Private education investor AdvTech is set to post stronger first-half earnings driven by sustained momentum and its ongoing African expansion.
In a trading update on Tuesday, the group said it expected headline earnings per share (HEPS) of 110.3c-115.3c, up 13%-18% from the first half of last year.
The first six months of the year saw AdvTech investing significant capital in its recently acquired assets in Botswana and Kenya in a bid to grow its international presence.
The group increased the capacity of its Gaborone International School in Botswana to 3,300 students and earlier this year laid out plans to expand Nairobi’s Crawford International School in response to continued strong demand for its Cambridge syllabus offering.
The company doubled down on Kenya last week with the acquisition of Regis Runda Academy for R172m. The school, with a capacity of 2,000 students, will become part of the group’s Makini Schools conglomerate.
Last year, AdvTech bought Flipper International School in Addis Ababa for $7.5m (R132.74m), adding five schools and more than 3,000 students to its portfolio.
The company now operates in SA, Kenya, Botswana and Ethiopia through its Crawford International brand, Gaborone International School and Makini Schools, as well as Flipper.
In June, the group introduced a new executive role to oversee the company’s operations as it expands its international footprint.
In its latest annual results, AdvTech reported a 16% increase in HEPS as investments aimed at growing its portfolio pushed enrolments past the 100,000 mark.
Shares in the JSE-listed holding company have gained nearly 84% over the past three years as the group steadily expands its reach. They edged up 0.84% in morning trading on Tuesday as investors welcomed the earnings uptick on the horizon.
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