Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Mar. 31, 2017 | Apr. 27, 2017 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | DEVRY EDUCATION GROUP INC. | |
Entity Central Index Key | 730,464 | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Large Accelerated Filer | |
Trading Symbol | DV | |
Entity Common Stock, Shares Outstanding | 62,626,000 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 |
Current Assets: | |||
Cash and Cash Equivalents | $ 209,879 | $ 308,164 | $ 330,214 |
Marketable Securities and Investments | 3,950 | 3,609 | 3,528 |
Restricted Cash | 4,798 | 7,183 | 10,995 |
Accounts Receivable, Net | 165,691 | 162,389 | 170,035 |
Prepaid Expenses and Other | 44,274 | 36,760 | 36,754 |
Total Current Assets | 428,592 | 518,105 | 551,526 |
Land, Building and Equipment: | |||
Land | 49,085 | 55,690 | 50,001 |
Building | 477,200 | 488,347 | 478,253 |
Equipment | 537,257 | 521,209 | 512,825 |
Construction in Progress | 17,067 | 22,560 | 20,241 |
Land, Building and Equipment, Gross | 1,080,609 | 1,087,806 | 1,061,320 |
Accumulated Depreciation | (593,627) | (566,043) | (548,980) |
Land, Building and Equipment Held for Sale, Net | 11,280 | 0 | 0 |
Land, Building and Equipment, Net | 498,262 | 521,763 | 512,340 |
Other Assets: | |||
Deferred Income Taxes, Net | 35,497 | 52,608 | 24,242 |
Intangible Assets, Net | 422,949 | 342,856 | 371,046 |
Goodwill | 861,001 | 588,007 | 565,012 |
Perkins Program Fund, Net | 13,450 | 13,450 | 13,450 |
Other Assets, Net | 58,058 | 60,207 | 59,443 |
Total Other Assets | 1,390,955 | 1,057,128 | 1,033,193 |
TOTAL ASSETS | 2,317,809 | 2,096,996 | 2,097,059 |
Current Liabilities: | |||
Accounts Payable | 46,521 | 64,687 | 54,222 |
Accrued Salaries, Wages and Benefits | 80,965 | 93,328 | 88,472 |
Accrued Expenses | 96,015 | 103,379 | 88,754 |
Deferred Revenue | 178,664 | 100,442 | 170,106 |
Total Current Liabilities | 402,165 | 361,836 | 401,554 |
Other Liabilities: | |||
Revolving Loan | 120,000 | 0 | 0 |
Deferred Income Taxes, Net | 30,228 | 29,936 | 27,692 |
Deferred Rent and Other | 104,492 | 118,025 | 108,349 |
Total Other Liabilities | 254,720 | 147,961 | 136,041 |
TOTAL LIABILITIES | 656,885 | 509,797 | 537,595 |
COMMITMENTS AND CONTINGENCIES (NOTE 14) | |||
NONCONTROLLING INTEREST | 6,600 | 5,112 | 3,529 |
SHAREHOLDERS' EQUITY: | |||
Common Stock, $0.01 Par Value, 200,000,000 Shares Authorized; 62,618,000, 62,549,000 and 62,909,000 Shares Outstanding at March 31, 2017, June 30, 2016 and March 31, 2016, respectively | 778 | 765 | 764 |
Additional Paid-in Capital | 404,800 | 372,175 | 364,006 |
Retained Earnings | 1,837,738 | 1,771,068 | 1,794,012 |
Accumulated Other Comprehensive Loss | (37,013) | (42,467) | (91,348) |
Treasury Stock, at Cost, 15,208,000, 13,990,000 and 13,521,000 Shares at March 31, 2017, June 30, 2016 and March 31, 2016, respectively | (551,979) | (519,454) | (511,499) |
TOTAL SHAREHOLDERS' EQUITY | 1,654,324 | 1,582,087 | 1,555,935 |
TOTAL LIABILITIES, NONCONTROLLING INTEREST AND SHAREHOLDERS' EQUITY | $ 2,317,809 | $ 2,096,996 | $ 2,097,059 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 |
Common Stock, Par Value | $ 0.01 | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 200,000,000 | 200,000,000 | 200,000,000 |
Common Stock, Shares Outstanding | 62,618,000 | 62,549,000 | 62,909,000 |
Treasury Stock, Shares | 15,208,000 | 13,990,000 | 13,521,000 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
REVENUE: | ||||
Tuition | $ 399,322 | $ 425,966 | $ 1,217,613 | $ 1,243,624 |
Other Educational | 52,767 | 48,255 | 140,718 | 128,212 |
Total Revenue | 452,089 | 474,221 | 1,358,331 | 1,371,836 |
OPERATING COST AND EXPENSE: | ||||
Cost of Educational Services | 239,244 | 252,867 | 729,704 | 738,965 |
Student Services and Administrative Expense | 157,781 | 161,483 | 464,497 | 484,662 |
Restructuring Expense | 7,771 | 2,873 | 17,868 | 39,870 |
Regulatory Settlements | 0 | 0 | 56,252 | 0 |
Loss on Assets Held for Sale | 0 | 0 | 4,764 | 0 |
Impairment of Goodwill and Intangible Assets | 0 | 0 | 0 | 99,473 |
Gain on Sale of Assets | 0 | (3,849) | 0 | (3,849) |
Total Operating Cost and Expense | 404,796 | 413,374 | 1,273,085 | 1,359,121 |
Operating Income | 47,293 | 60,847 | 85,246 | 12,715 |
INTEREST: | ||||
Interest Income | 1,690 | 27 | 3,741 | 394 |
Interest Expense | (1,995) | (1,408) | (6,410) | (5,581) |
Net Interest Expense | (305) | (1,381) | (2,669) | (5,187) |
Income Before Income Taxes | 46,988 | 59,466 | 82,577 | 7,528 |
Income Tax Provision | (6,966) | (7,536) | (2,651) | (683) |
NET INCOME | 40,022 | 51,930 | 79,926 | 6,845 |
Net Income Attributable to Noncontrolling Interest | (163) | (5) | (502) | (42) |
NET INCOME ATTRIBUTABLE TO DEVRY EDUCATION GROUP | $ 39,859 | $ 51,925 | $ 79,424 | $ 6,803 |
EARNINGS PER COMMON SHARE ATTRIBUTABLE TO DEVRY EDUCATION GROUP SHAREHOLDERS: | ||||
Basic | $ 0.63 | $ 0.81 | $ 1.25 | $ 0.11 |
Diluted | 0.62 | 0.81 | 1.24 | 0.11 |
Cash Dividends Declared per Common Share | $ 0 | $ 0 | $ 0.18 | $ 0.18 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
NET INCOME | $ 40,022 | $ 51,930 | $ 79,926 | $ 6,845 |
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX | ||||
Currency Translation Gain (Loss) | 13,755 | 41,842 | 5,293 | (14,144) |
Change in Fair Value of Available-For-Sale Securities | 60 | 17 | 161 | (90) |
COMPREHENSIVE INCOME (LOSS) | 53,837 | 93,789 | 85,380 | (7,389) |
COMPREHENSIVE (INCOME) LOSS ATTRIBUTABLE TO NONCONTROLLING INTEREST | (451) | (901) | (617) | 262 |
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO DEVRY EDUCATION GROUP | $ 53,386 | $ 92,888 | $ 84,763 | $ (7,127) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
CASH FLOW FROM OPERATING ACTIVITIES: | ||
Net Income | $ 79,926 | $ 6,845 |
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: | ||
Stock-Based Compensation Expense | 13,292 | 13,989 |
Depreciation | 53,928 | 59,349 |
Amortization | 9,015 | 4,490 |
Impairment of Goodwill and Intangible Assets | 0 | 99,473 |
Provision for Refunds and Uncollectible Accounts | 67,210 | 61,710 |
Deferred Income Taxes | (1,388) | (13,793) |
Loss on Disposals, Accelerated Depreciation and Adjustments to Land, Building and Equipment | 3,369 | 12,810 |
Unrealized Loss on Assets Held for Sale | 4,764 | 0 |
Realized Gain on Sale of Assets | 0 | (3,849) |
Changes in Assets and Liabilities, Net of Effects from Acquisition Components: | ||
Restricted Cash | 2,385 | (252) |
Accounts Receivable | (69,155) | (83,744) |
Prepaid Expenses and Other | (18,336) | (1,590) |
Accounts Payable | (15,955) | (12,131) |
Accrued Salaries, Wages, Benefits and Expenses | (22,781) | (2,461) |
Deferred Revenue | 63,179 | 78,843 |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 169,453 | 219,689 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Capital Expenditures | (32,529) | (51,004) |
Payment for Purchase of Businesses, Net of Cash Acquired | (330,567) | (170,577) |
Marketable Securities Purchased | (82) | (94) |
Cash Received on Sale of Assets | 0 | 24,788 |
Purchase of Noncontrolling Interest of Subsidiary | 0 | (3,114) |
NET CASH USED IN INVESTING ACTIVITIES | (363,178) | (200,001) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from Exercise of Stock Options | 20,390 | 271 |
Proceeds from Stock Issued Under Colleague Stock Purchase Plan | 635 | 875 |
Repurchase of Common Stock for Treasury | (30,552) | (24,378) |
Cash Dividends Paid | (11,414) | (11,563) |
Payments of Seller Financed Obligations | (3,943) | (5,890) |
Borrowings Under Revolving Credit Facility | 465,000 | 0 |
Repayments Under Revolving Credit Facility | (345,000) | 0 |
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES | 95,116 | (40,685) |
Effects of Exchange Rate Differences | 324 | (1,811) |
NET DECREASE IN CASH AND CASH EQUIVALENTS | (98,285) | (22,808) |
Cash and Cash Equivalents at Beginning of Period | 308,164 | 353,022 |
Cash and Cash Equivalents at End of Period | 209,879 | 330,214 |
Non-cash Investing and Financing Activity: | ||
Increase (Decrease) in Redemption Value of Noncontrolling Interest Put Option | $ 986 | $ (3,019) |
INTERIM FINANCIAL STATEMENTS
INTERIM FINANCIAL STATEMENTS | 9 Months Ended |
Mar. 31, 2017 | |
Interim Financial Statements [Abstract] | |
INTERIM FINANCIAL STATEMENTS | NOTE 1: INTERIM FINANCIAL STATEMENTS The interim Consolidated Financial Statements include accounts of DeVry Education Group Inc. (“DeVry Group”) and its wholly-owned and majority-owned subsidiaries. These financial statements are unaudited but, in the opinion of management, contain all adjustments, consisting of normal recurring adjustments, necessary to present fairly the financial condition and results of operations of DeVry Group. The June 30, 2016 data that is presented is derived from audited financial statements. The interim Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto contained in DeVry Group's Annual Report on Form 10-K for the fiscal year ended June 30, 2016 and DeVry Group’s Quarterly Report on Form 10-Q for the quarters ended September 30, 2016 and December 31, 2016, each as filed with the Securities and Exchange Commission (“SEC”). The results of operations for the three and nine months ended March 31, 2017, are not necessarily indicative of results to be expected for the entire fiscal year. Following changes in strategic priorities that were implemented in the third quarter of fiscal year 2017, DeVry Group is reporting its financial performance based on four reporting segments (Medical and Healthcare, Professional Education, Technology and Business, and U.S. Traditional Postsecondary) beginning with this Quarterly Report on Form 10-Q for the quarter ended March 31, 2017. Prior periods are presented in accordance with these changes. Management has determined that these reporting segments align with DeVry Group’s current strategic priorities and resource allocation. DeVry Group’s Chief Operating Decision Maker, its President and Chief Executive Officer, regularly reviews financial information and evaluates operating and management performance based on these new segments. See “Note 15: Segment Information” for further discussion. |
