The Idp Education Ltd (ASX: IEL) share price hit a record high today as investors warm to the growth prospects of the university student placement and English language testing business.
IDP Education hit the ASX boards in November 2015 after being sold by online jobs portal SEEK Limited (ASX: SEK) and a group of other investors with the stock's issue price being $2.65 per share.
Since then it has nearly doubled in value to sell for $5.17 per share as it continues to enjoy the tailwind of more demand for higher education from students in overseas markets like China and India.
Its IELTs (English language testing) business is also growing nicely as students must commonly sit these tests to meet visa requirements, or to obtain entry onto higher education courses in Australian for example.
For the six months ending December 31 2016 the company grew EBITDA (operating income) 12% to $36.4 million on revenues of $190 million. Its management team is confident it will continue to grow nicely thanks to its competitive position and the growing demand for its services.
