Boost in revenue and learner numbers at Curro

Independent school operator Curro on Thursday (18 August) reported a 15% increase in revenue for the six months ended June 2022, to R2.06 billion amid increased learner intakes.

Headline earnings and headline earnings per share increased by 41.8% from R116 million to R164 million and by 41.8% from 19.4 cents to 27.5 cents, respectively.

Curro’s average learner numbers for the first half of the 2022 year increased by 7% to 70,519 learners.

Tuition fees increased by 13.3% from the corresponding prior period due to the growth in learners, coupled with the annual inflationary fee increase. Revenue growth was supported by an increase in ancillary revenue, which was R30 million and 21.4% higher than the first half of 2021, Curro said.

The listed group said it invested a further R549 million in the business during the period under review. This includes the acquisitions of HeronBridge College (effective from 1 April 2022) and a building in Cape Town for the DigiEd Foreshore school.

Earnings before interest, taxation, depreciation and amortisation increased by 20% to R467 million, from R390 million in the prior corresponding period.

The board resolved not to declare a dividend for the six-month period, in line with its policy to pay 20% of recurring headline earnings as an annual dividend on the premise that growth in cash generation shall continue in future.

Read: Curro talks up growth in ‘more affordable alternative’ – its online school