Retained earnings			Total shareholders’ equity
	Unrestricted shares		Amount		Additional paid-in capital			Treasury stock			Accumulated other comprehensive income			Retained earnings			Total shareholders’ equity
	Unrestricted shares		US$		US$			US$			US$			US$			US$
Balance as of May 31, 2015		156,486,763		1,584		141,653			(19	)		99,505			977,625			1,220,348

Reissuance of treasury stock for the exercises of employee share options		240,304		—		2,428			3			—			—			2,431
Reissuance of treasury stock for non-vested equity shares		712,330		—		(7	)		7			—			—			—
Share-based compensation expenses		—		—		16,810			—			—			—			16,810
Dividend declared		—		—		—			—			—			(62,668	)		(62,668	)
Net income		—		—		—			—			—			224,884			224,884
Foreign currency translation adjustment		—		—		—			—			(72,193	)		—			(72,193	)
Unrealized gain on available-for-sale investments, net of tax effect of nil		—		—		—			—			35,636			—			35,636
Capital injection of non-controlling interests		—		—		39,579			—			—			—			39,579
Repurchase share from non-controlling interests		—		—		(255	)		—			—			—			(255	)
Equity restructure of a subsidiary		—		—		23,214			—			—			(23,214	)		—

Balance as of May 31, 2016		157,439,397		1,584		223,422			(9	)		62,948			1,116,627			1,404,572

Reissuance of treasury stock for the exercises of employee share options		48,047		—		256			—			—			—			256
Reissuance of treasury stock for non-vested equity shares		200,000		—		(2	)		2			—			—			—
Share-based compensation expenses		—		—		20,287			—			—			—			20,287
Net income		—		—		—			—			—			274,457			274,457
Foreign currency translation adjustment		—		—		—			—			(46,331	)		—			(46,331	)
Unrealized gain on available-for-sale investments, net of tax effect of nil		—		—		—			—			22,544			—			22,544
Capital injection of non-controlling interests and new non-controlling interests recognized in an acquisition		—		—		5,163			—			—			—			5,163

Balance as of May 31, 2017		157,687,444		1,584		249,126			(7	)		39,161			1,391,084			1,680,948

Reissuance of treasury stock for the exercises of employee share options		500		—		1			—			—			—			1
Reissuance of treasury stock for non-vested equity shares		631,966		—		(6	)		6			—			—			—
Share-based compensation expenses		—		—		57,443			—			—			—			57,443
Dividend declared		—		—		—			—			—			(71,153	)		(71,153	)
Net income		—		—		—			—			—			296,130			296,130
Foreign currency translation adjustment		—		—		—			—			76,344			—			76,344
Unrealized gain on available-for-sale investments, net of tax effect of US$(1,170)		—		—		—			—			129,381			—			129,381
Capital injection of non-controlling interests		—		—		(113,784	)		—			—			—			(113,784	)
Repurchase shares from Non-controlling interests		—		—		(63,721	)		—			—			—			(63,721	)

Balance as of May 31, 2018		158,319,910		1,584		129,059			(1	)		244,886			1,616,061			1,991,589

Condensed Financial Information of Parent Company - Statements of Cash Flows

Condensed Financial Information of Parent Company

Statements of Cash Flows

(All amounts in thousands, except for share and per share data, or otherwise noted)


	For the years ended May 31,
	2016			2017			2018
	US$			US$			US$
Cash flows from operating activities
Net income		224,884			274,457			296,130
Adjustments to reconcile net income to net cash provided by operating activities
Equity in earnings of its subsidiaries and the VIEs		(241,615	)		(292,571	)		(310,549	)
Dividend received from subsidiaries		49,984			43,417			38,471
Realized gain from long-term investments		—			—			(4,785	)
Share-based compensation expenses		16,810			20,287			57,443
Changes in operating assets and liabilities:
Prepaid expenses and other current assets		5,135			5,404			(7,148	)
Amounts due from related parties		—			—			(30,307	)
Accrued expenses and other current liabilities		(3,673	)		(2,341	)		(2,653	)
Amounts due to related parties		(1,446	)		(40,207	)		12,903

Net cash provided by operating activities		50,079			8,446			49,505

Cash flows from investing activities
Investments in term deposits		(10,000	)		—			10,000
Payment for available-for-sale investments		(9,500	)		(1,000	)		(2,766	)
Proceed from long-term investments		540			—			9,285
Loans to related parties		1,487			—			(1,487	)
Investments in a subsidiary		—			(8,500	)		(10	)
Repayment from related parties		8,512			—			—

Net cash (used in)/provided by investing activities		(8,961	)		(9,500	)		15,022

Cash flows from financing activities
Proceeds from issuance of common shares upon exercise of share options		2,176			542			1
Loan from a related party		8,610			—			690
Cash paid for dividend		(62,668	)		—			(71,153	)

Net cash (used in)/provided by financing activities		(51,882	)		542			(70,462	)

Net decrease in cash and cash equivalents		(10,764	)		(512	)		(5,935	)
Cash and cash equivalents, beginning of year		22,748			11,984			11,472

Cash and cash equivalents, end of year		11,984			11,472			5,537

Organization and Principal Activities - Additional Information (Detail) - Agreement	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Product Information [Line Items]
Renewal of trade mark registration	10 years
Exclusive service agreement renewal term	10 years
Notice period of agreement termination	30 days
Number of new equity pledged agreements	5
Century Friendship [Member] \| Previously Held Equity Interest [Member]
Product Information [Line Items]
Equity interest of Century Friendship prior to the transfer	53.00%
Minimum [Member]
Product Information [Line Items]
Operating services fee percentage from revenue	2.00%
Maximum [Member]
Product Information [Line Items]
Operating services fee percentage from revenue	6.00%
Variable interest entities (VIEs) [Member]
Product Information [Line Items]
Shareholding percentage of Mr. Yu	13.10%
Credit Concentration Risk [Member] \| Sales Revenue, Net [Member]
Product Information [Line Items]
Concentration risk percentage	98.80%	98.80%	97.70%
Credit Concentration Risk [Member] \| Assets, Total [Member]
Product Information [Line Items]
Concentration risk percentage	71.20%	71.10%
Credit Concentration Risk [Member] \| Liabilities, Total [Member]
Product Information [Line Items]
Concentration risk percentage	95.80%	94.60%

Organization and Principal Activities - Balances and Amounts of Company's WFOEs and VIEs (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Variable Interest Entities [Line Items]
Total current assets	$ 2,941,914	$ 2,326,262
Total assets	3,977,712	2,924,979	$ 2,354,834
Total current liabilities	1,750,884	1,202,681
Total liabilities	1,763,017	1,204,901
Net revenues	2,447,430	1,799,509	1,478,348
Net income	296,130	274,457	224,884
Net cash provided by operating activities	781,127	622,694	524,313
Net cash used in investing activities	(406,716)	(672,264)	(309,737)
Net cash provided by (used in) financing activities	(74,881)	4,792	(916)
Variable interest entities (VIEs) [Member]
Variable Interest Entities [Line Items]
Total current assets	2,081,374	1,590,750
Total non-current assets	750,316	488,709
Total assets	2,831,690	2,079,459
Total current liabilities	1,674,857	1,137,288
Total non-current liabilities	13,782	2,174
Total liabilities	1,688,639	1,139,462
Net revenues	2,417,203	1,777,864	1,443,851
Net income	479,190	333,456	313,828
Net cash provided by operating activities	711,591	454,753	457,267
Net cash used in investing activities	(429,265)	(459,532)	(286,235)
Net cash provided by (used in) financing activities	$ (96,429)	$ 4,250	$ 63,328

Significant Accounting Policies - Changes in Allowance for Doubtful Accounts (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017
Receivables [Abstract]
Beginning balance	$ 1,180	$ 1,210
Charge during the year	576	486
Written-off	(357)	(516)
Ending balance	$ 1,399	$ 1,180

Significant Accounting Policies - Estimated Useful Lives of Assets (Detail)	12 Months Ended
	May 31, 2018
Transportation equipment [Member]
Significant Of Accounting Policies [Line Items]
Estimated useful lives	10 years
Furniture and education equipment [Member]
Significant Of Accounting Policies [Line Items]
Estimated useful lives	5 years
Computer equipment and software [Member]
Significant Of Accounting Policies [Line Items]
Estimated useful lives	3 years
Leasehold Improvements [Member]
Significant Of Accounting Policies [Line Items]
Estimated useful lives	Shorter of the lease term or estimated useful life
Minimum [Member] \| Buildings [Member]
Significant Of Accounting Policies [Line Items]
Estimated useful lives	20 years
Maximum [Member] \| Buildings [Member]
Significant Of Accounting Policies [Line Items]
Estimated useful lives	50 years

Significant Accounting Policies - Additional Information (Detail) - USD ($)	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Significant Of Accounting Policies [Line Items]
Impairment loss on long-lived assets	$ 0	$ 0	$ 0
Impairment loss on goodwill	0	1,682,000	0
Impairment losses	$ 0	0	0
Percentage of ownership interest in voting stock considered to exist significant influence over investee company	50.00%
Impairment losses on Equity Method Investment	$ 0	0	0
Impairment losses on available-for-sale investments	$ 980,000	2,338,000	0
Decreased Vat rate	16.00%
Vat on sales	16.00%
Business tax		0	52,993,000
Total advertising expenses	$ 55,936,000	41,498,000	39,753,000
Government subsidies received	2,945,000	1,325,000	494,000
Aggregate amounts denominated in RMB	$ 989,070,000	762,895,000
Amortization term of long term debt	1 year
Withholding tax for employees	$ 7,241,000	$ 4,557,000	$ 6,419,000
Minimum [Member]
Significant Of Accounting Policies [Line Items]
Percentage of ownership interest in voting stock considered to exist significant influence over investee company	20.00%
Maximum [Member]
Significant Of Accounting Policies [Line Items]
Percentage of ownership interest in voting stock considered to exist significant influence over investee company	50.00%
Customer Concentration Risk [Member] \| Sales Revenue, Net [Member]
Significant Of Accounting Policies [Line Items]
Concentration risk	10.00%	10.00%	10.00%
Credit Concentration Risk [Member] \| Sales Revenue, Net [Member]
Significant Of Accounting Policies [Line Items]
Concentration risk	98.80%	98.80%	97.70%
Credit Concentration Risk [Member] \| Accounts Receivable [Member]
Significant Of Accounting Policies [Line Items]
Concentration risk	10.00%	10.00%	10.00%
Land use rights [Member] \| Minimum [Member]
Significant Of Accounting Policies [Line Items]
Estimated useful lives	38 years 6 months
Land use rights [Member] \| Maximum [Member]
Significant Of Accounting Policies [Line Items]
Estimated useful lives	50 years

