Ataa Educational H1 2023/24 profit up 9% to SAR 33.5M; Q2 at SAR 11.5M

Ataa Educational Co. posted a net profit of SAR 33.5 million for the first half ended on Jan. 31, 2024, up 9% from SAR 30.6 million a year earlier. 

The profit growth was due to a 1% year-on-year (YoY) increase in revenues and a 3% YoY decrease in operating expenses (opex) for the six-month period. The company also cited the acquisition of minority interests in Al Yasmin International, Al-Alson International, and Glory Generation International Schools.

This was despite a 35% YoY leap in financing costs in H1 2023/24 due to the borrowing related to the acquisition of minority interests in Al Yasmin International, Al-Alson International, and Glory Generation International Schools, in addition to the purchase of a land plot in Irqah district and higher SAIBOR rate.

The second-quarter earnings amounted to SAR 11.5 million, rising 20% from SAR 9.55 million a year earlier. This was driven by the acquisition of minority interests in Al Yasmin International, Al-Alson International, and Glory Generation International Schools. Opex also fell by 2.5% YoY during the three-month period.

On a sequential basis, earnings fell 48% from SAR 22.05 million in Q1 2023/24.

Total shareholders’ equity, after minority interest, reached SAR 773.98 million at the end of the current period, compared with SAR 810.05 million a year earlier.

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