Slide 1: Annual Financial Results for the year ended 31 December 2018
ANNUAL FINANCIAL RESULTS FOR THE YEAR ENDED 31 DECEMBER 2018 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 2: Tough Economic Times - 2018
Tough Economic Times - 2018 GDP growth: SA GDP 2018 Last five years 1.2% grew 0.8% IMF World Economic Outlook: SA expected to remain below Last three years 0.9% 1.3% GDP growth Average South African poorer – income per Unemployment capita declines 5th year in a row Stats SA Q4 2018 27,1% Source: STA
Slide 3: Strategic imperatives
Strategic imperatives SOCIO-ECONOMIC ENVIRONMENT Growth > Organic and Acquisitive > Channel Africa > Product Excellence through > Segment specialisation > Geographic > Market focus > Benchmarking Academic excellence REGULATIONS > Data driven REPUTATION decisions > Teaching & learning > Benchmarking
Slide 4: Higher Education Enrolment Growth
Operating Environment Higher Education Enrolment Growth 3% 1 200 000 1 000 000 938 000 966 000 Number of students 800 000 600 000 45% 400 000 200 000 149 000 103 000 0 Private Higher Education Public Higher Education 2011 2016 Source: Centre for Risk Analysis, Socio-Economic Survey of South Africa A
Slide 5: Schools Enrolment Growth
Operating Environment Schools Enrolment Growth 4% 14 000 000 11 800 000 12 300 000 12 000 000 Number of students 10 000 000 8 000 000 6 000 000 4 000 000 23% 2 000 000 480 000 590 000 0 Independent Schools Public Schools 2011 2016 Source: Centre for Risk Analysis, Socio-Economic Survey of South Afri
Slide 6: Nr. of Schools: Independent vs Public
Operating Environment Nr. of Schools: Independent vs Public -11% 30 000 26789 25 000 23796 Number of students 20 000 15 000 10 000 102% 5 000 1966 971 0 Independent Schools Public Schools 2000 2017 Source: Centre for Risk Analysis, Socio-Economic Survey of South Africa ANNUAL FINANCIAL RESULTS for t
Slide 7: Positive momentum continues
Positive momentum continues • Strong Group performance despite the challenging economic environment • Positive growth in operating profit and revenue • Schools division – good enrolments at entry levels, off-set by leavers due to emigration and financial difficulties • Despite strong headwinds the s
Slide 8: Good results
Good results Trading performance summary Operational Operating Revenue profit margin 11% 14% 17.4% ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 9: Segmental trading performance
Segmental trading performance Schools Schools The Rest of Africa Tertiary Resourcing Revenue 15% 131% 10% 4% Operating profit 5% (89)% 23% 22% ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 10: Enrolment numbers
Enrolment numbers 80000 70 456 70000 63 544 60 176 60000 53 337 Number of students 50000 39629 36136 33463 40000 29138 30000 20000 27408 30827 24199 26713 10000 0 2016 2017 2018 2019 Schools Tertiary: Full Qualifications ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 11: Group enrolments history
Group enrolments history % % Group enrolments end February Feb-16 Feb-17 Feb-18 Feb-19 Increase Increase Schools 24 199 26 713 27 408 3% 30 827 12% Tertiary: Full Qualification 29 138 33 463 36 136 8% 39 629 10% Total 53 337 60 176 63 544 6% 70 456 11% ANNUAL FINANCIAL RESULTS for the year ended 31
Slide 12: Financial Overview
Financial Overview ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 13: Group Revenue
Group Revenue 5 000 4 500 4 389 3 938 4 000 3 500 3 224 3 000 R'm 2 594 2 500 2 000 1 851 1 500 1 000 500 0 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 14: Operating profit
Operating profit 900 800 763 700 668 600 560 R'm 500 454 400 300 256 200 100 0 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 15: Group operating margin
Group operating margin 18% 17.51% 17.37% 17.38% 16.96% 16% 14% 13.85% 12% 10% 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 16: Normalised earnings per share
Normalised earnings per share 90 81.1 80 75.3 70 63.3 60 53.9 Cents 50 42.3 40 30 20 10 0 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 17: Cash flow generation
