G8 Education Limited · ASX:GEM
G8 Education — Shareholder Meeting (May 2015)
29 slides from G8 Education's shareholder meeting presentation, May 21, 2015
Slide 1: G8 Education – Annual General Meeting
For personal use only G8 Education – Annual General Meeting G8 Education Limited (ASX:GEM) 21 May 2015
Slide 2: Corporate Snapshot
Corporate Snapshot For personal use only Capital Structure Board of Directors & Key Management Title Personnel Directors & Senior Management Fully Paid Ordinary Shares (current) 361.9 million Jenny Hutson Chairperson Options Nil Chris Scott Managing Director Share Price (as at 15 May 2015) $4.12 Bri
Slide 3: 2014 Year in Review
2014 Year in Review For personal use only Our Centres 455 owned childcare centres ( 81%) Acquired 203 centres during CY13 ( from 86 centres acquired in 2013 and 33 centres in 2012) 32,782 licenced places per day 9705 employees Financial Performance Revenue $491.3m ( 79%) Earning Befor
Slide 4: Brands
For personal use only Brands 4
Slide 5: Corporate Strategy
For personal use only 5 CORPORATE STRATEGY
Slide 6: Our Vision & Mission
Our Vision & Mission For personal use only G8 Education’s mission is to be Australasia's leading provider of high quality, developmental and educational child care services. Our aim is to achieve this through: A portfolio of outstanding early childhood education brands A focus on the importance
Slide 7: Financial Information
For personal use only FINANCIAL INFORMATION 7
Slide 8: 2014 Group Revenue and EBIT
2014 Group Revenue and EBIT For personal use only Group Financial Performance $350.0 $80.0 $294.9 $70.0 $300.0 • Underlying Group Revenue and $70.3 $60.0 $250.0 EBIT growth from 1H10 to 2H14 has continued to be strong $50.0 $200.0 $187.2 • Underlying EBIT has increased by $157.7 $40.0 101% from CY13
Slide 9: Industry Information
For personal use only INDUSTRY INFORMATION 9
Slide 10: Group Centre Portfolio
Group Centre Portfolio For personal use only Centre Portfolio Australian centres Singapore centres 18 18 18 18 437 • The Group added 203 new centres and 13,697 18 349 18 18 18 187 234 licensed places in 2014 132 135 136 167 77 88 1H10A 2H10A 1H11A 2H11A 1H12A 2H12A 1H13A 2H13A 1H14A 2H14A • Discipli
Slide 11: Capital Strategy
Capital Strategy For personal use only Consistently Consistently Consistently Increasing Increasing Increasing Efficiently Fund Optimal Debt Profile Distributions Distributions Dividends Acquisition Opportunities 11
Slide 12: Capital Strategy – Consistently Increasing Dividends
Capital Strategy For personal use only Consistently Increasing Dividends 19 cents 12 cents 7 cents 4 cents 2 cents FY10 FY11 FY12 FY13 FY14 12
Slide 13: Capital Strategy – Funding Plan
Capital Strategy – Funding Plan For personal use only Efficiently fund acquisition opportunities Maintain diversity funding sources Extend tenor in low interest rate environment Maintain adequate liquidity Ensure future maturities managed to minimise refinancing risk 13
Slide 14: Debt Profile
Debt Profile For personal use only 31 December 2014 Debt Profile Total debt $353 million Net Debt $233 million Average tenor to expiry 3 years Average interest rate * 5.51% * Weighted on a proportional drawn debt basis 14
Slide 15: Market Potential
Market Potential For personal use only Highly Fragmented industry % of sector long day care revenue Approximately 6500 long day care centres across Australia G8 Education Limited represents approximately 9% of the sector long day care revenue 9% Goodstart represents approximately 12% of the se
Slide 16: Australian Market Potential
Australian Market Potential For personal use only Australian Statistics Potential to increase enrolments: Current Government support Funding through Child Care Rebate CCR (not Australia ranks means tested, capped at $7,500) and Child Care Benefit CCB (means tested) 30th against Government change
Slide 17: Significant Events Post December 2014
Significant Events Post 31 December 2014 For personal use only On 16 February 2015 the Group announced contracts to acquire 12 childcare centres from a number of different vendors. The Group has contractual arrangements with each of the vendors conditional on customary licensing and landlord appro
Slide 18: Thank You – Questions?
