Private education investor AdvTech released a strong set of interim results on Monday as it works to bolster its presence outside SA.
The results come less than a week after AdvTech debuted its first international university, the Rosebank International University College (RIUC) in Ghana, marking a key step in the group’s African expansion strategy.
AdvTech CEO Geoff Whyte told Business Day that he planned to expand the RIUC to all the countries in which the group already operated, including Kenya, Botswana, Ethiopia and to further grow its presence in Ghana.
“We launched [RIUC] on Friday last week with great attendance from the Ghanaian government,” said Whyte.
“The Rosebank brand is a major part of our expansion strategy internationally, and the plan is to take it into all of our existing countries of operation in Africa.
“We think we’ve got some excellent people and systems, a broad degree of high demand qualifications, and we’ve been able to deliver that at a very attractive price point,” he said.
AdvTech owns several private higher education brands, including Varsity College, Rosebank College and Oxbridge Academy, as well as specialist colleges Vega School and Capsicum Culinary Studio in SA.
The company already operates high schools across SA, Kenya, Botswana and Ethiopia. Earlier this year it laid out plans to expand its Gaborone International School in Botswana and Crawford International School in Nairobi in response to strong demand for its Cambridge syllabus offering.
The company also cemented its presence in Kenya earlier this month 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.
While the company’s growth strategy hinges on African expansion, Whyte said it was adopting a more cautious stance towards operating in new countries.
“In terms of new countries, we are open to entering new markets, but we would like a degree of market stability, regulatory stability, strong economic growth and English as the major language of instruction,” he said.
The group has been on a tear recently, with normalised earnings per share and dividends more than doubling over the past five years.
Student enrolment was up 13% year on year in the six months to end-June, boosting revenue by 10% to R4.68bn.
The company reported headline earnings per share (HEPS) of 112.7c, up 15%, and declared an interim dividend of 45c, which is 18% higher than a year ago.
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.