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RedHill Education

ASX:RDH
Snowflake Description

Solid track record with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
RDH
ASX
A$80M
Market Cap
  1. Home
  2. AU
  3. Consumer Services
Company description

RedHill Education Limited engages in the various education businesses in Australia. The last earnings update was 125 days ago. More info.


Add to Portfolio Compare Print
  • RedHill Education has significant price volatility in the past 3 months.
RDH Share Price and Events
7 Day Returns
0%
ASX:RDH
4.2%
AU Consumer Services
0.7%
AU Market
1 Year Returns
23.2%
ASX:RDH
5.6%
AU Consumer Services
-4.5%
AU Market
RDH Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
RedHill Education (RDH) 0% 2.8% -20% 23.2% 225% 251.4%
AU Consumer Services 4.2% 14.2% 9.5% 5.6% -27.4% -13.5%
AU Market 0.7% 6.4% -1% -4.5% 19.5% 3.7%
1 Year Return vs Industry and Market
  • RDH outperformed the Consumer Services industry which returned 5.6% over the past year.
  • RDH outperformed the Market in Australia which returned -4.5% over the past year.
Price Volatility
RDH
Industry
5yr Volatility vs Market

RDH Value

 Is RedHill Education undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of RedHill Education to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for RedHill Education.

ASX:RDH Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.5%
Perpetual Growth Rate 10-Year AU Government Bond Rate 2.3%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for ASX:RDH
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year AU Govt Bond Rate 2.3%
Equity Risk Premium S&P Global 7.7%
Consumer Services Unlevered Beta Simply Wall St/ S&P Global 0.94
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.938 (1 + (1- 30%) (0.05%))
0.938
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.94
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.31% + (0.938 * 7.69%)
9.52%

Discounted Cash Flow Calculation for ASX:RDH using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for RedHill Education is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

ASX:RDH DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (AUD, Millions) 5.00 6.50 7.65 8.95 10.38
Source Analyst x2 Analyst x2 Analyst x2 Est @ 17%, capped from 25.64% Est @ 16%, capped from 25.64%
Present Value
Discounted (@ 9.52%)
4.57 5.42 5.82 6.22 6.59
Present value of next 5 years cash flows A$28.62
ASX:RDH DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= A$10.38 × (1 + 2.31%) ÷ (9.52% – 2.31%)
A$147.33
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= A$147.33 ÷ (1 + 9.52%)5
A$93.49
ASX:RDH Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= A$28.62 + A$93.49
A$122.11
Equity Value per Share
(AUD)
= Total value / Shares Outstanding
= A$122.11 / 30.77
A$3.97
ASX:RDH Discount to Share Price
Calculation Result
Value per share (AUD) From above. A$3.97
Current discount Discount to share price of A$2.60
= -1 x (A$2.60 - A$3.97) / A$3.97
34.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price RedHill Education is available for.
Intrinsic value
34%
Share price is A$2.6 vs Future cash flow value of A$3.97
Current Discount Checks
For RedHill Education to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • RedHill Education's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • RedHill Education's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for RedHill Education's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are RedHill Education's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
ASX:RDH PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-06-30) in AUD A$0.12
ASX:RDH Share Price ** ASX (2019-01-23) in AUD A$2.6
Australia Consumer Services Industry PE Ratio Median Figure of 11 Publicly-Listed Consumer Services Companies 16.66x
Australia Market PE Ratio Median Figure of 557 Publicly-Listed Companies 15.14x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of RedHill Education.

ASX:RDH PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= ASX:RDH Share Price ÷ EPS (both in AUD)

= 2.6 ÷ 0.12

22.55x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • RedHill Education is overvalued based on earnings compared to the AU Consumer Services industry average.
  • RedHill Education is overvalued based on earnings compared to the Australia market.
Price based on expected Growth
Does RedHill Education's expected growth come at a high price?
Raw Data
ASX:RDH PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 22.55x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
19.6%per year
Australia Consumer Services Industry PEG Ratio Median Figure of 6 Publicly-Listed Consumer Services Companies 1.2x
Australia Market PEG Ratio Median Figure of 358 Publicly-Listed Companies 1.37x

*Line of best fit is calculated by linear regression .

