South African private education group Advtech posted a four per cent drop in revenues from the region to Sh1.4 billion last year on the back of reduced fees income following the closure of Makini School during the Covid-19 pandemic.
The Johannesburg Stock Exchange (JSE) listed firm which acquired Makini from business woman Mary Okello in May 2018, said the shut-down affected the collection of fees in the high end school during term two and three impacting on revenue.
"The primary source of the impact was the regulated closure of Makini Schools," it said.
“The decrease in revenue of 4 percent to (Sh1.45 billion) R197 million (2019:(Sh1.49 billion) (R204 million) was due to Makini being unable to invoice fees for term two and most of term three, following a directive issued by the Kenyan government to defer the school year,” it added.
Advtech, which also owns Crawford School in Kiambu, posted Sh40.5 billion in its overall group revenues last year up from Sh37.6 billion a year earlier.
The Business Daily could not immediately establish Kenya's contribution to the firm's regional revenues.
Besides Kenya and South Africa, it operates high end schools and tertiary institutions in Uganda and Bostwana among other countries in Africa.
As the economic impact from the pandemic began to bite last March, fears were rife that top private schools could be driven out of business due to loss of fees, their main source of income.
Makini and Crawford were last year entangled in disputes with parents for demanding full fee payment for online classes during the pandemic.