Universal Technical Institute(UTI) - 2025 Q1 - Quarterly Report

Financial Performance - Revenues for the three months ended December 31, 2024, increased to $201,429,000, up from$174,695,000 in the same period of 2023, representing a growth of 15.3%[18] - Net income for the same period was $22,153,000, compared to$10,389,000 in 2023, reflecting a significant increase of 113.4%[18] - Basic earnings per share rose to $0.41, up from$0.18 in the prior year, indicating a growth of 127.8%[18] - The company reported a comprehensive income of $22,698,000 for the three months ended December 31, 2024, compared to$9,503,000 in 2023, representing a growth of 138.5%[21] - Net income for the three months ended December 31, 2024, was $22,153,000, compared to$10,389,000 for the same period in 2023, representing a 113.4% increase[26] - Operating cash flow for the three months ended December 31, 2024, was $22,962,000, up from$10,836,000 in 2023, indicating a 112.5% increase[26] - EBITDA for the three months ended December 31, 2024, was $35.4 million, significantly higher than$21.4 million for the same period in 2023, indicating improved operational performance[139] - Income available for distribution increased to $22.2 million for the three months ended December 31, 2024, compared to$9.3 million in the prior year, reflecting stronger financial results[134] Assets and Liabilities - Total current assets increased to $230,873,000 as of December 31, 2024, compared to$221,951,000 at the end of September 2024, marking a rise of 4.2%[16] - Total assets reached $753,756,000, up from$744,575,000, which is an increase of 1.6%[16] - Total liabilities decreased to $473,780,000 from$484,344,000, showing a reduction of 2.3%[16] - Total shareholders' equity as of December 31, 2024, was $279,976,000, up from$260,231,000 as of September 30, 2024, reflecting a 7.6% increase[23] - Total debt as of December 31, 2024 was $120,425,000, a decrease from$126,087,000 as of September 30, 2024[60] - As of December 31, 2024, total lease liabilities amounted to $170,643,000, a decrease from$173,809,000 as of September 30, 2024[56] Cash Flow and Financing Activities - Total cash and cash equivalents at the end of the period increased to $171,999,000 from$143,590,000 year-over-year, reflecting a 19.8% growth[26] - Cash used in financing activities decreased to $9,335,000 in Q4 2024 from$15,089,000 in Q4 2023, a reduction of 38.1%[26] - The company made payments of $5,000,000 on the Credit Facility during the three months ended December 31, 2024, leaving remaining availability of$74,000,000[64] - Net cash provided by operating activities for the three months ended December 31, 2024, was $23.0 million, compared to$10.8 million for the same period in 2023[150] - Cash used in investing activities during the three months ended December 31, 2024, was $3.3 million for the purchase of property and equipment[153] Student Enrollment and Revenue Sources - Total new student starts for UTI increased by 19.0$73.8 million for the three months ended December 31, 2024, compared to $68.1 million in the prior year, primarily due to costs associated with business strategies[122] - Compensation and related costs for UTI increased by$4.0 million due to hiring to support new programs and overall student growth[119] - Concorde's compensation and related costs increased by $4.4 million, driven by hiring to support student growth and new program launches[121] Future Plans and Developments - The company plans to launch new HVACR programs at its Sacramento and Orlando campuses, with the first cohort expected to start in Q2 2025[111] - UTI announced the expansion of its Manufacturer Specific Advanced Training program to include Tesla's START Collision Repair program, set to begin in Spring 2025[111] - The company signed a new lease for a co-branded campus with Heartland Dental in Fort Myers, Florida, expected to open in early fiscal 2026[111] Compliance and Accounting - The company is currently evaluating the impact of new accounting standards, including ASU 2023-07 and ASU 2023-09, which will affect financial statement disclosures in fiscal years 2025 and 2026, respectively[38][39] - The company’s financial statements are prepared in accordance with GAAP, and estimates and assumptions are made that could affect reported amounts[35] - The company was in compliance with all debt covenants as of December 31, 2024[67]