Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Feb. 24, 2015 | Jun. 30, 2014 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | APEI | ||
Entity Registrant Name | AMERICAN PUBLIC EDUCATION INC | ||
Entity Central Index Key | 1201792 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 17,225,685 | ||
Entity Public Float | $577,000,000 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $115,634 | $94,820 |
Accounts receivable, net of allowance of $13,175 in 2013 and $10,699 in 2014 | 6,130 | 9,520 |
Prepaid expenses | 6,379 | 5,598 |
Income tax receivable | 2,029 | 3,215 |
Deferred income taxes | 6,046 | 3,432 |
Total current assets | 136,218 | 116,585 |
Property and equipment, net | 102,424 | 90,733 |
Note receivable | 6,000 | |
Investments | 12,051 | 10,597 |
Goodwill | 38,634 | 38,148 |
Other assets, net | 8,577 | 9,592 |
Total assets | 297,904 | 271,655 |
Current liabilities: | ||
Accounts payable | 11,029 | 11,563 |
Accrued liabilities | 13,416 | 17,866 |
Deferred revenue and student deposits | 23,805 | 24,829 |
Total current liabilities | 48,250 | 54,258 |
Deferred income taxes | 15,436 | 10,328 |
Total liabilities | 63,686 | 64,586 |
Commitments and contingencies (Note 4 and 8) | ||
Stockholders' equity: | ||
Preferred Stock, $.01 par value; Authorized shares - 10,000; no shares issued or outstanding | ||
Common Stock, $.01 par value; authorized shares - 100,000; 17,578 issued and outstanding in 2013; 17,152 issued and outstanding in 2014 | 172 | 176 |
Additional paid-in capital | 169,654 | 164,913 |
Retained earnings | 64,392 | 41,980 |
Total stockholders' equity | 234,218 | 207,069 |
Total liabilities and stockholders' equity | $297,904 | $271,655 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Per Share data, unless otherwise specified | ||
Accounts receivable, allowance | $10,699 | $13,175 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, Authorized shares | 10,000 | 10,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, Authorized shares | 100,000 | 100,000 |
Common stock, issued | 17,152 | 17,578 |
Common stock, outstanding | 17,152 | 17,578 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues | $350,020 | $329,479 | $313,516 |
Costs and expenses: | |||
Instructional costs and services | 123,765 | 112,784 | 110,192 |
Selling and promotional | 69,229 | 65,687 | 59,761 |
General and administrative | 75,073 | 70,063 | 63,615 |
Depreciation and amortization | 16,121 | 13,508 | 11,146 |
Total costs and expenses | 284,188 | 262,042 | 244,714 |
Income before interest income and income taxes | 65,832 | 67,437 | 68,802 |
Interest income, net | 361 | 309 | 135 |
Income from operations before income taxes | 66,193 | 67,746 | 68,937 |
Income tax expense | 25,150 | 25,645 | 26,528 |
Equity investment loss, net of tax | -166 | -67 | -86 |
Net income | $40,877 | $42,034 | $42,323 |
Net income per common share: | |||
Basic | $2.36 | $2.38 | $2.38 |
Diluted | $2.33 | $2.35 | $2.35 |
Weighted average number of shares outstanding: | |||
Basic | 17,357 | 17,656 | 17,772 |
Diluted | 17,543 | 17,921 | 18,041 |
Consolidated_Statement_of_Stoc
Consolidated Statement of Stockholders' Equity (USD $) | Total | Common Stock | Repurchased Stock | Additional Paid-In Capital | Retained Earnings (Accumulated Deficit) |
In Thousands, except Share data | |||||
Beginning Balance at Dec. 31, 2011 | $133,833 | $178 | $147,053 | ($13,398) | |
Beginning Balance (in shares) at Dec. 31, 2011 | 17,844,296 | ||||
Stock issued for cash (in shares) | 408,739 | ||||
Stock issued for cash | 4,058 | 5 | 4,053 | ||
Stock issued for director compensation (in shares) | 3,098 | ||||
Stock issued for director compensation | 116 | 116 | |||
Repurchased shares of common and restricted stock from stockholders (in shares) | -493,491 | -10,697 | -493,491 | ||
Repurchased shares of common and restricted stock from stockholders | -15,856 | -15,399 | -457 | ||
Stock-based compensation | 3,818 | 3,818 | |||
Repurchased and retired shares of common stock (in shares) | 493,491 | -493,491 | 493,491 | ||
Repurchased and retired shares of common stock | -5 | -5 | 15,399 | -15,399 | |
Excess tax benefit from stock based compensation | 2,866 | 2,866 | |||
Net income | 42,323 | 42,323 | |||
Ending Balance at Dec. 31, 2012 | 171,153 | 178 | 157,449 | 13,526 | |
Ending Balance (in shares) at Dec. 31, 2012 | 17,751,945 | ||||
Stock issued for cash (in shares) | 237,482 | ||||
Stock issued for cash | 3,312 | 2 | 3,310 | ||
Stock issued for director compensation (in shares) | 2,802 | ||||
Stock issued for director compensation | 104 | 104 | |||
Repurchased shares of common and restricted stock from stockholders (in shares) | -394,064 | -20,540 | -394,064 | ||
Repurchased shares of common and restricted stock from stockholders | -14,423 | -13,584 | -839 | ||
Stock-based compensation | 4,024 | 4,024 | |||
Repurchased and retired shares of common stock (in shares) | 394,064 | -394,064 | 394,064 | ||
Repurchased and retired shares of common stock | -4 | 13,584 | -13,580 | ||
Excess tax benefit from stock based compensation | 865 | 865 | |||
Net income | 42,034 | 42,034 | |||
Ending Balance at Dec. 31, 2013 | 207,069 | 176 | 164,913 | 41,980 | |
Ending Balance (in shares) at Dec. 31, 2013 | 17,577,625 | ||||
Stock issued for cash (in shares) | 133,643 | ||||
Stock issued for cash | 537 | 1 | 536 | ||
Stock issued for director compensation (in shares) | 2,535 | ||||
Stock issued for director compensation | 90 | 90 | |||
Repurchased shares of common and restricted stock from stockholders (in shares) | -530,962 | -30,973 | -530,962 | ||
Repurchased shares of common and restricted stock from stockholders | -19,712 | -18,470 | -1,242 | ||
Stock-based compensation | 5,107 | 5,107 | |||
Repurchased and retired shares of common stock (in shares) | 530,962 | -530,962 | 530,962 | ||
Repurchased and retired shares of common stock | -5 | 18,470 | -18,465 | ||
Excess tax benefit from stock based compensation | 250 | 250 | |||
Net income | 40,877 | 40,877 | |||
Ending Balance at Dec. 31, 2014 | $234,218 | $172 | $169,654 | $64,392 | |
Ending Balance (in shares) at Dec. 31, 2014 | 17,151,868 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Operating activities | |||
Net income | $40,877 | $42,034 | $42,323 |
Adjustments to reconcile net income to net cash provided by operating activities, net of assets and liabilities acquired | |||
Depreciation and amortization | 16,121 | 13,508 | 11,146 |
Stock-based compensation | 5,369 | 4,024 | 3,818 |
Loss on disposal | 115 | 62 | 91 |
Investment loss | 166 | 67 | 86 |
Stock issued for director compensation | 90 | 104 | 116 |
Deferred income taxes | 2,494 | 2,018 | 161 |
Changes in operating assets and liabilities: | |||
Accounts receivable, net of allowance for bad debt | 3,390 | 2,720 | -929 |
Prepaid expenses and other assets | -512 | -1,262 | 1,080 |
Income tax receivable | 1,186 | 1,738 | -3,350 |
Accounts payable | -534 | -5,903 | 933 |
Accrued liabilities | -6,708 | 5,047 | -2,444 |
Income taxes payable | 0 | 0 | 0 |
Deferred revenue and student deposits | -1,024 | -4,743 | -107 |
Net cash provided by operating activities | 61,030 | 59,414 | 52,924 |
Investing activities | |||
Capital expenditures | -24,596 | -20,649 | -35,014 |
Equity investment | -1,620 | -4,000 | -6,750 |
Note receivable | 6,000 | -6,000 | |
Acquisition, net of cash acquired | -44,356 | ||
Capitalized program development costs and other assets | -1,075 | -244 | -328 |
Net cash used in investing activities | -21,291 | -69,249 | -48,092 |
Financing activities | |||
Cash paid for repurchase of common/restricted stock | -19,711 | -14,423 | -15,861 |
Cash received from issuance of common stock | 536 | 3,312 | 4,058 |
Excess tax benefit from stock-based compensation | 250 | 865 | 2,866 |
Net cash used in financing activities | -18,925 | -10,246 | -8,937 |
Net increase (decrease) in cash and cash equivalents | 20,814 | -20,081 | -4,105 |
Cash and cash equivalents at beginning of period | 94,820 | 114,901 | 119,006 |
Cash and cash equivalents at end of period | 115,634 | 94,820 | 114,901 |
Supplemental disclosures of cash flow information | |||
Income taxes paid | $21,631 | $21,014 | $26,851 |
Nature_of_Business_and_Signifi
Nature of Business and Significant Accounting Policies | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Nature of Business and Significant Accounting Policies | Note 1. Nature of Business and Significant Accounting Policies | ||||||||||||
American Public Education, Inc., or APEI, which together with its subsidiaries is referred to as the “Company”, is a provider of online and campus-based postsecondary education to approximately 112,470 students through the operations of two subsidiary institutions: | |||||||||||||
• | American Public University System, Inc., or APUS, provides online postsecondary education directed primarily at the needs of the military and public safety communities through American Military University, or AMU, and American Public University, or APU. APUS is regionally accredited by the Higher Learning Commission. | ||||||||||||
• | National Education Seminars, Inc., which is referred to in these financial statements as Hondros College of Nursing, or HCON, provides nursing education to students at four campuses in the State of Ohio as well as online to serve the needs of the nursing and healthcare community. HCON is nationally accredited by the Accrediting Council of Independent Colleges and Schools and the RN-to-BSN Program is accredited by the Commission on Collegiate Nursing Education. HCON was acquired by APEI on November 1, 2013. | ||||||||||||
The Company’s institutions are licensed or otherwise authorized, or are in the process of obtaining such licenses or authorizations, to offer postsecondary education programs by state authorities to the extent the Company believes such licenses or authorizations are required, and are certified by the United States Department of Education, or ED, to participate in student financial aid programs authorized under Title IV of the Higher Education Act of 1965, as amended, or Title IV programs. | |||||||||||||
Our operations are organized into two reportable segments: | |||||||||||||
• | American Public Education Segment, or APEI Segment. This segment reflects the historical operations of APEI prior to the acquisition of HCON and reflects operational activities at APUS, other corporate activities, and minority investments. | ||||||||||||
• | Hondros College of Nursing Segment, or HCON Segment. This segment reflects the operational activities of HCON. The Company acquired HCON on November 1, 2013, and therefore the consolidated results for periods prior to November 1, 2013 do not include any results from HCON. | ||||||||||||
A summary of the Company’s significant accounting policies follows: | |||||||||||||
Basis of accounting. The accompanying financial statements are presented in accordance with the accrual basis of accounting, whereby revenue is recognized when earned and expenses are recognized when incurred. | |||||||||||||
Principles of consolidation. The accompanying consolidated financial statements include accounts of APEI and its wholly-owned subsidiaries. All material inter-company transactions and balances have been eliminated in consolidation. | |||||||||||||
Cash and cash equivalents. The Company considers all highly liquid investments with original maturities of ninety days or less when purchased to be cash equivalents. | |||||||||||||
Restricted Cash. Cash and cash equivalents includes funds held for students for unbilled educational services that were received from Title IV program funds. As a trustee of these Title IV program funds, we are required to maintain and restrict these funds pursuant to the terms of our program participation agreement with the U.S. Department of Education. Restricted cash on our Balance Sheet as of December 31, 2013 and 2014 is recorded as $6.3 million and $3.9 million, respectively. Changes in restricted cash that represent funds held for students as described above are included in cash flows from operating activities on our Consolidated Statements of Cash Flows because these restricted funds are a core activity of our operations. | |||||||||||||
Accounts receivable. Course tuition is recorded as accounts receivable and deferred revenue at the time students begin a class or term. Students may remit tuition payments at any time or they may elect various other payment options which can delay the receipt of payment up until the class or term starts or longer. These other payment options include payments by sponsors, financial aid, alternative loans, or a tuition assistance program that remits payments directly to the subsidiary. When a student remits payment after a class or term has begun, accounts receivable is reduced. If payment is made prior to the start of a class or term, the payment is recorded as a student deposit, and the student is provided access to the online classroom when classes start, in the case of APUS, or allowed to start the term, in the case of HCON. If one of the various other payment options are confirmed as secured, the student is provided access to the online classroom or allowed to start the term. Generally, if no receipt is confirmed or payment option secured, the student will be dropped from the online class or not allowed to start the term. Therefore, billed amounts represent charges that have been prepared and sent to students or the applicable third party payor according to the terms agreed upon in advance. | |||||||||||||
DoD tuition assistance programs are billed by branch of service on a course-by-course basis when a student starts class, whereas Title IV programs are billed based on the classes included in a student’s semester. Billed accounts receivable are considered past due if the invoice has been outstanding for more than 30 days. The allowance for doubtful accounts is based on management’s evaluation of the status of existing accounts receivable. Among other factors, management considers the age of the receivable, the anticipated source of payment and the Company’s historical allowance considerations. Consideration is also given to any specific known risk areas among the existing accounts receivable balances. Recoveries of receivables previously written off are recorded when received. The Company does not charge interest on our past due accounts receivable. | |||||||||||||
Property and equipment. All property and equipment are carried at cost less accumulated depreciation, except the acquired assets of HCON, which were recorded at fair value at the acquisition date. Depreciation and amortization are calculated on a straight-line basis over the estimated useful lives of the assets. Our proprietary system, Partnership At a DistanceTM, or PAD, is a customized student information and services system used by APUS to manage admissions, online orientation, course registrations, tuition payments, grade reporting, progress toward degrees, and various other functions. Costs associated with this system have been capitalized in accordance with Financial Accounting Standards Board Accounting Standards Codification, or FASB ASC, Topic 350, Accounting for the Costs of Computer Software Developed or Obtained for Internal Use, and classified as property and equipment. These costs are amortized over the estimated useful life of five years. The Company also capitalizes certain costs for academic program development. These costs are transferred to property and equipment upon completion of each program and amortized over an estimated life not to exceed three years. | |||||||||||||
Investments. On September 30, 2012, the Company made a $6.8 million investment in preferred stock of NWHW Holdings, Inc., or NWHW Holdings, a holding company which operates New Horizons Worldwide, Inc., or New Horizons, representing approximately 19.9% of the fully diluted equity of NWHW Holdings. New Horizons is a global IT training company operating over 300 locations around the world through franchise arrangements in 45 states and 70 countries. In connection with the investment, the Company is entitled to certain rights, including the right to representation on the Board of Directors of NWHW Holdings. The Company accounts for its investment in New Horizons under the equity method of accounting. Therefore, the Company recorded the investment at cost and recognizes its share of earnings or losses in the investee in the periods for which they are reported with a corresponding adjustment in the carrying amount of the investment. | |||||||||||||
On February 20, 2013, the Company made a $4.0 million investment in preferred stock of Fidelis Education, Inc., or Fidelis Education, representing approximately 21.6% of its fully diluted equity. Fidelis Education is developing a learning relationship management system that will assist working adult students with education advising and career mentoring services as they pursue college degrees. In connection with the investment, the Company is entitled to certain rights, including the right to representation on the Board of Directors of Fidelis Education. The Company accounts for its investment in Fidelis Education under the equity method of accounting. Therefore, the Company recorded the investment at cost and recognizes its share of earnings or losses in the investee in the periods for which they are reported with a corresponding adjustment in the carrying amount of the investment. | |||||||||||||
On April 2, 2014, the Company made a $1.5 million investment in preferred stock of Second Avenue Software, Inc., or Second Avenue Software, representing approximately 25.9% of its fully diluted equity. Second Avenue Software is a game-based education software company that develops software on a proprietary and “work-for-hire” basis. In connection with the investment, the Company is entitled to certain rights, including the right to representation on the Board of Directors of Second Avenue Software. The Company accounts for its investment in Second Avenue Software under the equity method of accounting. Therefore, the Company recorded the investment at cost and recognizes its share of earnings or losses in the investee in the periods for which they are reported with a corresponding adjustment in the carrying amount of the investment. | |||||||||||||
Note Receivable. In connection with the Company’s minority investment in NWHW Holdings, the Company extended $6.0 million in credit to New Horizons in exchange for a subordinated note. The note was interest only and was scheduled to mature on September 28, 2018. Interest was payable monthly at a rate of 5.0% per annum during the first five years of the note and monthly at a rate of 6.0% per annum in the sixth year. On December 16, 2014, New Horizons prepaid the note receivable in full, including pro rata interest owed. | |||||||||||||
Goodwill and indefinite-lived intangible assets. Goodwill represents the excess of the purchase price of an acquired business over the amount assigned to the assets acquired and liabilities assumed. Goodwill and the indefinite-lived intangible assets are assessed at least annually for impairment, or more frequently if events occur or circumstances change between annual tests that would more likely than not reduce the fair value of the respective reporting unit below its carrying amount. Under Accounting Standards Update No. 2011-08, Intangibles-Goodwill and Other (Topic 350): Testing Goodwill for Impairment, the Company is permitted, but not required, to first assess qualitative factors to determine whether it is necessary to perform a quantitative goodwill impairment test. | |||||||||||||
Valuation of long-lived assets. The Company accounts for the valuation of long-lived assets under FASB ASC Topic 360, Accounting for the Impairment or Disposal of Long-Lived Assets. FASB ASC Topic 360 requires that long-lived assets and certain identifiable intangible assets be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of the long-lived asset is measured by a comparison of the carrying amount of the asset to future undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the estimated fair value of the assets. Assets to be disposed of are reportable at the lower of the carrying amount or fair value, less costs to sell. | |||||||||||||
