PETALING JAYA: SEG Worldwide Bhd (SEGi) noticed its internet revenue for the second quarter ended June 30 (Q2 FY2023) plummet 80% to RM2.39 million from RM11.94 million a yr in the past on rising prices and a drop in overseas postgraduate college students.
In a bourse submitting as we speak, the personal tertiary schooling supplier attributed the earnings setback to rising prices and elevated finance-related bills.
Income for the quarter noticed an 11.08% contraction to RM47.49 million from RM53.41 million a yr earlier.
In comparison with the previous quarter, internet revenue noticed a 48% drop from RM4.6 million in Q1 FY2023 whereas income noticed a slight uptick of three.25%, rising from RM46 million. This progress was attributed to an inflow of recent scholar admissions in the course of the latter half of 2023 (H2 FY2023).
For the primary half ended June 30 (H1 FY2023), internet revenue slumped 66% to RM6.99 million from RM20.59 million in the identical interval final yr. Income noticed a 13.72% drop to RM93.49 million from RM108.36 million a yr in the past.
The group additionally attributed the drop in Q2 earnings to the substantial variety of postgraduate overseas college students graduating from SEGi establishments in previous monetary cycles. Consequently, each the income and revenue downturns had been influenced by these graduating cohorts, it famous.
The rising bills incurred had been primarily linked to the elevated depreciation of right-of-use property and lease curiosity expenditures, which had been direct penalties of revised lease phrases for varied campus buildings.
Its earnings per share (EPS) dropped to 0.20 sen from the earlier yr’s 0.97 sen.
SEGi, which operates the SEGi Group of Faculties, was arrange greater than 4 many years in the past. It has 5 campuses within the Klang Valley, Penang and Sarawak with a complete of about 16,000 college students, with 40% worldwide college students from 85 nations alongside 9.1% of overseas college employees.
In keeping with a submitting on Might 8, group managing director Clement Hii is SEGi’s largest shareholder with a direct stake of 32.4%, and a 24.4% oblique stake by way of Pinnacle Heritage Options Sdn Bhd.
SEGi’s shares closed unchanged at 65.5 sen as we speak, giving the group a market capitalisation of RM822.78 million.