Cl Educate Ltd. · NSE:CLEDUCATE
Cl Educate — FY2021 Earnings Presentation
27 slides from Cl Educate's earnings presentation, 2021
Slide 1: FY20-21 Investor Presentation
Excellence In Education. Since 1995 FY20-21 Investor Presentation 1 Presented by: CL EDUCATE LIMITED
Slide 2: Core Values
Core Values 2 Presented by: CL EDUCATE LIMITED 2
Slide 3: Safe Harbor
Safe Harbor This presentation has been prepared by CL Educate Limited (the “Company”) solely for information purposes without any regard to any specific objectives, financial situations or information needs of any particular person. This presentation and its contents are confidential and should not
Slide 4: Contents
Contents COVID Impact Business Updates Financial Updates Corporate Update FY21 4
Slide 5: COVID Impact – FY21
COVID Impact – FY21 •Products & Services pivoted to Digital mode for Consumer & Enterprise Biz •Test Prep Biz – Serviced ~4 Lakh consumers; including ~1 Lakh paid customers •Enabled 100+ Franchise partners with Digital mode of delivery on Aspiration.ai •Kestone launched its Virtual Event Platform (V
Slide 6: Contents
Contents COVID Impact Business Updates Financial Updates Corporate Update FY21 6
Slide 7: Test Prep Business Update
Test Prep Business Update • Test Prep industry impacted significantly due to • Delay in Various exam dates and uncertainty around that • Shuttering of centers for last 15 month resulting in lower premium enrollments • Pouch and Sachet grew as Market Share was grown in key product segments with signi
Slide 8: Enterprise & Publishing Business Update
Enterprise & Publishing Business Update • Enterprise Corporate (Kestone) delivered ~75 Cr revenue • Gross Margin up from 11% LY to 15% CY • EBITDA Margin up from 5% LY to 9% CY • VEP Platform: • Rated among top 10 in a research report done by Grand Research View Enterprise • Rated among top 6 as Eco
Slide 9: Kestone Virtual Event Platform
| ] Kestone Kestone Virtual Event Platform 40,00,000+ EXCELLENCE <0 0008 Booth Visits ATAGLANCE glue Visito More Power to Your Events Catered to Some of the Key Industries , os cll Leading Global Brands Served | un oa ay Me # % FeSigo @/ R/S | si Virtual 9 SUN Real ine FMCG ‘Tescereh: infrastructure
Slide 10: Contents
Contents COVID Impact Business Updates Financial Updates Corporate Update FY21 10
Slide 11: Financial Snapshot
Financial Snapshot Consolidated Revenue ✓ 194.3 Cr – Mar 21 Business EBITDA ✓ 323.9 Cr – Mar 20 ✓ 33.0 Cr– Mar 21 ✓ 43.8 Cr– Mar 20 Biz EBITDA Margin ✓ 17%– Mar 21 ✓ 14%– Mar 20 EBITDA Net Cash ✓ (0.8) Cr – Mar 21 ✓ 8.6 Cr – Mar 20 ✓ 30.3 Cr– Mar 21 ✓ 18.2 Cr– Mar 20 11
Slide 12: Business Financials – A Summary
Business Financials – A Summary Mar 21 Mar 20 Total Income 194.3 323.9 Business Expenses 161.2 280.1 Business EBITDA 33.0 43.8 Finance Cost 5.6 8.3 Depreciation & Amortization 8.4 14.0 Profit Before Tax 19.0 21.5 Business EBITDA Margin 17% 14% 12
Slide 13: COVID Enforced Write-Offs
COVID Enforced Write-Offs • Vocational Biz receivables write-off: Rs. 14.5 Cr out of Rs 18.1 Cr outstanding Non-Cash • Amount Collectible : Rs 3.6 Cr • Covid Enforced Write-Offs: Non-Cash • Bad Debts (Test Prep) : Rs. 4.8 Cr Non-Cash • Institutional Clients (CL Media) : Rs 9.1 Cr • Sales Return (GKP
Slide 14: Financial Summary
Financial Summary Mar 21 Mar 20 Total Income 194.3 323.9 Operating Expenses 161.2 280.1 COVID / One-Time Write-Offs 33.8 35.2 EBITDA (0.8) 8.6 Finance Cost 5.6 8.3 Depreciation & Amortization 8.4 14.0 Profit Before Tax (14.7) (13.6) Exceptional Expenses - 41.5 Profit Before Tax after Exceptional Ite
Slide 15: Consolidated: Cash Position
Consolidated: Cash Position Rs. In Cr. Mar 21 Mar 20 MF Investments 38.5 37.2 Fixed Deposits 13.0 12.1 Cash & Cash Equivalents 17.3 11.6 Gross Cash 68.8 61.0 Borrowings (Current & Non-Current) (38.4) (42.8) Net Cash 30.3 18.2 Trade Payable (Net) 15.3 29.7 Effective Net Cash Position +26.5 15
