ADvTECH (ADH) H1 2025 earnings summary

Executive summary

• Revenue increased by 10% to R4,683 million and operating profit rose 14% to R982 million for the six months ended June 2025, with operating margin at 21.0%.

• Headline earnings per share up 15% to 112.7 cents; normalised EPS up 16% to 113.0 cents.

• Interim dividend increased 18% to 45.0 cents per share.

• Strong enrolment growth: total group enrolments reached 105,710 in March 2025, with schools up 11% and tertiary up 14%.

• Expanded international footprint with acquisitions in Ethiopia and Kenya, and the opening of a new university college in Ghana.

Financial highlights

• Five-year CAGRs: revenue 13%, operating profit 18%.

• Group operating margin improved to 21.0% from 20.2% year-over-year.

• Education margin at 23.8%; resourcing margin at 5.2%-6.5%.

• NEPS compounding at 20% over five years, more than doubling since 2021.

• Cash generated by operating activities up 18% year-over-year to R2,303 million.

Outlook and guidance

• Continued focus on expanding distance learning, tertiary offerings, and African footprint.

• Strategic imperative to grow distance enrollments, which rose 40% year-over-year.

• Ongoing investment in university status, new qualifications, and academic excellence.

• Confident in maintaining growth trajectory due to robust balance sheet and cash generation.