Keystone Education Group Reports Q2 2026 Financial Results
Oslo, Norway, 21 September 2026 — Keystone Education Group today announced its Q2 and H1 2026 financial results.
The Group made substantial progress in implementing its cost programme, advancing its strategic priorities and strengthening its financial flexibility following the end of the quarter, despite Q2 being financially weak amid continued pressure across international student recruitment markets.
Revenue for Q2-26 was USD 15.7 million, a decrease of 10% from USD 17.5 million in Q2-25. H1-26 revenue was USD 35.3 million, compared with USD 37.2 million in H1-25, a decrease of 5%. Adjusted EBITDA was negative USD 0.8 million in Q2-26, compared with negative USD 0.7 million in Q2-25. H1-26 adjusted EBITDA was positive USD 1.4 million, compared with USD 2.5 million in H1-25. Despite a USD 2.0 million year-on-year reduction in gross profit in Q2, adjusted EBITDA remained broadly stable as adjusted operating expenses decreased by approximately USD 1.8 million.
The revenue decline was mainly concentrated in the UK and the US, where international student recruitment continued to be affected by visa policy, affordability and compliance requirements. Domestic recruitment across the Nordics, Germany, Austria, Switzerland and parts of the UK remained comparatively stable.
Search & Discovery continued to adapt to structural changes in digital discovery. AI-generated summaries and zero-click search have reduced the number of organic visits. The listing business nevertheless remains a substantial, recurring and strategically important foundation. Keystone continues to generate meaningful organic traffic and maintain strong search positions while broadening its acquisition mix across direct traffic, AI-mediated discovery, paid search and social channels.
Enrolment Services made further operational progress during the quarter. The first partner went live on the next-generation Enrolment Services Platform in June 2026, on track for completion of full partner base migration by year-end; a new AI-assisted enquiry workflow cutting response time. The flexible admissions support service has secured significant revenue in contracts across 17 institutions and expansion in Australia and New Zealand continued to generate secured contracts and an active pipeline.
The additional cost-optimisation programme announced in May progressed during the quarter. The programme affects approximately 75 FTEs and is expected to deliver approximately USD 8 million of annualised savings, with full effect from January 2027. Together with the programme initiated in Q4-25, this brings the expected combined annualised savings to approximately USD 14 million. The full benefit was not yet reflected in Q2-26 due to consultation periods and transition timing.
Separately today, Keystone Academic Solutions AS published an announcement regarding proposed equity and bond measures intended to strengthen the Group’s financial flexibility. Full details are set out in that announcement.
Fredrik Högemark, CEO of Keystone Education Group, said:
“Adjusted operating expenses decreased by approximately USD 1.8 million year on year, allowing adjusted EBITDA to remain broadly stable despite a USD 2.0 million reduction in gross profit — early evidence that the actions we have taken are beginning to flow through. That said, Q2 was a weak quarter financially and we are not satisfied with the result: revenue was affected by continued pressure in the UK and the US, as well as structural changes in digital discovery.
We also made tangible strategic and operational progress — the first partner went live on our next-generation Enrolment Services Platform, our Australia and New Zealand expansion is generating contracts and pipeline, and Search & Discovery is broadening its traffic model while protecting the recurring listing business, positioning Keystone to emerge from this transition as a stronger, more scalable business.
Our priorities are now to complete the cost programme and continue disciplined execution across the initiatives with the strongest evidence of revenue and efficiency potential. The proposed financing measures announced separately today are intended to provide the time and financial flexibility required to complete this work.”
About Keystone Education Group
More than 100 million students use Keystone services each year as they explore and pursue higher education. Keystone helps 5,000 education institutions reach, recruit and enrol prospective students in more than 190 countries.
Through its two business units, Search & Discovery and Enrolment Services, the Group supports institutions across the student recruitment value chain, from marketing and discovery to applications, admissions, conversion and enrolment.
Headquartered in Oslo, Norway, Keystone is backed by Viking Growth and Verdane, two leading Nordic venture firms. Keystone has more than 700 employees worldwide, with offices across the Nordics, Germany, Spain, and the UK.