Cash flow generation 1 000 946 900 806 800 738 700 600 558 R'm 500 394 400 348 286 291 300 223 200 93 100 0 14 15 16 17 18 Cash generated by operations Cash from operations (after working capital) ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 18: Free operating cash flow before capex
Free operating cash flow before capex 650 • Reduced in 2018 due to 600 586 563 lower fees received in 550 advance 500 468 • Different payment terms 450 selected • Good post year-end inflows R'm 400 350 338 • Strong cash conversion at 300 139% of earnings 250 196 200 150 100 50 14 15 16 17 18 ANNUAL
Slide 19: Net cash position
Net cash position 0 - 500 - 436 • Net Borrowings: EBITDA 2.0 times • Covenant 3.5 times R'm -1 000 • Borrowing capacity R3.3 bn -1 157 -1 110 • Potential head room R1.4 bn -1 500 -1 617 -2 000 -1 915 -2 500 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 20: Percentage revenue contribution – segmental overview
Percentage revenue contribution – segmental overview 15 46 2018 39 Schools Tertiary Resourcing ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 21: Percentage revenue contribution – segmental overview
Percentage revenue contribution – segmental overview 15 16 45 46 2017 2018 39 39 Schools Tertiary Resourcing ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 22: Percentage operating profit contribution – segmental overview
Percentage operating profit contribution – segmental overview 5 43 2018 52 Schools Tertiary Resourcing ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 23: Percentage operating profit contribution – segmental overview
Percentage operating profit contribution – segmental overview 5 5 43 46 2017 2018 49 52 Schools Tertiary Resourcing ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 24: Bad debt
Bad debt As a percentage of revenue Schools Tertiary 1% 3% • Tough economic environment • Pressure on consumers • Well managed and under control ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 25: Schools
SCHOOLS SCHOOLS ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 26: Schools Revenue
Schools Revenue 2 009 2 000 1 742 1 545 1 500 1 350 R'm 1 000 865 500 0 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 27: Schools operating profit
Schools operating profit 400 350 327 331 321 299 300 R'm 250 200 162 150 100 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 28: Schools operating margin
Schools operating margin 25% 22.2% 22.4% 20% 18.7% 18.8% 16.5% 15% 10% 5% 0% 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 29: ADvTECH Schools enrolment waterfall
ADvTECH Schools enrolment waterfall 3 155 30 538 2 524 26 751 26 751 -2 032 7 009 23 920 -1 636 -979 -1 880 4 803 -829 -1 230 -1 486 -801 2017 - 2018 2016 - 2017 End 2017 Matric Emigration Financial Other Joiners Acquisitions End 2018 Leavers Leavers Grey comparison to previous year ANNUAL FINANCIAL
Slide 30: Strategic imperatives
Strategic imperatives SOCIO-ECONOMIC ENVIRONMENT Growth > Organic and Acquisitive > Channel Africa > Product Excellence through > Segment specialisation > Geographic > Market focus > Benchmarking > Data driven Academic excellence REGULATION REPUTATION decisions > Teaching & learning > Benchmarking o
Slide 31: Integration, consolidation, rationalisation
Integration, consolidation, rationalisation Accelerated growth and acquisitions Doubled in size Single unified systems Acquired 49 schools past 4 years • Simplified • Standardised • Optimised Total 103 schools • Automated Necessary changes: • Time consuming and On-board acquisitions complex Organisa
Slide 32: Strategic focus areas
Strategic focus areas 1. Brand value proposition 2. Academic Development 3. Operational efficiencies: • Rationalisation and consolidation of transactional processing • Effective and efficient school structures Benefits: • Providing value to our customers • Data driven decision making to support stud
Slide 33: Strategic focus areas: Brand value proposition
Strategic focus areas: Brand value proposition ANNUAL ANNUAL FINANCIAL FINANCIAL RESULTS RESULTS for the for the year year ended ended 3131 December2018 December 2018
Slide 34: Strategic focus areas