Revenue recognition. The Company records all tuition as deferred revenue when a student begins a class, in the case of APUS, or starts a term, in the case of HCON. At the beginning of each class or term, revenue is recognized on a pro rata basis over the period of the class or term, which is, for APUS, either an eight- or sixteen-week period and, for HCON, a quarterly term. This results in deferred revenue on the Company’s balance sheet that includes future revenues that have not yet been earned for classes and terms that are in progress. The revenue recognition policies of each of the Company’s reportable segments is discussed below. | |||||||||||||
American Public University System. | |||||||||||||
APUS’s tuition revenues vary from period to period based on the number of net course registrations. Students may remit tuition payments through the online registration process at any time or they may elect various payment options, including payments by sponsors, alternative loans, financial aid, or the DoD tuition assistance program which remits payments directly to APUS. These other payment options can delay the receipt of payment up until the class starts or longer, resulting in the recording of a receivable from the student and deferred revenue at the beginning of each session. Tuition revenue for sessions in progress that has not been earned by APUS is presented as deferred revenue in the accompanying balance sheet. | |||||||||||||
APUS refunds 100% of tuition for courses that are dropped by students before the conclusion of the first seven days of a course. Because courses begin the first Monday of every month and penalty free drops occur by the second Monday of every month, the Company does not recognize revenue for dropped courses. After a course begins, if a student does not drop the course within the first seven days, APUS uses the following refund policy: | |||||||||||||
8-Week Course- Tuition Refund Schedule | |||||||||||||
Withdrawal Request Date | Tuition Refund Percentage | ||||||||||||
Before or During Week 1 | 100% | ||||||||||||
During Week 2 | 75% | ||||||||||||
During Weeks 3 and 4 | 50% | ||||||||||||
During Weeks 5 through 8 | No Refund | ||||||||||||
16-Week Course- Tuition Refund Schedule | |||||||||||||
Withdrawal Request Date | Tuition Refund Percentage | ||||||||||||
Before or During Week 1 | 100% | ||||||||||||
During Week 2 | 100% | ||||||||||||
During Weeks 3 and 4 | 75% | ||||||||||||
During Weeks 5 through 8 | 50% | ||||||||||||
During Weeks 9 through 16 | No Refund | ||||||||||||
Additional refund policies may apply to students of certain states in accordance with specific state and other local requirements. | |||||||||||||
APUS recognizes revenue on a pro rata basis over the period of its courses as APUS completes the tasks entitling it to the benefits represented by such revenue. If a student withdraws during the academic term, APUS recognizes as revenue the remaining non-refundable amount due from the student in the period the withdrawal occurs. The calculation of the remaining non-refundable amount is based upon the APUS student refund policy. For those students who have an outstanding receivable balance at the date of withdrawal, APUS assesses collectability and only recognizes as revenue those amounts where collectability is reasonably assured based on APUS’s history with similar student accounts. This policy was implemented on January 1, 2015. Prior to this, APUS recognized revenue for all student withdrawals and established an allowance for those receivables considered uncollectible. The Company does not believe that this change in policy will have a material effect on its results of operations or financial condition. | |||||||||||||
Other revenue includes charges for transcript credit evaluation, which includes assistance in securing official transcripts on behalf of the student in addition to evaluating transcripts for transfer credit, and a technology fee per course. APUS provides a grant to cover the technology fee for students using DoD tuition assistance programs or VA education benefits. Students also are charged withdrawal, graduation, late registration, transcript request and comprehensive examination fees, when applicable. In accordance with FASB ASC Topic 605-50, Accounting by a Customer (Including a Reseller) for Certain Consideration Received from a Vendor, other fees also include book purchase commissions APUS receives for graduate student book purchases and ancillary supply purchases students make directly from APUS’s preferred book vendor. | |||||||||||||
Hondros College of Nursing. | |||||||||||||
HCON’s tuition revenues vary from period to period based on the number of students enrolled. Students may remit tuition payments at any time, or they may elect various payment options that can delay receipt of payment up until the term starts or longer. These other payment options include payments by sponsors, financial aid, alternative loans, or payment plan options. If one of the various other payment options are confirmed as secured, the student is allowed to start the term. Students have access to their account statements on the student portal prior to the start of the term. Sponsor invoices are prepared and sent according to their billing terms. All financial aid is awarded prior to the start of the term and requests for authorization of disbursement begin in the first week of the term. Tuition revenue for the term in progress that has not been yet earned by HCON is presented as deferred revenue in the accompanying balance sheet. | |||||||||||||
HCON’s refund policy complies with the rules of the Ohio State Board of Career Colleges and Schools and is applicable to each term. For a course with an on-campus or other in-person component, the date of withdrawal is determined by a student’s last attended day of clinical offering, laboratory session, or lecture. For an online course, the date of withdrawal is determined by a student's last submitted assignment in the course. HCON uses the following refund policy: | |||||||||||||
Withdrawal Request Date | Tuition Refund Percentage | ||||||||||||
Before first full calendar week of the quarter | 100% plus registration fee | ||||||||||||
During first full calendar week of the quarter | 75%, plus registration fee | ||||||||||||
During second full calendar week of the quarter | 50%, plus registration fee | ||||||||||||
During third full calendar week of the quarter | 25%, plus registration fee | ||||||||||||
During fourth full week of the quarter | No Refund | ||||||||||||
Additional refund policies may apply to students of certain states in accordance with specific state and other local requirements. | |||||||||||||
Deferred Revenue and Student Deposits. Deferred revenue and student deposits at December 31, 2013 and 2014 consisted of the following (in thousands): | |||||||||||||
As of | |||||||||||||
December 31, | |||||||||||||
2013 | 2014 | ||||||||||||
Deferred revenue | $ | 14,188 | $ | 13,367 | |||||||||
Student deposits | 10,641 | 10,438 | |||||||||||
Total deferred revenue and student deposits | $ | 24,829 | $ | 23,805 | |||||||||
The Company provides scholarships to certain students to assist them financially and promote their registration. Scholarship assistance of $2,832,000, $2,855,000 and $2,589,000 was provided for the years ended December 31, 2012, 2013 and 2014, respectively, and are included as a reduction to revenue in the accompanying statements of income. | |||||||||||||
Advertising costs. Advertising costs are expensed as incurred. Advertising expenses for the years ended December 31, 2012, 2013 and 2014 were $41,929,000, $46,995,000 and $50,950,000 respectively, and are included in selling and promotion costs in the accompanying statements of income. | |||||||||||||
Income taxes. Deferred taxes are determined using the liability method whereby deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. As these differences reverse, they will enter into the determination of future taxable income. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment of such changes. | |||||||||||||
There were no material uncertain tax positions as of December 31, 2012, 2013 and 2014. Interest and penalties associated with uncertain income tax positions would be classified as income tax expense. The Company has not recorded any material interest or penalties during any of the years presented. | |||||||||||||
Stock-based compensation. The Company applies FASB ASC Topic 718, Share-Based Payment, which requires companies to expense share-based compensation based on fair value. | |||||||||||||
The following amounts of stock-based compensation have been included in the operating expense line-items indicated (in thousands): | |||||||||||||
Year Ended December 31, | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Instructional costs and services | $ | 896 | $ | 876 | $ | 1,274 | |||||||
Selling and promotional | 378 | 444 | 568 | ||||||||||
General and administrative | 2,544 | 2,704 | 3,527 | ||||||||||
Total stock-based compensation expense | $ | 3,818 | $ | 4,024 | $ | 5,369 | |||||||
Income per common share. Basic net income per common share is based on the weighted average number of shares of common stock outstanding during the period. Diluted net income per common share increases the shares used in the per share calculation by the dilutive effects of options, warrants, and restricted stock. | |||||||||||||
There were no outstanding options to purchase common shares that were excluded in the computation of diluted net income per common share for the year ended December 31, 2013. For the years ended December 31, 2012 and 2014, respectively, there were 265,965 and 365,832 anti-dilutive stock options excluded from the calculation. | |||||||||||||
Fair value of financial instruments. The carrying amounts of cash and cash equivalents, tuition receivable, accounts payable, and accrued liabilities approximate fair value because of the short maturity of these instruments. | |||||||||||||
Concentration of credit risk. The Company maintains its cash and cash equivalents in bank deposit accounts with various financial institutions. Cash and cash equivalent balances may exceed the FDIC insurance limit. The Company has not experienced any losses in such accounts. | |||||||||||||
Estimates. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. |
Acquisition_Accounting
Acquisition Accounting | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Acquisition Accounting | Note 2. Acquisition Accounting | |||||
On November, 1, 2013, the Company acquired all of the outstanding common stock of HCON, for an initial adjusted aggregate purchase price of approximately $46.3 million. The HCON acquisition was accounted for under FASB ASC Topic 805 Business Combinations which requires the acquisition method to be used for all business combinations. Under FASB ASC Topic 805, the assets and liabilities of an acquired company are reported at business fair value along with the fair value of unrecorded intangible assets at the date of acquisition. Goodwill represents the excess of the purchase price of an acquired business over the amount assigned to the assets acquired and liabilities assumed and the fair value assigned to identifiable intangible assets. The initial purchase price allocation resulted in $38.1 million of goodwill, which is deductible for tax purposes. Intangible assets are amortized over their estimated useful lives unless they are deemed to have an indefinite life. Identified intangible assets with an indefinite life are trade name, accreditation, licensing and Title IV, and affiliate agreements as they benefit the Company indefinitely. Because HCON is wholly owned by the Company as a result of the acquisition, management has determined that push-down accounting is appropriate. | ||||||
As part of the transaction, the Company and the selling shareholders of HCON agreed to an election under Section 338(h)(10) of the Internal Revenue Code of 1986, as amended, as it relates to the acquisition of HCON by the Company. A Section 338(h)(10) election is an election made jointly by buyer(s) and seller(s) to treat a stock acquisition as an asset acquisition for U.S. federal income tax purposes. The acquisition resulted in a preliminary estimate of fair value of its liability to the selling shareholders related to the Section 338(h)(10) election in the amount of $150,000, which was included in the initial $38.1 million goodwill allocation. Prior to December 31, 2014, the Company revised its estimate of the fair value of its liability to HCON's selling shareholders related to the Section 338(h)(10) election to approximately $636,000. As a result, the total adjusted aggregate purchase price and the amount of goodwill have been revised to $46.8 million and $38.6 million, respectively. | ||||||
The fair value of identified intangible assets acquired was determined using one of the following three valuation methodologies: | ||||||
• | Cost approach; | |||||
• | Income approach; or | |||||
• | Market approach. | |||||
31-Dec-14 | ||||||
(in thousands) | ||||||
Fair value consideration transferred: | ||||||
Cash | $ | 46,128 | ||||
Fair Value of IRC 338(h)(10) election | 636 | |||||
Total fair value consideration transferred | $ | 46,764 | ||||
Recognized amounts of identifiable tangible assets acquired and liabilities assumed: | ||||||
Assets acquired | $ | 4,834 | ||||
Liabilities assumed | 4,786 | |||||
Assets acquired in excess of liabilities assumed | $ | 48 | ||||
Useful Life | ||||||
Recognized identified intangible assets: | ||||||
Student contracts and relationships | 6 years | $ | 3,870 | |||
Trade name | 1,998 | |||||
Curricula | 3 years | 405 | ||||
Accreditation, licensing and Title IV | 1,686 | |||||
Affiliate agreements | 37 | |||||
Non-compete agreements | 5 years | 86 | ||||
Total recognized identified intangible assets | $ | 8,082 | ||||
Goodwill | 38,634 | |||||
Property_and_Equipment
Property and Equipment | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Property and Equipment | Note 3. Property and Equipment | |||||||||||
Property and equipment at December 31, 2013 and 2014 consisted of the following: | ||||||||||||
Useful | 2013 | 2014 | ||||||||||
Life | ||||||||||||
(in thousands) | ||||||||||||
Land | — | $ | 8,196 | $ | 9,244 | |||||||
Building and building improvements | 27.5 - 39 years | 47,420 | 52,938 | |||||||||
Leasehold improvements | up to 15 years | 2,179 | 2,391 | |||||||||
Office equipment | 5 years | 2,500 | 2,351 | |||||||||
Computer equipment | 3 years | 18,777 | 22,615 | |||||||||
Furniture and fixtures | 7 years | 7,476 | 7,533 | |||||||||
Other Capitalizable Assets | 1 - 5 years | 107 | 708 | |||||||||
Software development | 5 years | 51,755 | 64,593 | |||||||||
Program development | 3 years | 3,162 | 4,110 | |||||||||
141,572 | 166,483 | |||||||||||
Accumulated depreciation and amortization | 50,839 | 64,059 | ||||||||||
$ | 90,733 | $ | 102,424 | |||||||||
During the years ended December 31, 2012, 2013 and 2014, the Company recorded depreciation expense of $10,996,000, $13,225,000 and $14,980,000, respectively. In addition, the Company recorded amortization expense related to other assets of $150,000, $283,000, and $1,141,000 during the years ended December 31, 2012, 2013 and 2014, respectively. |
Operating_Leases
Operating Leases | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Operating Leases | Note 4. Operating Leases | ||||
The APEI Segment leases office space in Maryland, Virginia and West Virginia under operating leases that expire through September 2018. HCON operates on four campuses in Ohio, located in the suburban areas of Cincinnati, Columbus, Dayton and Cleveland under operating leases that expire through June 2029. Rent expense related to the APEI Segment’s operating leases was $1,656,000, $1,647,000 and $1,666,000 for the years ended December 31, 2012, 2013 and 2014, respectively. Rent expense related to the HCON Segment’s operating leases was $317,000 for the two-month period ended December 31, 2013 and $2,212,000 for the year ended December 31, 2014. HCON was acquired by APEI on November 1, 2013. | |||||
The minimum rental commitment due under the operating leases is as follows (in thousands): | |||||
Years Ending December 31, | Combined | ||||
2015 | $ | 2,242 | |||
2016 | 2,310 | ||||
2017 | 2,372 | ||||
2018 | 2,041 | ||||
2019 and beyond | 11,246 | ||||
Total minimum rental commitment | $ | 20,211 |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Income Taxes | Note 5. Income Taxes | ||||||||||||||||||||||||
The components of income tax expense for the years ended December 31, 2012, 2013 and 2014 were as follows (in thousands): | |||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||
Current income tax expense: | |||||||||||||||||||||||||
Federal | $ | 22,937 | $ | 20,533 | $ | 19,404 | |||||||||||||||||||
State | 3,430 | 3,094 | 3,252 | ||||||||||||||||||||||
26,367 | 23,627 | 22,656 | |||||||||||||||||||||||
Deferred tax expense: | |||||||||||||||||||||||||
Federal | 150 | 1,858 | 2,623 | ||||||||||||||||||||||
State | 11 | 160 | (129 | ) | |||||||||||||||||||||
161 | 2,018 | 2,494 | |||||||||||||||||||||||
Income Tax Expense | $ | 26,528 | $ | 25,645 | $ | 25,150 | |||||||||||||||||||
The tax effects of principal temporary differences are as follows (in thousands): | |||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Property and equipment | $ | 5,472 | $ | 9,215 | |||||||||||||||||||||
Stock option compensation expense | 1,685 | 1,556 | |||||||||||||||||||||||
Allowance for doubtful accounts | 4,432 | 3,846 | |||||||||||||||||||||||
Accrued vacation and severance | 542 | 549 | |||||||||||||||||||||||
Restricted stock | 1,180 | 1,818 | |||||||||||||||||||||||
Investment | (39 | ) | 100 | ||||||||||||||||||||||
13,272 | 17,084 | ||||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Income tax deductible capitalized software development costs | (18,626 | ) | (24,750 | ) | |||||||||||||||||||||
Prepaid expenses | (1,542 | ) | (1,724 | ) | |||||||||||||||||||||
(20,168 | ) | (26,474 | ) | ||||||||||||||||||||||
Total tax effects | $ | (6,896 | ) | $ | (9,390 | ) | |||||||||||||||||||
Income tax expense differs from the amount of tax determined by applying the United States Federal income tax rates to pretax income and loss due to permanent tax differences, research and development tax credits related to capitalized software development costs, and the application of state apportionment laws, as follows (in thousands): | |||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||
Amount | % | Amount | % | Amount | % | ||||||||||||||||||||
Tax expense at statutory rate | $ | 24,135 | 35 | $ | 23,688 | 35 | $ | 23,110 | 35 | ||||||||||||||||
State taxes, net | 2,241 | 3.25 | 2,069 | 3.06 | 1,985 | 3.01 | |||||||||||||||||||
Permanent differences | 154 | 0.22 | (275 | ) | (0.41 | ) | 228 | 0.35 | |||||||||||||||||
Other | (2 | ) | — | 163 | 0.24 | (173 | ) | (0.27 | ) | ||||||||||||||||
$ | 26,528 | 38.47 | $ | 25,645 | 37.89 | $ | 25,150 | 38.09 | |||||||||||||||||
Permanent differences in the table above are mainly attributable to minority investment losses, nondeductible meals and entertainment expenses and non-deductible employer contributions to the American Public Education, Inc. Employee Stock Purchase Plan, or ESPP. | |||||||||||||||||||||||||
The Company is subject to U.S. federal income taxes as well as income tax of multiple state jurisdictions. For federal and state tax purposes, tax years 2011-2013 remain open to examination. | |||||||||||||||||||||||||
Other_Employee_Benefits
Other Employee Benefits | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Other Employee Benefits | Note 6. Other Employee Benefits | ||||||||||||||||