ASX:RDH PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 22.55x ÷ 19.6%

1.15x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • RedHill Education is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on RedHill Education's assets?
Raw Data
ASX:RDH PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-06-30) in AUD A$0.56
ASX:RDH Share Price * ASX (2019-01-23) in AUD A$2.6
Australia Consumer Services Industry PB Ratio Median Figure of 20 Publicly-Listed Consumer Services Companies 2.51x
Australia Market PB Ratio Median Figure of 1,662 Publicly-Listed Companies 1.63x
ASX:RDH PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= ASX:RDH Share Price ÷ Book Value per Share (both in AUD)

= 2.6 ÷ 0.56

4.68x

* Primary Listing of RedHill Education.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • RedHill Education is overvalued based on assets compared to the AU Consumer Services industry average.
X
Value checks
We assess RedHill Education's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Services industry average (and greater than 0)? (1 check)
  5. RedHill Education has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

RDH Future Performance

 How is RedHill Education expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
19.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is RedHill Education expected to grow at an attractive rate?
  • RedHill Education's earnings growth is expected to exceed the low risk savings rate of 2.3%.
Growth vs Market Checks
  • RedHill Education's earnings growth is expected to exceed the Australia market average.
  • RedHill Education's revenue growth is expected to exceed the Australia market average.
Annual Growth Rates Comparison
Raw Data
ASX:RDH Future Growth Rates Data Sources
Data Point Source Value (per year)
ASX:RDH Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 19.6%
ASX:RDH Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 11.2%
Australia Consumer Services Industry Earnings Growth Rate Market Cap Weighted Average 31.8%
Australia Consumer Services Industry Revenue Growth Rate Market Cap Weighted Average 7.8%
Australia Market Earnings Growth Rate Market Cap Weighted Average 5.7%
Australia Market Revenue Growth Rate Market Cap Weighted Average 2.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
ASX:RDH Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in AUD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
ASX:RDH Future Estimates Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-06-30 96 1
2022-06-30 88 1
2021-06-30 79 10 6 2
2020-06-30 71 9 5 2
2019-06-30 62 7 4 2
ASX:RDH Past Financials Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income *
2018-06-30 55 8 4
2018-03-31 52 8 3
2017-12-31 49 8 3
2017-09-30 45 6 2
2017-06-30 41 5 2
2017-03-31 38 4 1
2016-12-31 34 3 0
2016-09-30 31 2 0
2016-06-30 28 0 0
2016-03-31 26 0 1
2015-12-31 24 0 1
2015-09-30 24 2 1

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • RedHill Education's earnings are expected to grow by 19.6% yearly, however this is not considered high growth (20% yearly).
  • RedHill Education's revenue is expected to grow by 11.2% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
ASX:RDH Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from RedHill Education Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:RDH Future Estimates Data
Date (Data in AUD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-06-30
2022-06-30
2021-06-30 0.19 0.19 0.19 2.00
2020-06-30 0.16 0.16 0.16 2.00
2019-06-30 0.12 0.13 0.12 2.00
ASX:RDH Past Financials Data
Date (Data in AUD Millions) EPS *
2018-06-30 0.12
2018-03-31 0.11
2017-12-31 0.10
2017-09-30 0.08
2017-06-30 0.06
2017-03-31 0.04
2016-12-31 0.01
2016-09-30 0.01
2016-06-30 0.01
2016-03-31 0.02
2015-12-31 0.03
2015-09-30 0.04

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • RedHill Education is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess RedHill Education's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Australia market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Australia market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
RedHill Education has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

