We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
American Public (APEI) Q1 Earnings Beat Estimates, Stock Up
Read MoreHide Full Article
American Public Education, Inc. (APEI - Free Report) delivered a narrower-than-expected loss in first-quarter 2023. The bottom line surpassed the Zacks Consensus Estimate on the back of American Public University System (“APUS”) and Hondros College of Nursing segment (“HCN”) segments’ contributions, acquisitions and cost-saving moves.
Revenues, however, missed the analysts’ expectations and declined year over year.
Shares of this post-secondary education provider jumped 1.91% in the after-hours trading session on May 9. Investors’ sentiments might have been boosted owing to stronger adjusted EBITDA compared with the previous guidance of $2.4-$4.1 million.
Delving Deeper
The company reported an adjusted loss of 38 cents per share, narrower than the consensus mark of 45 cents by 15.6%. In the year-ago quarter, APEI reported earnings of 28 cents per share.
American Public Education, Inc. Price, Consensus and EPS Surprise
Total revenues of $149.7 million missed the consensus mark of $151 million by 1.1% and decreased 3.3% from the year-ago period’s levels. The downtrend was mainly attributable to the lower contribution from the Rasmussen University (“RU”) segment.
Total costs and expenses increased 3.7% year over year to $155.1 million due to higher instructional costs and services, selling and promotional expenses and general and administrative expenditures.
Adjusted EBITDA declined 59.7% year over year to $7 million.
Segment Discussion
APUS: Revenues of $74 million rose nearly 1% from the year-ago period’s levels of $73.1 million. APUS’ total net course registration increased 2% from first-quarter 2022 to a seven-year high level of 96,300. In the quarter, military registrations were up 7% and army registrations rose 6%.
RU: The segment reported revenues of $57.5 million for the quarter, down 14% from $67.1 million reported a year ago. RU’s total student enrollment fell 12% from the prior-year period’s levels to 14,300 due to a 19% decline in nursing and a 4% decline in non-nursing enrollment.
HCN: Segment’s revenues rose 14% year over year to $13.1 million. Total student enrollment at HCN increased 10% from the prior-year quarter’s levels to 2,700, marking an all-time high. The upside was backed by strong initial Detroit, MI, demand, which has benefited from word-of-mouth marketing.
Financials
At the end of first quarter, American Public had total cash and cash equivalents of $136.2 million from $129.6 million at the 2022-end.
Q2 Guidance
APEI expects total revenues to decline within 3-1% year over year to $145.5-$147.5 million. It anticipates an adjusted loss of 28-36 cents per share versus 6 cents reported a year ago. Adjusted EBITDA is expected to be within $4.4-$6.4 million, suggesting a decline of 56-70% year over year.
APUS’ total net course registrations are likely to be 85,300-88,700, reflecting growth of 2-6% year over year. HCN’s total enrollment is expected to increase 22% from the prior year’s tally to an all-time high of 3,000 students. RU’s student enrollment will likely fall 12.6% from the year-ago quarter’s figure to 13,900. Nursing student enrollment is likely to fall 22% to 6,400 and non-nursing student enrollment is expected to decline 3% to 7,500 year over year.
Strategic Education, Inc. or SEI (STRA - Free Report) reported mixed first-quarter 2023 results. Quarterly earnings surpassed the Zacks Consensus Estimate but revenues missed the same.
STRA’s top and bottom lines declined year over year. The downside was caused by lower contributions from the ANZ segment.
Adtalem Global Education Inc. (ATGE - Free Report) reported impressive results for third-quarter fiscal 2023. Earnings and revenues surpassed their respective Zacks Consensus Estimate and increased year over year, given the continued benefit from initiatives and cost synergies.
Adtalem expects revenues within $1,400-$1,450 million, up from $1,380-$1,450 million expected earlier. Also, it has raised the low range of the previously-guided adjusted earnings per share (EPS) of $3.95-$4.20 to $4.05.
Leggett & Platt, Inc. (LEG - Free Report) reported impressive first-quarter 2023 results. Earnings and net sales surpassed the Zacks Consensus Estimate. The top and the bottom line came ahead of the company’s expectations also.
However, the metrics declined on a year-over-year basis. The downtrend in LEG’s quarterly result was caused by weak demand in residential end markets, dynamic macroeconomic and geopolitical environment pressure.
