[Click eStock] Creverse Introduces New Curriculum... 7.1% Dividend Yield 'Shareholder Return'

LS Securities announced on the 25th that Cleverse has developed a new curriculum due to increased demand caused by the expansion of medical school quotas and changes in the admissions system. No investment opinion or target price was provided.

Cleverse is a company that provides educational content for infants, elementary, middle, and high school students. The main target age group is elementary school students, and it has curricula that can guide students from kindergarten to middle school.

Its operating brands include English education brands (ESL) such as Igarten (English kindergarten), April Language Academy (mainly for lower elementary grades), and Cheongdam Language Academy (mainly for upper elementary grades). The math education brands include CMS Sagoryeokgwan (for elementary students) and CMS Youngjaegwan (for middle school students).

Jung Woo-sung, a researcher at LS Securities, said, "Cleverse launched the EFL program to respond to the increased demand for college entrance curricula," adding, "The number of new EFL registrants was about 5,000 as of March this year."

He continued, "The market dividend yield of the final dividend is 7.1%," explaining, "Since the amount transferred from capital reserves to retained earnings has tax-exempt benefits under tax law."

The total dividend amount is 8.4 billion KRW. Due to depreciation of owned tangible assets, EBITDA is recorded at a high level, and dividends are paid based on free cash flow to the firm (FCFF). Based on this, a high total dividend amount relative to net income is maintained.