CHAMWE KAIRA
Curro Holdings Limited has said in the financial results for the six months ended 30 June that it is actively pursuing opportunities to offer quality education to more learners in Southern Africa.
The group opened two new campuses in Walvis Bay and Oshana and also owns the Windhoek Gymnasium.
The Walvis Bay Gymnasium opened with 350 pupils. Oshana Gymnasium opened with an initial intake of 200 to 250 learners. The two new schools were built at a total cost of N$240 million.
Curro said the two new campuses in Namibia are part of a joint venture. “Much of the group’s focus in the short to medium term is to support and increase the capacity utilisation of its existing facilities.”
Curro invested N$306 million in its business during this period and plans to invest up to N$700 million in capital projects during the full 2024-year to maintain, replace and expand its facilities and accommodate the strong demand for, particularly, high school tuition.
The group said other investing activities of N$16 million in the statement of cash flows represent the aggregate net decrease in money market investments and other financial assets.
The group said it increased its operating margin during this period and said this will sustainably generate more cash from its operations than what is required for capital expenditure in the future.
“Despite a strained economic environment, our customers trust Curro to provide high quality education and we are deeply committed to excellence.”
On a time-weighted basis, Curro’s average number of learners for the first half of 2024 increased by 0.5% to 72 758 learners and revenue increased by 8,3% to N$2,5 billion from the previous comparable period.
Total operating costs (excluding depreciation, amortisation and expected credit losses) increased by 8.1%, with total employee costs constituting about two thirds of the group’s total operating costs.
The total increase in employee costs was 7,4%, while other expenses grew by 9,4%.
“Accordingly, the ratio of other expenses to revenue in the current period was higher than the prior corresponding period, driven by additional extramural activities and increased costs associated with the growth in ancillary services. If the cost to execute the increased ancillary services revenue is excluded from other expenses; the other costs increase by 6,8%.”
Curro said it expected credit losses of N$77 million provided for during the first half of this year were similar to the N$78 million provided in the first half of last year.