Business Acquisitions - Additional Information (Detail) - USD ($) $ in Thousands		1 Months Ended	12 Months Ended
	Oct. 31, 2017	Mar. 31, 2015	May 31, 2018	May 31, 2017	Oct. 01, 2017	Dec. 01, 2016
Business Acquisition [Line Items]
Goodwill			$ 31,729	$ 14,083
Ainuo Shida [Member]
Business Acquisition [Line Items]
Business acquisition, date			Mar. 31, 2015
Cash consideration		$ 1,129
Business acquisition, equity interest		18.00%	51.00%			33.00%
Business acquisition, total consideration				$ 3,842
Gain recognized on investment			$ 723
Goodwill						$ 5,516
Deferred revenue						4,544
Non-controlling interests						$ 3,899
Hangzhou Shengshen [Member]
Business Acquisition [Line Items]
Business acquisition, date			Oct. 31, 2017
Business acquisition, equity interest	100.00%
Business acquisition, total consideration	$ 11,012		$ 5,309
Goodwill					$ 9,809
Deferred revenue					$ 5,566
Other Acquisitions [Member]
Business Acquisition [Line Items]
Cash consideration			5,902
Business acquisition, total consideration			6,992
Cash and cash equivalents			8,639
Intangible assets			2,294
Goodwill			6,383
Deferred revenue			15,215
Non-controlling interests			$ 1,683

Business Acquisitions - Purchase Price Allocation (Detail) - USD ($) $ in Thousands	Oct. 01, 2017	Dec. 01, 2016	May 31, 2018	May 31, 2017
Business Acquisition [Line Items]
Goodwill			$ 31,729	$ 14,083
Ainuo Shida [Member]
Business Acquisition [Line Items]
Cash		$ 2,499
Other current assets		4,874
Property and equipment		493
Goodwill		5,516
Deferred revenue		(4,544)
Other current liabilities		(1,496)
Deferred tax liabilities		(713)
Fair value of the 18% equity interest		(1,741)
Non-controlling interests		(3,899)
Total		$ 3,842
Ainuo Shida [Member] \| Property, Plant and Equipment [Member] \| Minimum [Member]
Business Acquisition [Line Items]
Amortization period		1 year
Ainuo Shida [Member] \| Property, Plant and Equipment [Member] \| Maximum [Member]
Business Acquisition [Line Items]
Amortization period		5 years
Ainuo Shida [Member] \| Trademark [Member]
Business Acquisition [Line Items]
Intangible assets		$ 1,708
Amortization period		10 years
Ainuo Shida [Member] \| Student base [Member]
Business Acquisition [Line Items]
Intangible assets		$ 1,069
Amortization period		1 year
Ainuo Shida [Member] \| Courseware [Member]
Business Acquisition [Line Items]
Intangible assets		$ 76
Amortization period		3 years
Hangzhou Shengshen [Member]
Business Acquisition [Line Items]
Cash	$ 3,571
Other current assets	704
Property and equipment	1,148
Goodwill	9,809
Deferred revenue	(5,566)
Other current liabilities	(1,562)
Deferred tax liabilities	(969)
Total	$ 11,012
Hangzhou Shengshen [Member] \| Property, Plant and Equipment [Member] \| Minimum [Member]
Business Acquisition [Line Items]
Amortization period	1 year
Hangzhou Shengshen [Member] \| Property, Plant and Equipment [Member] \| Maximum [Member]
Business Acquisition [Line Items]
Amortization period	5 years
Hangzhou Shengshen [Member] \| Trademark [Member]
Business Acquisition [Line Items]
Intangible assets	$ 1,713
Amortization period	5 years
Hangzhou Shengshen [Member] \| Student base [Member]
Business Acquisition [Line Items]
Intangible assets	$ 2,164
Amortization period	3 years

Business Acquisitions - Purchase Price Allocation (Parenthetical) (Detail)	May 31, 2018	Dec. 01, 2016	Mar. 31, 2015
Ainuo Shida [Member]
Business Acquisition [Line Items]
Business acquisition, equity interest	51.00%	33.00%	18.00%

Business Acquisitions - Pro forma Results of Operations (Detail) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017
Business Combinations [Abstract]
Pro forma net revenues	$ 2,451,735	$ 1,815,660
Pro forma net income attributable to New Oriental Education and Technology Group Inc.	$ 296,697	$ 275,685
Pro forma net income per share - basic	$ 1.88	$ 1.75
Pro forma net income per share - diluted	$ 1.87	$ 1.75

Disposal of Subsidiaries - Additional Information (Detail) - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
	Apr. 30, 2016	May 31, 2016	May 31, 2018
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on disposal of subsidiaries		$ 3,760
Equity ownership interest			50.00%
Beijing Dianshi jingwei Technology Co.,Ltd [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Percentage of equity interest sold	51.00%
Cash consideration	$ 2,325
Gain on disposal of subsidiaries		$ 3,760
Equity ownership interest			49.00%

Short-Term Investments - Summary of Short-Term Investments (Detail) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Short-term Investments [Abstract]
Held-to-maturity investments	$ 1,623,763	$ 1,312,942

Short-Term Investments - Additional Information (Detail) - USD ($)	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Short-term Investments [Abstract]
Held-to-maturity investments for OTTI recognized	$ 0	$ 0	$ 0

Inventory, Net - Components of Inventory (Detail) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Inventory Disclosure [Abstract]
Course materials in schools	$ 12,020	$ 7,419
Publications in bookstores	28,155	24,323
Inventory	$ 40,175	$ 31,742

Inventory, Net - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017
SEC Schedule, 12-09, Reserve, Inventory [Member]
Inventory Disclosure [Abstract]
Inventory provision reversal	$ 461	$ 152

Prepaid Expenses and Other Current Assets, Net - Components of Prepaid Expenses and Other Current Assets, Net (Detail) - USD ($)
$ in Thousands

May 31, 2018

May 31, 2017

Prepaid Expenses And Other Current Assets [Abstract]

Prepaid rent

$ 56,531

$ 44,746

Advances to suppliers

43,913

29,358

Interest receivable

23,647

14,005

Rental deposits

10,953

8,355

Staff advances

^[1]

9,544

2,514

Receivable from exercise of options/NES

7,300

Prepaid advertising fees

6,917

4,235

Receivable from third parties' platforms

5,967

3,211

VAT recoverable

3,493

2,305

Deposits of advertising and decoration

3,342

1,411

Prepaid property taxes and other taxes

212

947

Others

^[2]

11,190

8,905

Less: allowance for other receivables

(914)

(595)

Prepaid expenses and other current assets

$ 182,095

$ 119,397

[1]	Staff advances were provided to staff for traveling and related use which are expensed as incurred.
[2]	Others primarily included prepaid maintenance fees, other receivables and other miscellaneous prepayments.

Long -Term Investment Due Within One Year - Additional Information (Detail) - USD ($) $ in Thousands	1 Months Ended		12 Months Ended
	Oct. 31, 2017	Oct. 31, 2015	May 31, 2018	May 31, 2017	May 31, 2016
Long term investments			$ 433,333	$ 217,259
Realized gain from long-term investments			$ 7,366	7,086
Trust 556 [Member]
Long term investments		$ 15,654		16,743
Investment interest rate		8.50%
Unrealized holding gains (loss)				$ 1,089	$ 706
Redeemed the principal and interest	$ 18,475
Realized gain from long-term investments	$ 2,821

Property and Equipment, Net - Summary of Property and Equipment, Net (Detail) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 710,110	$ 503,999
Less: accumulated depreciation	(275,940)	(243,035)
Exchange differences	(15,499)	7,182
Construction in progress	30,921	14,654
Property and equipment, net	449,592	282,800
Buildings [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	156,324	141,477
Transportation equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	9,936	8,618
Furniture and education equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	128,670	88,671
Computer equipment and software [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	65,227	48,385
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 349,953	$ 216,848

Property and Equipment, Net - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 77,081	$ 53,864	$ 47,281

Land Use Rights, Net - Land Use Rights, Net (Detail) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Real Estate [Abstract]
Land use rights	$ 5,315	$ 5,003
Less: accumulated amortization	(1,417)	(1,307)
Exchange differences	(113)	(28)
Land use rights, net	$ 3,785	$ 3,668

Land Use Rights, Net - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Land Use Rights [Line Items]
Amortization expenses of land use rights	$ 110	$ 106	$ 112
Future amortization expense next twelve months	2,004
Future amortization expense year two	1,982
Future amortization expense year three	1,332
Future amortization expense year four	1,037
Future amortization expense year five	720
Future amortization expense thereafter	1,213
Land use rights [Member]
Land Use Rights [Line Items]
Future amortization expense next twelve months	110
Future amortization expense year two	110
Future amortization expense year three	110
Future amortization expense year four	110
Future amortization expense year five	110
Future amortization expense thereafter	$ 3,235

Intangible Assets, Net - Schedule of Intangible Assets, Net (Detail) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Intangible assets with indefinite lives:
Intangible assets with indefinite lives, Gross	$ 256	$ 241
Intangible assets with finite lives:
Intangible assets, gross	14,121	7,438
Less: accumulated amortization	(5,272)	(3,498)
Exchange differences	(305)	65
Intangible assets	8,544	4,005
Trademark [Member]
Intangible assets with finite lives:
Intangible assets with finite lives, Gross	5,575	2,976
Courseware [Member]
Intangible assets with finite lives:
Intangible assets with finite lives, Gross	129	122
Student base [Member]
Intangible assets with finite lives:
Intangible assets with finite lives, Gross	7,014	2,995
Favorable lease [Member]
Intangible assets with finite lives:
Intangible assets with finite lives, Gross	732	689
License [Member]
Intangible assets with finite lives:
Intangible assets with finite lives, Gross	$ 415	$ 415

Intangible Assets, Net - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization expenses	$ 1,839	$ 1,419	$ 1,122
Future amortization expense next twelve months	2,004
Future amortization expense year two	1,982
Future amortization expense year three	1,332
Future amortization expense year four	1,037
Future amortization expense year five	720
Future amortization expense thereafter	$ 1,213

Goodwill, Net - Schedule of Goodwill, Net (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Beginning balance	$ 15,765	$ 10,545
Acquisition	16,192	5,516
Exchange differences	1,454	(296)
Ending balance	33,411	15,765
Accumulated impairment	(1,682)	(1,682)
Goodwill, net	$ 31,729	$ 14,083

Goodwill, Net - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill impairment	$ 0	$ 1,682	$ 0

Long Term Investments - Schedule of Long Term Investments, Net (Detail) - USD ($)
$ in Thousands

12 Months Ended

May 31, 2018

May 31, 2017

May 31, 2016

Mar. 31, 2018

Feb. 28, 2018

Aug. 31, 2017

Apr. 30, 2017

May 31, 2015

Sep. 30, 2014

Jun. 30, 2014

Mar. 31, 2014

Mar. 05, 2012

Schedule of Equity Method Investments [Line Items]

Long term investments

$ 433,333

$ 217,259

Unrealized gain on available-for-sale investments

129,545

22,521

$ 36,635

Recognized impairment loss

980

2,338

Equity Method Investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[1]

9,131

11,537

Golden Finance [Member]

Schedule of Equity Method Investments [Line Items]

Unrealized holding gains (loss)

42,128

10,567

19,407

Golden Finance [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[2]

86,937

44,809

Alo7.com [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

$ 10,000

$ 300

$ 2,576

$ 1,000

Unrealized holding gains (loss)

(2,975)

(8,678)

1,704

Alo7.com [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[3]

14,395

17,370

Uhozz [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

$ 9,000

$ 460

Unrealized holding gains (loss)

(5,726)

4,838

4,254

Uhozz [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[4]

12,826

9,552

Shengzhouying [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

6,839

$ 759

Unrealized holding gains (loss)

836

Shengzhouying [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[5]

8,451

6,856

Asia Pacific [Member] | Cost-method Investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[6]

