The company aims to operate some of its new projects in the next academic year.” Khaled Muhammad Al-Khudair, CEO of NCLE, said. The company announced the rental of two educational buildings in Riyadh, in Al-Arid and Al-Qayrawan districts and aims to operate them in the upcoming academic year. As part of his speech, Al-Khudair said the company rented three educational lands in the city of Riyadh, including Qurtoba, Hittin, and Narjis, for the purpose of building educational complexes. In addition, the company announced previously that it was planning to acquire Al-Salam Private Schools and is completing the full acquisition process. And he explained that the complexes that contributed the most to the company’s revenues are Al Rawabi, Al Rayyan and Al Nuzha complexes. This indicates that the new complexes, which were recently opened during the past two years, are witnessing upward growth in their revenues, as the revenues of the Al Qayrawan complex amounted to 41.7 million, which represents 14% of the company’s revenues of 308 million riyals. Furthermore, he said that Al-Arid complex contributes 7% to the revenues in its first year of operation, a result of the high demand for high-quality education in the northern districts of Riyadh, and He indicated that the decrease in government grants and subsidies amounted to 3.9 million riyals by 36% compared to the same previous year

Details of the interview:

Q1: During the end of the fourth quarter of 2022, “The National Company for Learning and Education” achieved profits of 16 million riyals, compared to a profit of 7 million riyals during the same period in 2021. What do you make of these results?

A1: First, we thank Allah for his guidance, as well as the members of the Board of Directors and all the employees of the company for their concerted efforts, which resulted in the growth of the company’s profits this year. And of course, the growth in the company’s profits is in line with the growth in its revenues, which is accompanied by the growth in the number of students. This is what the company aims for in terms of continuous growth in its business, as 6 new projects during the last three months have been announced, including the acquisition of Al-Salam Schools in Al-Khobar, as well as renting two educational buildings in Riyadh’s Al-Arid and Al-Qayrawan districts, which we intend to operate in the near future. In addition, and by God’s will, we are renting three educational lands in Cordoba, Hittin, and Narjis districts, and are about to initiate educational complexes and operating them.

Q2: When compared with the previous year, how much have grants and subsidies decreased?

A2: The decrease in government grants and subsidies amounted to 3.9 million riyals, or 36%, compared to the previous year, as it included grants for the “Saned” initiative related to mitigating the financial effects resulting from the repercussions of the emerging Coronavirus. Besides that, It is worth mentioning here that the SANED initiative has proven its economic efficiency in the private sector, so we extend our deepest gratitude to our wise government on this front.

Q3: In the fourth quarter of 2022, how many students were enrolled in schools? Tuition fees increased by how much?

A3: In the fourth quarter of fiscal year 2022, there were 17,148 students enrolled in schools, and of course, tuition fees have increased, with exceptional discounts because of the Corona pandemic.

Q4: In the fourth quarter, which complex contributed the most?

A4: Al-Rawabi, Al-Rayyan and Al-Nuzha complexes are the educational complexes that contribute the most to the company’s revenues. However, it is worth noting that the new complexes that were recently opened during the past two years are witnessing an upward growth in their revenues. In its two years of operation, Qayrawan complex has generated revenue of 41.7 million, or 14% of the company’s total revenue of 308 million. Although Al-Arid is in its first year of operation, its revenue participation rate is 7%. This is due to the high demand for high-quality education in the northern districts of the city of Riyadh.

Q5: What is the capacity of the schools?

A5: The capacity of the company’s complexes during the fiscal year of 2022 is approximately 28,645 students, and this capacity naturally increases over the years due to the company’s future projects.

Q6: What are your expectations for the company’s performance in the first quarter of 2023?

A6: By nature, we are always optimistic and trust God first, then the efforts of the company’s employees to achieve growth targets. During this quarter of the year, we are witnessing the inauguration of Tarbiyah Namojiya International Schools Complex in Dhahran, with a capacity of 2,625 students. Moreover, The company had previously announced the acquisition of Al-Salam Private Schools and is in the process of completing the full acquisition of the schools, which in turn will have a positive impact on the company’s results. In addition to the targeted growth in all our educational complexes, especially the newly opened complexes.