Market Update - Record First-Half FY25 Results
| Stock | EDU Holdings Ltd (EDU.ASX) |
|---|---|
| Release Time | 29 Jul 2025, 8:53 a.m. |
| Price Sensitive | Yes |
Record First-Half FY25 Results for EDU Holdings
- Record revenue, EBITDA and NPAT in first half of FY25
- Strong enrolment growth in Ikon, EDU's higher education business
- Softer trading conditions in ALG, EDU's vocational education business
EDU Holdings Limited, a leading tertiary education group, has reported robust growth in revenue and earnings for the first half of FY25. Based on unaudited results, the company expects to report revenue of $35.8 - $36.1 million, EBITDA of $10.7 - $10.9 million, and NPAT of $6.1 - $6.3 million, representing significant increases from the previous corresponding period. EDU's higher education business, Ikon Institute of Australia, continued to perform strongly, with new student enrolments across Trimester 1, 2025 and Trimester 2, 2025 totalling 1,600, up 63% from the previous corresponding period. Total enrolments in Trimester 2, 2025 reached 3,725, a 118% increase. Ikon has launched several new courses, including its first postgraduate courses, to broaden its market reach and help mitigate the impact of increased competition. In contrast, EDU's vocational education business, Australian Learning Group (ALG), has experienced softer trading conditions due to tighter student visa settings, with Term 3, 2025 new student enrolments declining by 12% compared to Term 2, 2025 and by 52% to the previous corresponding period. The company's balance sheet remains robust, with net cash of $21.2 million at 30 June 2025. The board anticipates that a strong intake in Ikon's Trimester 3, 2025, combined with a slightly larger revenue contribution from its Trimester 2, 2025 enrolments in the second half, should largely offset any further decline in enrolments in ALG and the increase in costs. Accordingly, the board expects FY25 to materially exceed FY24 performance across key financial metrics.
EDU expects FY25 to materially exceed FY24 performance across key financial metrics.
EDU remains focused on implementing a resilient student recruitment strategy, expanding its course offering to unlock new markets, and exploring expansion opportunities, including further program diversification, to support long-term, sustainable growth.