SAN DIEGO, May 5, 2015 /PRNewswire/ -- Bridgepoint
Education (NYSE:BPI), a provider of postsecondary education
services, announced today its results for the three months ended
March 31, 2015.
Highlights for the first quarter ended March 31, 2015, are
as follows:
- Total student enrollment at period end was 55,322.
- Revenue was $142.5 million
compared with revenue of $157.3
million for the same period in 2014.
- Operating loss was $1.2 million
compared with an operating loss of $7.9
million for the same period in 2014.
- Net loss was $0.4 million
compared with a net loss $4.3 million
for the same period in 2014.
- Fully diluted loss per share was $0.01 compared with fully diluted loss per share
of $0.10 for the same period in
2014.
Student Enrollment
Total student enrollment at Bridgepoint Education's academic
institutions, Ashford University and
University of the Rockies, was 55,322 students at March 31,
2015, compared with 64,495 students at March
31, 2014.
For the first quarter of 2015, the 12-month retention for all
Ashford students who were active on the last day of the first
quarter of 2014 was 63.9%. For the first quarter of 2014, the
12-month retention for all Ashford students who were active on the
last day of the first quarter of 2013 was 64.6%.
Financial Results
Revenue for the first quarter of 2015 was $142.5 million, compared with revenue of
$157.3 million for the same period in
2014.
Operating loss for the first quarter of 2015 was $1.2 million compared with an operating loss of
$7.9 million for the same period in
2014.
Net loss for the first quarter of 2015 was $0.4 million compared with a net loss of
$4.3 million for the same period in
2014.
Fully diluted loss per share for the first quarter of 2015 was
$0.01 compared with fully diluted
loss per share of $0.10 for the same
period in 2014.
The Company recognized an income tax benefit for the first
quarter of 2015 at an effective tax rate of 27.4%.
Balance Sheet and Cash Flow
As of March 31, 2015, the Company had cash, restricted
cash, cash equivalents and marketable securities of $355.3 million, compared with $356.5 million as of December 31, 2014.
The Company generated $7.4 million
of cash from operating activities during the three months ended
March 31, 2015, compared with
$16.5 million of cash used in
operating activities during the same period in 2014.
Earnings Conference Call and Webcast
Bridgepoint Education will host a conference call at
11:30 a.m. ET (8:30 a.m. PT) today to discuss its latest
financial results and recent highlights. The dial-in number
for callers in the United States /
Canada is 866-859-7412, and for
other callers, 832-900-4623. The access code for all callers
is 37807845. A live webcast will also be available on the
Company's website at http://ir.bridgepointeducation.com.
A replay of the call will be available via telephone through
June 5, 2015. To access the
replay, dial 855-859-2056 in the United
States / Canada and for
other callers, 404-537-3406; then enter the access code
37807845.
About Bridgepoint Education
Bridgepoint Education, Inc. (NYSE:BPI) harnesses the latest
technology to reimagine the modern student experience. Bridgepoint
owns two academic institutions – Ashford
University and University of the Rockies. Ashford University offers associate's, bachelor's
and master's degree programs while University of the Rockies offers
master's and doctoral degree programs. Both provide
progressive online platforms as well as campuses in Iowa and Colorado. Bridgepoint stands
for greater access, social learning, and exposure to leading
minds.
For more information, visit
http://ir.bridgepointeducation.com/investor-relations/ or
www.facebook.com/BridgepointEducation, or call Paul Goodson, Associate Vice President of
Investor Relations, at (866) 475-0317 x2271.
