27/02/2024 16:53

G8 Education (GEM) $1.25

GEM +11.61% Rallied after reporting FY23 results that were inline with upgraded guidance released in Dec, with revenue of $982m up 9% YoY and above consensus of $967m while underlying profit (NPAT) of $63m was a ~4% beat to consensus of $61m. The final dividend was 3.0cps fully franked, inline with expectations.

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19/12/2023 17:04

G8 Education (GEM) $1.13

GEM +13.57%: two month highs for the childcare centre operator today, the company provided 2023 guidance that was better than expected. They now see Operating EBIT at $99-102m and NPAT at 62-64m, coming in ~5% ahead of consensus on both fronts.

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01/11/2023 09:02

G8 Education (GEM) 95c

While we are in no rush to buy back into G8 Education just yet, their weaker trading update last week pushed the shares ~12% below the level we exited, and we’re now adding the childcare operator back on the Hitlist for the Income Portfolio. At a strategy day on the 26th of October, they provided a trading update that was softer than expected, along with a plan to sell 31 underperforming centres. They outlined weaker occupancy (-1.4% YoY for the week ending 22 Oct) versus expectations of an improving trend.

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23/08/2023 09:20

G8 Education (GEM) $1.08

The childhood education and care provider with over 430  centres is one of the largest in Australia with a particular focus down the East Coast, although they also have some centres in WA. They operate under brands such as Jellybeans, Greenwood, Kool Kids, Bambinos and more.

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22/08/2023 12:41

Active Income Portfolio – Amendment

We are selling our 3% holding in G8 Education (GEM) following todays 1H23 results announcement. We don't believe GEM is cheap enough for the challenges/uncertainty that remain. 

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20/04/2023 16:40

G8 Education (GEM) $1.265

GEM +4.98% Held their AGM today and while there was no real new news, that is a positive outcome for a business undergoing a turnaround amid challenging operating conditions. The childcare operator has done a very good job in recent times to improve occupancy which will continue to drive a recovery in earnings.

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22/02/2023 09:21

G8 Education (GEM) $1.245

The childcare operator reported a solid FY23 result yesterday (December year-end) with $901m in revenue up 4% YoY and inline with expectations, dropping to a small beat in underlying earnings (EBIT) which was flat YoY at $80.3m - the dividend of 2c for the half was light on, however, that is expected to grow in FY23 (~5c) and add ~1c each year from there.

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14/12/2022 09:52

G8 Education (GEM) $1.02

The childcare operator delivered a trading update yesterday that showed some swings and roundabouts as is expected in a turnaround story. The pros to the update were firmly around 2H momentum, with improving occupancy and strong enquiry levels evident, while they are running at $71m in earnings before interest & tax (EBIT) for the year (and should do at least $4m in Dec) meaning...

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07/09/2022 09:26

Active Income Portfolio

The portfolio was lower during the week off -0.50% with cash elevated at an elevated 12%. G8 Education (GEM) -2.97% and Centuria (CNI) -2.96% were the biggest drags while ANZPI +1.62% and Metcash (MTS) +1.23% ahead of their AGM today were relative performers.

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31/08/2022 09:29

Active Income Portfolio

The portfolio was higher during the week up 0.38% with cash at an elevated 12%. Pendal (PDL) was the top performer adding 7.55% following the confirmed tilt by Perpetual (PPT) while G8 Education (GEM) edged 4.12% higher following their results which showed improving occupancy levels in their centres. On the flip side, Service Stream (SSM) -14.20% was the biggest drag on a weak FY22 result which we cover below.

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