ABC Learning was founded in 1988 in Ashgrove, Brisbane, Queensland by Eddy Groves, and the Global Chief Executive Officer of the company. Co-founder Le Neve Groves, is a senior executive and is also a major shareholder in ABC. The husband and wife jointly own 14.5% of the company. ABC rapidly expanded, reaching 43 childcare centres by June 30, 2001. By November 2005, it had 697 childcare centres throughout Australia and New Zealand. In March 2006, it forecast that would have 950 centres in Australia and New Zealand by June 30, 2006.
It has purchased the third largest childcare operator in the United States Learning Care Group Inc. which itself operates 467 centres in the US and other educational facilities in southeast Asia. The purchase provides ABC Learning with 70,000 additional licensed childcare places in addition to the 50,000 it had previously. Other mergers with Peppercorn Management Group and the purchase of Child Care Centres Australia helped provide a considerable increase in the number of ABC’s centres. The company plans to increase its number of centres by four a week. In March 2006, it announced a bid for Kids Campus, one of its few remaining large competitors in Australia which would give it another 106 centres.
On December 13, 2006 it was announced that ABC would acquire the second largest child care provider in the United States, Chicago based La Petite Academy for 330 million US Dollars as well as the 5th largest provider in the UK, Busy Bees Group, Ltd. With these acquisitions they are expanding into the UK market and increasing their market share in the US to 1%.
It has expanded aggressively into the outsourcing of child care services, negotiating deals with some of Australia’s largest employers including the Australian Department of Defence which involved taking over the Department’s nineteen childcare facilities. Aside from offshore expansion, the company is also expanding in training and education. It runs the ABC Early Childhood Training College, providing training for childcare workers, publishes a magazine Small Wonders aimed at parents with young children.
It is a highly profitable company, in the FY2004/5 recording net profit after tax of $52.3 million on total revenues of $292.7 million. The six months ending 31 December 2005 showed no slowing in the financial momentum for the company with profit after tax reaching $38 million and revenues of $219.8 million.