Forward-Looking Statements
This news release may contain forward-looking statements,
including, without limitation, statements regarding management's
intentions, hopes, beliefs or expectations, and statements
regarding the Company's 2015 outlook. These statements are subject
to risks and uncertainties that could cause the Company's actual
performance or results to differ materially from those expressed in
or suggested by such statements. Such risks and uncertainties
include, without limitation:
- the failure to comply with the extensive regulatory framework
applicable to the Company and its institutions, including Title IV
of the Higher Education Act of 1965, as amended, and its
regulations, state laws, regulatory requirements, and accrediting
agency requirements;
- adverse administrative, economic, legislative or regulatory
changes affecting the Company and its institutions;
- the imposition of fines or other corrective measures against
the Company's institutions;
- competition in the postsecondary education market and its
potential impact on the Company's market share, recruiting costs
and tuition rates;
- reputational and other risks related to potential compliance
audits, regulatory actions, negative publicity or service
disruptions; and
- the inability to recruit and retain students or develop new or
expanded programs in a timely and cost-effective manner.
Additional information on factors that could affect the
Company's performance or results is included from time to time in
the "Risk Factors" and "Management's Discussion and Analysis of
Financial Condition and Results of Operations" sections of the
Company's periodic reports filed with the Securities and Exchange
Commission (the "SEC"), including the Company's Annual Report on
Form 10-K for the fiscal year ended December
31, 2014, filed with the SEC on March
10, 2015, and Quarterly Report on Form 10-Q for the quarter
ended March 31, 2015, to be filed
with the SEC.
You should not place undue reliance on any forward-looking
statements. Forward-looking statements are made on the basis
of management's good faith beliefs and assumptions regarding future
events based on information available at the time the statements
are made. Forward-looking statements speak only as of the
date they are made, and the Company assumes no obligation to update
or revise any forward-looking statements, whether as a result of
new information, future events or otherwise, except to the extent
required by applicable securities laws.
Contact: Paul Goodson, Associate
Vice President of Investor Relations
866.475.0317 x2271
investorrelations@bridgepointeducation.com
BRIDGEPOINT
EDUCATION, INC.
|
Condensed
Consolidated Statements of Income
|
(In thousands,
except per share amounts)
|
(Unaudited)
|
|
|
Three Months
Ended
March 31,
|
|
2015
|
|
2014
|
Revenue
|
$
|
142,518
|
|
$
|
157,270
|
Costs and
expenses:
|
|
|
|
Instructional costs
and services
|
75,049
|
|
83,081
|
Admissions advisory
and marketing
|
52,347
|
|
65,778
|
General and
administrative
|
16,322
|
|
16,269
|
Total costs and
expenses
|
143,718
|
|
165,128
|
Operating
loss
|
(1,200)
|
|
(7,858)
|
Other income,
net
|
689
|
|
367
|
Loss before income
taxes
|
(511)
|
|
(7,491)
|
Income tax
benefit
|
(140)
|
|
(3,161)
|
Net loss
|
$
|
(371)
|
|
$
|
(4,330)
|
Earnings (loss) per
share:
|
|
|
|
Basic
|
$
|
(0.01)
|
|
$
|
(0.10)
|
Diluted
|
(0.01)
|
|
(0.10)
|
Weighted average
number of common shares outstanding used in computing earnings per
share:
|
|
|
|
Basic
|
45,428
|
|
44,897
|
Diluted
|
45,428
|
|
44,897
|
BRIDGEPOINT
EDUCATION, INC.
