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SMR
05-15-2015, 02:00 PM
MT Educare Limited (MTEL) is an India-based company, which is an education support and coaching services provider for students in the secondary and higher secondary school and for students pursuing graduation degree in commerce, preparing for various competitive examinations and undertaking chartered accountancy examinations. The Company conducts commercial training, coaching, tutorial classes and activities incidental and ancillary thereon. It also developed Robomate applications, which provides online access to lecturers through android or windows web-enabled devices and also through pen drives and storage device cards. The Company has tied up with 14 colleges across Karnataka, which provides management services and test preparation services to its students. MTEL operates in Maharashtra, Karnataka, Tamil Nadu, Gujarat, Punjab and Chandigarh, and Haryana. Some of the Company’s brands include Mahesh Tutorials Commerce, INK, Lakshya, MT Professionals, CPLC and Robomate.

Official website: www.mteducare.com (http://www.google.com/url?source=finance&q=http%3A%2F%2Fwww.mteducare.com&ei=FPtVVdHBGYqEwAPjjYGgBg&usg=AFQjCNFb6_1jHJIH77XpgENN8SOkh5dw5Q)

SMR
05-15-2015, 02:04 PM
For 4QFY2015, MT Educare reported earnings above our estimates. The company’s top-line growth was mainly driven by healthy growth in the government projects segment. On the operating front, the company saw pressure due to increase in other costs. However, higher other income and a lower tax expense boosted the company’s overall profitability. Government projects segment boosts the overall consolidated top-line: For the quarter MT Educare registered a double-digit growth in its top-line, ie of 16% yoy to ~Rs51cr, on back of increase in revenue from the government projects segment. However, the coaching business reported a subdued performance. Despite lower growth in operating profit, PAT grew ~68%: Despite a lower growth in operating profit, MT Educare posted a growth of ~68% yoy to ~`5cr on the earnings front for the quarter, owing to higher other income and lower taxes. Outlook and valuation: We expect MT Educare to report strong top-line and bottom-line growth in the coming financial years (FY2016E and FY2017E) on back of healthy growth in coaching business (school, science and commerce). This would be owing to its strong brand image and with it implementing innovative teaching technologies. Further, we expect additional revenue growth from execution of government projects, Robomate product, and tie up with Shri Gayatri Educational Society (SGES) in Hyderabad which has a model similar to pre-university (PU) colleges. Hence, we recommend a Buy rating on the stock with a target price of Rs141.

Source http://www.angelbroking.com

SMR
08-11-2015, 09:47 AM
For 1QFY2016, MT Educare reported results above our estimates. The company’s top-line growth was robust mainly due to strong growth in coaching business as well as Government Projects segment. On the operating front, the company saw pressure due to increase in other costs. However, higher other income and a lower tax expense boosted the company’s overall profitability. Coaching business and Government Projects segment boosts overall consolidated top-line: For the quarter, MT Educare registered a double-digit growth in its top-line, ie of 38% yoy to ~Rs75cr, on back of strong growth in Coaching business and increase in revenue from the Government Projects segment. Adjusted PAT grew ~60% yoy: Despite of operating margin pressure, which was on account of higher other costs as the company provided free Samsung tablets/SD cards to its students; MT Educare posted an adjusted net profit growth of ~60% yoy to ~Rs6cr, owing to strong revenue growth, higher other income and lower taxes. However, the reported net profit declined by ~21% on account of the base effect (owing to a one-time gain recognized in the first quarter last year due to change in depreciation policy of Rs3.9cr [on a post tax basis]). Outlook and valuation: We expect MT Educare to report a strong top-line and bottom-line growth in the coming financial years (FY2016E and FY2017E) on back of healthy growth in coaching business (school, science and commerce). This would be owing to its strong brand image and with it implementing innovative teaching technologies. Further, we expect additional revenue growth from execution of government projects, Robomate product, and tie up with Shri Gayatri Educational Society (SGES) in Hyderabad which has a model similar to pre-university (PU) colleges. Hence, we recommend a Buy rating on the stock with a target price of Rs141.

Source: http://www.angelbroking.com/