MindChamps Q2 net profit up 83%

MINDCHAMPS PreSchool posted an 83 per cent year-on-year jump in net profit attributable to shareholders to S$1.26 million for the second quarter ended  June 30, 2018.

Revenue rose 60 per cent to S$7.65 million thanks to the acquisition of seven preschool centres in Australia and Singapore, as well as higher franchise income.  Earnings per share for the quarter clocked 0.52 Singapore cent, up from 0.38 cents a year ago. For the six month period, net profit edged up 16 per cent to S$1.6 million, while revenue was 48 per cent higher at S$13.66 million.

David Chiem, founder and chief executive officer of MindChamps PreSchool, said: "As the world continues to transform around us, parents around the globe want their children to be prepared for a future which no one can accurately predict. MindChamps is proud to bring our education movement to the world, where our proprietary curriculum and pedagogy will give children an edge in their education and the opportunity to develop to their fullest potential."

In a separate announcement, MindChamps said that its indirect wholly-owned subsidiary, MindChamps Early Learning & Care @ Eastwood, is acquiring the business and assets of two preschool centres in Sydney, Australia, from Smart Child Care for A$5.9 million.

The assets to be acquired include - among other things - the authorisations of the Australian government agency to provide child care and education services at each respective preschool centre, the intellectual property rights and licences for each respective business, and the plant and equipment of each respective preschool centre.

MindChamps Early Learning & Care @ Eastwood will also be entering into new leases with the respective landlords of each preschool centre premise.The purchase will be funded from a combination of MindChamps' IPO proceeds and an acquisition loan, it said. Shares in MindChamps closed at 67 Singapore cents on Monday, down half a cent.