The Company has established a tax deferred 401(k) retirement plan that provides retirement benefits to all of its eligible employees. Participants may elect to contribute up to 60% of their gross annual earnings not to exceed ERISA and IRS limits. The plan provides for Company discretionary profit sharing contributions at matching percentages. Employees immediately vest 100% in all salary reduction contributions and employer contributions. On June 20, 2008, the Company filed a Form S-8 to register 100,000 shares of common stock that may be purchased in the open market and subsequently issued pursuant to the retirement plan. The Company made discretionary contributions to the plan of $2,447,000, $2,753,000 and $3,270,000 for the years ended December 31, 2012, 2013 and 2014, respectively. | |||||||||||||||||
In November 2007, the Company adopted the American Public Education, Inc. Employee Stock Purchase Plan, or the ESPP, which was implemented effective July 1, 2008 with quarterly enrollment periods. Eligible participants may only enter the plan and establish their withholdings at the start of an enrollment period. Participating employees may withdraw from the plan and end payroll deductions any time up to five days before the share purchase date and funds will be returned to them. Under the ESPP, participating employees may purchase shares of the Company’s common stock, subject to certain limitations, at 85% of its fair market value on the last day of the quarterly period. The total value of contributions per participant may not exceed $21,000 annually (or the value of the common stock cannot exceed $25,000). There were initially 100,000 shares of common stock available for purchase by participating employees under the ESPP. On June 13, 2014, the Company’s shareholders approved an amendment to the ESPP to increase the number of shares of the Company’s common stock available for issuance under the plan by 100,000 shares, extend the term of the ESPP to March 7, 2024, and make other administrative changes. Shares purchased in the open market for employees for the years ended December 31, 2012, 2013 and 2014 were as follows: | |||||||||||||||||
Purchase Date | Shares | Common Stock | Purchase Price | Compensation | |||||||||||||
Fair Value | Expense | ||||||||||||||||
31-Mar-12 | 4,749 | $ | 38 | $ | 32.3 | $ | 27,069 | ||||||||||
30-Jun-12 | 6,214 | $ | 32 | $ | 27.2 | $ | 29,827 | ||||||||||
30-Sep-12 | 4,517 | $ | 36.43 | $ | 30.97 | $ | 24,663 | ||||||||||
31-Dec-12 | 5,093 | $ | 36.12 | $ | 30.7 | $ | 27,604 | ||||||||||
Total/Weighted Average | 20,573 | $ | 35.38 | $ | 30.07 | $ | 109,163 | ||||||||||
31-Mar-13 | 4,760 | $ | 34.89 | $ | 29.66 | $ | 24,895 | ||||||||||
30-Jun-13 | 4,726 | $ | 37.16 | $ | 31.59 | $ | 26,324 | ||||||||||
30-Sep-13 | 4,226 | $ | 37.8 | $ | 32.13 | $ | 23,961 | ||||||||||
31-Dec-13 | 4,556 | $ | 43.47 | $ | 36.95 | $ | 29,705 | ||||||||||
Total/Weighted Average | 18,268 | $ | 38.29 | $ | 32.55 | $ | 104,885 | ||||||||||
31-Mar-14 | 4,961 | $ | 35.08 | $ | 29.82 | $ | 26,095 | ||||||||||
30-Jun-14 | 5,180 | $ | 34.38 | $ | 29.22 | $ | 26,729 | ||||||||||
30-Sep-14 | 5,246 | $ | 26.99 | $ | 22.94 | $ | 21,246 | ||||||||||
31-Dec-14 | 3,931 | $ | 36.87 | $ | 31.34 | $ | 21,738 | ||||||||||
Total/Weighted Average | 19,318 | $ | 33.06 | $ | 28.1 | $ | 95,808 |
Stockholders_Equity
Stockholders' Equity | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Stockholders' Equity | Note 7. Stockholders’ Equity | ||||||||||||||||||||
Stock Incentive Plans | |||||||||||||||||||||
On March 15, 2011, the Company’s Board of Directors adopted the American Public Education, Inc. 2011 Omnibus Incentive Plan, or the 2011 Incentive Plan, and the Company’s stockholders approved the 2011 Incentive Plan on May 6, 2011, at which time the 2011 Incentive Plan became effective. Upon effectiveness of the 2011 Incentive Plan, the Company ceased making awards under the American Public Education, Inc. 2007 Omnibus Incentive Plan, or the 2007 Incentive Plan. The 2011 Incentive Plan allows the Company to grant up to 2,000,000 shares plus any shares of common stock that are subject to outstanding awards under the 2007 Incentive Plan or the American Public Education, Inc. 2002 Stock Plan, or the 2002 Stock Plan, that terminate due to expiration, forfeiture, cancellation or otherwise without the issuance of such shares. As of December 31, 2014, there were 361,297 shares subject to outstanding awards under the 2011 Incentive Plan and 433,873 shares subject to outstanding awards under the 2002 Stock Plan and the 2007 Incentive Plan. Awards under the 2011 Incentive Plan may include the following award types: stock options, which may be either incentive stock options or non-qualified stock options; stock appreciation rights; restricted stock; restricted stock units; dividend equivalent rights; performance shares; performance units; cash-based awards; other stock-based awards, including unrestricted shares; or any combination of the foregoing. Prior to 2012, the Company used a mix of stock options and restricted stock, but since 2011 the Company has not issued any stock options. | |||||||||||||||||||||
For the years ended December 31, 2012, 2013 and 2014, the Company recognized $3,818,000, $4,024,000 and $5,369,000 in stock-based compensation expense as required under FASB ASC Topic 718, and recognized a total income tax benefit of $1,512,000, $1,594,000 and $2,022,000, respectively. | |||||||||||||||||||||
Stock-based compensation expense related to restricted stock and restricted stock unit grants is expensed over the vesting period using the straight-line method for Company employees and the graded-vesting method for members of the Board of Directors, and is measured using APEI’s stock price on the date of grant. The fair value of each option award is estimated at the date of grant using a Black-Scholes option-pricing model that uses the assumptions noted in the following table. Prior to 2012, the Company calculated the expected term of stock option awards using the “simplified method” in accordance with Securities and Exchange Commission Staff Accounting Bulletins No. 107 and 110 because the Company lacked historical data and was unable to make reasonable assumptions regarding the future. The Company also estimates forfeitures of share-based awards at the time of grant and revises such estimates in subsequent periods if actual forfeitures differ from original projections. The Company makes assumptions with respect to expected stock price volatility based on the average historical volatility of peers with similar attributes. In addition, the Company determines the risk free interest rate by selecting the U.S. Treasury five-year constant maturity, quoted on an investment basis in effect at the time of grant for that business day. Estimates of fair value are subjective and are not intended to predict actual future events, and subsequent events are not indicative of the reasonableness of the original estimates of fair value made under FASB ASC Topic 718. | |||||||||||||||||||||
A summary of the status of the Company’s Stock Incentive Plans as of December 31, 2012 and the changes during the periods then ended is as follows: | |||||||||||||||||||||
Number | Weighted | Weighted | Aggregate | ||||||||||||||||||
of Options | Average | Average | Intrinsic | ||||||||||||||||||
Exercise | Contractual | Value | |||||||||||||||||||
Price | Life (years) | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Outstanding, December 31, 2011 | 1,067,511 | $ | 21.22 | ||||||||||||||||||
Options granted | — | $ | — | ||||||||||||||||||
Awards exercised | (369,918 | ) | $ | 10.97 | |||||||||||||||||
Options forfeited | (6,511 | ) | $ | 34.03 | |||||||||||||||||
Outstanding, December 31, 2012 | 691,082 | $ | 26.59 | 3.86 | $ | 6,926 | |||||||||||||||
Exercisable, December 31, 2012 | 513,201 | $ | 23.1 | 3.57 | $ | 6,849 | |||||||||||||||
A summary of the status of the Company’s Stock Incentive Plans as of December 31, 2013 and the changes during the periods then ended is as follows: | |||||||||||||||||||||
Number | Weighted | Weighted | Aggregate | ||||||||||||||||||
of Options | Average | Average | Intrinsic | ||||||||||||||||||
Exercise | Contractual | Value | |||||||||||||||||||
Price | Life (years) | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Outstanding, December 31, 2012 | 691,082 | $ | 26.59 | ||||||||||||||||||
Options granted | — | $ | — | ||||||||||||||||||
Awards exercised | (171,897 | ) | $ | 18.92 | |||||||||||||||||
Options forfeited | (17,983 | ) | $ | 37.64 | |||||||||||||||||
Outstanding, December 31, 2013 | 501,202 | $ | 28.82 | 3.05 | $ | 7,343 | |||||||||||||||
Exercisable, December 31, 2013 | 445,564 | $ | 27.73 | 2.93 | $ | 7,012 | |||||||||||||||
A summary of the status of the Company’s Stock Incentive Plans as of December 31, 2014 and the changes during the periods then ended is as follows: | |||||||||||||||||||||
Number | Weighted | Weighted | Aggregate | ||||||||||||||||||
of Options | Average | Average | Intrinsic | ||||||||||||||||||
Exercise | Contractual | Value | |||||||||||||||||||
Price | Life (years) | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Outstanding, December 31, 2013 | 501,202 | $ | 28.82 | ||||||||||||||||||
Options granted | — | $ | — | ||||||||||||||||||
Awards exercised | (46,198 | ) | $ | 13.66 | |||||||||||||||||
Options forfeited | (20,603 | ) | $ | 37.04 | |||||||||||||||||
Outstanding, December 31, 2014 | 434,401 | $ | 30.04 | 2.14 | $ | 3,080 | |||||||||||||||
Exercisable, December 31, 2014 | 434,401 | $ | 30.04 | 2.14 | $ | 3,080 | |||||||||||||||
The following table summarizes information regarding stock option exercises: | |||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Proceeds from stock options exercised | $ | 4,058 | $ | 3,253 | $ | 631 | |||||||||||||||
Intrinsic value of stock options exercised | $ | 9,580 | $ | 3,667 | $ | 1,033 | |||||||||||||||
Tax benefit from exercises | $ | 3,459 | $ | 1,348 | $ | 193 | |||||||||||||||
There were no outstanding options to purchase common shares that were excluded in the computation of diluted net income per common share for the year ended December 31, 2013. There were 265,965 and 365,832 anti-dilutive stock options excluded from the calculation for the years ended December 31, 2012 and 2014, respectively. | |||||||||||||||||||||
Restricted Stock and Restricted Stock Units | |||||||||||||||||||||
The table below sets forth the restricted stock and restricted stock unit activity for the year ended December 31, 2012: | |||||||||||||||||||||
Number | Weighted | ||||||||||||||||||||
of Shares | Average Grant | ||||||||||||||||||||
Price and Fair Value | |||||||||||||||||||||
Non vested, December 31, 2011 | 79,075 | $ | 37.44 | ||||||||||||||||||
Shares granted | 97,240 | 40.09 | |||||||||||||||||||
Vested shares | (38,821 | ) | 37.8 | ||||||||||||||||||
Shares forfeited | (1,097 | ) | 38.87 | ||||||||||||||||||
Non vested, December 31, 2012 | 136,397 | $ | 39.21 | ||||||||||||||||||
The table below sets forth the restricted stock and restricted stock unit activity for the year ended December 31, 2013: | |||||||||||||||||||||
Number | Weighted | ||||||||||||||||||||
of Shares | Average Grant | ||||||||||||||||||||
Price and Fair Value | |||||||||||||||||||||
Non vested, December 31, 2012 | 136,397 | $ | 39.21 | ||||||||||||||||||
Shares granted | 123,951 | 37.5 | |||||||||||||||||||
Vested shares | (65,585 | ) | 37.7 | ||||||||||||||||||
Shares forfeited | (4,002 | ) | 39.94 | ||||||||||||||||||
Non vested, December 31, 2013 | 190,761 | $ | 38.61 | ||||||||||||||||||
The table below sets forth the restricted stock and restricted stock unit activity for the year ended December 31, 2014: | |||||||||||||||||||||
Number | Weighted | ||||||||||||||||||||
of Shares | Average Grant | ||||||||||||||||||||
Price and Fair Value | |||||||||||||||||||||
Non vested, December 31, 2013 | 190,761 | $ | 38.61 | ||||||||||||||||||
Shares granted | 272,550 | 36.73 | |||||||||||||||||||
Vested shares | (87,445 | ) | 38.69 | ||||||||||||||||||
Shares forfeited | (15,097 | ) | 41.64 | ||||||||||||||||||
Non vested, December 31, 2014 | 360,769 | $ | 37.03 | ||||||||||||||||||
There were no shares of restricted stock or restricted stock units excluded in the computation of diluted net income per common share for the year ended December 31, 2014. The Company recognized an income tax benefit of $948,000, $1,294,000 and $1,880,000 from vested restricted stock and restricted stock units for the years ended December 31, 2012, 2013 and 2014, respectively. | |||||||||||||||||||||
At December 31, 2014, total unrecognized compensation expense in the amount of $8.7 million relates to non-vested restricted stock and restricted stock units which will be recognized over a weighted average period of 1.9 years. | |||||||||||||||||||||
During the years ended December 31, 2012, 2013 and 2014, the Company accepted for forfeiture 10,697 shares for $456,000, 4,002 shares for $159,840, and 15,097 shares for $628,639, respectively, as a result of termination of employment. | |||||||||||||||||||||
Repurchase | |||||||||||||||||||||
During the year ended December 31, 2012, the Company repurchased 493,491 shares of the Company’s common stock, par value $0.01 per share. The chart below provides further detail as to the Company’s repurchases during the period. | |||||||||||||||||||||
Total | Average | Total | Maximum | Maximum | |||||||||||||||||
Number of | Price Paid | Number of | Number of | Approximate | |||||||||||||||||
Shares | per Share | Shares | Shares that | Dollar Value of | |||||||||||||||||
Purchased | Purchased as | May Yet Be | Shares that | ||||||||||||||||||
Part of | Purchased | May Yet Be | |||||||||||||||||||
Publicly | Under the | Purchased | |||||||||||||||||||
Announced | Plans or | Under the Plans | |||||||||||||||||||
Plans or | Programs (1) | or Programs (2) (3) | |||||||||||||||||||
Programs | |||||||||||||||||||||
1-Jan-12 | — | $ | — | — | 87,033 | — | |||||||||||||||
February 1, 2012 – February 29, 2012 | — | $ | — | — | 87,033 | — | |||||||||||||||
March 1, 2012 – March 31, 2012 | 87,033 | $ | 39.02 | 87,033 | — | — | |||||||||||||||
April 1, 2012 – April 30, 2012 | — | $ | — | 87,033 | — | — | |||||||||||||||
14-May-12 | — | $ | — | 87,033 | — | $ | 20,000,000 | ||||||||||||||
May 1, 2012 – May 31, 2012 | 40,000 | $ | 28.7 | 127,033 | — | 18,851,824 | |||||||||||||||
June 1, 2012 – June 30, 2012 | 113,426 | $ | 29.42 | 240,459 | — | 15,515,168 | |||||||||||||||
July 1, 2012 - July 31, 2012 | 73,410 | $ | 28.69 | 313,869 | — | 13,409,230 | |||||||||||||||
August 1, 2012 - August 31, 2012 | 82,467 | $ | 27.23 | 396,336 | — | 11,163,298 | |||||||||||||||
September 1, 2012 - September 30, 2012 | 13,300 | $ | 32.98 | 409,636 | — | 10,724,643 | |||||||||||||||
October 1, 2012 - October 31, 2012 | — | $ | — | 409,636 | — | 10,724,643 | |||||||||||||||
November 1, 2012 - November 30, 2012 | 83,855 | $ | 32.58 | 493,491 | — | 7,992,647 | |||||||||||||||
December 1 , 2012 - December 31, 2012 | — | $ | — | 493,491 | — | 7,992,647 | |||||||||||||||
Total | 493,491 | $ | 31.21 | 493,491 | — | $ | 7,992,647 | ||||||||||||||
During the year ended December 31, 2013, the Company repurchased 394,064 shares of the Company’s common stock, par value $0.01 per share. The chart below provides further detail as to the Company’s repurchases during the period. | |||||||||||||||||||||
Total | Average | Total | Maximum | Maximum Number | |||||||||||||||||
Number of | Price Paid | Number of | Number of | (or Approximate | |||||||||||||||||
Shares | Per Share | Shares | Shares that | Dollar Value) of | |||||||||||||||||
Purchased | Purchased as | May Yet Be | Shares that May | ||||||||||||||||||
Part of | Purchased | Yet Be Purchased | |||||||||||||||||||
Publicly | Under the | Under the Plans or | |||||||||||||||||||
Announced | Plans or | Programs (2) (3) | |||||||||||||||||||
Plans or | Programs (1) | ||||||||||||||||||||
Programs | |||||||||||||||||||||
1-Jan-13 | — | $ | — | — | — | $ | 7,992,647 | ||||||||||||||
January 1, 2013 - January 31, 2013 | 3,638 | $ | 34.79 | 3,638 | — | 7,866,068 | |||||||||||||||
February 1, 2013 - February 28, 2013 | — | $ | — | 3,638 | — | 7,866,068 | |||||||||||||||
14-Mar-13 | — | $ | — | 3,638 | — | 22,866,068 | |||||||||||||||
March 1, 2013 - March 31, 2013 | 150,587 | $ | 32.3 | 154,225 | — | 18,001,740 | |||||||||||||||
April 1, 2013 - April 30, 2013 | 2,164 | $ | 33 | 156,389 | — | 17,930,337 | |||||||||||||||
May 1, 2013 - May 31, 2013 | 60,000 | $ | 32.55 | 216,389 | — | 15,977,321 | |||||||||||||||
June 1, 2013 - June 30, 2013 | — | $ | — | 216,389 | — | 15,977,321 | |||||||||||||||
July 1, 2013 - July 31, 2013 | — | $ | — | 216,389 | — | 15,977,321 | |||||||||||||||
August 1, 2013 - August 31, 2013 | — | $ | — | 216,389 | — | 15,977,321 | |||||||||||||||
September 1, 2013 - September 30, 2013 | 10,000 | $ | 37.91 | 226,389 | — | 15,598,221 | |||||||||||||||
October 1, 2013 - October 31, 2013 | 167,675 | $ | 36.86 | 394,064 | — | 9,417,721 | |||||||||||||||
November 1, 2013 - November 30, 2013 | — | $ | — | 394,064 | — | 9,417,721 | |||||||||||||||
December 1, 2013 - December 31, 2013 | — | $ | — | 394,064 | — | 9,417,721 | |||||||||||||||
Total | 394,064 | $ | 34.47 | 394,064 | — | $ | 9,417,721 | ||||||||||||||
During the year ended December 31, 2014, the Company repurchased 530,962 shares of the Company’s common stock, par value $0.01 per share. The chart below provides further detail as to the Company’s repurchases during the period. | |||||||||||||||||||||
Total | Average | Total | Maximum | Maximum Number | |||||||||||||||||
Number of | Price Paid | Number of | Number of | (or Approximate | |||||||||||||||||
Shares | per Share | Shares | Shares that | Dollar Value) of | |||||||||||||||||
Purchased | Purchased as | May Yet Be | Shares that May | ||||||||||||||||||
Part of | Purchased | Yet Be Purchased | |||||||||||||||||||
Publicly | Under the | Under the Plans or | |||||||||||||||||||
Announced | Plans or | Programs (2)(3) | |||||||||||||||||||
Plans or | Programs (1) | ||||||||||||||||||||
Programs | |||||||||||||||||||||
1-Jan-14 | — | $ | — | — | — | $ | 9,417,721 | ||||||||||||||
20-Jan-14 | — | $ | — | — | 147,284 | 9,417,721 | |||||||||||||||
January 1, 2014 - January 30, 2014 | — | $ | — | — | 147,284 | 9,417,721 | |||||||||||||||
February 1, 2014 - February 28, 2014 | — | $ | — | — | 147,284 | 9,417,721 | |||||||||||||||
March 1, 2014 - March 31, 2014 | 40,000 | $ | 35.26 | 40,000 | 107,284 | 9,417,721 | |||||||||||||||
April 1, 2014 - April 30, 2014 | 185,000 | $ | 34.6 | 185,000 | 14,784 | 6,217,221 | |||||||||||||||
May 1, 2014 - May 31, 2014 | 139,568 | $ | 35.11 | 139,568 | — | 1,836,055 | |||||||||||||||
June 1, 2014 - June 30, 2014 | 51,760 | $ | 34.95 | 51,760 | — | 27,043 | |||||||||||||||
13-Jun-14 | — | $ | — | — | — | 15,027,043 | |||||||||||||||
July 1, 2014 - September 31, 2014 | — | $ | — | — | — | 15,027,043 | |||||||||||||||
October 1, 2014 - October 31, 2014 | — | $ | — | — | 114,634 | 15,027,043 | |||||||||||||||
November 1, 2014 - November 30, 2014 | 30,000 | $ | 35.48 | 30,000 | 84,634 | 15,027,043 | |||||||||||||||
December 1, 2014 - December 31, 2014 | 84,634 | $ | 34.09 | 84,634 | — | 15,027,043 | |||||||||||||||
Total | 530,962 | $ | 34.78 | 530,962 | — | $ | 15,027,043 | ||||||||||||||
-1 | On December 9, 2011, the Company’s Board of Directors approved a stock repurchase program for its common stock, under which the Company may annually purchase up to the cumulative number of shares issued or deemed issued under the Company’s equity incentive and stock purchase plans. Repurchases may be made from time to time in the open market at prevailing market prices or in privately negotiated transactions based on business and market conditions. The stock repurchase program may be suspended or discontinued at any time, and will be funded using the Company’s available cash. Pursuant to this authorization, for the year ended December 31, 2014, the Company repurchased 147,284 and 114,634 restricted shares granted to employees under the Company’s equity incentive and stock purchase plans on January 20, 2014 and October 1, 2014, respectively. | ||||||||||||||||||||
