·
In November 2019, “Career Point Publications Ltd (CPPL)”
emerged as the sole bidder for the education assets of “IL&FS” for 80%
ownership in “IL&FS Skills Development Corp”. held by Schoolnet India
·
However in February 2020, the sale hit a roadblock as one
investor refused to sell stake to Career Point and restricted “IL&FS” from
concluding the sale of the education business. The “IL&FS” Group sold
73.69% stake in its education business, held under “Schoolnet India” Ltd.
(SIL), to “Falafal Technologies Pvt. Ltd.” (FTPL) during the same time period.
·
Currently Career Point has “Plancess Education” under its
umbrella for its Ed-tech solutions. The firm acquired the company in early
2019.
COVID Impact on Career Point: Though the immediate impact appeared to be
negative on some of the business units mainly due to closure of physical study centers/campuses,
the management took a quick decision. The company leveraged its technical
solutions from the acquisition of “Plancess Education” in 2019 to deliver
uninterrupted classes and lectures to its students in online mode during the
pandemic. Career Point launched their e-learning project – eCareerPoint App– in
midst of the crisis. Very quickly, Career Point achieved its top position in
online coaching among other Kota coaching institutes.
Growth in Revenue for FY’19-FY’20: In FY’2019-FY’20, the company reported income
from operations of ₹104.6 crores on consol basis and ₹52.1 crores at standalone
level. Total revenue, including other income, is reported of ₹109.9 crores on
consol basis and ₹ 72.8 crores at standalone level. Revenue from operations
grew mainly on the account of increased income from Srajan Capital (NBFC
subsidiary) and one-off income in Gyan Eduventure (wholly owned subsidiary).
Decrease in Student Enrolment in Tutorial
Division:
With the increased competition, decentralization of the tutorial student the
company is facing a decli0ne in student enrolments in tutorial division for the
past 5 years especially in the short term course category. The decline in
tutorial division registered a CAGR of -10.3% for the duration FY’2015-FY’2020,
whereas formal education enrollments grew with a CAGR of 19.0% for same
duration
Analysts at Ken Research in their latest publication
" Career Point- A Detailed Analysis of Company’s
Potential Growth in Future " observed that
the Career point needs to focus on key areas such as opening of more company
owned branches, penetration into rural market and diversification of product
portfolio in order to facilitate remote learning and to expand their student
base across India, which will promote the growth of the company in a more
structural & organized way by increasing the reach of their services to
underpenetrated areas.
Key Target Audience: -
Investment Bankers
Ed-Tech Players
Educational Institutions
Government/Regulatory Bodies
Education Industry Associations
Time Period Captured in the
Report:
FY’2018-FY’2023P
Companies Mentioned:
Career Point Private Limited
Key Topics Covered in the Report:
-
Overview
of the Education Industry in India (Including Number of Schools in India,
Recent Trends and Developments in the Education Sector, Allocation of
Educational Budget by the Government), National Education Policy(Overview of
the National Education Policy, Key highlights of the Policy, Gross Enrolment
Ratio of Students in the Sector)
Financial
Analysis of Career Point (Including Total Revenue, Growth of Revenue (%), Total
Expenses, Earnings before Tax & Extraordinary Items, Earnings after Tax
(Net Income), Growth of Net Income (%), EPS, and 3 Year Future Cash Flow
Analysis and total Revenue Estimates(Discounting Factor Method)
Business
Overview of Career Point (Including Business Evolution Timeline, Business
Services and Offerings, Key Developments, Management
Shareholding Pattern, Business Model: Higher and School
Education, Subsidiaries)
Career
Point SWOT Analysis and Analyst Recommendations
For More Information on the research report, refer to below link: -
Growth of Career Point in Revenue
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