G8 Education Limited · ASX:GEM
G8 Education — Morgan Stanley Investor Conference (November 2013)
13 slides from G8 Education's conference presentation, Nov 19, 2013
Slide 1: G8 Education – Morgan Stanley Investor Conference
For personal use only G8 Education – Morgan Stanley Investor Conference G8 Education Limited (ASX:GEM) 19 November 2013
Slide 2: Corporate Snapshot
Corporate Snapshot For personal use only Capital Structure Directors & Senior Management Ful l y Pa i d Ordi na ry Sha res (current) 300.3 mi l l i on Jenny Hutson Chairperson Opti ons Ni l Chris Scott Managing Director Sha res Pri ce (15 November 2013) $3.22 Andrew Kemp Non-Executive Director Ma rk
Slide 3: G8's Vision & Mission
G8’s Vision & Mission Our mission is to be Australasia’s leading provider of high quality, For personal use only developmental and educational child care services. We aim to achieve this through: • A portfolio of outstanding early childhood education brands • A focus on the importance of early child
Slide 4: 1H13 Reviewed Results
1H13 Reviewed Results For personal use only Consolidated 1H13 1H12 Year end 31 December ($’000) ($’000) Variance (%) Revenue 118,173 78,670 51% Expenses (101,128) (68,376) 48% Earnings Before Interest and Tax 17,045 10,294 66% Interest (1,332) (1,190) Net Profit Before Tax 15,713 9,104 72% Net Profi
Slide 5: Balance Sheet
Balance Sheet Consolidated Balance Sheet 2012 1H13 $000 $000 Current assets For personal use only Cash and cash equivalents 21,790 30,535 Trade and other receivables 12,711 13,801 • Cash reserves at 30 June 2013 were $30.5m up from Other current assets 16,750 16,920 $21.8m at 31 Dec 2012. Assets cla
Slide 6: Cashflow
Cashflow 1H12 1H13 $000 $000 CASH FLOWS FROM OPERATING ACTIVITIES For personal use only Receipts from customers 78,044 118,184 • Operating cashflow remains strong at $16.6m Payments to suppliers and employees (68,228) (96,327) for 1H13 which represents 127% of underlying Interest received 289 435 Ea
Slide 7: Financial Performance
Financial Performance For personal use only $140.0 Group Financial Performance - First Half Year Analysis $20.0 • Underlying revenue increased by 50% $116.7 $18.0 from $78m in 1H12 to $117m in $120.0 1H13. $16.0 $17.6 $100.0 $14.0 • Underlying EBIT increased 75% from $78.0 $12.0 $80.0 $10.1m in 1H12
Slide 8: Financial Performance – ROIC & Broker Forecasts
Financial Performance – ROIC & Broker Forecasts For personal use only Broker forecasts as at $M • Return on Invested Capital 18 November 2013 continues to increase. It is EBIT NPAT currently 27.4% based on the CY13 CY14 CY13 CY14 adjusted equity value as at 30 June 2013. Broker A 49.3 70.9 33.1 47.8
Slide 9: Financial Margin Analysis
Financial Margin Analysis For personal use only • The EBIT margin is affected by seasonal Margin Analysis - First Half fluctuations in occupancy from January 16% 15% to June compared with July to December 14% 13% due to the transition of children from 12% Kindergarten to primary school in 12% Januar
Slide 10: Centre Portfolio & Long Day Care Market
Centre Portfolio & Long Day Care Market For personal use only Centre Portfolio • G8 Education has continued to make earnings per share accretive acquisitions throughout the first half of 2013. Australian centres Singpore centres • The group acquired 22 centres during 1H13 and sold one centre. • Ther
Slide 11: Occupancy & Operational Updates
Occupancy & Operational Updates For personal use only • The total average portfolio occupancy increased 400 basis points in 1H13 compared Occupancy to 1H12. This growth is a function of organic improvement and positive centre acquisitions. • Like for like occupancy across 133 child care centres has
Slide 12: Group Structure
Group Structure For personal use only Brian Bailison Andrew Kemp Chris Scott Jenny Hutson Susan Forrester Non-Executive Non-Executive Managing Chairperson Non-Executive Director Director Director Director Chris Sacre Chief Operating & Financial Officer/Company Secretary IT Manager GM Operations Mark
Slide 13: Thank You – Questions?
For personal use only THANK YOU Questions? Page 13
G8 Education — Morgan Stanley Investor Conference (November 2013) on 6ix