Academy of Learning profits grow by 32% to SAR 21.4 mln at the end of 2022

The net profit after zakat and tax for the Learning Academy Company rose to SAR 21.4 million during the year 2022, compared to SAR 16 million in 2021, or 32%. This came after today’s announcement of the annual financial results ending on 12-31-2022.

The operating profit amounted to SAR 25 million during the year ending in 2022, compared to SAR 19 million in the previous year, with a growth of 28%.

As for the total profit, it amounted to SAR 40 million in the current year, compared to SAR 27 million in the previous year, an increase of 47%.

Earnings per share in the current year amounted to SAR 3.56, compared to SAR 3.08 in the previous year.

The net profit increased during this year by 31.88% compared to the previous year due to:

1. The average number of students increased during the year by 44.4% compared to the previous year which was reflected in the revenue growth of 48.8%. This increase in the number of students is mainly due to:

• Increasing the efficiency and capacity of the Academy’s branches, which was reflected in the ability of these branches to increase the number of students

• The opening of a new branch in the second half of the year led to an increase in the company’s capacity, and thus reflected as an increase of the number of students.

2. Introducing another source of income for the company represented in additional revenues, which amounted to 1.56 million Saudi Riyals represented in the interests of bank deposits, which resulted from the using the available company’s surplus funds to invest in bank deposits following the company’s financial policies to benefit from the surplus funds without affecting the company’s liquidity Cash that serves its various operations

The company has succeeded in achieving a growth rate in revenues despite off:

1. The opening of the new branch of the company was in August of the year 2022. Therefore, the revenue reflects the company’s income statement for only 4 months of the year. However, some of the expenses for the branch reflected in the company’s income statement was for more than 4 months (ex.: rent – Marking expenses – some salaries-…), which will not be the same case in 2023, as the branch will be operated throughout the full year.

2. The company’s income statement for the year 2022 has incurred some of the expenses related to listing the company on the Nomu Market, which are considered one-time and non-recurring expenses.

The growth rate in net profits for the year is 31.88% compared to the previous year. However, the growth rate in earnings per share is only 15.58% compared to the previous year, that’s due to the difference in the weighted average number of shares during the current period, which is 6,000,000 shares compared to 5,265,205 shares in the previous year.