Curro half-year revenue climbs 8.3%

Private education group Curro has reported a 16.2 per cent jump in its full year headline earnings per share, while maintaining fairly stable learner numbers across its campuses. Cobus Loubser, CEO of Curro, discussed the company's recent performance in an interview with CNBC Africa. One of the key highlights of the conversation was the success of Olympic silver medalist, Bayanda, who is also a learner at Curro. Loubser emphasized the importance of creating opportunities for learners and how Bayanda serves as an inspiration for what is achievable with the right support and resources. Despite the financial numbers demonstrating growth, Loubser acknowledged the challenges faced by families due to elevated interest rates. He expressed hope for relief for families struggling to pay fees and highlighted efforts to improve collections, reduce bad debts, and increase the operating margin, which improved by about 1% to 18% in the last two years. Looking ahead, Curro aims to continue enhancing opportunities for learners while managing risks associated with bad debts. Loubser discussed the company's fee increases for the upcoming year and expressed a commitment to supporting customers amidst inflationary pressures. Additionally, he addressed concerns regarding Curro's debt levels, noting that the organization is relatively comfortable with its current debt and expects to see improvement as the business grows and profitability increases. Furthermore, Loubser touched upon Curro's operations outside South Africa, particularly in Namibia, where the company recently opened two campuses. He indicated a focus on developing existing portfolios in South Africa before aggressively expanding into other African markets. Despite the potential for growth across the continent, Curro remains committed to maximizing opportunities within the country. Lastly, the conversation shifted towards the topic of migration and its impact on private schooling. Loubser acknowledged the challenges posed by parents migrating in search of better opportunities and the potential impact on student enrollment. While immigration remains a concern, Loubser expressed optimism about the future of South Africa and the potential for professionals to return to the country in the future. In summary, Curro's financial performance reflects resilience amidst economic challenges, with a focus on enhancing opportunities for learners and managing operational efficiency. The company remains optimistic about its future growth prospects while recognizing the impact of external factors on its operations.