Alef Education delivers resilient H1 2026 performance with revenues of AED 361.6 million and a sector-leading 74.7% EBITDA margin

Alef Education Holding PLC (the “Company” or “Alef Education” or “ADX: ALEFEDT”), an award-winning AI-powered learning solutions provider redefining the educational experience for K-12 students, based in Abu Dhabi, today announced its financial results for the six-month period ending 30 June 2026 (“H1 2026”).

Chief Executive Officer of Alef Education, stated:

"Our first-half results demonstrate the resilience of Alef Education's business model. Supported by our contracted, recurring revenue base and debt-free balance sheet, we delivered a consistent financial performance while continuing to invest in the long-term opportunities that will drive our next phase of development.

During the period, we advanced our product roadmap ahead of the new academic year, expanded strategic partnerships and progressed opportunities across both the UAE and international markets. As we enter the second half, we remain focused on disciplined execution, scaling our AI-powered learning ecosystem, and creating sustainable long-term value for our students, partners and shareholders." 

Geoffrey Alphonso

Continued Profitability and Financial Resilience in H1 2026

Alef Education delivered resilient H1 2026 financial performance, with revenue increasing 1.2% YoY to AED 361.6 million. Growth was driven by a higher B2G and B2B contribution as contracts secured in prior periods ramped up revenue recognition, while the core ADEK G5–12 portfolio held stable. Education Solutions revenue grew on the recurring ADEK contract, and Support and Services revenue was broadly flat year-on-year with higher revenue expected in H2, driven by the cyclical refresh of IT devices at the start of the academic year.

EBITDA reached AED 270.2 million, up 0.8% YoY, while maintaining a sector-leading EBITDA margin of 74.7% compared with 75.0% in H1 2025. EBITDA growth was driven primarily by higher revenue, led by non-ADEK segments, alongside continued cost optimization, with the margin held broadly steady on the platform-based model.

Net profit increased by 1.8% YoY to AED 236.4 million, translating to earnings per share of Fils 3.38 (H1 2025: Fils 3.32) with net profit margin up by 40 bps to 65.4%, supported by higher revenue and stronger treasury income. 
Cash and cash equivalents stood at AED 644.9 million as at 30 June 2026, with the balance sheet remaining debt-free. This debt-free position gives the Company flexibility to fund ongoing operational commitments, keep investing in product and platform development, support international expansion, and maintain shareholder distributions.

A Consistent and Attractive Dividend Policy

During H1 2026, the Group paid its FY2025 final dividend of AED 224.0 million, in line with the Company's 90% payout policy. Building on this, the Board of Directors approved an interim cash dividend of AED 212.8 million for H1 2026, equal to 3.04 fils per share and representing 90% of H1 2026 net profit, payable following the release of the H1 2026 results. Together these distributions reflect the Board's focus on pairing attractive, sustainable shareholder returns with continued long-term growth.

Partnerships, Platform Scale and Innovation

Alef Education continued to execute its growth strategy across the GCC and international markets during H1 2026, strengthening government and institutional partnerships that underpin its recurring revenue model. In the UAE, the Company's long-term partnership with ADEK continued to provide strong revenue visibility, while engagement with the Ministry of Education expanded through new AI and assessment initiatives. During the period, Alef Education delivered a large-scale AI professional development programme to 25,000 teachers in collaboration with Microsoft and signed a memorandum of understanding with TMRW Edtech to explore AI-powered education solutions across the GCC.

Internationally, Alef Education continued to expand its commercial pipeline across Africa and other emerging markets, advancing funding arrangements and implementation discussions while deepening engagement with leading multilateral organisations to support future growth opportunities.

The Company's platform continued to scale, reaching approximately 2.0 million learners, 85,000 teachers and 20,000 schools globally. Innovation remained a key growth driver, with Miqyas Al Dhad completing large-scale field testing across approximately 112,000 students across nine countries. Alef Education also continued to advance its AI product roadmap ahead of the new academic year, including the launch of AI Literacy for students, expanded curriculum coverage through Pathways, and Toki for Teachers, an AI-powered assistant designed to automate routine teaching tasks and enhance classroom productivity.

Outlook

Alef Education is maintaining its FY 2026 guidance, reflecting confidence in the resilience of its recurring revenue model and continued execution of its growth strategy. Revenue is expected to increase 7% YoY, EBITDA 4% YoY with a margin above 68%, and net profit 4% YoY with a margin above 60%. This outlook is supported by strong visibility from the ADEK contract, continued momentum across the B2B, B2G, private segments and expanding international opportunity pipeline.

Against an evolving macroeconomic environment, the Company remains confident in its ability to execute on its strategic priorities and preserve the strength of its operating model, while staying committed to its 90% payout policy and to delivering sustainable shareholder returns alongside long-term growth.