interim results · 2019. 5. 13. · interim results for the six months ended 30 june 2012 . 0 10 20...

Interim Results for the six months ended 30 June 2012

0 10 20 30 40 50

Holland, Norway,Germany

Italy, France, UK, US

Greece, Spain,Portugal, Ireland Youth

Unemployment

AverageUnemployment

Battlers

Middle

ranking

Successful

Jobs, jobs, jobs

Consequences of lack of competitiveness and financial imprudence

Source: KKR Global Macro Insights

0 10 20 30 40 50

Holland, Norway,Germany

Italy, France, UK, US

Greece, Spain,Portugal, Ireland

South Africa

YouthUnemployment

AverageUnemployment

Battlers

Middle

ranking

Successful

Jobs, jobs, jobs

Consequences of lack of competitiveness and financial imprudence


Emerging market labour costs

0

50

100

150

200

250

300

350

Mexic

o

Ta

iwan

US

A

UK

Japan

Sin

ga

pore

Isra

el

Kore

a

Neth

erl

and

s

Sou

th A

fric

a

Fra

nce

Port

ugal

Italy

Phili

pin

es

Ire

land

Spa

in

Cana

da

Gre

ece

Hu

ng

ary

Pola

nd

New

Zeala

nd

Austr

alia

Bra

zil

Ch

ina

Arg

entia

Sources: Respective National Banks

Percentage change in USD hourly manufacturing labour 2002 – 2010

Labour market rigidity

0 10 20 30 40 50

Portugal

Germany

Italy

South Africa

Ghana

Zambia

Mauritius

Kenya

Botswana

U.K.

Nigeria

Australia, USA


Unemployment in SA

46%

14%

28%

12%

June 2011

Not economically active

Unemployed

Formal employment

Other employment

Source: Stats SA

Strategic Operations Financial

overview

Financial

analysis Prospects Questions

Unemployment in SA

45%

14%

29%

12%

June 2012

Not economically active

Unemployed

Formal employment

Other employment

Source: Stats SA


overview

Financial


“The skills shortage in South Africa will persist due

to a low rate of qualified individuals entering the

market place.”

Source: South Africa 2012 – The road to Mangaung, 22 May 2012, Rothschild

Skills shortage

“Out of a group of 100 Grade 1 pupils, only 40

will reach Grade 12

Of those, 28 will pass matric and 4 will enter

university

Of the 4, only 1 will graduate”

Eugene Daniels, former district director in the Western Cape now head of

education at the Citizen Movement for Social Change

Getting through school

Getting through school

0

Source: South Africa 2012 – The road to Mangaung, 22 May 2012, Rothschild

Green paper on HE

► University student headcount to grow from 900K to 1 500K by 2030

► College student headcount to grow from 330K to 4 000K by 2030

NSFAS loans and bursaries

► Funding in 2008 R2.4Bn

► Funding in 2011 R6.0Bn

Further increase in 2012

SETA funds proposal

► Amount available for reimbursement of corporates -10%

► This to be directed to finance FET Colleges

BUT, textbook crisis and schools closure protests

Increasing Government support for students at public

institutions

Agenda

Operations

Financial overview

Financial analysis

Prospects

Questions

Operations


overview

Financial



overview

Financial


Segmental structure

Group restructured into three segments

► Education split between Schools and Tertiary

Creation of Tertiary division

► Improved coordination of strategy

► More cost effective use of shared resources

► Maintains and builds brand equity

Segmental reporting modified accordingly

Schools division


overview

Financial


Sport at Crawford

Matthew Brittain

Crawford College Sandton 2005 Olympic Gold Medallist Men’s Lightweight Coxless Four

Cameron van der Burgh

Crawford College Pretoria 2006 Olympic Gold Medallist 100m Breaststroke

Sport at Varsity College

Paralympics 4 x l00m relay new world record

Zivan Smith, Samkelo Radebe, Arnu Fourie and Oscar Pistorius

Tertiary division


overview

Financial


Resourcing division


overview

Financial



overview

Financial


Tertiary division

New IIE degree programmes launched in association with The Open University, UK. Offers students access to international qualifications

The IIE continues to be well represented in regulatory structures and the private higher education sector

The first distance programme to be delivered in conjunction with the American Public University System (APUS) has been launched

Launch of the UFS/IIE joint venture for the offering of the distance LLB degree on Varsity College campuses took place on 25 July in Bloemfontein

Consolidation of three small campuses was initiated in April

► Part of overall action plan to address Tertiary division


overview

Financial


Infrastructure

Three major infrastructure projects announced in May 2012:

► Phase II of Trinityhouse Little Falls campus

► Trinityhouse Heritage Hill Centurion

► Trinityhouse Palm Lakes KZN

In Aug 2012 results statement:

► 5 additional schools campuses, 4 in Gauteng and 1 in KZN

• Not yet launched but approved and announced

Capex in period R81 million

Capital commitments R1 118 million

Lease commitments R333 million

Continuing deal flow for acquisitions and capex


overview

Financial


Trinityhouse

PALM LAKES - KZN


overview

Financial


PALM LAKES - KZN

Trinityhouse


overview

Financial


Trinityhouse

LITTLE FALLS PHASE II


overview

Financial


CrawfordSchools

FOURWAYS – NEW HALL


overview

Financial


Crawford Pre-primary Fourways

BUSH BABIES – GRADE 000

Financial overview


overview

Financial


Income statement insight

Rm 1H2011 1H2012 % growth

Revenue 791 850 +8%

EBITDA 143 127 -12%

Operating profit 110 92 -16%

HEPS and diluted HEPS 20.0 16.6 -17%

Free operating cash flow per share 70.3 71.5 +2%

Distribution per share 9.5 10.0 +5%


overview

Financial


Balance sheet insight

Rm 1H2011 1H2012 % growth

NAV 706 755 +7%

Fixed assets 701 862 +23%

Debtors 126 154 +22%

Fees in advance 299 354 +18%

Net cash on hand 181 118 -35%


overview

Financial


Financial analysis


overview

Financial


Revenue trend


overview

Financial


0

200

400

600

800

1 000

07 08 09 10 11 12

R'm

CAGR = 12%

Group revenue

Group operating margin


overview

Financial


0%

5%

10%

15%

20%

07 08 09 10 11 12

Cash flow generation


overview

Financial


0

50

100

150

200

250

300

07 08 09 10 11 12

R'm

CAGR = 11%

Free operating cash flow before capex

Cash flow generation


overview

Financial


0

50

100

150

200

250

300

350

07 08 09 10 11 12

R'm

Cash generated from operations

Cash from operations (after working capital)

Net cash position


overview

Financial


0

50

100

150

200

250

07 08 09 10 11 12

R'm

HEPS trend


overview

Financial


0

5

10

15

20

25

07 08 09 10 11 12

Cen

ts

Segmental analysis


overview

Financial


Revenue

41%

46%

13%

2011

43% 44%

13%

2012

Schools Tertiary Resourcing

Segmental analysis


overview

Financial


Operating profit

49% 41%

10% 68% 18%

14%

Schools Tertiary Resourcing

2012 2011

Education trends


overview

Financial


0

100

200

300

400

07 08 09 10 11 12

R'm

CAGR = 17%

Schools revenue

Education trends


overview

Financial


0

20

40

60

2011 2012

R'm

Schools operating profit

Education trends


overview

Financial


0

100

200

300

400

07 08 09 10 11 12

R'm

Tertiary revenue

Education trends


overview

Financial


0

10

20

30

40

50

2011 2012

R'm

Tertiary operating profit

Resourcing trends


overview

Financial


20

40

60

80

100

120

07 08 09 10 11 12

R'm

Resourcing revenue

Resourcing trends


overview

Financial


0

5

10

15

2011 2012

R'm

Resourcing operating profit

Prospects


overview

Financial


Prospects


overview

Financial


Source: TradingEconomics.com

Retail sales trend


overview

Financial


Source: TradingEconomics.com

Retail sales trend


overview

Financial


Source: Stanlib

Price indices

0

2

4

6

8

10

12

14

1 2 3 4 5 6 7 8 9 10 11 12

CPI

EPI


overview

Financial


CPI and Education Price Index (EPI)

Year on year percentage change: 2001 to 2012

Perc

enta

ge

5.8

11.03

9.1

7.54

5.8

9.57

1.4

9.56

3.4

8.4

4.6

7.01

7.2

7.97

11.5

8.3

7.7

6.5

3.7

9.2

5.6

8.6

4.9

9.0

CPI

EPI

Source: Stats SA

Average annual investment trend


overview

Financial


0

20

40

60

80

100

120

140

160

180

2007 2008 2009 2010 2011 2012

CAGR = 22%

For 2012:

Spent YTD R81m

Commitments R90m

Total R171m

R’m

Interim distribution trend


overview

Financial


0

2

4

6

8

10

12

2007 2008 2009 2010 2011 2012

CAGR = 14%

Cen

ts

5 Year – Market cap index


overview

Financial


60

80

100

120

140

160

180

5 yr ADH Mark Cap

JSE All Share Index

JSE Small Cap Index

Questions


overview

Financial


interim results · 2019. 5. 13. · interim results for the six months ended 30 june 2012 . 0 10 20...

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