11,216

Sunlands [Member]

Schedule of Equity Method Investments [Line Items]

Unrealized holding gains (loss)

101,779

8,129

Sunlands [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[7]

134,423

32,644

Boxfish [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[8]

15,000

Kaisheng Culture [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

$ 7,342

Unrealized holding gains (loss)

3,921

Kaisheng Culture [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[9]

11,263

7,342

Tarena [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

$ 13,500

Unrealized holding gains (loss)

(7,040)

9,750

(1,005)

Tarena [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[10]

9,610

25,695

Yuxueyuan [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

$ 15,516

Yuxueyuan [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[11]

9,316

Shengtong [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[12]

9,261

10,711

Lele Global Ltd [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[13]

9,157

9,105

Special Assets Management Plan Guotai Yuanxin and New Oriental [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[14]

8,336

7,486

Other investments [Member]

Schedule of Equity Method Investments [Line Items]

Unrealized gain on available-for-sale investments

2,700

323

8,155

Recognized impairment loss

980

2,338

$ 0

Other investments [Member] | Cost-method Investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[15]

27,291

8,132

Other investments [Member] | Available for sale securities investments [Member]

Schedule of Equity Method Investments [Line Items]

Long term investments

^[16]

$ 56,720

$ 26,020

[1]	The Group holds 6.86% to 50% equity interests in nine third-party companies through investments in their common shares or in-substance common shares. Majority of the long-term investments are engaged in educational services. The Group accounts for these investment under the equity method because the Group has the ability to exercise significant influence but does not have control over the investees. The Group recognized impairment loss from equity method investments of US$4,425, US$3,289 and US$379 for the years ended May 31, 2016, 2017 and 2018, respectively.
[2]	In April and November 2015, the Group invested US$3,398 and US$11,437, respectively, in Golden Finance, a company focusing on training programs associated with finance and business management, for 19.5% equity interests. Unrealized gain of US$19,407, US$10,567 and US$42,128 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.
[3]	On March 5, 2012, the Group acquired a convertible promissory note from Alo7.com for US$1,000, which entitled the Group to automatically convert the note into equity security. On July 1, 2012, the Group converted the US$1,000 promissory note into convertible redeemable preferred shares and warrants issued by Alo7.com, for 3.4% equity interests in Alo7.com on an as-converted basis. In March, June and September 2014, the Group further invested US$2,576, US$300 and US$10,000 into Alo7.com. As of May 31, 2018, the Company had 17.2% equity interests in Alo7.com. Unrealized gain of US$1,704, losses of US$8,678 and US$2,975 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.
[4]	In May 2015, the Group invested US$460 in Uhozz, a company providing oversea rental agency services, for 10% equity interests. The equity interests acquired by the Group were classified as available-for-sale investment and measured at fair value. In March 2018, the Group further subscribed 15.18% equity interests with a cash consideration of US$9,000. New subscribed equity interests were still classified as available-for-sale investment and measured at fair value. Unrealized gains of US$4,254 and US$4,838 and loss of US$5,726 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.
[5]	In May 2016, the Group invested US$6,839 in Shenzhouying, a company engaging in providing remote video monitoring control, for 10% equity interests. In August 2017, the Group further invested US$759 to subscribe 139,094 series C+ convertible redeemable preferred shares. The investment was classified as available-for-sale investment as the Group determined that the investment was a debt security and measured the investment subsequently at fair value. Unrealized gains of nil, nil and US$836 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.
[6]	In April and November 2017, the Group paid US$3,205 and US$8,011, respectively, in Asia Pacific, a company engaging in pre-school education, for 35% equity interests. The fair value of Asia Pacific's equity interest was not readily determinable and the shares entitled to the Group were not in-substance common shares due to liquidation preference rights. Accordingly, the investment in Asia Pacific was accounted for as a cost method investment.
[7]	In January 2016, the Group invested US$12,310 in Sunlands, which focuses on online education specific to vocational qualification training, for subscribing the convertible bonds. In July 2016, the Group converted all of the convertible bonds into redeemable preferred shares of Sunlands for 4.9% equity interests. In the meantime, the Group invested an additional US$12,205 redeemable preferred shares for another 4.9% equity interest in Sunlands. Upon the additional investment, the Group holds 9.8% equity interest in Sundlands.
[8]	In April 2018, the Group paid US$15,000 in Boxfish, an online educational institution in China focusing on K-12 English training, for 6.52% equity interests. The equity interests acquired in Boxfish were classified as available-for-sale investment and measured at fair value. No fair value change was recognized for the year ended May 31, 2018.
[9]	In April 2017, the Group invested US$7,342 in Kaisheng Culture, a company engaging in providing educational services to students aging from 2 to 12, for 8.33% equity interests. The equity interests acquired in Kaisheng Culture were classified as available-for-sale investment and measured at fair value. Unrealized gain of nil and US$3,921 were reported in other comprehensive income for the years ended May 31, 2017 and 2018, respectively.
[10]	In March 2014, the Group invested US$13,500 in Tarena, a listed A-share company that provides IT professional education services in China, for 3% equity interests. Unrealized loss of US$1,005 and gain of US$9,750 were reported in other comprehensive income for the years ended May 31, 2016 and 2017, respectively. In July 2017, the Group sold 1% equity interest in Tarena to third parties and the realized gain of US$4,545 was recognized in investment income for the year ended May 31, 2018. Unrealized loss of US$11,585 was reported in other comprehensive income for the year ended May 31, 2018.
[11]	In February 2018, the Group invested US$15,516 in Yuxueyuan, a company engaging in providing professional childcare and medical services for children aging from 1 to 6, for 10% equity interests. The investment consists of two tranches. The first tranche was to obtain 8,490,642 series B-1 preferred shares at US$6,200 and the other tranche was to obtain 11,073,049 series C+ preferred shares at US$9,316. The investment in series B-1 preferred shares was classified as a cost method investment because the series B-1 preferred shares were not in-substance common shares due to its liquidation preference rights and the Group does not have significant influence in the investee. The investment in series C+ preferred shares was classified as available-for-sale investment as the Group determined that it was a debt security due to redemption and liquidation preference rights and measured the investment subsequently at fair value. No fair value change was recognized for the year ended May 31, 2018.
[12]	In April 2015, the Group acquired 18% equity interest in Beijing ROBOROBO Technology Co., Ltd. ("ROBOROBO") for a cash consideration of US$4,356, a company applying various robots build training course for kids with different ages. In February 2017, the Group disposed all of the ownership in ROBOROBO, totaling in exchange for 1.87% common shares issued by Shengtong, which is a listed A-share company in China. Realized gain of US$7,086 was recognized for the year ended May 31, 2017. The equity interests acquired in Shengtong were classified as available-for-sale investment and measured at fair value. Unrealized gain of US$423 and loss of US$1,450 were reported in other comprehensive income for the years ended May 31, 2017 and 2018, respectively.
[13]	In September 2015, the Group invested US$8,500 in Lele, a company providing online learning and tutoring services for students from kindergarten through 12th grade, to acquire 48,796,296 convertible redeemable preferred shares for 8.5% equity interests. The investment was classified as available-for-sale investment as the Group determined that the shares were debt securities due to the redemption option available to the investor and measured the investment subsequently at fair value. Unrealized gains of US$[xxx], US$605 and US$52 were reported in other comprehensive income for the years ended May 31, 2017 and 2018, respectively.
[14]	In August 2015, the Group invested US$7,315 in Assets Management Plan with a maturity of five years and owned 50% interests in the fund. The other 50% interests were invested by Mr. Yu and some other employees in the Group. The investment was classified as available-for-saleinvestment as the Group determined that the investment was a debt security and measured the investment subsequently at fair value. Unrealized gains of US$61, US$110 and US$850 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively.
[15]	As to the other investments, they represent several insignificant investments in third-party private companies classified as cost method investments as of May 31, 2017 and 2018. The Group accounts for these investments under the cost method as the Group has no ability to exercise significant influence over the investees or the equity interests in these investees were not readily determinable and not in-substance common shares.
[16]	The other available-for-sale represent several insignificant investments classified as available-for-sale investments as of May 31, 2017 and 2018. Unrealized gain of US$8,155, US$323 and US$2,700 were reported in other comprehensive income for the years ended May 31, 2016, 2017 and 2018, respectively. The Group recognized impairment loss from long term investments of nil, US$2,338 and US$980 for the years ended May 31, 2016, 2017 and 2018, respectively.

