New Risk • May 27
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 2.8x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. This is currently the only risk that has been identified for the company. Reported Earnings • May 21
Third quarter 2026 earnings released: EPS: ر.س0.70 (vs ر.س0.33 in 3Q 2025) Third quarter 2026 results: EPS: ر.س0.70 (up from ر.س0.33 in 3Q 2025). Revenue: ر.س178.0m (up 4.9% from 3Q 2025). Net income: ر.س29.3m (up 111% from 3Q 2025). Profit margin: 16% (up from 8.2% in 3Q 2025). The increase in margin was primarily driven by higher revenue. Revenue is forecast to grow 5.4% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 16% per year but the company’s share price has fallen by 8% per year, which means it is significantly lagging earnings. Price Target Changed • Apr 26
Price target decreased by 7.0% to ر.س67.63 Down from ر.س72.75, the current price target is an average from 4 analysts. New target price is 22% above last closing price of ر.س55.40. Stock is down 19% over the past year. The company is forecast to post earnings per share of ر.س2.49 for next year compared to ر.س2.05 last year. Upcoming Dividend • Mar 31
Upcoming dividend of ر.س0.75 per share Eligible shareholders must have bought the stock before 07 April 2026. Payment date: 20 April 2026. Payout ratio is a comfortable 72% and this is well supported by cash flows. Trailing yield: 2.7%. Lower than top quartile of Saudi dividend payers (5.7%). In line with average of industry peers (2.5%). New Risk • Mar 06
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 19% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. This is currently the only risk that has been identified for the company. Reported Earnings • Mar 05
Second quarter 2026 earnings released: EPS: ر.س0.89 (vs ر.س0.49 in 2Q 2025) Second quarter 2026 results: EPS: ر.س0.89 (up from ر.س0.49 in 2Q 2025). Revenue: ر.س195.1m (up 17% from 2Q 2025). Net income: ر.س37.4m (up 79% from 2Q 2025). Profit margin: 19% (up from 13% in 2Q 2025). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.0% p.a. on average during the next 3 years, compared to a 11% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has fallen by 2% per year, which means it is significantly lagging earnings. Announcement • Jan 29
Ataa Educational Company Approves Cash Dividend for Fiscal Year Ended July 31, 2025 Ataa Educational Company at its Extraordinary General Assembly Meeting held on January 28, 2026 approved to distribute cash dividends to shareholders for the financial year ended 31 July 2025, in a total amount of SAR 63,130,823, at SAR 1.50 per share, representing 15% of the paid-up capital. Eligibility for dividends shall be for shareholders who own the shares at the end of the trading day of the General Assembly Meeting and who are registered in the Company’s shareholders’ register with the Securities Depository Center (Edaa) at the end of the second trading day following the entitlement date. Dividends shall be distributed starting from 11 February 2026. Upcoming Dividend • Jan 22
Upcoming dividend of ر.س1.50 per share Eligible shareholders must have bought the stock before 29 January 2026. Payment date: 11 February 2026. Payout ratio is a comfortable 72% and this is well supported by cash flows. Trailing yield: 3.0%. Lower than top quartile of Saudi dividend payers (5.9%). Higher than average of industry peers (2.3%). Announcement • Jan 06
Ataa Educational Company, Annual General Meeting, Jan 28, 2026 Ataa Educational Company, Annual General Meeting, Jan 28, 2026, at 18:30 Arab Standard Time. Location: riyadh Saudi Arabia Reported Earnings • Dec 13
First quarter 2026 earnings released: EPS: ر.س0.52 (vs ر.س0.47 in 1Q 2025) First quarter 2026 results: EPS: ر.س0.52 (up from ر.س0.47 in 1Q 2025). Revenue: ر.س165.2m (down 1.6% from 1Q 2025). Net income: ر.س22.0m (up 12% from 1Q 2025). Profit margin: 13% (up from 12% in 1Q 2025). The increase in margin was driven by lower expenses. Revenue is forecast to grow 12% p.a. on average during the next 2 years, compared to a 11% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. New Risk • Sep 13
