Alef Education delivers strong results as shareholders approve AED 433.0mln cash dividend for FY 2025

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AED 135 million was distributed to free-float investors, representing 20% of the shareholder base.
The Board has also approved an interim cash dividend equivalent to 90% of H1 2026 profits, reinforcing its commitment to a strong and consistent payout policy.

Abu Dhabi, UAE: Alef Education Holding Plc (‘Alef Education’ or ‘the Company’), an award-winning AI-driven learning solutions provider, today announced the successful conclusion of its Annual General Meeting (‘AGM’), at which shareholders approved all agenda items, including the Board of Directors’ report and the financial statements for the year ended 31 December 2025 (‘FY 2025’). Shareholders also approved the distribution of cash dividends amounting to AED 224.0 million for the second half of FY 2025, including AED 67.5 million allocated to free-float investors.

This approval brings the total dividend for FY 2025 to AED 433.0 million, underscoring the Company’s disciplined capital allocation strategy and its ongoing commitment to delivering sustainable, long-term returns to shareholders through a clear and transparent dividend policy.

In addition, the AGM approved the Board of Directors’ recommendation to distribute an interim cash dividend equivalent to 90% of the Company’s profits for the first half of the financial year ending on 31 December 2026 further reinforcing its robust payout framework.

Strong Financial Performance and Strategic Growth

During the AGM, H.E. Abdulhamid M. Saeed Alahmadi, Chairman of Alef Education, highlighted the Company’s strong financial and operational performance in 2025.

Alef Education delivered resilient financial results, with revenues reaching AED 769.5 million, reflecting a 1.4% year-on-year increase. This performance was underpinned by the stability of its core UAE portfolio, coupled with sustained growth across non-school B2B and B2G segments, private schools, and expanding international operations.

The Company’s continued focus on operational discipline and efficiency gains translated into a strong EBITDA performance, which grew by 7% year-on-year to AED 550.7 million. EBITDA margin expanded to 71.6%, up by 360 basis points compared to FY 2024, highlighting the scalability of Alef Education’s business model and the effectiveness of its cost optimisation strategy.

Net profit rose to AED 481.1 million, marking an 8% year-on-year increase, with net profit margin improving to 62.5%. This growth was primarily supported by higher EBITDA, improved cost efficiencies, and stronger contributions from newly secured contracts, partially offset by increased corporate tax.

Alef Education ended FY 2025 with a strong liquidity position, holding AED 619.5 million in cash and cash equivalents as of 31 December 2025, supported by a debt-free balance sheet. This robust financial position underpins operational flexibility and continued investment in product and platform development, while supporting disciplined capital allocation.

Geoffrey Alphonso, Chief Executive Officer of Alef Education, stated: “FY 2025 demonstrated that our model is both educationally effective and commercially viable at scale. With over 120,000 paying private-school students now on the platform, representing 36% of the UAE private-school market, we have built a business that delivers measurable impact and strong returns simultaneously. The AED 433.0 million total dividend we are distributing reflects the quality of our earnings and our Board's confidence in the sustainability of this model. Our debt-free balance sheet gives us the financial flexibility to invest in international growth while continuing to reward shareholders, and that balance defines our capital allocation philosophy going forward."

Investing in Growth, Innovation, and Global Expansion

The AGM also highlighted key business development initiatives undertaken by the Company during FY 2025. Alef Education advanced its domestic and international growth agenda, translating engagement into tangible delivery and implementation. In the UAE, the Company strengthened its leadership in the public-school segment by onboarding approximately 4,000 additional students, bringing the total number of students on the Alef Platform in Abu Dhabi public schools to more than 73,000. The private-school segment also recorded robust expansion, with revenues increasing by approximately 50% year-on-year. The platform now serves 183 schools and approximately 122,000 paying students, representing around 36% of the UAE private-school market.

Building on this base, Alef Education expanded its non-school B2B/B2G segment, signing eight new contracts in FY 2025 with a total contract value of AED 64.4 million across domestic and international markets, while continuing to develop a growing pipeline to support future conversion and diversification beyond the UAE public-school portfolio. These efforts are aligned with Alef Education’s 2025–2030 global strategy, which prioritises expansion into international B2G markets, leveraging proven educational outcomes and alignment with the United Nations Sustainable Development Goals.

The AGM was informed that Alef Education made significant progress on the product front, executing against its innovation roadmap. The Company introduced new Alef Pathways variants, including Arabic reading programs for Grades 3–10, alongside expanded offerings in Mathematics, Science, and English. Enhancements were also implemented across its supplementary platforms, including Arabits and Abjadiyat, while a comprehensive Arabic language assessment solution - covering reading, writing, listening, and speaking - was launched to further strengthen its integrated ecosystem.

Miqyas Al Dhad, Alef Education’s unified reading measurement scale to measure student growth in Arabic reading comprehension for Grades 1-12, achieved key milestones during FY 2025, completing large-scale field testing and internal validation. The platform remains on track for launch in Q2 2026.

Outlook

During the meeting, management confirmed that Alef Education will remain focused on scaling its AI-driven learning solutions, enhancing operational efficiencies, and expanding its footprint across priority markets. Backed by a clear strategic roadmap and a leading position in the UAE, the Company is well-positioned to unlock new growth avenues, deepen its global presence, and sustain long-term value creation for all stakeholders.

About Alef Education

Founded in 2016, Alef Education (ALEFEDT on the Abu Dhabi Securities Exchange) is an award-winning AI powered learning solutions provider redefining K to 12 education. Headquartered in Abu Dhabi, the company serves more than 1.8 million students and 79,000 educators across 17,000 schools in the UAE, Indonesia, and Morocco. Its flagship Alef Platform delivers personalized learning experiences that enhance student engagement and outcomes, while its supplemental solutions Alef Pathways, Abjadiyat, and Arabits extend learning across subjects and languages.

Through its innovative use of artificial intelligence, data insights, and culturally relevant content, Alef Education is transforming teaching and learning to advance equity, access, and excellence for every student.

For more information, visit www.alefeducation.com