By the end of the fiscal year ending on August 31, 2022, NCLE, which establishes and manages private schools for public education in the Kingdom, had reported a profit of 71.1 million riyals, up from 24.5 million riyals achieved in 2021.
Profits increased during the current quarter compared to the same quarter last year for the following reasons:
A 75% increase in revenues was achieved compared to the previous year, primarily because the number of students in the company’s schools increased by 29% from 13.3 thousand last year to 17.1 thousand by the end of the current year, in addition to an increase in tuition fees in comparison to last year, which included exceptional discounts as a result of the Corona pandemic, which the company announced at the time. The increase in profits came despite the decrease in government grants and subsidies during the current year compared to the previous year, which is mainly due to the company benefiting from the government initiative “Saned” related to mitigating the financial effects of the repercussions of the emerging Coronavirus during the previous year. Furthermore, shareholders’ equity (no minority rights) for the current period totaled 650.548 million riyals, compared to 614.999 million riyals last year at the end of the same period. Moreover, a new educational complex for TNS Schools was opened in Al-Arid district at the beginning of the current year 2021-2022, contributing to the increase in the number of enrolled students. This move also helped to attract students to enroll in the newly opened TNS Schools such as Qayrawan and Buraydah branches. During the current year, the company achieved profitability rates before the Corona pandemic, despite the high operational costs of operating modern complexes.