New major risk - Revenue and earnings growth Earnings are forecast to decline by an average of 1.9% per year for the foreseeable future. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are expected to decline, then in most cases the share price will decline over time as well. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.5x net interest cover). Earnings are forecast to decline by an average of 1.9% per year for the foreseeable future. Reported Earnings • Sep 09
Full year 2025 earnings: EPS exceeds analyst expectations while revenues lag behind Full year 2025 results: EPS: ر.س1.97 (up from ر.س1.51 in FY 2024). Revenue: ر.س640.8m (down 5.6% from FY 2024). Net income: ر.س81.4m (up 28% from FY 2024). Profit margin: 13% (up from 9.3% in FY 2024). The increase in margin was driven by lower expenses. Revenue missed analyst estimates by 5.4%. Earnings per share (EPS) exceeded analyst estimates by 15%. Revenue is forecast to grow 10.0% p.a. on average during the next 2 years, compared to a 10% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 11% per year but the company’s share price has only increased by 3% per year, which means it is significantly lagging earnings growth. New Risk • Jun 18
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Saudi stocks, typically moving 6.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Interest payments are not well covered by earnings (2.0x net interest cover). Minor Risk Share price has been volatile over the past 3 months (6.6% average weekly change). Price Target Changed • Jun 05
Price target decreased by 9.8% to ر.س72.75 Down from ر.س80.67, the current price target is an average from 4 analysts. New target price is 18% above last closing price of ر.س61.60. Stock is up 8.3% over the past year. The company is forecast to post earnings per share of ر.س1.82 for next year compared to ر.س1.51 last year. Reported Earnings • May 30
Third quarter 2025 earnings released: EPS: ر.س0.33 (vs ر.س0.26 in 3Q 2024) Third quarter 2025 results: EPS: ر.س0.33 (up from ر.س0.26 in 3Q 2024). Revenue: ر.س168.7m (up 3.1% from 3Q 2024). Net income: ر.س13.9m (up 27% from 3Q 2024). Profit margin: 8.2% (up from 6.7% in 3Q 2024). The increase in margin was driven by higher revenue. Revenue is forecast to grow 5.1% p.a. on average during the next 3 years, compared to a 9.8% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 5% per year whereas the company’s share price has increased by 6% per year. Buy Or Sell Opportunity • Mar 16
Now 20% overvalued Over the last 90 days, the stock has fallen 8.7% to ر.س67.00. The fair value is estimated to be ر.س55.62, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 9.7% over the last 3 years, while earnings per share has been flat. For the next 3 years, revenue is forecast to grow by 5.1% per annum. Earnings are also forecast to grow by 15% per annum over the same time period. Reported Earnings • Mar 13
Second quarter 2025 earnings released: EPS: ر.س0.49 (vs ر.س0.27 in 2Q 2024) Second quarter 2025 results: EPS: ر.س0.49 (up from ر.س0.27 in 2Q 2024). Revenue: ر.س165.4m (down 2.9% from 2Q 2024). Net income: ر.س20.8m (up 82% from 2Q 2024). Profit margin: 13% (up from 6.7% in 2Q 2024). The increase in margin was driven by lower expenses. Revenue is forecast to grow 5.2% p.a. on average during the next 3 years, compared to a 13% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 1% per year whereas the company’s share price has increased by 4% per year. Buy Or Sell Opportunity • Dec 29
Now 23% overvalued Over the last 90 days, the stock has fallen 12% to ر.س72.10. The fair value is estimated to be ر.س58.61, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 15% over the last 3 years. Earnings per share has declined by 4.2%. For the next 3 years, revenue is forecast to grow by 4.8% per annum. Earnings are also forecast to grow by 17% per annum over the same time period. Announcement • Dec 24
