Taaleem Holdings PJSC

Taaleem Holdings PJSC

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Taaleem Reports Robust Growth in H1 2024/25

Summary

Taaleem Holdings PJSC has reported significant growth in its financial performance for H1 2024/25, driven by increased enrolment and strategic expansions.
Taaleem Holdings PJSC showcases strong financial performance with significant growth in revenues and enrolment.

In a remarkable performance for the first half of the fiscal year 2024/25, Taaleem Holdings PJSC has demonstrated robust growth across its financial metrics. The leading K-12 premium education provider in the UAE, known for its portfolio of 12 premium schools and 26 schools managed under public-private partnerships, has reported an 18.2% year-on-year increase in operational revenues, reaching AED 648.8 million.

This impressive growth is primarily attributed to the 18.8% year-on-year increase in enrolment in its premium schools. The company's strategic acquisition of Lycée Libanais Francophone Privé Meydan (LLFPM) and the launch of DBS Jumeira have significantly contributed to this surge, enhancing the premium segment's capacity by 28.0%.

Furthermore, Taaleem's net profit has climbed by 15.4% year-on-year, totaling AED 160.2 million, with a consistent net profit margin of 24.7%. This performance is a testament to the company's strategic initiatives and effective management, despite a slight decrease in net profit margin compared to the previous year.

In addition to its financial achievements, Taaleem has been awarded a Land Lease agreement on Saadiyat Island by the Abu Dhabi Department of Education and Knowledge (ADEK). This will facilitate the development of a super-premium school in Abu Dhabi, further solidifying Taaleem's presence in the premium education segment.

The company's EBITDA also saw a 13.0% year-on-year increase, reaching AED 251.2 million. This growth reflects Taaleem's ability to offset higher expenses with increased revenue, showcasing its operational efficiency.

Looking ahead, Taaleem is poised for continued growth as it makes significant strides in the construction of DBS Mira, which aims to boost the premium segment's capacity by around 1,800 new seats starting in the academic year 2025/26.

Given the company's strategic expansions, strong financial performance, and promising future projects, the outlook for Taaleem Holdings PJSC remains optimistic. Investors may consider this a buy opportunity, as the company is well-positioned to capitalize on the growing demand for premium education in the UAE.

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