NextEd Group (NXD) H2 2026 earnings summary

Executive summary

• Delivered resilient results in a challenging international education market, with underlying EBITDA up 7.0% to $15.3m on $88.9m revenue.

• Net loss after tax reduced by 17.5% year-over-year to $12.0m, reflecting improved cost discipline and gross margin.

• Lean operating structure and permanent cost savings of $8.5m since FY24 supported profitability.

• Diversification into higher-margin vocational courses offset declines in English language tuition, with vocational now 59% of International segment revenue.

• Maintained a strong, debt-free balance sheet with $18.2m net cash at year end.

Financial highlights

• Revenue: $88.9m, down 6.7% year-over-year.

• Underlying EBITDA: $15.3m, up 7.0% year-over-year; EBITDA margin expanded to 17.2% from 15.0%.

• Gross margin increased by 1.8ppt to 55.4% due to higher-margin course mix.

• Net loss after tax: $(12.0)m, improved by $2.5m year-over-year.

• Operating cash flow was $10.9m, broadly in line with the prior year.

Outlook and guidance

• Positioned for future growth with a leaner cost base and margin expansion.

• Further property cost reductions targeted over the next 12–18 months.

• Quality campus network in place; minimal capital expenditure required in the next 1–2 years.

• Management will focus on teaching quality, student experience, cost discipline, and resilient segments such as care economy and community services in FY27.

• Advocacy continues for stable and transparent policy settings in the international education sector.