Ataa Educational Company, Annual General Meeting, Jan 13, 2025 Ataa Educational Company, Annual General Meeting, Jan 13, 2025, at 18:30 Arab Standard Time. Location: riyadh Saudi Arabia Reported Earnings • Sep 18
Full year 2024 earnings: EPS and revenues miss analyst expectations Full year 2024 results: EPS: ر.س1.51 (down from ر.س1.61 in FY 2023). Revenue: ر.س678.6m (flat on FY 2023). Net income: ر.س63.4m (down 6.5% from FY 2023). Profit margin: 9.3% (in line with FY 2023). Revenue missed analyst estimates by 4.2%. Earnings per share (EPS) also missed analyst estimates by 26%. Revenue is forecast to grow 10% p.a. on average during the next 2 years, compared to a 14% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has increased by 12% per year, which means it is tracking significantly ahead of earnings growth. New Risk • Sep 13
New major risk - Revenue and earnings growth Earnings have declined by 5.3% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (1.9x net interest cover). Earnings have declined by 5.3% per year over the past 5 years. Buy Or Sell Opportunity • Sep 01
Now 22% overvalued after recent price rise Over the last 90 days, the stock has risen 30% to ر.س78.50. The fair value is estimated to be ر.س64.56, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 28% over the last 3 years. Earnings per share has grown by 6.4%. For the next 3 years, revenue is forecast to grow by 6.1% per annum. Earnings are also forecast to grow by 21% per annum over the same time period. Buy Or Sell Opportunity • Jul 24
Now 22% overvalued Over the last 90 days, the stock has fallen 2.5% to ر.س69.20. The fair value is estimated to be ر.س56.77, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 28% over the last 3 years. Earnings per share has grown by 6.4%. For the next 3 years, revenue is forecast to grow by 6.1% per annum. Earnings are also forecast to grow by 21% per annum over the same time period. Buy Or Sell Opportunity • Jun 10
Now 21% overvalued Over the last 90 days, the stock has fallen 24% to ر.س59.40. The fair value is estimated to be ر.س49.16, however this is not to be taken as a sell recommendation but rather should be used as a guide only. Revenue has grown by 28% over the last 3 years. Earnings per share has grown by 6.4%. For the next 3 years, revenue is forecast to grow by 6.2% per annum. Earnings are also forecast to grow by 21% per annum over the same time period. Reported Earnings • Jun 04
Third quarter 2024 earnings released: EPS: ر.س0.26 (vs ر.س0.26 in 3Q 2023) Third quarter 2024 results: EPS: ر.س0.26 (up from ر.س0.26 in 3Q 2023). Revenue: ر.س161.4m (up 1.0% from 3Q 2023). Net income: ر.س10.9m (up 1.6% from 3Q 2023). Profit margin: 6.8% (up from 6.7% in 3Q 2023). Revenue is forecast to grow 6.2% p.a. on average during the next 3 years, compared to a 14% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 6% per year whereas the company’s share price has increased by 7% per year. Reported Earnings • Mar 12
Second quarter 2024 earnings released: EPS: ر.س0.27 (vs ر.س0.23 in 2Q 2023) Second quarter 2024 results: EPS: ر.س0.27 (up from ر.س0.23 in 2Q 2023). Revenue: ر.س170.2m (flat on 2Q 2023). Net income: ر.س11.5m (up 20% from 2Q 2023). Profit margin: 6.7% (up from 5.6% in 2Q 2023). Revenue is forecast to grow 5.7% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 6% per year but the company’s share price has increased by 25% per year, which means it is tracking significantly ahead of earnings growth. Major Estimate Revision • Mar 01
Consensus EPS estimates fall by 10%, revenue upgraded The consensus outlook for fiscal year 2024 has been updated. 2024 revenue forecast increased from ر.س682.8m to ر.س698.2m. EPS estimate fell from ر.س2.26 to ر.س2.03 per share. Net income forecast to grow 16% next year vs 20% growth forecast for Consumer Services industry in Saudi Arabia. Consensus price target of ر.س80.67 unchanged from last update. Share price fell 3.3% to ر.س78.80 over the past week. Announcement • Feb 06
