ADvTECH delivers another strong set of results at the half year

ADvTECH delivers another strong set of results at the half year 

Cementing its position as the leading provider of private education on the African continent 

 

26 August 2024: Commenting on the results, ADvTECH CEO, Geoff Whyte, said: “Driven by robust fundamentals in the business, ADvTECH delivered another strong set of results for the six months ended 30 June 2024. This was achieved through healthy growth in enrolments, moderate fee increases and continued margin improvement, despite a challenging economic environment.”  

  

“We continue to invest in the delivery of superior, technology-enhanced teaching and learning, strengthening our competitive advantage and further cementing ADvTECH as the leading provider of private education on the African continent.”   

 

Group: Operational and Financial Performance  

  

  • Enrolments up 6% 
  • Operating profit up 15% to R865m (2023: R754m) 
  • Operating margin up from 19.2% to 20.2%  
  • Normalised earnings per share up 16% to 97.7 cents 

 

The Education divisions recorded revenue growth of 12% year-on-year, due to healthy enrolment growth across both Schools and Tertiary (up 4% and 7% respectively).   

  

Operating margin in the Education business improved to 23.5% (2023: 22.8%) through the benefit of operating leverage and via the Group’s continued drive for efficiency gains. This more than offset the additional costs incurred to enhance ADvTECH’s offering through the introduction of additional global benchmarking measures, artificial intelligence tools to support personalised learning and student information systems.  

  

Normalised earnings for the period increased by 17% to R535 million (2023: R459 million) while normalised earnings per share increased by 16% to 97.7 cents (2023 84.3 cents) per share.  

   

Cash generated from operating activities increased by 12% to R1 959 million (2023: R1 749 million) underscoring the strong cash generating capacity of the Group.  

 

Informed by the Group generating cash in excess of that required to fund its investment programme, the Board decided to increase the dividend payout. Management of the group’s capital structure and optimising return on equity was also considered in this decision. The Board declared an interim dividend of 38.0 cents (2023: 30.0 cents) per ordinary share in respect of the six months ended 30 June 2024. This represents an increase of 27%. 

 

Divisions: Operational and Financial Performance  

  

Schools South Africa  

   

  • Enrolments up +5%  
  • Revenue up 11%  
  • Operating profit up 12%  

  

The Schools division in South Africa continued to enhance its value propositions and to win market share. All the division’s brands recorded volume and operating profit growth.  

   

Revenue increased by 11% to R1 556 million (2023: R1 402 million) and operating profit increased by 12% to R316 million (2023: R282 million) with the operating margin improving to 20.3% (2023: 20.1%).  

   

In response to sustained demand for quality education in the mid-fee sector, a Pinnacle College campus, scheduled to open in January 2025, is currently under construction in Ridgeview, Roodepoort. Furthermore, strong enrolment growth at Pinnacle College Raslouw in Centurion, necessitated the build-out of the balance of the school, several years ahead of plan. 

 

Schools Rest of Africa  

  

  • Enrolments up +4%  
  • Revenue up 11%  
  • Operating profit up 29%  

   

ADvTECH’s schools brands in the rest of Africa continued to experience strong enrolment growth. Revenue increased by 11% to R214 million (2023: R193 million), while operating profit increased by 29% to R62 million (2023: R48 million). Operating margin improved from 24.7% to 28.7% driven by operating leverage. 

   

Construction of the next phase of Crawford International in Kenya will commence in the fourth quarter of 2024 in response to continued strong demand, driven by the school’s market leading academic offering.  

 

The Group’s Cambridge International curriculum offering, that was introduced in 2021, is also experiencing strong demand, with parents increasingly choosing this curriculum for their children. As this offering is at a higher fee, it is having a positive impact on the financial performance of these schools.  

 

Gaborone International School continues to perform exceptionally well, with strong enrolment growth and excellent academic results. The second phase of development to increase capacity to accommodate 3 250 students and to refurbish the pre-primary school has now been completed.  

