Record Revenue And Dividend
EDU Holdings reports record first-half revenue growth and lifts dividend after surging enrolments.
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Key Points
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EBITDA margin expanded to 31% for the half-year, with gross margin at 63% and gross profit of $34.0 million, signaling improved operating efficiency.
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During the period EDU executed $11.4 million in share buybacks and paid $3.8 million in dividends, contributing to a closing cash balance of $24.0 million with no debt.
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EDU’s national campus footprint covers four states and online, with detailed campus sizes and capacities: Sydney 5,210 sqm (62% capacity), Melbourne 3,971 sqm (58%), Adelaide 1,843 sqm (27%, including a new campus), Brisbane 610 sqm (61%), totaling 84 classrooms (up 10 from the prior period).
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The company notes newly launched social work degrees that are accredited for seven years without conditions, reflecting the maturity and credibility of Ikon programs.
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ALG’s vocational enrolments declined as the international VET market contracts, underscoring EDU’s strategic pivot toward higher education and more stable revenue streams.
EDU Holdings reported record first-half 2026 earnings, with revenue jumping 50% to $54.3 million and net profit climbing 49% to $9.3 million Kalkine. The Australian education company declared a fully franked 3.0 cents per share interim dividend and maintained a strong cash position of $24 million with zero debt, signaling robust earnings and shareholder returns.
Higher education enrolments surged 32% to 7,036 students, now representing 83% of the group's total, while the company shifted strategy away from struggling vocational education toward more stable degree programs TipRanks. EBITDA expanded 54% to $16.8 million with margins reaching 31%, reflecting improved operating efficiency across EDU's four-state campus network plus online offerings.
Higher Education Drives Enrolment Boom
Ikon higher education enrolments soared 57% to 5,847 students, becoming the engine of EDU's growth Kalkine. The company's newly launched social work degrees earned seven-year accreditation without conditions, demonstrating program credibility. This shift away from vocational education reflects an intentional strategy toward higher-margin, more predictable revenue streams as the international VET market contracts.
Profits Surge With Expanded Margins
Profit before tax jumped 61% to $13.3 million, outpacing revenue growth and signaling stronger operational performance Kalkine. Gross margin held steady at 63% with $34.0 million in gross profit, while EBITDA margin expanded to 31%—a 3-percentage-point improvement demonstrating cost discipline and pricing power across the business.
Cash Generation Funds Buybacks and Dividends
EDU returned cash to shareholders through $11.4 million in share buybacks and $3.8 million in dividends during the half-year Kalkine. The board's fully franked 3.0 cents interim dividend, payable 30 September, highlights strong free cash generation. The ex-dividend date is 17 September with a record date of 18 September.
Campus Network Expands Classroom Capacity
EDU operates across four states plus online, with total classroom capacity increasing 10 classrooms to 84 during the period Kalkine. Sydney leads with 5,210 sqm at 62% occupancy, followed by Melbourne at 3,971 sqm (58%), Adelaide at 1,843 sqm including a new campus (27%), and Brisbane at 610 sqm (61%). This footprint supports the rising enrolment base across both higher education and remaining vocational programs.
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