Kip McGrath Education Centres (ASX:KME) sells franchises and provides services to more than 550 franchises globally in the afterschool tuition sector. On the face of it, Kip McGrath’s 2016 financial year result was underwhelming. Revenue was down 2.2 per cent, to $14.6 million, and earnings before interest, tax, depreciation and amortisation (EBITDA) was up a mere 4 per cent to $2.1 million. The headline numbers, however, hide some important facts. In the full article below, we explain why the Kip McGrath share price doesn’t add up.