 

Tertiary/University  

   

  • Enrolments up 7%  
  • Revenue up 13%  
  • Operating profit up 16%  

   

The Tertiary division performed well and continued to grow off the back of a well-established, high quality brand portfolio that offers a comprehensive range of programmes and qualifications. ADvTECH’s ability to provide multi-channel modes of delivery (contact, blended, online, full-time, part-time and distance) is fundamental to enhancing its student value proposition.  

  

Revenue increased by 13% to R1 693 million (2023: R1 500 million) and operating profit grew by 16% to R436 million (2023: R375 million). Benefitting from effective cost containment measures, operating margin increased to 25.8% (2023: 25.0%).   

   

Expansion projects are currently under way at Rosebank College’s mega-campuses in Cape Town, Pretoria and Braamfontein.  

  

A new purpose-built Vega campus is under construction in Pretoria, adjacent to Varsity College, which will be more suitable than the existing premises. In addition, ADvTECH completed expansion projects at the Varsity College Pretoria and Cape Town campuses to increase capacity in response to continued strong demand.   

 

Following the publishing of draft regulations in September 2022 by the previous Minister of Higher Education and Training, which set out the criteria to qualify as a university, amended criteria were published in April this year. ADvTECH submitted its comments in May and await the publishing of the Gazette, which is anticipated before the end of 2024.   

   

“Recognition as a University will ultimately benefit our students who will then rightfully be afforded the same status as their Public University peers. We continue to engage with the Department of Higher Education and Training to move forward on this issue,” said Whyte.   

  

The Group is in the process of acquiring a suitable building to be adapted into a university campus. Should the purchase be approved by the Competition Commission, it will result in a R419 million capital investment over the next two years.   

 

Resourcing  

   

  • Operations outside South Africa continue to fuel growth  

  

Revenue decreased by 3% to R810 million (2023: R837 million), with the decline of 16% in South Africa driven by muted recruitment activity in a challenging trading environment. Revenue in the rest of Africa declined by 1% due to a few low margin contracts coming to an end.  

 

Operating profit increased by 3% to R51 million (2023: R50 million) however. This was achieved due to an increase of 24% in operating profit from the rest of Africa to R55 million (2023: R45 million) driven by low margin contracts being replaced by higher margin contracts, more than offsetting the impact of the loss experienced in South Africa.  

  

Alternative Energy Solutions  

  

ADvTECH is committed to minimising environmental impact across our operations. Notwithstanding the recent suspension of loadshedding, the Group continues to roll out solar solutions to reduce our electricity cost and carbon footprint. In addition to five sites that already have solar solutions, installations are currently under way at three sites with the highest electricity usage. Thereafter, ADvTECH will continue the rollout to all remaining sites where a solar solution is feasible.    

 

Prospects  

   

ADvTECH is uniquely positioned to enrich people’s lives by being the leader in teaching and learning across the African continent. Strong demand for quality education continues across all our chosen markets. 

 

“The Group’s solid balance sheet, strong cash generation, growing scale and expertise in Africa and unrelenting focus on extending competitive advantage in both the Schools and Tertiary Divisions, places us in a good position to maintain our growth trajectory and invest with confidence in areas of opportunity,” concluded Whyte.  


ADvTECH Updates

Education Investment Podcast: Leading a Schools and Higher Education Group with Geoff Whyte

By Tamara Thomas • June 10, 2025
Monde Nkosi presents his latest episode of the Education Investment Podcast in video on YouTube and audio on Spotify, Apple and all major podcast platforms https://linktr.ee/educationinvestment?utm_source=linktree_admin_share In this episode, Leading a Schools and Higher Education Group with Geoff Whyte (CEO of ADvTECH Group), we explore leadership in a combined schools and higher education group serving more than 100,000 students across multiple countries including South Africa, Kenya, Botswana and Ethiopia. Geoff presents his investment and social impact case for ADvTECH and independent education. Geoff also shares some personal stories about his journey from growing up in Scotland; to living and working in multiple countries including England, Russia and the Netherlands; and moving to South Africa in the late 1990s. 