-2 | On May 14, 2012, our Board of Directors authorized a program to repurchase up to $20 million of shares of the Company’s common stock. On March 14, 2013, our Board of Directors increased this authorization by $15 million of shares, and on June 13, 2014, the Company’s Board of Directors increased the authorization by an additional $15 million of shares. Subject to market conditions, applicable legal requirements and other factors, the repurchases of the Company’s common stock may be made from time to time in open market transactions or privately negotiated transactions. The authorization does not obligate the Company to acquire any shares, and purchases may be commenced or suspended at any time based on market conditions and other factors that we deem appropriate. | ||||||||||||||||||||
-3 | The Company was deemed to have repurchased 10,697 and 20,540 shares of common stock forfeited by employees to satisfy minimum tax-withholding requirements in connection with the vesting of restricted stock grants during the twelve months ended December 31, 2012 and 2013, respectively. During the twelve months ended December 31, 2014, the Company was deemed to have repurchased 30,973 shares of common stock forfeited by employees to satisfy minimum tax-withholding requirements in connection with the vesting of restricted stock grants and to cover the exercise and minimum tax-withholding requirements of expiring stock options. These repurchases were not part of the stock repurchase programs authorized by the Company’s Board of Directors. | ||||||||||||||||||||
During the years ended December 31, 2012, 2013, and 2014, the Company retired 493,491, 394,064 and 530,962 shares of common stock, respectively, that had been previously repurchased and held in the Company’s treasury. | |||||||||||||||||||||
Note 8. Contingencies |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2014 | |
Contingencies | Note 8. Contingencies |
From time to time the Company may be involved in litigation in the normal course of its business. The Company is not currently subject to any pending material legal proceedings. |
Concentration
Concentration | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Concentration | Note 9. Concentration | |||||
APUS students utilize various payment sources and programs to finance tuition. These programs include funds from DoD tuition assistance programs, education benefit programs administered by the U.S. Department of Veterans Affairs, or VA, and federal student aid from Title IV programs, as well as cash and other sources. Reductions in or changes to DoD tuition assistance, VA education benefits, Title IV programs and other payment sources could have a significant impact on the Company’s operations. As of December 31, 2014 approximately 52% of APUS students self-reported that they served in the military on active duty at the time of initial enrollment. Active duty military students generally take fewer classes per year on average than non-military students. | ||||||
A summary of APEI Segment revenues derived from students by primary funding source for the years ended December 31, 2012, 2013 and 2014 is as follows: | ||||||
2012 | 2013 | 2014 | ||||
Title IV programs | 36% | 38% | 36% | |||
DoD tuition assistance programs | 38% | 34% | 35% | |||
VA education benefits | 13% | 16% | 18% | |||
Cash and other sources | 13% | 12% | 11% | |||
As of December 31, 2014 approximately 3% of the HCON Segment’s revenues were derived from students who were eligible for veteran’s education benefits and approximately 83% of the HCON Segment’s revenues were derived from students who received federal student aid. | ||||||
A reduction in or change to any of these programs could have a significant impact on the Company’s operations and financial condition. |
Segment_Information
Segment Information | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Segment Information | Note 10. Segment Information | ||||||||||||
On November 1, 2013, APEI acquired HCON and subsequently revised the Company’s segment reporting to maintain consistency with the method management uses to evaluate performance and allocate resources, as well as to provide additional information to shareholders. Accordingly, the Company has identified two operating segments that are managed in the following reportable segments: | |||||||||||||
• | American Public Education Segment, or APEI Segment | ||||||||||||
• | Hondros College of Nursing Segment, or HCON Segment | ||||||||||||
In accordance with FASB ASC Topic 280, Segment Reporting, the chief operating decision-maker has been identified as the Chief Executive Officer. The Chief Executive Officer reviews operating results to make decisions about allocating resources and assessing performance for APEI and HCON. | |||||||||||||
A summary of financial information by reportable segment is as follows (in thousands): | |||||||||||||
Year Ended December 31, | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Revenue | |||||||||||||
American Public Education Segment | $ | 313,516 | $ | 325,678 | $ | 319,879 | |||||||
Hondros College of Nursing Segment | — | 3,801 | 30,141 | ||||||||||
Total Revenue | $ | 313,516 | $ | 329,479 | $ | 350,020 | |||||||
Depreciation and Amortization | |||||||||||||
American Public Education Segment | 11,146 | 13,344 | 14,859 | ||||||||||
Hondros College of Nursing Segment | — | 164 | 1,262 | ||||||||||
Total Depreciation and Amortization | 11,146 | 13,508 | 16,121 | ||||||||||
Income from continuing operations before interest income and income taxes | |||||||||||||
American Public Education Segment | $ | 68,802 | $ | 67,161 | $ | 62,499 | |||||||
Hondros College of Nursing Segment | — | 276 | 3,333 | ||||||||||
Total income from continuing operations before interest income and income taxes | $ | 68,802 | $ | 67,437 | $ | 65,832 | |||||||
Capital Expenditures | |||||||||||||
American Public Education Segment | $ | 35,014 | $ | 20,642 | $ | 24,273 | |||||||
Hondros College of Nursing Segment | — | 7 | 323 | ||||||||||
Total Capital Expenditures | $ | 35,014 | $ | 20,649 | $ | 24,596 | |||||||
A summary of the Company’s consolidated assets by reportable segment is as follows (in thousands): | |||||||||||||
Year Ended December 31, | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Assets | |||||||||||||
American Public Education Segment | $ | 237,603 | $ | 221,426 | $ | 245,544 | |||||||
Hondros College of Nursing Segment | — | 50,229 | 52,360 | ||||||||||
Total Assets | $ | 237,603 | $ | 271,655 | $ | 297,904 |
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Goodwill and Intangible Assets | Note 11. Goodwill and Intangible Assets | ||||||||||||
Goodwill in the amount of $38.6 million was recorded in connection with the acquisition of HCON by the Company on November 1, 2013. Goodwill represents the excess of the purchase price over the amount assigned to the net assets acquired and the fair value assigned to identified intangible assets. In addition to goodwill, HCON recorded identified intangible assets with an indefinite useful life in the aggregate amount of $3.7 million, which includes trade names, accreditation, licensing and Title IV, and affiliate agreements. | |||||||||||||
At the acquisition date, the fair value assigned to identified intangible assets with a definite useful life was $4.4 million. Identified intangible assets with a definite life are as follows: | |||||||||||||
Useful Life | |||||||||||||
Student contracts and relationships | 6 years | ||||||||||||
Curricula | 3 years | ||||||||||||
Non-compete agreements | 5 years | ||||||||||||
The future amortization of intangible assets is as follows (in thousands): | |||||||||||||
2015 | $ | 894 | |||||||||||
2016 | 710 | ||||||||||||
2017 | 598 | ||||||||||||
2018 | 563 | ||||||||||||
2019 and beyond | 322 | ||||||||||||
Total | $ | 3,087 | |||||||||||
Changes in the carrying amount of goodwill by reportable segment during fiscal year ending December 31, 2014 are as follows (in thousands): | |||||||||||||
APEI Segment | HCON Segment | Total Goodwill | |||||||||||
Goodwill as of December 31, 2013 | $ | — | $ | 38,148 | $ | 38,148 | |||||||
Goodwill acquired(1) | — | — | — | ||||||||||
Impairment | — | — | — | ||||||||||
Section 338(h)(10) adjustment | — | 486 | 486 | ||||||||||
Goodwill as of December 31, 2014 | $ | — | $ | 38,634 | $ | 38,634 | |||||||
(1) On November 1, 2013, the Company acquired Hondros College of Nursing, which resulted in recognizing $38.6 million of goodwill and $8.1 million in other identifiable intangible assets. The Company intends to conduct an annual impairment test on each anniversary date of the acquisition. For additional information please refer to Note 2, “Acquisition Accounting” of these Notes to Consolidated Financial Statements. | |||||||||||||
The following table presents the components of the net carrying amount of goodwill by reportable segment as of December 31, 2014 (in thousands): | |||||||||||||
APEI Segment | HCON Segment | Total Goodwill | |||||||||||
Gross carrying amount of Goodwill as of December 31, 2014 | $ | — | $ | 38,634 | $ | 38,634 | |||||||
Accumulated impairment | — | — | — | ||||||||||
Net Carrying amount of Goodwill as of December 31, 2014 | $ | — | $ | 38,634 | $ | 38,634 | |||||||
Other intangible assets consist of the following as of December 31 (in thousands): | |||||||||||||
2014 | |||||||||||||
Gross | Accumulated | Net Carrying | |||||||||||
Carrying | Amortization | Amount | |||||||||||
Amount | |||||||||||||
Finite-lived intangible assets | |||||||||||||
Curricula | $ | 405 | $ | 158 | $ | 247 | |||||||
Non-compete agreements | 86 | 20 | 66 | ||||||||||
Student contracts and relationships | 3,870 | 1,096 | 2,774 | ||||||||||
Total finite-lived intangible assets | 4,361 | 1,274 | 3,087 | ||||||||||
Indefinite-lived intangible assets | |||||||||||||
Trade name | 1,998 | — | 1,998 | ||||||||||
Accreditation, licensing and Title IV | 1,686 | — | 1,686 | ||||||||||
Affiliation agreements | 37 | — | 37 | ||||||||||
Total indefinite-lived intangible assets | 3,721 | — | 3,721 | ||||||||||
Total intangible assets | $ | 8,082 | $ | 1,274 | $ | 6,808 | |||||||
Identified intangible assets are amortized in a manner that reflects the estimated economic benefit of the intangible assets. Curricula and Non-compete agreements are amortized on a straight-line basis. Student contracts and relationships are amortized using an accelerated method. |
Subsequent_Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2014 | |
Subsequent Events | Note 12. Subsequent Events |
The Company has reviewed its business activities and has no subsequent events to report. |
Quarterly_Financial_Summary_un
Quarterly Financial Summary (unaudited) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Quarterly Financial Summary (unaudited) | Note 13. Quarterly Financial Summary (unaudited) | ||||||||||||||||
The following unaudited consolidated interim financial information presented should be read in conjunction with other information included in the Company’s consolidated financial statements. In the opinion of management, the following unaudited consolidated financial information reflects all adjustments necessary for the fair presentation of the results of interim periods. The Company acquired HCON on November 1, 2013, and therefore the consolidated results for periods prior to November 1, 2013 do not include any results from HCON. Historical results are not necessarily indicative of the results of operations to be expected for future periods. The following tables set forth selected unaudited quarterly financial information for each of the Company’s last eight quarters: | |||||||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | ||||||||||||||
(in thousands, except per share data) | |||||||||||||||||
2014 | |||||||||||||||||
Revenues | $ | 88,553 | $ | 85,463 | $ | 84,708 | $ | 91,297 | |||||||||
Income before income taxes | 16,806 | 15,933 | 14,745 | 18,709 | |||||||||||||
Net income | 10,436 | 9,802 | 8,842 | 11,797 | |||||||||||||
Net income per common share: | |||||||||||||||||
Basic | $ | 0.59 | $ | 0.56 | $ | 0.51 | $ | 0.69 | |||||||||
Diluted | $ | 0.59 | $ | 0.56 | $ | 0.51 | $ | 0.68 | |||||||||
2013 | |||||||||||||||||
Revenues | $ | 83,840 | $ | 80,925 | $ | 81,777 | $ | 82,937 | |||||||||
Income before income taxes | 18,274 | 17,291 | 17,584 | 14,597 | |||||||||||||
Net income | 11,376 | 10,750 | 10,911 | 8,997 | |||||||||||||
Net income per common share: | |||||||||||||||||
Basic | $ | 0.64 | $ | 0.61 | $ | 0.62 | $ | 0.51 | |||||||||
Diluted | $ | 0.63 | $ | 0.6 | $ | 0.61 | $ | 0.51 |
Schedule_II_Valuation_and_Qual
Schedule II Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Schedule II Valuation and Qualifying Accounts | AMERICAN PUBLIC EDUCATION, INC. | ||||||||||||||||
Schedule II | |||||||||||||||||
Valuation and Qualifying Accounts | |||||||||||||||||
Balance at | Additions/ | Write-offs | Balance at | ||||||||||||||
beginning of | (reductions)1 | end of period | |||||||||||||||
period | |||||||||||||||||
Year ended December 31, 2014: | |||||||||||||||||
American Public Education Segment | $ | 11,452 | $ | 17,480 | $ | (20,471 | ) | $ | 8,461 | ||||||||
Hondros College of Nursing Segment | 1,723 | 1,344 | (829 | ) | 2,238 | ||||||||||||
Allowance for receivables | 13,175 | 18,824 | (21,300 | ) | 10,699 | ||||||||||||
Year ended December 31, 2013: | |||||||||||||||||
American Public Education Segment | $ | 11,106 | $ | 14,011 | $ | (13,665 | ) | $ | 11,452 | ||||||||
Hondros College of Nursing Segment | — | 1,723 | — | 1,723 | |||||||||||||
Allowance for receivables | $ | 11,106 | $ | 15,734 | $ | (13,665 | ) | $ | 13,175 | ||||||||
Year ended December 31, 2012: | |||||||||||||||||
American Public Education Segment | $ | 4,996 | $ | 13,610 | $ | (7,500 | ) | $ | 11,106 | ||||||||
Allowance for receivables | $ | 4,996 | $ | 13,610 | $ | (7,500 | ) | $ | 11,106 | ||||||||
1 Hondros College of Nursing additions include $1.461 million beginning balance as of November 1, 2013. |
Nature_of_Business_and_Signifi1
Nature of Business and Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Basis of accounting | Basis of accounting. The accompanying financial statements are presented in accordance with the accrual basis of accounting, whereby revenue is recognized when earned and expenses are recognized when incurred. | ||||||||||||
Principles of consolidation | Principles of consolidation. The accompanying consolidated financial statements include accounts of APEI and its wholly-owned subsidiaries. All material inter-company transactions and balances have been eliminated in consolidation. | ||||||||||||
Cash and cash equivalents | Cash and cash equivalents. The Company considers all highly liquid investments with original maturities of ninety days or less when purchased to be cash equivalents. | ||||||||||||
Restricted Cash | Restricted Cash. Cash and cash equivalents includes funds held for students for unbilled educational services that were received from Title IV program funds. As a trustee of these Title IV program funds, we are required to maintain and restrict these funds pursuant to the terms of our program participation agreement with the U.S. Department of Education. Restricted cash on our Balance Sheet as of December 31, 2013 and 2014 is recorded as $6.3 million and $3.9 million, respectively. Changes in restricted cash that represent funds held for students as described above are included in cash flows from operating activities on our Consolidated Statements of Cash Flows because these restricted funds are a core activity of our operations. | ||||||||||||
Accounts receivable | Accounts receivable. Course tuition is recorded as accounts receivable and deferred revenue at the time students begin a class or term. Students may remit tuition payments at any time or they may elect various other payment options which can delay the receipt of payment up until the class or term starts or longer. These other payment options include payments by sponsors, financial aid, alternative loans, or a tuition assistance program that remits payments directly to the subsidiary. When a student remits payment after a class or term has begun, accounts receivable is reduced. If payment is made prior to the start of a class or term, the payment is recorded as a student deposit, and the student is provided access to the online classroom when classes start, in the case of APUS, or allowed to start the term, in the case of HCON. If one of the various other payment options are confirmed as secured, the student is provided access to the online classroom or allowed to start the term. Generally, if no receipt is confirmed or payment option secured, the student will be dropped from the online class or not allowed to start the term. Therefore, billed amounts represent charges that have been prepared and sent to students or the applicable third party payor according to the terms agreed upon in advance. | ||||||||||||
DoD tuition assistance programs are billed by branch of service on a course-by-course basis when a student starts class, whereas Title IV programs are billed based on the classes included in a student’s semester. Billed accounts receivable are considered past due if the invoice has been outstanding for more than 30 days. The allowance for doubtful accounts is based on management’s evaluation of the status of existing accounts receivable. Among other factors, management considers the age of the receivable, the anticipated source of payment and the Company’s historical allowance considerations. Consideration is also given to any specific known risk areas among the existing accounts receivable balances. Recoveries of receivables previously written off are recorded when received. The Company does not charge interest on our past due accounts receivable. | |||||||||||||
Property and equipment | Property and equipment. All property and equipment are carried at cost less accumulated depreciation, except the acquired assets of HCON, which were recorded at fair value at the acquisition date. Depreciation and amortization are calculated on a straight-line basis over the estimated useful lives of the assets. Our proprietary system, Partnership At a DistanceTM, or PAD, is a customized student information and services system used by APUS to manage admissions, online orientation, course registrations, tuition payments, grade reporting, progress toward degrees, and various other functions. Costs associated with this system have been capitalized in accordance with Financial Accounting Standards Board Accounting Standards Codification, or FASB ASC, Topic 350, Accounting for the Costs of Computer Software Developed or Obtained for Internal Use, and classified as property and equipment. These costs are amortized over the estimated useful life of five years. The Company also capitalizes certain costs for academic program development. These costs are transferred to property and equipment upon completion of each program and amortized over an estimated life not to exceed three years. | ||||||||||||
Investments | Investments. On September 30, 2012, the Company made a $6.8 million investment in preferred stock of NWHW Holdings, Inc., or NWHW Holdings, a holding company which operates New Horizons Worldwide, Inc., or New Horizons, representing approximately 19.9% of the fully diluted equity of NWHW Holdings. New Horizons is a global IT training company operating over 300 locations around the world through franchise arrangements in 45 states and 70 countries. In connection with the investment, the Company is entitled to certain rights, including the right to representation on the Board of Directors of NWHW Holdings. The Company accounts for its investment in New Horizons under the equity method of accounting. Therefore, the Company recorded the investment at cost and recognizes its share of earnings or losses in the investee in the periods for which they are reported with a corresponding adjustment in the carrying amount of the investment. | ||||||||||||
