Perdoceo Education (US:PRDO)2025-11-04 21:01Enrollment Growth - Total student enrollments increased by 15.1% to 46,520 as of September 30, 2025, compared to 40,400 in the prior year[7]. - The company continues to focus on enhancing student experiences and retention, which are critical for future growth and stability in enrollment[27]. Revenue Performance - Revenue for the third quarter increased by 24.8% to $211.9 million, up from $169.8 million in the prior year quarter[11]. - Year-to-date revenue increased by 25.7% to $634.5 million, compared to $504.8 million in the prior year to date[11]. - Total revenue for Q3 2025 was $211.9M, a 24.8% increase from $169.8M in Q3 2024[32]. - Total revenue for the year to date ended September 30, 2025, was $634,457,000, a 25.6% increase from $504,832,000 in 2024[34]. Operating Income - Operating income for the third quarter rose by 13.8% to $51.0 million, while year-to-date operating income increased by 12.4% to $154.1 million[14]. - Operating income for Q3 2025 was $50.96M, which is 24.1% of total revenue, compared to $44.79M or 26.4% of total revenue in Q3 2024[32]. - Operating income for the year to date ended September 30, 2025, was $154,085,000, representing 24.3% of total revenue, compared to $137,078,000 or 27.2% in 2024[34]. - The company anticipates adjusted operating income for the full year 2025 to be between $234.0M and $236.0M, compared to $188.9M in 2024, indicating a growth of approximately 24%[24]. Adjusted Earnings - Adjusted operating income for the third quarter was $61.0 million, a 27.4% increase from $47.8 million in the prior year quarter[15]. - Adjusted earnings per diluted share for the third quarter increased to $0.65 from $0.59 in the prior year quarter[17]. - Adjusted earnings per diluted share for Q4 2025 is projected to be between $0.53 and $0.55, up from $0.49 in Q4 2024, indicating a growth of approximately 8.2% to 12.2%[24]. - Earnings per diluted share for the year to date ended September 30, 2025, were $1.87, compared to $1.73 in 2024, reflecting an 8.1% increase[40]. Cash and Assets - Cash, cash equivalents, restricted cash, and available-for-sale short-term investments totaled $668.6 million as of September 30, 2025[22]. - Total current assets increased to $736.15M as of September 30, 2025, compared to $640.15M as of December 31, 2024, reflecting a growth of approximately 15%[30]. - Cash and cash equivalents, including short-term investments, rose to $668.62M in Q3 2025, up from $591.55M in Q4 2024, marking an increase of about 13%[30]. - The company reported a net increase in cash, cash equivalents, and restricted cash of $49,026,000 for the year to date ended September 30, 2025[36]. Shareholder Returns - The board declared a quarterly dividend of $0.15 per share, to be paid on December 12, 2025[19]. - The company repurchased 0.7 million shares for $20.6 million at an average price of $31.27 per share during the third quarter[18]. Future Outlook - For Q4 2025, the company expects operating income to be between $38.1M and $40.1M, compared to $37.2M in Q4 2024, representing an increase of approximately 2.4% to 4.9%[24]. - The effective income tax rate is expected to be around 27.0% for Q4 2025 and 26.5% for the full year, which may impact earnings per share projections[24]. - The outlook for operating income for the quarter ending December 31, 2025, is projected to be between $38.1 million and $40.1 million[38]. - The company plans to continue its market expansion and has made a business acquisition, which contributed $854,000 to cash flows from investing activities[36].