G8 Education Limited · ASX:GEM
G8 Education — Shareholder Meeting (April 2012)
23 slides from G8 Education's shareholder meeting presentation, Apr 26, 2012
Slide 1: Annual General Meeting
For personal use only Annual General Meeting G8 Education Limited (ASX:GEM) 26 April 2012
Slide 2: Overview
Overview For personal use only Following the acquisition of five separate child care groups over the past 22 months G8 Education’s child care portfolio now comprises: Australia 135 owned child care centres Eight brands: Early Learning Services World of Learning Bourne Learning Communit
Slide 3: Significant events
Significant events For personal use only Reported a profit after tax of $17,250,351 in 2011 compared to $3,480,324 in 2010. Acquired an additional 53 child care centres and sold 7 underperforming child care centres in Australia. Acquired 6 child care centres in Singapore (outside of the Cherie
Slide 4: G8's Vision & Mission
G8’s Vision & Mission For personal use only A portfolio of outstanding early childhood education brands Focus on the importance of early childhood education Make good centres great through focusing on outstanding early childhood education management Our mission is to be Australasia’s leading p
Slide 5: Price chart
Price chart For personal use only $1.00 3,000,000 $0.90 2,500,000 $0.80 $0.70 2,000,000 $0.60 $0.50 1,500,000 $0.40 1,000,000 $0.30 $0.20 500,000 $0.10 $0.00 0 Close Volume Page 5
Slide 6: G8 2011 Audited Results
For personal use only G8 2011 Audited Results Financial year ended 31 December 2011 Page 6
Slide 7: 2011 Audited Results
2011 Audited Results For personal use only Consolidated 2010 2011 Variance Year end 31 December ($’000) Revenue 66,549 142,899 115% Expenses (59,682) (118,017) 98% Earnings Before Interest and Tax 6,867 24,882 262% Interest (1,318) (2,188) 66% Net Profit Before Tax 5,549 22,694 309% Net Profit After
Slide 8: 2011 Audited Results v Guidance
2011 Audited Results v Guidance For personal use only Calendar Year Audited Full % 2011 Guidance Year 2011 Results Change $AUD million $AUD million Revenue 132.35 142.89 8.0% Expenses (112.09) (118.01) 5.3% Earnings Before Interest and Tax 20.26 24.88 22.8% Interest (1.90) (2.19) 15.3% Net Profi
Slide 9: Australia
For personal use only Australia Page 9
Slide 10: Australian Centres
Australian Centres For personal use only State Total centres Queensland 60 New South Wales 47 Victoria 9 Australian Capital Territory 6 South Australia 13 Total centres 135 Total licence Capacity per day 9,868 Page 10
Slide 11: Australian operations
Australian operations For personal use only • The trading environment continues to be buoyant with average 2012 annual occupancy across centres expected to exceed 2011 occupancies. • Long Day Care rate increased 2.66% in January 2012 against the budget of 1.50% • Total centre payroll costs for CY11
Slide 12: Singapore
For personal use only Singapore Page 12
Slide 13: Singapore Centres
Singapore Centres For personal use only State Total centres Owned centres 8 Operated centres* 12 Franchised centres 51 Franchisees seeking premises 10 Total centres 81 Total licence capacity per day for owned centres 618 * Refer 19 April 2011 announcement in relation to Cherie Hearts. G8 Education m
Slide 14: Cherie Hearts Update
Cherie Hearts Update For personal use only • The legal proceedings between G8 Education Limited and the Cherie Hearts Group, Sam Yap and Gurchran Singh in relation to various issues involving the contractual arrangements between the parties has been heard before Her Honour Justice Prakash in Singapo
Slide 15: Cherie Hearts Update
Cherie Hearts Update For personal use only • Accordingly, Justice Prakash has ordered specific performance of the contract, pursuant to which G8 Education acquires the Cherie Hearts child care businesses in Singapore under the Business Acquisition Contract. • As advised to the market on 4 March 2011
Slide 16: Looking forward
For personal use only Looking forward Page 16
Slide 17: Looking forward
Looking forward For personal use only G8 Education continues to perform strongly and is well positioned for further growth and additional acquisitions. • An increase in the proposed annual dividend of 50% to 6 cents per share (fully franked), payable quarterly, has been announced. • Strong acquisiti
Slide 18: Australian Group Structure
Australian Group Structure For personal use only Brian Bailison Andrew Kemp Chris Scott Jenny Hutson Susan Forrester Matthew Non-Executive Non-Executive Managing Chairperson Non-Executive Reynolds Board of Directors Director Director Director Director Non-Executive Director Chris Sacre Chris Scott D
Slide 19: Singapore Operations
Singapore Operations For personal use only BOARD OF DIRECTORS Managing Director Chief Operating Officer Deputy Chief Operating Officer General Manager, General Manager, General Manager, Head, Finance & General Manager, Curriculum & Franchise & Operations Acquisitions IT Services Marketing Senior Man
Slide 20: Capital structure
Capital structure For personal use only Shares on issue 200,209,010 Cash on hand $14.2 million Debt Current Debt – National Australia Bank $36.4 million Replacement debt facility with BankWest $50 million Dividend Policy Quarterly dividends to 65% cash payout ratio Dividend to be 1.5 cents per share
Slide 21: Questions?
For personal use only Questions? Page 21
Slide 22: Formal Resolutions
For personal use only Formal Resolutions Page 22
Slide 23: Disclaimer
Disclaimer For personal use only • This presentation has been prepared by G8 Education Limited based on the information available to them. No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and conclusions