estácio: 4q12 and 2012 conference call presentation
DESCRIPTION
Estácio: 4Q12 and 2012 Conference Call PresentationTRANSCRIPT
4Q12 and 2012 Results Rogério Melzi | CEO Virgílio Gibbon | CFO
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2012: Big Results, Big Responsibility
Estácio’s Teaching Model: Great competitive advantage
Innovations: Social Network Didatic@ and Tablets
MEC Evaluation: high ratings and upward tendency
Program of Management Excellence (PEG)
New acquisitions: SEAMA, iDEZ, SÃO LUÍS, FARGS e UNIUOL, summing up
more than 8,000 students
Student satisfaction and Corporate Climate
Main Indicators (R$ MM) 2011 2012 Change
Net Revenue 1,148.4 1,383.3 20.5%
EBIT 84.3 148.7 76.4%
EBITDA 1 123.0 209.9 70.7%
EBITDA Margin 10.7% 15.2% 4.5 p.p.
Net Income 70.2 109.7 56.3%
1- EBITDA in accordance with the CVM instruction 527, does not consider Operating Financial Result
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Quarter Highlights – 4Q12
2020 Strategic Planning
Organizational Restructuring: New Officers (Distance Learning
Operations and Continuing Education) and new areas (Innovation,
Hospitality, Sustainability, Alumni Program, Corporate University)
Main Indicators (R$ MM) 4Q11 4Q12 Change
Net Revenue 294.4 361.7 22.9%
EBIT 11.2 29.1 159.8%
EBITDA1 22.5 48.3 114.7%
EBITDA Margin 7.6% 13.4% 5.8 p.p.
Net Income 2.4 14.9 520.8%
1- EBITDA in accordance with the CVM instruction 527, does not consider Operating Financial Result
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EBITDA – CVM 527
(R$ MM) 2011 2012 Change
Net Revenue 1,148.4 1,383.3 20.5%
Cash Cost of Services (765.5) (877.4) 14.6%
Gross Profit 382.9 505.9 32.1%
SG&A (298.6) (357.2) 19.6%
(+)Depreciation 42.2 61.2 45.0%
(+) Results from non-continued operations (3.5) - N.A.
EBITDA (CVM 527) 123.0 209.9 70.7%
EBITDA Margin 10.7% 15.2% 4.5 p.p.
(+) Operating Financial Result 14.1 6.8 -51.8%
(-) Results from non-continued operations 3.5 - N.A.
EBITDA (Old Methodology) 140.5 216.7 54.2%
EBITDA Margin (Old Methodology) 12.2% 15.7% 3.5 p.p.
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Operational Performance
294.4 361.7
116.6
142.0
4T11 4T12
NET REVENUE – 4Q12
411.0
503.7 +22.6%
+22.9%
Average Ticket (In R$)
4Q11 4Q12 Change 2011 2012 Change
On-campus 450.4 496.5 10.2% 439.9 480.1 9.1%
Distance Learning 179.3 192.2 7.2% 173.0 185.8 7.4%
1,148.4 1,383.3
483.6
588.6
2011 2012
NET REVENUE - 2012
1,632.1 1,971.9 +20,8%
+20,5%
STUDENT BASE
200.6 213.9
39.4 48.9
8.7
2011 2012
240.0 +13.1% 271.5
+6.6%
(000’ students)
Distance Learning
On Campus
Total Student Base
Aquisitions 2012
(In R$ million) (In R$ million)
Net Revenue Deduction Gross Revenue
Notes: 1. Companies acquired in 2011 are already consolidated in 2012 Results. 2. Total base including undergraduate and graduate students.
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Vertical Analysis
(% of Net Operating
Revenue)
4Q11 4Q12 Change 2011 2012 Change
Cash Cost* -63.2% -62.2% 1.0 p.p. -64.3% -60.3% 4.0 p.p.
Personnel -37.8% -37.3% 0.5 p.p. -39.6% -36.9% 2.7 p.p.
Brazilian Social Security
Institute (INSS) -8.5% -8.3% 0.2 p.p. -8.8% -8.0% 0.8 p.p.
Rentals. Condominium
Fees and Municipal
Property Tax
-8.4% -8.4% 0.0 p.p. -8.9% -8.5% 0.4 p.p.
Textbooks Materials -4.0% -3.8% 0.2 p.p. -2.6% -2.8% -0.2 p.p.
Others -4.5% -4.4% 0.1 p.p. -4.4% -4.1% 0.3 p.p.
2.7 p.p margin gain in the Personnel line, an evidence of the good control of faculty costs
End of the INSS step-up, yielding a 0.8 p.p. margin gain
Cash Cost
*Cost of Services excluding depreciation.
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Vertical Analysis (% of Net Operating Revenue)
4Q11 4Q12 Change 2011 2012 Change
SG&A* -28.8% -24.4% 4.4 p.p. -24.7% -24.5% 0.2 p.p.
Selling Expenses -10.6% -10.5% 0.1 p.p. -9.9% -11.4% -1.5 p.p.
PDA -7.9% -5.5% 2.4 p.p. -4.7% -5.8% -1.1 p.p.
FIES Provisioning 0.0% -1.5% -1.5 p.p. 0.0% -0.4% -0.4 p.p.
Marketing -2.7% -3.5% -0.8 p.p. -5.2% -5.2% 0.0 p.p.
G&A Expenses* -18.2% -13.9% 4.3 p.p. -14.8% -13.1% 1.7 p.p.
