Zee Learn Ltd. share price target

Zee Learn (ZLL) in 3QFY18 posted revenues of Rs. 52 Cr (up 72% Y-o-Y) on a consolidated basis due to robust 20% growth in preschool and K-12 segment, 57% growth y-o-y in income from lease rentals and an additional revenue stream from manpower recruitment and training

Investment Rationale

PAN India presence with aggressive expansion in footprint, enrolment growth in its institutes, asset light business model, increasing capacity utilization and increase share of wallet makes ZLL a perfect play to participate in the growing opportunities of Indian education industry.

Company has entered into a new strategic line of manpower recruitment and training business through the newly incorporated subsidiary Liberium Global. This segment generated ` 14.33 Crore revenues in Q3 FY18 . The margins for manpower verticals are on the lower side. However, company see tremendous opportunities for growth. The business being a high ROI and low margin one, company looks to differentiate its offering through value added services and the management is confident that this business will provide robust growth in the future.

Zee Learn Ltd. (ZLL) reported Q3FY18 standalone revenues at INR 30.5cr (up ~20% YoY), inline with our estimate, healthy performance dispite seasoanlly weakest quarter. Gross margin were...

Zee Learn (ZLL) in 2QFY18 posted revenues of Rs. 60 Cr (up 59% Y-o-Y) on a consolidated basis due to consistent growth in preschool and K-12 segment,63% growth y-o-y in income from lease rentals and an additional revenue stream from manpower recruitment

Zee Learn Ltd. (ZLL) reported Q2FY18 standalone revenues at INR 37cr (up ~11% YoY), 6% below our estimate. Gross margin were reported at 88% above our estimates.

Zee Learn (ZLL) in 1QFY18 posted revenues of Rs. 67 Cr (up 44% Y-o-Y) on a consolidated basis due to consistent growth in both Kidzee (pre-school) & MLZS (K-12) segments, and an additional revenue stream from manpower recruitment and training from the newly incorporated subsidiary. ZLL posted PAT of..

Zee Learn Ltd. (ZLL) reported Q1FY18 standalone revenues at INR 52cr (up ~23% YoY) in-line with our estimate. The sales growth was led by healthy growth in student enrollment in Mount Litera...

We initiate coverage on Zee Learn with no rating but have valued it with a DCF based valuation

Zee Learn (ZLL) in 4QFY17 posted revenues of Rs. 60.1 Cr. (up 20% Y-o-Y, up 136% Q-o-Q) due to consistent growth in both Kidzee (pre-school) and MLZS (K-12) segments. It posted PAT of Rs 14.7 Cr (up 89% Y-o-Y, up 141% Q-o-Q) due to operational leverage coming into play bringing about economies

Zee Learn Ltd. (ZLL) Q4FY17 reported revenues at INR 60cr (up ~20% YoY) in line with our estimate. The sales growth was led by healthy growth in student enrollment in Mount Litera (K-12) Schools

Zee Learn, engaged in educational services in India, owns the largest and fastest growing chain of pre-schools and K-12 schools respectively. Under the pre-school segment, the company operates its flagship brand KIDZEE' with over 1,550 centres in the country.

Zee Learn (ZLL) is India?s leading player in the education segment by virtue of having the fastest growing chain of K-12 schools (Mount Litera Zee School) and Asia?s No. 1 chain of pre-schools