17 March 2015 Study Group Results for the year ended 31st
17 March 2015
Results for the year ended 31 December 2014
Study Group, a leading international provider of higher education courses, career education and
English language programmes, announces its results for the year ended 31 December 2014.
FY 2014 Financial Highlights: strong growth in underlying business
Continuing Constant Currency Revenue up 11% to £266.8m (2013: £240.7m)
Adjusted continuing EBITDA up 4% to £36.0m (2013: £34.5m)
Adjusted continuing EBITDA margin of 14% (2013: 14%)
Free cash flow growth to £33.9m (2013: £3.7m)
New Student Enrolments (“NSE”) up 30% to 20,265 (2013:15,608)
FY 2014 Operational Highlights: expanding our high quality, international network
New contract announced today with the University of Law for an ISC on-campus and with
Coventry University London Campus for the provision of pathway programmes
New contract announced today with Merrimack College in the US for an international study
Continued development of partnership contracts including: renewed partnership with Charles
Sturt University, Australia and Liverpool John Moores University in the UK; four year contract
signed with Imperial College London; preparations for our first intake at the University of
Sheffield, including agreement for new premises; extension of partnership with Long Island
University with the introduction of a Brooklyn campus
The Group has performed strongly overall this year, achieving revenue growth on a constant currency
basis of 11% (6% on a reported basis), translating into robust EBITDA growth. EBITDA on a
continuing basis grew 4% to £36.0m from £34.5m, and margins remained constant at around 14%.
Cash-flow remained strong throughout the year, with significant improvement in working capital and a
reduction in exceptional items, resulting in free cash flow of £33.9m, up from £3.6m in 2013.
Encouragingly, NSE growth across the Group increased 30% during the year, with H2 growth of 41%.
Throughout the year, the Higher Education (“HE”) Australia New Zealand business achieved
particularly strong growth with NSEs up 30% in our ISC business and 44% in our Career colleges. HE
North America delivered NSE growth of 103%, reflecting the opening of Study Group international
study centres in Vermont and Maine, as well as further growth in the more mature partnerships. HE
UK and Europe ISC’s achieved total NSE growth of 11% in the year, with total growth in the UK being
offset by a lower intake for Bellerbys.
David Leigh, Chief Executive Officer, commented:
“We are pleased with the progress made during the year, which has translated into strong revenue
and EBITDA growth.
We remain committed to working with leading University partners to ensure we can offer our students
the best possible proposition, to support them with the next phase of their education. We are therefore
delighted to have signed and renewed a strong portfolio of partnerships across all of our core
geographies, whilst also focusing on expanding our offering with current partners.
“Strong NSE growth was achieved across the Group in all of our ISC regions and we are pleased to
be seeing continued momentum in the first quarter of 2015.
“Overall, the Group’s strong 2014 performance provides a solid platform for growth as we look
forward to the year ahead.”
– Ends –
For further information, please contact:
Jonathon Brill/ Georgina Goodhew/ Eleanor Purdon
Tel: +44 (0)203 727 1000
Notes to Editors:
About Study Group
Study Group prepares students for life in a global society and success in a global economy. We
educate students from every corner of the globe enabling them to realise their potential through a
transformational learning experience. Study Group is a leading international provider of higher
education courses, career education and English language programmes.
Study Group has developed a market-leading network of alliances with internationally recognised
academic institutions across Australia, Canada, Ireland, the Netherlands, New Zealand, the United
Kingdom and the United States. Through these, we deliver programmes to more than 63,000
international students from more than 145 countries each year. These programmes include high
school and university foundation and first year university diplomas in our Higher Education division;
vocational training and education that prepares students for jobs in trade and professional positions in
our Career Education division; and English language courses in our Language Education division.