FY24 Full Year Results Media Release
| Stock | G8 Education Ltd (GEM.ASX) |
|---|---|
| Release Time | 25 Feb 2025, 8:09 a.m. |
| Price Sensitive | Yes |
G8 Education Announces FY24 Results
- Reported Group revenue up 3.5% to $1,021.8 million
- Statutory NPAT of $67.7 million, up 20.8%
- Operating EBIT up 14.3% to $115.0 million
- Occupancy levels above prior year despite tough conditions
- 93% of centres rated 'Exceeding' or 'Meeting' National Quality Standard
G8 Education Limited (ASX:GEM), a leading provider of early education and care in Australia, has announced its results for the full year ended 31 December 2024 (CY24). The company reported a 3.5% increase in reported revenue to $1,021.8 million and a 20.8% increase in statutory NPAT to $67.7 million. Operating EBIT increased 14.3% to $115.0 million, reflecting growth in centre earnings and effective cost management. Occupancy levels were above the prior year despite tough macroeconomic conditions and cost of living pressures. The company successfully bargained a sector-wide multi-employer agreement, securing a 10% pay increase for its centre team funded by the Federal Government. G8 Education also focused on enhancing the customer journey, resulting in a 6-point increase in Net Promoter Score. Safety and educational programs were a priority, with 93% of centres rated as 'Exceeding' or 'Meeting' the National Quality Standard. The company maintained a strong balance sheet and announced a fully franked final dividend of 3.5 cents per share, taking the total dividend for the year to 5.5 cents per share.
G8 Education expects capex of around $45 million in CY25, including a rollover of $7 million from CY24. The company will continue its network optimisation and share buyback program in CY25.
G8 Education remains cautiously optimistic for a more positive CY25, with momentum building in enquiries and tours, and anticipation of improving macroeconomic factors such as increased female workforce participation, easing inflation, and lower interest rates and unemployment. The company's near-term focuses are on maintaining team engagement, providing a great family experience, driving occupancy and performance, delivering safe and high-quality services, and maintaining disciplined cost management.