o	Strong online growth, online revenue up 33.3 per cent in the third quarter 
o	Total revenue ended at NOK 121.5 million for the third quarter (NOK 130.9
million)
o	Adjusted EBIT margin at 25.4 per cent in the third quarter (24.7 per cent)
o	Sonans - Cost measures totalling NOK 61 million implemented, equivalent to 26%
of 2021 cost base
o	Oslo Nye Høyskole - Continue to gain market share, NOK 15mill in cost
programme decided
o	Competitive position strengthened during the pandemic: well prepared for
likely market recovery

Operations aligned with challenging market conditions

A significant decline in applicants to higher education, fewer students without
a place of admission, cancelled high school tests three years in a row and a
record strong labour market negatively impacted the autumn student intake for
Lumi Gruppen. Consequently, the operational focus has been to right size the
organisation and improve the scalability of the business model. The strong
market position for both Sonans and Oslo Nye Høyskole has been maintained during
this challenging market environment.

Sonans

Total sales in the autumn student intake declined by 28 per cent compared to
last year. The decline in sales at Sonans was driven by a weak campus sale,
which ended down 42 per cent. The introduction of the new digital campus
structure "Live" was well received in the market and together with online, sales
increased by 12 per cent. 
The current market development for Sonans is mainly a consequence of fewer
students without a place of admission in higher education. The total number of
applicants to higher education in Norway fell by 12.6 per cent for the student
intake autumn 2022, resulting in applicants not receiving a study programme
offer declining almost 43 per cent versus 2021. In addition, the labour market
has been exceptionally strong, reversing the increase in the number of
unemployed people between 20-24 years after the outbreak of the Covid-19
pandemic. Currently, the unemployment rate for this age group is 19 per cent
lower than pre-Covid levels. All together, these elements contributed to a lower
number of applicants to Sonans.

As a result, Sonans has identified and implemented a significant cost reduction
programme totalling NOK 61 million in response to the changes in market
conditions including rightsizing of the organisation, improved classroom
efficiency, reduced administrative costs and improved marketing efficiency. New
measures are also under consideration.

The new digital campus "Live" had a successful first student intake. "Live" is
already a mid-size campus in Sonans with profitable operations and high student
satisfaction. By introducing "Live", Sonans has significantly expanded student
reach and improved scalability in the business model. In addition, in a brand
awareness survey for online providers, Sonans was almost four times more
recognised than the second-ranked private candidate school.
In a 10-year period before the outbreak of the Covid-19 pandemic, campus sales
increased on average by 11 per cent per year, and Sonans still believes that the
market fundamentals and need for higher education remain strong. Through the
extensive initiatives implemented during the pandemic, Sonans has established a
scalable and flexible business model and is well prepared for the future. Since
2014, Sonans has maintained its dominant position for private candidate schools
with a market share of approximately 60 per cent, which is four times higher
than the number two school. 

Oslo Nye Høyskole

Oslo Nye Høyskole ended its student intake in line with last year with 1 336
signed contracts vs. 1 338 contracts a year earlier. New programmes showed
robust growth, while existing programmes were affected by the challenging market
conditions due to post-Covid effects. Bachelor programmes ended up 9 per cent
compared to last year and the master's programme grew by 65 per cent. Annual
programmes fell by 11 per cent as more students signed up for the multi-year
programmes which is positive with their higher value per student and higher
share of recurring revenues.
In a market with a 12.6 per cent drop in the number of applicants for higher
education in Norway, ONH continued to gain market share. The primary reason
behind this development has been the launch of new programmes well adapted to
students' interests and needs.

Outlook

Sonans has now implemented a new more scalable business model, which can more
rapidly adapt to changes in market conditions. This represents an opportunity
for Sonans longer term, as the online model is significantly more flexible and
efficient than the campus model. Further, it also opens for additional
opportunities for new business and innovation. The new digital campus initiative
"Live" has also been well received and will expand geographical reach and
improve margins for Sonans.Oslo Nye Høyskole will continue to expand the study
programme and applied for a new bachelor programme in Q3 2022. Operational focus
will also be on attracting more students to the already established study
programmes to improve economies of scale. Longer term, Lumi Gruppen believes
that the underlying fundamentals for the education sector are strong. The need
for higher education in Norway is still high and Lumi Gruppen is well positioned
as a market leading provider of private education. Through a combination of high
student satisfaction and a unique learning concept, the Company has established
a competitive edge and is well positioned to exploit the market opportunities in
the new normal post-Covid.

Financial results

Revenues decreased by 7.2% per cent to NOK 121.5 million in Q3 2022, compared to
NOK 130.9 million in Q3 2021. Revenue was negatively impacted by a significant
decrease in the number of students at Sonans, with NOK 13.4 million in reduced
sales for the quarter, corresponding to a 15.5 per cent decrease. The reduced
revenue in Sonans was partly offset by a growth in revenue of NOK 3.8 million,
corresponding to 8.5%, for Oslo Nye Høyskole (ONH). 
Adjusted total operating expenses decreased by 10.1 per cent to NOK 76.2 million
in Q3 2022, compared to NOK 84.8 million in Q3 2021. The decrease is a result of
the cost reduction programme implemented in Sonans. To a large extent this
relates to lower personnel expenses together with reduced expenses for campus
operations, overhead and marketing. Adjusted EBIT ended at NOK 30.9 million, a
decrease of 4.6 per cent compared to the same period last year. Reported EBIT
ended at NOK 20.1 million, a decrease of 27.7 per cent compared to the same
period last year. The deviation between adjusted EBIT and reported EBIT is
explained by the non-recurring items. Profit was NOK 8.2 million in Q3 2022
compared to NOK 17.4 million in Q3 2021.


Third quarter report and presentation material

Please see attached the third quarter report and Q3 Presentation for further
information. The quarterly report, presentation materials with key figures will
also be available on the company's website at 

https://lumiinvestor.com/reports-presentations/

Presentation and webcast

CEO Erik Brandt and CFO Martin Prytz will present the company's results on
Wednesday 2 November at 09:00. The presentation will be held without physical
participants on Teams and the presentation will be held in English and
transferred via live webcast.

Please follow this link to attend: 

https://teams.microsoft.com/l/meetup-join/19%3ameeting_MTFlZmNkZWMtMDk3Yy00NTZhL
ThjMDgtOGIyZmE4MjE4ODkz%40thread.v2/0?context=%7B%22Tid%22%3A%22853e8b83-4054-4e
b9-8b26-ec6513dd213d%22%2C%22Oid%22%3A%2266be86c3-29ed-4ffd-97a2-f638b5525146%22
%2C%22IsBroadcastMeeting%22%3Atrue%2C%22role%22%3A%22a%22%7D&btype=a&role=a

The link to the webcast will be available on the company's website:
https://lumigruppen.no/portfolios/reports-and-presentations/

It will be possible to ask questions via the web.

Contact information
Martin Prytz, 
CFO and Head of Investor Relations
E-mail: IR@lumigruppen.no
Mobile: +47 480 14 078

About Lumi: 
About Lumi: Lumi Gruppen is a leading Norwegian education provider founded in
1989. Today, Lumi Gruppen consists of two main divisions: Sonans and Oslo Nye
Høyskole. Sonans is the market leader in Norway within private candidate exam
preparation courses, and Oslo Nye Høyskole offers high quality bachelor's
degrees within health, social sciences, psychology and business and
administration, both on campus and online. 
This information is subject of the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.