Fast-growing private-school business Curro Holdings is confident of replicating, and possibly improving on, a resurgent interim profit performance during the second half of the financial year. On Tuesday Curro, which operates 139 schools on 57 campuses, reported strong gains in margins in the six months to end-June as efforts to cut costs by centralising various functions kicked in. Curro CEO Andries Greyling said efforts to centralise administrative functions including information technology, had paid off handsomely with head office costs increasing by only 10% in the interim period. The margin improvement meant Curro could turn a 18% gain in revenue to R1.24bn into a sprightly 26% increase in pretax profits to R184m.
Greyling stressed that cost-cutting initiatives would extend into the second half with the centralisation of Curro’s debt collection functions. "Cost cutting will help margins and we are confident the profit growth performance will extend into the second half." ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.