NASDAQ$LOPE

Grand Canyon Education Inc. · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Second quarter results were reported with service revenue increasing due to university partner enrollments and revenue per student.

Grand Canyon Education, Inc. reported financial results for the quarter ended June 30, 2021, with service revenue increasing primarily due to increases in university partner enrollments and revenue per student. Net income increased 5.2% to $49.5 million, and diluted net income per share was $1.09.

  • Service revenue was $201.5 million compared to $185.8 million for the second quarter of 2020, driven by increases in university partner enrollments and revenue per student.
  • Partner enrollments totaled 101,808 at June 30, 2021, compared to 98,326 at June 30, 2020, an increase of 3.5%.
  • Operating income was $50.2 million, an increase of $1.9 million compared to $48.3 million for the same period in 2020.
  • Net income increased 5.2% to $49.5 million, compared to $47.0 million for the same period in 2020.

Headline financials

Total Revenue

$201M

Previous: $186M+8.5%
EPS (adj)

$1.12

Previous: $1.03+8.7%
University Partner Enrollments

101.8K

Previous: 98.3K+3.5%
Off-Campus Enrollments

4.2K

No prior period
Free Cash Flow

$49.5M

Previous: $47M+5.2%
Net Income

$49.5M

Previous: $47M+5.2%
Operating Income

$50.2M

Previous: $48.3M+4.0%
Gross Profit

$107M

Previous: $101M+5.8%
Cash & Equivalents

$69.4M

Previous: $173M-59.7%
Total Assets

$1.85B

Previous: $1.79B+3.2%

Revenue & EPS history

Grand Canyon Education · Revenue · Quarterly

$201M

Q2 2021+8.5%vs Q2 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Grand Canyon Education · $201M total across 1 segment · Q2 2021

  • Service Revenue
    $201M+8.5%

Forward guidance

Grand Canyon Education provided its outlook for Q3 2021, Q4 2021, and Full Year 2021.

Tailwinds

  • Q3 2021: Service revenue of between $207.7 million and $212.1 million
  • Q3 2021: As Adjusted Operating Margin of between 23.2% and 24.8%.
  • Q3 2021: As Adjusted Diluted EPS of between $1.10 and $1.18 using 44.4 million diluted shares
  • Q4 2021: Service revenue of between $254.0 million and $261.0 million
  • Q4 2021: As Adjusted Operating Margin of between 39.5% and 41.1%

Headwinds

  • Q4 2021: As Adjusted Diluted EPS of between $2.08 and $2.22 using 39.9 million diluted shares
  • Full Year 2021: Service revenue of between $900.1 million and $911.5 million
  • Full Year 2021: As Adjusted Operating Margin of between 31.9% and 32.7%
  • Full Year 2021: As Adjusted Diluted EPS of between $6.03 and $6.25 using 44.0 million diluted shares
  • Forward-looking statements speak only as of the date the statements are made.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+3.3%

Avg return

Earnings day

+2.4%

Avg return

5 days after

+2.5%

Avg return

30 days after

65%

42 / 65 earnings

Positive

+21.9%

Q2 2012

Best reaction

-16.0%

Q1 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.1%-2.7%-11.4%
Q4 2025-7.9%-6.5%-3.2%
Q3 2025-6.2%-5.2%-14.0%
Q1 2025+4.5%+5.5%+4.7%
Q4 2024+1.8%-3.6%-8.3%
Q3 2024+17.0%+22.0%+20.1%
Q2 2024-3.5%-2.6%-3.5%
Q1 2024+6.3%+7.6%+4.2%
Q4 2023+0.5%-1.4%-0.3%
Q3 2023+14.2%+13.8%+14.7%
Q2 2023+5.5%+1.5%+9.1%
Q1 2023-3.7%-6.6%-12.7%
Q4 2022+1.6%+3.0%-5.9%
Q3 2022+16.4%+17.3%+29.5%
Q2 2022-12.2%-14.0%-15.9%
Q1 2022+3.9%-3.0%-6.5%
Q4 2021+2.4%+5.8%+21.9%
Q3 2021-9.4%-9.5%-14.1%
Q2 2021-2.5%-2.7%-0.8%
Q1 2021-16.0%-11.7%-16.3%
Q4 2020+2.1%+2.7%+5.4%
Q3 2020-0.4%+2.3%+4.9%
Q2 2020+12.0%+10.3%+3.0%
Q1 2020+7.2%+9.2%+16.5%
Q4 2019-4.3%-6.2%-29.2%
Q3 2019-4.1%-4.1%-3.5%
Q2 2019+5.7%+8.5%-0.1%
Q1 2019-4.2%-1.8%+7.1%
Q4 2018+21.7%+19.8%+17.5%
Q3 2018-0.9%-2.8%-12.0%
Q2 2018-3.2%-2.7%-0.8%
Q1 2018+6.9%+5.4%+9.9%
Q4 2017+9.0%+10.6%+12.9%
Q3 2017-0.7%-0.7%+4.0%
Q2 2017+8.8%+10.2%+11.5%
Q1 2017+4.2%+6.0%+7.8%
Q4 2016+5.8%+5.0%+19.8%
Q3 2016+8.6%+11.2%+31.7%
Q2 2016+4.9%+4.8%-0.3%
Q1 2016-4.6%
Q4 2015+12.0%
Q3 2015+7.2%
Q2 2015-5.3%
Q1 2015+1.2%
Q4 2014+5.2%
Q3 2014+9.3%
Q2 2014-4.2%
Q1 2014+6.9%
Q4 2013+2.5%
Q3 2013+11.3%
Q2 2013-4.7%
Q1 2013+13.4%
Q4 2012+5.4%
Q3 2012+12.3%
Q2 2012+21.9%
Q1 2012+10.3%
Q4 2011-3.0%
Q4 2009-3.0%
Q3 2011-3.0%
Q3 2010-3.0%
Q2 2010+8.8%
Q2 2011+8.8%
Q1 2010+5.3%
Q4 2010+5.3%
Q1 2011+5.3%

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