News Feed Item

22% organic growth in the student base, EBITDA of R$235.5 million, an increase of 53.3%, EBITDA margin of 18.0% for a gain of 3.0 p.p. are the highlights of the Estacio balance sheet for the first six months of 2014

RIO DE JANEIRO, Aug. 8, 2014 /PRNewswire/ -- Estacio Participacoes S.A. – "Estacio" or the "Company" (BM&FBovespa: ESTC3; Bloomberg: ESTC3.BZ; Reuters: ESTC3.SA; OTC: ECPCY), one of the largest private organizations of higher education in Brazil in the number of matriculated students, is reporting its results for the second quarter of 2014 (2Q14) in comparison with the same period of the previous year (2Q13).

Estacio closed 2Q14 with a total base of 383,000 undergraduate and graduate students, 22.2% above the number recorded in 2Q13, of whom 303,600 are matriculated in on-site courses and 79,400 in distance learning courses.  Setting aside acquisitions, the student base grew by 21.9% organically in relation to the same period of the previous year.

It is important to underscore the growth of the graduate student body, which closed 2Q14 with 35,500 students (in both on-site and Distance Learning), a growth of 72.3% in relation to 2Q13. Such growth is the result of management initiatives and restructuring coordinated by the Directorate of Continuing Education.

The student base at Estacio that uses FIES remained at 110,400 students, which represents 39.3% of the total student base of on-site undergraduate students.

Net operating revenues came to R$1,127.3 billion in the first six months of 2014, an increase of 31.6% in relation to the first six months of 2013, and R$589.1 million in 2Q14, an increase of 32.8% in relation to 2Q13, due to growth of 22.2% in the student base, and the positive evolution of the average on-site ticket during the period.

For the first half of the year, EBITDA totaled R$235.5 million, 53.3% above that presented in the same period of 2013, with a margin of 20.9%, representing a margin gain of 3.0 p.p. over the year before due to better management of costs and expenses and to growth of more than 31% in net revenues.  Whereas for the quarter, EBITDA totaled R$106.0 million, 59.2% higher than 2Q13, with an EBITDA margin of 18.0%, a margin gain of 3.0 p.p. over the previous year.

The provision for doubtful debtors accounted for 6.1% of net revenues for this year, a decline of 0.4 percentage points in relation to the same quarter last year, reflecting a situation of lower payment delinquency in 2013, as well as an increase in the number of students using Student Financing (FIES - Financiamento Estudantil).

Net profits for Estacio in the first six months of 2014 came to R$ 211.7 million, an increase of 86.8% over the first six months of 2013, due to the increase in net revenues and efficiency gains in the cost and expense lines, which led to a 53.3% growth in EBITDA. Whereas for the quarter, net profits were R$86.0 million, an increase of 84.2% over the second quarter of 2013.

Operating cash flow in was positive at R$79.0 million in 2Q14, representing an evolution of R$40.2 million in relation to 2Q13, even taking into account the new timetable for the receipt of FIES repurchase certificates.  Investments for the quarter totaled R$31.6 million, representing 5.4% of net revenues, whereas in 2Q13 investments accounted for 12.8%. Of this amount, R$3.3 million was assigned to the expansion of new units and the construction of class rooms, while the rest was basically assigned to renovation and improvement of existing units, IT projects and the consolidation of the new Model of Instruction.

At the close of 2Q14, cash and cash equivalents totaled R$787.4 million. Bank indebtedness of R$269.0 million reflects the 1st emission of Company debentures and financing lines with the IFC, as well as commitments to pay for acquisitions made in recent cycles and the balance payable on tax installments constitute gross debt, which totaled R$312.8 million at the end of the quarter. Net cash closed 2Q14 at R$474.6 million.


Investor Relations
Flavia de Oliveira
Phone: (21) 3311-9700
E-mail: [email protected]

Website: www.estacioparticipacoes.com.br

Press Office
Cintia Marin
Phone: (21) 3311 -9880
E-mail: [email protected]