Long Term Investments - Schedule of Long Term Investments, Net (Parenthetical) (Detail)	1 Months Ended											12 Months Ended
	Apr. 30, 2018 USD ($) shares	Mar. 23, 2018 shares	Nov. 30, 2017 USD ($)	Jul. 31, 2017	Apr. 30, 2017 USD ($)	Feb. 28, 2017	Nov. 30, 2015 USD ($)	Sep. 30, 2015 USD ($) shares	Aug. 31, 2015 USD ($)	Apr. 30, 2015 USD ($)	Mar. 31, 2014 USD ($)	May 31, 2018 USD ($)	May 31, 2017 USD ($)	May 31, 2016 USD ($)	Mar. 31, 2018 USD ($)	Feb. 28, 2018 USD ($) shares	Dec. 31, 2017 USD ($)	Aug. 31, 2017 USD ($) shares	Jul. 31, 2016 USD ($)	Jan. 31, 2016 USD ($)	May 31, 2015 USD ($)	Sep. 30, 2014 USD ($)	Jun. 30, 2014 USD ($)	Jul. 01, 2012	Mar. 05, 2012 USD ($)
Schedule of Equity Method Investments [Line Items]
Loss from equity method investments												$ (379,000)	$ (3,289,000)	$ (4,425,000)
Long term investment												$ 433,333,000	217,259,000
Investment ownership interest												50.00%
Gain recognized on sale of equity interest												$ 7,366,000	7,086,000
Minimum [Member]
Schedule of Equity Method Investments [Line Items]
Investment ownership interest												20.00%
Maximum [Member]
Schedule of Equity Method Investments [Line Items]
Investment ownership interest												50.00%
Assets management plan
Schedule of Equity Method Investments [Line Items]
Long term investment									$ 7,315,000
Unrealized holding gains (loss)												$ 850,000	110,000	61,000
Maturity period of long term investment									5 years
Third Party Companies [Member]
Schedule of Equity Method Investments [Line Items]
Number of companies																	9
Third Party Companies [Member] \| Minimum [Member]
Schedule of Equity Method Investments [Line Items]
Equity ownership interest																	$ 0.0686
Third Party Companies [Member] \| Maximum [Member]
Schedule of Equity Method Investments [Line Items]
Equity ownership interest																	$ 0.50
Golden Finance [Member]
Schedule of Equity Method Investments [Line Items]
Investment ownership interest							19.50%
Unrealized holding gains (loss)												42,128,000	$ 10,567,000	19,407,000
Cash consideration							$ 11,437,000			$ 3,398,000
Alo7.com [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment											$ 2,576,000											$ 10,000,000	$ 300,000		$ 1,000,000
Investment ownership interest													14.30%
Unrealized holding gains (loss)												(2,975,000)	$ (8,678,000)	1,704,000
Noncontrolling interest, equity ownership percentage																								3.40%
Uhozz [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment															$ 9,000,000						$ 460,000
Investment ownership interest															15.18%						10.00%
Unrealized holding gains (loss)												(5,726,000)	4,838,000	4,254,000
Shengzhouying [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment														$ 6,839,000				$ 759,000
Investment ownership interest														10.00%
Unrealized holding gains (loss)												$ 836,000	0	$ 0
Shengzhouying [Member] \| Series C Plus Preferred Share [Member]
Schedule of Equity Method Investments [Line Items]
Investment ownership \| shares																		139,094
Asia Pacific [Member]
Schedule of Equity Method Investments [Line Items]
Investment in subscription agreement			$ 8,011,000		$ 3,205,000
Equity share in subscription agreement			35.00%		35.00%
Sunlands [Member]
Schedule of Equity Method Investments [Line Items]
Investment ownership interest												8.00%
Unrealized holding gains (loss)												$ 101,779,000	8,129,000	0
Sunlands [Member] \| Redeemable Preferred Shares [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment																			$ 12,205,000
Investment ownership interest												9.80%							4.90%
Sunlands [Member] \| Series A Preferred Stock [Member]
Schedule of Equity Method Investments [Line Items]
Equity ownership interest	$ 10,000,000
Long term investments, shares \| shares	34,783,000	529,426,000
Sunlands [Member] \| Convertible Bond [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment																				$ 12,310,000
Boxfish [Member]
Schedule of Equity Method Investments [Line Items]
Equity ownership interest	$ 15,000,000
Investment ownership interest	6.52%
Investments, Fair Value												$ 0
Kaisheng Culture [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment					$ 7,342,000
Investment ownership interest					8.33%
Unrealized holding gains (loss)												3,921,000	0
Tarena [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment											$ 13,500,000
Unrealized holding gains (loss)												(7,040,000)	9,750,000	$ (1,005,000)
Equity ownership interest classified as available for sale											3.00%
Equity interest sold				1.00%
Gain recognized on sale of equity interest												4,545,000
Yuxueyuan [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment																$ 15,516,000
Investment ownership interest																10.00%
Yuxueyuan [Member] \| Series C Plus Preferred Share [Member]
Schedule of Equity Method Investments [Line Items]
Equity ownership interest																$ 9,316,000
Investment ownership \| shares																11,073,049,000
Yuxueyuan [Member] \| Series B1 Preferred Stock [Member]
Schedule of Equity Method Investments [Line Items]
Equity ownership interest																$ 6,200,000
Investment ownership \| shares																8,490,642,000
Lele Global [Member] \| Series B One Redeemable Convertible Preferred Stock [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment								$ 8,500,000
Unrealized holding gains (loss)								$ 0				52,000	605,000
Equity ownership interest								8.50%
Convertible redeemable preferred shares acquired \| shares								48,796,296
ROBOROBO [Member]
Schedule of Equity Method Investments [Line Items]
Long term investment	$ 4,356,000
Investment ownership interest						18.00%
Unrealized holding gains (loss)												$ (1,450,000)	423,000
Gain recognized on sale of equity interest													$ 7,086,000
Shengtong [Member]
Schedule of Equity Method Investments [Line Items]
Business combination, consideration transferred, equity interests issued or issuable, percent						1.87%

Fair Value Measurement - Summary of Long-Term Investments Accounted for as Available-for-Sale Investments on a Recurring Basis (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017
Investment Securities Available For Sale [Abstract]
Beginning balance	$ 197,590	$ 163,804
Purchase	62,980	19,893
Disposal	(25,308)
Changes in fair value	129,545	22,521
Impairment amount	(138)	(2,876)
Foreign exchange difference	21,026	(5,752)
Ending balance	$ 385,695	$ 197,590

Fair Value Measurement - Additional Information (Detail) - USD ($)	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Fair Value Measurements [Line Items]
Amount transfer from level 1 to level 2	$ 0	$ 0
Amount transfer from level 2 to level 1	0	0
Impairment loss related to acquired intangible assets	0	0	$ 0
Available-for-Sale Investments [Member]
Fair Value Measurements [Line Items]
Transfer to level 3 fair value measurements		31,505,000
Transfer to level 1 fair value measurements	$ 32,644,000
Available-for-Sale Investments [Member] \| Redeemable Preferred Shares [Member]
Fair Value Measurements [Line Items]
Transfer to level 3 fair value measurements		$ 31,505,000

Fair Value Measurement - Reconciliation of The Fair Value Measurements of Assets And Liabilities Using Significant Unobservable Inputs (level 3) (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning balance	$ 197,590	$ 163,804
Initial recognition	62,980	19,893
Ending balance	385,695	197,590
Available-for-Sale Investments [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Beginning balance	123,029	69,873
Transfer to level 1 fair value measurements	(32,644)
Transfer from level 2 fair value measurements		31,505
Initial recognition	0	0
Unrealized gain	43,512	21,651
Ending balance	$ 133,897	$ 123,029

Accrued Expenses and Other Current Liabilities - Schedule of Accrued Expenses and Other Current Liabilities (Detail) - USD ($)
$ in Thousands

May 31, 2018

May 31, 2017

Other Liabilities Disclosure [Abstract]

Accrued payroll

$ 212,677

$ 163,621

Payable for purchase of property and equipment

45,590

21,445

Rent payable

18,210

7,532

Amounts reimbursable to employees

^[1]

16,157

11,022

VAT payable

12,125

9,516

Refundable fees received from students

^[2]

11,541

8,687

Welfare payable

9,187

6,102

Accrued advertising fees

8,548

7,798

Refundable deposits

^[3]

7,290

5,382

Payable for investments and acquisitions

5,420

Royalty fees payable

^[4]

4,410

4,011

Other taxes payable

2,945

1,604

Accrued professional service fees

1,134

1,486

Others

^[5]

18,303

12,494

Total

$ 373,537

$ 260,700

[1]	Amounts reimbursable to employees include traveling and the related expenses.
[2]	Refundable fees received from students represent (1) the miscellaneous expenses other than tuition fees received from students which will be paid out on behalf of students; and (2) tuition fees refundable to students for classes withdrawn.
[3]	Refundable deposits represent student deposits for dormitory or other fees that will be refunded upon graduation and student security deposits refunded upon completion of the study tour.
[4]	Royalty fees payable relate to payments to content providers for on-line learning programs and those to counterparties for copyrights and resource sharing.
[5]	Others primarily include transportation expenses, utility fees, property management fees and other miscellaneous expenses payable.

Redeemable Non-Controlling Interestes - Additional Information (Detail) $ in Thousands	12 Months Ended
	May 31, 2018 USD ($)	May 17, 2018 shares	Apr. 24, 2018 USD ($) shares
Redeemable Noncontrolling Interest [Line Items]
Redeemable non-controlling interests \| $	$ 206,624
Koolearn Holding [Member]
Redeemable Noncontrolling Interest [Line Items]
Equity method investment, ownership percentage	68.00%
Convertible Redeemable Participating Preferred Stock [Member]
Redeemable Noncontrolling Interest [Line Items]
Convertible preferred stock, shares issued upon conversion	1
Convertible Redeemable Participating Preferred Stock [Member] \| Koolearn Holding [Member]
Redeemable Noncontrolling Interest [Line Items]
Preferred stock, voting rights	One
Convertible Redeemable Participating Preferred Stock [Member] \| Series B Preferred Stock [Member] \| Koolearn Holding [Member]
Redeemable Noncontrolling Interest [Line Items]
Shares issued,shares \| shares			64,396,251
Shares issued,consideration \| $			$ 92,699
Liquidation preference, description	Before any distribution or payment shall be made to the holders of any ordinary shares, Series A shareholders, the Series B shareholders shall be entitled to receive for each outstanding Series B shares held, the higher of the following: (i) an amount equal to 100% of the Series B issue price, together with a 10% annual compound interest accrued thereon (calculated from the Series B issuance date to the date of the liquidation), plus all declared but unpaid dividends; or (ii) the pro rata share of the Liquidation Proceeds of the Series B Preferred Shareholders calculated on an as-converted basis.
Convertible Redeemable Participating Preferred Stock [Member] \| Series A Preferred Stock [Member] \| Koolearn Holding [Member]
Redeemable Noncontrolling Interest [Line Items]
Shares issued,shares \| shares		90,416,181
Liquidation preference, description	Before any distribution or payment shall be made to the holders of any ordinary shares, each Series A shareholder shall be entitled to receive the higher of the following; (i) an amount equal to 120% of the Series A issue price, plus all declared but unpaid dividends; or (ii) the pro rata share of the Liquidation Proceeds of the Series A shareholders calculated on an as-converted basis.

Share-Based Compensation - Additional Information (Detail) - USD ($)			12 Months Ended				72 Months Ended
	Jan. 31, 2016	Jan. 20, 2006	May 31, 2018	May 31, 2017	May 31, 2016	May 31, 2015	May 31, 2018	Jan. 01, 2008	Jan. 01, 2007
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options to purchase shares		8,000,000
Incremental common shares for grant								5,000,000	5,000,000
Common shares to add on the first business day from 2009						3,000,000
Minimum percentage of shares to be added from 2009						2.00%
Value of options exercised			$ 38,000	$ 2,133,000	$ 4,802,000
Unrecognized compensation expense			$ 0				$ 0
Cumulative number of shares repurchased from open market							5,246,349
Treasury shares for future issuance			59,477				59,477
Minimum percentage for exercise price of option			100.00%				100.00%
Number of canceled outstanding share options				23,938
Outstanding share options granted Date			Mar. 05, 2007
Common shares issued to employees upon the vesting of their shares			4,714,490				4,714,490
Reissuance of treasury stock for Non-vested equity shares vested			2,929,780
Common shares transferred to be issued to employees and non employees upon the exercise of their vested share options and vesting of non-vesting equity shares			5,246,349
Weighted-average grant date fair value, Granted			$ 82.75	$ 47.19	$ 22.66
Total fair value of shares vested			$ 24,167,000	$ 3,783,000	$ 15,235,000
Share-based compensation expense			$ 57,443,000	$ 20,287,000	$ 16,810,000
Non-Vested Equity Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share transfer			17,000,000				17,000,000
Total unrecognized compensation cost related to NES			$ 65,719,000				$ 65,719,000
Weighted-average period of recognition			1 year 6 months 25 days
2006 Share Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Additional shares granted		15,826,000
Additional shares granted, forfeited shares		2,277,546
NES granted		8,608,671
Maximum period of authorized leave of absence after which vesting shall be suspended			The vesting will be suspended if the grantee's leave of absence exceeds 90 days and will resume upon the grantee's return to service to us.
Maximum period of authorized leave of absence after which vesting shall be suspended			90 days
Number of share options, Forfeited				23,938
2016 Share Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common shares authorized (including options) granted to employees and directors	10,000,000
Share Incentive Plan, expiration period	10 years
2016 Share Incentive Plan [Member] \| Non-Vested Equity Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of share options, Granted	1,921,646		1,485,630	436,016
Number of share options, Forfeited			47,006	4,050

