Actionable news
0
All posts from Actionable news
Actionable news in CPLA: Capella Education Company,

Capella Education Company Reports Third Quarter 2015 Results

The following excerpt is from the company's SEC filing.

Capella Education Company

(NASDAQ: CPLA), a

provider of online post-secondary education, primarily through its wholly owned subsidiary Capella University, today announced financial results for the three and nine months ended Sept. 30, 2015.

“Our performance over the course of 2015 demonstrates the strength of our competitive position, the appeal of our value proposition and our ability to execute and deliver growth in a challenging market environment,” said Kevin Gilligan, chairman and chief executive officer. “Our goal is to continue outperforming the market while positioning Capella for long-term sustainable growth.”

For the three months ended Sept. 30, 2015:

Revenues were $103.7 million, compared to $103.1 million in the third quarter of 2014, an increase of 0.6 percent.

Capella University total active enrollment increased 4.2 percent to 36,683, new enrollment increased by 2.3 percent from third quarter 2014 and early cohort persistence improved by approximately 3 percent.

Operating income was $13.5 million, compared to $13.2 million for the same period in 2014. Operating margin was 13.0 percent, compared to 12.8 percent for the third quarter 2014.

Net income for the third quarter of 2015 was $8.2 million, compared to $7.8 million for the same period in 2014.

Net income per diluted share was $0.67, compared to $0.62 for the same period in 2014.

For the nine-month period ended Sept. 30, 2015:

Revenues increased by 2.3 percent to $320.8 million, compared to $313.5 million for the same period in 2014.

Operating income for the nine-month period ended Sept. 30, 2015 was $47.4 million, or 14.8 percent of revenue, compared to $43.8 million, or 14.0 percent of revenue during the same period in 2014.

Net income was $28.5 million, or $2.31 per diluted share, compared to $25.6 million, or $2.04 per diluted share, for the same period in 2014.

Balance Sheet and Cash Flow

As of Sept. 30, 2015, the Company had cash and marketable securities of $169.7 million, compared to $167.1 million at Dec. 31, 2014, and no debt outstanding as of Sept. 30, 2015.

Cash flow from operating activities for the nine months ended Sept. 30, 2015 was $51.7 million compared to $47.5 million in the same period a year ago.

Dividend and Share Repurchases

A quarterly cash dividend of $0.37 per outstanding share of common stock was declared during the third quarter of 2015. The dividend was paid on Oct. 15, 2015.

In the third quarter 2015, the Company repurchased approximately 146,000 shares of Capella stock for total consideration of $7.5 million. The remaining authorization as of the end of the third quarter was $13.5 million.

Outlook

For the fourth quarter ending Dec. 31, 2015, Capella University new enrollment is expected to decline year-over-year in the mid-single-digit percentage range. Total enrollment is expected to grow about 1.5 to 2.5 percent year-over-year, and consolidated revenue is expected to be about flat to up 1.0 percent compared to fourth quarter 2014.

The consolidated operating margin is anticipated to be approximately 17.0 to 18.0 percent of total revenue for the fourth quarter of 2015.

“Our fourth quarter 2015 outlook reflects continued variability in the market environment,” said Steve Polacek, senior vice president and chief financial officer. “We are investing to support our learners and building on our unique capabilities to drive shareholder value.”

Forward-Looking Statements

Certain information in this news release does not relate to historical financial information, including statements relating to future prospects and expectations regarding our growth, revenues, enrollment, and operating performance, and should be considered forward-looking statements within the meaning of the Private...


More