This article first appeared on GuruFocus .
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Revenue Growth:4.1% year on year.
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Adjusted EBITA Margin:Increased to 6.6% from 5.8% last year.
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Adjusted EBITA:SEK345 million, up from SEK289 million.
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12-Month Rolling Net Sales:SEK19.5 billion.
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12-Month Rolling Adjusted EBITA:SEK1.388 billion, margin of 7.1%.
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Preschool and International Segment Growth:Net sales increased by 5.9%, organic growth of 7%.
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Compulsory School Segment:Net sales rose by 2.9%, adjusted EBITA grew by 14.3% to SEK88 million.
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Upper Secondary School Segment:Adjusted EBITA of SEK114 million, margin of 7.3%.
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Adult Education Segment:Sales increased by 1.8% to SEK501 million, adjusted EBITA margin of 13.4%.
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Free Cash Flow:SEK1.342 billion for the last 12 months, 71% of EBITDA.
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Net Debt (excluding IFRS 16):Decreased by SEK288 million, leverage ratio at 0.4.
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Organic Growth Including Acquisitions:5.3%, within target of 5% to 7%.
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Warning! GuruFocus has detected 3 Warning Signs with FRA:V8T.
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Release Date: February 02, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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AcadeMedia AB ( FRA:V8T ) reported a stable and solid Q2, with a growth rate of 5.5% after adjusting for FX effects.
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The company has strengthened its position in higher vocational education, increasing its market share.
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AcadeMedia AB ( FRA:V8T ) made strategic acquisitions in Germany and Finland, expanding its international presence.
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The Adult Education segment continues to perform strongly, with increased volumes and a 13.4% adjusted EBITA margin.
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The company maintains a solid financial position with a leverage ratio of 0.4, well below the target threshold, allowing room for future acquisitions.
Negative Points
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The Preschool segment experienced temporary lower vacation expenses in Sweden, which may not be sustainable.
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There is potential margin pressure in the Upper Secondary School segment due to increased costs related to the Gy25 reform.
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The company faces legislative changes in Sweden, such as the principle of public access, which may require significant investment in IT systems.
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The Compulsory School segment saw a 1.3% decrease in student numbers, impacting growth.
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Despite strong performance, the Adult Education segment may face challenges if unemployment rates in Sweden continue to decline.
Q & A Highlights
Q: Can you elaborate on the strong margin performance in the Preschool segment this quarter, particularly regarding increased school voucher funding in Germany and temporary reduced vacation expenses in Sweden? A: The margin improvement is due to increased volumes, higher school voucher funding in Germany, and lower cost levels in Norway, which are sustainable changes. However, the temporary lower vacation expenses in Sweden, which had a financial effect of about SEK15 million, are not expected to continue.
Q: Regarding the Upper Secondary School segment, you previously mentioned margin pressure from the Gy25 reform. However, the adjusted margin is up this quarter. Can you explain this? A: Despite increased costs from the Gy25 reform, higher capacity utilization has counterbalanced these pressures. While we don't expect a significant margin increase for the full year, maintaining the current margin levels is possible.
Q: With the lower unemployment rates in Sweden, when do you expect this to impact the Adult Education segment's volumes and margins? A: If unemployment rates continue to decrease, it might take four to eight months to see an effect on our volumes. However, the Adult Education segment is less affected by unemployment rates now due to a focus on vocational programs, which are in high demand regardless of employment trends.
Q: Can you specify the increased costs related to new literature and library staff following the Gy25 reform? A: We do not specify these costs separately, but the combined margin for Q1 and Q2 shows a slight decline compared to last year. We aim to sustain the margin over the year, with a potential slight decrease of 0.2% to 0.3%.
Q: What is driving the 60% increase in higher vocational education places awarded by the Swedish state? A: The increase reflects our strong market share and the success of our programs, which are designed to lead to employment. This focus on job-oriented programs has resulted in a favorable allocation of study places.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