SG&A Expenses
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Accounts Receivables (R$ MM) 4Q11 1Q12 2Q12 3Q12 4Q12
Gross Accounts Receivables 320.8 358.5 350.9 351.6 362.3
FIES 36.5 55.4 36.5 45.0 55.7
Tuition Monthly Fees 241.4 246.6 261.7 251.5 267.7
Agreement Receivables 26.4 33.7 32.8 29.8 19.9
Others 9.2 16.6 14.3 20 12.8
Provision for Doubtful Accounts (69.3) (73.9) (77.2) (81.9) (76.4)
Net Accounts Receivables Ex. FIES 207.6 223.0 231.5 219.4 223.9
Net Revenues (Last 12 months) 1,148.4 1,203.2 1,254.7 1,316.1 1,383.3
Net Days Receivables Ex. FIES1 65 67 66 60 58
Gross Days Receivables 101 107 101 96 94
Net Average Days Receivables
1 Acquired companies in 2012: SEAMA . iDez. UNIUOL. FARGS e FAC São Luis.
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FIES FIES Accounts Receivable (R$ MM) 1Q12 2Q12 3Q12 4Q12
Opening Balance 36.5 55.4 36.5 45.0
(+) FIES Net Revenue 42.4 60.7 78.7 90.2
(-) Transfer 21.1 75.6 70.1 81.0
(-) FIES PDA 2.3 4.1 1.0 1.8
(+) Acquisitions - - 0.8 -0.3
Ending Balance 55.4 36.5 45.0 55.7
FIES Carry-Forward Credits (R$ MM) 1Q12 2Q12 3Q12 4Q12
Opening Balance 13.7 8.0 2.3 10.9
(+) Transfer 21.1 75.6 70.1 81.0
(-) Tax payment 22.3 33.0 43.0 48.5
(-) Repurchase auctions 4.5 50.2 18.5 42.7
(+) Acquisitions - 1.9 - 0.4
Ending Balance 8.0 2.3 10.9 1.1
FIES Average Days Receivables 1Q12 2Q12 3Q12 4Q12
FIES Days Receivables 194 88 92 75
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Breakdown of accounts receivable by age (R$ millions) 4Q11 % 4Q12 %
FIES 36.5 11% 55.7 15%
Not yet due 60.6 19% 76.3 21%
Overdue up to 30 days 40.0 12% 37.2 10%
Overdue from 31 to 60 days 30.6 10% 31.6 9%
Overdue from 61 to 90 days 31.5 10% 28.8 8%
Overdue from 91 to 179 days 52.4 16% 56.2 16%
Overdue more than 180 days 69.3 22% 76.4 21%
Total 320.8 100% 362.3 100%
Breakdown of agreements by age (R$ millions) 4Q11 % 4Q12 %
Not yet due 9.1 34% 7.6 38%
Overdue up to 30 days 4.0 15% 2.3 12%
Overdue from 31 to 60 days 2.4 9% 0.9 5%
Overdue from 61 to 90 days 2.4 9% 1.1 6%
Overdue from 91 to 179 days 4.4 17% 3.2 16%
Overdue more than 180 days 4.2 16% 4.8 24%
TOTAL 26.4 100% 19.9 100%
% over Gross Accounts Receivable 8% 6%
Aging of Receivables and Agreements
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(R$ million)
¹Result excluding the Operating Financial Result
Cash Flow Operational Cash Flow
CASH FLOW 4Q12
12
(R$ million)
¹Result excluding the Operating Financial Result
Cash Flow Operational Cash Flow
CASH FLOW 2012
13
Changes in the Cash Flow
1CAPEX ex-acquisitions.
4Q12
2012
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Final Remarks
In 2012, we created value for our stakeholders, but we know that big
results always bring a big responsibility and higher expectations for
the future
Track Record: Results Delivery & Harvesting
Strategic Planning
New Areas in the Organization
Discipline and Focus on Student
Preparing for the Future (Cycle 2015)
Welcome, 2013!
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IR Contacts
This presentation may contain forward-looking statements concerning the industry’s prospects and Estácio Participações’ estimated financial and operating results; these are ere projections and. as such. are based solely on the Company management’s expectations regarding the future of the business and its continuous access to capital to finance Estácio Participações’ business plan. These considerations depend substantially on changes in market conditions. government rules. competitive pressures and the performance of the sector and the Brazilian economy as well as other factors and are. therefore. subject to changes without previous notice. We are a holding company. and our only assets are our interests in SESES. STB. SESPA. SESCE. SESPE. SESAL. SESSE. SESAP. UNEC. SESSA and IREP. and we currently hold 99.9% of the capital stock of each of these subsidiaries. Considering that the Company was incorporated on March 31 2007. the information presented herein is for comparison purposes only. on a proforma unaudited basis. relative to the first three months of 2007. as if the Company had been organized on January 1 2007. Additionally. information was presented on an adjusted basis. in order to reflect the payment of taxes on SESES. our largest subsidiary. which from February 2007. after becoming a for-profit company. is subject to the applicable taxation rules applied to the remaining subsidiaries. except for the exemptions arising out of the PROUNI – University for All Program (“PROUNI”). Information presented for comparison purposes should not be considered as a basis for calculation of dividends. taxes or for any other corporate purposes.
Investor Relations:
Flávia de Oliveira
Cristiana Ortigão
Arthur Assumpção
Fernanda Assis
Email: [email protected]
Phone: +55 (21) 3311-9789
Fax: +55 (21) 3311-9722 Address: Av. Embaixador Abelardo Bueno. 199 – Office Park – 6th floor ZIP Code: 22.775-040 – Barra da Tijuca – Rio de Janeiro – RJ – Brazil Website: www.estacioparticipacoes.com/ir