Economic Performance

The Value Added Statement below summarises the value ADvTECH has created and distributed to its stakeholders in the year 2010. The Group generated total economic value of R1.1 billion in 2010 (2009: R1.0 billion) which was distributed as follows:

The indirect economic contribution of the Group, however, is a multiple of this amount. At an individual level, ADvTECH, by the very nature of its business, enhances the employability of its students and job candidates. Each year, the thousands of ADvTECH alumni and job candidates who are active in the South African economy enjoy enhanced earning potential. This economic contribution increases annually with the addition of successive graduating classes and placement of new job candidates.

A key responsibility of management is to ensure that ADvTECH continues to serve many future generations of students and job seekers. This requires us to build strong, reputable brands and institutions while ensuring that we simultaneously operate within our means. At a strategic level this includes careful planning and the appropriate use of financial, physical, environmental and human resources. Continuous growth and regeneration of resources forms an important part of this and requires constant reinvestment in our future. In 2010 12% (2009: 13%) of value created was reinvested to expand infrastructural capacity, the details of which can be found on page 21 of this report.

Value Distribution