ASSETS HELD FOR SALE
ASSETS HELD FOR SALE | 9 Months Ended |
Mar. 31, 2017 | |
Assets Held-for-sale, Not Part of Disposal Group [Abstract] | |
ASSETS HELD FOR SALE | NOTE 2: ASSETS HELD FOR SALE During the second quarter of fiscal year 2017, management committed to a plan to sell the DeVry University and Carrington College (“Carrington”) co-located campus in Pomona, California, which met criteria to be classified as an asset held for sale. This required a write-down of the assets to fair market value less costs to sell. The building is being marketed to prospective buyers and is available for immediate sale which is likely to occur within one year. Based on third party offers, management estimated the assets’ fair market values less costs to sell at approximately $11.3 million, which resulted in the carrying value exceeding the fair market value by $ 4.8 11.3 4.8 |
REGULATORY SETTLEMENTS
REGULATORY SETTLEMENTS | 9 Months Ended |
Mar. 31, 2017 | |
Income Statement [Abstract] | |
REGULATORY SETTLEMENTS | NOTE 3: REGULATORY SETTLEMENTS In the second quarter of fiscal year 2017, DeVry Group, DeVry University Inc., and DeVry/New York Inc. (collectively, the “DeVry Parties”) and the Federal Trade Commission (“FTC”) agreed to a Stipulation as to Entry of an Order for Permanent Injunction and Monetary Judgment (the “Agreement”) resolving litigation brought by the FTC regarding DeVry University’s use of employment statistics in former advertising. Under the terms of the Agreement, the DeVry Parties agreed to pay $49.4 million to be distributed at the sole discretion of the FTC, to forgive $ 30.4 20.2 In the second quarter of fiscal year 2017, DeVry Group also recorded charges related to the resolution of an inquiry made by the Office of the Attorney General of the State of New York (“NYAG”) to the DeVry Parties regarding DeVry University’s use of employment and salary statistics in former advertising. The DeVry Parties chose to resolve the NYAG inquiry by entering into an Assurance of Discontinuance (the “Assurance”) with the NYAG on January 27, 2017, without admitting or denying the allegations therein. Pursuant to the Assurance, the DeVry Parties agreed to pay $ 2.25 0.5 Student services and access to federal student loans are not impacted by the Agreement or the Assurance and at no time has the academic quality of a DeVry University education been questioned. See “Note 14: Commitments and Contingencies” for further discussion. The regulatory settlements expense of $ 56.3 49.4 4.1 2.75 4.1 52.2 In the second quarter of fiscal year 2017, DeVry University reached a settlement agreement with the U.S. Department of Education (“ED”) regarding its January 27, 2016 Notice of Intent to Limit (“Notice”). The Notice related narrowly to a specific graduate employment statistic previously used by DeVry University, calculated since 1975. The settlement includes, among other things, an agreement to no longer use the statistic in question or to make any other representations regarding the graduate employment outcomes of DeVry University graduates from 1975 to October 1980. DeVry University will also refrain from making any future graduate employment representations without possessing graduate-specific information, and, for five years after the effective date of the settlement, to post a letter of credit with ED equal to 10% of DeVry University’s annual Title IV disbursement. A $ 68.4 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 4: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Consolidated Financial Statements include the accounts of DeVry Group and its wholly-owned and majority-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Where our ownership interest is less than 100 percent, the noncontrolling ownership interest is reported on our Consolidated Balance Sheets. The noncontrolling ownership interest earnings portion is classified as “Net Income Attributable to Noncontrolling Interest” in our Consolidated Statements of Income. Unless indicated, or the context requires otherwise, references to years refer to DeVry Group’s fiscal years. Cash and cash equivalents can include time deposits, high-grade commercial paper, money market funds and bankers acceptances with original maturities of three months or less. Short-term investment objectives are to minimize risk and maintain liquidity. These investments are stated at cost (which approximates fair value) because of their short duration or liquid nature. DeVry Group places its cash and temporary cash investments with high credit quality institutions. Cash and cash equivalent balances in U.S. bank accounts are generally in excess of the Federal Deposit Insurance Corporation (“FDIC”) insurance limit. Cash and cash equivalent balances in Brazilian bank accounts are generally in excess of the deposit insurance limits for Brazilian banks. DeVry Group has not experienced any losses on its cash and cash equivalents. Management periodically evaluates the creditworthiness of the security issuers and financial institutions with which it invests and maintains deposit accounts. A significant portion of revenue is received from students who participate in government financial aid and assistance programs which are subject to political and governmental budgetary considerations. There is no assurance that such funding will be maintained at current levels. Extensive and complex regulations in the U.S. and Brazil govern all of the government financial assistance programs in which students participate. Administration of these programs is periodically reviewed by various regulatory agencies. Any regulatory violation could be the basis for disciplinary action, which could include the suspension, limitation or termination from such financial aid programs. Restricted cash represents amounts received from federal and state governments under various student aid grant and loan programs and such restricted funds are held in separate bank accounts. Once the financial aid authorization and disbursement process for the student has been completed, the funds are transferred to unrestricted accounts, and these funds then become available for use in DeVry Group’s operations. This authorization and disbursement process that precedes the transfer of funds generally occurs within the period of the academic term for which such funds were authorized. As a requirement of continuing operations in Pennsylvania, DeVry Group is required to maintain a “minimum protective endowment” of at least $ 500,000 Tuition Chamberlain University (“Chamberlain”), DeVry Education of Brazil (“DeVry Brazil”) higher education, DeVry University and Carrington tuition revenue is recognized on a straight-line basis over their respective applicable academic terms. In addition, American University of the Caribbean School of Medicine (“AUC”), Ross University School of Medicine (“RUSM”) and Ross University School of Veterinary Medicine (“RUSVM”) basic science curriculum revenue is recognized on a straight-line basis over the applicable academic term. The clinical portion of the AUC, RUSM and RUSVM education programs are conducted under the supervision of primarily U.S. teaching hospitals and veterinary schools. AUC, RUSM and RUSVM are responsible for the billing and collection of tuition from their students during the period of clinical education. Revenue is recognized on a weekly basis based on actual program attendance during the period of the clinical program. Fees paid to the hospitals and veterinary schools for supervision of AUC, RUSM and RUSVM students are charged to expense on the same basis. Becker Professional Education (“Becker”) and DeVry Brazil’s live classroom test preparation, and DeVry Brazil’s online tuition revenue is recognized on a straight-line basis over the applicable delivery period. Revenue from Becker conferences and training services, which are generally short-term in duration, is recognized when the conference or training service is provided. Other Educational Sales of Becker subscriptions, membership dues, certifications, textbooks, electronic books and other educational products, including Becker self-study sales, are included in Other Educational Revenue in the Consolidated Statements of Income. Revenue from Becker subscriptions and membership dues is recognized on a straight-line basis over the applicable subscription or membership period. Revenue from Becker certifications is recognized when the certification process is complete. Textbooks, electronic books and other educational products revenue is recognized when the sale occurs. In addition, fees from international licensees of the Becker programs are included in Other Educational Revenue and recognized when confirmation of course delivery is received. Refunds and Provisions Estimates of DeVry Group’s expected refunds are determined at the outset of each academic term, based upon actual experience in previous terms. Inputs to this analysis include refunds issued, withdrawal rates and historical amounts owed by students for that portion of a term that was completed. Management reassesses collectability throughout the period revenue is recognized by the DeVry Group institutions, on a student-by-student basis. This reassessment is based upon new information and changes in facts and circumstances relevant to a student's ability to pay. Management also reassesses collectability when a student withdraws from the institution and has unpaid tuition charges. Such unpaid charges do not meet the threshold of reasonably collectible and are recognized as revenue on a cash basis. The provisions for refunds, which are reported as a reduction to Tuition Revenue in the Consolidated Statements of Income, are recognized in the same ratable fashion as revenue to most appropriately match these costs with the tuition revenue in that term. Provisions for refunds were $ 10.9 