ADvTECH launches Rosebank International University College in Ghana RIUC is ADvTECH’s first tertiary institution outside South Africa

By Tamara Thomas • June 2, 2025
02 June 2025: ADvTECH Group, Africa’s leading private education provider, is pleased to announce the launch of Rosebank International University College (RIUC) in Accra, Ghana. Registrations will open on 15 June 2025, ahead of the first academic semester which begins on 1 September 2025. This will be followed by a second enrolment cycle in February 2026. Situated in Accra’s prestigious Airport Residential Area, the RIUC campus will offer a wide range of high-demand qualifications, from doctoral programmes to diplomas. Fifteen qualifications have been accredited to date in fields including Business Administration, Digital Marketing, Information Technology, Service Management and Hospitality. The new RIUC campus builds on ADvTECH’s existing international presence in Kenya, Botswana, and Ethiopia, reinforcing its commitment to providing quality education across the African continent. “We are delighted to launch our highly successful Rosebank International brand in Ghana, expanding our tertiary education footprint outside South Africa for the first time. We look forward to delivering the superior academic outcomes and excellent student experiences we are known for in South Africa in Accra,” says ADvTECH Group CEO, Geoff Whyte. Students will benefit from a wide array of extracurricular activities and access to foundational academic, financial, digital literacy and psycho-social support programmes. The campus will also employ facial recognition access for enhanced security. 

SENS Announcement | 28 May 2025

By Tamara Thomas • May 28, 2025
ADvTECH Limited (Incorporated in the Republic of South Africa) (Registration number 1990/001119/06) Share code: ADH ISIN: ZAE000031035 (“ADvTECH” or “the Company”) RESULTS OF THE ANNUAL GENERAL MEETING In terms of section 3.95 of the JSE Listings Requirements, shareholders are hereby advised that at the Annual General Meeting (“AGM”) of shareholders of the Company held today, Wednesday 28 May 2025 all the proposed ordinary and special resolutions, as set out in the Notice of Annual General Meeting, were approved by the requisite majority of shareholders present or represented by proxy. Details of the results of voting at the annual general meeting are as follows:

Water Quality Monitoring Initiative: ADvTECH and IIE MSA Harness Student Power To Boost Sa’s Water Quality

By Tamara Thomas • May 28, 2025
ADvTECH, in collaboration with the IIE MSA Centre for Water and the Environment (CWE), has launched the Water Quality Monitoring Initiative, a national, student-led citizen science project aimed at protecting South Africa’s freshwater ecosystems. As a cornerstone of ADvTECH’s ESG Legacy Campaign, this innovative initiative arms university students with professional water testing tools to track and improve local water quality. A number of water courses will be tested for select chemical contamination and the presence of excessive bacterial and viral agents, while also testing for the presence of micro-organisms to discern the health of the ecosystem. Following a student awareness drive in April and May 2025, the campaign culminated in a successful Water Monitoring Day on May 20, which also saw the launch of a 3-months long competition. Running from July to September, student teams will now be vying for a R10 000 award based on their data and analysis.

