Business
American Public Education Reports Third Quarter 2020 Results
Student enrollment momentum continues for a fourth consecutive quarter as net course registrations by new students at APUS increase 25% and new student
About this update from American Public Education, Inc.
[{"type":"text","content":"Student enrollment momentum continues for a fourth consecutive quarter as net course registrations by new students at APUS increase 25% and new student enrollment at Hondros increases 88%\n\n\nCHARLES TOWN, W.Va., Nov. 9, 2020 /PRNewswire/ -- American Public Education, Inc. (Nasdaq: APEI) – parent company of online learning provider American Public University System (APUS) and on-ground pre-licensure Hondros College of Nursing (HCN) – announced financial results for the third quarter ended September 30, 2020 that reflect continued momentum in enrollment growth across both institutions.\n\n \n \n \n \n \n \n\n \nThird Quarter Highlights: \nNet course registrations by new students at APUS increased 25% year-over-year and total net course registrations increased 18% year-over-year to 90,300. New student enrollment at HCN increased 88% year-over-year and total student enrollment increased 38% year-over-year to 1,950. Consolidated revenue increased 16.6% to $79.1 million, compared to the prior year period. Net income increased to $2.6 million, or $0.18 per share, from a loss in the prior year period. Adjusted EBITDA increased 49% to $10.8 million, compared to the prior year period. On October 28, 2020, APEI announced plans to acquire regionally accredited Rasmussen University, the largest educator of ADN nurses. Post-acquisition, APEI expects to have revenue of approximately $600 million on an annual pro forma basis1 and to become #1 educator of pre-licensure nurses (ADN/RN and PN/LPN) with over 10,000 nursing students. The pending acquisition is expected to close by the middle of the third quarter 2021.Angela Selden, APEI's Chief Executive Officer said, \"The continued strong enrollment growth at both APUS and Hondros drove 11% growth in revenue for the first three quarters of the year. Even with increased investment in technology to improve the student experience and additional marketing spend to support the APUS brand, the strong enrollments at APUS combined with the turnaround at Hondros resulted in year-over-year margin expansion.\"\n\"Our results demonstrate that APEI's value proposition of Higher Education Return on Investment or 'HEROI™' is resonating with military professionals, veterans, and nurses,\" stated Selden. \"We are well positioned to extend that message with the forthcoming acquisition of Rasmussen University, whi...