Slide 1: Mayfield Childcare Limited - CY 2018 Full Year Results
For personal use only Mayfield Childcare Limited (ASX:MFD) - CY 2018 Full Year Results 1 February 2019
Slide 2: Disclaimer
DISCLAIMER This Presentation contains summary information about the current activities of Mayfield Childcare Limited (Mayfield). It should be read in conjunction with Mayfield’s other periodic and continuous disclosure announcements lodged with the Australian Securities Exchange (ASX), which are ava
Slide 3: Contents
For personal use only Contents 01 2018 Highlights 02 Financial performance 03 Operational performance 04 Acquisitions 05 Industry 06 2019 Outlook
Slide 4: 2018 Highlights
01 2018 Highlights › Stable, structured and resilient › Second full year of operations reflects a more stable and structured business platform. For personal use only › Proven resilience as the sector manages its way through unprecedented funding changes and supply challenges. › Attractive earnings a
Slide 5: 2018 Highlights
01 2018 Highlights › Quality recognition › Our Quality Improvement Program, under the industry’s National Quality Standards, has brought about a significant shift in our NQS profile For personal use only › ‘Exceeding’ ratings have risen from 6% to 15% of the portfolio › ‘Working Towards’ ratings hav
Slide 6: Financial performance
For personal use only 02 Financial performance: Operating performance Balance Sheet Cash flows Dividend
Slide 7: Operating Performance
02 Operating Performance $000’s CY 2017 CY 2018 Var % For personal use only Revenue 27,117 31,489 16.1 The operating performance for CY 2018 reflects the following Labour costs 15,070 17,749 (17.8) › Revenues up 16.1% driven by full year impact of CY17 acquisitions, CY18 Centre operating expenses 1,
Slide 8: EBITDA Reconciliation
02 EBITDA Reconciliation EBITDA Variance from CY 2017 to CY 2018 › Our 2017 base centres took the brunt of the fall in For personal use only occupancy and the flow on to operating expenses, with EBITDA down $0.5m › CY 2017 acquisitions have responded well to our investment in centre refurbishments a
Slide 9: Balance Sheet
02 Balance Sheet $000’s 31 Dec 17 31 Dec 18 Var Balance sheet reflects growth strategy of the business, specifically › Healthy cash position of $1.8m For personal use only Cash & cash equivalents 1,539 1,777 238 Trade & other receivables 764 933 169 Other 289 322 33 Current Assets 2,592 3,032 440 Pl
Slide 10: Cash flows
02 Cash flows $000’s CY 2017 CY 2018 For personal use only Operating cash flows Childcare receipts 26,059 31,465 › Positive cash from operations, despite difficult trading conditions and payment Operating expenses (21,063) (26,262) of year 1 tax obligation of $1.8m Net interest paid (329) (523) Othe
Slide 11: Dividend
02 Dividend For personal use only › Mayfield paid its inaugural fully franked dividend of $2.3m or 7.65 cps for the year ended 31 December 2017 › Dividend payment made up of $1.3m in cash and 959,116 ordinary shares issued under the DRP at $1.06/share › Board announces for the 12 months ending 31 De
Slide 12: Operational performance
For personal use only 03 Operational performance: Centre based metrics Occupancy & revenue Operational metrics
Slide 13: Centre Based Metrics
03 Centre Based Metrics Key Metrics CY 2016 CY 2017 CY 2018 For personal use only › Registered places up 6.6%, net of centre disposals Number of centres 16 19 20 Number of registered places 1,360 1,588 1,693 › Average fees are $111, following a 3.9% price increase › Price increases lower than planne
Slide 14: Occupancy & Revenue Performance
03 Occupancy & Revenue Performance Average Half Yearly Occupancy % Weekly Occupancy % For personal use only 76.0% 80.0% 73.9% 74.0% 72.8% CY 2017 CY 2018 75.0% 72.0% 70.0% 70.0% 69.0% 70.0% 68.0% 66.0% 65.3% 64.7% 65.0% 64.0% 60.0% 62.0% 60.0% 55.0% 1st Half 2nd Half Full Year CY 2017 CY 2018 50.0%
Slide 15: Operational Metrics
03 Operational Metrics Quality Improvement Program 2018 Weekly Wages A$000’s For personal use only 80% 70% 70.0% $450 70% 63% 60% 56% 65.0% $400 50% 60.0% 38% $350 40% 55.0% 30% 26% $300 50.0% 20% 15% 15% 11% 45.0% $250 10% 6% Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk Wk 0% 1 4 7 10 13 16 1
Slide 16: Acquisitions
For personal use only 04 Acquisitions:
Slide 17: Acquisitions & Disposals
04 Acquisitions & Disposals Key Metrics Acquisitions Disposals For personal use only No of centres as at 19 Dec 2017 Number of centres 3 2 Registered places 214 108 EBITDA CY 2018 $0.4m ($0.2m) Centres acquired in 3 July and October EBITDA CY 2019 $1.2m N/A 2018 Average Daily Fees $121 $101 Rent per
Slide 18: Industry
For personal use only 05 Industry:
Slide 19: Industry
05 Industry › Government Funding - 2018 For personal use only › Representing the most significant change the Industry has seen in several years, the Child Care Subsidy has brought welcome relief to many working families, who are battling with the cost of childcare. › Though the new Activity Test has
Slide 20: 2019 Outlook
For personal use only 06 2019 Outlook:
Slide 21: 2019 Outlook
06 2019 Outlook › Market Outlook › A more stable market environment, influenced by cyclical improvements in the sector For personal use only › Positive impacts from the new CCS are set to continue as families find further relief through changes to rebate levels › Supply and demand are forecast to be
Slide 22: Thankyou
For personal use only Thankyou Mayfield Childcare Limited Level 1, 275 Wattletree Road MALVERN VIC 3144 www.mayfieldchildcare.com.au Dean Clarke Glenn Raines Andrew Angus Chief Executive Officer Chief Financial Officer Investor Relations dclarke@mayfieldchildcare.com.au graines@mayfieldchildcare.com