Aspen Group, Inc. · OTC:ASPU
Aspen — LD Micro Main Event 2016
14 slides from Aspen's conference presentation, Dec 6, 2016
Slide 1: LD Micro Main Event - Aspen Group, Inc.
LD Micro Main EventDecember 6, 2016 OTCQB: ASPUwww.aspen.edu ASPEN GROUP, INC.
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT 1 Certain statements in this presentation and responses to various questions include forward-looking statements including statements regarding our opportunities and expectations from the nursing education sector, the future federal regulatory impact on Aspen, the impact of our
Slide 3: Aspen University Disrupting the Online For-Profit Education Sector
ASPEN UNIVERSITY DISRUPTING THE ONLINE FOR-PROFIT EDUCATION SECTOR 2 “Pay-As-You-Go”Monthly Payment Plans Targeting the High-GrowthNursing Sector Ability to Deliver Sub-$1,000 Enrollments at Scale Aspen Among the Fasting GrowingUniversities in U.S.
Slide 4: First University Ever to Vertically Integrate Marketing
ASPEN FIRST UNIVERSITY EVER TO VERTICALLY INTEGRATE MARKETING 3 Best-in-class customer acquisitionManagement’s expertise in Internet advertising and lead generation allowed Aspen to bring all marketing in-houseDo not utilize third-party lead gen firmsAll Aspen branded adsDirect publisher relationshi
Slide 5: University's Monthly Payment Business Model
ASPEN UNIVERSITY’S MONTHLY PAYMENT BUSINESS MODEL 4 Aspen University offers world class online education at half the cost of its competitors; committed to cash-based, pay-as-you-go education“Let’s Change Higher Education Forever” Students can pay $325/month for a Master’s degree = $11,700 (36 monthl
Slide 6: Monthly Payment Methods Now the Majority Payment Type
MONTHLY PAYMENT METHODS NOWTHE MAJORITY PAYMENT TYPE 5 Recurring Monthly Tuition Billing Now Exceeds $550,000Over 2,200 degree-seeking students enrolled in a monthly payment method (as of 10/31/16)Total value of monthly payment plan contracts exceeds $16 million (as of 10/31/16) Tuition Revenues by
Slide 7: The Nursing Dilemma
THE NURSING DILEMNA 6 Critical Nursing shortage projected next decade (260,000 RN shortage by 2025)More than 1 million RNs will reach retirement age within next 10-15 years (average age of RNs is 47 years old); 525,000 replacement Nurses expected, bringing the job openings growth to 1.05mm by 2022Nu
Slide 8: Capturing >2% of BSN Completion Starts
ASPEN CAPTURING >2% OF BSN COMPLETION STARTS WSJ Article, March 6, 2016 Approximately 140K students currently enrolled in BSN Completion programs; or approx. 50,000 new enrolls/year
Slide 9: Student Body Analysis
STUDENT BODY ANALYSIS Nursing Grows From 57% to 68% of Active Student Body YoY 3,282 2,708 ‘OCTOBER "15 JANUARY "18 APRIL "16 JULY 16 OCTOBER "16 School of Nursing Total -Actives _stAspen University Total - Actives
Slide 10: Fiscal Q2'17 Record Operating Metrics
FISCAL Q2’17 RECORD OPERATING METRICS 9 Aspen set a quarterly enrollment record in Q2 with 811 new student enrollments; surpassing previous record of 621 by 31%New class starts up 67% YoY, from 2,238 to 3,730Average tuition rate up 4% YoY, from $786 to $819Rolling 6-month average cost-per-enrollment
Slide 11: Unit Economics Among Best in Sector
UNIT ECONOMICS AMONG BEST IN SECTOR 10 Low customer acquisition costs and variable teaching costs create highly attractive unit economics – projecting 70%+ Adjusted Gross Margins at scaleAverage course completions per student enrollment is 8 = $7,000* revenue (average $800 tuition/course today and r
Slide 12: Fiscal 2017 Guidance
FISCAL 2017 GUIDANCE 11 Expect CAGR of 50%+ (>$12.7mm)Estimating ($0.01) EPS or betterEstimating >12% Adjusted EBITDA MarginNet Income Positive Before Fiscal Year End ‘17
Slide 13: Equity Snapshot
EQUITY SNAPSHOT 12 As of 11/30/16 Ticker on OTCQB: ASPU Share Price: $0.26 52 Week Range: $0.10 - $0.28 Market Cap: $35.9 Million Shares Outstanding : 138 Million Mgmt & BOD Ownership: 19%
Slide 14: Questions & Answers
ASPEN GROUP, INC. QUESTIONS & ANSWERS