Strategic focus areas 1. Brand value proposition 2. Academic Development 3. Operational efficiencies: • Rationalisation and consolidation of transactional processing • Effective and efficient school structures Benefits: • Providing value to our customers • Data driven decision making to support stud
Slide 35: Academic Development
Academic Development EVERY STUDENT IS DEVELOPING INCREMENTALLY, IN AN ENGAGING, CURRICULUM INSPIRING AND CHALLENGING LEARNING ENVIRONMENT. DIGITAL IEB, DBE, ISASA, Future-focused Challenging Performance EYFS, Cambridge, teaching and and engaging analysis = LITERACY International learning curriculum
Slide 36: Strategic focus on Academic development
Strategic focus on Academic development Technological collaborative problem based learning Computational thinking and coding Computer networks and productivity ANNUAL ANNUAL FINANCIAL FINANCIAL RESULTS RESULTS for the for the year year ended ended 3131 December2018 December 2018
Slide 37: Strategic focus areas: Academic development
Strategic focus areas: Academic development • Bachelor pass rate increased from 81% to 87% - last 4 years • Higher education pass of 98% - last 4 years (degree, diploma, higher certificate) • Performance of Maragon and Centurus distinction rates per matric students - improved since acquired • Crawfo
Slide 38: Schools academic results comparison
Strategic focus areas: Academic development Schools academic results comparison NSC IEB ADvTECH ADvTECH Competitor Competitor ADvTECH NSC IEB NSC 2018 NSC IEB 2018 IEB Group Schools Schools 2018 2018 2018 2018 2018 Number of 860 499 1 196 1 145 1 644 matrics Matric pass 78.2% 94.3% 97.0% 98.9% 99.7%
Slide 39: Strategic focus areas
Strategic focus areas 1. Brand value proposition 2. Academic Development 3. Operational efficiencies: • Rationalisation and consolidation of transactional processing • Effective and efficient school structures Benefits: • Providing value to our customers • Data driven decision making to support stud
Slide 40: Strategic focus area: Operational efficiencies
Strategic focus area: Operational efficiencies Organisational and management Student Information system restructure • Enable data driven decisions • Brand teams supported by Finance, Marketing, HR and Principals Integrated Facilities Management Academic efficiencies Group Shared Services • School co
Slide 41: Strategic focus area: Operational efficiencies
Strategic focus area: Operational efficiencies • Transactional processes • Debtors and creditors • Payroll + HR Admin • Procurement • Facilities management ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 42: Example: Integrated facilities management
Strategic focus area: Operational efficiencies Example: Integrated facilities management Suppliers No. Contracts Cleaning 8 50 Hygiene 12 71 Security 17 64 37 185 Accountability and centralised service delivery Simplified Single Standardised service delivery Standardised Improved responsiveness unif
Slide 43: Operational effectiveness, efficient schools structure
Strategic focus area: Operational effectiveness, efficient schools structure Tough decisions Success! Increased enrolments Trinityhouse School Palm Lakes, KZN Abbotts College, Centurion ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 44: Pinnacle College, Rynfield
Strategic focus area: Operational effectiveness, efficient schools structure Pinnacle College, Rynfield • Acquired 2015 • Originally defined as an “Inclusive” school • Repositioning as mid fee • Current student numbers: 291 • Planned capacity: 1 625 ANNUAL FINANCIAL RESULTS for the year ended 31 Dec
Slide 45: Pinnacle College, Kyalami
Strategic focus area: Operational effectiveness, efficient schools structure Pinnacle College, Kyalami • Acquired 2016 • Confused market positioning • Reposition as mid fee • Adjusted fee structure • Planned capex to realise full potential • Current student numbers: 545 • Phase 1 : 1 800 • Phase 2 :
Slide 46: Strategic imperatives
Strategic imperatives SOCIO-ECONOMIC ENVIRONMENT Growth > Organic and Acquisitive > Channel Africa > Product Excellence through > Segment specialisation > Geographic > Market focus > Benchmarking > Data driven Academic excellence REGULATION REPUTATION decisions > Teaching & learning > Benchmarking o
