Alef Education Approves AED 402.8 Million Dividend for 2024 Following Strong Financial Results

Education

Alef Education Approves AED 402.8 Million Dividend for 2024 Following Strong Financial Results

Alef Education Holding Plc (‘Alef Education’), a leading AI-driven learning solutions provider, has announced the approval of a final cash dividend of AED 402.8 million for the financial year 2024, reflecting a 90% payout ratio. This decision was finalized during the company’s first Annual General Meeting (AGM), underscoring its commitment to delivering sustainable value to shareholders.

Key Dividend Highlights

Total Dividend: AED 402.8 million for FY 2024.
Free Float Investors Share: AED 135 million allocated for 2024, with an additional AED 135 million planned for 2025.
Upcoming Payment: AED 67.5 million to be distributed to free float investors in April 2025.
Dividend Per Share: 10 fils, with a current dividend yield exceeding 9%.

Strong Financial Growth Since IPO

Alef Education has reported impressive financial performance since its listing on the Abu Dhabi Securities Exchange (ADX) in June 2024. The company achieved a net profit before tax of AED 491.7 million, marking a 6% year-on-year growth. Additionally, revenues for FY 2024 reached AED 759.0 million, driven by increased adoption of its AI-powered learning solutions.

The company also recorded a 5% year-on-year surge in EBITDA, reaching AED 512.2 million, with a 67.5% EBITDA margin. This growth has been attributed to strategic B2B partnerships and the stability of long-term B2G contracts.

H.E. Abdulhamid M. Saeed Alahmadi, Chairman of Alef Education, stated:
"Since our landmark IPO, Alef Education has continued to strengthen its financial and operational performance. Our robust dividend policy reflects our commitment to sustainable growth and long-term value creation for our shareholders."

Strategic Milestones and Market Expansion

During the AGM, Geoffrey Alphonso, CEO of Alef Education, highlighted the company’s strategic achievements, including:

Inclusion in the MSCI UAE Small Cap Index (November 2024), reinforcing investor confidence.
Expanding its footprint to 1.4 million students, leveraging AI-powered educational tools.
Securing a major contract worth AED 30 million, spanning a three-year period.
Collaboration with MetaMetrics® to develop ‘Miqyas Al Dhad’, an AI-powered Arabic literacy tool aimed at advancing language proficiency across the Arab world.
Strengthening partnerships with multiple Ministries of Education, promoting the adoption of AI-driven learning technologies.

Future Outlook: Growth, Innovation, and Market Leadership

Alef Education remains committed to expanding its presence in key markets and investing in AI-driven learning solutions. The company’s long-term strategy focuses on:

Enhancing operational efficiency to sustain profitability.
Scaling AI-powered education solutions for broader adoption.
Unlocking new market opportunities across the region.

With a dominant market position in the UAE and a strong financial foundation, Alef Education aims to drive innovation, digital transformation, and long-term shareholder value in the evolving AI-driven education sector.