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Kip McGrath Education Centres Limited (AU:KME)
ASX:KME
Australian Market
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Kip McGrath Education Centres Limited (KME) Price & Analysis

4 Followers

KME Stock Chart & Stats

AU$0.60
<AU$0.01(1.09%)
At close: 4:00 PM EST
AU$0.60
<AU$0.01(1.09%)

Bulls Say, Bears Say

Bulls Say
Franchise Business ModelA franchise model creates recurring revenue streams (ongoing royalties, initial fees, materials) and scales via third-party operators. This structure reduces capital intensity for the company, aligns incentives with franchisees, and supports durable cashflows as the network grows or stabilises.
Strong Free Cash Flow GenerationMeaningful FCF growth and healthy cash conversion indicate the business converts operations into cash despite accounting losses. Durable cash generation enables reinvestment in franchisee support, product development, or to absorb near-term losses without needing external financing.
Conservative LeverageVery low leverage provides financial flexibility and a buffer during revenue weakness. It reduces fixed financing costs and leaves capacity to fund strategic initiatives or support franchisees, making the company structurally more resilient to cyclical shocks or required investments.
Bears Say
Negative Net Profit MarginA sustained negative net margin signals the company is not converting operational results into shareholder profit after all costs. Over the medium term this undermines retained earnings, limits reinvestment capacity, and requires structural cost or revenue improvements to restore profitability.
Declining Revenue TrendFalling revenue reduces scale benefits for a franchise model (fewer students/fees), pressures fixed-cost absorption, and makes margin recovery harder. If the top line continues to contract, franchise recruitment and materials sales may slow, impairing long-term growth prospects.
Negative Return On EquityA large negative ROE indicates the business destroys shareholder capital rather than creating it. Persistently poor ROE discourages reinvestment, raises questions about operational leverage and pricing, and suggests management must address structural profitability or capital allocation.

Kip McGrath Education Centres Limited News

KME FAQ

What was Kip McGrath Education Centres Limited’s price range in the past 12 months?
Kip McGrath Education Centres Limited lowest share price was AU$0.41 and its highest was AU$0.66 in the past 12 months.
    What is Kip McGrath Education Centres Limited’s market cap?
    Kip McGrath Education Centres Limited’s market cap is AU$25.46M.
      When is Kip McGrath Education Centres Limited’s upcoming earnings report date?
      Kip McGrath Education Centres Limited’s upcoming earnings report date is Aug 25, 2026 which is in 32 days.
        How were Kip McGrath Education Centres Limited’s earnings last quarter?
        Kip McGrath Education Centres Limited released its earnings results on Feb 25, 2026. The company reported AU$0.027 earnings per share for the quarter, beating the consensus estimate of N/A by AU$0.027.
          Is Kip McGrath Education Centres Limited overvalued?
          According to Wall Street analysts Kip McGrath Education Centres Limited’s price is currently Overvalued. Get more investment ideas with TipRanks Premium
            Does Kip McGrath Education Centres Limited pay dividends?
            Kip McGrath Education Centres Limited pays a Semiannually dividend of AU$0.01 which represents an annual dividend yield of 3.07%. See more information on Kip McGrath Education Centres Limited dividends here
              What is Kip McGrath Education Centres Limited’s EPS estimate?
              Kip McGrath Education Centres Limited’s EPS estimate for its next earnings report is not yet available.
              How many shares outstanding does Kip McGrath Education Centres Limited have?
              Kip McGrath Education Centres Limited has 52,490,810 shares outstanding.
                What happened to Kip McGrath Education Centres Limited’s price movement after its last earnings report?
                Kip McGrath Education Centres Limited reported an EPS of AU$0.027 in its last earnings report, beating expectations of N/A. Following the earnings report the stock price went down -1.976%.
                  Which hedge fund is a major shareholder of Kip McGrath Education Centres Limited?
                  Currently, no hedge funds are holding shares in AU:KME
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Kip McGrath Education Centres Limited Stock Smart Score

                    Company Description

                    Kip McGrath Education Centres Limited

                    Kip McGrath Education Centres Limited is a global provider of English and Mathematics educational support, with operations spanning Australia, New Zealand, the United Kingdom, and numerous other international markets. The company specializes in offering targeted tutoring in both English and Maths for students at primary and secondary school levels, alongside an extensive range of online learning services. Operating primarily through a broad franchise network, Kip McGrath oversees approximately 560 learning centers. The organization was established in 1976 and is headquartered in Newcastle, Australia.

                    Kip McGrath Education Centres Limited (KME) Earnings & Revenues

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