35.4 11.5 34.7 Provisions for refunds are monitored and adjusted as necessary within the academic term and adjusted for actual refunds issued and withdrawn student accounts receivable balances at the completion of an academic term. If a student withdraws prior to completing an academic term, federal and state regulations and accreditation criteria permit DeVry Group to retain only a set percentage of the total tuition received from such student, which varies with, but generally equals or exceeds, the percentage of the academic term completed by such student. Payment amounts received by DeVry Group in excess of such set percentages of tuition are refunded to the student or the appropriate funding source. All refunds are netted against revenue during the applicable academic term. Reserves related to refunds and uncollectible accounts totaled $ 51.2 64.5 65.9 24.2 The allowance for uncollectible accounts is determined by analyzing the current aging of accounts receivable and historical loss rates on collections of accounts receivable. In addition, management considers projections of future receivable levels and collection loss rates. We monitor the inputs to this analysis periodically throughout the year. Provisions required to maintain the allowance at appropriate levels are charged to expense in each period as required. Provisions for uncollectible accounts, which are included in the Cost of Educational Services in the Consolidated Statements of Income, were $ 11.6 31.8 9.6 27.0 DeVry Group capitalizes certain internal-use software development costs that are amortized using the straight-line method over the estimated lives of the software, not to exceed seven years. Capitalized costs include external direct costs of equipment, materials and services consumed in developing or obtaining internal-use software and payroll-related costs for employees directly associated with the internal-use software development project. Capitalization of such costs ceases at the point at which the project is substantially complete and ready for its intended purpose. Capitalized internal-use software development costs for projects not yet complete are included as Construction in Progress in the Land, Building and Equipment section of the Consolidated Balance Sheets. As of March 31, 2017, June 30, 2016 and March 31, 2016, the net balance of capitalized internal-use software development costs was $ 13.3 18.3 21.7 DeVry Group evaluates the carrying amount of its significant long-lived assets whenever changes in circumstances or events indicate that the value of such assets may not be fully recoverable. Events that may trigger an impairment analysis could include a decision by management to exit a market or a line of business or to consolidate operating locations. In the first nine months of fiscal year 2017 and in fiscal year 2016, management consolidated operations at DeVry University, Carrington and DeVry Group’s home office. These decisions resulted in pre-tax accelerated depreciation and write-offs on leasehold improvements and equipment of $ 3.6 12.2 DeVry University is required under U.S. federal aid program regulations to make contributions to the Federal Perkins Student Loan Fund, most recently at a rate equal to 33 2.6 The financial position and results of operations of the AUC, RUSM and RUSVM Caribbean operations are measured using the U.S. dollar as the functional currency. As such, there is no translation gain or loss associated with these operations. DeVry Brazil’s operations and Becker’s international operations are measured using the local currency as the functional currency. Assets and liabilities of these entities are translated to U.S. dollars using exchange rates in effect at the balance sheet dates. Income and expense items are translated at monthly average exchange rates. The resultant translation adjustments are included in the component of Shareholders’ Equity designated as Accumulated Other Comprehensive Loss. Transaction gains or losses during each of the three-month and nine-month periods ended March 31, 2017 and 2016 were not material. DeVry Group currently maintains a 97.9 2.1 In July 2015, DeVry Group purchased additional DeVry Brazil stock from the DeVry Brazil management group. Beginning July 1, 2015, DeVry Group has the right to exercise a call option and purchase any remaining DeVry Brazil stock from DeVry Brazil management. Likewise, DeVry Brazil management has had the right to exercise a put option and sell its remaining ownership interest in DeVry Brazil to DeVry Group. Since the put option is out of the control of DeVry Group, authoritative guidance requires the noncontrolling interest, which includes the value of the put option, to be displayed outside of the equity section of the Consolidated Balance Sheets. The DeVry Brazil management put option is being accreted to its redemption value in accordance with the terms of the related stock purchase agreement. The adjustment to increase or decrease the put option to its expected redemption value each reporting period is recorded in retained earnings in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”). Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Balance at Beginning of Period $ 6,720 $ 2,813 $ 5,112 $ 9,620 Net Income Attributable to Noncontrolling Interest 163 5 502 42 Payment for Purchase of Noncontrolling Interest of Subsidiary - - - (3,114) (Decrease) Increase in Redemption Value of Noncontrolling Interest Put Option (283) 711 986 (3,019) Balance at End of Period $ 6,600 $ 3,529 $ 6,600 $ 3,529 Basic earnings per share is computed by dividing net income attributable to DeVry Group by the weighted average number of common shares outstanding during the period plus unvested participating restricted stock units (“RSUs”). Diluted earnings per share is computed by dividing net income attributable to DeVry Group by the weighted average number of shares assuming dilution. Diluted shares are computed using the Treasury Stock Method and reflect the additional shares that would be outstanding if dilutive stock-based grants were exercised during the period. Excluded from the computations of diluted earnings per share were options to purchase 1,670,000 2,514,000 2,828,000 2,765,000 Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Weighted Average Shares Outstanding 62,811 63,107 62,695 63,378 Unvested Participating RSUs 855 815 855 781 Basic Shares 63,666 63,922 63,550 64,159 Effect of Dilutive Stock Options 600 431 441 318 Diluted Shares 64,266 64,353 63,991 64,477 DeVry Group’s Board of Directors (the “Board”) has authorized share repurchase programs on ten occasions (see “Note 8: Dividends and Share Repurchase Programs”). The tenth share repurchase program was approved on February 16, 2017 and commenced in February 2017. Shares that are repurchased by DeVry Group are recorded as Treasury Stock at cost and result in a reduction of Shareholders’ Equity. From time to time, shares of its common stock are delivered back to DeVry Group under a swap arrangement resulting from employees’ exercise of incentive stock options pursuant to the terms of the DeVry Group Stock Incentive Plans (see “Note 5: Stock-Based Compensation”). In addition, shares of its common stock are delivered back to DeVry Group for payment of withholding taxes from employees for vesting RSUs. These shares are recorded as Treasury Stock at cost and result in a reduction of Shareholders’ Equity. Treasury shares are reissued on a monthly basis, at market value, to the DeVry Group Colleague Stock Purchase Plan in exchange for employee payroll deductions. When treasury shares are reissued, DeVry Group uses an average cost method to reduce the Treasury Stock balance. Gains on the difference between the average cost and the reissuance price are credited to Additional Paid-in Capital. Losses on the difference are charged to Additional Paid-in Capital to the extent that previous net gains from reissuance are included therein, otherwise such losses are charged to Retained Earnings. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the amounts of revenue and expense reported during the period. Actual results could differ from those estimates. Accumulated Other Comprehensive Loss is composed of the change in cumulative translation adjustment, primarily at DeVry Brazil, and unrealized gains on available-for-sale marketable securities, net of the effects of income taxes. The Accumulated Other Comprehensive Loss balance at March 31, 2017, consists of $ 37.3 36.5 0.8 0.3 0.2 42.6 41.7 0.9 0.1 0.1 91.5 89.6 1.9 0.2 0.2 Advertising costs are recognized as expense in the period in which materials are purchased or services are performed. Advertising expense, which is included in Student Services and Administrative Expense in the Consolidated Statements of Income, was $ 56.2 160.2 57.3 173.0 DeVry Group’s financial statements include charges related to severance and related benefits for reductions in staff. These charges also include early lease termination or cease-of-use costs and accelerated depreciation and gains and losses on disposals of property and equipment related to campus and administrative office consolidations (see “Note 11: Restructuring Charges”). In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2017-04: “IntangiblesGoodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment.” This guidance was issued to simplify the goodwill impairment test by eliminating Step 2. Instead, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value, not to exceed the total amount of goodwill allocated to the reporting unit. The amendments should be adopted for the annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019 on a prospective basis. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. Management anticipates the adoption will not have a significant impact on DeVry Group’s Consolidated Financial Statements. We expect to early adopt ASU 2017-04 during the fourth quarter of fiscal year 2017. In November 2016, FASB issued ASU No. 2016-18: “Statement of Cash Flows (Topic 230): Restricted Cash.” This guidance was issued to address the diversity that exists in the classification and presentation of changes in restricted cash on the statement of cash flows. The amendments will require that the statement of cash flows explain the change during the period in total cash, cash equivalents and restricted cash. The amendments are effective for the financial statements issued for fiscal years after December 15, 2017, and interim periods within those fiscal years. The amendments will be applied using a retrospective transition method to each period presented. Management anticipates the adoption will not have a significant impact on DeVry Group’s Consolidated Financial Statements. Changes in the restricted cash balance will no longer be included as cash provided by or used in operating activities since these balances will now be included in the beginning and ending balances of cash in the statement of cash flows. We expect to early adopt ASU 2016-18 during the fourth quarter of fiscal year 2017. In August 2016, FASB issued ASU No. 2016-15: “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments.” This guidance was issued to address eight specific cash flow issues with the objective of reducing the existing diversity in practice. The amendments are effective for the financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Management has determined that our current accounting policies align with this guidance. Therefore, this guidance will have no impact on the Consolidated Financial Statements. In June 2016, FASB issued ASU No. 2016-13: “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This guidance was issued to provide financial statement users with more decision-useful information about the expected losses on financial instruments by replacing the incurred loss impairment methodology with a methodology that reflects expected credit losses by requiring a broader range of reasonable and supportable information to inform credit loss estimates. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Management is evaluating the impact the guidance will have on DeVry Group’s Consolidated Financial Statements when adopted. In March 2016, FASB issued ASU No. 2016-09: “CompensationStock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” This guidance was issued to simplify the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, forfeitures, and classification on the statement of cash flows. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. We will adopt ASU No. 2016-09 in the first quarter of fiscal year 2018. Excess tax benefits and tax deficiencies will no longer be recorded to additional paid-in capital, but rather to income tax expense or benefit in the income statement, which may increase volatility in the income statement. An accounting policy election exists to account for forfeitures as they occur. Also, adoption will require changes to classification of certain stock-based compensation transactions on the statement of cash flows. The cash outflow from employee taxes paid when shares are withheld by the employer will be reclassified from operating activities to financing activities on the statement of cash flows. These changes are not expected to have a significant impact on DeVry Group’s Consolidated Financial Statements. In February 2016, FASB issued ASU No. 2016-02: “Leases (Topic 842).” This guidance was issued to increase transparency and comparability among organizations by recognizing right-to-use assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Management is evaluating the impact the guidance will have on DeVry Group’s Consolidated Financial Statements and believes the adoption will impact the Consolidated Balance Sheet with significant increases in assets and liabilities. In January 2016, FASB issued ASU No. 2016-01: “Financial InstrumentsOverall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” This guidance was issued to enhance the reporting model for financial instruments to provide users of financial statements with more decision-useful information. The guidance eliminates the classification of equity securities into different categories (that is, trading or available-for-sale) and requires equity securities to be measured at fair value with changes in the fair value recognized through net income. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. This guidance will require DeVry Group to record the changes in the fair value of its available-for-sale equity investments through net income. Management anticipates the adoption will not have a significant impact on DeVry Group’s Consolidated Financial Statements. In September 2015, FASB issued ASU No. 2015-16: “Business Combinations (Topic 805): Simplifying Accounting for Measurement-Period Adjustments.” This guidance was issued to simplify the accounting for provisional amounts for items in a business combination for which the accounting is incomplete by the end of the reporting period in which the combination occurs and where the provisional amounts have been adjusted during the measurement period. The amendments in this guidance require an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. This guidance requires DeVry Group to record and disclose measurement-period adjustments for business combinations as a period adjustment as opposed to a retroactive adjustment to the opening balance sheet of the acquired entity. The guidance is effective for DeVry Group’s current fiscal year and has had no impact on current year financial reporting. In May 2014, FASB issued ASU No. 2014-09: “Revenue from Contracts with Customers (Topic 606).” This guidance was issued to clarify the principles for recognizing revenue and develop a common revenue standard for GAAP and International Financial Reporting Standards (“IFRS”). The guidance is effective for the fiscal years and interim periods within those years beginning after December 15, 2017. DeVry Group will implement this guidance effective July 1, 2018 using the retrospective approach. Management anticipates the adoption will not have a significant impact on DeVry Group’s Consolidated Financial Statements. In the fourth quarter of fiscal year 2016, we retrospectively adopted ASU No. 2015-17: “Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes.” This guidance was issued to simplify the accounting for classification of deferred taxes on the balance sheet. The guidance eliminates the previous requirement for organizations to present deferred tax assets and liabilities as current and noncurrent in a classified balance sheet. Instead, organizations will now be required to classify all deferred tax assets and liabilities as noncurrent. As a result, we decreased current deferred income tax assets by $ 43.1 24.2 18.8 Beginning in the third quarter of fiscal year 2017, we changed our reportable segments as described in “Note 15: Segment Information.” Prior period amounts have been reclassified to conform to the current reportable segment presentation within the Notes to Consolidated Financial Statements. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCK-BASED COMPENSATION | NOTE 5: STOCK-BASED COMPENSATION DeVry Group maintains three stock-based incentive plans: the 2003 Stock Incentive Plan, the Amended and Restated Incentive Plan of 2005 and the Second Amended and Restated Incentive Plan of 2013. Under these plans, directors, key executives and managerial employees are eligible to receive incentive stock or nonqualified options to purchase shares of DeVry Group’s common stock. The Second Amended and Restated Incentive Plan of 2013 and the Amended and Restated Incentive Plan of 2005 also permit the granting of stock appreciation rights, RSUs, performance-based RSUs and other stock and cash-based compensation. Although options remain outstanding under the 2003 and 2005 incentive plans, no further stock-based grants will be issued from these plans. The Second Amended and Restated Incentive Plan of 2013 and the Amended and Restated Incentive Plan of 2005 are administered by the Compensation Committee of the Board. Options are granted for terms of up to ten years and can vest immediately or over periods of up to five years. The requisite service period is equal to the vesting period. The option price under the plans is the fair market value of the shares on the date of the grant. Stock-based compensation expense is measured at the grant date based on the fair value of the award. DeVry Group accounts for stock-based compensation granted to retirement eligible employees that fully vests upon an employee’s retirement under the non-substantive vesting period approach. Under this approach, the entire stock-based compensation expense is recognized at the grant date for stock-based grants issued to retirement eligible employees. For non-retirement eligible employees, stock-based compensation expense is recognized as expense over the employee requisite service period, reduced by an estimated forfeiture rate. At March 31, 2017, 6,518,677 Weighted Weighted Average Aggregate Average Remaining Intrinsic Number of Exercise Contractual Value Options Price Life (in Years) (in thousands) Outstanding at July 1, 2016 3,574,336 $ 32.79 Options Granted 397,700 23.78 Options Exercised (912,734) 22.81 Options Forfeited (12,409) 30.00 Options Expired (24,081) 31.16 Outstanding at March 31, 2017 3,022,812 34.65 5.37 $ 16,948 Exercisable at March 31, 2017 2,029,550 $ 39.68 3.66 $ 5,285 Weighted Number of Weighted Average Aggregate Stock Average Remaining Intrinsic Appreciation Exercise Contractual Value Rights Price Life (in Years) (in thousands) Outstanding at July 1, 2016 118,065 $ 42.74 Rights Granted - - Rights Exercised (18,565) 30.41 Rights Canceled - - Outstanding at March 31, 2017 99,500 45.04 0.67 $ - Exercisable at March 31, 2017 99,500 $ 45.04 0.67 $ - The total intrinsic value of options exercised for the nine months ended March 31, 2017 and 