Academedia Ab · OMXSTO:ACAD
Academedia Ab — Q2 2017/18 Earnings Presentation
16 slides from Academedia Ab's earnings presentation, Feb 1, 2018
Slide 1: Interim Report July - December 2017
Interim Report July - December 2017 2018-02-01 1
Slide 2: Today’s presenters
Today’s presenters Marcus Strömberg Eola Änggård Runsten Chief Executive Officer Chief Financial Officer With AcadeMedia With AcadeMedia since 2005 since 2013 2
Slide 3: CEO introduction
CEO introduction • Strong net sales and profit growth in the second quarter • Student numbers up 11.1 percent • Acquisition of Vindora closed • Contract transition in adult education delayed • Rights issue oversubscribed and completed 3
Slide 4: Largest independent education provider in Northern Europe
Largest independent education provider in Northern Europe Overview Geographical presence and selected brands (Q2) • Largest independent educational services provider in Northern Europe Country Total • Comprehensive educational offering • Unique quality assurance model – key for sustainable growth St
Slide 5: Key highlights Q2 2017/18
Key highlights Q2 2017/18 Acquisition of Vindora boosts revenue growth and earnings Comments for Q2 2017/18 Key figures for Q2 2017/18 • Student numbers increased in all segments. 2017/18 2016/17 Change # of Students 72,945 65,633 11.1% • Growth in net sales was boosted by Net sales 2,813 2,508 12.2
Slide 6: Key highlights July-December 2017/18
Key highlights July-December 2017/18 Acquisitions drive growth Comments for July to December 2017/18 Key figures for July to December 2017/18 • Student numbers increased in all segments. 2017/18 2016/17 Change # of Students 70,522 65,388 7.9% • Growth in net sales was boosted by Net sales 4,850 4,37
Slide 7: 12 month rolling figures Q2 2017/18
12 month rolling figures Q2 2017/18 Acquisitions push net sales to SEK 10,000 million Comments for 12 month rolling figures Key figures for Q2 R12 2017/18 vs FY 2016/17 • 12 month rolling net sales and EBIT are at 2017/18 Change all time high thanks to acquisitions, volume R12 2016/17 growth and fou
Slide 8: Pre- and Compulsory Schools (Sweden)
Pre- and Compulsory Schools (Sweden) Margins under pressure but growth maintained Comments for Q2 2017/18 Key figures for Q2 2017/18 • One compulsory school and two preschools with approximately 700 children were acquired in the 2017/18 2016/17 Change second quarter. Net sales 1,021 964 5.9% • Overa
Slide 9: Upper Secondary Schools (Sweden)
Upper Secondary Schools (Sweden) Vindora acquisition drives growth Comments for Q2 2017/18 Key figures for Q2 2017/18 • In November, Vindora was acquired with 36 units • Revenues under the increased by 9,1 percent brands Praktiska mainly because och Hagströmska with 2017/18 2016/17 Change the number
Slide 10: Adult Education (Sweden)
Adult Education (Sweden) Contract transition delayed one quarter kept profit and margins high Comments for Q2 2017/18 Key figures for Q2 2017/18 • Net Revenues sales increased increasedby by9,1 percent 10.1% mainly mainly becauseto attributed the the number of students acquisition increased of Vindo
Slide 11: Preschools (International)
Preschools (International) Strong growth in Norway and Germany following acquisitions Comments for Q2 2017/18 Key figures for Q2 2017/18 • One new preschool in Germany and four preschools acquired in Norway. 2017/18 2016/17 Change • As a result child numbers increased by 14.7%. Net sales 488 449 8.7
Slide 12: Financial position
Financial position Rights issue of SEK 410 million completed Net debt and Net debt / Adj. EBITDA 3,3 3,1 Max 3.0 • Capital employed has increased during the 2,5 2,4 2,6 last 12 months by SEK 991 million mainly due to acquisitions, but also investments in 2 629 2 342 2 133 2 342 2 075 preschool build
Slide 13: Seasonality varies between segments
Seasonality varies between segments Q2 shows normal seasonality in school segments Quarterly seasonality – Net sales and adj. EBIT 2014/15 – 2017/18 Comments • School segments SEKm 3 000 2 813 12% continue to show 2 508 2 540 2 610 2 500 2 146 2 177 2 199 2 239 2 316 2 378 10% normal seasonality. 10
Slide 14: Financial performance according to plan
Financial performance according to plan Q2/R12M Financial targets (FY 16/17) • Annual revenue growth rate of 5-7% including organic growth and smaller bolt-on acquisitions 7.4%* Growth 5-7% but excluding larger strategic acquisitions and (9.0%) FX 6.8%* Profitability 7-8% • Adj. EBIT margin of 7-8%
Slide 15: A unique combination of sustainability, growth and cash flow generation
A unique combination of sustainability, growth and cash flow generation Sustainable and Multi-layered and scalable Strong cash flow A. predictable business B. C. growth ahead generation model Favorable demographic Secular growth drivers in the Limited capex requirements trends with high predic
Slide 16: Thank you – Any questions?
Thank you — Any questions? 16 AcademMedia