Private school network operator STI Holdings of bilyonaryo Eusebio Tanco returned to profitability in its fiscal year ended June 2021, driven by a turnaround strategy focused on cutting costs.
In a statement, STI Holdings said it chalked up a net income of P101.7 million during the period, a reversal of the P117.5 million loss incurred a year ago.
Operating expenses fell by 16 percent to P1.03 billion, thanks to cost-management measures implemented to surivive the pandemic.
STI’s revenue, however, continued its decline due to lower enrollment. Some students did not pursue education in the last school year due to financial difficulties brought about by the global health crisis.
The number of enrollees dropped to 70,223.
STI shut down 12 schools last year due to low enrollment turnout and the high cost of facility rental. These include STI Cebu, STI Iloilo, STI Quezon Avenue, STI Tuguegarao and STI Pagadian as well as seven franchises: STI College Bohol, STI College Recto, Sungold Technologies, STI College Pasay, STI College Dipolog, and STI College San Francisco. STI College Paranaque.
“Even as enrollment dropped due to the pandemic, we purposely chose to stay committed to the education of youth in these challenging times., ” said STI Holdings president and CEO Monico V. Jacob.
“While our learning setup has worked this past school year, we certainly are looking forward to better and brighter times ahead. With the downtrend in the number of new COVID-19 cases, we hope to be able to return soon to a flexible blended learning mode that is a mix of online and face-to-face classes and hands-on learning activities, which would benefit our students and faculty members in the long run,” he added.