Ataa Educational Company Declares Dividend for the Year Ended July 31, 2023 Ataa Educational Company announced that referring to the results of the general assembly meeting published on Tadawul website on 18/07/1445 AH corresponding to 30/01/2024 AD, which included an approval to the distribution of dividends to shareholders for the financial year ending on 07/31/2023 AD with a total value of SAR 46,295,936 with a dividend per share of SAR 1.10 at the rate of (11%) of the nominal share value, and the date of dividend payment will be determined later. New Risk • Dec 23
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 1.9x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. This is currently the only risk that has been identified for the company. Reported Earnings • Dec 21
First quarter 2024 earnings released: EPS: ر.س0.52 (vs ر.س0.50 in 1Q 2023) First quarter 2024 results: EPS: ر.س0.52 (up from ر.س0.50 in 1Q 2023). Revenue: ر.س173.7m (up 1.3% from 1Q 2023). Net income: ر.س22.1m (up 4.7% from 1Q 2023). Profit margin: 13% (in line with 1Q 2023). Revenue is forecast to grow 5.9% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has increased by 3% per year but the company’s share price has increased by 24% per year, which means it is tracking significantly ahead of earnings growth. Price Target Changed • Aug 10
Price target increased by 10% to ر.س75.33 Up from ر.س68.33, the current price target is an average from 3 analysts. New target price is approximately in line with last closing price of ر.س75.50. Stock is up 35% over the past year. The company is forecast to post earnings per share of ر.س1.45 for next year compared to ر.س1.68 last year. Major Estimate Revision • Jun 21
Consensus EPS estimates fall by 29%, revenue upgraded The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast increased from ر.س631.0m to ر.س673.0m. EPS estimate fell from ر.س2.05 to ر.س1.45 per share. Net income forecast to grow 40% next year vs 25% growth forecast for Consumer Services industry in Saudi Arabia. Consensus price target broadly unchanged at ر.س69.00. Share price was steady at ر.س75.70 over the past week. Reported Earnings • Jun 12
Third quarter 2023 earnings released: EPS: ر.س0.25 (vs ر.س0.086 in 3Q 2022) Third quarter 2023 results: EPS: ر.س0.25 (up from ر.س0.086 in 3Q 2022). Revenue: ر.س159.9m (up 15% from 3Q 2022). Net income: ر.س10.7m (up 197% from 3Q 2022). Profit margin: 6.7% (up from 2.6% in 3Q 2022). The increase in margin was driven by higher revenue. Revenue is forecast to grow 6.5% p.a. on average during the next 3 years, compared to a 18% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has fallen by 9% per year but the company’s share price has increased by 28% per year, which means it is well ahead of earnings. Major Estimate Revision • May 31
Consensus EPS estimates increase by 17%, revenue downgraded The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast fell from ر.س639.4m to ر.س631.0m. EPS estimate rose from ر.س1.75 to ر.س2.05. Net income forecast to grow 69% next year vs 27% growth forecast for Consumer Services industry in Saudi Arabia. Consensus price target up from ر.س64.67 to ر.س68.33. Share price was steady at ر.س67.90 over the past week. Price Target Changed • May 30
Price target increased by 8.5% to ر.س68.33 Up from ر.س63.00, the current price target is an average from 3 analysts. New target price is approximately in line with last closing price of ر.س67.70. Stock is up 30% over the past year. The company is forecast to post earnings per share of ر.س2.05 for next year compared to ر.س1.68 last year. Announcement • Dec 27
Ataa Educational Company, Annual General Meeting, Jan 18, 2023 Ataa Educational Company, Annual General Meeting, Jan 18, 2023, at 15:30 Coordinated Universal Time. Agenda: To consider the Voting on the Board of Directors' Annual Report for the fiscal year ending on July 31, 2022; to consider Voting on the company’s auditor’s report for the fiscal year ending on July 31, 2022; to consider Voting on the company's financial statements for the fiscal year ending on July 31, 2022; to consider the Voting on the board of directors’ recommendation to distribute dividends to shareholders; to consider the Voting on the business and contracts that took place between the company and the vice-chairman of the Board of Directors; and to consider other business matters. Reported Earnings • Dec 07
