- 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 a stake to Career Point and restricted “IL&FS” from concluding the sale of the education business. The “IL&FS” Group sold a 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 a consol basis and ₹52.1 crores at the standalone level. Total revenue, including other income, is reported of ₹109.9 crores on a consol basis and ₹ 72.8 crores at the 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 the 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 the same duration
Analysts at Ken Research in their latest publication ” Career Point- A Detailed Analysis of Company’s Potential Growth in Future “ observed that Career point needs to focus on key areas such as the 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: –
Education Industry Associations
Time Period Captured in the Report:
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: –
Related Reports by Ken Research: –
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Ankur Gupta, Head Marketing & Communications