JM | Aug 17, 2022

One on One eyes J$1 billion in revenue

/ Our Today

Ricardo Allen, president and CEO of One on One Educational Services Ltd.

Ricardo Allen, founder of edtech company One on One Educational Services (One on One), is upbeat about plans to aggressively grow the company’s earnings to J$1 billion over the medium term. This performance is expected to be fuelled purely by an organic growth strategy.

One on One, now largely focused on integrating its tools into the development of the education sector, is targeting a 30 percent jump in revenues within its first year of listing on the junior market of the Jamaica Stock Exchange (JSE), before hitting 98 percent in 2025 to revenues of J$662.3 million, a little over halfway to the J$1 billion mark.

The company’s profit before tax is also expected to jump 30 per cent in year one to $140 million, then climb to $180 million for financial year 2024/2025. Gross profit margin over the three-year period will average 75 per cent, while net income margin is expected to average 29 percent.

With the August 12 opening of the company’s initial public offer (IPO) on the JSE, Theola Moore Bruce, manager of capital markets at Sagicor Investments, which is the lead broker and arranger on the deal, believes the projections for the edtech company are positive.

“One on One’s growth will be supported by the company’s market position as one of the leading technology companies across the Caribbean, as well as some key strategies to provide a stable return for its existing and upcoming investors,” said Moore Bruce.

“Our core strategy for growth is to continue our aggressive build-out of standalone courses for all major curricula across the Caribbean. We intend to grow our content and certified courses within our primary and high school catalogue but there will also be heavy focus on growing the B2B segment, as well as services offered to the Government,” Allen underscored.

One-on-One Educational Services CEO Ricardo Allen, invites students to register to participate in the Global Services Sector (GSS) High School Immersion Bootcamp, during a Think Tank, at the Jamaica Information Service (JIS) head office in Kingston on June 28, 2022. The programme will begin on July 11. (Photo: JIS)

One on One has laid out plans for a full re-entry into the business-to-consumer market (B2C), with products within its One on One for students and One on One for professionals divisions. These products would target students and teachers (OneX), as well as professionals and trainers. For the business-to-business market, B2B, the company will offer products such as One on One for Content Development and One on One for Team LMS.

“The intention is to build a community of professionals across the region who will receive personalized career tracks on our platform,” Allen said.

The growth prospects for the new programme under the B2C and B2B segments are exponentially high, with all new offerings expected to bring in US$990,000 ($154 million) combined by 2023. The strategy of earning in US dollars while expenses are maintained in the local currency, also allows the company a buffer against economic shocks and potential fallouts that could affect the education sector.

The company’s existing product offerings include Classroom in a Box, Private-Label for Online Learning, Educational Management Information System, One on One eLearning Content Development and One on One Content Licensing. Its re-entry into the B2C market serves to increase its presence in the sub-industry through customer acquisition and customer retention. Outside of the new product offerings, One on One will also be expanding its reach into more Caribbean and Latin American markets.

“This will be done through partnering with region-wide enterprises which will give us access to a newer, more diverse customer base and will see One on One becoming a household name in not only Jamaica but also the wider region,” Allen said.


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