Curro Holdings is expecting a bump in profit when it releases interim results next month, but it comes off the back of a low base in headline earnings per share (HEPS) last year.
The private-education company said on Tuesday it expects HEPS to increase 33.5%-50% to 25.9c-29.1c, but this is lower than two years ago after the Covid-19 pandemic disrupted schooling and caused a downturn in the world economy as lockdowns forced most to work and study from home.
The company also broadened its share base in 2020 after issuing new shares, which diluted HEPS.
Curro, valued at R6.6bn on the JSE, spun out of Stadio Holdings and is one of three private-education stocks on the local bourse.
The number of learners at its schools grew 9.3% to 66,447 in 2021 as the demand for private schooling continues to grow due to persistent problems in the public sector.
Most of its 76 campuses are in Gauteng (37), with one in Namibia and one in Botswana.
Companies have to alert the market when they know their financial results will be at least 20% higher or lower than the previous corresponding period, according to JSE listing requirements.
The share price was down 2.05% to R10.97 by noon trade.
Curro will release its interim results on August 18.
Correction: August 18 2022
An earlier version of this article incorrectly said Curro was valued at R6.6m, when this figure should have been in billions of rand.
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