First quarter 2023 earnings released: EPS: ر.س0.50 (vs ر.س1.57 in 1Q 2022) First quarter 2023 results: EPS: ر.س0.50 (down from ر.س1.57 in 1Q 2022). Revenue: ر.س171.5m (up 22% from 1Q 2022). Net income: ر.س21.1m (down 68% from 1Q 2022). Profit margin: 12% (down from 47% in 1Q 2022). Revenue is forecast to grow 2.3% p.a. on average during the next 3 years, compared to a 20% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has fallen by 9% per year but the company’s share price has increased by 25% per year, which means it is well ahead of earnings. Reported Earnings • Nov 09
Full year 2022 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2022 results: EPS: ر.س1.76 (up from ر.س0.88 in FY 2021). Revenue: ر.س592.3m (up 112% from FY 2021). Net income: ر.س70.6m (up 91% from FY 2021). Profit margin: 12% (down from 13% in FY 2021). Revenue exceeded analyst estimates by 3.3%. Earnings per share (EPS) missed analyst estimates by 27%. Revenue is forecast to grow 2.9% p.a. on average during the next 3 years, compared to a 21% growth forecast for the Consumer Services industry in Asia. Over the last 3 years on average, earnings per share has remained flat but the company’s share price has increased by 26% per year, which means it is well ahead of earnings. Buying Opportunity • Jun 12
Now 22% undervalued after recent price drop Over the last 90 days, the stock is down 11%. The fair value is estimated to be ر.س70.53, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.6% over the last 3 years, while earnings per share has been flat. For the next 3 years, revenue is forecast to grow by 12% per annum. Earnings is also forecast to grow by 19% per annum over the same time period. Reported Earnings • Jun 10
Third quarter 2022 earnings released: EPS: ر.س0.09 (vs ر.س0.16 in 3Q 2021) Third quarter 2022 results: EPS: ر.س0.09 (down from ر.س0.16 in 3Q 2021). Revenue: ر.س138.8m (up 122% from 3Q 2021). Net income: ر.س3.61m (down 43% from 3Q 2021). Profit margin: 2.6% (down from 10% in 3Q 2021). Over the next year, revenue is forecast to grow 20%, compared to a 22% growth forecast for the industry in Saudi Arabia. Buying Opportunity • May 20
Now 23% undervalued after recent price drop Over the last 90 days, the stock is down 21%. The fair value is estimated to be ر.س68.80, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 2.9% over the last 3 years. Earnings per share has declined by 6.1%. For the next 3 years, revenue is forecast to grow by 14% per annum. Earnings is also forecast to grow by 18% per annum over the same time period. Major Estimate Revision • Apr 27
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 revenue forecast increased from ر.س500.6m to ر.س535.5m. EPS estimate fell from ر.س2.90 to ر.س2.42 per share. Net income forecast to grow 51% next year vs 35% growth forecast for Consumer Services industry in Saudi Arabia. Consensus price target down from ر.س71.00 to ر.س68.67. Share price was steady at ر.س58.10 over the past week. Reported Earnings • Mar 15
Second quarter 2022 earnings: Revenues miss analyst expectations Second quarter 2022 results: Revenue: ر.س134.0m (up 112% from 2Q 2021). Net income: ر.س1.48m (down 77% from 2Q 2021). Profit margin: 1.1% (down from 10% in 2Q 2021). Revenue missed analyst estimates by 5.2%. Over the next year, revenue is forecast to grow 28%, compared to a 23% growth forecast for the industry in Saudi Arabia. Major Estimate Revision • Dec 16
Consensus forecasts updated The consensus outlook for 2022 has been updated. 2022 revenue forecast fell from ر.س559.0m to ر.س548.0m. EPS estimate rose from ر.س2.05 to ر.س3.23. Net income forecast to grow 41% next year vs 32% growth forecast for Consumer Services industry in Saudi Arabia. Consensus price target of ر.س71.50 unchanged from last update. Share price rose 8.9% to ر.س66.20 over the past week. Reported Earnings • Dec 11
