MT Educare Ltd

MT Educare Ltd is an education support and coaching services provider for students in the secondary and higher secondary school and for students pursuing graduation degree in commerce, preparing for various competitive examinations and undertaking chartered accountancy examinations. The company has operations across the states of Maharashtra, Tamil Nadu, Karnataka and Gujarat, through 188 Coaching Centres in 110 locations. Of these, the Company operates 19 Coaching Centres in eight locations in Maharashtra in cities such as Nashik, Aurangabad and Nagpur, through franchisee arrangements. The company also provides coaching for competitive examinations for admissions to universities offering masters in business administration degrees through their subsidiary, CPLPL, which operates in three locations in Mumbai. Additionally, they operate coaching centres at six locations in New Delhi and Gurgaon under the brand 'Study Mate - Powered by MT Educare' through HT Learning Centres Ltd (HTLCL), which is a joint venture of their wholly owned subsidiary, MTESPL with HT Education Ltd. The company, through their Dubai branch, MT Management Solution, also provides management consultancy services to a coaching centre in Dubai which includes providing coaching and administrative support services for secondary and higher secondary school curriculum of various education boards. MT Educare Ltd was incorporated on August 19, 2006 as a private limited company with the name MT Educare Pvt Ltd at Mumbai. The company started their business operations in March 2007, by providing coaching services to IXth and Xth standard students preparing for the examinations conducted under the CBSE curriculum and conducting training classes in spoken English for persons working with various companies. In the year 2008, the company opened centres in Gujarat and Tamil Nadu. Also, they acquired Scholar's Learning Centre during the year. In the year 2009, Mahesh Tutorials Pvt Ltd, Mahesh Tutorials Commerce Pvt Ltd and Mahesh Tutorials Science Pvt Ltd were amalgamated with the company. Also, the company launched Technology Aided Teaching methodology. In the year 2011, the company acquired Chitale's Personalised Learning Pvt Ltd. Also, they acquired equity shares of MTESPL making MTESPL a wholly owned Subsidiary. In May 18, 2011, the company was converted into a public limited company and the name was changed to MT Educare Ltd. The company came out with its Initial Public Offer (IPO) on 27 March 2012 and the IPO closed on 29 March 2012. The company was listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) on 12 April 2012. The uncertainty over the proposed entrance exam structure post SSC results in 2012 hit admissions at the company's Science division, with student serviced count falling by 7% from 14,524 in FY2011-12 to 13,511 in FY2012-13. However, the revenues grew by 23%, propelled by higher realisation on account of substantial fee hikes for the XI-XII Combo course. During the year ended 31 March 2014, the company entered into distribution and marketing agreement with Chetana Publications Private Limited ('Chetana'), a leading name in publishing and distribution of educational content. The arrangement involves distribution and marketing by Chetana of all co-branded study materials under the name 'Master Key' jointly developed by both parties. In addition, Chetana, through its strong marketing distribution network across Maharashtra, shall introduce and sell pioneering products developed by MT Educare, viz 'Robomate'- an innovative solution that makes revision study material easily available to school students through recorded lectures based on apps that can run on home computers/laptops and also be downloaded on smartphones and tablets. During the year, the company expanded its presence across the school segment by adding an Interactive Networked Knowledge (INK) platform targeting students in classes Vth to VIIIth. The Company targets students from CBSE, ICSE and state boards for this segment, in line with its brick and mortar school model. During the fiscal, the company expanded the geographical reach of the school division in other cities in Maharashtra such as Pune and Kolhapur. Pursuant to the Share Purchase Agreement signed with the existing shareholders of Lakshya Forum for Competitions Pvt. Ltd (LFCPL), MT Educare acquired 51% stake in LFCPL effective 1 April 2013. This gave the company a foothold in the North-Indian IIT and medical entrance exam test preparation market along with the required expertise and course content to launch JEE Advanced coaching in West and South India. The company started batches for JEE Advanced in Mumbai and Pune under the brand lakshya', for the first time in its history under the subsidiary, Lakshya Educare Pvt. Ltd, which represents a significant step forward since the company is now able to provide coaching for all entrance exams in respect of engineering and medical streams. The company operationalized 5 additional Pre-University (PU) College tie-ups in the state of Karnataka at Belgaum, Bengaluru, Davangere, Gulbarga and Mysore, taking the total operational PU college tie-ups to 9 by the end of FY13-14. During the year ended 31 March 2015, the company focused on developing the CBSE & ICSE business verticals as a pillar of strength to enable rapid scalability of operations in the school segment across various states in India. During the year, the company completed the construction of state of the art PU (Pre-University) Campus at Mangalore. Phase II of Hostel facility with a capacity of over 500 students became operational from June 2014. Later in the year, the campus was sold and leased back. The sale consideration was Rs 5500 lakhs. The lease back deal entails continuation of MT Educare's operating and management rights in premises for a period of 15 years. The company continued to focus on pre-university model to grow in the Science division. The number of student serviced in the IIT business increased by 158% from 819 in FY14 to 2,111 in FY15. The number of student serviced under commerce segment declined by 14% from 27,393 in FY14 to 23,668 in FY15 as a result of a conscious strategy of moving out of the basic graduation coaching space i.e. FY, SY, TY B.Com / BMS, CS. During the year, company entered into an arrangement with Sri Gayatri Educational Society (Sri Gayatri). Sri Gayatri is one of the leading educational institutions for the intermediate section (XI-XII) in the states of Telangana and Andhra Pradesh. Through this arrangement, MT Educare will provide to Sri Gayatri, the expertise in teacher training, study material, technology aided teaching methods and in development of digital content on the lines of 'Robomate'. MT Educare and Sri Gayatri jointly plan to tap the growing potential in the Engineering and Medical aspirants market through various technology initiatives. Robomate was distributed to and used by students during the year across all verticals. During the year, content digitization for ICSE / CBSE, Std. XI, XII and JEE Advanced Robomate was completed. The company during the year executed a project under the MANAS (Maulana Azad National Academy for Skills) which is governed under NMDFC and trained 1550 students successfully. During the year ended 31 March 2016, MT Educare focused on developing the CBSE & ICSE business verticals as a pillar to enable rapid scalability of operations in the school segment across all states in India. It also augmented tie up with local coaching classes in tier-III and tier-IV towns in Rest of Maharashtra and Gujarat through sale of Robomate to their students & providing TAT and teacher training. 20 such tie ups concluded and revenue started in FY16. In December 2015, the company launched 'Robomate+', an app containing video lectures by expert faculties available online. It helps students to revise and sharpen the concepts by viewing lectures repeatedly to their satisfaction facilitating flexibility of time and convenience. 'Robomate+' showcases the company's wide service offerings and state-of-art Learning Management System (LMS). During the year ended 31 March 2017, MT Educare associated with Amitabh Bachchan as its brand endorser for promotion of Robomate+ and invested Rs 14 crore during the year. 'Robomate+' App achieved over 300,000 downloads and over 225,000 registrations by May, 2016. This has contributed to robust growth for the segment. Robomate+ is an educational technology edutech platform, which enables content creation, enhances classroom delivery, report performance analysis and helps in administrative management. The shareholders MT Educare through Postal Ballot Process, the result of which was declared on March 24, 2017 approved the transfer of Robomate' business undertaking to its wholly-owned subsidiary viz. Robomate EduTech Private Limited. Read More