In early childhood the first three months of the calendar year can see centres struggle to fill the vacancies created by the children leaving to enter formal schooling. These vacancies usually start to fill when (a) parents returning to study access their university/ Tafe timetable (b) when older siblings return to formal schooling after their summer break. These months create a need for tight control on staff to child ratios to ensure that margins are maintained.
During the period we are talking about, their income increased by 61.73% but payments to staff and suppliers increased by 67.89% (these are rough calculations) During and after takeovers corporates, to enhance a smooth transition with staff and families, usually always leave the staff unchanged. However, if the centre, after 12 months is still over numbers in its staff to child ratio I would assume, that staff changes would be made. If payments to suppliers increased it would be because there would have been lots of buys from owner/operators who would have done the grounds, cleaning, maintenance etc themselves, where now G8 would be contracting out those tasks. Their interest payments have increased around 291%, which is understandable and is a reflection of the borrowings.
The last 6 months of the year are much more profitable. Hope this helps but as always DYOR.
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In early childhood the first three months of the calendar year...
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