EVO - Evolve Education

Big volumes going through - 6m so far so looking like a solid base is forming around 70c mark.

Next results announcement in August should confirm the trend.

Looks like could jump very soon targeting one dollar around august

Couple of big blocks got crossed recently a big one couple of weeks back and another two lots today. Interesting to see who the buyer might be, Wilson seem be the seller at least of the last lot.

Looking forward to results to be announced end of month and divvy before that.

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Originally Posted by Balance

Big volumes going through - 6m so far so looking like a solid base is forming around 70c mark.

Next results announcement in August should confirm the trend.

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https://stocknessmonster.com/announc...asx-2A1470955/

Excellent results showing recovery well underway.

Embark reported a net profit after tax from continuing operations of $2.386m compared with a loss of $1.696m
in the prior comparative period (pcp) driven by increased revenues (from materially higher occupancy), tight
control of support office costs and the prudent use of centre-based labour within Government mandated
guidelines.

Cash of $27.6m in the bank so group well placed to make more acquisitions.

https://stocknessmonster.com/announc...asx-2A1470958/

Occupancy above 85% in August 2023 which means that profitability will be very high for H2 2023.

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Originally Posted by Balance

I recall being told by one of the EVO executives that they operate on the basis that their childcare centres breakeven at 70% occupancy, reasonable return at 80% and super profits from above 85%.

They are now comfortably above 85%.

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Should crack past $1 soon (A$)

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Originally Posted by sb9

Should crack past $1 soon (A$)

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May take a while to reach there as market still skeptical after the years of disappointments from this company.

Slow and steady is how I perceive the sp will rise over the next 2 years.

Meanwhile, am a happy holder.

Another 2c (AU) divvy announced and growth got bit slower due to staff shortages and lower demand on Mon and Fri. Still very respectable occupancy rates.

Quote:

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Originally Posted by sb9

Another 2c (AU) divvy announced and growth got bit slower due to staff shortages and lower demand on Mon and Fri. Still very respectable occupancy rates.

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https://yourir.info/resources/6ea9ae...tober_2023.pdf

Any occupancy over 80% is excellent. To have close to 90% on Tues - Thurs is super profits territory.

Good ongoing dividends

It appears the big shareholders want dividends
I read that the Australian Govt is putting whatever money it takes to rectify the staff shortages.
The next target is 1.00 then 2.00 once the staffing issues are solved and we buy a few more centres which is Chris Scotts forte.

Is anyone still following this now it's only on the ASX? Any thoughts?

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Originally Posted by DarkHorse

Is anyone still following this now it's only on the ASX? Any thoughts?

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It seemed to like the brighter sunshine over the way last time the balloon went up

Be interesting see how much of the Share Register is still Kiwi holders, if there are any Kiwi Imputation credits left

The last Release:

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Embark Early Education (ASX:EVO)
Announcement Re Acquisition Of 9 Centres, Dividend And Debt Funding
Acquisition Of Nine Centres
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The Board of Embark Early Education Limited is pleased to announce that conditional contracts have
been executed for the acquisition of nine childcare centres. These contracts are subject to customary
conditions such as transfer of license/lease assignment and are expected to settle from mid March
through to late April:
9 centres Five centres in Victoria. Four centres in Queensland.
Total LPs 917 licensed places.
Occupancy All centres experience high occupancy.
EBITDA Annualised forecast at $6.3m.
Price $25.2m.
Funding Expected to be funded from cash reserves and operating cash flow.
Extra Costs EVO expects to employ one more Support Office staff.

Dividend
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The Board of Embark Early Education Limited has resolved to pay a dividend of AUD0.015 (one and a
half cents) per share as an interim dividend for the second half of FY2023. This dividend will be fully
franked. The ex-div date for the will be 5 March 2024; the record date will be 6 March 2024; and the
payment date will be 26 March 2024.

Debt Funding
===========
The Board of Embark Early Education Limited is pleased to announce that Embark is in receipt of a bank
Credit Approved Facility for $20m based on past financial performance. This facility would be available
for further acquisitions.

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Looks like the promised land is quite prosperous after dumping the NZ Operations before departing NZX


Another 1.5c AU shot out the door to the eagerly waiting stakeholders on 26 March 2024