RIYADH: National Company for Learning and Education (NCLE) said profit fell by a quarter after the school operator gave discounts to its students forced to learn online during the pandemic.
Net profit after zakat and tax fell 24.6 percent year on year to SR9.1 million ($2.4 million) in the three months ended May 31, NCLE said in a filing to the Saudi Exchange on Thursday. Revenue slid 18.5 percent to SR45.4 million.
Profit doubled from the previous quarter as students began to return and discounts were reduced, the company said.
Tuition discounts ranged from 10 percent to 50 percent as NCLE sought to retain its student numbers. The number of students enrolled in the most recent quarter fell by 8 percent year over year, of which 76 percent was from students for kindergarten and the first grade of primary school.
However, the school operator benefited from government grants and subsidies through the Saned initiative.
Saudi school operator NCLE profits hit by pandemic fee discounting
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Updated 08 July 2021
Saudi school operator NCLE profits hit by pandemic fee discounting
- Fiscal 3Q net profit fell 24.6 percent to SR9.1 million
- Fee discounts ranged from 10 percent to 50 percent