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
American Public (APEI) Q1 Earnings Beat Estimates, Stock Up
American Public Education, Inc. (APEI - Free Report) delivered a narrower-than-expected loss in first-quarter 2023. The bottom line surpassed the Zacks Consensus Estimate on the back of American Public University System (“APUS”) and Hondros College of Nursing segment (“HCN”) segments’ contributions, acquisitions and cost-saving moves.
Revenues, however, missed the analysts’ expectations and declined year over year.
Shares of this post-secondary education provider jumped 1.91% in the after-hours trading session on May 9. Investors’ sentiments might have been boosted owing to stronger adjusted EBITDA compared with the previous guidance of $2.4-$4.1 million.
Delving Deeper
The company reported an adjusted loss of 38 cents per share, narrower than the consensus mark of 45 cents by 15.6%. In the year-ago quarter, APEI reported earnings of 28 cents per share.
American Public Education, Inc. Price, Consensus and EPS Surprise
American Public Education, Inc. price-consensus-eps-surprise-chart | American Public Education, Inc. Quote
Total revenues of $149.7 million missed the consensus mark of $151 million by 1.1% and decreased 3.3% from the year-ago period’s levels. The downtrend was mainly attributable to the lower contribution from the Rasmussen University (“RU”) segment.
Total costs and expenses increased 3.7% year over year to $155.1 million due to higher instructional costs and services, selling and promotional expenses and general and administrative expenditures.
Adjusted EBITDA declined 59.7% year over year to $7 million.
Segment Discussion
APUS: Revenues of $74 million rose nearly 1% from the year-ago period’s levels of $73.1 million. APUS’ total net course registration increased 2% from first-quarter 2022 to a seven-year high level of 96,300. In the quarter, military registrations were up 7% and army registrations rose 6%.
RU: The segment reported revenues of $57.5 million for the quarter, down 14% from $67.1 million reported a year ago. RU’s total student enrollment fell 12% from the prior-year period’s levels to 14,300 due to a 19% decline in nursing and a 4% decline in non-nursing enrollment.
HCN: Segment’s revenues rose 14% year over year to $13.1 million. Total student enrollment at HCN increased 10% from the prior-year quarter’s levels to 2,700, marking an all-time high. The upside was backed by strong initial Detroit, MI, demand, which has benefited from word-of-mouth marketing.
Financials
At the end of first quarter, American Public had total cash and cash equivalents of $136.2 million from $129.6 million at the 2022-end.
Q2 Guidance
APEI expects total revenues to decline within 3-1% year over year to $145.5-$147.5 million. It anticipates an adjusted loss of 28-36 cents per share versus 6 cents reported a year ago. Adjusted EBITDA is expected to be within $4.4-$6.4 million, suggesting a decline of 56-70% year over year.
APUS’ total net course registrations are likely to be 85,300-88,700, reflecting growth of 2-6% year over year. HCN’s total enrollment is expected to increase 22% from the prior year’s tally to an all-time high of 3,000 students. RU’s student enrollment will likely fall 12.6% from the year-ago quarter’s figure to 13,900. Nursing student enrollment is likely to fall 22% to 6,400 and non-nursing student enrollment is expected to decline 3% to 7,500 year over year.
Zacks Rank
APEI currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Strategic Education, Inc. or SEI (STRA - Free Report) reported mixed first-quarter 2023 results. Quarterly earnings surpassed the Zacks Consensus Estimate but revenues missed the same.
STRA’s top and bottom lines declined year over year. The downside was caused by lower contributions from the ANZ segment.
Adtalem Global Education Inc. (ATGE - Free Report) reported impressive results for third-quarter fiscal 2023. Earnings and revenues surpassed their respective Zacks Consensus Estimate and increased year over year, given the continued benefit from initiatives and cost synergies.
Adtalem expects revenues within $1,400-$1,450 million, up from $1,380-$1,450 million expected earlier. Also, it has raised the low range of the previously-guided adjusted earnings per share (EPS) of $3.95-$4.20 to $4.05.
Leggett & Platt, Inc. (LEG - Free Report) reported impressive first-quarter 2023 results. Earnings and net sales surpassed the Zacks Consensus Estimate. The top and the bottom line came ahead of the company’s expectations also.
However, the metrics declined on a year-over-year basis. The downtrend in LEG’s quarterly result was caused by weak demand in residential end markets, dynamic macroeconomic and geopolitical environment pressure.