Wey Education Share Discussion Threads

[666james] 29/5/2018 09:14

I would like to think so but cannot see any reason why apart from the "big" drop in early May when the results were given. But I am with you for a run up to 20p. David Massie needs to start coming up with some results before a meaningful rise that will hold. Nice start to the day.

[netcurtains] 29/5/2018 08:34

I think traders will force this over 20p within a day or so.... what do you think?

[netcurtains] 25/5/2018 19:51

Perhaps if more people read "New Boy" by Tracy Chevalier they wouldn't take their children to within 100 feet of a bricks and mortar school (its a rewritting of Othello where all the main characters are children in the average playground on an average day)

Cheers Net.

ps Mcfly79: I think InterHigh really works when it comes to six form college or GCSE - this is the time kids are either fed up with school (sixth form college) OR home schoolers realise they need something more serious if they are to get their kids in medicine, law, accountancy or engineering..

[mcfly79] 25/5/2018 18:41

Agreed net, should help the Chinese pricing too.

[netcurtains] 25/5/2018 16:53

thanks for letting us know Mcfly79.... The weaker pound should help too (eg we're even better value compared to USA versions of interhigh)

[mcfly79] 25/5/2018 16:40

Sorry net, our posts crossed!

[mcfly79] 25/5/2018 16:39

Hope you managed to get your shares net.


I have young children and was interested in InterHigh’s offering as a parent so recently attended an open evening event (online).

Impressed with what I heard. School looks well structured and the pastoral care element seems very good.

There were about 80 attendees and quite a lot of questions. The majority of attendees seemed to have children who were either i) struggling with traditional schooling or ii) couldn’t attend tradition schools due to location or schedules.

They really do try and offer a full school service, with social interaction and a strong sense of pastoral care.

Whilst full time online schooling isn’t right for my family at the moment I would certainly consider InterHigh for extra-curricular classes (in the evening, weekends, holidays) or exam revision courses. I don’t think this is something they currently offer students who don’t attend the school, but I’ll ask if this is planned.

I’d feel comfortable leaving my children alone in the InterHigh class environment (with a qualified teacher, lessons being recorded and the general feel of the school ethos) and I think my children would be engaged in the school-class type environment.

This has reinforced my belief that WEY is uniquely placed to make the Chinese JV a success. They are the largest, most experienced provider of online schooling in the UK and we know the Chinese have a huge demand for native English speaking lessons. I’m hoping it will be an easy sell to schools in China.

[netcurtains] 25/5/2018 16:37

Oh well - I'll try again next week.... I'll go for even smaller amounts. The problem is (I guess) not enough people want to sell to make a good market for buyers.

[netcurtains] 25/5/2018 12:21

bibboyblue: I cut the trade in two (£2500) and still not gone through yet. Hope it will soon. There certainly is not much stock around at present.

[bigboyblue] 25/5/2018 09:32

Net, I just tried a dummy purchase for a small amount (£1000) and was quoted 16.66p. I use HL

[netcurtains] 25/5/2018 08:39

Past couple of days been trying to buy a few shares but the trades never go through. I set the price to something I think reasonable (not the full price obviously) but the deal never gets done. Is this most likely because the Market Makers actually dont have many shares at all to trade? Does the market actually need a few people to sell so we can buy?

[netcurtains] 23/5/2018 22:06

boonkoh: Lets hope it is, for obvious reason ! :-)

[boonkoh] 23/5/2018 19:24

That's a stupendous amount of options for a HR type of senior exec role. I think this is shaping up to be a lifestyle business for the directors and their chums...

[mcfly79] 23/5/2018 11:32

Good to see them putting everything on a more professional footing with the recent appointment of the CFO and now HR director.

The HR director will be an important role as the company scales up and the number of teachers increases. Important that the correct governance and systems are introduced now before things scale up.

A generous options package.

[netcurtains] 23/5/2018 09:24

We have a new human resources non exec director... And interestingly his options are at 16.7p....

I suspect he and the board expect the price to be much much higher than this in 2021.

