Covista Inc. · NYSE:CVSA
Covista — Adtalem Global Education — Q2 2020 Earnings Presentation
15 slides from Covista's earnings presentation, Feb 4, 2020
Slide 1: Q2 2020 Earnings Presentation
Q2 2020 Earnings Presentation February 4, 2020
Slide 2: Safe Harbor
Safe Harbor Certain statements contained in this presentation concerning Adtalem Global Education’s future performance, including those statements concerning expectations or plans, constitute “forward-looking statements” within the meaning of the Safe Harbor Provision of the Private Securities Litig
Slide 3: Q2 2020 Highlights
Q2 2020 Highlights Delivered revenue growth across both verticals $266.2 million Revenue $30.9 million Net Income1 Seeing early results of initiatives to boost enrollment in Medical and Healthcare $0.57 Adjusted Earnings Per Share1 Completed integration of OnCourse Learning $113.0 million TTM Free C
Slide 4: Medical & Healthcare
Medical & Healthcare Enrollment growth driven by strategic marketing and recruitment investments • Chamberlain University: - Increased both new and total student enrollment in Q2, supported by the Step Forward branding campaign and progress of new RN/BSN initiatives - Announced partnership with Nati
Slide 5: Financial Services
Financial Services Continued momentum from Q1 with growth driven by OnCourse Learning • Becker: - Momentum with enterprise renewals for CPA and CPE courses - Currently offering over 845 hours of CPE courses • ACAMS: - Increased membership enrollment, now exceeding 77,000 members across 71 active cha
Slide 6: Q2 2020 Financial Highlights
Q2 2020 Financial Highlights Revenue $266 ($ in millions) $254 • Revenue growth across both verticals 4.8% boosted by OnCourse Learning acquisition $330.0 million Revenue Q2 2019 Q2 2020 Operating Income1 $47 ($ in millions) (9.4%) • Operating income impacted by investments $42 in marketing and recr
Slide 7: Q2 2020 Solid Revenue Growth Across Segments
Q2 2020 Solid Revenue Growth Across Segments Revenue ($M) Operating Income1 ($M) Medical & Healthcare • Revenue growth driven by • Operating income impacted by student housing offerings at investments in marketing and RUSM and higher enrollment recruiting to drive future fees at Chamberlain (12.5%)
Slide 8: Medical & Healthcare Normalized Operating Income Year-over-Year
Medical & Healthcare Normalized Operating Income Year-over-Year Underlying operating income trends demonstrate slight growth Key Metrics Operating Income (OI) OI Margin Q2 2019 as reported1 $47.5 million 22.3% Q2 2020 as reported1 $41.6 million 18.9% Increase in bad debt reserve $4.4 million 2.0% Ch
Slide 9: Financial Services Normalized Operating Income Year-over-Year
Financial Services Normalized Operating Income Year-over-Year Underlying operating income trends reflect in-period investments for future growth Key Metrics Operating Income (OI) OI Margin Q2 2019 as reported1 $9.6 million 22.9% Q2 2020 as reported1 $5.7 million 12.3% ACAMS Las Vegas conference timi
Slide 10: Generating Strong Free Cash Flow
Generating Strong Free Cash Flow Key Metrics Trailing 12 months, as of December 31, 2019 Operating Cash Flow1 $159 million $250 Free Cash Flow1 $113 million ($72) ($125) ($125) ($163) 1) From continuing operations, excluding special items Note: Free cash flow is a non-GAAP financial measure defined
Slide 11: Liquidity and Capital Structure
Liquidity and Capital Structure Liquidity availability positions us well to invest for growth and return cash to shareholders Key Metrics September 30, 2019 December 31, 2019 $121 million1 $67 million1 Cash, cash equivalents1 ($195 million2) ($141 million2) Capacity available under revolver $192 mil
Slide 12: Reiterating FY 2020 Guidance
Reiterating FY 2020 Guidance Key Metrics FY20 Guidance Revenue 5% to 7% growth compared with FY 2019 Effective income tax rate1 19% to 20% CapEx1 $45 to $50 million Earnings per Share1 7% to 9% growth compared with FY 2019 1) From continuing operations, excluding special items ©2020 Adtalem Global E
Slide 13: Appendix
Appendix ADTALEM
Slide 14: Non-GAAP Reconciliation Tables
Non-GAAP Reconciliation Tables ©2020 Adtalem Global Education Inc. All rights reserved. 14
Slide 15: Non-GAAP Reconciliation Tables
Non-GAAP Reconciliation Tables Key Metrics Q2 2020 Results2 Operating Cash Flow (GAAP measure)1 $159 million Capital Expenditures $46 million Free Cash Flow (Non-GAAP measure)1 $113 million 1) From continuing operations, excluding special items 2) For twelve months ended December 31, 2019 ©2020 Adta
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