National American University Holdings Inc Earnings: Net Income Declines for Two Quarters Straight
National American University Holdings Inc reported its results for the second quarter. National American University is the provider of post-secondary education primarily focused on the needs of working adults and other non-traditional students. It provides Associate, Bachelor’s, and Master’s degree and diploma programs.
Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.
National American University Holdings Inc Earnings Cheat Sheet for the Second Quarter
Results: Net income for National American University Holdings Inc fell to $1.9 million (7 cents per share) vs. $2.7 million (10 cents per share) a year earlier. This is a decline of 30.8% from the year earlier quarter.
Revenue: Rose 9.4% to $30.4 million from the year earlier quarter.
Actual vs. Wall St. Expectations: NAUH fell in line with the mean analyst estimate of 7 cents per share. Analysts were expecting revenue of $30.4 million.
Quoting Management: Ronald L. Shape, Ed.D., Chief Executive Officer of the Company, commented, “As a result of continued investment in NAU’s geographic expansion and programmatic development, we achieved double-digit growth in NAU’s enrollment to a record 10,898 students during the fiscal 2012 second quarter. Because of our strategic growth initiatives, SG&A expenses were higher during the period, and we expect these expenses will continue to be high through the third and fourth quarters of this fiscal year.”
Key Stats:
Revenue has risen the past four quarters. Revenue increased 9.6% to $25.4 million in the first quarter. The figure rose 10.1% in the fourth quarter of the last fiscal year from the year earlier and climbed 17.5% in the third quarter of the last fiscal year from the year-ago quarter.
The company has now seen net income fall in each of the last two quarters. In the first quarter, net income fell 23.7% from the year earlier quarter.
The company fell in line with estimates last quarter after missing the mark in the previous two quarters. In the first quarter, it fell short by 3 cents, and in the fourth quarter of the last fiscal year, it missed by 3 cents.
Looking Forward: Analysts appear increasingly negative about the company’s results for the next quarter. The average estimate for the third quarter has moved down from 19 cents a share to 9 cents over the last ninety days. The average estimate for the fiscal year is 28 cents per share, down from 57 cents ninety days ago.
Competitors to Watch: Apollo Group, Inc. , Corinthian Colleges, Inc. , DeVry Inc. , Grand Canyon Education Inc , Career Education Corp. , American Public Education, Inc. , Education Management Corp , Bridgepoint Education, Inc. , Strayer Education, Inc. , and Lincoln Educational Services Corp. .
Stock Performance: Shares of NAUH were up 0.4% from the previous close.
Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.
(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com
To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com