Slide 47: Strategic imperatives
Strategic imperatives SOCIO-ECONOMIC ENVIRONMENT Growth > Organic and Acquisitive > Channel Africa > Product Excellence through > Segment specialisation > Geographic > Market focus > Benchmarking > Data driven Academic excellence REGULATION REPUTATION decisions > Teaching & learning > Benchmarking o
Slide 48: African education market
African education market 6m households will earn $5 000 - $20 000 2.4bn Population will double to by 2025 by 2050 1.2bn will need education Sub-Saharan Urbanisation Africa, largest will go from and fastest 66m scholars in private 35% (2010) growing education by 2021 Median age to 50% by Emerging mar
Slide 49: Crawford International School, Nairobi Kenya
Crawford International School, Nairobi Kenya First greenfield development outside of South Africa • Preparatory, Primary and College • Boarding • State of the art facilities • Ultimate capacity of 1,685 students • Africa Finalist for the World Architecture Festival Global Awards: Education facility
Slide 50: Expansion into the rest of Africa
Expansion into the rest of Africa Acquisition: Makini Schools – Nairobi & Kisumu, Kenya • Founded in 1978 • 3 197 students • K12 to Grade 12 • 7 Schools, 3 campuses • Positive enrolments ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 51: Mid-Fee schools – excellent growth
Mid-Fee schools – excellent growth Mooikloof High School ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 52: Schools – Growth: Pinnacle College, Waterfall
Schools – Growth Mid-fee sector Pinnacle College, Waterfall • Opening 2020 • Mid Fee School • Preparatory, Primary and College (opening grade 000 – grade 9) • Planned capacity: 1 875 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 53: Schools – Growth: Pinnacle College, Linden
Schools – Growth Mid-fee sector Pinnacle College, Linden • Opening 2020 • Mid Fee School • Preparatory, Primary and College (opening grade 000 – grade 9) • Planned capacity: 1 625 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 54: Create a strong portfolio of brands
Create a strong portfolio of brands Mid-fee success Success Re-positioning Opening in 2020 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 55: Schools – Growth: Trinityhouse, Glenvista
Schools – Growth Premium sector Trinityhouse, Glenvista • Opening 2020 • Preparatory, Primary and College (opening grade 000 – grade 9) • Planned capacity: 1 800 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 56: Strategic imperatives
Strategic imperatives SOCIO-ECONOMIC ENVIRONMENT Growth > Organic and Acquisitive > Channel Africa > Product Excellence through > Segment specialisation > Geographic > Market focus > Benchmarking > Data driven Academic excellence REGULATION REPUTATION decisions > Teaching & learning > Benchmarking o
Slide 57: Innovation - New product development
Innovation - New product development The Bridge Assisted Learning School • Grade 0 – 7 • Northern Suburbs, Gauteng • Opened 2018 • Enrolments ahead of targets ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 58: Schools – Growth: Strong pipeline
Schools – Growth Strong pipeline – Mid-fee focus 2019 2020 2021 2022 2023 Schools By phase (end Feb) 103 103 112 117 122 Pipeline 9 5 5 3 Total 103 112 117 122 125 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 59: Schools capacity
Schools – Growth Schools capacity Schools capacity - end of February Feb-16 Feb-17 Feb-18 Feb-19 Students enrolled ('000) 24.2 26.7 27.4 30.8 Existing building capacity ('000) 28.6 31.2 33.0 38.2 % Existing building capacity utilised 85% 86% 83% 81% ANNUAL FINANCIAL RESULTS for the year ended 31 Dec
Slide 60: Tertiary
TERTIARY TERTIARY ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 61: Tertiary revenue
Tertiary revenue 2 000 1 800 1719 1 600 1556 1 400 1228 R'm 1 200 1 000 954 799 800 600 400 200 0 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 62: Tertiary operating profit
Tertiary operating profit 395 400 350 321 300 250 R'm 223 200 150 135 100 84 50 0 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 63: Tertiary operating margin
