Edu Holdings Limited · ASX:EDU
Edu — H1 2019 Earnings Presentation
19 slides from Edu's earnings presentation, Feb 28, 2019
Slide 1: 1H19 Results: Laying foundations for profitable growth
1H19 RESULTS Laying foundations for profitable growth 1
Slide 2: 1H19 Highlights
1H19 HIGHLIGHTS n Revenue of $9.2m, up 55.4% 1H19 Tuition revenue - Continued organic growth in ALG international 23.0% (1H18: 0.0%) student enrolments - 3,122, up 20.5% 77.0% - Maiden contribution from Ikon - strategic (1H18: 100.0%) entry into Higher Education sector n Deliberate investment for gr
Slide 3: Group Overview
GROUP OVERVIEW n Tertiary education provider - Health and Community Services focus n Multi-sector operations in Vocational (VET), Higher Education (HE) and Professional Education n National presence with multiple campuses in Sydney, Melbourne, Brisbane, Perth and Adelaide n Targeting both internatio
Slide 4: Our Businesses
OUR BUSINESSES WHOLLY-OWNED SUBSIDIARIES 25% INTEREST Institute of Australia VET provider in Health and Community Services HE provider in Community Services Leading provider of the International student focus Domestic student focus Professional Year Program International student focus ALG and 4Life
Slide 5: Course Offering and Job Outcomes
COURSE OFFERING AND JOB OUTCOMES Higher Education (Bachelor degrees) Job outcomes UCW courses lead to strong job outcomes Counselling and Psychotherapy Counselor or psychotherapist and employment prospects for both international and domestic students Arts Therapy Counselor or psychotherapist Vocatio
Slide 6: International Student Enrolments
INTERNATIONAL STUDENT ENROLMENTS International student enrolments by term ALG/4Life international student enrolments by term (number) n 1H19 enrolments up 1,800 20.5% on PCP 1,600 n 3-year CAGR of 28.9% (to Dec-18) 1,400 n Strong start to the calendar year, 3Q19 enrolments up 1,200 28.0% on PCP 1,00
Slide 7: Financial Results
FINANCIAL RESULTS 77
Slide 8: Profit and Loss (Group)
PROFIT AND LOSS (GROUP) 1H19 1H18 Var n Group revenue up 55.4% $’000 $’000 $’000 n Maiden contribution from Ikon ALG/4LIFE/IKON n Continued strong organic growth in ALG Revenue 9,193 5,916 3,277 international student revenue, up 21.1% Cost of sales (5,162) (2,985) 2,177 Gross profit 4,031 2,931 1,10
Slide 9: Profit and Loss (ALG/4Life Segment)
PROFIT AND LOSS (ALG/4LIFE SEGMENT) 1H19 1H18 Var n International student enrolment growth of 20.5% - driven by Community $’000 $’000 $’000 Services course offering ALG/4LIFE n Average revenue per international student enrolment of $1,939, up 0.5% Revenue 6,874 5,916 958 n Deliberate investment for
Slide 10: Profit and Loss (Ikon Segment)
PROFIT AND LOSS (IKON SEGMENT) 1H19 n Maiden contribution from Ikon, acquired 4 July 2018 $’000 n Due to the earn-out structure of the acquisition, Ikon is being operated IKON largely stand-alone. Integration opportunities will be initiated post the Revenue 2,319 end of the earn-out period ie. in FY
Slide 11: Balance Sheet
BALANCE SHEET 31 Dec-18 30 Jun-18 Drawn Limit $’000 $’000 Corporate debt facilities Dec-18 Dec-18 Cash and cash equivalents 1,597 6,595 $’000 $’000 Market rate loan - acquisition facility 1,525 1,525 Trade and other receivables 1,145 958 Overdraft - working capital facility - 500 Other assets 768 1,
Slide 12: Cash Flow
CASH FLOW 8000 7000 6000 Group cash movements 1H19 ($’000) 5000 Group cash movements: IH19 ($’000) 4000 Increase Decrease Total 3000 Increase Decrease Total 2000 7,000 6,595 1000 (68) 6,000 0 5,000 4,000 128 3,000 (3,640) 2,000 100 1,597 (1,407) (111) 1,000 0 Cash on Net cash flows Acquisition of Re
Slide 13: FY19 Outlook
FY19 OUTLOOK n Revenue reaffirmed between $19m and $21m Outlook Group revenue FY17 - FY19 n Earnings impacted by launch of new ALG 12000 12,000 FY19F: $20.0m* Melbourne campus and rollout of Community 10000 10,000 Services courses 8,000 FY18A: $12.5m 8000 New Melbourne campus on track to be run- FY1
Slide 14: Appendices
APPENDICES 14
Slide 15: Snapshot
SNAPSHOT Capital structure Register analysis(3) Number % Diluted Ordinary shares 110,821,249 97.9% 49.9% Board and Options (1) 800,000 0.7% Management 50.1% Others Performance Rights (2) 1,600,000 1.4% ORDINARY SHARES Fully diluted 113,221,249 100.0% $’000 Market capitalisation at $0.16 17,731 per s
Slide 16: Board and Executives
BOARD AND EXECUTIVES Adam Davis Gary Burg Chief Executive Officer and Managing Director Non-Executive Chairman Adam has extensive experience in the education sector as founder Gary has been involved with Global Capital Group since 1995 in South Africa and CEO of formerly ASX-listed Tribeca Learning
Slide 17: Contacts
CONTACTS Adam Davis Lyndon Catzel Chief Executive Officer Chief Financial Officer E: adam@ucw.com.au E: lyndon@ucw.com.au P: +61 2 9112 4541 P: +61 2 9112 4540 M: 0408 400 888 M: 0414 907 384 17
Slide 18: Disclaimer
DISCLAIMER This presentation, dated 28 February 2019, provides additional commentary on the Financial Report for the half-year ended 31 December 2018 for UCW Limited (UCW or the Company) and accompanying information provided to ASX on the same date. As such, it should be read in conjunction with tho
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