2016 was $ 5.5 0.1 The fair value of DeVry Group’s stock option awards was estimated using a binomial model. This model uses historical cancelation and exercise experience of DeVry Group to determine the option value. It also takes into account the illiquid nature of employee options during the vesting period. The weighted average estimated grant date fair value of options granted at market price under DeVry Group’s stock-based incentive plans during the first nine months of fiscal years 2017 and 2016 was $ 9.09 10.17 Fiscal Year 2017 2016 Expected Life (in Years) 6.88 6.78 Expected Volatility 42.41 % 41.35 % Risk-free Interest Rate 1.41 % 1.85 % Dividend Yield 1.19 % 1.01 % Pre-vesting Forfeiture Rate 10.00 % 3.00 % The expected life of the options granted is based on the weighted average exercise life with age and salary adjustment factors from historical exercise behavior. DeVry Group’s expected volatility is computed by combining and weighting the implied market volatility, the most recent volatility over the expected life of the option grant and DeVry Group’s long-term historical volatility. The pre-vesting stock option forfeiture rate is based on DeVry Group’s historical stock option forfeiture experience. The main driver for the increased pre-vesting forfeiture rate is the change in the business environment at DeVry Group and its institutions, which has resulted in increased turnover in executive management. If factors change and different assumptions are employed in the valuation of stock-based grants in future periods, the stock-based compensation expense that DeVry Group records may differ significantly from what was recorded in previous periods. During the first nine months of fiscal year 2017, DeVry Group granted 648,160 223,230 424,930 Weighted Average Number of Grant Date RSUs Fair Value Nonvested at July 1, 2016 1,139,350 $ 27.78 RSUs Granted 648,160 23.89 RSUs Vested (367,839) 27.22 RSUs Forfeited (100,555) 26.94 Nonvested at March 31, 2017 1,319,116 $ 26.09 The weighted average estimated grant date fair value of RSUs granted at market price under DeVry Group’s stock-based incentive plans during the first nine months of fiscal years 2017 and 2016 was $ 23.89 25.84 Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Cost of Educational Services $ 1,267 $ 1,209 $ 4,254 $ 4,477 Student Services and Administrative Expense 2,692 2,568 9,038 9,512 Stock-Based Compensation Expense 3,959 3,777 13,292 13,989 Income Tax Benefit (1,383) (1,439) (4,653) (5,157) Net Stock-Based Compensation Expense $ 2,576 $ 2,338 $ 8,639 $ 8,832 As of March 31, 2017, $ 21.8 2.4 13.0 15.9 There was no capitalized stock-based compensation cost at each of March 31, 2017, June 30, 2016 and March 31, 2016. DeVry Group has an established practice of issuing new shares of common stock to satisfy stock-based grant exercises. However, DeVry Group also may issue treasury shares to satisfy stock-based grant exercises under certain of its stock-based incentive plans. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 9 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | NOTE 6: FAIR VALUE MEASUREMENTS DeVry Group has elected not to measure any assets or liabilities at fair value other than those required to be measured at fair value on a recurring basis. Assets measured at fair value on a nonrecurring basis include goodwill, intangible assets and assets of businesses where the long-term value of the operations have been impaired. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. The guidance specifies a fair value hierarchy based upon the observability of inputs used in valuation techniques. Observable inputs (highest level) reflect market data obtained from independent sources, while unobservable inputs (lowest level) reflect internally developed market assumptions. The guidance establishes fair value measurement classifications under the following hierarchy: Level 1 Level 2 Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs or significant value-drivers are observable in active markets. Level 3 Model-derived valuations in which one or more significant inputs or significant value-drivers are unobservable. When available, DeVry Group uses quoted market prices to determine fair value, and such measurements are classified within Level 1. In some cases where market prices are not available, DeVry Group makes use of observable market-based inputs to calculate fair value, in which case the measurements are classified within Level 2. If quoted or observable market prices are not available, fair value is based upon internally developed models that use, where possible, current market-based parameters such as interest rates and yield curves. These measurements are classified within Level 3. Fair value measurements are classified according to the lowest level input or value-driver that is significant to the valuation. A measurement may therefore be classified within Level 3 even though there may be significant inputs that are readily observable. Assets measured at fair value on a nonrecurring basis include goodwill and indefinite-lived intangibles arising from a business combination. These assets are not amortized and charged to expense over time. Instead, goodwill and indefinite-lived intangibles must be reviewed annually for impairment or more frequently if circumstances arise indicating potential impairment. This impairment review was most recently completed as of May 31, 2016. See “Note 10: Intangible Assets” for further discussion on the impairment review including valuation techniques and assumptions. During the second quarter of fiscal year 2017, management committed to a plan to sell the DeVry University and Carrington co-located campus in Pomona, California, which met criteria to be classified as an asset held for sale. This required a write-down of the assets to fair market value less costs to sell. The building is being marketed to prospective buyers and is available for immediate sale which is likely to occur within one year. We used significant unobservable inputs (Level 3) in our analysis, including third party offers received to acquire the building. Based on third party offers, management estimated the assets’ fair market values less costs to sell at approximately $ 11.3 4.8 Level 1 Level 2 Level 3 Cash and Cash Equivalents $ 209,879 $ - $ - Available-for-Sale Investments: Marketable Securities, short-term 3,950 - - Institutional Loans Receivable, Net - 46,284 - Deferred Acquisition Obligations - 28,531 - FIES Long-Term Receivable - 13,633 - Total Financial Assets at Fair Value $ 213,829 $ 88,448 $ - The following table presents DeVry Group's assets and liabilities at June 30, 2016, that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in thousands). Level 1 Level 2 Level 3 Cash and Cash Equivalents $ 308,164 $ - $ - Available-for-Sale Investments: Marketable Securities, short-term 3,609 - - Institutional Loans Receivable, Net - 49,025 - Deferred Acquisition Obligations - 32,121 - FIES Long-Term Receivable - 13,057 - Total Financial Assets at Fair Value $ 311,773 $ 94,203 $ - The following table presents DeVry Group's assets and liabilities at March 31, 2016, that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in thousands). Level 1 Level 2 Level 3 Cash and Cash Equivalents $ 330,214 $ - $ - Available-for-Sale Investments: Marketable Securities, short-term 3,528 - - Institutional Loans Receivable, Net - 51,743 - Deferred Acquisition Obligations - 32,860 - FIES Long-Term Receivable - 17,593 - Total Financial Assets at Fair Value $ 333,742 $ 102,196 $ - Cash and Cash Equivalents and Investments in short-term Marketable Securities are valued using a market approach based on quoted market prices of identical instruments. The fair value of the institutional loans receivable included in Accounts Receivable, Net and Other Assets, Net on the Consolidated Balance Sheets as of March 31, 2017, June 30, 2016 and March 31, 2016 is estimated by discounting the future cash flows using current rates for similar arrangements. See “Note 7: Financing Receivables” for further discussion on these institutional loans receivable. The fair value of the deferred acquisition obligations is estimated by discounting the future cash flows using current rates for similar arrangements. $ 15.8 7.7 12.2 12.8 24.4 20.7 The fair value of DeVry Brazil’s receivable under Brazil’s FIES public loan program included in Other Assets, Net on the Consolidated Balance Sheets as of March 31, 2017, June 30, 2016 and March 31, 2016 is estimated by discounting the future cash flows using published market data on Brazilian interest and inflation rates. As of June 30, 2016 and March 31, 2016, there were no assets or liabilities measured at fair value using Level 3 inputs. |
FINANCING RECEIVABLES
FINANCING RECEIVABLES | 9 Months Ended |
Mar. 31, 2017 | |
Receivables [Abstract] | |
