GREAT LEAPS BY BIG ‘BABY’
G8 EDUCATION’S half-year net profit soared 73 per cent thanks to its voracious appetite for acquisition.
Company chief Chris Scott says the group remains hungry for more.
“We only have 6.7 per cent of the childcare market. When it comes to size we’re just babies,” Mr Scott said yesterday. “We plan to continue with acquisitions.”
Australia’s largest listed childcare company’s net profit for the six months to June 30 surged to $28.2 million, up 73 per cent from $16.3 million.
Revenue from continuing operations rose 63 per cent to $305.7 million, from $187.2 million.
Underlying earnings came in at $54.1 million.
The company paid a fully franked dividend for the June quarter of 6¢.
Mr Scott said the profit spike was underpinned by positive earnings from G8’s rapid expansion.
A string of acquisitions saw G8’s portfolio increase to 475. G8 acquired 88 childcare centres in the second half of 2014 and 21 centres this year.
G8 shares closed down 4c, or 1.27 per cent, at $3.09 yesterday.