OpenLearning (ASX: OLL) – The AI-Driven Education Engine Picks Up Global Traction
- Noel Ong
- Jun 3
- 6 min read
Announcement
In a world where the AI narrative is being woven into every corner of enterprise, education is often spoken about but seldom transformed at scale. That’s why OpenLearning Limited (ASX: OLL) stands out. It’s not just deploying AI—it’s integrating it meaningfully into a software-as-a-service (SaaS) platform that’s already showing traction in major education markets.
From my point of view, the company’s Q1 2025 update and the landmark deal with the Philippines’ National University reflect more than operational progress—they’re signals of strategic positioning in an overlooked sector. Lifelong learning is no longer a catchphrase; it’s an economic imperative, and OpenLearning is quietly but surely building the rails for this global trend.
Figure 1: National University President Renato Carlos H Ermita with OpenLearning CEO, Adam Brimo and other senior executives from National University at the signature ceremony in Manila on 26th May 2025. (source: OLL)
The Quarter That Mattered: Q1 2025 Highlights
OpenLearning’s performance this quarter shows consistency, clarity, and expansion:
SaaS Revenue up 12% YoY: Platform annualised recurring revenue (ARR) rose to A$2.36 million, delivering 13 consecutive quarters of growth. Average revenue per B2B customer reached A$9,466.
New Customer Wins: The company added 10 institutional clients (246 in total) and 28 new Course Magic users (now 154), despite limited advertising.
Net Cash Outflow Improvement: Down 12% YoY to A$520,000, reflecting leaner operations.
Funding Strength: A$1.43 million in available funding, including a A$1 million undrawn loan facility.
Regional Expansion: Strategic business meetings and new clients in Malaysia, Philippines, and progress in India with Gujarat University.
About National University—Promoting AI Education
National University (NU) is one of the largest private universities in the Philippines, operating across 14 campuses with over 85,000 students and plans to exceed 100,000 by 2026–27. As part of its ambitious 10-year expansion strategy, NU is growing its footprint through new campuses in East Ortigas, Bacolod, and Las Piñas. The university group also includes Asia Pacific College, founded in partnership with IBM Philippines to produce IT-ready graduates, and Inspire Sports Academy, a state-of-the-art facility for developing elite athletes (Figure 1).
Figure 2: National University has 10 campus location in Manila and across the Philippines and it has strong expansion plans. The group includes Asia Pacific College and Inspire Sports Academy. (source: OLL)
Notable Institutional Partners Added
In Q1 2025, the company secured new and extended partnerships with leading institutions in Malaysia, the Philippines, and Australia. These additions strengthen OpenLearning’s position in Southeast Asia’s growing digital education sector, with notable names such as Sunway University and IMU in Malaysia, National University in the Philippines, and Abbey College in Australia showcasing the platform’s growing appeal across both private and public education providers.
Table 1: OpenLearning’s expanding footprint across key education markets.
Strategic Deal: National University, Philippines
The 27 May announcement brings to light a pivotal agreement:
Five-Year Platform Agreement: A usage-based SaaS agreement covering a minimum of 40,000 students/year at US$80,000 annually.
Scalable Upside: Total contract value starts at US$400,000 with the potential to reach A$250,000/year as the platform expands to NU’s 85,000+ students.
Validation Through Competition: NU ran a competitive LMS review before selecting OpenLearning, citing its AI tools, scalability, and outcome-based structure.
As National University President Renato Carlos H Ermita Jr. put it:
“At National University, we are deeply committed to delivering education that works. After evaluating several learning management systems, we were particularly impressed with OpenLearning. The platform's intuitive AI course builder, its outcome-based approach, and its scalability—which is essential for a large, multi-campus university like NU—were key factors in our decision.”
This is no minor win. NU’s multi-campus system and rapid enrolment growth (projected 100,000 students by 2026–27) could cement OLL as a top-tier learning management systems (LMS) in Southeast Asia.
Growth Vectors That Matter
What stands out this quarter is not just operational maturity but strategic foresight:
Course Magic: AI-powered instructional design for B2C users—educators globally are signing on, paving the way for institutional upsell.
The Uni Guide: A newly integrated agency model taps into nearly 1M yearly student visitors, offering marketing revenue potential via partner commissions.
Employability Advantage Acquisition: Post-quarter, this deal gives OLL an edge in work-integrated learning, offering bootcamps, resume tools, and career-readiness modules.
Samso’s Concluding Comments
As I am learning about AI and what it means for businesses and people at home, I am understanding the power of being the person who knows how to use AI as opposed to the person who is being left out of the future.
The education sector is often slow-moving, bound by legacy systems and institutional inertia. Yet OpenLearning appears to be proving that transformation is possible, especially when it’s rooted in purpose, not hype. For me, it looks like OLL is building momentum by aligning its product with long-term trends: AI-powered learning, skills-based education, and scalable SaaS delivery.
The National University deal isn’t just about revenue—it’s about credibility. The amount of money that is being paid is not something that will make OLL profitable. This is one of the Philippines’ largest private universities, and their choice to adopt OpenLearning’s platform across all campuses validates years of patient product development.
The upside potential is substantial, but what gives me confidence is how OLL has layered multiple levers of growth—platform licensing, B2C expansion, and student acquisition tools—all on top of a solid AI foundation. This business of SaaS is all about a persistent plan and strategy. The business needs to move in a forceful manner and win significantly more than lose, because if they take too long, they will lose any potential upside to competitors and the age of technology, meaning technology will surpass their business model.
Course Magic is not just a flashy AI product—it’s proving itself globally with minimal spend. The Uni Guide gives OpenLearning access to a valuable audience of international students. And the acquisition of Employability Advantage signals that the company understands what learners and institutions want: real-world skills, not just certificates.
In my view, OpenLearning is now entering a new phase. Its market capitalisation is just under AUD $9M, and if they make more wins, this is not a bad valuation for entry. This is a long journey, like a marathon, so don't think you will be making your multiples in a short period of time.
OpenLearning continues to do what most micro-cap tech players only talk about: grow smartly. The SaaS metrics are trending in the right direction, cash burn is decreasing (a good sign), and the pipeline, fueled by new features and geographic wins, shows signs of depth and repeatability.
What resonates with me most is the company’s calm confidence in execution. They’re not shouting about AI—they’re embedding it into their tools, signing real contracts, and entering long-term relationships with tier-one education partners.
As CEO, Adam Brimo aptly summarised:
"NU has chosen our learning management system as the premier solution to advance their online learning initiatives across all campuses. This decision is a strong endorsement of the quality and continuous evolution of our technology and our leadership position in the application of Generative AI to education.”
If the National University deal is any indication, OpenLearning is on the cusp of real, scalable revenue. For investors who understand the value of sticky SaaS in education, especially in emerging markets, this could be a compelling long-term story. The seeds of smart growth are already in the ground. Now it’s just a matter of watching them scale.
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