FINANCING RECEIVABLES | NOTE 7: FINANCING RECEIVABLES DeVry Group’s institutional loan programs are available to students at its Chamberlain, AUC, RUSM, RUSVM, DeVry University and Carrington institutions. These loan programs are designed to assist students who are unable to completely cover educational costs consisting of tuition, books and fees and are available only after all other student financial assistance has been applied toward those purposes. In addition, AUC, RUSM and RUSVM loans may be used for students’ living expenses. Repayment plans for institutional loan program balances are developed to address the financial circumstances of the particular student. Interest charges accrue each month on the unpaid balance. Chamberlain, DeVry University and Carrington require that students begin repaying loans while they are still in school with a minimum payment level designed to demonstrate their capability to repay and reduce the possibility of over borrowing and targeted to minimize interest being accrued on the loan balance. Payments may increase upon completing or departing the program. After a student leaves school, the student typically will have a monthly installment repayment plan. In addition, the Becker CPA Review Course can be financed through Becker with an 18-month term loan program. Reserves for uncollectible loans are determined by analyzing the current aging of accounts receivable and historical loss rates of loans at each institution. Management performs this analysis periodically throughout the year. Since all of DeVry Group’s financing receivables are generated through the extension of credit to fund educational costs, all such receivables are considered part of the same loan portfolio. The following table details the institutional loan balances along with the related allowances for credit losses (in thousands). March 31, 2017 June 30, 2016 March 31, 2016 Gross Institutional Loans $ 57,947 $ 69,825 $ 71,915 Allowance for Credit Losses: Balance at July 1 $ (20,800) $ (20,630) $ (20,630) Charge-offs and Adjustments 16,820 7,388 6,290 Recoveries (497) (461) (141) Additional Provision (7,186) (7,097) (5,691) Balance at End of Period (11,663) (20,800) (20,172) Net Institutional Loans $ 46,284 $ 49,025 $ 51,743 During the second quarter of fiscal year 2017, certain institutional loan balances were forgiven as part of the FTC settlement as discussed in “Note 3: Regulatory Settlements” and “Note 14: Commitments and Contingencies.” The amounts related to this settlement were $ 17.5 13.4 12.9 Of the net balances above, $ 18.6 21.7 25.9 27.7 27.3 25.8 The following tables detail the credit risk profiles of the institutional loan balances based on payment activity and an aging analysis of past due institutional loans (in thousands). March 31, June 30, March 31, 2017 2016 2016 Institutional Loans: Performing $ 47,536 $ 50,045 $ 52,775 Nonperforming 10,411 19,780 19,140 Total Institutional Loans $ 57,947 $ 69,825 $ 71,915 Greater 30-59 60-89 90-119 Than 120 Total Days Past Days Past Days Past Days Past Total Institutional Due Due Due Due Past Due Current Loans Institutional Loans: March 31, 2017 $ 5,784 $ 1,318 $ 829 $ 10,411 $ 18,342 $ 39,605 $ 57,947 June 30, 2016 $ 8,038 $ 1,512 $ 924 $ 19,780 $ 30,254 $ 39,571 $ 69,825 March 31, 2016 $ 5,882 $ 2,896 $ 1,130 $ 19,140 $ 29,048 $ 42,867 $ 71,915 Loans are considered nonperforming if they are more than 120 10.4 10.2 19.8 19.7 19.1 18.8 |
DIVIDENDS AND SHARE REPURCHASE
DIVIDENDS AND SHARE REPURCHASE PROGRAMS | 9 Months Ended |
Mar. 31, 2017 | |
Dividends And Share Repurchase Program [Abstract] | |
DIVIDENDS AND SHARE REPURCHASE PROGRAMS | NOTE 8: DIVIDENDS AND SHARE REPURCHASE PROGRAMS DeVry Group paid dividends of $ 11.4 11.6 11.6 Date Shares Total Cost Authorized Repurchased (in millions) November 15, 2006 908,399 $ 35.0 May 13, 2008 1,027,417 50.0 November 11, 2009 972,205 50.0 August 11, 2010 1,103,628 50.0 November 10, 2010 968,105 50.0 May 20, 2011 2,396,143 100.0 November 2, 2011 3,478,299 100.0 August 29, 2012 2,005,317 62.7 December 15, 2015 1,672,250 36.6 February 16, 2017 302,214 10.0 Totals 14,833,977 $ 544.3 On December 15, 2015, the Board authorized DeVry Group’s ninth share repurchase program, which allowed DeVry Group to repurchase up to $ 100 802,948 20.5 300 302,214 10.0 Shares of stock repurchased under the programs are held as treasury shares. These repurchased shares have reduced the weighted average number of shares of common stock outstanding for basic and diluted earnings per share calculations. |
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS | 9 Months Ended |
Mar. 31, 2017 | |
Business Combinations [Abstract] | |
BUSINESS COMBINATIONS | NOTE 9: BUSINESS COMBINATIONS Association of Certified Anti-Money Laundering Specialists On July 1, 2016, Becker completed the acquisition of 100 330.6 23.5 175 The operations of ACAMS are included in DeVry Group’s Professional Education segment. The results of ACAMS’s operations have been included in the Consolidated Financial Statements of DeVry Group since the date of acquisition. July 1, 2016 Current Assets $ 24,895 Property and Equipment 432 Other Long-term Assets 3,200 Intangible Assets 88,600 Goodwill 274,620 Total Assets Acquired 391,747 Liabilities Assumed 37,619 Net Assets Acquired $ 354,128 Goodwill, which represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired, was all assigned to the Becker reporting unit which is classified within the Professional Education segment. Factors that contributed to a purchase price resulting in the recognition of goodwill include ACAMS’s strategic fit into Becker’s expanding presence in professional education, the reputation of the ACAMS brand as a leader in the industry and potential future growth opportunity. None of the goodwill acquired is expected to be deductible for income tax purposes. Of the $ 88.6 39.9 July 1, 2016 Value Estimated Assigned Useful Life Customer Relationships $ 42,500 10 years Curriculum 5,000 3 years Non-compete Agreements 700 1 year Proprietary Technology 500 4 years There is no pro forma presentation of operating results for this acquisition due to the insignificant effect on consolidated operations. Faculdade de Imperatriz On June 1, 2016, DeVry Brazil completed the acquisition of Faculdade de Imperatriz (“Facimp”). Under the terms of the agreement, DeVry Brazil agreed to pay approximately $ 6.8 100 3.5 3.3 2,000 The operations of Facimp are included in DeVry Group’s Technology and Business segment. The results of Facimp’s operations have been included in the Consolidated Financial Statements of DeVry Group since the date of acquisition. June 1, 2016 Current Assets $ 1,626 Property and Equipment 291 Intangible Assets 2,652 Goodwill 4,997 Total Assets Acquired 9,566 Liabilities Assumed 2,756 Net Assets Acquired $ 6,810 Goodwill, which represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired, was all assigned to the DeVry Brazil reporting unit which is classified within the Technology and Business segment. Factors that contributed to a purchase price resulting in the recognition of goodwill include Facimp’s strategic fit into DeVry Group’s expanding presence in northeast Brazil, the reputation of the educational programs and the acquired assembled workforce. None of the goodwill acquired is expected to be deductible for income tax purposes. Of the $2.7 million of acquired intangible assets, $ 2.1 0.5 There is no pro forma presentation of operating results for this acquisition due to the insignificant effect on consolidated operations. Grupo Ibmec Educacional S.A. On December 15, 2015, DeVry Brazil completed the acquisition of Grupo Ibmec Educacional S.A. (“Grupo Ibmec”). Under the terms of the agreement, DeVry Brazil agreed to pay approximately $ 191.0 100 180.5 10.5 15,000 The operations of Grupo Ibmec are included in DeVry Group’s Technology and Business segment. The results of Grupo Ibmec’s operations have been included in the Consolidated Financial Statements of DeVry Group since the date of acquisition. December 15, 2015 Current Assets $ 27,615 Property and Equipment 17,968 Other Long-term Assets 2,639 Intangible Assets 59,275 Goodwill 107,888 Total Assets Acquired 215,385 Liabilities Assumed 24,423 Net Assets Acquired $ 190,962 Goodwill, which represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired, was all assigned to the DeVry Brazil reporting unit which is classified within the Technology and Business segment. Factors that contributed to a purchase price resulting in the recognition of goodwill include Grupo Ibmec’s strategic fit into DeVry Group’s expanding presence in Brazil, the reputation of the educational programs and the acquired assembled workforce. None of the goodwill acquired is expected to be deductible for income tax purposes. Of the $ 59.3 34.7 18.4 December 15, 2015 Value Estimated Assigned Useful Life Student Relationships $ 4,360 5 years Curriculum 1,821 5 years There is no pro forma presentation of operating results for this acquisition due to the insignificant effect on consolidated operations. |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 9 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS | NOTE 10: INTANGIBLE ASSETS Intangible assets relate mainly to acquired business operations. These assets consist of the acquisition fair value of certain identifiable intangible assets acquired and goodwill. Goodwill represents the excess of the purchase price over the fair value of the net tangible and intangible assets acquired. March 31, 2017 Gross Weighted Average Carrying Accumulated Amortization Amount Amortization Period Amortizable Intangible Assets: Student Relationships $ 13,014 $ (9,149) 5 Years Customer Relationships 42,900 (3,735) 10 Years Non-compete Agreements 1,640 (1,439) 3 Years Curriculum/Software 8,113 (2,699) 4 Years Franchise Contracts 11,087 (1,335) 18 Years Clinical Agreements 411 (102) 15 Years Trade Names 1,196 (957) 10 Years Proprietary Technology 500 (94) 4 Years Total $ 78,861 $ (19,510) Indefinite-Lived Intangible Assets: Trade Names $ 111,008 Trademarks 1,645 Ross Title IV Eligibility and Accreditations 14,100 Intellectual Property 13,940 Chamberlain Title IV Eligibility and Accreditations 1,200 Carrington Title IV Eligibility and Accreditations 20,200 AUC Title IV Eligibility and Accreditations 100,000 DeVry Brazil Accreditation 101,505 Total $ 363,598 June 30, 2016 Gross Carrying Accumulated Amount Amortization Amortizable Intangible Assets: Student Relationships $ 14,530 $ (7,150) Customer Relationships 400 (170) Non-compete Agreements 940 (799) Curriculum/Software 4,038 (1,914) Franchise Contracts 10,968 (863) Clinical Agreements 406 (81) Trade Names 1,183 (858) Total $ 32,465 $ (11,835) Indefinite-Lived Intangible Assets: Trade Names $ 70,731 Trademarks 1,645 Ross Title IV Eligibility and Accreditations 14,100 Intellectual Property 13,940 Chamberlain Title IV Eligibility and Accreditations 1,200 Carrington Title IV Eligibility and Accreditations 20,200 AUC Title IV Eligibility and Accreditations 100,000 DeVry Brazil Accreditation 100,410 Total $ 322,226 March 31, 2016 