SOURCE Estácio Participações S.A.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
Dion Hinchcliffe is an internationally recognized digital expert, bestselling book author, frequent keynote speaker, analyst, futurist, and transformation expert based in Washington, DC. He is currently Chief Strategy Officer at the industry-leading digital strategy and online community solutions firm, 7Summits.
"We started a Master of Science in business analytics - that's the hot topic. We serve the business community around San Francisco so we educate the working professionals and this is where they all want to be," explained Judy Lee, Associate Professor and Department Chair at Golden Gate University, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
DXWorldEXPO LLC announced today that Dez Blanchfield joined the faculty of CloudEXPO's "10-Year Anniversary Event" which will take place on November 11-13, 2018 in New York City. Dez is a strategic leader in business and digital transformation with 25 years of experience in the IT and telecommunications industries developing strategies and implementing business initiatives. He has a breadth of expertise spanning technologies such as cloud computing, big data and analytics, cognitive computing, m...
Digital Transformation and Disruption, Amazon Style - What You Can Learn. Chris Kocher is a co-founder of Grey Heron, a management and strategic marketing consulting firm. He has 25+ years in both strategic and hands-on operating experience helping executives and investors build revenues and shareholder value. He has consulted with over 130 companies on innovating with new business models, product strategies and monetization. Chris has held management positions at HP and Symantec in addition to ...
Cloud-enabled transformation has evolved from cost saving measure to business innovation strategy -- one that combines the cloud with cognitive capabilities to drive market disruption. Learn how you can achieve the insight and agility you need to gain a competitive advantage. Industry-acclaimed CTO and cloud expert, Shankar Kalyana presents. Only the most exceptional IBMers are appointed with the rare distinction of IBM Fellow, the highest technical honor in the company. Shankar has also receive...
There is a huge demand for responsive, real-time mobile and web experiences, but current architectural patterns do not easily accommodate applications that respond to events in real time. Common solutions using message queues or HTTP long-polling quickly lead to resiliency, scalability and development velocity challenges. In his session at 21st Cloud Expo, Ryland Degnan, a Senior Software Engineer on the Netflix Edge Platform team, will discuss how by leveraging a reactive stream-based protocol,...
Enterprises have taken advantage of IoT to achieve important revenue and cost advantages. What is less apparent is how incumbent enterprises operating at scale have, following success with IoT, built analytic, operations management and software development capabilities - ranging from autonomous vehicles to manageable robotics installations. They have embraced these capabilities as if they were Silicon Valley startups.
DXWorldEXPO LLC announced today that Kevin Jackson joined the faculty of CloudEXPO's "10-Year Anniversary Event" which will take place on November 11-13, 2018 in New York City. Kevin L. Jackson is a globally recognized cloud computing expert and Founder/Author of the award winning "Cloud Musings" blog. Mr. Jackson has also been recognized as a "Top 100 Cybersecurity Influencer and Brand" by Onalytica (2015), a Huffington Post "Top 100 Cloud Computing Experts on Twitter" (2013) and a "Top 50 C...
Digital transformation is about embracing digital technologies into a company's culture to better connect with its customers, automate processes, create better tools, enter new markets, etc. Such a transformation requires continuous orchestration across teams and an environment based on open collaboration and daily experiments. In his session at 21st Cloud Expo, Alex Casalboni, Technical (Cloud) Evangelist at Cloud Academy, explored and discussed the most urgent unsolved challenges to achieve fu...
The standardization of container runtimes and images has sparked the creation of an almost overwhelming number of new open source projects that build on and otherwise work with these specifications. Of course, there's Kubernetes, which orchestrates and manages collections of containers. It was one of the first and best-known examples of projects that make containers truly useful for production use. However, more recently, the container ecosystem has truly exploded. A service mesh like Istio addr...
As DevOps methodologies expand their reach across the enterprise, organizations face the daunting challenge of adapting related cloud strategies to ensure optimal alignment, from managing complexity to ensuring proper governance. How can culture, automation, legacy apps and even budget be reexamined to enable this ongoing shift within the modern software factory? In her Day 2 Keynote at @DevOpsSummit at 21st Cloud Expo, Aruna Ravichandran, VP, DevOps Solutions Marketing, CA Technologies, was jo...
Predicting the future has never been more challenging - not because of the lack of data but because of the flood of ungoverned and risk laden information. Microsoft states that 2.5 exabytes of data are created every day. Expectations and reliance on data are being pushed to the limits, as demands around hybrid options continue to grow.
Poor data quality and analytics drive down business value. In fact, Gartner estimated that the average financial impact of poor data quality on organizations is $9.7 million per year. But bad data is much more than a cost center. By eroding trust in information, analytics and the business decisions based on these, it is a serious impediment to digital transformation.
Business professionals no longer wonder if they'll migrate to the cloud; it's now a matter of when. The cloud environment has proved to be a major force in transitioning to an agile business model that enables quick decisions and fast implementation that solidify customer relationships. And when the cloud is combined with the power of cognitive computing, it drives innovation and transformation that achieves astounding competitive advantage.
Digital Transformation: Preparing Cloud & IoT Security for the Age of Artificial Intelligence. As automation and artificial intelligence (AI) power solution development and delivery, many businesses need to build backend cloud capabilities. Well-poised organizations, marketing smart devices with AI and BlockChain capabilities prepare to refine compliance and regulatory capabilities in 2018. Volumes of health, financial, technical and privacy data, along with tightening compliance requirements by...