Private tertiary education business Stadio posted an encouraging mid-year report card at its recent AGM.
The key growth measure, student numbers, showed an overall increase of 9%. Contact learning was up 15% and distance learning rose 8%.
Understandably, the opening of Stadio’s new Durbanville campus had a pronounced effect. The campus, which set an initial target of 1,000 students, now has 1,300. The group has also had continued growth at its campus in Centurion, with an enrolment of more than 2,300 students.
Overall, student numbers are a smidgen under Stadio’s pre-listing statement target of 56,000 by the end of 2026. The company has set a further target of 80,000 students by 2030.
At the AGM CEO Chris Vorster described 2026 as a year of investment and building capacity in the leadership and management team. This, he says, will allow Stadio to grow into new markets and new geographies.
This enlargement could come from expanding its own brands or through merger & acquisition activity.
Stadio aims to become South Africa’s largest higher education provider after Unisa
The clear message from the AGM is that a very solid foundation has been built, and senior management across the group is now charged with seizing growth opportunities as they arise. Stadio has the systems, processes and people in place to accommodate more students.
The group is still awaiting changes to government regulations to enable it to apply for university status. It is confident that, given the large number of accredited courses it now offers and those it keeps adding, it will be granted such status when regulations allow. This will give the Stadio offering and brand further credibility in the eyes of students and parents.
Should Stadio achieve the growth it is pursuing, it will become South Africa’s largest higher education provider after Unisa, according to Vorster.
The share price has been on a tear over the past two years, rising from less than 500c to more than R12. Stadio is also being marked higher on its prospects, with the stock trading on a forward earnings multiple of about 28.
This is a lofty multiple, but if the expansion comes through — which should also improve margins — Stadio can grow into the valuation, much like investors in Capitec have seen time and time again.
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