From the news:
In accordance with his employment contract the Company has granted unapproved share options to Mr Knowles over 1,500,000 ordinary shares in the capital of the Company at an option price of 16.7 pence per share. The options are subject to various performance conditions and save in the event of a change of control of the Company, cannot be exercised before 20 May 2021.

interesting line added in: SAVE IN THE EVENT OF A CHANGE OF CONTROL OF THE COMPANY - eg potential take over. But in any event key thing to note: It would be a bit of a mugs game to sell any shares for a price below 16.7p LOL

[netcurtains] 22/5/2018 13:47

British Education getting cheap compared to Dollar Quoted education:


WEY could be a BIG WINNER due to the weak pound. All the raw materials are from UK (teachers and support staff) - so costs no higher but money coming into the company (via bigger sales) could be significantly higher.

Compared to Christmas customers current customers are saving £250 a year on their school fees provided they are paying in dollars .

Here is a link showing how currency fluctions affected demand for education in 2015 (pre brexit currency - so one assumes the post brexit currency crash will be driving up demand for UK education)

[netcurtains] 22/5/2018 13:00

"if" WEY meets its own expectations in the coming results I would expect there would be a reasonable chance that this share will be trading in the 30s 40s range. It has been well over sold .

I have put my money where my mouth is. I bought more today

[mcfly79] 20/5/2018 22:20

Should add that they are now forecasting a maiden dividend of 1.8p per share in 2020 (up from 0.48p in the previous forecast).

[mcfly79] 20/5/2018 22:17

net, I think the figures are better than that.

WEY currently pays the teachers about 50% of the school fees and are left with a 50% gross margin.

In the investor event before last David said they were targeting a 55% gross margin with 20% admin costs leaving 35% EBITDA margin. It's actually a fairly high margin business at scale.

We're starting to see this in 2018/19. WHIreland were previously forecasting a 54% gross margin and 24% EBITDA margin (Sales of £10.34m, gross profit of £5.62m and EBITDA of £2.61m). They are now forecasting slightly lower sales (£9.6m) but a higher EBITDA margin of 27% giving an unchanged EBITDA forecast of £2.61m.

David also mentioned that with AI the gross margin could go up longer term to 75% leaving a 55% EBITDA margin after the 20% admin costs.

bones, revised WHIreland forecasts as follows, only the revenue has changed from the previous forecast:

2018 (est): Rev 4.1: Pre-tax Profit 0.48; EPS 0.39

2019 (est) Rev 9.6: Pre-tax Profit 2.53; EPS 1.86

2020 (est) Rev 15.2: Pre-tax Profit 5.41; EPS 3.63

[costax1654x] 20/5/2018 22:17

Aeg ready to fly!Massive RNS!!Sorry wrong board!

[bones] 20/5/2018 21:52

Header updated for latest major shareholders (per WEY website), interim results summary and "DirectorsTalk" videos.

It would be useful if those with access can give me the latest WH Ireland broker forecasts so I can update those. Thanks in advance (Verulamium or other!)

[netcurtains] 20/5/2018 19:04

Hi njl53: WEY education has class sizes of max 18 pupils for gcse and 15 pupil for A levels. Its on their website - eg the advantage of Interhigh is that it has SMALL class sizes compared to bricks and mortar schools:



I think WEY make 15% profit per teacher so , if they had 2,000 pupils they would make about £1M profit (added to this they have the B2B side )

[njl53] 20/5/2018 18:47

Does anyone know how many pupils can be handled online in the same worldwide class by the one teacher? I presume there is a finite limit to a class size as homework has to be marked and pupils dealt with individually. Also, how difficult is it to maintain quality control of teaching as the numbers of individual teachers and classes multiplies?

[garth] 17/5/2018 09:37

This webinar may be of interest to investors here as part of ongoing research. Its not spam, I'm not connected. It was a direct email to me and I am simply sharing it, not endorsing it.

Join Maria English, Marketing and Admissions Officer at Western International School of Shanghai on 24 May 2018 as she discusses best practices when introducing school curriculum to Chinese families.

Maria has worked within China admissions for over a decade and has conducted independent surveys regarding this topic. Her findings, which may surprise you, have been published in the IAB magazine.

This webinar session will help answer the question: How effectively are we communicating our curriculum to Chinese families?




G.