Perdoceo Education Corporation Announces First Quarter 2021 Results

Rhea-AI Summary

Perdoceo Education Corporation (NASDAQ: PRDO) reported its financial results for the first quarter of 2021, showing a 7.4% increase in revenue to $183.6 million, driven by growth in both CTU and AIU. Operating income rose by 8.9% to $40.6 million, with adjusted operating income increasing 11.7% to $44.6 million. Earnings per diluted share improved to $0.43, while total student enrollments grew 9.7%. The company ended the quarter with $451 million in cash and equivalents, reflecting a strong financial position.

Positive

• Revenue increased by 7.4% to $183.6 million.
• Operating income rose 8.9% to $40.6 million.
• Adjusted operating income increased by 11.7% to $44.6 million.
• Earnings per diluted share improved to $0.43.
• Total student enrollments grew by 9.7%, with CTU up 12.8% and AIU up 5.0%.
• Ending cash and equivalents totaled $451 million.

Negative

• None.

Perdoceo Education Corporation (NASDAQ: PRDO) today reported operating and financial results for the quarter ended March 31, 2021.

First Quarter 2021 Results as Compared to Prior Year Quarter

• Revenue increased 7.4 percent to $183.6 million with both CTU and AIU contributing to the growth
• Operating income increased 8.9 percent to $40.6 million while adjusted operating income increased 11.7 percent to $44.6 million*
• Earnings per diluted share was $0.43 as compared to $0.41 while adjusted earnings per diluted share was $0.44 as compared to $0.41*
• Ended the quarter with $451.0 million in cash, cash equivalents, restricted cash and available-for-sale short-term investments
• Total student enrollments at March 31, 2021 increased by 9.7 percent, with CTU experiencing a 12.8 percent increase and AIU experiencing a 5.0 percent increase

*See GAAP (U.S. generally accepted accounting principles) to non-GAAP reconciliation attached to this press release

“We are pleased with our positive first quarter 2021 results. Our focus on student experiences, retention and academic outcomes, in particular through our ongoing technology initiatives, has helped us to effectively serve and educate our students as they progress through their academic programs,” said Todd Nelson, President and Chief Executive Officer. “As the year progresses, we will continue to invest in various initiatives that meet the evolving professional needs of our non-traditional learners, including working adults.”

REVENUE

• The Company experienced organic revenue growth across both CTU and AIU while growth at AIU also reflects the acquisition of substantially all of the assets of Trident University International on March 2, 2020 (the “Trident acquisition”).

		For the Quarter Ended March 31,
Revenue ($ in thousands)		2021				2020				% Change
CTU		$	105,822

FAQ

What were Perdoceo's Q1 2021 revenue results?

Perdoceo reported Q1 2021 revenue of $183.6 million, a 7.4% increase compared to the previous year.

How did earnings per share change for Perdoceo in Q1 2021?

Earnings per diluted share for Q1 2021 was $0.43, up from $0.41 in the previous year.

What is the current cash position of Perdoceo?

Perdoceo ended Q1 2021 with $451 million in cash and cash equivalents.

How many students were enrolled at Perdoceo as of March 31, 2021?

Total student enrollments increased by 9.7% as of March 31, 2021.

What was the percentage increase in operating income for Perdoceo in Q1 2021?

Operating income increased by 8.9% to $40.6 million in Q1 2021.