Estacio Net Income grow 74% reaching R$425.6 million in 2014 as EBITDA goes up 66% to R$532.6 million
RIO DE JANEIRO, March 20, 2015 /PRNewswire/ -- Estacio Participations S.A. – "Estacio" or the "Company" (BM&FBovespa: ESTC3; Bloomberg: ESTC3.BZ; Reuters: ESTC3.SA; OTCQX: ECPCY), one of the largest private institutions of higher education in Brazil in terms of number of students enrolled, has reported its results for the 4th Quarter (4Q14) and for 2014.
Estacio closed 2014 with a total student base of 437,400, 38.5% above that registered in 2013, of whom 301,700 were enrolled on-campus programs, and 83,000 in distance learning programs, in addition 52,700 students acquired in the last 12 months. In the same shops concept, the student base grew by 21.9% organically in relation to 2013. At the end of 2014, the on-campus undergraduate base totaled 290,200 students, 21.2% more than the at the close of previous year. For Distance Learning, the undergraduate base grew by 68.0% over 2013 for a total of 93,200 students. The growth of the graduate student base in 2014 should be emphasized, which reached the historic level of 43,800 students in December, an increase of 111% in comparison with the same period of the previous year.
Net Operating Revenue came to R$2,404.5 billion in 2014, an increase of 38.9% in relation to 2013, due to 38.5% growth in the student base, and the positive development of the average ticket during the period.
In 2014, EBITDA totaled R$532.6 million, 66.3% higher than in 2013, with an EBITDA margin of 22.2%, for a margin gain of 3.7 percentage points over the year before, chiefly due to improved management of costs and expenses, and growth of more than 38% in net revenue.
Net Income came to R$425.6 million in 2014, an increase of 73.9% over 2013, thanks to the substantial increase in net revenue, as well as efficiency gains in the line of costs and expenses.
We recorded Operational cash flow of R$233.6 million in 2014, an evolution of R$166.6 million in relation to 2013. At the end of 2014, cash and cash equivalents totaled R$715.1 million. With total gross debt of R$668.2 million at the end of 2014, R$589.2 million corresponded mainly to the Company's debenture issue (series 1 of R$200 million and series 2 of R$300 million). As a result, net cash closed 2014 at R$46.9 million.
Leading the expansion, after authorization by CADE and approval by the Extraordinary Shareholders' Meeting, Estacio completed the largest acquisition in its history: UniSEB, an excellent asset located in Ribeirao Preto in the interior of the state of Sao Paulo, with a significant network of Distance Learning centers extending to all of Brazil. The operation offers optimal prospects for expansion of the distance learning segment. In addition, in 2014 Estacio expanded even more its operation in the North and Northeast regions with the acquisitions of IESAM in Belem, LITERATUS in Manaus, and CEUT in Teresina. We also emphasize the inauguration of two new units (greenfields): Venda Nova in Belo Horizonte, and Bueno in Goiania. These new units will help to leverage our operation in these cities.
Rogerio Melzi, CEO of Estacio, stresses the following: " Estacio's growth has been based on a long-term vision, underpinned by the belief that continuous improvements are more long-lasting and generate greater returns than sudden leaps". In this context, when we analyze the operating and financial results for 2014, we see that we've been very successful pursuing this approach of continuous improvement."
Contacts
Investor Relations
Flavia de Oliveira
Phone: (21) 3311-9700
E-mail: [email protected]
Website: www.estacioparticipacoes.com.br
Twitter: http://twitter.com/estacio_ir
Facebook: www.facebook.com/EstacioRI
Press Office
Cintia Marin
Phone: (21) 3311 -9880
E-mail: [email protected]
SOURCE Estácio Participações S.A.
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