Slide 16: Contents
Contents COVID Impact Business Updates Financial Updates Corporate Update FY21 16
Slide 17: Corporate Updates
Corporate Updates Asset Sale • Faridabad Asset sale: In talks with a prospective buyer. • Expecting to conclude the deal in the coming months Digital Vehicle • Subsidiary for Digital Test Prep Business incorporated in last quarter • Board has approved the transfer of the business to newly created en
Slide 18: Thank You
Thank You For Investor Relations Queries Contact Arjun Wadhwa Amit Kanabar Chief Financial Officer Investor Relations CL Educate Ltd. CL Educate Ltd. Call: +91-98116 17289 Call: +91-88009 76683 E-mail: investors@careerlauncher.com E-mail: investors@careerlauncher.com arjun.wadhwa@careerlauncher.com
Slide 19: Annexures
Annexures 19
Slide 20: Merger Scheme
Merger Scheme Pre-Merger Organization Structure Post-Merger Organization Structure Upward merger of CL Educate Limited all the subsidiaries with CL Educate 1A Wholly owned subsidiaries CL Educate CLEIS CL Media GKP Kestone AKMS Consumer Enterprise Segment Segment Composite Scheme: Merger of CLEIS, C
Slide 21: Operating in sizable $100 bn+, fast-growing industry
Indian Education Landscape Operating in sizable @$100 bn+, fast-growing industry Figures in Rs Cr CL’s focus areas JEE GATE Medical MBA Law CA UPSC, SSC, 14,600 1,680 6,400 390 83 2,520 Bank PO A $100 bn+ market 11,500 growing @16% Unregulated/ Education CAGR Informal/ Test-prep/ Industry Entreprene
Slide 22: Comprehensive product portfolio in Knowledge & Career Services
CL’s portfolio Comprehensive product portfolio in Knowledge & Career Services MBA I Law I Bank/SSC I Aptitude Products (AP) International Test-prep Consumer Knowledge Products (KP) GATE I IIT I Medical I CA I Civils Services Publishing CL Group Corporates Integrated Marketing Services (Corporates) E
Slide 23: Corporate Structure
Corporate Structure Digital Business Arm for Test Career Launcher 100% CL Educate Prep Segment Pvt. Ltd. Parent Company 100% 100% 58.95% 100% 100% 100% 100% 4.41% Accendere 361 DM Career Launcher Kestone ICEGATE GK Publications CL Media Knowledge Mgt. CLEIS Foundation Services (Associate) Research S
Slide 24: Leader in Test-Prep Segment
Consumer Vertical Leader in Test-Prep Segment Growing Brand Equity from Sustainable Strengths Consumer Bouquet of Products (MBA, Most comprehensive product-reach portfolio: 15 Law, Civils, GATE, Engg, etc.) 1 product groups + Network of 200+ centers pan India & ~4 Lakh consumers in FY21 National Tes
Slide 25: Knowledge services for Corporates, Educational Institutions
Enterprise Vertical Knowledge services for Corporates, Educational Institutions Differentiated offerings + One of the best execution capabilities Knowledge Services for Corporates Sales 1 Kestone • Managed Manpower Services • Training & Development 2,500+ Marketing Creative, approachable, • Marketin
Slide 26: Cross-leveraging between consumer & enterprise platforms
Unique Synergies Cross-leveraging between consumer & enterprise platforms CONSUMER ENTERPRISE Brand recognition …She then meets us in college for test across learning life CL initial brand contact prep or experiences …And then again in cycle when she is in school…. our research the workplace... serv
Slide 27: Strong team, complete focus on governance & processes
Strong ethos Strong team, complete focus on governance & processes Satya Narayanan R., Gautam Puri, Nikhil Mahajan, Professionally Chairman & Executive Director Vice Chairman & Managing Director Executive Director & CEO Enterprise business qualified, • 25+ years of experience in • 25+ years of exper