Covista Inc. · NYSE:CVSA

Covista — Adtalem Global Education — Q2 2022 Earnings Presentation

16 slides from Covista's earnings presentation, Feb 8, 2022

  1. Slide 1: Second Quarter 2022 Earnings Presentation

    Second Quarter 2022 Earnings Presentation February 8, 2022

  2. Slide 2: Safe Harbor

    Safe Harbor Forward-Looking Statements Certain statements contained in this release are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations of future events based on certain assumptions and include any

  3. Slide 3: Q2 2022 Highlights

    Q2 2022 Highlights Q2 2022 • Announced definitive agreement to sell Financial Services segment, unlocking Revenue significant shareholder value • Continued to successfully integrate Walden into asset portfolio; on track to meet $371.2 million synergy targets Operating Income1 • Positioned as the lea

  4. Slide 4: Q2 2022 P&L Highlights

    Q2 2022 P&L Highlights Top line, earnings and margin growth primarily driven by the accretive Walden acquisition Revenue Operating Income1 Diluted EPS1 (in millions) (in millions) $70.2 $0.75 $371.2 23% 70% $0.61 $234.4 +58% $41.3 Q2 2021 Q2 2022 Q2 2021 Q2 2022 Q2 2021 Q2 2022 Year-over-Year Operat

  5. Slide 5: Q2 2022 Chamberlain Performance

    Q2 2022 Chamberlain Performance Revenue Revenue ($M) ($M) Operating Income ($M) -2.0% -21.6% $142.0 $32.5 $139.1 $25.5 Q2 2021 Q2 2022 Q2 2021 Q2 2022 • Q2 2022 revenue decreased 2.0% to $139.1 million • Operating income declined 21.6% to $25.5 million, due primarily to increased marketing expense a

  6. Slide 6: Q2 2022 Walden Performance

    Q2 2022 Walden Performance Revenue Revenue ($M) ($M) Operating Income1 ($M) $32.4 $140.6 1 1 Q2 2021 Q2 2022 Q2 2021 Q2 2022 • Revenue was $140.6 million this quarter • Operating income2 was $32.4 million 1) Walden was not owned by Adtalem Global Education in Q2 2021 2) Excluding special items ©2022

  7. Slide 7: Q2 2022 Med & Vet Performance

    Q2 2022 Med & Vet Performance Revenue Revenue ($M) ($M) Operating Income ($M) -1.0% 3.8% $92.4 $91.5 $19.5 $18.8 Q2 2021 Q2 2022 Q2 2021 Q2 2022 • Q2 2022 revenue decreased 1.0% to $91.5 million • Operating income increased 3.8% to $19.5 million, primarily driven by lower expenses ©2022 Adtalem Glob

  8. Slide 8: Free Cash Flow

    Free Cash Flow Three Months Ended ($M) Twelve Months Ended ($M) 2Q 2022 2Q 2021 2Q 2022 1Q 2022 4Q 2021 Operating Cash Flow $(48.5) $(15.6) $91.8 $124.7 $168.8 Capital Expenditures $(8.1) $(7.4) $(34.9) $(34.3) $(39.9) Free Cash Flow $(56.6) $(23.0) $56.9 $90.5 $128.9 Free cash flow is a non-GAAP fi

  9. Slide 9: Outlook

    Outlook Revised previous guidance for FY 2022 revenue1 and diluted EPS1 growth based on: • Pending sale of Financial Services segment therefore moving it to discontinued operations • Impact of COVID-related headwinds associated with the Omicron variant that has further burdened healthcare profession

  10. Slide 10: Appendix

    Appendix ADTALEM

  11. Slide 11: Non-GAAP Financial Measures and Reconciliations

    Non-GAAP Financial Measures and Reconciliations We believe that certain non-GAAP financial measures provide investors with useful supplemental information regarding the underlying business trends and performance of Adtalem’s ongoing operations and are useful for period-over-period comparisons. We us

  12. Slide 12: Enrollment

    Enrollment 2Q 2022 2Q 2021 % Change Adtalem Global Education Student Enrollments New students(1) 7,915 9,046 -12.5% Total students 80,255 85,509 -6.1% Chamberlain University November Session New students(2) 2,916 2,931 -0.5% Total students 33,648 34,387 -2.1% Walden University(3) October - December

  13. Slide 13: Operating Income by Segment

    Operating Income by Segment ©2022 Adtalem Global Education Inc. All rights reserved. 13

  14. Slide 14: Non-GAAP Reconciliation Tables

    Non-GAAP Reconciliation Tables ©2022 Adtalem Global Education Inc. All rights reserved. 14

  15. Slide 15: Non-GAAP Reconciliation Tables

    Non-GAAP Reconciliation Tables Adtalem Global Education Inc. Non-GAAP Free Cash Flow Disclosure (unaudited) (in thousands) Three Months Ended Twelve Months Ended FY22 FY21 FY22 FY22 FY21 Q2 Q2 Q2 Q1 Q4 Net cash (used in) provided by operating activities-continuing operations (GAAP) $ (48,474) $ (15,

  16. Slide 16: Non-GAAP Reconciliation Tables

    Non-GAAP Reconciliation Tables Adtalem Global Education Inc. Non-GAAP Outlook Disclosure (unaudited) (in millions, except per share data) Year Ended June 30, 2022 Expected (loss) earnings per share, diluted (GAAP) $ (0.11) to 0.09 Expected effects on diluted earnings per share: Purchase accounting a

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