First quarter 2022 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2022 results: EPS: ر.س1.66 (up from ر.س0.12 in 1Q 2021). Revenue: ر.س140.4m (up 129% from 1Q 2021). Net income: ر.س66.3m (up ر.س61.3m from 1Q 2021). Profit margin: 47% (up from 8.0% in 1Q 2021). The increase in margin was driven by higher revenue. Revenue exceeded analyst estimates by 24%. Earnings per share (EPS) missed analyst estimates by 100%. Earnings per share (EPS) missed analyst estimates by 100%. Over the next year, revenue is forecast to grow 58%, compared to a 28% growth forecast for the industry in Saudi Arabia. Reported Earnings • Oct 01
Full year 2021 earnings released: EPS ر.س0.93 (vs ر.س1.90 in FY 2020) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2021 results: Revenue: ر.س280.0m (down 17% from FY 2020). Net income: ر.س37.1m (down 51% from FY 2020). Profit margin: 13% (down from 23% in FY 2020). The decrease in margin was driven by lower revenue. Price Target Changed • Aug 19
Price target increased to ر.س65.50 Up from ر.س52.50, the current price target is an average from 2 analysts. New target price is 6.7% below last closing price of ر.س70.20. Stock is up 90% over the past year. Valuation Update With 7 Day Price Move • Aug 15
Investor sentiment improved over the past week After last week's 23% share price gain to ر.س72.20, the stock trades at a forward P/E ratio of 43x. Average forward P/E is 18x in the Consumer Services industry in Asia. Total returns to shareholders of 94% over the past year. Simply Wall St's valuation model estimates the intrinsic value at ر.س50.18 per share. Announcement • Aug 11
Ataa Educational Company (SASE:4292) completed the acquisition of Arabian Education and Training Group. Ataa Educational Company (SASE:4292) signed memorandum of understating to acquire Arabian Education and Training Group on February 9, 2021. As of August 8, 2021 Ataa Educational Company signed an agreement to acquire The Arabian Education and Training Group Holding Co for approximately SAR 140 million. As per terms of transaction, the consideration for the acquisition will be a cash amount of 75% of the proposed transaction value and an issuance of shares in Ataa Educational for shareholders of Arabian Group at 25% of the proposed value, once an agreement is reached. The MoU will be effective for 90 working days after the signing date. The transaction will be funded from bank financing. As of June 3, 2021, the parties to the MoU have agreed to extend the duration of the MoU for another 90 working days starting from the end of the previous duration, and on the same terms and conditions. Ataa will conduct due diligence on financial, legal, administrative and operational conditions of Arabian Education. The procedures for the proposed acquisition are subject to approval from Ataa's extraordinary general assembly and the competent authorities' approval. As of June 16, 2021, the Saudi General Authority for Competition (GAC) approved the deal. Ataa expected to complete the takeover transaction in the first quarter of the coming fiscal year. Aljazira Capital Company acted as financial advisor to Arabian Education and Training Group.
Ataa Educational Company (SASE:4292) completed the acquisition of Arabian Education and Training Group on August 9, 2021. Announcement • Jun 22
Ataa Educational Company (SASE:4292) completed the acquisition of Education International Schools LLC. Ataa Educational Company (SASE:4292) signed agreement to acquire Education International Schools LLC for SAR 40 million on December 22, 2020. The acquisition will be financed from Ataa internal resources. Education International Schools LLC reported revenue of SAR 22.5 million in 2019. The deal is subject to the approval of the General Authority for Competition, other regulatory authorities and Ataa general assembly. As of April 26, 2021, General Authority for Competition has issued its decision with no objections for the transaction. The transaction is expected to complete during last quarter of current fiscal year.
