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Tree House Education Q2FY14 net profit rises to Rs 11.47 crore

Tree House Education and Accessories Limited (Tree House), India's largest self-operated pre-school chain, plans to open 100 self- operated centres in the current financial year, out of which it has already opened 22.
Mr. Rajesh Bhatia, Promoter and Managing Director, TreeHouse said, " Treehouse is spreading its roots across the country. We are now present in 18 of the top 20 cities in India, with market leadership in 9 of these in terms of center penetration. We have identified the cities where we plan to grow in the next 6 months. We plan to open 100 self-operated centers in the current financial year, of which we have already opened 22. We would be announcing asset sales within the next 6 months. Becoming asset light shall increase the efficiency of capital employed and free capital resources for future growth. We continue to strengthen our curriculum and content delivery and are looking forward to maintaining growth over the coming year."
The ratio of self operated pre-schools to total pre-schools is 75.59 per cent. Currently present in 55 cities in India, the new cities where centres were launched in the quarter are: Jabalpur, Indore, Khopoli, Ichalkaranji and Ghaziabad.
"Treehouse is spreading its roots across the country. We are now present in 18 of the top 20 cities in India, with market leadership in 9 of these in terms of centre penetration.We have identified cities where we plan to grow in the next six months. We plan to open 100 self-operated centres in the current financial year, of which we have already opened 22," Bhatia said.
The company would announce asset sales within the next six months to increase the efficiency of capital employed and free capital resources for future growth. The company would continue to strengthen its curriculum and content delivery to maintain growth over the coming year, he said.
Tree House reported net profit of Rs 11.47 crore in the second quarter of FY2014 as compared to Rs 9.93 crore for the second quarter of FY2013, representing 15.50 per cent year on year growth.
Revenues from operations for the second quarter of FY2014 stood at Rs 41.29 crore as compared to Rs 28.28 crore for the second quarter of FY2013, representing 46 per cent year on year growth.
Operational EBITDA for the Q2 of FY2014 is Rs 22.93 crore as against Rs 15.52 crore for the second quarter of FY2013, representing 47.74 per cent year on year growth.

Tree House Education & Accessories Limited
Tree House Education & Accessories Limited (NSE code: TREE HOUSE; BSE code: 533540, MCX-SX; TREEHOUSE) runs quality preschools and also provides educational services to K-12 schools throughout the country. Tree House has revolutionized the concept of pre-school pedagogy in India through the use of innovative teaching methods and child-focused personal care.

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