RDH Past Performance

  How has RedHill Education performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare RedHill Education's growth in the last year to its industry (Consumer Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • RedHill Education's year on year earnings growth rate has been positive over the past 5 years.
  • RedHill Education's 1-year earnings growth exceeds its 5-year average (102.1% vs 7.5%)
  • RedHill Education's earnings growth has exceeded the AU Consumer Services industry average in the past year (102.1% vs 24.1%).
Earnings and Revenue History
RedHill Education's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from RedHill Education Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:RDH Past Revenue, Cash Flow and Net Income Data
Date (Data in AUD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-06-30 54.59 3.51 9.04
2018-03-31 51.97 3.28 8.60
2017-12-31 49.36 3.04 8.16
2017-09-30 45.41 2.39 7.93
2017-06-30 41.47 1.74 7.70
2017-03-31 37.57 1.08 7.32
2016-12-31 33.67 0.43 6.93
2016-09-30 30.99 0.38 6.52
2016-06-30 28.32 0.33 6.11
2016-03-31 26.37 0.60 5.66
2015-12-31 24.41 0.88 5.21
2015-09-30 23.60 1.26 4.84
2015-06-30 22.79 1.65 4.48
2015-03-31 22.10 3.32 4.32
2014-12-31 21.41 4.99 4.17
2014-09-30 20.31 4.91 4.08
2014-06-30 19.22 4.82 3.99
2014-03-31 18.17 2.54 3.93
2013-12-31 17.12 0.26 3.88
2013-09-30 16.61 -0.31 3.86
2013-06-30 16.10 -0.87 3.85
2013-03-31 15.76 -4.38 3.87
2012-12-31 15.41 -7.89 3.89
2012-09-30 14.95 -8.14 3.90
2012-06-30 14.48 -8.38 3.90
2012-03-31 14.44 -5.66 4.02

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • RedHill Education has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • RedHill Education used its assets less efficiently than the AU Consumer Services industry average last year based on Return on Assets.
  • RedHill Education has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess RedHill Education's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
RedHill Education has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

RDH Health

 How is RedHill Education's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up RedHill Education's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • RedHill Education's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • RedHill Education's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of RedHill Education's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 623.8x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from RedHill Education Company Filings, last reported 6 months ago.

ASX:RDH Past Debt and Equity Data
Date (Data in AUD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-06-30 17.05 0.04 10.12
2018-03-31 17.05 0.04 10.12
2017-12-31 15.33 0.01 9.09
2017-09-30 15.33 0.01 9.09
2017-06-30 14.48 0.07 6.37
2017-03-31 14.48 0.07 6.37
2016-12-31 12.74 0.06 3.55
2016-09-30 12.74 0.06 3.55
2016-06-30 12.71 0.11 4.91
2016-03-31 12.71 0.11 4.91
2015-12-31 12.30 0.15 2.96
2015-09-30 12.30 0.15 2.96
2015-06-30 12.32 0.20 6.71
2015-03-31 12.32 0.20 6.71
2014-12-31 11.42 0.13 6.49
2014-09-30 11.42 0.13 6.49
2014-06-30 10.66 0.16 6.03
2014-03-31 10.66 0.16 6.03
2013-12-31 6.38 0.00 4.22
2013-09-30 6.38 0.00 4.22
2013-06-30 5.79 0.00 3.96
2013-03-31 5.79 0.00 3.96
2012-12-31 6.08 0.00 2.95
2012-09-30 6.08 0.00 2.95
2012-06-30 6.66 0.00 3.21
2012-03-31 6.66 0.00 3.21
  • RedHill Education's level of debt (0.2%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0% vs 0.2% today).
  • Debt is well covered by operating cash flow (19528.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 5649x coverage).
X
Financial health checks
We assess RedHill Education's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. RedHill Education has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

RDH Dividends

 What is RedHill Education's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.54%
Current annual income from RedHill Education dividends. Estimated to be 2.48% next year.
If you bought A$2,000 of RedHill Education shares you are expected to receive A$31 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • RedHill Education's pays a lower dividend yield than the bottom 25% of dividend payers in Australia (2.66%).
  • RedHill Education's dividend is below the markets top 25% of dividend payers in Australia (6.16%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
ASX:RDH Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
Australia Consumer Services Industry Average Dividend Yield Market Cap Weighted Average of 11 Stocks 3.1%
Australia Market Average Dividend Yield Market Cap Weighted Average of 421 Stocks 4.6%
Australia Minimum Threshold Dividend Yield 10th Percentile 1.7%
Australia Bottom 25% Dividend Yield 25th Percentile 2.7%
Australia Top 25% Dividend Yield 75th Percentile 6.2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