Gross Carrying Accumulated Amount Amortization Amortizable Intangible Assets: Student Relationships $ 13,082 $ (5,430) Customer Relationships 400 (160) Test Prep Relationships 900 (900) Non-compete Agreements 940 (752) Curriculum/Software 3,881 (1,786) Outplacement Relationships 3,900 (1,959) Franchise Contracts 9,875 (640) Clinical Agreements 366 (67) Trade Names 1,064 (746) Total $ 34,408 $ (12,440) Indefinite-Lived Intangible Assets: Trade Names $ 66,808 Trademarks 1,645 Ross Title IV Eligibility and Accreditations 14,100 Intellectual Property 13,940 Chamberlain Title IV Eligibility and Accreditations 1,200 Carrington Title IV Eligibility and Accreditations 60,700 AUC Title IV Eligibility and Accreditations 100,000 DeVry Brazil Accreditation 90,685 Total $ 349,078 Amortization expense for amortized intangible assets was $ 2.8 8.5 1.4 4.0 Fiscal Year DeVry Brazil Becker Total 2017 $ 3,721 $ 7,482 $ 11,203 2018 2,994 6,501 9,495 2019 2,152 6,422 8,574 2020 1,515 4,671 6,186 2021 949 4,440 5,389 Thereafter 7,326 19,686 27,012 All amortizable intangible assets except student relationships and customer relationships are being amortized on a straight-line basis. The amount being amortized for student relationships is based on the estimated progression of the students through the respective Faculdade Boa Viagem (“FBV”), Centro Universitário Vale do Ipojuca (“Unifavip”), Damásio Educacional (“Damasio”) and Grupo Ibmec programs, giving consideration to the revenue and cash flow associated with both existing students and new applicants. The amount being amortized for customer relationships related to ACAMS is based on the estimated retention of the customers, giving consideration to the revenue and cash flow associated with these existing customers. Indefinite-lived intangible assets related to trademarks, trade names, Title IV eligibility, accreditations and intellectual property are not amortized, as there are no legal, regulatory, contractual, economic or other factors that limit the useful life of these intangible assets to the reporting entity. In accordance with GAAP, goodwill and indefinite-lived intangibles arising from a business combination are not amortized and charged to expense over time. Instead, these assets must be reviewed annually for impairment or more frequently if circumstances arise indicating potential impairment. DeVry Group’s annual impairment review was most recently completed during the fourth quarter of fiscal year 2016, at which time there were impairment losses recorded related to Carrington goodwill and the Carrington Accreditation and Title IV Eligibility indefinite-lived intangible asset totaling $ 48.2 DeVry Group had six reporting units which contained goodwill as of the third quarter of fiscal year 2017. These reporting units constitute components for which discrete financial information is available and regularly reviewed by segment management and the Board. If the carrying amount of a reporting unit containing the goodwill exceeds the fair value of that reporting unit, an impairment loss is recognized to the extent the “implied fair value” of the reporting unit goodwill is less than the carrying amount of the goodwill. In analyzing the results of operations and business conditions of all six reporting units as of March 31, 2017, it was determined that no triggering event had occurred during the first nine months of fiscal year 2017 that would indicate the carrying value of a reporting unit had exceeded its fair value. For indefinite-lived intangible assets, management first analyzes qualitative factors including results of operations and business conditions of the seven reporting units that contained indefinite-lived intangible assets, significant changes in cash flows at the individual indefinite-lived intangible asset level, if applicable, as well as how much previously calculated fair values exceed carrying values to determine if it is more likely than not that the intangible assets associated with these reporting units have been impaired. Based on its analysis, management has determined that, as of March 31, 2017, no triggering event had occurred during the first nine months of fiscal year 2017 that would indicate the carrying value of an indefinite-lived intangible asset had exceeded its fair value. These interim triggering event conclusions were based on the fact that the qualitative analysis of DeVry Group’s reporting units and indefinite-lived intangible assets resulted in no impairment indicators as of the end of fiscal year 2016, except at the Carrington and DeVry University reporting units, and that no interim events or deviations from planned operating results occurred as of March 31, 2017, that would cause management to reassess these conclusions. In regards to Carrington, although the revenue for the first nine months of fiscal year 2017 was below plan, operating income was better than the fiscal year 2017 operating plan which was used in the May 31, 2016 impairment analysis; thus, management believes that no indicator of further impairment currently exists with this reporting unit. Should declines in student enrollment at Carrington result in financial performance that is significantly below management expectations, the carrying value of this reporting unit may exceed its fair value and indefinite-lived intangible assets could be impaired. This could require a write-off of up to $ 20.2 The DeVry University reporting unit operating income for the first nine months of fiscal year 2017 was in-line with the operating plan that was used in the May 31, 2016 impairment analysis. This reporting unit is expected to meet planned positive operating results for fiscal year 2017. As a result, management did not believe business conditions had deteriorated such that it was more likely than not that the fair value of DeVry University was below carrying value for this reporting unit or its associated indefinite-lived intangible assets as of March 31, 2017. Based on the May 31, 2016 impairment review, DeVry University’s current and forecasted profitability is sufficient to maintain a fair value greater than its carrying value. The fair value of this reporting unit exceeded its carrying value by 6 90 23.8 Operating income and cash flows at all other reporting units for the first nine months of fiscal year 2017 were not materially different from the budgeted amounts used in the impairment analysis as of May 31, 2016. Full year operating results are also forecast to not materially differ from the full year operating plan. Thus, management does not believe any of the reporting units or their associated indefinite-lived intangible assets fair values would have declined enough to fall below the carrying values as of March 31, 2017. Determining the fair value of a reporting unit or an intangible asset involves the use of significant estimates and assumptions. Management bases its fair value estimates on assumptions it believes to be reasonable at the time, but such assumptions are subject to inherent uncertainty. Actual results may differ from those estimates which could lead to additional impairments of intangible assets. At March 31, 2017, intangible assets from business combinations totaled $ 422.9 861.0 55 March 31, June 30 March 31, Reporting Unit 2017 2016 2016 Chamberlain $ 4,716 $ 4,716 $ 4,716 AUC 68,321 68,321 68,321 RUSM and RUSVM 237,173 237,173 237,173 Becker 306,444 32,043 32,386 DeVry Brazil 222,151 223,558 194,409 DeVry University 22,196 22,196 22,196 Carrington - - 5,811 Total $ 861,001 $ 588,007 $ 565,012 The table below summarizes goodwill balances by reporting segment (in thousands): March 31, June 30, March 31, Reporting Segment 2017 2016 2016 Medical and Healthcare $ 310,210 $ 310,210 $ 310,210 Professional Education 306,444 32,043 32,386 Technology and Business 222,151 223,558 194,409 U.S. Traditional Postsecondary 22,196 22,196 28,007 Total $ 861,001 $ 588,007 $ 565,012 U.S. Traditional Postsecondary Medical Technology Accumulated and Professional and Impairment Healthcare Education Business Gross Losses Total Balance at June 30, 2014 $ 310,210 $ 33,217 $ 55,472 $ 207,913 $ (86,933) $ 519,879 Acquisitions - - 55,915 - - 55,915 Foreign exchange rate changes - (420) (23,045) - - (23,465) Balance at June 30, 2015 310,210 32,797 88,342 207,913 (86,933) 552,329 Purchase Accounting Adjustments - - 4,575 - - 4,575 Acquisitions - - 108,246 - - 108,246 Impairments - - - - (92,973) (92,973) Foreign exchange rate changes - (411) (6,754) - - (7,165) Balance at March 31, 2016 310,210 32,386 194,409 207,913 (179,906) 565,012 Acquisitions - - 7,761 - - 7,761 Impairments - - - - (5,811) (5,811) Foreign exchange rate changes - (343) 21,388 - - 21,045 Balance at June 30, 2016 310,210 32,043 223,558 207,913 (185,717) 588,007 Purchase Accounting Adjustments - - (3,122) - - (3,122) Acquisitions - 274,620 - - - 274,620 Foreign exchange rate changes - (219) 1,715 - - 1,496 Balance at March 31, 2017 $ 310,210 $ 306,444 $ 222,151 $ 207,913 $ (185,717) $ 861,001 The increase in the goodwill balance from June 30, 2016 in the Professional Education segment is the result of the addition of $ 274.6 March 31, June 30, March 31, Reporting Segment 2017 2016 2016 Medical and Healthcare $ 137,500 $ 137,500 $ 137,500 Professional Education 67,812 27,912 27,912 Technology and Business 136,441 134,969 121,321 U.S. Traditional Postsecondary 21,845 21,845 62,345 Total $ 363,598 $ 322,226 $ 349,078 Total indefinite-lived intangible assets increased by $ 41.4 39.9 |
RESTRUCTURING CHARGES
RESTRUCTURING CHARGES | 9 Months Ended |
