Cl Educate Ltd. · NSE:CLEDUCATE
Cl Educate — Q1 FY2019 Earnings Presentation
30 slides from Cl Educate's earnings presentation, Aug 8, 2018
Slide 1: Q1 FY18-19 Investor Presentation
Q1 FY18-19 Investor Presentation August 08, 2018 Q1FY19 Investor BSE: 540403 Presentation | NSE: CLEDUCATE
Slide 2: Safe harbor
Safe harbor This presentation has been prepared by CL Educate Limited (the “Company”) solely for information purposes without any regard to any specific objectives, financial situations or information needs of any particular person. This presentation and its contents are confidential and should not
Slide 3: Glossary
Glossary Bank Banking PO BP Business Partner (Franchisee) BPL Below Poverty Line CA Chartered Accountancy CDC Career Development Center CFE Center for Future Employability Civils Civil Services CRT Campus Recruitment Training GATE Graduate Aptitude Test in Engineering IE International Education IIT
Slide 4: Contents
Contents Key Initiatives Q1 FY19 Financial Performance Q1 FY19 Operational Performance 4 Q1FY19 Investor Presentation
Slide 5: Key Initiatives
Key Initiatives Parivartan– 2018 Automation & Tech In Step with New Roles 3D 1. Aspiration.Ai Opportunities: 1. Test Prep CEO - Satya 1. Distribution 2. Biz Tech 1. TEQIP 2. New Additions – GATE, 2. Delivery 3. Cost efficiency 2. CRT/CFE IAS, CA, CS - GP 3. Digital 3. Integrated Solutions 3. Corpora
Slide 6: Contents
Contents Key Initiatives Q1 FY19 Financial Performance Q1 FY19 Operational Performance 6 Q1FY19 Investor Presentation
Slide 7: Financial Summary
Q1 FY 2019 Results Financial Summary Rs. In Crore 30-Jun-19 30-Jun-18 YoY Particulars Q1 FY19 Q1 FY18 Growth Revenue from Ops 87.1 73.0 19.4% Revenue Total Income 90.8 75.4 20.5% EBITDA 10.3 7.5 38.2% Profit PBT - Continued Ops 7.0 3.7 87.4% Net Profit (Before OCI) 4.8 3.2 51.9% EBITDA 11.4% 9.9% Ma
Slide 8: Revenue: Segmental Metrics
Q1 FY 2019 Results Review Segmental Metrics Rs. In Crore Particulars Q1FY19 Q1FY18 YoY (%) Total Revenue from Operations 87.1 73.0 19.4% Consumer ^ 63.9 49.5 29.1% - Test Prep 53.6 43.9 22.0% Revenue - Publishing 10.3 5.6 84.8% Enterprise ^ 31.9 25.6 24.7% - Corporate 29.0 24.2 19.9% - Institution 3
Slide 9: Contents
Contents Key Initiatives Q1 FY19 Financial Performance Q1 FY19 Operational Performance 9 Q1FY19 Investor Presentation
Slide 10: Q1FY19 Operational Performance
Q1FY19 Operational Performance Consumer Business Enterprise Business 10 Q1FY19 Investor Presentation
Slide 11: Consumer Business Performance
Consumer Business Performance Consumer Operating Metrics `. In Crore Particulars Q1FY19 Q1FY18 YoY (%) Consumer 63.9 49.5 29.1% Revenue ^ - Test Prep 53.6 43.9 22.0% - Publishing 10.3 5.6 84.8% Consumer 11.2 8.1 37.1% Results^ - Test Prep 8.9 8.1 9.9% - Publishing 2.3 0.04 5007.0% Consumer KPIs Q1 F
Slide 12: Consumer Business Performance: Test Prep and Publishing
Consumer Business Performance Consumer Operating Metrics Enrolments Avg. Pricing (In `) Billing (` in Crore) Q1 FY19 Q1 FY18 Change (%) Q1 FY19 Q1 FY18 Change (%) Q1 FY19 Q1 FY18 Change (%) MBA 10,648 9,724 9.5% 22,018 23,490 -6.3% 23.4 22.8 2.6% TEST PREP Law* 5,557 4,953 12.2% 52,712 46,286 13.9%
Slide 13: Consumer Business Key Highlights
Consumer Business Performance Key Highlights – Business as Usual For Quarter ended June 2018, Billing grew by 27.2% from Rs 63.7 crs to Rs 81.0 crs TP centers as on Jun 30, 2017 were 196 vs 199 as on Jun 30, 2018 TEST PREP TP enrollments grew by 6.2% from 23,190^ to 24,617 IIT-Med-Tuitions
Slide 14: Q1FY19 Operational Performance
Q1FY19 Operational Performance Consumer Business Enterprise Business 14 Q1FY19 Investor Presentation
Slide 15: Enterprise Business Performance
Enterprise Business Performance Enterprise Operating Metrics `. In Crore Particulars Q1FY19 Q1FY18 YoY (%) Enterprise 31.9 25.6 24.7% Revenue^ - Corporate 29.0 24.2 19.9% - Institutional 3.0 1.5 103.5% 15 Q1FY19 Investor Presentation ^Without Segmental Elimination
Slide 16: Enterprise Business Performance: Institutional and Corporate