ASX:RDH Future Dividends Estimate Data
Date (Data in A$) Dividend per Share (annual) Avg. No. Analysts
2023-06-30 0.08 1.00
2022-06-30 0.08 1.00
2021-06-30 0.07 2.00
2020-06-30 0.06 2.00
2019-06-30 0.05 2.00
ASX:RDH Past Annualized Dividends Data
Date (Data in A$) Dividend per share (annual) Avg. Yield (%)
2018-09-20 0.040 1.380
2018-08-24 0.040 1.141
2018-02-20 0.040 1.392
2017-09-26 0.020 1.010
2017-08-24 0.020 1.292

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • RedHill Education is not paying a notable dividend for Australia, therefore no need to check if the payments are stable.
  • RedHill Education is not paying a notable dividend for Australia, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of RedHill Education's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of RedHill Education's dividends as it is not paying a notable one for Australia.
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).
X
Income/ dividend checks
We assess RedHill Education's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.7%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can RedHill Education afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. RedHill Education has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

RDH Management

 What is the CEO of RedHill Education's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Glenn Elith
COMPENSATION A$522,281
TENURE AS CEO 6.7 years
CEO Bio

Mr. Glenn Elith, B Bus (UTS), CA has been the Chief Executive Officer, Managing Director and Executive Director of Redhill Education Limited since May 11, 2012 and served as its Chief Financial Officer since January 9, 2012. Mr. Elith served as a Company Secretary of Redhill Education Limited from July 25, 2017 to September 21, 2017. He served as an Acting Chief Executive Officer of Redhill Education Limited from March 2012 to May 11, 2012 and also served as its Company Secretary from January 9, 2012 to July 2012. He has worked at large organisations including Lion Nathan (now, Lion Pty Ltd) and George Weston Foods and at high-growth entrepreneurial businesses including specialty retailer Macro Wholefoods Market (now, owned by Woolworths Limited). He have broad finance experience in a number of industries including start-ups. He is a Chartered Accountant. He holds B.Bus from UTS.

CEO Compensation
  • Glenn's compensation has been consistent with company performance over the past year.
  • Glenn's remuneration is higher than average for companies of similar size in Australia.
Management Team Tenure

Average tenure of the RedHill Education management team in years:

3.3
Average Tenure
  • The tenure for the RedHill Education management team is about average.
Management Team

Glenn Elith

TITLE
CEO, MD & Executive Director
COMPENSATION
A$522K
TENURE
6.7 yrs

Gabriel Providel

TITLE
General Manager of Technology & Design Division
TENURE
3.3 yrs

Lisa Jones

TITLE
Company Secretary
TENURE
1.3 yrs
Board of Directors Tenure

Average tenure of the RedHill Education board of directors in years:

