Page 18 - ALEF EDUCATION PR REPORT - FEBRUARY 2026

FY 2025 Financial Results - Market Announcement

broader momentum across non-school B2B/B2G activities, private schools, and international
initiatives. Against this backdrop, disciplined cost control and operational efficiencies produced a
71.6% EBITDA margin, marking a 360 bps improvement versus FY 2024 and reinforcing Alef
Education’s ability to sustain strong profitability alongside the continued execution of its strategy.

Geoffrey Alphonso, Chief Executive Officer of Alef Education, stated:

“Alef Education delivered a solid full-year performance in 2025, reflecting disciplined execution
across the business and the continued strength of our core UAE operations. We maintained strong
profitability and margin expansion while preserving a debt-free balance sheet, demonstrating the
scalability of our operating model. We advanced our core UAE execution with ADEK by
expanding our presence in new public schools in Abu Dhabi, broadening activity across private
schools and non-school B2B/B2G engagements, as well as advancing our international initiatives.
We also made meaningful progress across our product portfolio, with Miqyas Al Dhad completing
large-scale field testing and moving through institutional engagement, ahead of its planned launch
in Q1 2026.”

FY 2025 Profitable Growth Driven by Margin Expansion and Cost Discipline

Alef Education delivered strong profitability in FY 2025, supported by continued margin
expansion and disciplined cost management. EBITDA increased 7% YoY to AED 550.7 million,
reflecting higher contributions from new contracts alongside operational efficiencies across the
business. As a result, the EBITDA margin expanded to 71.6%, representing a 360 basis point
improvement compared to FY 2024, showcasing the scalability of the operating model and the
benefits of structural cost optimization.

Net profit rose 8% YoY to AED 481.1 million, with the net profit margin improving to 62.5%,
driven primarily by EBITDA growth and efficiency gains across the cost base. Profitability was
supported by lower operating expenses, stronger performance from new revenue contracts, higher
interest income, partially offset by higher corporate tax.

Alef Education ended FY 2025 with a strong liquidity position, holding AED 619.5 million in cash
and cash equivalents as at 31 December 2025, supported by a debt-free balance sheet. This robust
financial position supports operational flexibility, enabling the ongoing delivery of ADEK
contractual commitments, and enables continued investment in product and platform development,
while maintaining a disciplined approach to capital allocation.

Reliable and Attractive Dividend Policy

Beyond driving growth, Alef Education’s strong financial position and guaranteed ADEK
payments continue to support consistent shareholder returns through a clear and dependable
dividend policy. In line with its IPO commitment, the Company guaranteed a minimum annual
dividend payout of AED 135 million to public shareholders for FY 2025. The first installment of
AED 67.5 million was paid as an interim dividend in August 2025, with the second installment of

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