AcadeMedia (ACAD) Q3 24/25 earnings summary

Executive summary

• Net sales rose 9.2% year-over-year in Q3, with 5.0% organic growth, supported by bolt-on acquisitions and strategic investments in quality and teacher qualifications.

• All business segments contributed positively to EBIT, with improved teacher certification and satisfaction levels.

• Strategic acquisitions in the Netherlands (Yes! Kinderopvang, 22 preschools) and Germany (two international schools) accelerated international expansion, aiming for 200 preschools in Germany by 2030.

• International operations now represent over 40% of revenue, with a target of 50% of operations and adult education outside Sweden.

• Student numbers grew 6.9% in Q3, with improved employee engagement and lower turnover in Sweden.

Financial highlights

• Q3 net sales: SEK 5,037 million (up 9.2%); organic growth 5.0%; nine months: SEK 13,903 million (up 11.4%).

• Adjusted EBIT: SEK 377 million (up 15.3%), margin 7.5% (7.1%); EBIT up 18.2% to SEK 499 million, margin 9.9% (9.1%).

• Profit for Q3: SEK 241 million (up 12.1%); earnings per share: SEK 2.46 (up 7.0%).

• Free cash flow Q3: SEK 186 million (down 7.0%); rolling 12 months: SEK 1,091 million.

• Net debt/adjusted EBITDA at 0.7x, well below target of <3.0x; equity/assets ratio: 28.4% excl. IFRS 16.

Outlook and guidance

• School voucher increases for 2025: Sweden 2.5–3.1%, Norway 4.5%; increases lag cost inflation.

• International and adult education targeted to reach 50% of operations; expansion in Germany and the Netherlands to drive growth.

• Adjusted EBIT margin remains below long-term target of 7–8%, but margin target remains valid.

• Adult education margins expected to remain high if unemployment stays elevated; Q4 expected to be seasonally weaker.

• No formal forecasts published; future performance tied to labor market trends.