Chairman’s message

Dear Shareholders

Group Performance

For the financial year (FY) ended 31 March 2016, the Group recorded a total revenue of $13 million, a slight decline of 18% from $15.9 million in FY2015. The Group incurred net loss before/after tax of $5.1 million. The cash and cash equivalents stood at $15.3 million, a decline from last year’s $22.2 million.

FY2016 continued to be challenging for the Group with the landscape of higher education maintaining rapid and disruptive change. The complexity of today’s interconnected world continues to present new challenges and demands on our education system, and is driving the necessity for us to adapt and grow through innovation.

Education in Singapore is highly regulated and possesses certain elements that present challenges to the enrolment of overseas students. Despite that fact, we believe that we have made progress in executing strategies to recover our position in the private education industry.

During the financial year, the Group undertook the following exercises to strengthen the foundation of the business and to build resilience in the face of increased business complexity:-

First, the Group’s business capabilities were aligned to enable Informatics Academy, Informatics Global Campus and NCC Education to simultaneously leverage synergies across their competencies. This integrated platform will generate new capabilities and create additional revenue streams for the business.

Second, NCC Education operational support was centralised to optimise the management of business, and improve quality and control. The creation of shared services for the Group should drive both efficiencies and economies of scale to deliver immediate operational savings.

The measures taken to strengthen the business represent ongoing efforts and we believe there will be time lag before the business will be able to realise its full potential and demonstrate returns.

Key achievements

The move of our city campus to the iconic National Library Building on Victoria Street has enhanced the learning environment and supported outreach and engagement with local community groups. We celebrated the move with an Open House which attracted hundreds of prospective students. Showcasing the campus’ modern facility, the event gave prospective students the unique opportunity to come and experience the new city campus, attend programme briefings by faculty members and engage with our successful entrepreneurs cum alumni members.

Informatics Global Campus completed the assessment in March 2016 for the registration renewal under the Enhanced Registration Framework of the Council for Private Education. At the same time, Informatics Academy EduTrust certification was successfully renewed until January 2017.

The education sector is undergoing a period of rapid change, the government’s emphasis on the pursuit of new skills sets sail in a new direction to an advanced and inclusive society. Our working environment has changed tremendously and product cycles are getting shorter. Lifelong employment is now an exception rather than the norm. To support it, Informatics Executive Education was established, to lead the way for innovative and impactful life-long learning experiences for employees.

In February 2016 an agreement was inked with SG Enable, a government agency dedicated to enabling persons with disabilities, to conduct IT and book keeping courses at the Enabling Village, the latest integrated community training ground for the disabled. Funded by the agency, the courses delivered by our lecturers, will allow students with mobility or hearing impairment to learn new skills, to enhance their employment and employability options.

Collaboration to Drive Change

The rise of an interconnected global knowledge economy has urged the need for partnerships that go beyond education. As economies and working patterns change, the challenge of how to support students in developing their employability skills continues to be a key focus for Informatics.

Today’s graduates are faced with employment challenges and placement is the buzz word. Recognising the difficulty students will face in transiting from education to employment, Informatics has collaborated with locally and globally recognised organisations including InterContinental Hotels Group (Asia Pacific), Emerio and Parkroyal on Beach Road. Informatics is working in tandem with corporate partners to push the frontiers of knowledge and to provide an avenue to help students more easily enter the job market. This will remain an important part of the strategy for promoting diversity to bring closer links between education and the world of employment.

Shaping Culture

Informatics is staying committed to be a good corporate citizen and hopes to make a meaningful contribution to the communities in which we operate.

Informatics has recently partnered with REACH Community Services Society, a charitable organisation and member of the National Council of Social Service, to provide valuable work-relevant training and skills development to low-income family members who often lack essential employability skills to integrate into the workforce. Training sessions organised under this programme include office automation tools, financial spreadsheet and 3D modelling & animation.

Commitment to Effect Change

Growth and change are never easy. As we strive to continuously improve the quality of our academic offerings and expand the scope and depth of our collaborations with local and international partners we stay committed to nurturing our students, enabling them to excel in this complex world. With the dedication of the Management team, we hope to continue to provide higher quality education and standards, adopt a collaborative approach, and embody a pioneering and innovative spirit to deliver creative solutions in order to remain competitive.

 

Dato’ Sri Robin Tan Yeong Ching
Chairman