Business Model of Educomp

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  • EducompREEMA SAXENA: 11PT-027SHWETA SAINI: 11PT-039

  • About EducompEducomp Solutions Ltd, founded in 1994, is a diversified education solutions provider and the largest education company in India.Educomp Group reaches out to over 32,000 schools and 20.9 million learners and educators across the world through 27 offices worldwide.Reaches to 5.3 million students in over 10,000 private schoolsOver 6 million students in over 11000 government schoolsRun over 840 pre-school , 69 K 12 schools, 7 colleges, 1 higher education campus , 343 vocational training centres, 74 test prep. Centres & 4.2 million users of online learning.Massive Scale of operations, Market leaders in digital content solution K 12 segment

  • Affiliates & Acquisitions

    Strategic Acquisitions and Joint Ventures enhancing Educomps footprint across the world

  • Product LineLEARNING HOURSINGAPORE LEARNINGWizIQ Education OnlineSMARTCLASSROOTS TO WINGSMATHGURURaffles Millennium InternationalTHE MILLINNIUM SCHOOLIndiaCanStudyPlacesETEN CALITTLE MillenniumEDUCOMP ONLINETOPPERMAGICKEYSLEARN HUB

  • Business ModelSecuritization ModelBOOT Model

  • Securitization Model

  • Revenue Model From Infrastructure ServicesPre-Determined rentals for school assets delivered to the Independent Trusts and/ societies, operating the schools.Additionally, Earns fixed percentage share in the annual fee revenue earned by the trust using such assetsManagement & Content ServicesMonthly management fee per student is charged for providing content, Intellectual property and management & maintenance services to independent trust and societies operating the school.Additionally, through co-branding charging royalty/branding fee as a percentage of annual fee revenue to students in schools.

  • Business Segments

  • Infrastructure

  • Innovation

  • Presence Across the Entire Education Life Cycle

  • Scope of Education BusinessRecession Free Model Strong Annuity based cash flows ranging from 5 to 12 yearsClients are locked in via long term contracts assuring non volatility of revenuesEducation in India is a mandatory family spent, which is 25-30% at middle income level. Our focus is to capture the mandatory spent via our institutional models & direct customer based models.Our business has assured cash flows both at part of familys mandatory spending and Government mandatory spending (increasing at a CAGR of 20% every year) , thus there is no risk of reducing spending in education .Educomp has diversified portfolio that spans across all parts of the education value chain Strong internal accruals Highly profitable business - All capex requirements , manily K-12 Schools , fully funded via equity and debtAcute demand supply gap across all education services in India

  • Estimated Education opportunity in India

  • Multiple engines of growth & value creation

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