Ataa Educational Company (SASE:4292) completed the acquisition of Education International Schools LLC on June 20, 2021. Reported Earnings • Jun 16
Third quarter 2021 earnings released: ر.س0.12 loss per share (vs ر.س0.31 profit in 3Q 2020) The company reported a poor third quarter result with weaker earnings, revenues and control over costs. Third quarter 2021 results: Revenue: -ر.س61.9m (down 174% from 3Q 2020). Net loss: ر.س4.96m (down 140% from profit in 3Q 2020). Profit margin: 8.0% (down from 15% in 3Q 2020). The decrease in margin was driven by lower expenses. Reported Earnings • Mar 10
Second quarter 2021 earnings released: EPS ر.س0.16 (vs ر.س0.43 in 2Q 2020) The company reported a poor second quarter result with weaker earnings, revenues and profit margins. Second quarter 2021 results: Revenue: ر.س63.2m (down 25% from 2Q 2020). Net income: ر.س6.39m (down 63% from 2Q 2020). Profit margin: 10% (down from 21% in 2Q 2020). The decrease in margin was driven by lower revenue. Is New 90 Day High Low • Mar 08
New 90-day high: ر.س42.20 The company is up 10.0% from its price of ر.س38.30 on 08 December 2020. The Saudi market is up 1.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Consumer Services industry, which is down 6.0% over the same period. Is New 90 Day High Low • Feb 04
New 90-day low: ر.س36.00 The company is down 4.0% from its price of ر.س37.50 on 05 November 2020. The Saudi market is up 1.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Consumer Services industry, which is up 1.0% over the same period. Announcement • Dec 23
Ataa Educational Company (SASE:4292) signed agreement to acquire Education International Schools LLC for SAR 40 million. Ataa Educational Company (SASE:4292) signed agreement to acquire Education International Schools LLC for SAR 40 million on December 22, 2020. The acquisition will be financed from Ataa internal resources. Education International Schools LLC reported revenue of SAR 22.5 million in 2019. The deal is subject to the approval of the General Authority for Competition, other regulatory authorities and Ataa general assembly. Reported Earnings • Dec 12
First quarter 2021 earnings released: EPS ر.س0.12 The company reported a poor first quarter result with weaker earnings, revenues and profit margins. First quarter 2021 results: Revenue: ر.س61.2m (down 25% from 1Q 2020). Net income: ر.س4.92m (down 70% from 1Q 2020). Profit margin: 8.0% (down from 20% in 1Q 2020). The decrease in margin was driven by lower revenue. Reported Earnings • Nov 20
Full year 2020 earnings released: EPS ر.س1.90 The company reported a soft full year result with weaker earnings and profit margins, although revenues were improved. Full year 2020 results: Revenue: ر.س336.4m (up 4.9% from FY 2019). Net income: ر.س75.8m (down 8.4% from FY 2019). Profit margin: 23% (down from 26% in FY 2019). The decrease in margin was driven by higher expenses. Reported Earnings • Oct 28
Full year earnings released - EPS ر.س1.89 Over the last 12 months the company has reported total profits of ر.س75.8m, down 8.4% from the prior year. Total revenue was ر.س336.4m over the last 12 months, up 4.9% from the prior year. Profit margins were 23%, which is lower than the 26% margin from last year. The decrease in margin was driven by higher expenses. Is New 90 Day High Low • Oct 26
New 90-day low: ر.س36.50 The company is down 1.0% from its price of ر.س36.70 on 28 July 2020. The Saudi market is up 9.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Consumer Services industry, which is up 3.0% over the same period. Announcement • Aug 11
Ataa Educational Company (SASE:4292) entered into a non-binding memorandum of understanding to acquire a 52% stake in Al-Wasat Schools Co. Ataa Educational Company (SASE:4292) entered into a non-binding memorandum of understanding to acquire a 52% stake in AL-WASAT SCHOOLS CO on August 9, 2020. The transaction is structured as an in kind shares, whereby Ataa Educational Company will give its shares against the stake it will acquire at the agreed value, which has to be determined yet, while the final value will be determined after the completion of the due diligence. The MoU is valid for a renewable period of 120 days, Ataa Educational Company added, noting that the deal is subject to the necessary regulatory approvals.