South African teacher honoured with prestigious global STEM innovation award

By Tamara Thomas • May 22, 2025
Trailblazing South African educator Nadine Smith has been awarded the prestigious 2025 EDGE in Tech Athena Award for Early Career Leadership, recognising her groundbreaking work in transforming STEM education and making it more inclusive and accessible. Nadine Smith, a Coding and Robotics educator at ADvTECH, South Africa’s leading private education provider, was honoured by the Center for Information Technology Research in the Interest of Society and the Banatao Institute (CITRIS) at the University of California. The international award was presented during a special ceremony at UC Berkeley, where Smith stood out as the only recipient from Africa, and her recognition marks a proud moment for the country. She was one of just four global recipients of the award, which celebrates individuals leading the charge in creating more diverse, equitable, and impactful technology ecosystems. This year’s EDGE in Tech Athena Award recipients include: Executive Leadership: Susan Lyne, Co-Founder and Managing Partner, BBG Ventures Academic Leadership: Isabel Montañez, Distinguished Professor and Chancellor’s Leadership Professor of Earth and Planetary Sciences, University of California, Davis; Director, UC Davis Institute of the Environment Early Career Leadership: Nadine Smith, Coding and Robotics Educator, ADvTECH, South Africa Graduate Student Leadership: Zhe Fu, Doctoral Student in Transportation Engineering, UC Berkeley “It is incredibly important to recognise the people doing the difficult work of expanding access to essential tech fields,” said Jill Finlayson, Managing Director of the CITRIS Innovation Hub, which oversees the awards. “Those who champion on-ramps into STEM, fair workplaces and welcoming cultures are critical to the development of innovative technologies and help ensure that new solutions will work well for everyone.” Desiree Hugo, Academic Head at ADvTECH Schools, says the group was very proud of Smith. “We extend our heartfelt congratulations to Nadine Smith for her well-deserved 2025 EDGE in Tech Athena Award. Her passion for empowering students through coding and robotics education is transforming lives and inspiring a new generation of innovators. We are incredibly proud of Nadine’s global recognition and her unwavering commitment to making STEM accessible and inclusive for all,” Hugo said. Reflecting on the award, Nadine Smith said: “I believe every child deserves to see themselves in STEAM. Through coding and robotics, I strive to ignite confidence, curiosity, and creativity in learners, especially those who don’t yet realise they belong in tech. This award is not just a personal milestone, but a reminder of the importance of creating inclusive learning spaces where all young minds can dream, build, and lead.” Smith, who also leads EdTech initiatives and trains fellow teachers in integrating emerging technologies, has been widely recognised for her leadership, innovation, and commitment to education transformation in South Africa and beyond.

Breaking barriers: how adaptive learning can accelerate education in SA

By Tamara Thomas • May 22, 2025
As technological development transforms global education, the education sector in South Africa faces a critical challenge: how to deliver personalised, inclusive, and differentiated learning experiences that meet the diverse needs of every student. “As classrooms grow more diverse, both in learning styles and abilities, schools must adopt innovative approaches to ensure no student is left behind. Adaptive learning technologies offer a powerful solution, enabling educators to tailor instruction while fostering an inclusive environment,” says Andrea Kruger, EdTech specialist at ADvTECH Schools. Kruger recently delivered a keynote address at the 15th Cutting Edge Technologies in Education Practice Conference in Greece, on Empowering Inclusive Education. Adaptive learning technologies use data-driven insights to customise educational content, pacing, and assessments to suit individual student needs. These tools, ranging from intelligent tutoring systems