7.2
Average Tenure
  • The tenure for the RedHill Education board of directors is about average.
Board of Directors

Bill Beerworth

TITLE
Non-Executive Chairman
COMPENSATION
A$160K
AGE
72

Glenn Elith

TITLE
CEO, MD & Executive Director
COMPENSATION
A$522K
TENURE
6.7 yrs

Will Deane

TITLE
Independent Non-Executive Director
COMPENSATION
A$95K
TENURE
12.5 yrs

Chris Clark

TITLE
Independent Non-Executive Director
COMPENSATION
A$85K
TENURE
7.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (A$) Value (A$)
14. Dec 18 Buy Pendal Group Limited Company 16. Nov 18 12. Dec 18 410,442 A$3.14 A$1,028,006
14. Nov 18 Buy Pengana Capital Ltd. Company 25. Jul 18 26. Jul 18 249,807 A$3.17 A$784,214
13. Nov 18 Buy Pendal Group Limited Company 27. Sep 18 07. Nov 18 149,389 A$3.38 A$482,041
29. Oct 18 Sell Regal Funds Management Pty Limited Company 25. Oct 18 25. Oct 18 -500,000 A$3.25 A$-1,625,000
17. Oct 18 Sell UBS Asset Management Company 11. Oct 18 11. Oct 18 -2,357 A$3.43 A$-8,085
17. Oct 18 Buy UBS Asset Management Company 11. Oct 18 15. Oct 18 801,360 A$3.58 A$2,771,168
15. Oct 18 Sell Merrill Lynch & Co. Inc., Banking Investments Company 11. Oct 18 11. Oct 18 -500,000 A$3.45 A$-1,725,000
12. Oct 18 Sell UBS Asset Management Company 05. Oct 18 10. Oct 18 -800,186 A$3.95 A$-2,984,734
12. Oct 18 Buy UBS Asset Management Company 10. Sep 18 09. Oct 18 325,838 A$3.84 A$1,175,003
12. Oct 18 Sell Merrill Lynch & Co. Inc., Banking Investments Company 10. Sep 18 10. Sep 18 -300,000 A$3.59 A$-1,077,000
12. Oct 18 Buy Merrill Lynch & Co. Inc., Banking Investments Company 10. Oct 18 10. Oct 18 400,000 A$3.73 A$1,492,000
10. Sep 18 Buy UBS Asset Management Company 03. Aug 18 31. Aug 18 32,326 A$3.63 A$108,739
10. Sep 18 Sell UBS Asset Management Company 09. May 18 04. Sep 18 -100,523 A$3.75 A$-285,142
30. Aug 18 Buy Pendal Group Limited Company 19. Mar 18 28. Aug 18 367,889 A$3.45 A$1,028,484
09. Aug 18 Sell Perpetual Limited Company 30. Jan 18 07. Aug 18 -1,421,221 A$3.14 A$-4,457,451
09. Aug 18 Buy Perpetual Limited Company 21. Feb 18 26. Jul 18 54,283 A$2.49 A$135,276
04. Apr 18 Sell Acorn Capital Limited Company 14. Mar 18 03. Apr 18 -226,610 A$2.89 A$-600,542
16. Mar 18 Buy Pendal Group Limited Company 14. Nov 17 14. Mar 18 1,555,760 A$2.46 A$2,984,242
07. Mar 18 Sell Regal Funds Management Pty Limited Company 21. Jun 12 09. Feb 16 -4,751,152 A$1.57 A$-7,445,443
07. Mar 18 Buy Regal Funds Management Pty Limited Company 13. Dec 11 09. Feb 16 4,846,072 A$0.90 A$4,354,711
04. Mar 18 Sell Glenn Elith Individual 01. Mar 18 01. Mar 18 -150,000 A$2.50 A$-375,000
08. Feb 18 Buy Pengana Capital Ltd. Company 22. Nov 17 29. Jan 18 2,059,468 A$2.10 A$4,255,405
31. Jan 18 Buy Perpetual Limited Company 03. Nov 16 29. Jan 18 2,194,422 A$1.93 A$4,242,543
29. Jan 18 Sell Lourdes Lynn Individual 29. Jan 18 29. Jan 18 -1,977,560 A$2.10 A$-4,152,877
29. Jan 18 Sell Edward Keller Individual 02. Aug 17 29. Jan 18 -1,712,106 A$2.10 A$-3,881,622
X
Management checks
We assess RedHill Education's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. RedHill Education has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

RDH News

Simply Wall St News

RedHill Education Limited (ASX:RDH): What's The Analyst Consensus Outlook?

In June 2018, RedHill Education Limited (ASX:RDH) announced its most recent earnings update, whicha

Simply Wall St -

Need To Know: RedHill Education Limited (ASX:RDH) Insiders Have Been Selling Shares

So we'll take a look at whether insiders have been buying or selling shares in RedHill Education Limited (ASX:RDH). … RedHill Education Insider Transactions Over The Last Year. … In total, RedHill Education insiders sold more than they bought over the last year.

