Academedia Ab · OMXSTO:ACAD
Academedia Ab — Q3 2017/18 Earnings Presentation
15 slides from Academedia Ab's earnings presentation, May 4, 2018
Slide 1: Interim Report July - March 2018
Interim Report July - March 2018 2018-05-04 1
Slide 2: Today’s presenters
Today’s presenters Marcus Strömberg Eola Änggård Runsten Chief Executive Officer Chief Financial Officer With AcadeMedia With AcadeMedia since 2005 since 2013 2
Slide 3: CEO introduction
CEO introduction • Strong volume and sales growth • Contract transition in the adult segment leads to decline in operating profit • Continued high employee satisfaction • Stable development in school segments • Contractual deficit in Hermods sfi Malmö. Ongoing dispute on amount • Swedish parliament
Slide 4: Largest independent education provider in Northern Europe
Largest independent education provider in Northern Europe Overview Geographical presence and selected brands (Q3) • Largest independent educational services provider in Northern Europe Country Total • Comprehensive educational offering • Unique quality assurance model – key for sustainable growth St
Slide 5: Key highlights Q3 2017/18
Key highlights Q3 2017/18 Contract transitions in adult education segment puts pressure on earnings Comments for Q3 2017/18 Key figures for Q3 2017/18 • Student numbers grew in school segments. 2017/18 2016/17 Change • Growth in net sales boosted by strategic # of Students 76,188 66,299 14.9% acquis
Slide 6: Key highlights July-March 2017/18
Key highlights July-March 2017/18 Acquisitions and organic expansion render revenue and earnings growth Comments for July to March 2017/18 Key figures for July to March 2017/18 • Volumes increased in all segments. 2017/18 2016/17 Change • Growth in net sales was boosted by # of Students 72,410 65,69
Slide 7: 12 month rolling figures Q3 2017/18
12 month rolling figures Q3 2017/18 Adult Education puts pressure on margins Comments for 12 month rolling figures Key figures for Q3 R12 2017/18 vs FY 2016/17 • 12 month rolling net sales and EBIT are 2017/18 Change still at all time high thanks to acquisitions R12 2016/17 and volume growth as well
Slide 8: Pre- and Compulsory Schools (Sweden)
Pre- and Compulsory Schools (Sweden) Stable growth but margins under pressure from staff costs Comments for Q3 2017/18 Key figures for Q3 2017/18 • Two preschools added in the third quarter, one bolt-on and one new establishment. 2017/18 2016/17 Change Net sales 1,049 983 6.7% • Overall child number
Slide 9: Upper Secondary Schools (Sweden)
Upper Secondary Schools (Sweden) Vindora acquisition and new establishments drive growth Comments for Q3 2017/18 Key figures for Q3 2017/18 • Overall student numbers increased by 27.4%. 2017/18 2016/17 Change • Net sales increased by 38.0% compared to the Net sales 926 671 38.0% same quarter last ye
Slide 10: Adult Education (Sweden)
Adult Education (Sweden) Contract transition has started to impact volumes and margins Comments for Q3 2017/18 Key figures for Q3 2017/18 •• Revenues Net salesincreased increased by by 9,16.5% percent mainlyattributed mainly because the number to the of students acquisition increased by 6,0 percent
Slide 11: Preschools (International)
Preschools (International) Strong growth in Norway and Germany following acquisitions Comments for Q3 2017/18 Key figures for Q3 2017/18 • KTS acquired in Germany with six pre-schools. 2017/18 2016/17 Change In addition one new unit has been added in Norway. Net sales 545 466 17.0% • As a result chi
Slide 12: Financial position
Financial position Stable financial position despite several smaller acquisitions Net debt and Net debt / Adj. EBITDA 3,3 3,1 Max 3.0 2,6 2,6 • Capital employed has increased during the 2,5 2,4 last 12 months by SEK 1,125 million mainly 2 629 due to acquisitions, but also investments in 2 342 2 133
Slide 13: Seasonality varies between segments
Seasonality varies between segments Adult Education shows its volatility in third quarter Quarterly seasonality – Net sales and adj. EBIT 2014/15 – 2017/18 Comments • School segments SEKm 3 500 12% continue to show 2 967 3 000 2 508 2 540 2 610 2 813 10% normal seasonality. 2 239 2 316 2 378 2 500 2
Slide 14: Financial performance according to plan
Financial performance according to plan Q3/R12M Financial targets (FY 16/17) • Annual revenue growth rate of 5-7% including organic growth and smaller bolt-on acquisitions 6.8%* Growth 5-7% but excluding larger strategic acquisitions and (9.0%) FX 6.6%* Profitability 7-8% • Adj. EBIT margin of 7-8%
Slide 15: Thank you – Any questions?
Thank you — Any questions? 15 AcademMedia