NASDAQ$PRDO

Perdoceo Education Corporation · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Reported an increase in revenue and earnings per share compared to the prior year quarter.

Perdoceo Education Corporation reported a 6.9% increase in revenue to $195.6 million and an increase in earnings per diluted share to $0.50 for the quarter ended March 31, 2023. The company's operating performance was in line with expectations, with improvements in student retention and engagement.

  • Revenue increased by 6.9% to $195.6 million.
  • Operating income decreased slightly by 0.8% to $43.3 million, while adjusted operating income increased by 4.3% to $53.1 million.
  • Earnings per diluted share increased to $0.50, and adjusted earnings per diluted share increased to $0.58.
  • Total student enrollments increased by 0.8%.

Headline financials

Total Revenue

$196M

Previous: $183M+6.9%
EPS (adj)

$0.58

Previous: $0.50+16.0%
Total Student Enrollments

37.9K

Previous: 37.6K+0.8%
Capital Expenditures

-$1.93M

Previous: -$4.74M+59.4%
Free Cash Flow

$32.6M

Previous: $27.3M+19.1%
Net Income

$34.5M

Previous: $32.1M+7.5%
Operating Income

$43.3M

Previous: $43.7M-0.8%
Gross Profit

$311K

Previous: $276K+12.7%
Cash & Equivalents

$520M

Previous: $499M+4.2%
Total Assets

$963M

Previous: $844M+14.1%
Stock-Based Comp

$2.29M

Previous: $2.42M-5.0%

Revenue & EPS history

Perdoceo · Revenue · Quarterly

$196M

Q1 2023+6.9%vs Q1 2022
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Revenue by segment

Perdoceo · $125M total across 2 segments · Q1 2023

  • CTU
    $124M+10.0%
  • Corporate and Other
    $266K-4.7%

Forward guidance

The company provided its second quarter and full year outlook.

Tailwinds

  • Operating Income for Quarter Ending June 30, 2023 is expected to be $38.9M - $40.9M
  • Adjusted Operating Income for Quarter Ending June 30, 2023 is expected to be $47.0M - $49.0M
  • Earnings Per Diluted Share for Quarter Ending June 30, 2023 is expected to be $0.45 - $0.47
  • Adjusted Earnings Per Diluted Share for Quarter Ending June 30, 2023 is expected to be $0.51 - $0.53
  • Operating Income for the Year Ending December 31, 2023 is expected to be $121.1M - $138.1M

Headwinds

  • Adjusted Operating Income for the Year Ending December 31, 2023 is expected to be $153.0M -$170.0M
  • Earnings Per Diluted Share for the Year Ending December 31, 2023 is expected to be $1.43 - $1.61
  • Adjusted Earnings Per Diluted Share for the Year Ending December 31, 2023 is expected to be $1.68 - $1.86
  • Prospective student interest in the Company’s programs and trends in student retention and engagement remain consistent with management’s estimates
  • No significant additional impact of new or proposed regulations, including recent Department negotiated rulemaking initiatives, or other adverse changes in the legal or regulatory environment, which may require further operational changes in the way the Company’s academic institutions enroll, support and educate current and prospective students, among other impacts.

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 Q1 2023

Historical avgQ1 2023

+0.9%

Avg return

Earnings day

+4.3%

Avg return

5 days after

+4.4%

Avg return

30 days after

49%

34 / 69 earnings

Positive

+31.7%

Q1 2024

Best reaction

-30.4%

Q1 2014

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.9%+1.4%-0.5%
Q4 2025+4.2%+5.8%+9.6%
Q3 2025-1.9%-1.0%-8.9%
Q1 2025+22.3%+20.6%+35.2%
Q4 2024-5.9%-9.3%-14.7%
Q3 2024+9.9%+4.4%+7.4%
Q2 2024-2.6%-9.1%-11.1%
Q1 2024+31.7%+33.1%+23.0%
Q4 2023-0.7%+3.6%+4.4%
Q3 2023-3.6%-7.2%-3.7%
Q2 2023+14.9%+20.7%+25.5%
Q1 2023-5.1%-3.0%+0.2%
Q4 2022-2.1%-0.6%-6.5%
Q3 2022+16.0%+24.2%+20.5%
Q2 2022-6.3%-4.8%-15.0%
Q1 2022-3.7%-4.3%-0.5%
Q4 2021+3.1%+5.4%+16.6%
Q3 2021+0.7%-4.2%-4.6%
Q2 2021-1.5%-4.0%-8.0%
Q1 2021+0.7%-1.0%+4.4%
Q4 2020-4.2%-2.2%-7.4%
Q3 2020-10.5%-5.6%-0.2%
Q2 2020+4.0%+14.4%-5.2%
Q1 2020+15.4%+14.6%+31.6%
Q4 2019+0.3%-5.5%-50.7%
Q3 2019+5.8%+8.5%+11.7%
Q2 2019+12.8%+13.6%+6.5%
Q1 2019+7.2%+2.9%+11.3%
Q4 2018+18.0%+20.5%+15.1%
Q3 2018-6.7%-9.3%-6.2%
Q2 2018-4.3%-8.4%-13.3%
Q1 2018+13.5%+12.0%+23.1%
Q4 2017+16.8%+16.6%+12.9%
Q3 2017+13.8%+17.6%+24.9%
Q2 2017+2.3%+6.4%+14.6%
Q1 2017+9.2%+2.1%-0.9%
Q4 2016-12.4%-12.3%-8.8%
Q3 2016-4.1%+3.3%+43.8%
Q2 2016+2.8%+7.0%-5.4%
Q1 2016+12.2%
Q4 2015+29.4%
Q3 2015+8.0%
Q2 2015+29.6%
Q1 2015+17.0%
Q4 2014+12.4%
Q3 2014-7.3%
Q2 2014-1.1%
Q1 2014-30.4%
Q4 2013+10.8%
Q3 2013-18.6%
Q2 2013-1.7%
Q1 2013+4.9%
Q4 2012-11.8%
Q3 2012-18.2%
Q2 2012-19.8%
Q1 2012-11.2%
Q4 2008-23.7%
Q4 2011-23.7%
Q3 2008-10.0%
Q2 2008-15.6%
Q1 2008+1.6%
Q4 2010-6.6%
Q3 2009-2.3%
Q3 2010-2.3%
Q2 2010-7.7%
Q2 2009-7.7%
Q1 2010+1.4%
Q4 2009+1.4%
Q1 2009+1.4%

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