to learning management platforms, allow educators to differentiate instruction without overwhelming their workloads. ADvTECH’s own adaptive Intelligent Tutoring System, ADvLEARN, exemplifies this approach by using AI to personalise learning pathways, ensuring each student progresses at their own pace. This system supports data-informed teaching while promoting learner autonomy across subjects. For students, this means a learning experience that feels tailored, engaging, and supportive, whether they’re mastering foundational skills or tackling advanced concepts. For teachers, it provides real-time feedback to adjust strategies, ensuring every student progresses. ACCESSIBILITY OF ADAPTIVE LEARNING TECHNOLOGIES IN SOUTH AFRICA ADvTECH leverages cutting-edge tools like Microsoft Learning Accelerators to enable adaptive learning and differentiation across its schools, says Kruger. But while these may not be accessible to all South African schools, cost-effective and free alternatives can enhance student outcomes and drive tech-enabled learning nationwide. “Resource-restricted schools can absolutely integrate adaptive learning technologies by starting small, leveraging free or low-cost tools, and prioritising teacher training and inclusivity. While they may not match the scale of a global best practice ecosystem, the core principles—pedagogy-driven tech, inclusivity, and adaptability—apply universally,” says Kruger. Additionally, by tapping into partnerships, open resources, and community support, these schools can deliver personalised learning that transforms student outcomes, proving that innovation is possible even with limited means. HOW TO INTEGRATE ADAPTIVE LEARNING TECH INTO THE CURRICULUM “The success of adaptive learning hinges on intentional implementation,” says Kruger. “Technology must not dictate educational strategy but rather enhance it. Schools should prioritise tools that align with their pedagogical goals, fostering critical thinking, collaboration, and creativity. Moreover, inclusivity must remain at the heart of these efforts, ensuring that technology bridges gaps for students with diverse needs, including those with learning difficulties or language barriers.” Kruger says a successful implementation of adaptive learning technology needs to consider the following:  Put pedagogy first : Choose technologies that support your teaching goals, fostering skills like critical thinking and creativity. Avoid tools that prioritise rote learning or dictate classroom strategies. For example, platforms with real-time analytics can help teachers tailor lessons dynamically while maintaining educational quality. Champion inclusivity : Select adaptive tools that cater to diverse learners, including students with disabilities, language barriers, or varying academic needs. Technologies should bridge gaps, ensuring every student—from those needing extra support to those ready for advanced challenges—feels included and empowered. Empower educators : Invest in teacher training to build confidence in using adaptive technologies. Tools like data dashboards can streamline administrative tasks, freeing teachers to focus on instruction. Free or low-cost training resources, such as UNESCO’s ICT Competency Framework, can support this in resource-constrained settings. Adopt cost-effective solutions : Resource-restricted schools can leverage free or low-cost platforms like Khan Academy, Moodle, or Kolibri, which offer personalised learning and offline capabilities. Mobile-first apps, such as Quizlet, can also deliver adaptive content using widely available smartphones, maximizing access in underserved areas. Stay adaptive and innovative : Regularly evaluate and update your tech practices to align with global trends and local needs. Encourage a culture of agility by piloting small-scale projects, assessing outcomes, and scaling successful initiatives. This ensures long-term relevance in a fast-evolving EdTech landscape. Engage communities : Involve parents, students, and local stakeholders to build trust in adaptive learning. Transparent communication about its benefits—such as improved engagement and equity—can foster buy-in.