Share-Based Compensation - Summary of Share Options Granted (Detail) - Stock Option [Member]	12 Months Ended
	May 31, 2018 $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share options and non-vested equity shares granted to date \| shares	15,826,000
February 2006 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share options and non-vested equity shares granted to date \| shares	7,099,500
Fair value of common shares	$ 1.00
Exercise price	$ 2.02
July 2006 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share options and non-vested equity shares granted to date \| shares	1,620,000
Fair value of common shares	$ 1.15
Exercise price	$ 2.38
September 2006 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share options and non-vested equity shares granted to date \| shares	100,000
Fair value of common shares	$ 2.38
Exercise price	$ 3.75
March 2007 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share options and non-vested equity shares granted to date \| shares	3,946,500
Fair value of common shares	$ 4.09
Exercise price	$ 8.75
January 2012 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share options and non-vested equity shares granted to date \| shares	3,060,000
Fair value of common shares	$ 10.33
Exercise price	$ 12.19

Share-Based Compensation - Summary of Share Options Activity under 2006 Share Incentive Plan (Detail) - 2006 Share Incentive Plan [Member] - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016	May 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of share options outstanding, Beginning balance	6,352	78,337	318,641
Number of share options, Exercised	(500)	(48,047)	(240,304)
Number of share options, Canceled		(23,938)
Number of share options outstanding, Ending balance	5,852	6,352	78,337	318,641
Weighted average exercise prices, Options outstanding, Beginning balance	$ 2.02	$ 6.13	$ 5.30
Number of share options exercisable at May 31, 2018	5,852
Weighted average exercise prices, Exercised	$ 2.02	5.37	5.03
Weighted average exercise prices, Canceled		8.75
Weighted average exercise prices, Options outstanding, Ending balance	2.02	$ 2.02	$ 6.13	$ 5.30
Weighted average exercise prices, Options exercisable at May 31, 2018	$ 2.02
Remaining contractual life, Options outstanding	6 months 25 days	1 year 6 months 29 days	6 months 29 days	1 year 11 months 1 day
Remaining contractual life, Options exercisable	6 months 25 days
Aggregate intrinsic value, Options outstanding	$ 475	$ 442	$ 2,829	$ 5,903
Aggregate intrinsic value, Options exercisable at May 31, 2018	$ 475

Share-Based Compensation - Summary of NES Activities under 2006 and 2016 Share Incentive Plan (Detail) - $ / shares	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Accumulated Other Comprehensive Income (Loss) [Line Items]
Weighted-average grant date fair value, Granted	$ 82.75	$ 47.19	$ 22.66
2006 and 2016 Share Incentive Plan [Member]
Accumulated Other Comprehensive Income (Loss) [Line Items]
Number of NES, Beginning balance	631,966	400,000	606,400
Number of NES, Granted	1,485,630	436,016	546,330
Number of NES, Vested	(631,966)	(200,000)	(712,330)
Number of NES, Forfeited	(47,006)	(4,050)	(40,400)
Number of NES, Ending balance	1,438,624	631,966	400,000
Weighted-average grant date fair value, Beginning balance	$ 38.24	$ 18.91	$ 18.55
Number of NES, vested and expect to vest at May 31, 2018	1,438,624
Weighted-average grant date fair value, Granted	$ 82.75	47.19	22.66
Weighted-average grant date fair value, Vested	38.24	18.91	21.39
Weighted-average grant date fair value, Forfeited	82.75	47.19	20.61
Weighted-average grant date fair value, Ending balance	82.75	38.24	18.91
Weighted-average grant date intrinsic value, Beginning balance	38.24	18.91	18.55
Weighted-average grant date intrinsic value, Granted	82.75	47.19	22.66
Weighted-average grant date intrinsic value, Vested	38.24	18.91	21.39
Weighted-average grant date intrinsic value, Forfeited	82.75	47.19	20.61
Weighted-average grant date intrinsic value, Ending balance	$ 82.75	$ 38.24	$ 18.91

Income Taxes - Additional Information (Detail)		5 Months Ended	7 Months Ended	12 Months Ended
Income Taxes - Additional Information (Detail)	Jul. 19, 2015 USD ($)	May 31, 2018 USD ($)	Dec. 31, 2017	May 31, 2018 USD ($)	May 31, 2018 CNY (¥)	May 31, 2017 USD ($)	May 31, 2016 USD ($)
Income Taxes [Line Items]
State income tax rate				21.00%	21.00%
Effective income tax rate		21.00%	35.00%	25.00%	25.00%	25.00%	25.00%
Income tax rate				16.64%	16.64%	15.31%	14.04%
Cash paid for dividend	$ 62,668			$ 71,153,000			$ 62,668,000
Valuation allowance		$ 5,506,000		5,506,000		$ 3,981,000
Net operating loss				54,949,000
Withholding tax, dividends paid by PRC schools and subsidiaries to their foreign investors							10.00%
Aggregate undistributed earnings available for distribution		1,819,317,000		1,819,317,000		1,457,705,000
Unrecognized tax benefits		$ 0		$ 0		0	$ 0
UNITED KINGDOM
Income Taxes [Line Items]
Income tax rate				20.00%	20.00%
AUSTRALIA
Income Taxes [Line Items]
Income tax rate				27.50%	27.50%
Wholly owned subsidiaries [Member]
Income Taxes [Line Items]
Cash paid for dividend				$ 69,567,000		0	75,898,000
Withholding tax paid for the dividend				$ 6,957,000		$ 0	$ 7,590,000
Beijing Pioneer Technology Company Limited [Member]
Income Taxes [Line Items]
Income tax rate				15.00%	15.00%
Preferential tax rate				15.00%	15.00%	15.00%	15.00%
Minimum [Member]
Income Taxes [Line Items]
Underpayment of tax liability				$ 16,000	¥ 100,000
Beijing Hewstone, Shanghai Smart Words and Beijing Decision [Member]
Income Taxes [Line Items]
Withholding tax paid for the dividend							$ 7,590,000
Beijing Hewstone, Shanghai Smart Words, Beijing Smart Wood and Beijing Pioneer [Member]
Income Taxes [Line Items]
Withholding tax paid for the dividend				$ 6,957,000
High and new tech enterprise (HNTE) [Member]
Income Taxes [Line Items]
Income tax rate				15.00%	15.00%	15.00%	15.00%
Preferential tax rate							15.00%
Newly established software enterprise (NESE) [Member]
Income Taxes [Line Items]
Preferential tax rate				12.50%	12.50%
Tax holiday year				2 years	2 years
Income tax holiday, description				Enterprises that qualify as the "newly established software enterprise" ("NESE") are exempt from Enterprise Income Tax ("EIT") for two years beginning the enterprise's first profitable year followed by a tax rate of 12.5% for the succeeding three years.	Enterprises that qualify as the "newly established software enterprise" ("NESE") are exempt from Enterprise Income Tax ("EIT") for two years beginning the enterprise's first profitable year followed by a tax rate of 12.5% for the succeeding three years.
Peoples Republic Of China Entities [Member]
Income Taxes [Line Items]
Income tax rate				25.00%	25.00%
Variable interest entities (VIEs) [Member]
Income Taxes [Line Items]
Income tax rate				25.00%	25.00%
Hong Kong [Member]
Income Taxes [Line Items]
Income tax rate				16.50%	16.50%
Earliest Tax Year [Member]
Income Taxes [Line Items]
Net operating loss expiration dates				May 31, 2019	May 31, 2019
Latest Tax Year [Member]
Income Taxes [Line Items]
Net operating loss expiration dates				May 31, 2024	May 31, 2024

Income Taxes - Components of Provision for Income Taxes (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Current:
PRC	$ 72,785	$ 51,142	$ 39,467
Deferred:
PRC	(13,377)	(518)	(1,936)
Total provision for income taxes	$ 59,408	$ 50,624	$ 37,531

Income Taxes - Components of Group's Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Deferred tax assets
Allowance doubtful accounts	$ 1,965	$ 2,017
Accrued expenses	32,253	22,126
Net operating loss carry-forward	14,611	8,696
Total deferred tax assets	48,829	32,839
Less: valuation allowance	(5,506)	(3,981)
Net, deferred tax assets	43,323	28,858
Deferred tax liabilities
Acquired of intangible assets and tax impact from the unrealized gain on available-for-sale investments	12,133	2,220
Total deferred tax liabilities	$ 12,133	$ 2,220

Income Taxes - Reconciliation of Effective Tax Rates from 25% Statutory Tax Rates (Detail)	5 Months Ended	7 Months Ended	12 Months Ended
	May 31, 2018	Dec. 31, 2017	May 31, 2018	May 31, 2017	May 31, 2016
Income Tax Disclosure [Abstract]
Statutory tax rate	21.00%	35.00%	25.00%	25.00%	25.00%
Effect of not deductible expenses for tax purposes			4.35%	2.03%	4.57%
Tax effect of exempt entities			(8.10%)	(7.85%)	(14.00%)
Effect of tax holiday			(5.70%)	(5.56%)	(4.05%)
Changes in valuation allowance			0.43%	0.11%	0.25%
Effect of dividend withholding tax			0.66%	1.58%	2.27%
Effective tax rate			16.64%	15.31%	14.04%

Income Taxes - Schedule of Increase in Income Tax Expenses and Decrease in Net Income Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Income Tax Disclosure [Abstract]
Increase in income tax expenses	$ 48,444	$ 42,895	$ 47,559
Decrease in net income per share - basic	$ 0.31	$ 0.27	$ 0.30
Decrease in net income per share - diluted	$ 0.31	$ 0.27	$ 0.30

Net Income Per Share - Computation of Basic and Diluted Net Income Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Numerator:
Net income attributable to New Oriental Education & Technology Group Inc.'s shareholders	$ 296,130	$ 274,457	$ 224,884
Net income available for future distribution	$ 296,130	$ 274,457	$ 224,884
Denominator
Weighted average common shares outstanding Basic	158,168,794	157,551,320	156,782,439
Plus: incremental weighted average common shares from assumed exercise of share options and vesting of NES using the treasury stock method	387,706	435,074	609,247
Weighted average common shares outstanding Diluted	158,556,500	157,986,394	157,391,686
Net income per common share
- Basic	$ 1.87	$ 1.74	$ 1.43
- Diluted	$ 1.87	$ 1.74	$ 1.43

Net Income Per Share - Additional Information (Detail) - shares	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Earnings Per Share [Abstract]
Weighted average treasury shares excluded in computing basic net income per share	210,593	828,067	1,596,948
Employee share options excluded from the dilutive share calculation	0	0	0

Related-Parties Transactions - Balances and Transaction with Related Parties (Detail) - USD ($)
$ in Thousands

12 Months Ended

May 31, 2018

May 31, 2017

May 31, 2016

Amounts due from related parties - current

$ 1,595

$ 5,948

Amounts due to related parties - current

Amounts due from related parties - non current

2,226

1,748

Revenue

$ 191

Non-Interest Bearing Loan [Member]

Amounts due from related parties - current

7,148

2,518

Metropolis Holding China Limited [Member] | Executive Chairman [Member]

Amounts due from related parties - current

^[1]

787

1,895

Amounts due from related parties - non current

^[1]

2,226

1,064

Rental expense

^[1]

7,899

6,790

7,139

MaxEn [Member] | Joint Venture [Member]

Amounts due from related parties - current

374

Amounts due to related parties - current

Amounts due from related parties - non current

684

Revenue

177

Haiwei Career [Member] | Joint Venture [Member]

Amounts due from related parties - current

^[2]

3,965

Haiwei Career [Member] | Joint Venture [Member] | Non-Interest Bearing Loan [Member]

Amounts due from related parties - current

^[2]

3,965

1,520

Others [Member]

Amounts due from related parties - current

^[3]

