Education Development Share Discussion Threads

[bookworm1] 26/1/2009 18:00

A good market response to the AGM and trading update. Perhaps it is starting to get noticed now for its recession proof properties. Congratulations are due to Nigel and his team for delivering everything that they promised (and more). This is a great little company with some great potential.

[smarm] 26/1/2009 16:46

CR....oh no, we're following each other around! LOL.

S

[barn owl] 26/1/2009 11:09

Touching new highs with director buying and postive trading news on Friday. Make these a buy in my book.

[cockneyrebel] 26/1/2009 11:05

I'm back in today - that statement last week and the huge director buying has convinced me. The fact the chart has broken out and making all time highs today is a very bullish indicator too.


CR

[barn owl] 23/1/2009 16:28

Let the trend be your friend and up she goes!

[rcktmn] 23/1/2009 15:53

The more I read trading update, the better it looks, particularly whe you take into account the current economic backdrop...onwards and upwards!

[rcktmn] 23/1/2009 15:48

Cool! share price continuing to climb... good stuff!

might get some more press mentions over the weekend/next week and also hopefully a broker note update soon! :-)

[interceptor2] 22/1/2009 20:36

Trading updates don't come better than this one!!!!!!!!!!

[rcktmn] 22/1/2009 11:29

moving up nicely this morning on exceptionally good news... let's hope it's sustained!

[cambium] 22/1/2009 11:15

scsw will be pleased

[rcktmn] 22/1/2009 07:28

More good news released this morning !

this company is going from strength to strength...let's hope it has a pos+ impact on the share price !....


fEDUCATION DEVELOPMENT INTERNATIONAL PLC

AGM TRADING STATEMENT

Education Development International plc ('EDI' or 'the Group'), the leading provider of educational qualifications and assessment services, will provide the following update on Group trading and prospects at its Annual General Meeting to be held at its Head Office at 10.00am today.

Trading

During the first three months of the Group's financial year to 30 September 2009, profitability has significantly exceeded expectations with progress being recorded in all areas of the business.

On a like-for-like basis revenue is significantly ahead compared with the same period last year, partly as the result of exchange rate gains against both the Euro and the US Dollar. Strong growth in the sales of vocational qualifications services in the UK includes the full benefits of the acquisition of ASET on 19 November 2007 and also a short-term peak in initial demand for a new road passenger transport qualification. Sales volumes of our international qualifications are running at a similar level to that achieved in the same period last year but revenues have increased as a result of the exchange rate gains.

The underlying trend in UK sales growth has, so far, exceeded our prudent expectations for the impact of our investment in marketing and sales capability over the past 18 months. Our strategy of working in partnership with training providers and larger businesses on joint development activities is progressing well. This approach has recently led to success in securing the business of a large private training provider organisation, the financial benefits of which will begin to flow through in the second half of the year.

Expenditure during the first quarter was lower than anticipated as a result of close control of operational and development costs, and planned new staff appointments taking longer to complete.

Prospects

We continue to be watchful for any impact on the development of the Group's business resulting from the economic situation. However, to date there have been no signs of any direct effect on either our UK or international operations.

With further UK government funding support recently announced for employee training and apprenticeship programmes, our growing market share in the UK and the positive impact of exchange rate movements on our overseas business, the Board is confident that EDI will continue to record strong revenue and profit growth for the remainder of the current year and perform ahead of market expectations.

Commenting on the trading update, EDI Chief Executive Nigel Snook said:

'I am very pleased that despite the difficult economic situation we are able to report such positive news to our shareholders.

'We are now seeing the full benefit of the momentum created by our long-term investment and acquisition programmes. The business is now at a point where our efforts can be concentrated on developing long-term relationships with existing and potential customers, and working towards our aim of becoming recognised as a market leader in the provision of innovative, high quality learner assessment and support services both in the UK and overseas'.

[romi2nikki1] 16/1/2009 09:48

Surprized that the share price as not trickled down, given the 5% inc in eps for 09 and minus 20% for 2010. The share price seems to have risen on the back of the results, and stayed there. Of course I realize that forecasts are generally straws in the wind, especially for small companies, but isnt it the case that edd benefits from long term contracts?

[molatovkid] 09/12/2008 13:38

and a move up happens! long may it continue, the quality rises sooner or later.

[rcktmn] 09/12/2008 10:23

sp looking strong this morning......next leg up could be beckoning !

[molatovkid] 30/11/2008 08:47

And from The Times...

Tiddler to watch

As the Government continues to push vocational qualifications, Education Development International, up 4¼p to 36p, may be one to watch. Yesterday the assessment group, which recently signed a deal with J Sainsbury to award NVQs as part of an in-house training programme, reported better than expected annual results.

[rcktmn] 29/11/2008 21:39

From GrowthCompany investor y'day

EDI earns full marks

Educational qualifications and assessment services counter Education Development International (EDI) has earned full marks after delivering a strong profit and cash performance for the year to September.

On sales up 35 per cent to £21.5 million, including a £2.2 million contribution from acquisitions, operating profits powered ahead by 58 per cent to £3.34 million.

EDI increased net cash from operations by 137 per cent to £4.46 million, leaving a healthy £3.23 million in the coffers and allowing for a 27 per cent rise in the total dividend to 0.42p.

Nigel Snook, chief executive, was keen to flag up good levels of organic growth throughout the business, as well as a sterling performance from the core UK vocational qualifications and assessment services division, whose sales grew by 53 per cent to £11.9 million. Here, November 2007 acquisition ASET, a vocational awarding body, broadened the customer base and service range and has helped EDI to target further education colleges.

Elsewhere, in key international markets – South-East Asia and Germany – EDI performed well, while growth in its support and internet services operations was robust, with sales jumping by 30 per cent to £3.7 million.

EDI is now focusing on cross-selling extra services into existing clients and winning new business with training companies, further education colleges and employers, with its eye on select acquisitions should they come up.

Striking just the right balance between confidence and caution, Snook also sees resilience in the education market, underpinned by ongoing investment in skills development by governments, employers and individuals alike.

Recommended here at 42.25p in February, shares in EDI have fallen back to 36p, where they trade on a modest prospective multiple of 5.5, based on forecast profits of £3.7 million and earnings of 6.6p. At these levels, they remain good value. Buy/hold.

[eagle eye] 28/11/2008 17:23

Penpoint,
The lower eps forecast is due to an increasing tax charge from 0% in 2009, to 28% in 2010.
Hope that helps.
Cheers
EE

[res1606] 28/11/2008 17:20

tax at 28% on expiry of losses carried forwards

[rcktmn] 27/11/2008 12:46

Moving on up !

[rcktmn] 27/11/2008 12:06

Awesum ! excellent results ! this should be £1+ per share! how about that for a ramp!

[molatovkid] 27/11/2008 10:19

bought a few on spread bet this morning - surely just a question of time for the quality of performance to shine through

[res1606] 27/11/2008 08:22

6.2p earnings (4.5p fully diluted for 28% tax), 5p/share cash with growth next year. All for 32p. Wow.