Covista Inc. · NYSE:CVSA
Covista — Adtalem Global Education — Q2 2021 Earnings Presentation
20 slides from Covista's earnings presentation, Feb 2, 2021
Slide 1: Q2 2021 Earnings Presentation
Q2 2021 Earnings Presentation February 2, 2021
Slide 2: Safe Harbor
Safe Harbor 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 statement that does not di
Slide 3: Second-Quarter 2021 Highlights
Second-Quarter 2021 Highlights Momentum from Q1 continued in Q2; strong performance in 1H 2021 is a result of successful execution of Workforce Solutions Provider strategy Q2 2021 • Continued to achieve strong operational results with revenue growth of 6.4% and earnings per Revenue share growth of 3
Slide 4: Medical & Healthcare
Medical & Healthcare Differentiation through superior academic outcomes, a focus on student support and success, and strong relationships with healthcare employer partners Chamberlain University: - November session new and total student enrollments showed further growth, increasing 8.1% and 10.2%, r
Slide 5: Financial Services
Financial Services Enhancing our offerings, strengthening our talent and infrastructure and expanding our capabilities to position the segment for long-term growth OnCourse Learning: - Capitalizing on a favorable mortgage market, differentiating OCL from competitors through a combination of offering
Slide 6: Q2 2021 P&L Highlights
Q2 2021 P&L Highlights Revenue (in millions) $283 $266 6.4% Revenue growth driven primarily by Chamberlain enrollment growth over the last 18 months and solid revenue growth in Financial Services Q2 2020 Q2 2021 Operating Income1 (in millions) $53 $42 24.4% Operating income growth driven by increase
Slide 7: Q2 2021 Medical & Healthcare Performance
Q2 2021 Medical & Healthcare Performance Revenue ($M) Operating Income1 ($M) 6.5% 23.3% $234 $51 $220 $42 Q2 2020 Q2 2021 Q2 2020 Q2 2021 • Q2 revenue growth driven by strong student enrollment gains at Chamberlain, partially offset by lower med school clinical and housing revenue • Operating income
Slide 8: Q2 2021 Financial Services Performance
Q2 2021 Financial Services Performance Revenue ($M) Operating Income1 ($M) 5.9% 37.2% $49 $8 $46 $6 Q2 2020 Q2 2021 Q2 2020 Q2 2021 • Revenue growth driven by increased revenue at OnCourse Learning from capturing higher demand associated with the strong mortgage market, and Becker, which is attracti
Slide 9: Q2 Liquidity and Share Repurchases
Q2 Liquidity and Share Repurchases Liquidity1 (millions) Cash and cash equivalents2 $449 Repurchased 1.5M shares for a total of Capacity available under revolver $232 $45M in Q2 Total liquidity as of Dec 31, 2020 $681 1) As of December 30, 2020 2) Excludes $39M of restricted cash ©2020 Adtalem Globa
Slide 10: Q2 Free Cash Flow
Q2 Free Cash Flow Free cash flow significantly increased over the prior-year period Free Cash Flow (millions) Increase/ Year-over-year improvement of $58.5 million 2Q 2021 2Q 2020 (Decrease) due to: Operating Cash Flow $0.6 $(57.7) $58.3 • favorable trends in our year-over-year operating results Cap
Slide 11: Strong Free Cash Flow Generation Driven by Operating Model
Strong Free Cash Flow Generation Driven by Operating Model Adtalem is well-positioned to grow standalone FCF over the long-term in line with earnings Free Cash Flow – Trailing Twelve Months (in millions) $211 TTM 2Q20 free cash $175 flow adjusted for timing $153 of Title IV funds1 $126 $111 $113 $10
Slide 12: Outlook
Outlook FY 2021 diluted EPS1 growth outlook increased from prior outlook REVENUE GROWTH EARNINGS PER SHARE1 GROWTH SHARE REPURCHASE +5-7% +28-32% $100M Continue to expect revenue to increase 5- Now expect diluted EPS, excl. special Anticipate repurchasing up to $100M of 7% as we benefit from strong
Slide 13: Q&A
Q&A ADTALEM par ED
Slide 14: Appendix
Appendix ADTALEM
Slide 15: Non-GAAP Financial Measures and Reconciliations
Non-GAAP Financial Measures and Reconciliations • We believe that certain non-GAAP financial measures provides investors with useful supplemental information regarding the underlying business trends and performance of Adtalem’s ongoing operations and is useful for period-over-period comparisons. We
Slide 16: Enrollment
Enrollment 2Q 2021 2Q 2020 % Change Adtalem Global Education Student Enrollments(1) New students 3,851 3,583 +7.5% Total students 40,237 36,823 +9.3% Chamberlain University November Session(2) New students 2,931 2,711 +8.1% Total students 34,387 31,215 +10.2% 1) Includes the most recently reported e
Slide 17: Non-GAAP Reconciliation Tables
Non-GAAP Reconciliation Tables Adtalem Global Education Inc. Non-GAAP Operating Income by Segment (unaudited) (in thousands) Three Months Ended Six Months Ended December 31, December 31, Increase Increase 2020 2019 (Decrease) 2020 2019 (Decrease) Medical and Healthcare: Operating income (GAAP) $ 51,
Slide 18: Non-GAAP Reconciliation Tables
Non-GAAP Reconciliation Tables Adtalem Global Education Inc. Non-GAAP Earnings Disclosure (unaudited) (in thousands, except per share data) Three Months Ended Six Months Ended December 31, December 31, 2020 2019 2020 2019 Net income attributable to Adtalem (GAAP) $ 23,315 $ 5,525 $ 43,245 $ 19,886 R
Slide 19: 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 FY21 FY20 FY21 FY21 FY20 FY20 FY20 FY20 Q2 Q2 Q2 Q1 Q4 Q3 Q2 Q1 Net cash provided by (used in) operating activities- continuing operations
Slide 20: Non-GAAP Reconciliation Tables
Non-GAAP Reconciliation Tables Adtalem Global Education Inc. Non-GAAP Outlook Disclosure (unaudited) Year Ended June 30, 2021 Expected earnings per share, diluted (GAAP) $ 2.19 to 2.28 Expected effects on diluted earnings per share: Restructuring expense 0.10 Business acquisition and integration exp
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