Can EDU Holdings Sustain Its Rapid Growth After Maiden Dividend?
EDU Holdings Limited has reported a remarkable half-year performance for 2025, with revenue more than doubling and profitability surging, prompting the company to declare its first-ever interim dividend.
- Revenue more than doubled to $36.1 million
- EBITDA surged nearly fourfold to $10.9 million
- Profit after tax jumped to $6.3 million from $28,000
- Maiden fully-franked interim dividend of $0.01 per share declared
- New subsidiary established in the Philippines
Robust Financial Growth
EDU Holdings Limited has delivered an impressive half-year financial report for the period ending 30 June 2025, showcasing a dramatic turnaround from the previous corresponding period. The company’s revenue soared by 114% to $36.1 million, more than doubling from $16.9 million in the first half of 2024. This surge was accompanied by a near fourfold increase in EBITDA, which climbed to $10.9 million, reflecting operational efficiencies and stronger market demand.
Profit after tax attributable to members also saw a remarkable jump, reaching $6.3 million compared to a mere $28,000 in the prior year. This leap underscores EDU Holdings’ successful execution of its growth strategy and improved cost management.
Balance Sheet and Dividend Milestone
Alongside these strong earnings, EDU Holdings reported a positive net tangible asset backing of 0.83 cents per share, a significant improvement from a negative 4.29 cents a year earlier. This shift signals a healthier balance sheet and enhanced shareholder value.
Reflecting confidence in its financial position and future prospects, the Board declared a maiden interim fully-franked dividend of $0.01 per share, totaling approximately $1.5 million. This dividend will be payable on 30 September 2025 to shareholders registered by 3 September, marking a notable milestone for the company and a tangible return to investors.
Strategic Expansion and Outlook
During the period, EDU Holdings established a new subsidiary, EDU Corporate Services (Philippines) Inc, signaling a strategic move to expand its footprint in the Asia-Pacific region. While the immediate financial impact of this subsidiary is not detailed, it positions the company for potential growth opportunities in a dynamic market.
The company did not report any associates or joint ventures during the period, and no dividends were paid in the prior half-year, highlighting the significance of this maiden dividend declaration.
Overall, EDU Holdings’ half-year report reflects a company on a strong growth trajectory, with solid operational performance and a clear commitment to delivering shareholder value.
Bottom Line?
EDU Holdings’ strong half-year results and maiden dividend set the stage for heightened investor interest and scrutiny of its growth strategy moving forward.
Questions in the middle?
- How will the new Philippine subsidiary contribute to future earnings?
- What are the company’s plans for sustaining this rapid revenue growth?
- Will EDU Holdings continue paying dividends regularly going forward?
