Page 66 - ALEF EDUCATION PR RPEORT MAY 2025
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6/4/25, 8:36 AM Latest News
Consistent Shareholder Returns and Significant Value Creation
Beyond driving growth, Alef Education’s strong financial foundation allows the Company to deliver sustained
value to shareholders through a transparent and robust dividend policy. In line with its IPO commitment, Alef
Education guarantees a minimum annual dividend payout of AED 135 million to its 20% free-float investors
for FY2024 and FY2025, distributed semi-annually.
Alef Education holds a leading position in the UAE’s K–12 EdTech space, deeply embedded in the national
education framework via ADEK. With guaranteed payments from ADEK, the Company enjoys stable,
predictable cash flows, enabling consistent dividend payouts with an attractive yield driving long-term
shareholder value. Following the Annual General Meeting (‘AGM’) held on 27 March 2025, Alef Education
successfully distributed a cash dividend of AED 199.2 million for H2 2024 in April 2025. This brought the total
FY 2024 dividend payout to AED 402.8 million, representing 90% of the Company’s full-year net profit,
reflecting ~ 10% dividend yield with AED 135 million (~ 10 fils per share) being distributed to free float
shareholders, and an equivalent amount is guaranteed for FY 2025, reflecting Alef Education’s disciplined
growth strategy.
Outlook
Alef Education enters the remainder of 2025 with a strong outlook, supported by long-term government
contracts, a growing international presence, and continued innovation. Revenue is expected to witness 3-4%
growth in FY 2025 YoY. EBITDA for the year is expected to increase by 8-9%, generating a higher margin of
70% backed by strict cost optimization efforts coupled with revenue growth. Similarly, Net Profit is expected
to increase by 6-7% resulting in a strong and consistent margin of 60%.
With predictable cash flows and a proven model, Alef Education is uniquely positioned to fuel innovation,
scale globally, and lead the next era of digital learning, while sustaining attractive dividends and delivering
long-term value to shareholders.?
AED millions Q1 2025 Q1 2024 % Change
Revenues 179.7 176.7 1.7%
Total Expenses 56.4 55.7 -1.3%
EBITDA* 132.8 130.7 1.6%
EBITDA Margin 74% 74% -
Net Profit 115.3 113.0 2.0%
Net Profit margin 64% 64% -
* EBITDA is earnings before interest, tax, depreciation, amortization and lease expenses (interest and
depreciation on right of use assets).
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