Tertiary operating margin 27% 24% 23.0% 20.7% 21% 18.2% 18% 15% 14.1% 12% 10.5% 9% 6% 3% 0% 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 64: Tertiary Division
Tertiary Division • The IIE – SA’s largest and most accredited ‘private university’ • The IIE and Central Academic Team have 3 000+ academic staff • 6 Established faculties • 201 Accredited tertiary courses • Comprehensive integrated Student Information System • International partnerships and endors
Slide 65: Strategic imperatives
Strategic imperatives SOCIO-ECONOMIC ENVIRONMENT Growth > Organic and Acquisitive > Channel Africa > Product Excellence through > Segment specialisation > Geographic > Market focus > Benchmarking > Data driven Academic excellence REGULATION REPUTATION decisions > Teaching & learning > Benchmarking o
Slide 66: The Independent Institute of Education
THE INDEPENDENT INSTITUTE OF EDUCATION South Africa’s largest and most accredited “private university”/private higher education system ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 67: The IIE Faculties
THE IIE FACULTIES FACULTY OF EDUCATION FACULTY OF LAW FACULTY OF COMMERCE FACULTY OF SOCIAL SCIENCES FACULTY OF INFORMATION FACULTY OF HUMANITIES & COMMUNICATION TECHNOLOGY ANNUAL ANNUAL FINANCIAL FINANCIAL RESULTS RESULTS for the for the year year ended ended 3131 December2018 December 2018
Slide 68: Academic excellence
Academic excellence Accredited tertiary courses by category 42 programmes in the accreditation pipeline IIE Capsicum The Private Oxbridge Hotel School 101 3 5 92 1 DEGREE 1 MASTERS 3 NATIONAL 1 ADVANCED 12 DIPLOMAS 11 HONOURS CERTIFICATES DIPLOMA 80 NATIONAL 28 DEGREES AND DIPLOMAS 1 DIPLOMA CERTIFI
Slide 69: The IIE – Professional qualifications
The IIE – Professional qualifications IIE’s Professional 2017 2019 Growth Qualifications Law 1 634 2 686 64% Education 1 783 3 964 122% Accounting 166 607 266% Total 3 583 7 257 103% ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 70: Tertiary division by numbers
Tertiary division by numbers February 2019 40 000 Registered Students for full time +3 000 qualifications 82% Academic Average Staff 29 module pass rate Campuses ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 71: The IIE – Trendsetters
The IIE – Trendsetters LLB High Court ruling success • High Court rules in favour of IIE Varsity College law degree • Positive precedent to address the issue of ‘private university’ / private higher education institutions • Confirms to professional bodies in all fields, including law, engineering, a
Slide 72: The IIE – teaching and learning excellence
The IIE – teaching and learning excellence Data-driven decision-making informed by global best practice and local relevance Investment in technology from business solutions and student learning experience Superior student support before, during and after studies Continuous professional devel
Slide 73: The IIE – Teaching and learning excellence
The IIE – Teaching and learning excellence • The Independent Journal of Teaching and Learning • The only private higher education provider publishing an accredited research journal • Train and develop our own lecturers, set standards and teaching practices ANNUAL FINANCIAL RESULTS for the year ended
Slide 74: Data driven decision making
Data driven decision making Academic intelligence Setting module targets Performance tracking Analysed by: • Students • Lecturers • Campuses Cohort qualifications dashboard ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 75: Monash SA (MSA)
Monash SA (MSA) Expected to be effective April 2019 Reputation match • Academic Excellence • Module pass rate • Student employability Add 32 qualifications to portfolio • MBA • Engineering • Public health, etc. West Rand campus – capacity 6 500 students 4 Student residences ANNUAL FINANCIAL FINANCE
Slide 76: Growth
Growth Pretoria Johannesburg Durban ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 77: Growth
Growth Pretoria Johannesburg Durban 2018 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 78: Growth