On February 20, 2013, the Company made a $4.0 million investment in preferred stock of Fidelis Education, Inc., or Fidelis Education, representing approximately 21.6% of its fully diluted equity. Fidelis Education is developing a learning relationship management system that will assist working adult students with education advising and career mentoring services as they pursue college degrees. In connection with the investment, the Company is entitled to certain rights, including the right to representation on the Board of Directors of Fidelis Education. The Company accounts for its investment in Fidelis Education under the equity method of accounting. Therefore, the Company recorded the investment at cost and recognizes its share of earnings or losses in the investee in the periods for which they are reported with a corresponding adjustment in the carrying amount of the investment. | |||||||||||||
On April 2, 2014, the Company made a $1.5 million investment in preferred stock of Second Avenue Software, Inc., or Second Avenue Software, representing approximately 25.9% of its fully diluted equity. Second Avenue Software is a game-based education software company that develops software on a proprietary and “work-for-hire” basis. In connection with the investment, the Company is entitled to certain rights, including the right to representation on the Board of Directors of Second Avenue Software. The Company accounts for its investment in Second Avenue Software under the equity method of accounting. Therefore, the Company recorded the investment at cost and recognizes its share of earnings or losses in the investee in the periods for which they are reported with a corresponding adjustment in the carrying amount of the investment. | |||||||||||||
Notes Receivable | Note Receivable. In connection with the Company’s minority investment in NWHW Holdings, the Company extended $6.0 million in credit to New Horizons in exchange for a subordinated note. The note was interest only and was scheduled to mature on September 28, 2018. Interest was payable monthly at a rate of 5.0% per annum during the first five years of the note and monthly at a rate of 6.0% per annum in the sixth year. On December 16, 2014, New Horizons prepaid the note receivable in full, including pro rata interest owed. | ||||||||||||
Goodwill and indefinite-lived intangible assets | Goodwill and indefinite-lived intangible assets. Goodwill represents the excess of the purchase price of an acquired business over the amount assigned to the assets acquired and liabilities assumed. Goodwill and the indefinite-lived intangible assets are assessed at least annually for impairment, or more frequently if events occur or circumstances change between annual tests that would more likely than not reduce the fair value of the respective reporting unit below its carrying amount. Under Accounting Standards Update No. 2011-08, Intangibles-Goodwill and Other (Topic 350): Testing Goodwill for Impairment, the Company is permitted, but not required, to first assess qualitative factors to determine whether it is necessary to perform a quantitative goodwill impairment test. | ||||||||||||
Valuation of long-lived assets | Valuation of long-lived assets. The Company accounts for the valuation of long-lived assets under FASB ASC Topic 360, Accounting for the Impairment or Disposal of Long-Lived Assets. FASB ASC Topic 360 requires that long-lived assets and certain identifiable intangible assets be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of the long-lived asset is measured by a comparison of the carrying amount of the asset to future undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the estimated fair value of the assets. Assets to be disposed of are reportable at the lower of the carrying amount or fair value, less costs to sell. | ||||||||||||
Revenue recognition | Revenue recognition. The Company records all tuition as deferred revenue when a student begins a class, in the case of APUS, or starts a term, in the case of HCON. At the beginning of each class or term, revenue is recognized on a pro rata basis over the period of the class or term, which is, for APUS, either an eight- or sixteen-week period and, for HCON, a quarterly term. This results in deferred revenue on the Company’s balance sheet that includes future revenues that have not yet been earned for classes and terms that are in progress. The revenue recognition policies of each of the Company’s reportable segments is discussed below. | ||||||||||||
American Public University System. | |||||||||||||
APUS’s tuition revenues vary from period to period based on the number of net course registrations. Students may remit tuition payments through the online registration process at any time or they may elect various payment options, including payments by sponsors, alternative loans, financial aid, or the DoD tuition assistance program which remits payments directly to APUS. These other payment options can delay the receipt of payment up until the class starts or longer, resulting in the recording of a receivable from the student and deferred revenue at the beginning of each session. Tuition revenue for sessions in progress that has not been earned by APUS is presented as deferred revenue in the accompanying balance sheet. | |||||||||||||
APUS refunds 100% of tuition for courses that are dropped by students before the conclusion of the first seven days of a course. Because courses begin the first Monday of every month and penalty free drops occur by the second Monday of every month, the Company does not recognize revenue for dropped courses. After a course begins, if a student does not drop the course within the first seven days, APUS uses the following refund policy: | |||||||||||||
8-Week Course- Tuition Refund Schedule | |||||||||||||
Withdrawal Request Date | Tuition Refund Percentage | ||||||||||||
Before or During Week 1 | 100% | ||||||||||||
During Week 2 | 75% | ||||||||||||
During Weeks 3 and 4 | 50% | ||||||||||||
During Weeks 5 through 8 | No Refund | ||||||||||||
16-Week Course- Tuition Refund Schedule | |||||||||||||
Withdrawal Request Date | Tuition Refund Percentage | ||||||||||||
Before or During Week 1 | 100% | ||||||||||||
During Week 2 | 100% | ||||||||||||
During Weeks 3 and 4 | 75% | ||||||||||||
During Weeks 5 through 8 | 50% | ||||||||||||
During Weeks 9 through 16 | No Refund | ||||||||||||
Additional refund policies may apply to students of certain states in accordance with specific state and other local requirements. | |||||||||||||
APUS recognizes revenue on a pro rata basis over the period of its courses as APUS completes the tasks entitling it to the benefits represented by such revenue. If a student withdraws during the academic term, APUS recognizes as revenue the remaining non-refundable amount due from the student in the period the withdrawal occurs. The calculation of the remaining non-refundable amount is based upon the APUS student refund policy. For those students who have an outstanding receivable balance at the date of withdrawal, APUS assesses collectability and only recognizes as revenue those amounts where collectability is reasonably assured based on APUS’s history with similar student accounts. This policy was implemented on January 1, 2015. Prior to this, APUS recognized revenue for all student withdrawals and established an allowance for those receivables considered uncollectible. The Company does not believe that this change in policy will have a material effect on its results of operations or financial condition. | |||||||||||||
Other revenue includes charges for transcript credit evaluation, which includes assistance in securing official transcripts on behalf of the student in addition to evaluating transcripts for transfer credit, and a technology fee per course. APUS provides a grant to cover the technology fee for students using DoD tuition assistance programs or VA education benefits. Students also are charged withdrawal, graduation, late registration, transcript request and comprehensive examination fees, when applicable. In accordance with FASB ASC Topic 605-50, Accounting by a Customer (Including a Reseller) for Certain Consideration Received from a Vendor, other fees also include book purchase commissions APUS receives for graduate student book purchases and ancillary supply purchases students make directly from APUS’s preferred book vendor. | |||||||||||||
Hondros College of Nursing. | |||||||||||||
HCON’s tuition revenues vary from period to period based on the number of students enrolled. Students may remit tuition payments at any time, or they may elect various payment options that can delay receipt of payment up until the term starts or longer. These other payment options include payments by sponsors, financial aid, alternative loans, or payment plan options. If one of the various other payment options are confirmed as secured, the student is allowed to start the term. Students have access to their account statements on the student portal prior to the start of the term. Sponsor invoices are prepared and sent according to their billing terms. All financial aid is awarded prior to the start of the term and requests for authorization of disbursement begin in the first week of the term. Tuition revenue for the term in progress that has not been yet earned by HCON is presented as deferred revenue in the accompanying balance sheet. | |||||||||||||
HCON’s refund policy complies with the rules of the Ohio State Board of Career Colleges and Schools and is applicable to each term. For a course with an on-campus or other in-person component, the date of withdrawal is determined by a student’s last attended day of clinical offering, laboratory session, or lecture. For an online course, the date of withdrawal is determined by a student's last submitted assignment in the course. HCON uses the following refund policy: | |||||||||||||
Withdrawal Request Date | Tuition Refund Percentage | ||||||||||||
Before first full calendar week of the quarter | 100% plus registration fee | ||||||||||||
During first full calendar week of the quarter | 75%, plus registration fee | ||||||||||||
During second full calendar week of the quarter | 50%, plus registration fee | ||||||||||||
During third full calendar week of the quarter | 25%, plus registration fee | ||||||||||||
During fourth full week of the quarter | No Refund | ||||||||||||
Additional refund policies may apply to students of certain states in accordance with specific state and other local requirements. | |||||||||||||
Deferred Revenue and Student Deposits. Deferred revenue and student deposits at December 31, 2013 and 2014 consisted of the following (in thousands): | |||||||||||||
As of | |||||||||||||
December 31, | |||||||||||||
2013 | 2014 | ||||||||||||
Deferred revenue | $ | 14,188 | $ | 13,367 | |||||||||
Student deposits | 10,641 | 10,438 | |||||||||||
Total deferred revenue and student deposits | $ | 24,829 | $ | 23,805 | |||||||||
The Company provides scholarships to certain students to assist them financially and promote their registration. Scholarship assistance of $2,832,000, $2,855,000 and $2,589,000 was provided for the years ended December 31, 2012, 2013 and 2014, respectively, and are included as a reduction to revenue in the accompanying statements of income. | |||||||||||||
Advertising costs | Advertising costs. Advertising costs are expensed as incurred. Advertising expenses for the years ended December 31, 2012, 2013 and 2014 were $41,929,000, $46,995,000 and $50,950,000 respectively, and are included in selling and promotion costs in the accompanying statements of income. | ||||||||||||
Income taxes | Income taxes. Deferred taxes are determined using the liability method whereby deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. As these differences reverse, they will enter into the determination of future taxable income. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment of such changes. | ||||||||||||
There were no material uncertain tax positions as of December 31, 2012, 2013 and 2014. Interest and penalties associated with uncertain income tax positions would be classified as income tax expense. The Company has not recorded any material interest or penalties during any of the years presented. | |||||||||||||
Stock-based compensation | Stock-based compensation. The Company applies FASB ASC Topic 718, Share-Based Payment, which requires companies to expense share-based compensation based on fair value. | ||||||||||||
The following amounts of stock-based compensation have been included in the operating expense line-items indicated (in thousands): | |||||||||||||
Year Ended December 31, | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Instructional costs and services | $ | 896 | $ | 876 | $ | 1,274 | |||||||
Selling and promotional | 378 | 444 | 568 | ||||||||||
General and administrative | 2,544 | 2,704 | 3,527 | ||||||||||
Total stock-based compensation expense | $ | 3,818 | $ | 4,024 | $ | 5,369 | |||||||
Income per common share | Income per common share. Basic net income per common share is based on the weighted average number of shares of common stock outstanding during the period. Diluted net income per common share increases the shares used in the per share calculation by the dilutive effects of options, warrants, and restricted stock. | ||||||||||||
There were no outstanding options to purchase common shares that were excluded in the computation of diluted net income per common share for the year ended December 31, 2013. For the years ended December 31, 2012 and 2014, respectively, there were 265,965 and 365,832 anti-dilutive stock options excluded from the calculation. | |||||||||||||
Fair value of financial instruments | Fair value of financial instruments. The carrying amounts of cash and cash equivalents, tuition receivable, accounts payable, and accrued liabilities approximate fair value because of the short maturity of these instruments. | ||||||||||||
Concentration of credit risk | Concentration of credit risk. The Company maintains its cash and cash equivalents in bank deposit accounts with various financial institutions. Cash and cash equivalent balances may exceed the FDIC insurance limit. The Company has not experienced any losses in such accounts. | ||||||||||||
Estimates | Estimates. The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. |
Nature_of_Business_and_Signifi2
Nature of Business and Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Deferred Revenue and Student Deposits | Deferred revenue and student deposits at December 31, 2013 and 2014 consisted of the following (in thousands): | ||||||||||||
As of | |||||||||||||
December 31, | |||||||||||||
2013 | 2014 | ||||||||||||
Deferred revenue | $ | 14,188 | $ | 13,367 | |||||||||
Student deposits | 10,641 | 10,438 | |||||||||||
Total deferred revenue and student deposits | $ | 24,829 | $ | 23,805 | |||||||||
Stock-Based Compensation Included in Operating Expense Line-Items | The following amounts of stock-based compensation have been included in the operating expense line-items indicated (in thousands): | ||||||||||||
Year Ended December 31, | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Instructional costs and services | $ | 896 | $ | 876 | $ | 1,274 | |||||||
Selling and promotional | 378 | 444 | 568 | ||||||||||
General and administrative | 2,544 | 2,704 | 3,527 | ||||||||||
Total stock-based compensation expense | $ | 3,818 | $ | 4,024 | $ | 5,369 | |||||||
American Public University System | |||||||||||||
Tuition Refund Schedule | After a course begins, if a student does not drop the course within the first seven days, APUS uses the following refund policy: | ||||||||||||
8-Week Course- Tuition Refund Schedule | |||||||||||||
Withdrawal Request Date | Tuition Refund Percentage | ||||||||||||
Before or During Week 1 | 100% | ||||||||||||
During Week 2 | 75% | ||||||||||||
During Weeks 3 and 4 | 50% | ||||||||||||
During Weeks 5 through 8 | No Refund | ||||||||||||
16-Week Course- Tuition Refund Schedule | |||||||||||||
Withdrawal Request Date | Tuition Refund Percentage | ||||||||||||
Before or During Week 1 | 100% | ||||||||||||
During Week 2 | 100% | ||||||||||||
During Weeks 3 and 4 | 75% | ||||||||||||
During Weeks 5 through 8 | 50% | ||||||||||||
During Weeks 9 through 16 | No Refund | ||||||||||||
Hondros College of Nursing Segment | |||||||||||||
Tuition Refund Schedule | HCON uses the following refund policy: | ||||||||||||
Withdrawal Request Date | Tuition Refund Percentage | ||||||||||||
Before first full calendar week of the quarter | 100% plus registration fee | ||||||||||||
During first full calendar week of the quarter | 75%, plus registration fee | ||||||||||||
During second full calendar week of the quarter | 50%, plus registration fee | ||||||||||||
During third full calendar week of the quarter | 25%, plus registration fee | ||||||||||||
During fourth full week of the quarter | No Refund |
Acquisition_Accounting_Tables
Acquisition Accounting (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Fair Value of Identified Intangible Assets Acquired | 31-Dec-14 | |||||
(in thousands) | ||||||
Fair value consideration transferred: | ||||||
Cash | $ | 46,128 | ||||
Fair Value of IRC 338(h)(10) election | 636 | |||||
Total fair value consideration transferred | $ | 46,764 | ||||
Recognized amounts of identifiable tangible assets acquired and liabilities assumed: | ||||||
Assets acquired | $ | 4,834 | ||||
Liabilities assumed | 4,786 | |||||
Assets acquired in excess of liabilities assumed | $ | 48 | ||||
Useful Life | ||||||
Recognized identified intangible assets: | ||||||
Student contracts and relationships | 6 years | $ | 3,870 | |||
Trade name | 1,998 | |||||
Curricula | 3 years | 405 | ||||
Accreditation, licensing and Title IV | 1,686 | |||||
Affiliate agreements | 37 | |||||
Non-compete agreements | 5 years | 86 | ||||
Total recognized identified intangible assets | $ | 8,082 | ||||
Goodwill | 38,634 | |||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Property and Equipment | Property and equipment at December 31, 2013 and 2014 consisted of the following: | |||||||||||
Useful | 2013 | 2014 | ||||||||||
Life | ||||||||||||
(in thousands) | ||||||||||||
Land | — | $ | 8,196 | $ | 9,244 | |||||||
Building and building improvements | 27.5 - 39 years | 47,420 | 52,938 | |||||||||
Leasehold improvements | up to 15 years | 2,179 | 2,391 | |||||||||
Office equipment | 5 years | 2,500 | 2,351 | |||||||||
Computer equipment | 3 years | 18,777 | 22,615 | |||||||||
Furniture and fixtures | 7 years | 7,476 | 7,533 | |||||||||
Other Capitalizable Assets | 1 - 5 years | 107 | 708 | |||||||||
Software development | 5 years | 51,755 | 64,593 | |||||||||
Program development | 3 years | 3,162 | 4,110 | |||||||||
141,572 | 166,483 | |||||||||||
Accumulated depreciation and amortization | 50,839 | 64,059 | ||||||||||
$ | 90,733 | $ | 102,424 |
Operating_Leases_Tables
Operating Leases (Tables) | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Minimum Rental Commitment Under Operating Leases | The minimum rental commitment due under the operating leases is as follows (in thousands): | ||||
Years Ending December 31, | Combined | ||||
2015 | $ | 2,242 | |||
2016 | 2,310 | ||||
2017 | 2,372 | ||||
2018 | 2,041 | ||||
2019 and beyond | 11,246 | ||||
Total minimum rental commitment | $ | 20,211 |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Components of Income Tax Expense | The components of income tax expense for the years ended December 31, 2012, 2013 and 2014 were as follows (in thousands): | ||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||
Current income tax expense: | |||||||||||||||||||||||||
Federal | $ | 22,937 | $ | 20,533 | $ | 19,404 | |||||||||||||||||||
State | 3,430 | 3,094 | 3,252 | ||||||||||||||||||||||
26,367 | 23,627 | 22,656 | |||||||||||||||||||||||
Deferred tax expense: | |||||||||||||||||||||||||
Federal | 150 | 1,858 | 2,623 | ||||||||||||||||||||||
State | 11 | 160 | (129 | ) | |||||||||||||||||||||
161 | 2,018 | 2,494 | |||||||||||||||||||||||
Income Tax Expense | $ | 26,528 | $ | 25,645 | $ | 25,150 | |||||||||||||||||||
Tax Effects of Principal Temporary Differences | The tax effects of principal temporary differences are as follows (in thousands): | ||||||||||||||||||||||||
2013 | 2014 | ||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||
Property and equipment | $ | 5,472 | $ | 9,215 | |||||||||||||||||||||
