Laureate Education, Inc. · NASDAQ:LAUR
Laureate Education — BMO Capital Markets 17th Annual Back to School Conference 2017
23 slides from Laureate Education's conference presentation, Sep 12, 2017
Slide 1: Company Presentation
Company Presentation September 2017 1
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation includes statements that express Laureate's opinions, expectations, beliefs, plans, objectives, assumptions or projections regarding future events or future results and therefore are, or may be deemed to be, "forward-looking statements" within the meaning
Slide 3: Company Overview
COMPANY OVERVIEW © 2017 Laureate Education, Inc. | Confidential & Proprietary 3
Slide 4: Deep Commitment to Benefitting Society: Here for Good
Deep Commitment to Benefitting Society: Here for Good “ Laureate is an international community of universities Employers that encourages learning Communi Community ty Students without boundaries…We believe that when our Governments & Faculty students succeed, countries Governments Regulators Faculty
Slide 5: Global Leader in Large and Growing Higher Education Market
Global Leader in Large and Growing Higher Education Market Massive market opportunity $1.5T 2015 3.2B Global middle class expected to almost double in size 5.2B 2016 2028 population population 200m+ higher education students worldwide…. students …has more than doubled since 2000 1,000,000+ 95% of st
Slide 6: Large, Growing and Underserved Global Market
Large, Growing and Underserved Global Market Massive Global Market Increasing Reliance on the Private Sector (private enrollment as a % of total higher education enrollment in OECD countries (1)) $1.5T 200m+ 26% 31% 2015 higher education students 1 million students 2003 2013 (~0.5% global market sha
Slide 7: Attractive Business Model with a Track Record of Performance
Attractive Business Model with a Track Record of Performance Long-term Programs Drive Revenue Visibility Private Pay Model (3) (% of total students by program length) Private Pay Public Funding 66% 25% 33% 47% 63% 77% 100% 100% 75% 53% 1% 37% 23% < 2 years 2 years – 4 years 4 years + Bright Nord Lau
Slide 8: Proven & Replicable Growth Model
Proven & Replicable Growth Model Growth Through Leveraging Best-in-Class Operating Model Student outreach Develop new locations New product offerings Optimize campus operations New market segments Leverage network benefits Selected Case Studies (total enrollment ‘000s) 19 130 (total enro
Slide 9: Strong Presence and Brand Recognition Across Key Markets
Strong Presence and Brand Recognition Across Key Markets Rest of Mexico Brazil Chile Peru United States World Traditional campus-based programs Developed Limited public Limited public infrastructure market for online capacity Market opportunity Heavy reliance on private sector Strong gro
Slide 10: Academic Priority is Continued Focus on Outcomes & Quality
Academic Priority is Continued Focus on Outcomes & Quality Third Party Research(1) Market Studies • 12 of 13 institutions surveyed met or • Joint research with IFC in Mexico exceeded local market employment and Peru benchmarks • Laureate graduates have greater • Salary outperformance of 6% -118% adv
Slide 11: Q2 2017 Performance Highlights
Q2 2017 PERFORMANCE HIGHLIGHTS © 2017 Laureate Education, Inc. | Confidential & Proprietary 11
Slide 12: Q2 and YTD Q2 2017 Financial Performance Highlights
Q2 and YTD Q2 2017 Financial Performance Highlights 2nd Quarter 2017 YTD 2017 Adj. Adj. Revenue EBITDA Revenue EBITDA $1,277M $342M $2,133M $390M +8% +22% +6% +22% Organic constant Organic constant Organic constant Organic constant currency growth (1) currency growth (1) currency growth (1) currency
Slide 13: YTD Q2 Enrollment by Segment
YTD Q2 Enrollment by Segment • New Enrollments for YTD Q2 2017 increased 2% and Total Enrollments grew 3% versus Q2 2016 on an organic basis (excluding 2016 divestitures(1)) – The primary driver of GPS’ decline in new enrollment was an online calendar shift that pushed a start period from June to Ju
Slide 14: YTD Q2 '17 vs. '16 Revenue & Adj. EBITDA Bridges – Total Company
YTD Q2 ’17 vs. ’16 Revenue & Adj. EBITDA Bridges – Total Company YTD Q2 ’17 vs. YTD Q2 ’16 Laureate Revenue Bridge YTD Q2 ’17 Performance Highlights ($ in USD millions) $126.9 $7.8 First half of 2017 shows solid performance in +3% $2,138.4 $2,133.4 revenue and Adjusted EBITDA, with results $(139.7
Slide 15: New Segment Reporting
New Segment Reporting • New organization structure created to enable a more streamlined and efficient operating model ONLINE & PARTNERSHIPS GPS CENTRAL AMERICA & U.S. CAMPUSES BRAZIL LATAM MEXICO ANDEAN & IBERIAN EMEAA EMEAA © 2017 Laureate Education, Inc. | Confidential & Proprietary 15
Slide 16: Accelerator Plan
ACCELERATOR PLAN © 2017 Laureate Education, Inc. | Confidential & Proprietary 16
Slide 17: Accelerator Plan
Guidance as of August 8, 2017, provided during Q2 2017 Earnings Call. Laureate is Accelerator Plan not reaffirming or updating this guidance as of the time and date of this presentation. Process underway to exit 5 - 7 markets in EMEAA that are deemed unlikely to reach a scale that will be meaningf
Slide 18: 2017 Outlook
2017 OUTLOOK © 2017 Laureate Education, Inc. | Confidential & Proprietary 18
Slide 19: FY 2017 Updated Guidance
Guidance as of August 8, 2017, provided during Q2 2017 Earnings Call. Laureate is FY 2017 Updated Guidance not reaffirming or updating this guidance as of the time and date of this presentation. • Total Enrollments: reiterate 2.0% - 3.5% organic growth • Revenue: increasing bottom end of the range;
Slide 20: Q3 2017 Guidance
Guidance as of August 8, 2017, provided during Q2 2017 Earnings Call. Laureate is Q3 2017 Guidance not reaffirming or updating this guidance as of the time and date of this presentation. • Q3 2017 revenue is expected to only show modest year-over-year growth, unfavorably impacted by the Q3 2016 shif
Slide 21: Other Updates
OTHER UPDATES © 2017 Laureate Education, Inc. | Confidential & Proprietary 21
Slide 22: Share Count and Capital Structure
Guidance as of August 8, 2017, provided during Q2 2017 Earnings Call. Laureate is Share Count and Capital Structure not reaffirming or updating this guidance as of the time and date of this presentation. Following the refinancing of the corporate debt during the second quarter, on August 2, 2017 L
Slide 23: © 2017 Laureate Education, Inc. | Confidential & Proprietary
© 2017 Laureate Education, Inc. | Confidential & Proprietary 23
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