Enterprise Business Performance Enterprise Operating Metrics Q1 FY19 Q1 FY18 INSTITUITIONAL Revenue* Revenue* # Clients # Clients (` in Crore) (` in Crore ) Media 12 1.7 20 0.6 Research Incubation 8 0.5^ 4 0.6 Total 17 2.2 24 1.2 * Excl. Opening Unearned Revenue ^ Billing of 1 Client shifted to July
Slide 17: Thank You
THANK YOU 17
Slide 18: Contact Us
CONTACT US For any Investor Relations queries, please contact: Amit Kanabar – Finance & Strategy Sudhir Bhargava, Chief Financial Officer CL Educate Ltd. CL Educate Ltd. Phone: +91-11-41280800 Phone: +91-11-41280800 Email: investors@careerlauncher.com Email: investors@careerlauncher.com amit.kanabar
Slide 19: Annexures
Annexures 19
Slide 20: Operating in sizable $100 bn+, fast-growing industry
Indian Education Landscape Operating in sizable @$100 bn+, fast-growing industry Figures in Rs Cr CL’s focus areas JEE GATE Medical MBA Law CA UPSC, SSC, 14,600 1,680 6,400 390 83 2,520 Bank PO A $100 bn+ market 11,500 growing @16% Unregulated/ Education CAGR Informal/ Test-prep/ Industry Entreprene
Slide 21: Comprehensive product portfolio in Knowledge & Career Services
CL’s portfolio Comprehensive product portfolio in Knowledge & Career Services MBA I Law I Bank/SSC I Aptitude Products (AP) International Test-prep Consumer Knowledge Products (KP) GATE I IIT I Medical I CA I Civils Services Publishing CL Group Corporates Integrated Marketing Services (Corporates) E
Slide 22: Corporate Structure
Corporate Structure CL Educate Parent Company 100% 50.7% 100% 100% 100% 100% Accendere Kestone ICEGATE GK Publications CL Media Knowledge Mgt. CLEIS 43.4% Services Eduvisors Content Research Integrated Test preparation Incubation & Career Launcher development, Business, GATE based Test publisher wit
Slide 23: Leader in Test-Prep Segment
Consumer Vertical Leader in Test-Prep Segment Growing Brand Equity from Sustainable Strengths Consumer Bouquet of Products (MBA, Most comprehensive product-reach portfolio: 12 Law, Civils, GATE, Engg, etc.) 1 product groups + Network of 212* centers pan India & ~25K online users in FY18 National Tes
Slide 24: Knowledge services for Corporates, Educational Institutions
Enterprise Vertical Knowledge services for Corporates, Educational Institutions Differentiated offerings + One of the best execution capabilities Knowledge Services for Corporates Sales 1 Kestone • Managed Manpower Services • Training & Development 2,500+ Marketing Creative, approachable, • Marketin
Slide 25: Cross-leveraging between consumer & enterprise platforms
Unique Synergies Cross-leveraging between consumer & enterprise platforms CONSUMER ENTERPRISE Brand recognition …She then meets us in college for test across learning life CL initial brand contact prep or experiences …And then again in cycle when she is in school…. our research the workplace... serv
Slide 26: Strong team, complete focus on governance & processes
Strong ethos Strong team, complete focus on governance & processes Satya Narayanan R., Gautam Puri, Nikhil Mahajan, Professionally Chairman & Executive Director Vice Chairman & Managing Director Executive Director & CEO Enterprise business qualified, • 19+ years of experience in • 19+ years of exper
Slide 27: Two Big Rocks - Corporate
Two Big Rocks - Corporate Consolidation Realignment 27 Q1FY19 Investor Presentation
Slide 28: Consolidation (Capital Reallocation)
Big Rock 1 Consolidation (Capital Reallocation) K12 ASSETS SALE GREATER NOIDA ASSET SALE BTA deal did not fructify; fund raising & Lack of demand – Outright Sale related challenges Potential Option – to lease out the Alternate asset sale conversations underway infrastructure 28 Q1FY19 Invest
Slide 29: Realignment (Effort and Capital)
Big Rock 2 Realignment (Effort and Capital) GUIDING PRINCIPLES BUSINESS SEGMENT PRODUCTS BRANDS Strengthen Market Share, Civil Services/ CA growth and profitability Strategic Entry into large addressable, scalable GATE segments CONSUMER YARDSTICKS IX-XII (Maha) Return of Investment in 3 – 4 ye
Slide 30: Shareholding Pattern
Shareholding Pattern Outstanding Shares (Jun 30, 2018) Key investors > 1% 14,165,678 Investors Shareholding % GPE (INDIA) LTD / GAJA TRUSTEE COMPANY PRIVATE LIMITED 8.45 Non- SUNDARAM MUTUAL FUND A/C 6.53 Institutional, HOUSING DEVELOPMENT FINANCE CORPORATION LIMITED 4.19 27.7% BNP PARIBAS ARBITRAGE