|
Condensed
Consolidated Balance Sheets
|
(In
thousands)
|
(Unaudited)
|
|
|
March 31,
2015
|
|
December 31,
2014
|
ASSETS
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
|
241,277
|
|
$
|
207,003
|
Restricted
cash
|
20,206
|
|
25,934
|
Investments
|
12,177
|
|
12,051
|
Accounts receivable,
net
|
30,918
|
|
21,274
|
Student loans
receivable, net
|
859
|
|
1,003
|
Deferred income
taxes
|
21,295
|
|
21,301
|
Prepaid expenses and
other current assets
|
22,321
|
|
22,818
|
Total current
assets
|
349,053
|
|
311,384
|
Property and
equipment, net
|
75,728
|
|
78,219
|
Investments
|
81,593
|
|
111,557
|
Student loans
receivable, net
|
9,146
|
|
9,510
|
Goodwill and
intangibles, net
|
23,901
|
|
24,775
|
Deferred income
taxes
|
20,043
|
|
20,175
|
Other long-term
assets
|
2,661
|
|
2,475
|
Total
assets
|
$
|
562,125
|
|
$
|
558,095
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
Current
liabilities:
|
|
|
|
Accounts
payable
|
$
|
6,894
|
|
$
|
1,013
|
Accrued
liabilities
|
55,986
|
|
51,403
|
Deferred revenue and
student deposits
|
102,688
|
|
108,048
|
Total current
liabilities
|
165,568
|
|
160,464
|
Rent
liability
|
20,275
|
|
22,098
|
Other long-term
liabilities
|
9,728
|
|
9,652
|
Total
liabilities
|
195,571
|
|
192,214
|
Total stockholders'
equity
|
366,554
|
|
365,881
|
Total liabilities and
stockholders' equity
|
$
|
562,125
|
|
$
|
558,095
|
BRIDGEPOINT
EDUCATION, INC.
|
Condensed
Consolidated Statements of Cash Flows
|
(In
thousands)
|
(Unaudited)
|
|
|
Three Months Ended
March 31,
|
|
2015
|
|
2014
|
Cash flows from
operating activities
|
|
|
|
Net loss
|
$
|
(371)
|
|
$
|
(4,330)
|
Adjustments to
reconcile net loss to net cash provided by operating
activities:
|
|
|
|
Provision for bad
debts
|
8,396
|
|
7,560
|
Depreciation and
amortization
|
5,345
|
|
6,029
|
Amortization of
premium/discount
|
19
|
|
(19)
|
Stock-based
compensation
|
2,245
|
|
1,893
|
Excess tax benefit of
option exercises
|
(231)
|
|
(793)
|
Loss on impairment of
student loans receivable
|
359
|
|
265
|
Net loss on
marketable securities
|
34
|
|
—
|
Loss on disposal of
fixed assets
|
163
|
|
80
|
Changes in operating
assets and liabilities:
|
|
|
|
Restricted
cash
|
5,716
|
|
8,208
|
Accounts
receivable
|
(17,931)
|
|
(14,092)
|
Prepaid expenses and
other current assets
|
360
|
|
(6,297)
|
Student loans
receivable
|
260
|
|
198
|
Other long-term
assets
|
(185)
|
|
(240)
|
Accounts payable and
accrued liabilities
|
10,270
|
|
9,526
|
Deferred revenue and
student deposits
|
(5,313)
|
|
(24,084)
|
Other
liabilities
|
(1,748)
|
|
(403)
|
Net cash provided by
(used in) operating activities
|
7,388
|
|
(16,499)
|
Cash flows from
investing activities
|
|
|
|
Capital
expenditures
|
(1,626)
|
|
(3,054)
|
Purchases of
investments
|
(142)
|
|
(23,111)
|
Non-operating
restricted cash
|
12
|
|
—
|
Capitalized costs for
intangible assets
|
(592)
|
|
(1,121)
|
Sales and maturities
of investments
|
30,101
|
|
20,000
|
Net cash provided by
(used in) investing activities
|
27,753
|
|
(7,286)
|
Cash flows from
financing activities
|
|
|
|
Proceeds from
exercise of stock options
|
127
|
|
2,361
|
Excess tax benefit of
option exercises
|
231
|
|
793
|
Tax withholdings on
issuance of stock awards
|
(1,225)
|
|
(1,204)
|
Net cash provided by
(used in) financing activities
|
(867)
|
|
1,950
|
Net increase
(decrease) in cash and cash equivalents
|
34,274
|
|
(21,835)
|
Cash and cash
equivalents at beginning of period
|
207,003
|
|
212,526
|
Cash and cash
equivalents at end of period
|
$
|
241,277
|
|
$
|
190,691
|
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SOURCE Bridgepoint Education