Key points
- Reported Group revenue of $413.6M, 11.1% lower than pcp
- Statutory Net Loss After Tax of $38.8M, down 272.2% on pcp
- Occupancy at 57%, 7.5% lower than pcp
- Team retention improved to 80%, highest in 6 years
- No dividend declared for the Half
Full summary
G8 Education Limited (ASX:GEM) announced its half-year results for CY26, reporting a 11.1% decrease in revenue to $413.6 million. The statutory net loss after tax widened to $38.8 million, down 272.2% compared to the prior corresponding period, primarily due to a $47.1 million net impairment expense. Operating EBIT fell by 63.7% to $14.7 million, and occupancy dropped 7.5% to 57%. Despite these challenges, the company made progress in key metrics, including team retention, safety, quality, and family experience. G8 Education took proactive measures to address the evolving environment, including refinancing debt, suspending operations at 40 centres, and reducing Support Office headcount by 21%. The company also continued its focus on child safety and educational programs, rolling out a body safety program in all centres. The Board decided not to pay a dividend for the Half, and the on-market share buyback concluded.
Guidance
Group revenue $413.6M, Operating EBIT $14.7M, Statutory Net Loss After Tax $38.8M
Outlook
G8 Education expects operating conditions to remain similar to the first half, with supply-demand imbalances and affordability pressures influencing occupancy. The company aims to improve quality, safety, family engagement, and occupancy while maintaining disciplined cost and capital management.