NYSE$NNI

Nelnet Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Nelnet's financial performance reflected the strength of its core operating businesses, with strategic investments and expense management initiatives shaping the company's results.

Nelnet reported GAAP net income of $28.3 million, or $0.75 per share, for the second quarter of 2023. The company's core operating businesses performed well, with notable contributions from the Education Technology, Services, and Payment Processing segment. Nelnet is actively assisting millions of federal student loan borrowers returning to repayment.

  • GAAP net income was $28.3 million, or $0.75 per share.
  • Net income, excluding derivative market value adjustments, was $26.7 million, or $0.71 per share.
  • Loan Servicing and Systems segment reported revenue of $122.0 million.
  • Education Technology, Services, and Payment Processing segment revenue increased to $109.9 million.

Headline financials

Total Revenue

$50.9M

Previous: $345M-85.3%
EPS (adj)

$0.71

Previous: $1.44-50.7%
Total loans serviced

$559B

Previous: $590B-5.2%
Capital Expenditures

-$37.3M

Previous: -$34.2M-9.1%
Free Cash Flow

-$8.99M

Previous: $51M-117.6%
Net Income

$28.3M

Previous: $85.1M-66.8%
Operating Income

-$264M

Previous: $71.4M-468.9%
Gross Profit

$1.35M

Previous: $314M-99.6%
Cash & Equivalents

$122M

Previous: $128M-5.2%
Total Assets

$17.8B

Previous: $20.6B-13.7%
Stock-Based Comp

$3.97M

Previous: $3.25M+22.2%

Revenue & EPS history

Nelnet · Revenue · Quarterly

$50.9M

Q2 2023-85.3%vs Q2 2022
Beat estimate in 4 of 14 quarters(29%)
ActualEstimate

Revenue by segment

Nelnet · $232M total across 2 segments · Q2 2023

  • Loan Servicing & Systems
    $122M-2.3%
  • EdTech & Payments
    $110M+20.7%

Forward guidance

This press release contains forward-looking statements within the meaning of federal securities laws. The words “anticipate,” “assume," "believe,” “continue,” “could,” "ensure," “estimate,” “expect,” “forecast,” “future,” “intend,” “may,” “plan,” “potential,” “predict,” "scheduled," “should,” “will,” “would,” and similar expressions, as well as statements in future tense, are intended to identify forward-looking statements.

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 2023

Historical avgQ2 2023

+0.9%

Avg return

Earnings day

+0.4%

Avg return

5 days after

+0.9%

Avg return

30 days after

55%

36 / 65 earnings

Positive

+16.6%

Q3 2016

Best reaction

-11.3%

Q4 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.5%-13.6%-8.2%
Q4 2025-1.7%+3.5%-3.6%
Q3 2025+2.2%+0.1%+0.5%
Q1 2025+5.9%+10.6%+7.7%
Q4 2024+9.3%+6.7%-0.3%
Q3 2024-9.9%-12.5%-13.1%
Q2 2024+1.1%+2.6%+4.5%
Q1 2024+12.9%+13.9%+4.1%
Q4 2023-3.7%-3.1%+7.3%
Q3 2023-0.8%-3.1%-3.9%
Q2 2023-2.1%-4.1%-7.9%
Q1 2023-1.1%-0.9%+6.8%
Q4 2022-3.0%-2.5%-3.3%
Q3 2022+1.4%+8.2%+6.9%
Q2 2022-0.2%-2.3%-11.3%
Q1 2022-1.7%-0.8%+3.9%
Q4 2021+0.0%+1.6%+5.6%
Q3 2021-0.6%+1.8%+9.7%
Q2 2021+2.8%+2.5%+8.3%
Q1 2021-1.0%+2.9%-0.1%
Q4 2020+1.0%+2.7%+3.6%
Q3 2020+3.2%+13.8%+9.1%
Q2 2020+2.2%+1.8%+5.2%
Q1 2020-1.6%-2.8%+15.2%
Q4 2019-5.5%-10.1%-24.6%
Q3 2019-3.1%-1.9%-3.0%
Q2 2019+7.8%+6.8%+5.7%
Q1 2019+8.9%+6.0%+2.1%
Q4 2018+1.5%+1.2%+2.0%
Q3 2018-8.2%-3.9%-6.6%
Q2 2018-2.9%-3.1%-4.5%
Q1 2018+8.4%+8.9%+16.0%
Q4 2017+6.9%+6.7%+1.2%
Q3 2017-10.4%-10.9%-5.9%
Q2 2017-0.6%-5.3%-0.5%
Q1 2017-5.0%-9.1%-6.9%
Q4 2016-11.3%-8.9%-15.0%
Q3 2016+16.6%+23.7%+36.2%
Q2 2016-11.1%-11.7%-9.5%
Q1 2016-5.9%
Q4 2015+2.4%
Q3 2015-4.6%
Q2 2015+5.0%
Q1 2015-4.3%
Q4 2014-0.6%
Q3 2014-0.9%
Q2 2014+6.6%
Q1 2014-3.1%
Q4 2013+11.8%
Q3 2012+4.9%
Q3 2013+4.9%
Q2 2013+5.5%
Q1 2013+0.9%
Q4 2012+3.9%
Q2 2012+3.9%
Q1 2012-1.7%
Q1 2011-1.7%
Q4 2009+1.9%
Q4 2011+1.9%
Q2 2011+1.9%
Q3 2011+1.6%
Q3 2010+1.6%
Q2 2010+4.0%
Q4 2010+4.0%
Q1 2010+9.1%

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