Simply Wall St -

Investors Are Undervaluing RedHill Education Limited (ASX:RDH) By 48.82%

In this article I am going to calculate the intrinsic value of RedHill Education Limited (ASX:RDH). … by taking the expected future cash flows and discounting them to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

RedHill Education Limited (ASX:RDH) Delivered A Better ROE Than Its Industry

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows RedHill Education has a return on equity of 21% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

How Much Of RedHill Education Limited (ASX:RDH) Do Insiders Own?

If you want to know who really controls RedHill Education Limited (ASX:RDH), then you'll have to look at the makeup of its share registry. … With a market capitalization of AU$75m, RedHill Education is a small cap stock, so it might not be well known by many institutional investors. … View our latest analysis for RedHill Education

Simply Wall St -

What Should You Know About RedHill Education Limited's (ASX:RDH) Return On Capital?

Your equity share is granted in return for the capital provided to the business to operate, and in order for an investment to be successful the business has to create earnings from the funds that make up this capital. … You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … To understand RedHill Education’s capital returns we will look at a useful metric called return on capital employed.

Simply Wall St -

Something To Consider Before Buying RedHill Education Limited (ASX:RDH) For The 1.6% Dividend

A large part of investment returns can be generated by dividend-paying stock given their role in compounding returns over time. … RedHill Education Limited (ASX:RDH) has begun paying dividends recently. … Let's dig deeper into whether RedHill Education should have a place in your portfolio.

Simply Wall St -

Why RedHill Education Limited (ASX:RDH) Could Have A Place In Your Portfolio

RedHill Education Limited (ASX:RDH) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … In the case of RDH, it

Simply Wall St -

Want To Invest In RedHill Education Limited (ASX:RDH) Today? Read This First

Growth expectations for RedHill Education Limited (ASX:RDH) are high, but many investors are starting to ask whether its last close at A$3 can still be rationalized by the future potential. … Let’s take a look at some key metrics to determine whether there's any value here for current and potential future investors. … RedHill Education is poised for significantly high earnings growth in the near future

Simply Wall St -

How Should Investors Feel About RedHill Education Limited's (ASX:RDH) CEO Pay?

This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. … According to our data, RedHill Education Limited has a market capitalization of AU$105m, and pays its CEO total annual compensation worth AU$495k. … As you can see, Glenn Elith is paid more than the median CEO pay at companies of a similar size, in the same market

Simply Wall St -

RDH Company Info

Map
Description

RedHill Education Limited engages in the various education businesses in Australia. It operates in three segments: Technology & Design, Greenwich, and Go Study. The Technology & Design segment provides face-to-face and online courses in information technology, digital design, interactive multimedia, computer coding, digital marketing, games and apps programming, and interior design. The Greenwich segment offers English language intensive courses, and vocational education and training courses for international students. The Go Study segment provides international student advisory recruitment agency services in Australia, Europe, and South America. The company was founded in 2006 and is headquartered in Ultimo, Australia.

Details
Name: RedHill Education Limited
RDH
Exchange: ASX
Founded: 2006
A$79,991,301
30,765,885
Website: http://www.redhilleducation.com
Address: RedHill Education Limited
7 Kelly Street,
Level 2,
Ultimo,
New South Wales, 2007,
Australia
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
ASX RDH Ordinary Shares Australian Securities Exchange AU AUD 21. Sep 2010
CHIA RDH Ordinary Shares Chi-X Australia AU AUD 21. Sep 2010
Number of employees
Current staff
Staff numbers
0
RedHill Education employees.
Industry
Education Services
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/01/23 10:34
End of day share price update: 2019/01/23 00:00
Last estimates confirmation: 2018/12/06
Last earnings filing: 2018/09/20
Last earnings reported: 2018/06/30
Last annual earnings reported: 2018/06/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.