UAE EdTech Giant Alef Education Approves AED 433M Dividend Following Strong FY 2025 Profitability

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Abu Dhabi-based AI-driven EdTech platform Alef Education has reinforced its position as a highly profitable player in the regional tech ecosystem, securing shareholder approval for an AED 433.0 million total cash dividend for the 2025 financial year. The announcement, made during the company’s Annual General Meeting, included a second-half payout of AED 224.0 million, with AED 135 million distributed directly to free-float investors.

Quick Facts

  • FY 2025 revenue reached AED 769.5 million.
  • Net profit climbed 8% to AED 481.1 million.
  • Platform captures 36% of UAE private-school market.

Scaling B2B EdTech Revenues in the UAE

Alef Education recorded resilient financial metrics throughout 2025, driven by the stability of its core UAE portfolio and expanding non-school B2B and B2G segments. The company reported a 1.4% year-on-year increase in revenue, hitting AED 769.5 million.

Operational discipline translated into significant margin expansion. EBITDA grew by 7% year-on-year to AED 550.7 million, pushing the EBITDA margin up by 360 basis points to an impressive 71.6%. Net profit also rose to AED 481.1 million, reflecting an 8% increase supported by cost efficiencies and newly secured enterprise contracts.

The company ended the year with a highly liquid, debt-free balance sheet containing AED 619.5 million in cash and cash equivalents, providing a substantial runway for product development and international expansion.

Market Penetration and Enterprise Expansion

The platform’s domestic user base saw substantial growth across both public and private sectors. In Abu Dhabi public schools, Alef Education onboarded 4,000 new students, bringing its total public-school reach in the emirate to over 73,000.

The private-school segment generated a 50% year-on-year revenue increase. The platform now serves approximately 122,000 paying students across 183 private schools, securing a 36% share of the UAE private-school market.

“FY 2025 demonstrated that our model is both educationally effective and commercially viable at scale,” stated Geoffrey Alphonso, Chief Executive Officer of Alef Education. “Our debt-free balance sheet gives us the financial flexibility to invest in international growth while continuing to reward shareholders, and that balance defines our capital allocation philosophy going forward.”

Beyond traditional school deployments, the company advanced its B2B and B2G pipeline, signing eight new contracts in FY 2025 valued at AED 64.4 million across domestic and international markets.

Enhancing the Core Product Ecosystem

Execution on the product roadmap continued throughout the year. Alef Education rolled out new variants of its Alef Pathways product, introducing Arabic reading programs for Grades 3 through 10, alongside broader offerings in Mathematics, Science, and English.

The company also expanded its supplementary platforms, Arabits and Abjadiyat, and launched a comprehensive Arabic language assessment tool designed to evaluate reading, writing, listening, and speaking skills. Additionally, Miqyas Al Dhad—a unified measurement scale for Arabic reading comprehension—completed large-scale field testing and remains on track for a Q2 2026 launch.

Looking forward, the company’s board has already approved an interim cash dividend policy equivalent to 90% of profits for the first half of 2026, signaling strong confidence in continued revenue generation and capital efficiency.

About Alef Education

Founded in 2016, Alef Education is an AI-powered learning solutions provider targeting K-12 education. Headquartered in Abu Dhabi and listed on the Abu Dhabi Securities Exchange (ALEFEDT), the company serves over 1.8 million students and 79,000 educators across 17,000 schools in the UAE, Indonesia, and Morocco. The core Alef Platform delivers personalized learning experiences, supported by supplemental solutions including Alef Pathways, Abjadiyat, and Arabits.

Source: Zawya

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