434

Amounts due to related parties - current

^[3]

Weixue Mingri [Member] | Joint Venture [Member] | Non-Interest Bearing Loan [Member]

Amounts due from related parties - current

^[4]

1,733

998

Great Thanks Holdings Limited [Member] | Joint Venture [Member] | Non-Interest Bearing Loan [Member]

Amounts due from related parties - current

1,450

Beijing Tongban Education & Technology Co. Ltd. [Member] | Long-term investee [Member]

Revenue

STEMedu.cn [Member] | Long-term investee [Member]

Revenue

Cost

$ 30

Golden Finance [Member] | Long-term investee [Member]

Revenue

$ 26

$ 18

[1]	Since April 2010, the Group began renting a large portion of a building owned by Metropolis for office space. In March 2012, Metropolis was acquired by a company wholly -owned by Mr. Yu, the Group's executive chairman. As a result, Metropolis became a related party of the Group thereafter. As of May 31, 2018, the current and non-current amounts due from Metropolis were US$787 and US$2,226, respectively, which represented prepaid rent and deposit for the building. The amount of the rental payments was determined based on the prevailing market rates and was duly approved by the Board.
[2]	In October 2014, Haiwei Career formed a joint venture with the Group. As a result, Haiwei Career became a related party of the Group. In 2018, Haiwei Career was consolidated by the Group. All transaction and balances between the Group and Haiwei Career are eliminated since then.
[3]	As of May 31, 2018, the balance in "others" included the current receivables from long-term investees.
[4]	The amount due from Weixue Mingri in 2017 represented the non-interest bearing loans provided by the Group to support its daily operation and the outstanding loans were fully written off by the Group in fiscal year 2017. Weixue Mingri was a long-term investment under equity method and carrying amount of such investment was nil.

Related-Parties Transactions - Balances and Transaction with Related Parties (Parenthetical) (Detail) - USD ($)
$ in Thousands

May 31, 2018

May 31, 2017

Amounts due from related parties, current

$ 1,595

$ 5,948

Amounts due from related parties, non-current

2,226

1,748

Metropolis Holding China Limited [Member] | Executive Chairman [Member]

Amounts due from related parties, current

^[1]

787

1,895

Amounts due from related parties, non-current

^[1]

2,226

$ 1,064

Weixue Mingri [Member]

Long-term investment under equity method and carrying amount

$ 0

[1]

Since April 2010, the Group began renting a large portion of a building owned by Metropolis for office space. In March 2012, Metropolis was acquired by a company wholly -owned by Mr. Yu, the Group's executive chairman. As a result, Metropolis became a related party of the Group thereafter. As of May 31, 2018, the current and non-current amounts due from Metropolis were US$787 and US$2,226, respectively, which represented prepaid rent and deposit for the building. The amount of the rental payments was determined based on the prevailing market rates and was duly approved by the Board.

Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Operating Leased Assets [Line Items]
Rent expenses for cancelable and non-cancelable leases	$ 320,877	$ 199,329	$ 173,797
Maximum [Member]
Operating Leased Assets [Line Items]
Lease term	10 years

Commitments and Contingencies - Future Minimum Lease Payments under Non-Cancelable Operating Leases (Detail) $ in Thousands	May 31, 2018 USD ($)
Commitments and Contingencies Disclosure [Abstract]
2019	$ 296,575
2020	271,387
2021	225,424
2022	176,188
2023	123,444
Thereafter	164,444
Operating Leases, Future Minimum Payments Due, Total	$ 1,257,462

Commitments and Contingencies - Future Minimum Capital Commitments under Non-Cancelable Construction and Investments (Detail) $ in Thousands	May 31, 2018 USD ($)
Capital Lease Obligations [Line Items]
Capital commitment	$ 31,987
Purchase of Property and Equipment [Member]
Capital Lease Obligations [Line Items]
Capital commitment	2,112
Leasehold Improvements [Member]
Capital Lease Obligations [Line Items]
Capital commitment	$ 29,875

Non-controlling Interests - Summary of Changes in Non-controlling Interest (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Noncontrolling Interest [Abstract]
Beginning balance	$ 39,130	$ 30,090	$ 3,496
Capital contribution from non-controlling interests	2,015	3,924	28,919
Repurchase shares from non-controlling interests	(28,652)		(3,497)
Addition of non-controllinginterests in connection with acquisition		3,909
Dividend declared	(231)
Unrealized gain (loss) on available-for-sale investments	164	(23)	999
Foreign currency translation adjustment	2,949	(1,109)	(271)
Net income attributed to non-controlling interests	1,107	2,339	444
Ending balance	$ 16,482	$ 39,130	$ 30,090

Non-controlling Interests - Schedule of Effects of Changes in Ownership Interest on Equity (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Noncontrolling Interest [Line Items]
Net income attribute to New Oriental Education & Technology Group Inc.'s shareholders	$ 296,130	$ 274,457	$ 224,884
Increase in the Group's additional paid-in capital resulting from capital injection of Beijing Fishpond Software Technology Co., Ltd. Fishpond and Huoerguosi Oriental Xinchuang Equity Investment Partnership (Limited Partnership)'s non-controlling interests	(111,769)		68,498
Increase in the Group's additional paid-in capital resulting from capital injection of non-controlling interests shareholders	2,015	3,924	28,919
Repurchase share from non-controlling interests	(92,373)		(3,752)
Parent Company [Member]
Noncontrolling Interest [Line Items]
Net income attribute to New Oriental Education & Technology Group Inc.'s shareholders	296,130	274,457	224,884
Increase in the Group's additional paid-in capital resulting from capital injection of Beijing Fishpond Software Technology Co., Ltd. Fishpond and Huoerguosi Oriental Xinchuang Equity Investment Partnership (Limited Partnership)'s non-controlling interests	(113,784)		39,579
Repurchase share from non-controlling interests	(63,721)		$ (255)
Changes from net income attributable to New Oriental Education & Technology Group Inc.'s shareholders and transfers from/to non-controlling interests	118,625	279,620
Beijing Fishpond Software Technology Company Limited and Huoerguosi Oriental Xinchuang Equity Investment Partnership [Member] \| Parent Company [Member]
Noncontrolling Interest [Line Items]
Increase in the Group's additional paid-in capital resulting from capital injection of Beijing Fishpond Software Technology Co., Ltd. Fishpond and Huoerguosi Oriental Xinchuang Equity Investment Partnership (Limited Partnership)'s non-controlling interests	138
Beijing Dongfang Youbo Network Technology Co., Ltd. [Member] \| Parent Company [Member]
Noncontrolling Interest [Line Items]
Increase in the Group's additional paid-in capital resulting from capital injection of Beijing Fishpond Software Technology Co., Ltd. Fishpond and Huoerguosi Oriental Xinchuang Equity Investment Partnership (Limited Partnership)'s non-controlling interests		138
Beijing New Oriental Xuncheng Network Technology Company Limited [Member] \| Parent Company [Member]
Noncontrolling Interest [Line Items]
Increase in the Group's additional paid-in capital resulting from capital injection of non-controlling interests shareholders	(113,922)	4,733
Repurchase share from non-controlling interests	$ (63,721)	(5,412)
Increase in the Group's additional paid-in capital resulting from transferring common shares to non-controlling interests		$ 5,704

Segment Information - Additional Information (Detail) - Segment	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Segment Reporting Information [Line Items]
Number of operating segments	7	7	7
Sales Revenue, Segment [Member] \| Product Concentration Risk [Member]
Segment Reporting Information [Line Items]
Quantitative threshold	10.00%

Segment Information - Schedule of Segment Reporting Information, by Segment (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Segment Reporting Information [Line Items]
Net revenues	$ 2,447,430	$ 1,799,509	$ 1,478,348
Operating cost and expenses:
Cost of revenues	(1,065,740)	(749,586)	(614,364)
Selling and marketing	(324,249)	(232,826)	(197,897)
General and administrative	(794,482)	(554,948)	(471,010)
Total operating cost and expenses	(2,184,471)	(1,537,360)	(1,283,271)
Gain on disposal of a subsidiary			3,760
Operating income	262,959	262,149	198,837
Total assets	3,977,712	2,924,979	2,354,834
Operating Segments [Member]
Segment Reporting Information [Line Items]
Net revenues	2,447,430	1,799,509	1,478,348
Operating cost and expenses:
Cost of revenues	(1,065,740)	(749,586)	(614,364)
Selling and marketing	(293,400)	(208,463)	(174,814)
General and administrative	(613,328)	(438,672)	(365,181)
Total operating cost and expenses	(2,184,471)	(1,537,360)	(1,283,271)
Gain on disposal of a subsidiary			3,760
Operating income	262,959	262,149	198,837
Total assets	2,743,195	1,968,216	1,610,880
Corporate, Non-Segment [Member]
Operating cost and expenses:
Total operating cost and expenses	(212,003)	(140,639)	(128,912)
Total assets	1,234,517	956,763	743,954
Language Training and Test Preparation Course [Member]
Operating cost and expenses:
Total assets	1,898,504	1,361,261	1,120,580
Language Training and Test Preparation Course [Member] \| Operating Segments [Member]
Segment Reporting Information [Line Items]
Net revenues	2,022,978	1,510,497	1,238,572
Operating cost and expenses:
Cost of revenues	(869,012)	(623,364)	(516,370)
Selling and marketing	(193,851)	(146,544)	(125,815)
General and administrative	(504,985)	(363,949)	(296,686)
Total operating cost and expenses	(1,567,848)	(1,133,857)	(938,871)
Operating income	455,130	376,640	299,701
Total assets	1,898,504	1,361,261	1,120,580
Others [Member]
Operating cost and expenses:
Total assets	84,491	606,955	490,300
Others [Member] \| Operating Segments [Member]
Segment Reporting Information [Line Items]
Net revenues	424,452	289,012	239,776
Operating cost and expenses:
Cost of revenues	(196,728)	(126,222)	(97,994)
Selling and marketing	(99,549)	(61,919)	(48,999)
General and administrative	(108,343)	(74,723)	(68,495)
Total operating cost and expenses	(404,620)	(262,864)	(215,488)
Gain on disposal of a subsidiary			3,760
Operating income	19,832	26,148	28,048
Total assets	$ 844,691	$ 606,955	$ 490,300

Mainland China Contribution Plan - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Compensation and Retirement Disclosure [Abstract]
Contributions for employee benefits	$ 129,334	$ 89,709	$ 71,434

Statutory Reserve - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Statutory Accounting Practices [Line Items]
Percentage allocation of profits to general reserves	10.00%
Registered capital	50.00%
Accrued for general reserve	$ 1,830	$ 1,749	$ 695
Percentage allocation of profits to development fund	25.00%
Group transfers to the statutory reserves	$ 43,543	35,278	31,853
Development fund [Member]
Statutory Accounting Practices [Line Items]
Appropriations to reserves	$ 41,713	$ 33,529	$ 31,158

Restricted Net Assets - Additional Information (Detail) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Restricted Net Assets [Line Items]
Restricted net assets	$ 542,534	$ 488,560
Variable interest entities (VIEs) [Member] \| Paid in capital, additional paid-in capital and statutory reserves [Member]
Restricted Net Assets [Line Items]
Restricted net assets	448,103	425,927
Wholly owned subsidiaries [Member] \| Paid in capital, additional paid-in capital and statutory reserves [Member]
Restricted Net Assets [Line Items]
Restricted net assets	$ 94,431	$ 62,633

