Childcare Operators

Operator Environment

  • Business multiples remain buoyant, driven by strong demand for centres/businesses
  • Approximately 6,723 long day care centres (LDC) as at June 2015 in Australia1, an increase of 1.8% since the June 2014
  • Approximately 34.8% of children in Australia aged 0-5 years utilises long day care, an increase of 4.3% since the June 2010 quarter
  • Daily fees increased on an average of 5.0% p.a. for the period from the June quarter 2014 to the June quarter 20151
  • New educator ratios were implemented, to the majority, from 1st January 2016 under the National Quality Framework (NQF) – since commencement of the NQF, 67% of long day care services have achieved a quality rating2
  • Overall, centre profitability has increased on previous years as per data provided by FET tenants

1 Department of Education and Training Administrative Data
2  NQF Snapshot Q1 2016, May 2016

Slides source: Department of Education and Training Administrative Data

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