Navitas Ltd

NVT Details
Solid financial performance: Navitas Ltd (ASX: NVT) reported revenues of $1010.7 million as against revenues of $980.3 million for FY16. The EBITDA was at $164.6 million while net profit was at $90.1 million against $71.8 million in the prior corresponding period. During the year, Macquarie University and Curtin University operations in Sydney were closed affecting the financial results of the company. But, the company reported pathway pass rates of more than 80% while retention rates were more than 85%.
 

Global Demand for International Education (Source: Company Reports)
 
During the year, Navitas executed four new agreements, renewed seven agreements while two Curtin agreements were extended. In FY17, two new agreements would be signed – Adult Migrant English program and HIC with University of Hertfordshire. Going forward, the company expects better results in H2FY17. The management also said FY17 EBITDA results are expected to remain broadly in line with FY16. We recommend a “Hold” on the stock at the current market price of $ 5.17

  
NVT Daily Chart (Source: Thomson Reuters) 

Lovisa Holdings Ltd

LOV Details
Expanding penetration: Lovisa Holdings Ltd (ASX: LOV) has reported a 14.3% growth in revenues for FY16 to $153 million while gross profit grew 9.8% to $114 million. Total store count grew to 250 numbers with international expansion of 11 stores. Further, 12 stores have opened in the current year. The company has successfully launched UK pilot program and has declared final dividend of 2 cents per share. Lovisa has expanded successfully to 10 territories after recently entering the UK market with store opening in Leeds, Bromley, Brighton and Manchester.
 

Growing store count (Source: Company Reports)
 
The company has repaid debt to the extent of $2.4 million. The company has increased prices, which was well accepted by the market, to combat the fall in Australian dollar. We give a “Hold” recommendation at the current market price of $ 3.51

 
LOV Daily Chart (Source: Thomson Reuters)

Disclaimer
 
The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. Kalkine.com.au and associated pages are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376). The information on this website has been prepared from a wide variety of sources, which Kalkine Pty Ltd, to the best of its knowledge and belief, considers accurate. You should make your own enquiries about any investments and we strongly suggest you seek advice before acting upon any recommendation. Kalkine Pty Ltd has made every effort to ensure the reliability of information contained in its newsletters and websites. All information represents our views at the date of publication and may change without notice. To the extent permitted by law, Kalkine Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss or data corruption). If the law prohibits this exclusion, Kalkine Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services. There may be a product disclosure statement or other offer document for the securities and financial products we write about in Kalkine Reports. You should obtain a copy of the product disclosure statement or offer document before making any decision about whether to acquire the security or product. The link to our Terms & Conditions has been provided please go through them and also have a read of the Financial Services Guide. On the date of publishing this report (mentioned on the website), employees and/or associates of Kalkine Pty Ltd currently hold positions in:  BHP, BKY, KCN, PDN, and RIO. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.