Navitas profit continues to climb
January 31, 2010
Navitas Limited (NVT), a global education provider, reported its fifth consecutive quarter of revenue growth to post a net profit of $27.5 million, up 45% on the previous corresponding period. The company said it was now expecting full year EBITDA of between $94 million and $97 million, against last year’s $77.1 million.
CEO Rod Jones said the result was driven by the quality of the education the group provides.
“Ultimately our revenues and earnings are driven by student enrolments across our operating divisions,” Mr Jones said.
The company said the result, more specifically, was underpinned the success of its University Programs, where enrolments were growing at existing colleges, coupled with new enrolments at start-up colleges.
“In one of the most significant milestones for the Company so far, we have recently executed three new College agreements in the United States,” Mr Jones said.
“We expect these projects to follow the established pattern and deliver positive returns within 18 months – in turn providing us with further revenue to fund growth while maintaining our strong balance sheet.”
Looking ahead the group said it had plans for up to 10 more colleges in the UK, US, Australia and Canada.
“With our established business model in place, our expansion into the US underway and further global opportunities under consideration, we are well positioned to
CEO Rod Jones said the result was driven by the quality of the education the group provides.
“Ultimately our revenues and earnings are driven by student enrolments across our operating divisions,” Mr Jones said.
The company said the result, more specifically, was underpinned the success of its University Programs, where enrolments were growing at existing colleges, coupled with new enrolments at start-up colleges.
“In one of the most significant milestones for the Company so far, we have recently executed three new College agreements in the United States,” Mr Jones said.
“We expect these projects to follow the established pattern and deliver positive returns within 18 months – in turn providing us with further revenue to fund growth while maintaining our strong balance sheet.”
Looking ahead the group said it had plans for up to 10 more colleges in the UK, US, Australia and Canada.
“With our established business model in place, our expansion into the US underway and further global opportunities under consideration, we are well positioned to
continue delivering value to both our stakeholders and shareholders well into the future.”
The board also reaffirmed its commitment to a 100% distribution policy, saying it would pay a fully franked interim dividend of 8.1c per share, up from 5.5c per share in the previous corresponding period.
At the close Friday, Navitas shares were $4.48.
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