The iCollege Ltd (ASX: ICT) share price is entering the stratosphere today following the release of its quarterly update. At the time of writing, the education and training solutions company's shares are fetching for 15 cents, up 15.3%.
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How did iCollege perform for Q3?
Investors are driving iCollege shares higher after the company delivered a robust result for the period.
According to its release, iCollege reported a record quarterly revenue of $4.55 million, reflecting a 52% increase on the prior corresponding period (pcp). The outstanding result primarily came from its domestic student business which saw growth for existing qualifications and early interest in new course offerings. Health and community services courses, in particular, saw significant increases in student numbers.
International student enrolments continued to contribute over $1.5 million in enrolment value for the quarter. iCollege is hoping to welcome back overseas students in the midterm as international border restrictions are relaxed.
Earnings before interest, tax, depreciation and amortisation (EBITDA) jumped to $3.02 million for Q3. This brings the total year-to-date EBITDA for the 3 quarters to $13.37 million.
The company highlighted that its state-of-the-art Perth Bayswater Campus has been completed. The facility can accommodate up to 760 international students and is expected to create additional revenue streams.
Furthermore, iCollege noted sound progress in its Aegis and Pharmacy Guild contracts, training staff on the infection control nationally accredited skillset. iCollege believes that marketing spend and partnership expansion in aged care, hospitality, building and construction will lead to sustained growth.
iCollege closed the quarter with $5.17 million in cash, with minimal debt obligations.
Management commentary
iCollege managing director, Ashish Katta touched on the company's record performance, saying:
Q3 2021 has been another successful quarter for iCollege and our record financial results reflect this. The domestic training operations continue to perform well and are growing favourably. Obviously, with international borders remaining closed, our international student business is limited to onshore international recruitment activities which remain stable month-on-month.
We expect the final quarter of FY 2021 to provide a strong finish to the year. Through the efforts of the Company's leadership team and all of our staff across the country, iCollege is thriving through this challenging time and I am very proud to be at the helm of the Company given our numerous exciting growth prospects.
About the iCollege share price
The iCollege share price has accelerated over 300% in the past 12 months and is up 50% this year alone. The company's shares are within sights of its multi-year high of 17 cents reached in February 2021.
On valuation grounds, iCollege has a market capitalisation of roughly $87.2 million, with about 581.5 million shares on issue.
