SISB cuts student target again as costs rise and competition bites
Student target cut again, revenue flat SISB lowered its 2026 student target from 4,600 to 4,400-4,500, after already cutting from 4,800. Full-year revenue is now expected to be flat and net profit may slip slightly, as enrollment grew below plan and no tuition increase was made.
This is the latest and most concrete downgrade to growth expectations, directly weighing on the stock.
Costs and investment squeeze profit Q2 profit fell about 10-12% as teaching and admin costs rose faster than revenue, cutting the gross margin. Higher spending on the new school and a sports center is expected to keep profit under pressure in the fourth quarter.
It explains the earnings decline and why profit may stay weak even if revenue stabilizes.
Tougher competition from new international schools Many new international schools have opened, spending heavily but enrolling fewer students than planned. SISB is focusing on the 300,000-500,000 baht tuition segment instead of the premium tier, which limits how much it can charge and grow.
Competition is a structural force capping enrollment and pricing power, a key reason for the target cuts.
New school and curriculum upgrades support long-term growth SISB is building its seventh school, Marina Singapore International School in Pathum Thani, with room for 1,200 students and 30-40 applications already. It is also adding AI literacy and revamped Chinese and university counselling programs, funded by 1.8 billion baht cash and no debt.
These investments are the main growth drivers that could offset current enrollment weakness over time.