Laureate Education, Inc. · NASDAQ:LAUR
Laureate Education — Q2 2006 Earnings Presentation
16 slides from Laureate Education's earnings presentation, Jul 20, 2006
Slide 1: Earnings Conference Call and Webcast Second Quarter 2006
Laureate Education, Inc. Earnings Conference Call and Webcast Second Quarter 2006 July 20, 2006
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation includes information that could constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements may involve risk and uncertainties. Although the Compa
Slide 3: Delivering Growth and Results
Delivering Growth and Results Second Quarter Revenues Increased 34% to $303.1 Million Income from Continuing Operations was $40.7 Million or $0.77 per Diluted Share An increase of 28% over second quarter 2005 Excluding the ($0.02) impact of stock option expense and the $0.04 net impact of the contin
Slide 4: Delivering Growth and Results
Delivering Growth and Results Second Quarter Revenues Increased 34% to $303.1 Million Income from Continuing Operations was $40.7 Million or $0.77 per Diluted Share An increase of 28% over second quarter 2005 Excluding the ($0.02) impact of stock option expense and the $0.04 net impact of the contin
Slide 5: Key Online Successes – Q2 2006
Key Online Successes – Q2 2006 Online Higher Educat ion New Enrollment Growth: 23% (2) Total Enrollment Growth: 27% (1) Online Growth Strategy Proceeding as Planned Conversion and retention rates show continued strength Diversification of marketing channels continues Expansion Through New Programs a
Slide 6: Laureate Online's Business is Benchmark of Leadership
Laureate Online’s Business is Benchmark of Leadership 5-Yr CAGR: 24% 26,750 KEY ONLINE STATS: Total Online Enrollment: 29,134 (6/30/06) Total Enrollment Increase: 20%-25% (Full-Year 2006) Typical Price Increase: 4-5% Best in Class: Cohort Default Rate: 0.7% Attrition Rate: Industry Leading Accredita
Slide 7: Online Positioned for Growth and Margin Improvement
Online Positioned for Growth and Margin Improvement Online 2006 new enrollment forecast per Q1 conference New student enrollment 2Q:high-teens (vs. a reported 23%) call (1) New student enrollment 3Q: low double-digits New student enrollment 4Q: high-teens to low-twenties Operating profit improvement
Slide 8: Laureate Introduces 2007 Financial Outlook
Laureate Introduces 2007 Financial Outlook Revenue: $1.275 - $1.375 Billion 13%-15% Total Enrollment Growth Margin Improvement (1) 50 - 100 bps 2007 Earnings Per Share: An increase of 20% or more over 2006 Outlook SFAS123R stock options expense of ($0.12) to ($0.14) GAAP Outlook: $2.45 to $2.55 2007
Slide 9: Laureate Education, Inc. Financial Overview
Laureate Education, Inc. Financial Overview
Slide 10: Strong Second Quarter 2006 Financial Results
Strong Second Quarter 2006 Financial Results Total Revenue increased 34% to $303 million Campus Based revenue increased 37% (Latin America 45%, Europe 14%) Online revenue increased 21% Operating income increased 28% to $57 million Second quarter 2006 diluted earnings per share: $0.77Income from Cont
Slide 11: Third Quarter 2006 Financial Outlook
Third Quarter 2006 Financial Outlook Revenue ($ in millions) Campus-Based Revenue: $185-$205 Online Revenue: $55 - $60 Total Revenue: $240 - $265 Operating Margin Campus-Based: 8% - 9% Online:20% - 22% Corporate G&A Expense: ~$10 Diluted Earnings Per Share (1) : $0.19-$0.21 Excludes Effect of SFAS12
Slide 12: 2006 Financial Outlook (Excludes Acquisitions)
2006 Financial Outlook (Excludes Acquisitions) Revenue: $1.08 - $1.15 Billion An increase of 23% to 31% over 2005 14%-16% Campus-Based total enrollment growth (excluding acquisition) 20%-25% Online total enrollment growth 4%-5% Price improvement Margin Improvement (1) : 60 - 120 bps Campus-based ope
Slide 13: Laureate Education, Inc. Summary
Laureate Education, Inc. Summary
Slide 14: Strategy and Objectives in 2006 & 2007
Strategy and Objectives in 2006 & 2007 Expand Utilization and Capacity at Existing Campuses Add 3-4 New Campuses in Existing Countries (includes build v. buy) Continue Preparations for China Entry Launch New Network Programs Expand study abroad and double-degree programs Increase programs with share
Slide 15: Vision for 2010
Vision for 2010 Revenue:$2 Billion Operating Margin:20% EPS:$5.00 per share (25% + CAGR) Assumptions: 18% to 20% annual revenue growth (based on 13% to 15% enrollment growth) and 100 + bps annual operating margin improvement Positioned for 15% to 20% earnings growth 2010 to 2015 Highest growers in 2
Slide 16: Questions & Answers
LAUREATE EDUCATION, INC. Questions & Answers