Subsequent Events - Additional Information (Detail)	Jul. 31, 2018 USD ($)	Jul. 31, 2018 CNY (¥)	Jul. 13, 2018 $ / shares shares	Jun. 15, 2018 USD ($) $ / shares shares	Jul. 31, 2018 CNY (¥)	May 31, 2018 $ / shares shares	May 31, 2017 $ / shares shares
Subsequent Event [Line Items]
Common shares, issued \| shares						158,379,387	158,379,387
Common shares, par value \| $ / shares						$ 0.01	$ 0.01
Subsequent Event [Member] \| Koolearn Holding Limited [Member]
Subsequent Event [Line Items]
Common shares, issued \| shares				13,858,832
Common shares, par value \| $ / shares				$ 0.00002
Common shares, price \| $ / shares				$ 1.4914
Total consideration \| $				$ 20,668,000
Subsequent Event [Member] \| Koolearn Holding Limited [Member] \| Pre IPO Option Scheme Member
Subsequent Event [Line Items]
Employees share option plan authorized to grant options \| shares			47,836,985
Employees share option plan granted, shares \| shares			27,904,930
Employees share option plan granted, exercise price \| $ / shares			$ 1.13
Subsequent Event [Member] \| New Oriental Education Industry Fund [Member]
Subsequent Event [Line Items]
Total committed capital	$ 234,000.0	¥ 1.5
Committed to invest	$ 78,000				¥ 500

Schedule I - Condensed Financial Information of Parent Company - Balance Sheets (Detail) - USD ($) $ in Thousands	May 31, 2018	May 31, 2017	May 31, 2016	May 31, 2015
Current assets
Cash and cash equivalents	$ 983,319	$ 641,018
Term deposits	107,741	195,085
Prepaid expenses and other current assets	182,095	119,397
Total current assets	2,941,914	2,326,262
Amounts due from related parties	2,226	1,748
Deferred tax assets	43,323	28,858
Long-term investments	433,333	217,259
Total assets	3,977,712	2,924,979	$ 2,354,834
Current liabilities
Accrued expenses and other current liabilities	373,537	260,700
Amounts due to related parties	30	48
Total current liabilities	1,750,884	1,202,681
Equity:
Common shares (US$0.01 par value; 300,000,000 shares authorized as of May 31, 2017 and 2018; 158,379,387 shares issued as of May 31, 2017 and 2018; 157,687,444 and 158,319,910 shares outstanding as of May 31, 2017 and 2018, respectively)	1,584	1,584
Treasury stock	(1)	(7)
Additional paid-in capital	129,059	249,126
Retained earnings	1,352,543	1,171,109
Accumulated other comprehensive income	244,886	39,161
Total New Oriental Education & Technology Group Inc. shareholders' equity	1,991,589	1,680,948
Total liabilities and equity	3,977,712	2,924,979
Parent Company [Member]
Current assets
Cash and cash equivalents	5,537	11,472	11,984	$ 22,748
Term deposits		10,000
Prepaid expenses and other current assets	7,358	210
Total current assets	12,895	21,682
Amounts due from related parties	80,603	56,965
Deferred tax assets	1,170
Long-term investments	228,471	120,260
Investments in subsidiaries and VIEs	1,758,551	1,569,358
Total assets	2,081,690	1,768,265
Current liabilities
Accrued expenses and other current liabilities	1,021	3,675
Amounts due to related parties	89,080	83,642
Total current liabilities	90,101	87,317
Equity:
Common shares (US$0.01 par value; 300,000,000 shares authorized as of May 31, 2017 and 2018; 158,379,387 shares issued as of May 31, 2017 and 2018; 157,687,444 and 158,319,910 shares outstanding as of May 31, 2017 and 2018, respectively)	1,584	1,584
Treasury stock	(1)	(7)
Additional paid-in capital	129,059	249,126
Retained earnings	1,616,061	1,391,084
Accumulated other comprehensive income	244,886	39,161
Total New Oriental Education & Technology Group Inc. shareholders' equity	1,991,589	1,680,948	$ 1,404,572	$ 1,220,348
Total liabilities and equity	$ 2,081,690	$ 1,768,265

Schedule I - Condensed Financial Information of Parent Company - Balance Sheets (Parenthetical) (Detail) - $ / shares	May 31, 2018	May 31, 2017
Condensed Financial Statements, Captions [Line Items]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	158,379,387	158,379,387
Common stock, shares outstanding	158,319,910	157,687,444
Parent Company [Member]
Condensed Financial Statements, Captions [Line Items]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	158,379,387	158,379,387
Common stock, shares outstanding	158,319,910	157,687,444

Schedule I - Condensed Financial Information of Parent Company - Statements of Operations (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Operating expenses
General and administrative	$ 794,482	$ 554,948	$ 471,010
Total operating expenses	2,184,471	1,537,360	1,283,271
Operating loss	262,959	262,149	198,837
Interest income	84,838	61,445	66,861
Equity in earnings of its subsidiaries, the VIEs and the VIEs's subsidiaries and schools	(379)	(3,289)	(4,425)
Net income attributable to New Oriental Education & Technology Group Inc.'s shareholders	296,130	274,457	224,884
Parent Company [Member]
Operating expenses
General and administrative	14,435	18,236	16,732
Total operating expenses	14,435	18,236	16,732
Operating loss	(14,435)	(18,236)	(16,732)
Interest income	16	122	1
Equity in earnings of its subsidiaries, the VIEs and the VIEs's subsidiaries and schools	310,549	292,571	241,615
Net income attributable to New Oriental Education & Technology Group Inc.'s shareholders	$ 296,130	$ 274,457	$ 224,884

- Definition

This item represents the entity's proportionate share for the period of the net income (loss) of its investee (such as unconsolidated subsidiaries and joint ventures) to which the equity method of accounting is applied. This item includes income or expense related to stock-based compensation based on the investor's grant of stock to employees of an equity method investee.

+ References + Details

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Schedule I - Condensed Financial Information of Parent Company - Statements of Comprehensive Income (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Condensed Financial Statements, Captions [Line Items]
Net income	$ 296,130	$ 274,457	$ 224,884
Other comprehensive income, net of tax
Foreign currency translation adjustment	79,293	(47,440)	(72,464)
Unrealized gain on available-for-sale investment, net of tax effect of nil, nil and US$(1,170) for the years ended May 31, 2016, 2017 and 2018, respectively	129,545	22,521	36,635
Other comprehensive (loss)/ income	208,838	(24,919)	(35,829)
Comprehensive income attributable to New Oriental Education & Technology Group Inc.'s shareholders	501,855	250,670	188,327
Parent Company [Member]
Condensed Financial Statements, Captions [Line Items]
Net income	296,130	274,457	224,884
Other comprehensive income, net of tax
Foreign currency translation adjustment	76,344	(46,331)	(72,193)
Unrealized gain on available-for-sale investment, net of tax effect of nil, nil and US$(1,170) for the years ended May 31, 2016, 2017 and 2018, respectively	129,381	22,544	35,636
Other comprehensive (loss)/ income	205,725	(23,787)	(36,557)
Comprehensive income attributable to New Oriental Education & Technology Group Inc.'s shareholders	$ 501,855	$ 250,670	$ 188,327

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

Schedule I - Condensed Financial Information of Parent Company - Statements of Comprehensive Income (Parenthetical) (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Condensed Financial Statements, Captions [Line Items]
Unrealized gain on available-for-sale investment, tax effect	$ 8,825	$ 3,762	$ 0
Parent Company [Member]
Condensed Financial Statements, Captions [Line Items]
Unrealized gain on available-for-sale investment, tax effect	$ (1,170)		$ 0

Schedule I - Condensed Financial Information of Parent Company - Statements of Changes in Equity (Detail) - USD ($)
$ in Thousands

12 Months Ended

May 31, 2018

May 31, 2017

May 31, 2016

Condensed Financial Statements, Captions [Line Items]

Beginning Balance

$ 1,680,948

Balance, shares

158,379,387

Reissuance of treasury stock for the exercises of employee share options

$ 1

$ 256

$ 2,431

Reissuance of treasury stock for Non-vested equity shares vested, shares

2,929,780

Share-based compensation expenses

$ 57,443

20,287

16,810

Dividend declared

(71,384)

^[1]

(62,668)

^[2]

Net income

296,130

274,457

224,884

Foreign currency translation adjustment

79,293

(47,440)

(72,464)

Unrealized gain on available-for-sale investment, net of tax effect of nil, nil and US$(1,170) for the years ended May 31, 2016, 2017 and 2018, respectively

129,545

22,521

36,635

Capital injection of non-controlling interests

(111,769)

68,498

Capital injection of non-controlling interests and new non-controlling interest recognized in an acquisition

12,996

Repurchase share from non-controlling interests

(92,373)

$ (3,752)

Ending Balance

$ 1,991,589

$ 1,680,948

Balance, shares

158,379,387

Common Shares [Member]

Condensed Financial Statements, Captions [Line Items]

Balance, shares

157,687,444

157,439,397

156,486,763

Reissuance of treasury stock for the exercises of employee share options, shares

500

48,047

240,304

Reissuance of treasury stock for Non-vested equity shares vested, shares

631,966

200,000

712,330

Balance, shares

158,319,910

157,687,444

157,439,397

Additional Paid-in Capital [Member]

Condensed Financial Statements, Captions [Line Items]

Reissuance of treasury stock for the exercises of employee share options

$ 1

$ 256

$ 2,428

Reissuance of treasury stock for non-vested equity shares

(6)

(2)

(7)

Share-based compensation expenses

57,443

20,287

16,810

Capital injection of non-controlling interests

(113,784)

39,579

Capital injection of non-controlling interests and new non-controlling interest recognized in an acquisition

5,163

Repurchase share from non-controlling interests

(63,721)

(255)

Equity restructure of a subsidiary

^[3]

23,214

Treasury Stock [Member]

Condensed Financial Statements, Captions [Line Items]

Reissuance of treasury stock for the exercises of employee share options

Reissuance of treasury stock for non-vested equity shares

Accumulated Other Comprehensive Income (Loss) [Member]

Condensed Financial Statements, Captions [Line Items]

Foreign currency translation adjustment

76,344

(46,331)

(72,193)

Unrealized gain on available-for-sale investment, net of tax effect of nil, nil and US$(1,170) for the years ended May 31, 2016, 2017 and 2018, respectively

129,381

22,544

35,636

Retained Earnings [Member]

Condensed Financial Statements, Captions [Line Items]

Dividend declared

(71,153)

^[1]

(62,668)

^[2]

Equity restructure of a subsidiary

^[3]

(22,448)

Parent Company [Member]

Condensed Financial Statements, Captions [Line Items]

Beginning Balance

$ 1,680,948

1,404,572

1,220,348

Balance, shares

158,379,387

Reissuance of treasury stock for the exercises of employee share options

$ 1

256

2,431

Share-based compensation expenses

57,443

20,287

16,810

Dividend declared

(71,153)

(62,668)

Net income

296,130

274,457

224,884

Foreign currency translation adjustment

76,344

(46,331)

(72,193)

Unrealized gain on available-for-sale investment, net of tax effect of nil, nil and US$(1,170) for the years ended May 31, 2016, 2017 and 2018, respectively