Mapping your matric path: guide to navigating subject selection in grade 9

By Tamara Thomas • May 14, 2025
Grade 9 students are currently nearing a critical milestone in their educational journey: selecting the subjects they’ll study from Grade 10 through to their final Matric exams. This choice is a foundational step in shaping their academic journey and future career opportunities, an education expert says. “Even if you’re unsure about what you want to pursue after school, thoughtful planning can help you make informed decisions that keep your options open,” says Wonga Ntshinga, Senior Head of Programme: Faculty of ICT at The Independent Institute of Education , SA’s largest and most accredited private higher education provider. Ntshinga says while making decisions about subject selection can be daunting, it is an important process that will impact both performance and options down the line, and as such, careful consideration must be given to ensure that students choose as well as possible based on their unique strengths and interests. “The subjects you select for Grade 10 to 12 will influence your performance in the National Senior Certificate (NSC) exams. These choices will also affect your eligibility for further studies and certain career paths. The transition from Grade 9 to Grade 10 is significant because your subject combination lays the groundwork for your future academic and professional opportunities. By choosing wisely, you can position yourself for success in Matric while maintaining flexibility for your post-school plans,” Ntshinga says. KEY FACTORS TO CONSIDER WHEN CHOOSING SUBJECTS Align with your interests and strengths Select subjects you enjoy and where you perform well. Choosing subjects that spark your curiosity will keep you motivated, even when the work gets tough. Reflect on your academic strengths—do you excel in logical subjects like Mathematics or creative ones like Dramatic Arts? For instance, if you’re skilled at problem-solving, subjects like Accounting or Information Technology might be a good fit. Keep your options open If you’re uncertain about your future career, prioritise subjects that provide versatility. Broadly applicable subjects like Mathematics, Physical Sciences, or Geography equip you with skills like critical thinking and numeracy, which are valued across many university programmes and industries. Avoid choosing subjects solely because they seem easier, as this could limit your opportunities later. For example, many science and engineering degrees require Mathematics and Physical Sciences, not Mathematical Literacy. Explore career and study requirements Even without a clear career goal, research the subject requirements for fields you might consider. For instance, medicine demands Mathematics, Physical Sciences, and Life Sciences, while careers in law benefit from subjects like History or English for their focus on analysis and communication. Check university admission criteria for programmes that interest you. Consulting with a career advisor or attending university open days can also clarify which subjects align with in-demand fields. Consider emerging trends The job market is evolving at an unprecedented pace, with growing opportunities in technology, healthcare, and sustainability. Subjects like Mathematics, Physical Sciences, or Information Technology can prepare you for these high-demand areas. Thinking about future industries can guide you toward subjects that position you for long-term success.It is particularly important to consider career paths outside of the historically popular 3-4 year staple degrees. These days there is a vast array of options geared towards high-in-demand specialities that are industry-aligned. Investigate your higher education options more widely, as you may find the perfect fit for you, that didn’t even exist a few years ago. Aim for balance Choose a subject combination that challenges you while allowing you to achieve strong results. Including one or two subjects where you can excel can boost your overall Matric performance, which is critical for university admissions. For example, pairing a rigorous subject like Physical Sciences with a more manageable one like Life Sciences creates a balanced load in terms of leaving doors open while also allowing for a great Matric finals performance. Decide between Mathematics and Mathematical Literacy Choosing between Mathematics and Mathematical Literacy is a pivotal decision. Mathematics is required for fields like engineering, science, or commerce, while Mathematical Literacy suits humanities or vocational paths. If you’re unsure, Mathematics is the safer choice, as it qualifies you for a wider range of university programmes. If Mathematics feels challenging, discuss with your teacher whether extra effort or support could help you succeed over the next three years. “When making subject choices in Grade 9, it is helpful to start from where you want to be in 4 years’ time, and then reverse engineer how you might get there,” Ntshinga says. “Consult teachers, career counsellors, or student advisors at universities both public and private for tailored guidance. Teachers can assess your academic strengths, while counsellors and student advisors can explain how subjects connect to career paths.  “Also consider going to university Open Days. Although you don’t yet have to decide what to study, you are almost certain to gain highly valuable insights into your options after school, as well as gaining helpful advice and insights from professionals on campus.”

SENS Announcement | 12 May 2025

By Tamara Thomas • May 12, 2025
ADvTECH Limited (Incorporated in the Republic of South Africa) (Registration number 1990/001119/06) Share code: ADH ISIN: ZAE000031035 (“ADvTECH” or “the Company”) DEALINGS IN SECURITIES BY A FORMER DIRECTOR (RETIRED 30 APRIL 2025) OF THE COMPANY The following information is disclosed in respect of dealings in ADvTECH securities by a former ADvTECH director.

SENS Announcement | 9 May 2025

By Tamara Thomas • May 9, 2025
ADvTECH Limited (Incorporated in the Republic of South Africa) (Registration number 1990/001119/06) Share code: ADH ISIN: ZAE000031035 (“ADvTECH” or “the Company”) DEALINGS IN SECURITIES BY A FORMER DIRECTOR (RETIRED 30 APRIL 2025) OF THE COMPANY The following information is disclosed in respect of dealings in ADvTECH securities by a former ADvTECH director.

SENS Announcement | 6 May 2025

By Tamara Thomas • May 7, 2025
ADvTECH Limited (Incorporated in the Republic of South Africa) (Registration number 1990/001119/06) Share code: ADH ISIN: ZAE000031035 (‘ADvTECH’) VOLUNTARY ANNOUNCEMENT: VESTING OF SECURITIES OF FORMER DIRECTOR WHO RETIRED ON 30 APRIL 2025 The following transaction, in terms of the provisions of the ADvTECH Management Share Incentive Scheme (MSI), is hereby disclosed regarding performance and retention shares that have vested due to the retirement of a former director (accelerated pro-rated vesting in terms of the MSI rules):
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