NYSE$NNI

Nelnet Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Nelnet reported strong third-quarter results, with each core business performing at a high level.

Nelnet reported GAAP net income of $104.8 million, or $2.80 per share, for the third quarter of 2022, compared with GAAP net income of $53.1 million, or $1.38 per share, for the same period a year ago. Net income, excluding derivative market value adjustments, was $64.5 million, or $1.73 per share, for the third quarter of 2022, compared with $47.6 million, or $1.23 per share, for the same period in 2021.

  • GAAP net income was $104.8 million, or $2.80 per share.
  • Net income, excluding derivative market value adjustments, was $64.5 million, or $1.73 per share.
  • Loan Servicing and Systems revenue increased to $134.2 million.
  • Education Technology, Services, and Payment Processing revenue was $106.9 million.

Headline financials

Total Revenue

$395M

Previous: $287M+37.9%
EPS (adj)

$1.73

Previous: $1.23+40.7%
Total loans serviced

$590B

Previous: $514B+15.0%
Capital Expenditures

-$44.4M

Previous: -$42.6M-4.3%
Free Cash Flow

$60.4M

Previous: $10.5M+472.6%
Net Income

$105M

Previous: $53.1M+97.2%
Operating Income

$83.2M

Previous: $28.5M+191.6%
Gross Profit

$347M

Previous: $255M+35.7%
Cash & Equivalents

$63.2M

Previous: $192M-67.1%
Total Assets

$19.6B

Previous: $22.4B-12.7%
Stock-Based Comp

$3.7M

Previous: $2.84M+30.1%

Revenue & EPS history

Nelnet · Revenue · Quarterly

$395M

Q3 2022+37.9%vs Q3 2021
Beat estimate in 4 of 14 quarters(29%)
ActualEstimate

Revenue by segment

Nelnet · $241M total across 2 segments · Q3 2022

  • Loan Servicing & Systems
    $134M+19.4%
  • EdTech & Payments
    $107M+25.3%

Forward guidance

This press release contains forward-looking statements within the meaning of federal securities laws. These statements are based on management's current expectations as of the date of this release and are subject to known and unknown risks, uncertainties, assumptions, and other factors that may cause the actual results and performance to be materially different from any future results or performance expressed or implied by such 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 Q3 2022

Historical avgQ3 2022

+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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