Stock option compensation expense | 1,685 | 1,556 | |||||||||||||||||||||||
Allowance for doubtful accounts | 4,432 | 3,846 | |||||||||||||||||||||||
Accrued vacation and severance | 542 | 549 | |||||||||||||||||||||||
Restricted stock | 1,180 | 1,818 | |||||||||||||||||||||||
Investment | (39 | ) | 100 | ||||||||||||||||||||||
13,272 | 17,084 | ||||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||
Income tax deductible capitalized software development costs | (18,626 | ) | (24,750 | ) | |||||||||||||||||||||
Prepaid expenses | (1,542 | ) | (1,724 | ) | |||||||||||||||||||||
(20,168 | ) | (26,474 | ) | ||||||||||||||||||||||
Total tax effects | $ | (6,896 | ) | $ | (9,390 | ) | |||||||||||||||||||
Difference of Income Tax Expense from the United States Federal Income Tax Rates | Income tax expense differs from the amount of tax determined by applying the United States Federal income tax rates to pretax income and loss due to permanent tax differences, research and development tax credits related to capitalized software development costs, and the application of state apportionment laws, as follows (in thousands): | ||||||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||||||
Amount | % | Amount | % | Amount | % | ||||||||||||||||||||
Tax expense at statutory rate | $ | 24,135 | 35 | $ | 23,688 | 35 | $ | 23,110 | 35 | ||||||||||||||||
State taxes, net | 2,241 | 3.25 | 2,069 | 3.06 | 1,985 | 3.01 | |||||||||||||||||||
Permanent differences | 154 | 0.22 | (275 | ) | (0.41 | ) | 228 | 0.35 | |||||||||||||||||
Other | (2 | ) | — | 163 | 0.24 | (173 | ) | (0.27 | ) | ||||||||||||||||
$ | 26,528 | 38.47 | $ | 25,645 | 37.89 | $ | 25,150 | 38.09 |
Other_Employee_Benefits_Tables
Other Employee Benefits (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Shares Purchased in Open Market for Employees | Shares purchased in the open market for employees for the years ended December 31, 2012, 2013 and 2014 were as follows: | ||||||||||||||||
Purchase Date | Shares | Common Stock | Purchase Price | Compensation | |||||||||||||
Fair Value | Expense | ||||||||||||||||
31-Mar-12 | 4,749 | $ | 38 | $ | 32.3 | $ | 27,069 | ||||||||||
30-Jun-12 | 6,214 | $ | 32 | $ | 27.2 | $ | 29,827 | ||||||||||
30-Sep-12 | 4,517 | $ | 36.43 | $ | 30.97 | $ | 24,663 | ||||||||||
31-Dec-12 | 5,093 | $ | 36.12 | $ | 30.7 | $ | 27,604 | ||||||||||
Total/Weighted Average | 20,573 | $ | 35.38 | $ | 30.07 | $ | 109,163 | ||||||||||
31-Mar-13 | 4,760 | $ | 34.89 | $ | 29.66 | $ | 24,895 | ||||||||||
30-Jun-13 | 4,726 | $ | 37.16 | $ | 31.59 | $ | 26,324 | ||||||||||
30-Sep-13 | 4,226 | $ | 37.8 | $ | 32.13 | $ | 23,961 | ||||||||||
31-Dec-13 | 4,556 | $ | 43.47 | $ | 36.95 | $ | 29,705 | ||||||||||
Total/Weighted Average | 18,268 | $ | 38.29 | $ | 32.55 | $ | 104,885 | ||||||||||
31-Mar-14 | 4,961 | $ | 35.08 | $ | 29.82 | $ | 26,095 | ||||||||||
30-Jun-14 | 5,180 | $ | 34.38 | $ | 29.22 | $ | 26,729 | ||||||||||
30-Sep-14 | 5,246 | $ | 26.99 | $ | 22.94 | $ | 21,246 | ||||||||||
31-Dec-14 | 3,931 | $ | 36.87 | $ | 31.34 | $ | 21,738 | ||||||||||
Total/Weighted Average | 19,318 | $ | 33.06 | $ | 28.1 | $ | 95,808 |
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Summary of Status of Company's Stock Incentive Plans and Changes During Periods Ended | A summary of the status of the Company’s Stock Incentive Plans as of December 31, 2012 and the changes during the periods then ended is as follows: | ||||||||||||||||||||
Number | Weighted | Weighted | Aggregate | ||||||||||||||||||
of Options | Average | Average | Intrinsic | ||||||||||||||||||
Exercise | Contractual | Value | |||||||||||||||||||
Price | Life (years) | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Outstanding, December 31, 2011 | 1,067,511 | $ | 21.22 | ||||||||||||||||||
Options granted | — | $ | — | ||||||||||||||||||
Awards exercised | (369,918 | ) | $ | 10.97 | |||||||||||||||||
Options forfeited | (6,511 | ) | $ | 34.03 | |||||||||||||||||
Outstanding, December 31, 2012 | 691,082 | $ | 26.59 | 3.86 | $ | 6,926 | |||||||||||||||
Exercisable, December 31, 2012 | 513,201 | $ | 23.1 | 3.57 | $ | 6,849 | |||||||||||||||
A summary of the status of the Company’s Stock Incentive Plans as of December 31, 2013 and the changes during the periods then ended is as follows: | |||||||||||||||||||||
Number | Weighted | Weighted | Aggregate | ||||||||||||||||||
of Options | Average | Average | Intrinsic | ||||||||||||||||||
Exercise | Contractual | Value | |||||||||||||||||||
Price | Life (years) | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Outstanding, December 31, 2012 | 691,082 | $ | 26.59 | ||||||||||||||||||
Options granted | — | $ | — | ||||||||||||||||||
Awards exercised | (171,897 | ) | $ | 18.92 | |||||||||||||||||
Options forfeited | (17,983 | ) | $ | 37.64 | |||||||||||||||||
Outstanding, December 31, 2013 | 501,202 | $ | 28.82 | 3.05 | $ | 7,343 | |||||||||||||||
Exercisable, December 31, 2013 | 445,564 | $ | 27.73 | 2.93 | $ | 7,012 | |||||||||||||||
A summary of the status of the Company’s Stock Incentive Plans as of December 31, 2014 and the changes during the periods then ended is as follows: | |||||||||||||||||||||
Number | Weighted | Weighted | Aggregate | ||||||||||||||||||
of Options | Average | Average | Intrinsic | ||||||||||||||||||
Exercise | Contractual | Value | |||||||||||||||||||
Price | Life (years) | ||||||||||||||||||||
(in thousands) | |||||||||||||||||||||
Outstanding, December 31, 2013 | 501,202 | $ | 28.82 | ||||||||||||||||||
Options granted | — | $ | — | ||||||||||||||||||
Awards exercised | (46,198 | ) | $ | 13.66 | |||||||||||||||||
Options forfeited | (20,603 | ) | $ | 37.04 | |||||||||||||||||
Outstanding, December 31, 2014 | 434,401 | $ | 30.04 | 2.14 | $ | 3,080 | |||||||||||||||
Exercisable, December 31, 2014 | 434,401 | $ | 30.04 | 2.14 | $ | 3,080 | |||||||||||||||
Stock Option Exercise | The following table summarizes information regarding stock option exercises: | ||||||||||||||||||||
2012 | 2013 | 2014 | |||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Proceeds from stock options exercised | $ | 4,058 | $ | 3,253 | $ | 631 | |||||||||||||||
Intrinsic value of stock options exercised | $ | 9,580 | $ | 3,667 | $ | 1,033 | |||||||||||||||
Tax benefit from exercises | $ | 3,459 | $ | 1,348 | $ | 193 | |||||||||||||||
Restricted Stock and Restricted Stock Units Activity | The table below sets forth the restricted stock and restricted stock unit activity for the year ended December 31, 2012: | ||||||||||||||||||||
Number | Weighted | ||||||||||||||||||||
of Shares | Average Grant | ||||||||||||||||||||
Price and Fair Value | |||||||||||||||||||||
Non vested, December 31, 2011 | 79,075 | $ | 37.44 | ||||||||||||||||||
Shares granted | 97,240 | 40.09 | |||||||||||||||||||
Vested shares | (38,821 | ) | 37.8 | ||||||||||||||||||
Shares forfeited | (1,097 | ) | 38.87 | ||||||||||||||||||
Non vested, December 31, 2012 | 136,397 | $ | 39.21 | ||||||||||||||||||
The table below sets forth the restricted stock and restricted stock unit activity for the year ended December 31, 2013: | |||||||||||||||||||||
Number | Weighted | ||||||||||||||||||||
of Shares | Average Grant | ||||||||||||||||||||
Price and Fair Value | |||||||||||||||||||||
Non vested, December 31, 2012 | 136,397 | $ | 39.21 | ||||||||||||||||||
Shares granted | 123,951 | 37.5 | |||||||||||||||||||
Vested shares | (65,585 | ) | 37.7 | ||||||||||||||||||
Shares forfeited | (4,002 | ) | 39.94 | ||||||||||||||||||
Non vested, December 31, 2013 | 190,761 | $ | 38.61 | ||||||||||||||||||
The table below sets forth the restricted stock and restricted stock unit activity for the year ended December 31, 2014: | |||||||||||||||||||||
Number | Weighted | ||||||||||||||||||||
of Shares | Average Grant | ||||||||||||||||||||
Price and Fair Value | |||||||||||||||||||||
Non vested, December 31, 2013 | 190,761 | $ | 38.61 | ||||||||||||||||||
Shares granted | 272,550 | 36.73 | |||||||||||||||||||
Vested shares | (87,445 | ) | 38.69 | ||||||||||||||||||
Shares forfeited | (15,097 | ) | 41.64 | ||||||||||||||||||
Non vested, December 31, 2014 | 360,769 | $ | 37.03 | ||||||||||||||||||
Detail of Company's Stock Repurchases During Period | The chart below provides further detail as to the Company’s repurchases during the period. | ||||||||||||||||||||
Total | Average | Total | Maximum | Maximum | |||||||||||||||||
Number of | Price Paid | Number of | Number of | Approximate | |||||||||||||||||
Shares | per Share | Shares | Shares that | Dollar Value of | |||||||||||||||||
Purchased | Purchased as | May Yet Be | Shares that | ||||||||||||||||||
Part of | Purchased | May Yet Be | |||||||||||||||||||
Publicly | Under the | Purchased | |||||||||||||||||||
Announced | Plans or | Under the Plans | |||||||||||||||||||
Plans or | Programs (1) | or Programs (2) (3) | |||||||||||||||||||
Programs | |||||||||||||||||||||
1-Jan-12 | — | $ | — | — | 87,033 | — | |||||||||||||||
February 1, 2012 – February 29, 2012 | — | $ | — | — | 87,033 | — | |||||||||||||||
March 1, 2012 – March 31, 2012 | 87,033 | $ | 39.02 | 87,033 | — | — | |||||||||||||||
April 1, 2012 – April 30, 2012 | — | $ | — | 87,033 | — | — | |||||||||||||||
14-May-12 | — | $ | — | 87,033 | — | $ | 20,000,000 | ||||||||||||||
May 1, 2012 – May 31, 2012 | 40,000 | $ | 28.7 | 127,033 | — | 18,851,824 | |||||||||||||||
June 1, 2012 – June 30, 2012 | 113,426 | $ | 29.42 | 240,459 | — | 15,515,168 | |||||||||||||||
July 1, 2012 - July 31, 2012 | 73,410 | $ | 28.69 | 313,869 | — | 13,409,230 | |||||||||||||||
August 1, 2012 - August 31, 2012 | 82,467 | $ | 27.23 | 396,336 | — | 11,163,298 | |||||||||||||||
September 1, 2012 - September 30, 2012 | 13,300 | $ | 32.98 | 409,636 | — | 10,724,643 | |||||||||||||||
October 1, 2012 - October 31, 2012 | — | $ | — | 409,636 | — | 10,724,643 | |||||||||||||||
November 1, 2012 - November 30, 2012 | 83,855 | $ | 32.58 | 493,491 | — | 7,992,647 | |||||||||||||||
December 1 , 2012 - December 31, 2012 | — | $ | — | 493,491 | — | 7,992,647 | |||||||||||||||
Total | 493,491 | $ | 31.21 | 493,491 | — | $ | 7,992,647 | ||||||||||||||
During the year ended December 31, 2013, the Company repurchased 394,064 shares of the Company’s common stock, par value $0.01 per share. The chart below provides further detail as to the Company’s repurchases during the period. | |||||||||||||||||||||
Total | Average | Total | Maximum | Maximum Number | |||||||||||||||||
Number of | Price Paid | Number of | Number of | (or Approximate | |||||||||||||||||
Shares | Per Share | Shares | Shares that | Dollar Value) of | |||||||||||||||||
Purchased | Purchased as | May Yet Be | Shares that May | ||||||||||||||||||
Part of | Purchased | Yet Be Purchased | |||||||||||||||||||
Publicly | Under the | Under the Plans or | |||||||||||||||||||
Announced | Plans or | Programs (2) (3) | |||||||||||||||||||
Plans or | Programs (1) | ||||||||||||||||||||
Programs | |||||||||||||||||||||
1-Jan-13 | — | $ | — | — | — | $ | 7,992,647 | ||||||||||||||
January 1, 2013 - January 31, 2013 | 3,638 | $ | 34.79 | 3,638 | — | 7,866,068 | |||||||||||||||
February 1, 2013 - February 28, 2013 | — | $ | — | 3,638 | — | 7,866,068 | |||||||||||||||
14-Mar-13 | — | $ | — | 3,638 | — | 22,866,068 | |||||||||||||||
March 1, 2013 - March 31, 2013 | 150,587 | $ | 32.3 | 154,225 | — | 18,001,740 | |||||||||||||||
April 1, 2013 - April 30, 2013 | 2,164 | $ | 33 | 156,389 | — | 17,930,337 | |||||||||||||||
May 1, 2013 - May 31, 2013 | 60,000 | $ | 32.55 | 216,389 | — | 15,977,321 | |||||||||||||||
June 1, 2013 - June 30, 2013 | — | $ | — | 216,389 | — | 15,977,321 | |||||||||||||||
July 1, 2013 - July 31, 2013 | — | $ | — | 216,389 | — | 15,977,321 | |||||||||||||||
August 1, 2013 - August 31, 2013 | — | $ | — | 216,389 | — | 15,977,321 | |||||||||||||||
September 1, 2013 - September 30, 2013 | 10,000 | $ | 37.91 | 226,389 | — | 15,598,221 | |||||||||||||||
October 1, 2013 - October 31, 2013 | 167,675 | $ | 36.86 | 394,064 | — | 9,417,721 | |||||||||||||||
November 1, 2013 - November 30, 2013 | — | $ | — | 394,064 | — | 9,417,721 | |||||||||||||||
December 1, 2013 - December 31, 2013 | — | $ | — | 394,064 | — | 9,417,721 | |||||||||||||||
Total | 394,064 | $ | 34.47 | 394,064 | — | $ | 9,417,721 | ||||||||||||||
During the year ended December 31, 2014, the Company repurchased 530,962 shares of the Company’s common stock, par value $0.01 per share. The chart below provides further detail as to the Company’s repurchases during the period. | |||||||||||||||||||||
Total | Average | Total | Maximum | Maximum Number | |||||||||||||||||
Number of | Price Paid | Number of | Number of | (or Approximate | |||||||||||||||||
Shares | per Share | Shares | Shares that | Dollar Value) of | |||||||||||||||||
Purchased | Purchased as | May Yet Be | Shares that May | ||||||||||||||||||
Part of | Purchased | Yet Be Purchased | |||||||||||||||||||
Publicly | Under the | Under the Plans or | |||||||||||||||||||
Announced | Plans or | Programs (2)(3) | |||||||||||||||||||
Plans or | Programs (1) | ||||||||||||||||||||
Programs | |||||||||||||||||||||
1-Jan-14 | — | $ | — | — | — | $ | 9,417,721 | ||||||||||||||
20-Jan-14 | — | $ | — | — | 147,284 | 9,417,721 | |||||||||||||||
January 1, 2014 - January 30, 2014 | — | $ | — | — | 147,284 | 9,417,721 | |||||||||||||||
February 1, 2014 - February 28, 2014 | — | $ | — | — | 147,284 | 9,417,721 | |||||||||||||||
March 1, 2014 - March 31, 2014 | 40,000 | $ | 35.26 | 40,000 | 107,284 | 9,417,721 | |||||||||||||||
April 1, 2014 - April 30, 2014 | 185,000 | $ | 34.6 | 185,000 | 14,784 | 6,217,221 | |||||||||||||||
May 1, 2014 - May 31, 2014 | 139,568 | $ | 35.11 | 139,568 | — | 1,836,055 | |||||||||||||||
June 1, 2014 - June 30, 2014 | 51,760 | $ | 34.95 | 51,760 | — | 27,043 | |||||||||||||||
13-Jun-14 | — | $ | — | — | — | 15,027,043 | |||||||||||||||
July 1, 2014 - September 31, 2014 | — | $ | — | — | — | 15,027,043 | |||||||||||||||
October 1, 2014 - October 31, 2014 | — | $ | — | — | 114,634 | 15,027,043 | |||||||||||||||
November 1, 2014 - November 30, 2014 | 30,000 | $ | 35.48 | 30,000 | 84,634 | 15,027,043 | |||||||||||||||
December 1, 2014 - December 31, 2014 | 84,634 | $ | 34.09 | 84,634 | — | 15,027,043 | |||||||||||||||
Total | 530,962 | $ | 34.78 | 530,962 | — | $ | 15,027,043 | ||||||||||||||
-1 | On December 9, 2011, the Company’s Board of Directors approved a stock repurchase program for its common stock, under which the Company may annually purchase up to the cumulative number of shares issued or deemed issued under the Company’s equity incentive and stock purchase plans. Repurchases may be made from time to time in the open market at prevailing market prices or in privately negotiated transactions based on business and market conditions. The stock repurchase program may be suspended or discontinued at any time, and will be funded using the Company’s available cash. Pursuant to this authorization, for the year ended December 31, 2014, the Company repurchased 147,284 and 114,634 restricted shares granted to employees under the Company’s equity incentive and stock purchase plans on January 20, 2014 and October 1, 2014, respectively. | ||||||||||||||||||||
-2 | On May 14, 2012, our Board of Directors authorized a program to repurchase up to $20 million of shares of the Company’s common stock. On March 14, 2013, our Board of Directors increased this authorization by $15 million of shares, and on June 13, 2014, the Company’s Board of Directors increased the authorization by an additional $15 million of shares. Subject to market conditions, applicable legal requirements and other factors, the repurchases of the Company’s common stock may be made from time to time in open market transactions or privately negotiated transactions. The authorization does not obligate the Company to acquire any shares, and purchases may be commenced or suspended at any time based on market conditions and other factors that we deem appropriate. | ||||||||||||||||||||
-3 | The Company was deemed to have repurchased 10,697 and 20,540 shares of common stock forfeited by employees to satisfy minimum tax-withholding requirements in connection with the vesting of restricted stock grants during the twelve months ended December 31, 2012 and 2013, respectively. During the twelve months ended December 31, 2014, the Company was deemed to have repurchased 30,973 shares of common stock forfeited by employees to satisfy minimum tax-withholding requirements in connection with the vesting of restricted stock grants and to cover the exercise and minimum tax-withholding requirements of expiring stock options. These repurchases were not part of the stock repurchase programs authorized by the Company’s Board of Directors. |
Concentration_Tables
Concentration (Tables) | 12 Months Ended | |||||
Dec. 31, 2014 | ||||||
Summary of APEI Segment Revenues | A summary of APEI Segment revenues derived from students by primary funding source for the years ended December 31, 2012, 2013 and 2014 is as follows: | |||||
2012 | 2013 | 2014 | ||||
Title IV programs | 36% | 38% | 36% | |||
DoD tuition assistance programs | 38% | 34% | 35% | |||
VA education benefits | 13% | 16% | 18% | |||
Cash and other sources | 13% | 12% | 11% |
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Summary of Financial Information by Reportable Segment | A summary of financial information by reportable segment is as follows (in thousands): | ||||||||||||
Year Ended December 31, | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Revenue | |||||||||||||
American Public Education Segment | $ | 313,516 | $ | 325,678 | $ | 319,879 | |||||||
Hondros College of Nursing Segment | — | 3,801 | 30,141 | ||||||||||
Total Revenue | $ | 313,516 | $ | 329,479 | $ | 350,020 | |||||||
Depreciation and Amortization | |||||||||||||
American Public Education Segment | 11,146 | 13,344 | 14,859 | ||||||||||
Hondros College of Nursing Segment | — | 164 | 1,262 | ||||||||||
Total Depreciation and Amortization | 11,146 | 13,508 | 16,121 | ||||||||||
Income from continuing operations before interest income and income taxes | |||||||||||||
American Public Education Segment | $ | 68,802 | $ | 67,161 | $ | 62,499 | |||||||
Hondros College of Nursing Segment | — | 276 | 3,333 | ||||||||||
Total income from continuing operations before interest income and income taxes | $ | 68,802 | $ | 67,437 | $ | 65,832 | |||||||
Capital Expenditures | |||||||||||||
American Public Education Segment | $ | 35,014 | $ | 20,642 | $ | 24,273 | |||||||
Hondros College of Nursing Segment | — | 7 | 323 | ||||||||||
Total Capital Expenditures | $ | 35,014 | $ | 20,649 | $ | 24,596 | |||||||
Summary of Company's Consolidated Assets by Reportable Segment | A summary of the Company’s consolidated assets by reportable segment is as follows (in thousands): | ||||||||||||
Year Ended December 31, | |||||||||||||
2012 | 2013 | 2014 | |||||||||||
Assets | |||||||||||||
American Public Education Segment | $ | 237,603 | $ | 221,426 | $ | 245,544 | |||||||
Hondros College of Nursing Segment | — | 50,229 | 52,360 | ||||||||||
Total Assets | $ | 237,603 | $ | 271,655 | $ | 297,904 |
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Identified Intangible Assets with Definite Life | Identified intangible assets with a definite life are as follows: | ||||||||||||
Useful Life | |||||||||||||
Student contracts and relationships | 6 years | ||||||||||||
Curricula | 3 years | ||||||||||||
Non-compete agreements | 5 years | ||||||||||||
Amortization of Intangible Assets | The future amortization of intangible assets is as follows (in thousands): | ||||||||||||
2015 | $ | 894 | |||||||||||
2016 | 710 | ||||||||||||
2017 | 598 | ||||||||||||
2018 | 563 | ||||||||||||
2019 and beyond | 322 | ||||||||||||
Total | $ | 3,087 | |||||||||||
Changes in Carrying Amount of Goodwill | Changes in the carrying amount of goodwill by reportable segment during fiscal year ending December 31, 2014 are as follows (in thousands): | ||||||||||||
APEI Segment | HCON Segment | Total Goodwill | |||||||||||
Goodwill as of December 31, 2013 | $ | — | $ | 38,148 | $ | 38,148 | |||||||
Goodwill acquired(1) | — | — | — | ||||||||||
Impairment | — | — | — | ||||||||||
