G8 Education Announces AU$350 Million Goodwill Impairment, Reaffirms FY25 EBIT Guidance

G8 Education Limited (ASX: GEM) has advised that it expects to recognise a non-cash goodwill impairment of approximately AU$350 million in its full-year financial results for FY25. This impairment will not affect the company's EBIT (lease adjusted) guidance, which remains at AU$91 million to AU$98 million as previously announced in its trading update on 4 November 2025. The impairment is the result of an annual review in accordance with AASB 136 and takes into account factors such as projected future occupancy, cost of living pressures, and anticipated regulatory costs. Despite the impairment, G8 Education reaffirms its financial guidance and confirms that the impairment will not impact its financial covenants with lenders. Additionally, the company will pause its on-market share buyback program until further clarity on sector conditions and occupancy growth is achieved.

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