ADvTECH Ltd. reported record first-half results for 2026, with revenue rising 8% year-on-year to ZAR 5.1 billion and operating profit climbing 14% to surpass ZAR 1 billion for the first time. The Johannesburg-listed group, which operates primarily in South Africa’s education sector, attributed the performance to sustained enrollment growth and improved operational efficiency.
Normalized earnings per share increased 16% year-on-year, while USD-normalized EPS rose 25%. The board declared an interim dividend of ZAR 0.53 per share, an 18% increase from the prior period, marking the sixth consecutive annual dividend increase. The company also initiated a 1% share buyback program.
Education accounted for 87% of group revenue and 96% of operating profit. Tertiary division revenue grew 17% and operating profit rose 19%, driven by a 19% increase in total tertiary enrollments to nearly 71,500 students across 32 campuses. Distance learning enrollments surged 34%, nearly doubling over the past two years. Schools revenue increased 5% overall, with rest-of-Africa schools up 14% to 48,000 students across 122 schools in four countries.
The resourcing division reported a 15% decline in revenue and a 12% drop in operating profit. CEO Geoff Jacobs noted the simplification of the tertiary business was complete and improving focus, while the group maintained strong growth in both schools and tertiary segments within a expanding market.
Capital expenditure commitments exceed ZAR 2 billion over the next three years, including projects at Emeris Durban, a KZN university development, and multiple campus expansions. Africa portfolio cash generation remains robust at ZAR 200-230 million annually, sufficient to fund roughly one new school per year. Shares of ADvTECH, which closed at ZAR 4,595 on Monday, have declined from a 52-week high of ZAR 4,955.