Section 338(h)(10) adjustment | — | 486 | 486 | ||||||||||
Goodwill as of December 31, 2014 | $ | — | $ | 38,634 | $ | 38,634 | |||||||
(1) On November 1, 2013, the Company acquired Hondros College of Nursing, which resulted in recognizing $38.6 million of goodwill and $8.1 million in other identifiable intangible assets. The Company intends to conduct an annual impairment test on each anniversary date of the acquisition. For additional information please refer to Note 2, “Acquisition Accounting” of these Notes to Consolidated Financial Statements. | |||||||||||||
The following table presents the components of the net carrying amount of goodwill by reportable segment as of December 31, 2014 (in thousands): | |||||||||||||
APEI Segment | HCON Segment | Total Goodwill | |||||||||||
Gross carrying amount of Goodwill as of December 31, 2014 | $ | — | $ | 38,634 | $ | 38,634 | |||||||
Accumulated impairment | — | — | — | ||||||||||
Net Carrying amount of Goodwill as of December 31, 2014 | $ | — | $ | 38,634 | $ | 38,634 | |||||||
Other Intangible Assets | Other intangible assets consist of the following as of December 31 (in thousands): | ||||||||||||
2014 | |||||||||||||
Gross | Accumulated | Net Carrying | |||||||||||
Carrying | Amortization | Amount | |||||||||||
Amount | |||||||||||||
Finite-lived intangible assets | |||||||||||||
Curricula | $ | 405 | $ | 158 | $ | 247 | |||||||
Non-compete agreements | 86 | 20 | 66 | ||||||||||
Student contracts and relationships | 3,870 | 1,096 | 2,774 | ||||||||||
Total finite-lived intangible assets | 4,361 | 1,274 | 3,087 | ||||||||||
Indefinite-lived intangible assets | |||||||||||||
Trade name | 1,998 | — | 1,998 | ||||||||||
Accreditation, licensing and Title IV | 1,686 | — | 1,686 | ||||||||||
Affiliation agreements | 37 | — | 37 | ||||||||||
Total indefinite-lived intangible assets | 3,721 | — | 3,721 | ||||||||||
Total intangible assets | $ | 8,082 | $ | 1,274 | $ | 6,808 |
Quarterly_Financial_Summary_un1
Quarterly Financial Summary (unaudited) (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Unaudited Quarterly Financial Information | The following tables set forth selected unaudited quarterly financial information for each of the Company’s last eight quarters: | ||||||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | ||||||||||||||
(in thousands, except per share data) | |||||||||||||||||
2014 | |||||||||||||||||
Revenues | $ | 88,553 | $ | 85,463 | $ | 84,708 | $ | 91,297 | |||||||||
Income before income taxes | 16,806 | 15,933 | 14,745 | 18,709 | |||||||||||||
Net income | 10,436 | 9,802 | 8,842 | 11,797 | |||||||||||||
Net income per common share: | |||||||||||||||||
Basic | $ | 0.59 | $ | 0.56 | $ | 0.51 | $ | 0.69 | |||||||||
Diluted | $ | 0.59 | $ | 0.56 | $ | 0.51 | $ | 0.68 | |||||||||
2013 | |||||||||||||||||
Revenues | $ | 83,840 | $ | 80,925 | $ | 81,777 | $ | 82,937 | |||||||||
Income before income taxes | 18,274 | 17,291 | 17,584 | 14,597 | |||||||||||||
Net income | 11,376 | 10,750 | 10,911 | 8,997 | |||||||||||||
Net income per common share: | |||||||||||||||||
Basic | $ | 0.64 | $ | 0.61 | $ | 0.62 | $ | 0.51 | |||||||||
Diluted | $ | 0.63 | $ | 0.6 | $ | 0.61 | $ | 0.51 |
Nature_of_Business_and_Signifi3
Nature of Business and Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | ||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Feb. 20, 2013 | Apr. 02, 2014 | |
Segment | ||||||
Subsidiary | ||||||
Person | ||||||
Basis of Presentation [Line Items] | ||||||
Number of students | 112,470 | |||||
Number of subsidiaries | 2 | |||||
Number of reportable segments | 2 | |||||
Restricted cash | $3,900,000 | $6,300,000 | ||||
Minority investment | 1,620,000 | 4,000,000 | 6,750,000 | |||
Note receivable | 6,000,000 | |||||
Scholarship assistance | 2,589,000 | 2,855,000 | 2,832,000 | |||
Advertising expenses | 50,950,000 | 46,995,000 | 41,929,000 | |||
Uncertain tax positions | 0 | 0 | 0 | |||
Equity Option | ||||||
Basis of Presentation [Line Items] | ||||||
Anti-dilutive securities excluded from computation of diluted net income per common share | 365,832 | 0 | 265,965 | |||
Maximum | ||||||
Basis of Presentation [Line Items] | ||||||
Revenue recognition period | 16 weeks | |||||
Minimum | ||||||
Basis of Presentation [Line Items] | ||||||
Revenue recognition period | 8 weeks | |||||
New Horizons Worldwide Inc | ||||||
Basis of Presentation [Line Items] | ||||||
Note receivable | 6,000,000 | |||||
Note receivable, maturity date | 28-Sep-18 | |||||
New Horizons Worldwide Inc | First Five Years | ||||||
Basis of Presentation [Line Items] | ||||||
Note receivable, interest rate | 5.00% | |||||
New Horizons Worldwide Inc | Sixth Year | ||||||
Basis of Presentation [Line Items] | ||||||
Note receivable, interest rate | 6.00% | |||||
NWHW Holdings Inc | ||||||
Basis of Presentation [Line Items] | ||||||
Minority investment | 6,800,000 | |||||
Minority investment, ownership percentage | 19.90% | |||||
Number of states | 45 | |||||
Number of countries | 70 | |||||
NWHW Holdings Inc | Minimum | ||||||
Basis of Presentation [Line Items] | ||||||
Number of locations | 300 | |||||
Fidelis Education Inc | ||||||
Basis of Presentation [Line Items] | ||||||
Minority investment | 4,000,000 | |||||
Minority investment, ownership percentage | 21.60% | |||||
Second Avenue Software, Inc | ||||||
Basis of Presentation [Line Items] | ||||||
Minority investment | $1,500,000 | |||||
Minority investment, ownership percentage | 25.90% | |||||
Hondros College of Nursing Segment | ||||||
Basis of Presentation [Line Items] | ||||||
Number of Campuses | 4 | |||||
Software development | ||||||
Basis of Presentation [Line Items] | ||||||
Estimated useful life | 5 years | |||||
Program Development | ||||||
Basis of Presentation [Line Items] | ||||||
Estimated useful life | 3 years | |||||
Program Development | Maximum | ||||||
Basis of Presentation [Line Items] | ||||||
Estimated useful life | 3 years |
Tuition_Refund_Schedule_Detail
Tuition Refund Schedule (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Significant Accounting Policies [Line Items] | ||
Deferred revenue | 13,367 | $14,188 |
Student deposits | 10,438 | 10,641 |
Total deferred revenue and student deposits | 23,805 | $24,829 |
First Full Calendar Week | ||
Significant Accounting Policies [Line Items] | ||
Before full calendar week of the quarter registration fee | 100.00% | |
During full calendar week of the quarter registration fee | 75.00% | |
Second Full Calendar Week | ||
Significant Accounting Policies [Line Items] | ||
During full calendar week of the quarter registration fee | 50.00% | |
Third Full Calendar Week | ||
Significant Accounting Policies [Line Items] | ||
During full calendar week of the quarter registration fee | 25.00% | |
Fourth Full Calendar Week | ||
Significant Accounting Policies [Line Items] | ||
During full calendar week of the quarter registration fee | 0.00% | |
Eight Week Course Tuition Refund Schedule | ||
Significant Accounting Policies [Line Items] | ||
Before or During Week 1 | 100.00% | |
During Week 2 | 75.00% | |
During Weeks 3 and 4 | 50.00% | |
During Weeks 5 through 8 | 0.00% | |
Sixteen Week Course Tuition Refund Schedule | ||
Significant Accounting Policies [Line Items] | ||
Before or During Week 1 | 100.00% | |
During Week 2 | 100.00% | |
During Weeks 3 and 4 | 75.00% | |
During Weeks 5 through 8 | 50.00% | |
During Weeks 9 through 16 | 0.00% |
StockBased_Compensation_Includ
Stock-Based Compensation Included in Operating Expense Line-Items (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense in operating income | $5,369 | $4,024 | $3,818 |
Instructional costs and services | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense in operating income | 1,274 | 876 | 896 |
Selling and promotional | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense in operating income | 568 | 444 | 378 |
General and administrative | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense in operating income | $3,527 | $2,704 | $2,544 |
Acquisition_Accounting_Additio
Acquisition Accounting - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |
Nov. 01, 2013 | Dec. 31, 2014 | Nov. 01, 2013 | |
Business Acquisition [Line Items] | |||
Business acquisition purchase price | $46,764,000 | ||
Fair value of contingently issuable shares | 636,000 | ||
Hondros College of Nursing Segment | |||
Business Acquisition [Line Items] | |||
Business acquisition date | 1-Nov-13 | ||
Business acquisition purchase price | 46,300,000 | ||
Business acquisition goodwill tax deductible amount | 38,100,000 | 38,100,000 | |
Fair value of contingently issuable shares | 150,000 | ||
Increase in estimated fair value of contingent obligation | 636,000 | ||
Hondros College of Nursing Segment | Revised Value | |||
Business Acquisition [Line Items] | |||
Business acquisition purchase price | 46,800,000 | ||
Business acquisition goodwill tax deductible amount | $38,600,000 |
Fair_Value_of_Identified_Intan
Fair Value of Identified Intangible assets acquired (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Business Acquisition [Line Items] | ||
Fair value consideration transferred Cash | $46,128,000 | |
Preliminary Fair Value of IRC 338(h)(10) election | 636,000 | |
Fair value consideration transferred | 46,764,000 | |
Recognized amounts of identifiable tangible assets acquired and liabilities assumed, Assets acquired | 4,834,000 | |
Recognized amounts of identifiable tangible assets acquired and liabilities assumed, Liabilities assumed | 4,786,000 | |
Recognized amounts of identifiable tangible assets acquired and liabilities assumed | 48,000 | |
Recognized identified intangible assets | 8,082,000 | |
Goodwill | 38,634,000 | 38,148,000 |
Student contracts and relationships | ||
Business Acquisition [Line Items] | ||
Intangible assets, useful life | 6 years | |
Recognized identified intangible assets | 3,870,000 | |
Curricula | ||
Business Acquisition [Line Items] | ||
Intangible assets, useful life | 3 years | |
Recognized identified intangible assets | 405,000 | |
Non-Compete Agreements | ||
Business Acquisition [Line Items] | ||
Intangible assets, useful life | 5 years | |
Recognized identified intangible assets | 86,000 | |
Trade Names | ||
Business Acquisition [Line Items] | ||
Recognized identified intangible assets | 1,998,000 | |
Accreditation, licensing and Title IV | ||
Business Acquisition [Line Items] | ||
Recognized identified intangible assets | 1,686,000 | |
Affiliate Agreements | ||
Business Acquisition [Line Items] | ||
Recognized identified intangible assets | $37,000 |
Property_and_Equipment_Detail
Property and Equipment (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $166,483 | $141,572 |
Accumulated depreciation and amortization | 64,059 | 50,839 |
Property and equipment, net | 102,424 | 90,733 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 9,244 | 8,196 |
Building and building improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 52,938 | 47,420 |
Building and building improvements | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 27 years 6 months | |
Building and building improvements | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 39 years | |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 2,391 | 2,179 |
Leasehold improvements | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 15 years | |
Office equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 5 years | |
Property, Plant and Equipment, Gross | 2,351 | 2,500 |
Computer equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Property, Plant and Equipment, Gross | 22,615 | 18,777 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 7 years | |
Property, Plant and Equipment, Gross | 7,533 | 7,476 |
Other Capitalizable Assets | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 708 | 107 |
Other Capitalizable Assets | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 1 year | |
Other Capitalizable Assets | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 5 years | |
Software development | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 5 years | |
Property, Plant and Equipment, Gross | 64,593 | 51,755 |
Program Development | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Property, Plant and Equipment, Gross | $4,110 | $3,162 |
Program Development | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 3 years |
Property_and_Equipment_Additio
Property and Equipment - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation expense | $14,980,000 | $13,225,000 | $10,996,000 |
Amortization expense related to other assets | $1,141,000 | $283,000 | $150,000 |
Operating_Leases_Additional_In
Operating Leases - Additional Information (Detail) (USD $) | 2 Months Ended | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Hondros College of Nursing Segment | ||||
Schedule of Operating Leases [Line Items] | ||||
Rent expenses | $317,000 | $2,212,000 | ||
Operating leases that expiration month and year | 2029-06 | |||
Office space | ||||
Schedule of Operating Leases [Line Items] | ||||
Rent expenses | $1,666,000 | $1,647,000 | $1,656,000 | |
Operating leases that expiration month and year | 2018-09 |
Minimum_Rental_Commitment_Unde
Minimum Rental Commitment Under Operating Leases (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Operating Leased Assets [Line Items] | |
2015 | $2,242 |
2016 | 2,310 |
2017 | 2,372 |
2018 | 2,041 |
2019 and beyond | 11,246 |
Total minimum rental commitment | $20,211 |
Components_of_Income_Tax_Expen
Components of Income Tax Expense (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Current income tax expense: | |||
Federal | $19,404 | $20,533 | $22,937 |
State | 3,252 | 3,094 | 3,430 |
Current Income Tax Expense (Benefit), Total | 22,656 | 23,627 | 26,367 |
Deferred tax expense: | |||
Federal | 2,623 | 1,858 | 150 |
State | -129 | 160 | 11 |
Deferred Income Tax Expense Benefits, Total | 2,494 | 2,018 | 161 |
Income Tax Expense | $25,150 | $25,645 | $26,528 |
Tax_Effects_of_Principal_Tempo
Tax Effects of Principal Temporary Differences (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deferred tax assets: | ||
Property and equipment | $9,215 | $5,472 |
Allowance for doubtful accounts | 3,846 | 4,432 |
Accrued vacation and severance | 549 | 542 |
Investment, assets | 100 | -39 |
Deferred Tax Assets, Net of Valuation Allowance, Total | 17,084 | 13,272 |
Deferred tax liabilities: | ||
Income tax deductible capitalized software development costs | -24,750 | -18,626 |
Prepaid expenses | -1,724 | -1,542 |
Deferred Tax Liabilities, Gross | -26,474 | -20,168 |
Total tax effects | -9,390 | -6,896 |
Employee Stock Option | ||
Deferred tax assets: | ||
Stock compensation expense | 1,556 | 1,685 |
Restricted Stock | ||
Deferred tax assets: | ||
Stock compensation expense | $1,818 | $1,180 |
Difference_of_Income_Tax_Expen
Difference of Income Tax Expense from United States Federal Income Tax Rates (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Amount | |||
Tax expense at statutory rate | $23,110 | $23,688 | $24,135 |
State taxes, net | 1,985 | 2,069 | 2,241 |
Permanent differences | 228 | -275 | 154 |
Other | -173 | 163 | -2 |
Income Tax Expense | $25,150 | $25,645 | $26,528 |
Rate | |||
Tax expense at statutory rate | 35.00% | 35.00% | 35.00% |
State taxes, net | 3.01% | 3.06% | 3.25% |
Permanent differences | 0.35% | -0.41% | 0.22% |
Other | -0.27% | 0.24% | |
Effective Income Tax Rate, Continuing Operations, Total | 38.09% | 37.89% | 38.47% |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (Federal and State) | 12 Months Ended |
Dec. 31, 2014 | |
Earliest Tax Year | |
Income Taxes [Line Items] | |
Open Tax Year | 2011 |
Latest Tax Year | |
Income Taxes [Line Items] | |
Open Tax Year | 2013 |
Other_Employee_Benefits_Additi
Other Employee Benefits - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 13, 2014 | Jun. 20, 2008 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage limitation on earnings that an employee can elect to contribute to the plan, subject to certain statutes | 60.00% | ||||
Tax deferred 401(k) retirement plan, employee vesting percentage | 100.00% | ||||
Registered shares authorized for repurchase by the company and re-issuance pursuant to the plan | 100,000 | ||||
Company contributions during the period | $3,270,000 | $2,753,000 | $2,447,000 | ||
American Public Education, Inc. employee stock purchase plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
ESPP, maximum withholding from participant's annual compensation for contribution to the plan | 21,000 | ||||
ESPP, maximum annual fair value of stock purchased by plan participant | $25,000 | ||||
ESPP, common stock that may be available for purchase | 100,000 | ||||
ESPP, Purchase price of shares as percentage of fair market value | 85.00% | ||||
ESPP, additional shares approved for issuance | 100,000 |
Shares_Purchased_in_Open_Marke
Shares Purchased in Open Market for Employees (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | |||||||||||||||
Compensation Expense | $5,369,000 | $4,024,000 | $3,818,000 | ||||||||||||
American Public Education, Inc. employee stock purchase plan | |||||||||||||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | |||||||||||||||
Shares purchased | 3,931 | 5,246 | 5,180 | 4,961 | 4,556 | 4,226 | 4,726 | 4,760 | 5,093 | 4,517 | 6,214 | 4,749 | 19,318 | 18,268 | 20,573 |
Common Stock Fair Value | $36.87 | $26.99 | $34.38 | $35.08 | $43.47 | $37.80 | $37.16 | $34.89 | $36.12 | $36.43 | $32 | $38 | $33.06 | $38.29 | $35.38 |
Purchase Price | $31.34 | $22.94 | $29.22 | $29.82 | $36.95 | $32.13 | $31.59 | $29.66 | $30.70 | $30.97 | $27.20 | $32.30 | $28.10 | $32.55 | $30.07 |
Compensation Expense | $21,738 | $21,246 | $26,729 | $26,095 | $29,705 | $23,961 | $26,324 | $24,895 | $27,604 | $24,663 | $29,827 | $27,069 | $95,808 | $104,885 | $109,163 |
Stockholders_Equity_Additional
Stockholders' Equity - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2014 | Nov. 30, 2014 | Jun. 30, 2014 | 31-May-14 | Apr. 30, 2014 | Mar. 31, 2014 | Oct. 31, 2013 | Sep. 30, 2013 | 31-May-13 | Apr. 30, 2013 | Mar. 31, 2013 | Jan. 31, 2013 | Nov. 30, 2012 | Sep. 30, 2012 | Aug. 31, 2012 | Jul. 31, 2012 | Jun. 30, 2012 | 31-May-12 | Mar. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | 6-May-11 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||||||
Share based compensation award, shares outstanding | 434,401 | 434,401 | 501,202 | 691,082 | 1,067,511 | |||||||||||||||||||
Stock based compensation expense | $5,369,000 | $4,024,000 | $3,818,000 | |||||||||||||||||||||
Stock based compensation expense, tax benefit | 2,022,000 | 1,594,000 | 1,512,000 | |||||||||||||||||||||
Total Number of Shares Purchased | 84,634 | 30,000 | 51,760 | 139,568 | 185,000 | 40,000 | 167,675 | 10,000 | 60,000 | 2,164 | 150,587 | 3,638 | 83,855 | 13,300 | 82,467 | 73,410 | 113,426 | 40,000 | 87,033 | 530,962 | 394,064 | 493,491 | ||
Shares retired during period | 530,962 | 394,064 | 493,491 | |||||||||||||||||||||
Equity Option | ||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||||||
Antidilutive options outstanding that were not included in the computation of diluted net income per common share | 365,832 | 0 | 265,965 | |||||||||||||||||||||
Restricted Stock and Restricted Stock Units | ||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||||||
Stock based compensation expense, tax benefit | 1,880,000 | 1,294,000 | 948,000 | |||||||||||||||||||||
Antidilutive options outstanding that were not included in the computation of diluted net income per common share | 0 | |||||||||||||||||||||||
Unrecognized compensation cost | 8,700,000 | 8,700,000 | ||||||||||||||||||||||
Unrecognized compensation cost, weighted average period for recognition | 1 year 10 months 24 days | |||||||||||||||||||||||
Number of shares returned to the company to pay statutory withholding tax on vested awards | 15,097 | 4,002 | 10,697 | |||||||||||||||||||||
Value of shares returned to the company to pay statutory withholding tax on vested awards | $628,639 | $159,840 | $456,000 | |||||||||||||||||||||
2011 Incentive Plan | ||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||||||
Share based compensation award, shares authorized for grant | 2,000,000 | |||||||||||||||||||||||
