Increased enrollment pushed up CIRA’s topline: EGX-listed education services provider CIRA Education posted a 35% y-o-y increase in revenues to EGP 2.7 bn for the fiscal year ending 31 August 2024, according to its latest earnings release (pdf). The growth was due not to “fee increases but by an expanding student base, a reflection of our commitment to affordability and accessibility for Egypt’s middle class,” said CEO Mohamed El Kalla.

Driving the growth: Tuition revenues increased 34% y-o-y to EGP 2.5 bn — accounting for 91.9% of the company’s total revenues — as more students enrolled across all segments, supported by the opening of three new faculties and two schools. Higher education tuition fees contributed the most to the overall rise in tuition fee income, increasing 43% y-o-y to EGP 1.7 bn on the back of increased enrollment at Badr University in Cairo and the Badr University in Assiut. Its K-12 platform saw tuition fee revenues rise 19% y-o-y to EGP 848.5 mn as new students enrolled in recently opened schools.

Financing costs pushed down the company’s bottom line: Net income dropped 56% y-o-y to EGP 61 mn as a 68% y-o-y increase in finance costs pitched the company’s bottom line. The reduction can also be attributed to “the unique financial dynamics within the education segment, where the fiscal year captures approximately 9.5 months of revenue against a full 12 months of costs,” according to the release.

Looking ahead: “In the coming months, we look forward to sharing our groundbreaking initiatives that will reshape not just our offerings, but the way the education industry is perceived and delivered in Egypt and beyond,” said El Kalla.

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