Growth Pretoria Johannesburg Durban 2018 Cape Town 2020 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 79: Growth
Growth Polokwane 2016 Pretoria Johannesburg Durban 2018 Cape Town 2020 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 80: Growth
Growth Polokwane 2016 Pretoria Johannesburg Bloemfontein 2018 Pietermaritzburg 2018 Durban 2018 Cape Town 2020 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 81: Growth
Growth Polokwane 2016 Pretoria Johannesburg Bloemfontein 2018 Pietermaritzburg 2018 Durban 2018 Cape Town 2020 Port Elizabeth 2020 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 82: Growth
Growth Polokwane 2016 Pretoria Mbombela 2021 Johannesburg Bloemfontein 2018 Pietermaritzburg 2018 Durban 2018 Cape Town 2020 Port Elizabeth 2020 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 83: Tertiary segment growth
Tertiary segment growth 2018 New hospitality campus in Rosebank 6 CAMPUSES 2 CAMPUSES ANNUAL FINANCIAL ANNUAL RESULTS FINANCIAL FINANCE RESULTSforforthe RESULTS for year the the ended year year ended3131December ended 31 December2018 December 2018 2018
Slide 84: Academic Excellence
Academic Excellence International and employer recognition 43 760 71% The IIE graduates were employed within 6 months after graduation ANNUAL ANNUALFINANCIAL FINANCIALRESULTS RESULTSfor forthe theyear yearended ended31 31December December2018 2018
Slide 85: Strategic Imperatives: International and employers recognition
Strategic Imperatives International and employers recognition 4 Silver 1 Gold 1 student in 2nd Place 4 Bronze the top 10 2 New Blood 1 Student 5 Semi- 1 Gold Muse Awards admitted to finalists international society ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 86: Strategic Imperatives: International and employers recognition
Strategic Imperatives International and employers recognition Inter-school Challenge Most Scintillating InfoChef 2018 Winner KWV Brandy 2nd and Cocktail 3rd Place Top 3 Prawn Festival @ Gold Circle SACA inter-school Reaching for Young Stars event Winner 2nd Place Young Star of the Year Chef Most Pro
Slide 87: Strategic Imperatives: International and employers recognition
Strategic Imperatives International and employers recognition ITC Certified Board exams 82% Pass rate Varsity College have 4 of the top 20 students ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 88: Resourcing
RESOURCING ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 89: Resourcing revenue
Resourcing revenue 800 700 670 644 600 500 461 R'm 400 297 300 194 200 100 0 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 90: Resourcing operating profit
Resourcing operating profit 50 40 39 32 30 29 R'm 20 20 18 10 0 14 15 16 17 18 ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 91: Resourcing operating margin
Resourcing operating margin 12% 9.8% 10% 9.4% 8% 5.8% 6% 5.0% 4.4% 4% 2% 0% 14 15 16 17 18 Different business model ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 92: Outstanding Performance
Outstanding Performance Superb growth • Placements increased by 23% Africa revenue Dollar based • Highly cash generative • SA markets: grown our Endorses our market share in a declining strategy to diversify and market explore alternative markets SA markets Grew market share in a declining market AN
Slide 93: Prospects
Prospects • Strong position to explore numerous opportunities in and outside South Africa • Tertiary and Resourcing divisions are well positioned and perform strongly • Schools division • Continue integration, consolidation and rationalisation phase • Drive operational efficiencies • Sharpen market
Slide 94: Dividend – Prudent and responsible
Dividend – Prudent and responsible Dividends per Final Gross Dividend share for the year 15.0 cents 30.0 cents • Significant investment opportunities • Balance between preserving cash for development projects and shareholder returns • Capital allocations amount R1.9bn • Prudent and responsible manag
Slide 95: Questions
QUESTIONS ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018
Slide 96: Thank you
THANK YOU ANNUAL FINANCIAL RESULTS for the year ended 31 December 2018