129,381

22,544

35,636

Capital injection of non-controlling interests

(113,784)

39,579

Capital injection of non-controlling interests and new non-controlling interest recognized in an acquisition

5,163

Repurchase share from non-controlling interests

(63,721)

(255)

Ending Balance

$ 1,991,589

$ 1,680,948

1,404,572

Balance, shares

158,379,387

Parent Company [Member] | Common Shares [Member]

Condensed Financial Statements, Captions [Line Items]

Beginning Balance

$ 1,584

Balance, shares

157,687,444,000

157,439,397,000

156,486,763,000

Reissuance of treasury stock for the exercises of employee share options, shares

500,000

48,047,000

240,304,000

Reissuance of treasury stock for Non-vested equity shares vested, shares

631,966,000

200,000,000

712,330,000

Ending Balance

$ 1,584

Balance, shares

158,319,910,000

157,687,444,000

157,439,397,000

Parent Company [Member] | Additional Paid-in Capital [Member]

Condensed Financial Statements, Captions [Line Items]

Beginning Balance

$ 249,126

$ 223,422

$ 141,653

Reissuance of treasury stock for the exercises of employee share options

256

2,428

Reissuance of treasury stock for non-vested equity shares

(6)

(2)

(7)

Share-based compensation expenses

57,443

20,287

16,810

Capital injection of non-controlling interests

(113,784)

39,579

Capital injection of non-controlling interests and new non-controlling interest recognized in an acquisition

5,163

Repurchase share from non-controlling interests

(63,721)

(255)

Equity restructure of a subsidiary

23,214

Ending Balance

129,059

249,126

223,422

Parent Company [Member] | Treasury Stock [Member]

Condensed Financial Statements, Captions [Line Items]

Beginning Balance

(7)

(9)

(19)

Reissuance of treasury stock for the exercises of employee share options

Reissuance of treasury stock for non-vested equity shares

Ending Balance

(1)

(7)

(9)

Parent Company [Member] | Accumulated Other Comprehensive Income (Loss) [Member]

Condensed Financial Statements, Captions [Line Items]

Beginning Balance

39,161

62,948

99,505

Foreign currency translation adjustment

76,344

(46,331)

(72,193)

Unrealized gain on available-for-sale investment, net of tax effect of nil, nil and US$(1,170) for the years ended May 31, 2016, 2017 and 2018, respectively

129,381

22,544

35,636

Ending Balance

244,886

39,161

62,948

Parent Company [Member] | Retained Earnings [Member]

Condensed Financial Statements, Captions [Line Items]

Beginning Balance

1,391,084

1,116,627

977,625

Dividend declared

(71,153)

(62,668)

Net income

296,130

274,457

224,884

Equity restructure of a subsidiary

(23,214)

Ending Balance

$ 1,616,061

$ 1,391,084

$ 1,116,627

[1]	On July 25, 2017, the Company declared a special cash dividend in the amount of US$0.45 per ADS. The aggregate amount of cash dividend paid was US$71,153, which was funded by retained earnings. The dividend was fully paid on October 6, 2017 to shareholders of record at the close of business on September 1, 2017.
[2]	On July 19, 2015, the Company declared a special cash dividend in the amount of US$0.4 per American Depositary Share ("ADS"). The aggregate amount of cash dividend paid was US$62,668, which was funded by retained earnings. The dividend was fully paid on October 7, 2015 to shareholders of record at the close of business on September 4, 2015. One ADS represents one common share.
[3]	In January 2016, Beijing New Oriental Xuncheng Network Technology Co., Ltd. ("Xuncheng"), a subsidiary of the Group, transformed from a limited liability company to a joint stock limited company. The Group's accumulated retained earnings and statutory reserve related to Xuncheng were reclassified to additional paid-in-capital in the consolidation financial statements.

Schedule I - Condensed Financial Information of Parent Company - Statements of Changes in Equity (Parenthetical) (Detail) - USD ($) $ in Thousands	12 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2016
Condensed Financial Statements, Captions [Line Items]
Unrealized gain on available-for-sale securities, tax effect	$ 8,825	$ 3,762	$ 0
Accumulated Other Comprehensive Income (Loss) [Member]
Condensed Financial Statements, Captions [Line Items]
Unrealized gain on available-for-sale securities, tax effect	8,825	$ 3,762	0
Parent Company [Member]
Condensed Financial Statements, Captions [Line Items]
Unrealized gain on available-for-sale securities, tax effect	(1,170)		0
Parent Company [Member] \| Accumulated Other Comprehensive Income (Loss) [Member]
Condensed Financial Statements, Captions [Line Items]
Unrealized gain on available-for-sale securities, tax effect	$ (1,170)
Parent Company [Member] \| Retained Earnings [Member]
Condensed Financial Statements, Captions [Line Items]
Unrealized gain on available-for-sale securities, tax effect			$ 0

Schedule I - Condensed Financial Information of Parent Company - Statements of Cash Flows (Detail) - USD ($)		12 Months Ended
	Jul. 19, 2015	May 31, 2018	May 31, 2017	May 31, 2016
Cash flows from operating activities
Net income		$ 296,130,000	$ 274,457,000	$ 224,884,000
Adjustments to reconcile net income to net cash provided by operating activities
Equity in earnings of subsidiaries and VIEs		379,000	3,289,000	4,425,000
Realized gain from long-term investment		(7,366,000)	(7,086,000)
Share-based compensation expenses		57,443,000	20,287,000	16,810,000
Changes in operating assets and liabilities:
Prepaid expenses and other current assets		(51,738,000)	(14,796,000)	(7,711,000)
Accrued expenses and other current liabilities		68,226,000	40,331,000	54,364,000
Amounts due to related parties		(21,000)	8,000	(1,887,000)
Net cash provided by operating activities		781,127,000	622,694,000	524,313,000
Cash flows from investing activities
Payment for available-for-sale investments		(55,206,000)	(43,498,000)	(78,764,000)
Net cash used in investing activities		(406,716,000)	(672,264,000)	(309,737,000)
Cash flows from financing activities
Proceeds from issuance of common shares upon exercise of share options		1,000	542,000	2,176,000
Cash paid for dividend	$ (62,668)	(71,153,000)		(62,668,000)
Net cash (used in) provided by financing activities		(74,881,000)	4,792,000	(916,000)
Net change in cash and cash equivalents		342,301,000	(68,191,000)	177,911,000
Cash and cash equivalents, beginning of year		641,018,000
Cash and cash equivalents, end of year		983,319,000	641,018,000
Parent Company [Member]
Cash flows from operating activities
Net income		296,130,000	274,457,000	224,884,000
Adjustments to reconcile net income to net cash provided by operating activities
Equity in earnings of subsidiaries and VIEs		(310,549,000)	(292,571,000)	(241,615,000)
Dividend received from subsidiaries		38,471,000	43,417,000	49,984,000
Realized gain from long-term investment		(4,785,000)
Share-based compensation expenses		57,443,000	20,287,000	16,810,000
Changes in operating assets and liabilities:
Prepaid expenses and other current assets		(7,148,000)	5,404,000	5,135,000
Amounts due from related parties		(30,307,000)
Accrued expenses and other current liabilities		(2,653,000)	(2,341,000)	(3,673,000)
Amounts due to related parties		12,903,000	(40,207,000)	(1,446,000)
Net cash provided by operating activities		49,505,000	8,446,000	50,079,000
Cash flows from investing activities
Investments in term deposits		10,000,000		(10,000,000)
Payment for available-for-sale investments		(2,766,000)	(1,000,000)	(9,500,000)
Proceed from long-term investment		9,285,000		540,000
Loan to related parties		(1,487,000)		1,487,000
Investment in a subsidiary		(10,000)	(8,500,000)
Repayment from related parties				8,512,000
Net cash used in investing activities		15,022,000	(9,500,000)	(8,961,000)
Cash flows from financing activities
Proceeds from issuance of common shares upon exercise of share options		1,000	542,000	2,176,000
Loan from a related party		690,000		8,610,000
Cash paid for dividend		(71,153,000)		(62,668,000)
Net cash (used in) provided by financing activities		(70,462,000)	542,000	(51,882,000)
Net change in cash and cash equivalents		(5,935,000)	(512,000)	(10,764,000)
Cash and cash equivalents, beginning of year		11,472,000	11,984,000	22,748,000
Cash and cash equivalents, end of year		$ 5,537,000	$ 11,472,000	$ 11,984,000

Schedule I - Related Party Transactions - Related Party Balances (Detail) - USD ($)
$ in Thousands

May 31, 2018

May 31, 2017

Amounts due to related parties:

Subtotal of amount due to related parties

$ 30

$ 48

Parent Company [Member]

Amounts due from related parties:

Subtotal of amount due from related parties

80,603

56,965

Amounts due to related parties:

Subtotal of amount due to related parties

89,080

83,642

Parent Company [Member] | Winner Park [Member]

Amounts due from related parties:

Subtotal of amount due from related parties

Parent Company [Member] | Smart Shine [Member]

Amounts due from related parties:

Subtotal of amount due from related parties

1,420

Amounts due to related parties:

Subtotal of amount due to related parties

1,487

Parent Company [Member] | Abundant State Limited [Member]

Amounts due from related parties:

Subtotal of amount due from related parties

40,000

Amounts due to related parties:

Subtotal of amount due to related parties

82,487

81,798

Parent Company [Member] | Elite Concept Holdings Limited [Member]

Amounts due from related parties:

Subtotal of amount due from related parties

79,171

10,104

Amounts due to related parties:

Subtotal of amount due to related parties

359

357

Parent Company [Member] | Koolearn Holding Limited [Member]

Amounts due from related parties:

Subtotal of amount due from related parties

^[1]

180

Parent Company [Member] | New Oriental China [Member]

Amounts due from related parties:

Subtotal of amount due from related parties

$ 6,669

Amounts due to related parties:

Subtotal of amount due to related parties

$ 6,234

[1]	Koolearn Holdings Limited was a HK subsidiary of the Group which dissolved in the fiscal year of 2018.

Fair Value Measurement - Schedule of Available-for-Sale Securities Included in Long Term Investments Measured and Recorded at Fair Value on Recurring Basis (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands	May 31, 2018	May 31, 2017
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	$ 385,695	$ 197,590
Common Shares [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	153,294	36,406
Redeemable Preferred Shares [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments		153,698
Redeemable Preferred Stock and Convertible Note [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	224,065
Assets Management Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	8,336	7,486
Quoted Prices in Active Market for Identical Assets Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	153,294	36,406
Quoted Prices in Active Market for Identical Assets Level 1 [Member] \| Common Shares [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	153,294	36,406
Significant Other Observable Inputs Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	98,504	38,155
Significant Other Observable Inputs Level 2 [Member] \| Redeemable Preferred Shares [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments		30,669
Significant Other Observable Inputs Level 2 [Member] \| Redeemable Preferred Stock and Convertible Note [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	90,168
Significant Other Observable Inputs Level 2 [Member] \| Assets Management Plan [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	8,336	7,486
Significant Other Observable Inputs Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	133,897	123,029
Significant Other Observable Inputs Level 3 [Member] \| Redeemable Preferred Shares [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments		$ 123,029
Significant Other Observable Inputs Level 3 [Member] \| Redeemable Preferred Stock and Convertible Note [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sales investments	$ 133,897