- Due to the effects COVID-19, iCollege (ICT) implemented specific measures to deliver online education and maintain adequate revenue and cashflow
- The vocational education company saw a dip in revenue for March and April, but May revenue and cash surprisingly climbed back to a pre-pandemic range
- iCollege expected $751,000 in cash receipts for May however it received $1.16 million
- Cash at bank by the end of May came in at $521,000 as opposed to the expected $396,000
- Pleasingly, iCollege maintained 95 per cent of its international student base, and is lobbying for further funding from the Federal Government
- As restrictions have started to relax, the company is ramping up on-campus learning for students
- iCollege is currently up 5.41 per cent with shares trading for 3.9 cents each
iCollege (ICT) has announced where the company stands post-coronavirus, as it maintains international student numbers amid a slight revenue dip.
The vocational education company implemented a coronavirus plan to deliver courses online and is now rebuilding its schedule of face-to-face practical coursework components.
The company moved all training and course work online during the last week of March, with all physical campuses closing around the same time.
Like many others, iCollege's revenues were impacted by COVID-19, particularly during March and April. However, the company stated its cashflows have "remained strong" during that period. It experienced a climb aligning with pre-pandemic results.
To shed some light, revenue for the month of May came in at $1.16 million, whereas iCollege expected cash receipts of $751,000.
Additionally, expected cash at bank was $396,000 compared to actual cash at bank of $521,000 at the end of May.
The company attributed the revenue downturn to the closure of borders affecting international student numbers, along with the suspension of its prison training program.
The closure of several hospitality outlets around campuses, alongside the general closure of hospitality venues nationwide, also led to a downturn in student numbers. Traditionally, many of iCollege’s students work hospitality jobs to support themselves during study.
However, COVID-19 did not affect the company’s ability to deliver course work to domestic students, whose courses are funded through the government.
iCollege has also been working with other international vocational training institutions to lobby the commonwealth for further funding and support to the sector, to assist during the expected prolonged downturn in international student numbers.
The company has managed to retain some 95 per cent of its international student base
iCollege’s Managing Director Ashish Katta said the company had responded well to the challenges posed by the pandemic.
"Our focus now turns to preparing physical campuses for the gradual return of students and we have a well-developed plan to ensure we manage this very efficiently and safely" Ashish commented.
iCollege is currently up 5.41 per cent with shares trading for 3.9 cents each at 10:12 am AEST.