Raffles Education (NR7) H2 2025 earnings summary

Executive summary

• FY2025 returned to profit: net profit $4.4m after a $24.0m loss in FY2024; reported PBT was $8.7m. The result included $51.1m of foreign-exchange gains.

• Revenue was nearly flat at $111.7m, while net asset value per share declined to 39.97 cents from 42.52 cents.

• Cash from operations was $4.3m and year-end cash was $16.9m; the auditor highlighted material uncertainty related to going concern.

Financial highlights

• Revenue was $111.710m, down 0.7% YoY; adjusted EBITDA was $19.406m, down 8.1% YoY.

• PBT was $8.738m versus a $22.562m loss; net profit was $4.358m versus a $23.994m loss.

• Profit attributable to shareholders was $7.696m versus a $19.261m loss; basic and diluted EPS were both 0.55 cents versus losses of 1.39 cents.

• Other operating income rose to $53.787m from $14.905m, largely reflecting $51.056m of FX gains; finance costs fell to $16.640m from $20.293m.

• Total comprehensive loss widened to $41.420m from $14.356m, including a $45.778m currency translation loss in FY2025.

Outlook and guidance

• Priorities include strengthening the financial position, prudent risk management, deepening programme value, embracing innovation, improving student and parent engagement, and exploring revenue streams.

• Strategy includes expanding the institution network, developing existing colleges and universities, strengthening academic quality, and realising value from education assets.

• The proposed sale process for 51 Merchant Road remained ongoing; asset sales and refinancing or extensions of borrowings are among the measures supporting liquidity plans.