For personal use only THANK YOU Questions? 18
Slide 19: Business
For personal use only 19 BUSINESS
Slide 20: Resolution – Remuneration Report
Resolution 1 – Remuneration Report For personal use only The company seeks members’ consideration, and if thought fit, passage of the following resolution as an advisory ordinary resolution in accordance with section 250R(2) of the Corporations Act: ‘That the section of the report of the Directors c
Slide 21: Resolution – Re-election of a director: Brian Hilton Bailison
Resolution 2 – Re-election of a director Brian Hilton Bailison For personal use only The company seeks members’ consideration and if thought fit, passage of the following resolution as an ordinary resolution: ‘That Mr Brian Hilton Bailison, who retires in accordance with Listing Rule 14.4 and Articl
Slide 22: Resolution – Re-election of a director: Jennifer Joan Hutson
Resolution 3 – Re-election of a director Jennifer Joan Hutson For personal use only The company seeks members’ consideration and if thought fit, passage of the following resolution as an ordinary resolution: ‘That Ms Jennifer Joan Hutson, who retires in accordance with Listing Rule 14.4 and Article
Slide 23: Resolution – Re-election of a director: Matthew Reynolds
Resolution 4 – Re-election of a director Matthew Reynolds For personal use only The company seeks members’ consideration and if thought fit, passage of the following resolution as an ordinary resolution: ‘That Mr Matthew Reynolds, having been appointed on 12 March 2015 in accordance with Article 46(
Slide 24: Resolution – Ratification of Share Issue
Resolution 5 – Ratification of Share Issue For personal use only The company seeks members’ consideration and if thought fit, passage of the following resolution as an ordinary resolution: ‘That for the purposes of Listing Rule 7.4 and for all other purposes, members ratify and approve the previous
Slide 25: Resolution – Issue of Shares to party nominated by Christopher Scott
Resolution 6 – Issue of Shares to party nominated by Christopher Scott For personal use only The company seeks members’ consideration and if thought fit, passage of the following resolution as an ordinary resolution: ‘That subject to the approval of Resolutions 7, 8 and 9, for the purposes of Listin
Slide 26: Resolution – Issue of Shares to party nominated by Jason Roberts
Resolution 7 – Issue of Shares to party nominated by Jason Roberts For personal use only The company seeks members’ consideration and if thought fit, passage of the following resolution as an ordinary resolution: ‘That subject to the approval of Resolutions 6, 8 and 9, for the purposes of Listing Ru
Slide 27: Resolution – Issue of Shares to party nominated by Christopher Sacre
Resolution 8 – Issue of Shares to party nominated by Christopher Sacre For personal use only The company seeks members’ consideration and if thought fit, passage of the following resolution as an ordinary resolution: ‘That subject to the approval of Resolutions 6, 7 and 9, for the purposes of Listin
Slide 28: Resolution – Issue of Shares to party nominated by Ann Perriam
Resolution 9 – Issue of Shares to party nominated by Ann Perriam For personal use only The company seeks members’ consideration and if thought fit, passage of the following resolution as an ordinary resolution: ‘That subject to the approval of Resolutions 6, 7 and 8, for the purposes of Listing Rule
Slide 29: Resolution – Remuneration of Non-executive Directors
Resolution 10 – Remuneration of Non-executive Directors For personal use only The company seeks members’ consideration and if thought fit, passage of the following resolution as an ordinary resolution: ‘That for the purpose of ASX Listing Rule 10.17, the Company’s Constitution and for all other purp