Share based compensation award, shares outstanding | 361,297 | 361,297 | ||||||||||||||||||||||
2002 Incentive Plan and 2007 Incentive Plan | ||||||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||||||
Share based compensation award, shares outstanding | 433,873 | 433,873 |
Summary_of_Status_of_Companys_
Summary of Status of Company's Stock Incentive Plans and Changes During Periods Ended (Detail) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Number of options | |||
Outstanding, Beginning Balance | 501,202 | 691,082 | 1,067,511 |
Options granted | 0 | 0 | 0 |
Awards exercised | -46,198 | -171,897 | -369,918 |
Options forfeited | -20,603 | -17,983 | -6,511 |
Outstanding, Ending Balance | 434,401 | 501,202 | 691,082 |
Exercisable, Ending Balance | 434,401 | 445,564 | 513,201 |
Weighted average exercise price | |||
Outstanding, Beginning Balance | $28.82 | $26.59 | $21.22 |
Options granted | $0 | $0 | $0 |
Awards exercised | $13.66 | $18.92 | $10.97 |
Options forfeited | $37.04 | $37.64 | $34.03 |
Outstanding, Ending Balance | $30.04 | $28.82 | $26.59 |
Exercisable, Ending Balance | $30.04 | $27.73 | $23.10 |
Weighted average contractual life (years) | |||
Outstanding, Ending Balance | 2 years 1 month 21 days | 3 years 18 days | 3 years 10 months 10 days |
Exercisable, Ending Balance | 2 years 1 month 21 days | 2 years 11 months 5 days | 3 years 6 months 26 days |
Aggregate intrinsic value | |||
Outstanding, Ending Balance | $3,080 | $7,343 | $6,926 |
Exercisable, Ending Balance | $3,080 | $7,012 | $6,849 |
Stock_Option_Exercise_Detail
Stock Option Exercise (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Proceeds from stock options exercised | $631 | $3,253 | $4,058 |
Intrinsic value of stock options exercised | 1,033 | 3,667 | 9,580 |
Tax benefit from exercises | $193 | $1,348 | $3,459 |
Restricted_Stock_and_Restricte
Restricted Stock and Restricted Stock Unit Activity (Detail) (Restricted Stock and Restricted Stock Units, USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Restricted Stock and Restricted Stock Units | |||
Number of shares | |||
Non vested, beginning balance | 190,761 | 136,397 | 79,075 |
Shares granted | 272,550 | 123,951 | 97,240 |
Vested shares | -87,445 | -65,585 | -38,821 |
Shares forfeited | -15,097 | -4,002 | -1,097 |
Non vested, ending balance | 360,769 | 190,761 | 136,397 |
Weighted-average grant price and fair value | |||
Non vested, beginning balance | $38.61 | $39.21 | $37.44 |
Shares granted | $36.73 | $37.50 | $40.09 |
Vested shares | $38.69 | $37.70 | $37.80 |
Shares forfeited | $41.64 | $39.94 | $38.87 |
Non vested, ending balance | $37.03 | $38.61 | $39.21 |
Details_of_Companys_Stock_Repu
Details of Company's Stock Repurchases During Period (Detail) (USD $) | 0 Months Ended | 1 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mar. 14, 2013 | 14-May-12 | Dec. 31, 2014 | Nov. 30, 2014 | Jun. 30, 2014 | 31-May-14 | Apr. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Nov. 30, 2013 | Oct. 31, 2013 | Sep. 30, 2013 | Aug. 31, 2013 | Jul. 31, 2013 | Jun. 30, 2013 | 31-May-13 | Apr. 30, 2013 | Mar. 31, 2013 | Feb. 28, 2013 | Jan. 31, 2013 | Dec. 31, 2012 | Nov. 30, 2012 | Oct. 31, 2012 | Sep. 30, 2012 | Aug. 31, 2012 | Jul. 31, 2012 | Jun. 30, 2012 | 31-May-12 | Apr. 30, 2012 | Mar. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 30, 2014 | Sep. 30, 2014 | Jun. 13, 2014 | Feb. 28, 2014 | Jan. 31, 2014 | Jan. 20, 2014 | Jan. 01, 2014 | Mar. 14, 2013 | Jan. 02, 2013 | 14-May-12 | Feb. 29, 2012 | Jan. 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||
Equity, Class of Treasury Stock [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Number of Shares Purchased | 84,634 | 30,000 | 51,760 | 139,568 | 185,000 | 40,000 | 167,675 | 10,000 | 60,000 | 2,164 | 150,587 | 3,638 | 83,855 | 13,300 | 82,467 | 73,410 | 113,426 | 40,000 | 87,033 | 530,962 | 394,064 | 493,491 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Average Price Paid per Share | $34.09 | $35.48 | $34.95 | $35.11 | $34.60 | $35.26 | $36.86 | $37.91 | $32.55 | $33 | $32.30 | $34.79 | $32.58 | $32.98 | $27.23 | $28.69 | $29.42 | $28.70 | $39.02 | $34.78 | $34.47 | $31.21 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | 3,638 | 87,033 | 84,634 | 30,000 | 51,760 | 139,568 | 185,000 | 40,000 | 394,064 | 394,064 | 394,064 | 226,389 | 216,389 | 216,389 | 216,389 | 216,389 | 156,389 | 154,225 | 3,638 | 3,638 | 493,491 | 493,491 | 409,636 | 409,636 | 396,336 | 313,869 | 240,459 | 127,033 | 87,033 | 87,033 | 530,962 | 394,064 | 493,491 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs | 84,634 | [1] | 14,784 | [1] | 107,284 | [1] | 114,634 | [1] | 147,284 | [1] | 147,284 | [1] | 147,284 | [1] | 87,033 | [1] | 87,033 | [1] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maximum Number (or Approximate Dollar Value) of Shares that May Yet Be Purchased Under the Plans or Programs | $15,027,043 | [2],[3] | $15,027,043 | [2],[3] | $27,043 | [2],[3] | $1,836,055 | [2],[3] | $6,217,221 | [2],[3] | $9,417,721 | [2],[3] | $9,417,721 | [2],[3] | $9,417,721 | [2],[3] | $9,417,721 | [2],[3] | $15,598,221 | [2],[3] | $15,977,321 | [2],[3] | $15,977,321 | [2],[3] | $15,977,321 | [2],[3] | $15,977,321 | [2],[3] | $17,930,337 | [2],[3] | $18,001,740 | [2],[3] | $7,866,068 | [2],[3] | $7,866,068 | [2],[3] | $7,992,647 | [2],[3] | $7,992,647 | [2],[3] | $10,724,643 | [2],[3] | $10,724,643 | [2],[3] | $11,163,298 | [2],[3] | $13,409,230 | [2],[3] | $15,515,168 | [2],[3] | $18,851,824 | [2],[3] | $15,027,043 | [2],[3] | $9,417,721 | [2],[3] | $7,992,647 | [2],[3] | $15,027,043 | [2],[3] | $15,027,043 | [2],[3] | $15,027,043 | [2],[3] | $9,417,721 | [2],[3] | $9,417,721 | [2],[3] | $9,417,721 | [2],[3] | $9,417,721 | [2],[3] | $22,866,068 | [2],[3] | $7,992,647 | [2],[3] | $20,000,000 | [2],[3] | ||||||||
[1] | On December 9, 2011, the Company's Board of Directors approved a stock repurchase program for its common stock, under which the Company may annually purchase up to the cumulative number of shares issued or deemed issued under the Company's equity incentive and stock purchase plans. Repurchases may be made from time to time in the open market at prevailing market prices or in privately negotiated transactions based on business and market conditions. The stock repurchase program may be suspended or discontinued at any time, and will be funded using the Company's available cash. Pursuant to this authorization, for the year ended December 31, 2014, the Company repurchased 147,284 and 114,634 restricted shares granted to employees under the Company's equity incentive and stock purchase plans on January 20, 2014 and October 1, 2014, respectively. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[2] | On May 14, 2012, our Board of Directors authorized a program to repurchase up to $20 million of shares of the Company's common stock. On March 14, 2013, our Board of Directors increased this authorization by $15 million of shares, and on June 13, 2014, the Company's Board of Directors increased the authorization by an additional $15 million of shares. Subject to market conditions, applicable legal requirements and other factors, the repurchases of the Company's common stock may be made from time to time in open market transactions or privately negotiated transactions. The authorization does not obligate the Company to acquire any shares, and purchases may be commenced or suspended at any time based on market conditions and other factors that we deem appropriate. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
[3] | The Company was deemed to have repurchased 10,697 and 20,540 shares of common stock forfeited by employees to satisfy minimum tax-withholding requirements in connection with the vesting of restricted stock grants during the twelve months ended December 31, 2012 and 2013, respectively. During the twelve months ended December 31, 2014, the Company was deemed to have repurchased 30,973 shares of common stock forfeited by employees to satisfy minimum tax-withholding requirements in connection with the vesting of restricted stock grants and to cover the exercise and minimum tax-withholding requirements of expiring stock options. These repurchases were not part of the stock repurchase programs authorized by the Company's Board of Directors. |
Details_of_Companys_Stock_Repu1
Details of Company's Stock Repurchases During Period (Parenthetical) (Detail) (USD $) | 1 Months Ended | 12 Months Ended | |||||||||||||||||||||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Nov. 30, 2014 | Jun. 30, 2014 | 31-May-14 | Apr. 30, 2014 | Mar. 31, 2014 | Oct. 31, 2013 | Sep. 30, 2013 | 31-May-13 | Apr. 30, 2013 | Mar. 31, 2013 | Jan. 31, 2013 | Nov. 30, 2012 | Sep. 30, 2012 | Aug. 31, 2012 | Jul. 31, 2012 | Jun. 30, 2012 | 31-May-12 | Mar. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 13, 2014 | Mar. 14, 2013 | 14-May-12 |
Equity, Class of Treasury Stock [Line Items] | |||||||||||||||||||||||||
Additional authorized amount share repurchase | $15 | $15 | |||||||||||||||||||||||
Repurchased and retired shares of common stock | 84,634 | 30,000 | 51,760 | 139,568 | 185,000 | 40,000 | 167,675 | 10,000 | 60,000 | 2,164 | 150,587 | 3,638 | 83,855 | 13,300 | 82,467 | 73,410 | 113,426 | 40,000 | 87,033 | 530,962 | 394,064 | 493,491 | |||
Common Stock Forfeited for Tax Withholding | |||||||||||||||||||||||||
Equity, Class of Treasury Stock [Line Items] | |||||||||||||||||||||||||
Repurchased and retired shares of common stock | 30,973 | 20,540 | 10,697 | ||||||||||||||||||||||
Maximum | |||||||||||||||||||||||||
Equity, Class of Treasury Stock [Line Items] | |||||||||||||||||||||||||
Repurchased shares of common stock | $20 |
Concentration_Additional_Infor
Concentration - Additional Information (Detail) (Customer Concentration Risk) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Number of Students | Military On Active Duty | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 52.00% | ||
Sales Revenue, Services, Net | VA education benefits | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 18.00% | 16.00% | 13.00% |
Sales Revenue, Services, Net | VA education benefits | Hondros College of Nursing Segment | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 3.00% | ||
Sales Revenue, Services, Net | Students Who Received Federal Student Aid | Hondros College of Nursing Segment | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 83.00% |
Summary_of_Segment_Revenues_De
Summary of Segment Revenues Derived from Students by Primary Funding Source (Detail) (Sales Revenue, Services, Net, Customer Concentration Risk) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Title IV programs | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 36.00% | 38.00% | 36.00% |
DoD tuition assistance programs | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 35.00% | 34.00% | 38.00% |
VA education benefits | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 18.00% | 16.00% | 13.00% |
Cash and other sources | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 11.00% | 12.00% | 13.00% |
Segment_Information_Additional
Segment Information - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Segment | |
Segment Reporting Information [Line Items] | |
Number of operating segments | 2 |
Summary_of_Financial_Informati
Summary of Financial Information by Reportable Segment (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||||||||||
Revenue | $91,297 | $84,708 | $85,463 | $88,553 | $82,937 | $81,777 | $80,925 | $83,840 | $350,020 | $329,479 | $313,516 |
Depreciation and amortization | 16,121 | 13,508 | 11,146 | ||||||||
Income from continuing operations before interest income and income taxes | 65,832 | 67,437 | 68,802 | ||||||||
Capital Expenditures | 24,596 | 20,649 | 35,014 | ||||||||
American Public Education Segment | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenue | 319,879 | 325,678 | 313,516 | ||||||||
Depreciation and amortization | 14,859 | 13,344 | 11,146 | ||||||||
Income from continuing operations before interest income and income taxes | 62,499 | 67,161 | 68,802 | ||||||||
Capital Expenditures | 24,273 | 20,642 | 35,014 | ||||||||
Hondros College of Nursing Segment | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenue | 30,141 | 3,801 | |||||||||
Depreciation and amortization | 1,262 | 164 | |||||||||
Income from continuing operations before interest income and income taxes | 3,333 | 276 | |||||||||
Capital Expenditures | $323 | $7 |
Summary_of_Companys_Consolidat
Summary of Company's Consolidated Assets by Reportable Segment (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Segment Reporting Information [Line Items] | |||
Assets | $297,904 | $271,655 | $237,603 |
American Public Education Segment | |||
Segment Reporting Information [Line Items] | |||
Assets | 245,544 | 221,426 | 237,603 |
Hondros College of Nursing Segment | |||
Segment Reporting Information [Line Items] | |||
Assets | $52,360 | $50,229 |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Nov. 02, 2013 |
Goodwill and Intangible Assets Disclosure [Line Items] | |||
Goodwill | $38,634,000 | $38,148,000 | |
Hondros College of Nursing Segment | |||
Goodwill and Intangible Assets Disclosure [Line Items] | |||
Goodwill | 38,600,000 | ||
Identified intangible assets with an indefinite life | 3,700,000 | ||
Acquired intangible assets, fair value | $4,400,000 |
Identified_Intangible_Assets_w
Identified Intangible Assets with Definite Life (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Student contracts and relationships | |
Finite-Lived Intangible Liabilities [Line Items] | |
Intangible assets, useful life | 6 years |
Curricula | |
Finite-Lived Intangible Liabilities [Line Items] | |
Intangible assets, useful life | 3 years |
Non-Compete Agreements | |
Finite-Lived Intangible Liabilities [Line Items] | |
Intangible assets, useful life | 5 years |
Amortization_of_Intangible_Ass
Amortization of Intangible Assets (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Finite Lived Intangible Assets Amortization Expense [Line Items] | |
2015 | $894 |
2016 | 710 |
2017 | 598 |
2018 | 563 |
2019 and beyond | 322 |
Total | $3,087 |
Changes_in_Carrying_amount_of_
Changes in Carrying amount of Goodwill by Reportable Segment (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | |
Goodwill [Line Items] | ||
Goodwill beginning balance | $38,148 | |
Gross Carrying Amount | 38,634 | |
Goodwill acquired | 0 | [1] |
Accumulated Impairment | 0 | |
Impairment | 0 | |
Net Carrying Amount | 38,634 | |
Section 338(h)(10) adjustment | 486 | |
Goodwill ending balance | 38,634 | |
American Public Education Segment | ||
Goodwill [Line Items] | ||
Goodwill acquired | 0 | [1] |
Accumulated Impairment | 0 | |
Impairment | 0 | |
Hondros College of Nursing Segment | ||
Goodwill [Line Items] | ||
Goodwill beginning balance | 38,148 | |
Gross Carrying Amount | 38,634 | |
Goodwill acquired | 0 | [1] |
Accumulated Impairment | 0 | |
Impairment | 0 | |
Net Carrying Amount | 38,634 | |
Section 338(h)(10) adjustment | 486 | |
Goodwill ending balance | $38,634 | |
[1] | On November 1, 2013, the Company acquired Hondros College of Nursing, which resulted in recognizing $38.6 million of goodwill and $8.1 million in other identifiable intangible assets. The Company intends to conduct an annual impairment test on each anniversary date of the acquisition. For additional information please refer to Note 2, "Acquisition Accounting" of these Notes to Consolidated Financial Statements. |
Changes_in_Carrying_amount_of_1
Changes in Carrying amount of Goodwill by Reportable Segment (Parenthetical) (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Nov. 02, 2013 |
In Thousands, unless otherwise specified | |||
Goodwill [Line Items] | |||
Acquisition of goodwill | $38,634 | $38,148 | |
Acquisition of intangible assets | 8,082 | ||
Hondros College of Nursing Segment | |||
Goodwill [Line Items] | |||
Acquisition of goodwill | 38,600 | ||
Acquisition of intangible assets | $8,100 |
Other_Intangible_Assets_Detail
Other Intangible Assets (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Schedule Of Other Intangible Assets [Line Items] | |
Gross Carrying Amount | $4,361 |
Gross Carrying Amount | 8,082 |
Accumulated Amortization | 1,274 |
Net Carrying Amount | 3,087 |
Net Carrying Amount | 6,808 |
Identified intangible assets with an indefinite life | 3,721 |
Identified intangible assets with an indefinite life | 3,721 |
Curricula | |
Schedule Of Other Intangible Assets [Line Items] | |
Gross Carrying Amount | 405 |
Accumulated Amortization | 158 |
Net Carrying Amount | 247 |
Non-Compete Agreements | |
Schedule Of Other Intangible Assets [Line Items] | |
Gross Carrying Amount | 86 |
Accumulated Amortization | 20 |
Net Carrying Amount | 66 |
Student contracts and relationships | |
Schedule Of Other Intangible Assets [Line Items] | |
Gross Carrying Amount | 3,870 |
Accumulated Amortization | 1,096 |
Net Carrying Amount | 2,774 |
Trademarks | |
Schedule Of Other Intangible Assets [Line Items] | |
Identified intangible assets with an indefinite life | 1,998 |
Identified intangible assets with an indefinite life | 1,998 |
Accreditation, licensing and Title IV | |
Schedule Of Other Intangible Assets [Line Items] | |
Identified intangible assets with an indefinite life | 1,686 |
Identified intangible assets with an indefinite life | 1,686 |
Affiliates | |
Schedule Of Other Intangible Assets [Line Items] | |
Identified intangible assets with an indefinite life | 37 |
Identified intangible assets with an indefinite life | $37 |
Unaudited_Quarterly_Financial_
Unaudited Quarterly Financial Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Quarterly Financial Data [Line Items] | |||||||||||
Revenues | $91,297 | $84,708 | $85,463 | $88,553 | $82,937 | $81,777 | $80,925 | $83,840 | $350,020 | $329,479 | $313,516 |
Income before income taxes | 18,709 | 14,745 | 15,933 | 16,806 | 14,597 | 17,584 | 17,291 | 18,274 | 66,193 | 67,746 | 68,937 |
Net income | $11,797 | $8,842 | $9,802 | $10,436 | $8,997 | $10,911 | $10,750 | $11,376 | $40,877 | $42,034 | $42,323 |
Net income per common share: | |||||||||||
Basic | $0.69 | $0.51 | $0.56 | $0.59 | $0.51 | $0.62 | $0.61 | $0.64 | $2.36 | $2.38 | $2.38 |
Diluted | $0.68 | $0.51 | $0.56 | $0.59 | $0.51 | $0.61 | $0.60 | $0.63 | $2.33 | $2.35 | $2.35 |
Valuation_and_Qualifying_Accou
Valuation and Qualifying Accounts (Detail) (USD $) | 12 Months Ended | ||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Nov. 02, 2013 | |||
Allowance for Doubtful Accounts | |||||||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||||||
Balance at beginning of period | $13,175 | $11,106 | $4,996 | ||||
Additions/(reductions) | 18,824 | [1] | 15,734 | [1] | 13,610 | [1] | |
Write-offs | -21,300 | -13,665 | -7,500 | ||||
Balance at end of period | 10,699 | 13,175 | 11,106 | ||||
Hondros College of Nursing Segment | |||||||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||||||
Balance at beginning of period | 1,461 | ||||||
Balance at end of period | 1,461 | ||||||
Hondros College of Nursing Segment | Allowance for Doubtful Accounts | |||||||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||||||
Balance at beginning of period | 1,723 | ||||||
Additions/(reductions) | 1,344 | [1] | 1,723 | [1] | |||
Write-offs | -829 | ||||||
Balance at end of period | 2,238 | 1,723 | |||||
American Public Education Segment | Allowance for Doubtful Accounts | |||||||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||||||
Balance at beginning of period | 11,452 | 11,106 | 4,996 | ||||
Additions/(reductions) | 17,480 | [1] | 14,011 | [1] | 13,610 | [1] | |
Write-offs | -20,471 | -13,665 | -7,500 | ||||
Balance at end of period | $8,461 | $11,452 | $11,106 | ||||
[1] | Hondros College of Nursing additions include $1.461 million beginning balance as of November 1, 2013. |
Valuation_and_Qualifying_Accou1
Valuation and Qualifying Accounts (Parenthetical) (Detail) (Hondros College of Nursing Segment, USD $) | Nov. 02, 2013 |
In Thousands, unless otherwise specified | |
Hondros College of Nursing Segment | |
Valuation and Qualifying Accounts Disclosure [Line Items] | |
Balance at beginning of period | $1,461 |