“There was a real opportunity to transform school-based learning by delivering highly personalised and targeted online education. Most importantly, we saw the huge benefits of being able to deliver this entirely digitally, collecting vast amounts of learning data, and using this to optimise everyone’s learning experience,” he adds.

As a result, the business is able to deliver a better learning experience by combining the best of live, face-to-face learning with technology and data.

Opportunity in adversity

Cluey has grown fast since its formation, aided by an unforeseen global pandemic, and supplemented by parents’ understanding the school system doesn’t necessarily fulfil all their children’s needs.

The online learning leader has taught approximately 33,000 students and boasts an annual growth rate of 211 per cent since the 2019 financial year. It has completed 538,000 student sessions this financial year, a lift of more than 200 per cent since the 2019 financial year.

“Our net revenue is $34.3 million for the financial year just ended, which represents a rise of 116 per cent compared to the previous financial year. Our gross profit climbed by 110 per cent to $18.1 million in the 2022 financial year, reflecting a compound annual growth rate of 236 per cent since the 2019 financial year,” Rohald said.

In terms of the composition of the share registry, management and staff own 23 per cent of the total issued capital, while institutional investors hold 45 per cent and private investors own 32 per cent of the business.

Cluey has expanded in recent times acquiring Code Camp Holdings in October 2021. Code Camp delivers coding and digital skills courses to primary school-aged children, as well as providing holiday camps and after-school programs, which can deliver course material face-to-face or online.

“This acquisition enables Cluey to enter the large and diverse co-curricular and extra-curricular market and provides the opportunity to increase our active customers and lifetime value, and lower customer acquisition costs,” Rohald said.

Future milestones

Cluey Learning, however, is not yet cash flow positive, although the company is expecting to turn this situation around in the not-too-distant future.

As an early-stage company that is not yet cash flow positive, Cluey provides cash flow reporting and trading updates to ASX on a quarterly basis,” Rohald said. “In addition, Cluey provides financial performance updates and statutory reporting each half-year in December and at the full year in June.

Cluey currently manages investor relations in-house, a shared responsibility between Rohald as CEO and Greg Fordred, who is CFO and company secretary. It is supported as required by its financial advisers Grant Samuel and its brokers, Bell Potter and Canaccord.

“We often present to shareholders and prospective investors at events such as Bell Potter’s Decoded Conference and the ASX Small and Mid-Cap Conference. In addition, we meet with institutional shareholders regularly,” says Rohald.

Online learning and extra-curricular activities are becoming more popular with students. Cluey Learning seeks to capitalise on growing demand from parents to have access to the learning and activities that suit their timetable rather than their school’s.

Flexible working arrangements are giving parents the time to reflect on school curricula and their children’s learning needs. Learning providers such as Cluey have an opportunity to fill gaps in the market.

This shift is also supporting the likes of Cluey Learning to expand on their initial offering, working with other institutions to afford everyone an opportunity for self-development and growth.

Democratising learning

One of Cluey’s main goals is to empower as many students as possible through learning. Its not-for-profit arm, Cluey Learning Foundation, is building a growing portfolio of social impact initiatives.

“Since 2018 we have partnered with the Harding Miller Education Foundation, providing funds for scholarships and discounted tutoring for their students. HMEF provides life-changing scholarships to high-potential girls across Australia in years nine to 12, who are facing disadvantage,” he adds.

Cluey also collaborates with the University of NSW through its Gateway program, which offers under-represented students an alternative pathway into university. As part of this collaboration, Cluey provides one-to-one tutoring to Gateway students in years 11 and 12.

“We are also running a pilot with Barnardos Australia by supporting learning for students in out-of-home care. We have also partnered with smaller not-for-profits such as The Samaritans, who support students experiencing homelessness. During 2021 and 2022, we also worked with the NSW Department of Education as one of its four endorsed private providers of the Covid Intensive Learning Support Program. We also provide group tutoring programs to department schools across NSW,” says Rohald.

Cluey Learning is fast becoming an important option for parents in need of additional support for their children, helping them learn new skills outside the traditional school system.