Slide 1: Company update
(ASX:ICT) Company update 29th April 2022
Slide 2: 3Q22 Highlights
Section 1 3Q22 Highlights
Slide 3: 3Q22 Highlights
3Q22 Highlights Record 3Q22 revenues of Strong positive operating $12.5 million, up 175% cashflows of $6.5 million in against pcp 3Q22 (excluding M&A costs) International students are back - Successful completion outstanding lead indicators for of the integration of RedHill recovery of international
Slide 4: 3Q22 financial highlights
3Q22 financial highlights Revenue Record quarterly revenues of $12.5m, up 175% on previous corresponding period (pcp) (3Q21 $4.5m) $12.5m 175% vs pcp Operating cash flow before M&A Positive operating cash flows driven predominantly by a strong increase in international students returning to Australi
Slide 5: Operating cash flow (excl M&A costs)
Operating cash flow (excl M&A costs) ❖ Record cash inflows in 3Q22 as a result of fast-growing student enrolment numbers and tuition fee payments ❖ Including M&A costs of $1.3m, operating cash flow was $5.1m 5
Slide 6: Outstanding lead indicators for future international student revenues
Outstanding lead indicators for future international student revenues International student Vocational - recruitment agency - international students new student sales confirmed enrolments 200% 243% March 2022 vs July 2021 March 2022 vs July 2021 Deferred revenue - English language increase since bor
Slide 7: International student recruitment agency: strong sales recovery
International student recruitment agency: strong sales recovery Go Study Australia's new international student sales have increased significantly since the re-opening of international borders into Australia Go Study Australia offshore new student sales in March 2022 grew 200% over July 2021 7
Slide 8: Strong growth in international student course offers and acceptances: Greenwich & Sero
Strong growth in international student course offers and acceptances: Greenwich & Sero Lead indicators showing very strong recovery of international student numbers and revenues now that borders have re-opened The number of new international student offers of The number of new international student
Slide 9: English language student numbers to exceed pre-COVID levels by 1Q23
English language student numbers to exceed pre-COVID levels by 1Q23 ❖ English language student numbers expected to exceed pre-COVID Insert image here levels by 1Q23, and expected to continue to increase further over the balance of FY23 ❖ Most international students undertake English language studies
Slide 10: Deferred revenue balance exceeds pre-COVID levels
Deferred revenue balance exceeds pre-COVID levels $9.5m increase in deferred revenue in 3Q21 following the opening of ❖ Deferred revenue represents international borders in December 2021 tuition fees paid or payable in advance for studies that have not yet been undertaken. Revenues will be recognise
Slide 11: Integration of RedHill acquisition – successfully completed
Integration of RedHill acquisition – successfully completed ❖ Critical integration tasks associated with the Finance RedHill acquisition have now been successfully People & Information completed and the integration management office Culture Technology has been closed ❖ Remaining integration activiti
Slide 12: Business expansion - Greenwich to launch in Queensland
Business expansion - Greenwich to launch in Queensland ❖ Greenwich currently operates in NSW and Victoria ❖ Queensland is 3rd largest addressable market for international students behind NSW and Victoria ❖ Reduced competition in Queensland with some competitors leaving market ❖ Leverage existing cam
Slide 13: Growth mindset
Growth mindset ❖ Board mandate to focus on further growth and expansion - organic and inorganic ❖ Executive team has been structured with dedicated resources to pursue M&A activity ❖ Planning further geographic expansion of existing courses and brands where campus facilities exist ❖ Development of n
Slide 14: Company Overview
Section 2 Company Overview
Slide 15: Company overview
Company overview Unique portfolio of brands with Well positioned to benefit from broad range of courses across Australia's international border different market segments re-opening and associated delivered to both domestic international student industry and international students tail-winds Strong p
Slide 16: Unique brand portfolio
Unique brand portfolio Student Recruitment ❖ Operate brands across different segments to expand addressable markets ❖ Strong in both domestic and international student markets ❖ Broad curriculum range including in-demand skills areas ❖ Direct government funding and tuition loan arrangements for dome
Slide 17: Very well positioned for post-pandemic recovery as Australia and the world re-opens
Very well positioned for post-pandemic recovery as Australia and the world re-opens ❖ Outstanding lead indicators for future English language course revenues from newly arriving international students into Australia ❖ Extensive global international student recruitment agent networks in key source co
Slide 18: Extensive international student agency relationships
Extensive international student agency relationships ❖ Agents want to work with financially robust colleges like iCollege with strong track records of providing quality student experiences ❖ Historically strong agent relationships across key source countries including Europe, LATAM, South-East Asia
Slide 19: Significant operating leverage
Significant operating leverage ❖ Significant available campus ❖ Campus operating leverage ❖ Current campuses able to support capacity to support fast growth and expected to be enhanced through annual revenue generation of at to provide immediate operating timetabling innovations and least $100 milli
Slide 20: International student study pathways
International student study pathways ❖ Participation in each stage of the international ❖ Providing international students with a wide student lifecycle, starting with extensive range of opportunities to ‘package’ their English international student agent relationships language studies with other vo
Slide 21: Strong cash position
Strong cash position Total cash on hand of $25.5m including $3.2m of term deposits to support bank guarantees *excluding term deposits of $3.2m to support bank guarantees over leased properties 21
Slide 22: Important notice & disclaimer
Important notice & disclaimer Summary information This Presentation contains summary information about iCollege Limited and its activities which is current only as at the date of this Presentation (unless specified otherwis e). The material in this Presentation is general background information and
Slide 23: Thank you!
Level 2, 7 Kelly Street, Thank you! ULTIMO NSW 2007 www.icollege.edu.au Glenn Elith Michael Fahey Chief Executive Officer Chief Financial Officer glenn.elith@icollege.edu.au michael.fahey@icollege.edu.au 23