Mar. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING CHARGES | NOTE 11: RESTRUCTURING CHARGES During the third quarter and first nine months of fiscal year 2017 and 2016, DeVry Group recorded restructuring charges related to real estate consolidations and reductions in force (“RIF”) at DeVry University, Carrington, the administrative support operations of the medical and veterinary schools and DeVry Group home office. DeVry Group home office is classified as “Home Office and Other” in “Note 15: Segment Information.” These RIF charges, which reduced the DeVry Group workforce by 207 303 Three Months Ended March 31, 2017 Nine Months Ended March 31, 2017 Real Termination Real Termination Estate Benefits Total Estate Benefits Total Medical and Healthcare $ 137 $ 530 $ 667 $ 137 $ 530 $ 667 U.S. Traditional Postsecondary 2,347 3,345 5,692 9,835 3,345 13,180 Home Office and Other (222) 1,634 1,412 1,706 2,315 4,021 Total $ 2,262 $ 5,509 $ 7,771 $ 11,678 $ 6,190 $ 17,868 Three Months Ended March 31, 2016 Nine Months Ended March 31, 2016 Real Termination Real Termination Estate Benefits Total Estate Benefits Total Professional Education $ 300 $ - $ 300 $ 300 $ - $ 300 U.S. Traditional Postsecondary 729 1,844 2,573 31,901 7,669 39,570 Total $ 1,029 $ 1,844 $ 2,873 $ 32,201 $ 7,669 $ 39,870 Liability balance at June 30, 2015 $ 26,992 Increase in liability (separation and other charges) 67,495 Reduction in liability (payments and adjustments) (46,264) Liability balance at June 30, 2016 48,223 Increase in liability (separation and other charges) 14,889 Reduction in liability (payments and adjustments) (23,074) Liability balance at March 31, 2017 $ 40,038 Of this liability balance, $ 17.7 22.3 |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | NOTE 12: INCOME TAXES The effective income tax rates on income were 14.8 3.2 12.7 9.1 22.1 13.4 17.8 DeVry Group has not recorded a U.S. federal or state tax provision for the undistributed earnings of its international subsidiaries. It is DeVry Group’s intention to indefinitely reinvest accumulated cash balances, future cash flows and post-acquisition undistributed earnings and profits to improve the facilities and operations of its international schools and pursue future opportunities outside the U.S. In accordance with this plan, cash held by the international subsidiaries will not be available for general company purposes, and under current laws, will not be subject to U.S. taxation. As of March 31, 2017, June 30, 2016 and March 31, 2016, cumulative undistributed earnings attributable to international operations were approximately $ 994 891 861 |
DEBT
DEBT | 9 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
DEBT | NOTE 13: DEBT Revolving Credit Facility DeVry Group entered into a revolving credit facility on March 31, 2015 March 31, 2020 400 200 550 50 100 68.4 2 3 1 2 120 3.45 68.5 0.1 2.5 0.4 The revolving credit agreement contains covenants that, among other things, require maintenance of certain financial ratios, as defined in the agreement. Maintenance of these financial ratios could place restrictions on DeVry Group’s ability to pay dividends. These financial ratios include a consolidated fixed charge coverage ratio, a consolidated leverage ratio and a U.S. Department of Education financial responsibility ratio based upon a composite score of an equity ratio, a primary reserve ratio and a net income ratio. Failure to maintain any of these ratios or to comply with other covenants contained in the agreement would constitute an event of default and could result in termination of the agreement and require payment of all outstanding borrowings and replacement of outstanding letters of credit. DeVry Group was in compliance with the debt covenants as of March 31, 2017. The stock of all U.S. and certain foreign subsidiaries of DeVry Group is pledged as collateral for the borrowings under the revolving credit facility. DeVry Group also has liabilities recorded for deferred purchase price agreements with sellers related to the purchases of Faculdade Diferencial Integral (“Facid”), Faculdade Idea (“Faci”), Damasio, Grupo Ibmec and Facimp (see “Note 9: Business Combinations” for discussion of the Grupo Ibmec and Facimp acquisitions). This financing is in the form of holdbacks of a portion of the purchase price of these acquisitions or installment payments. Payments are made under these agreements based on payment schedules or the resolution of any pre-acquisition contingencies. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 14: COMMITMENTS AND CONTINGENCIES DeVry Group is subject to lawsuits, administrative proceedings, regulatory reviews and investigations associated with financial assistance programs and other matters arising in the normal conduct of its business. The following is a description of pending legal and regulatory matters that may be considered other than ordinary, routine and incidental to the business. Descriptions of certain matters from prior SEC filings may not be carried forward in this report to the extent we believe such matters no longer are required to be disclosed or there has not been, to our knowledge, significant activity relating to them. The timing or outcome of the following matters, or their possible impact on DeVry Group’s business, financial condition or results of operations, cannot be predicted at this time. The continued defense, resolution or settlement of any of the following matters could require us to expend significant resources and could have a material adverse effect on our business, financial condition, results of operations and cash flows and result in the imposition of significant restrictions on us and our ability to operate. In April 2013, DeVry Group received a Civil Investigative Demand (a “CID”) issued by the Office of the Attorney General of the Commonwealth of Massachusetts. The CID was issued in connection with an investigation into whether DeVry Group caused false claims and/or false statements to be submitted to the Commonwealth of Massachusetts relating to student loans, guarantees, and grants provided to DeVry Group’s Massachusetts students and required DeVry Group to answer interrogatories and to provide documents relating to periods on or after January 1, 2007. DeVry Group responded to the CID in May 2013. In July 2016, DeVry Group received a second CID from the Office requesting information regarding DeVry University advertising, admissions materials, placement rates, and credit/transferability agreements. DeVry Group is in the process of responding to the second CID. On July 15, 2014, DeVry Group received a letter dated July 9, 2014, from the Office of the Attorney General of the State of New York (“NYAG”). The letter requested cooperation with the NYAG’s inquiry into whether recent television advertisements and website marketing regarding DeVry University may have violated federal and state laws prohibiting false advertising and deceptive practices. DeVry Group, DeVry University, Inc., and DeVry/New York Inc. (collectively, the “DeVry Parties”) chose to resolve the NYAG inquiry by entering into an Assurance of Discontinuance (the “Assurance”) with the NYAG on January 27, 2017, without admitting or denying the allegations therein. Pursuant to the Assurance, the DeVry Parties agreed to pay $ 2.25 0.5 On August 28, 2015, DeVry University received a request from the Multi-Regional and Foreign School Participation Division of the Federal Student Aid office of the Department of Education (“ED FSA”) for documents and information regarding published employment outcomes and relative earnings information of DeVry University graduates (the “Inquiry”). The stated purpose of the Inquiry was to permit ED FSA to assess DeVry University's compliance with applicable regulations under Title IV. On January 27, 2016, DeVry University received a Notice of Intent to Limit from ED FSA (the “January 2016 Notice”), based on a portion of the Inquiry, informing DeVry University of ED FSA’s intention to impose certain limitations on the participation of DeVry University in programs authorized pursuant to Title IV. The proposed limitations related to representations in advertising and marketing, regarding the post-graduation employment outcomes of DeVry University students over a period from 1975 to October 1980 (the “Since 1975 Representation”). On October 13, 2016, DeVry University and the U.S. Department of Education (“ED”) reached a negotiated agreement to settle the January 2016 Notice (the “ED Settlement”). Under the terms of the ED Settlement, among other things, without admitting wrongdoing, DeVry University (1) may no longer make representations regarding the graduate employment outcomes of DeVry University graduates from 1975 to October 1980, including advertising regarding the cumulative graduate employment outcomes since 1975, (2) will maintain or undertake certain recordkeeping and compliance practices to support future representations regarding graduate employment rates and (3) will post a notice on its website and in its enrollment agreements regarding the Since 1975 Representation. The ED Settlement also provides that, except for Heightened Cash Monitoring 1 status, ED will not impose conditions on the timing of, or documentation requirements for, disbursement of aid due to matters relating to lack of substantiation for the Since 1975 Representation. As a result of the ED Settlement, DeVry University’s participation in the Title IV programs will be subject to provisional certification for five years and DeVry University will be required to post a letter of credit equal to the greater of 10 68.4 On January 27, 2016, the Federal Trade Commission (“FTC”) filed a civil complaint (the “FTC lawsuit”) against the DeVry Parties in the United States District Court for the Central District of California alleging that certain of DeVry University’s advertising claims were false or misleading or unsubstantiated at the time they were made in violation of Section 5(a) of the Federal Trade Commission Act. The parties settled the FTC lawsuit by stipulation, which was entered by the district court as a Stipulated Order for Permanent Injunction and Monetary Judgment (the “Order”) on December 19, 2016. Pursuant to the Order, the DeVry Parties paid $ 49.4 30.4 20.2 On May 13, 2016, a putative class action lawsuit was filed by the Pension Trust Fund for Operating Engineers, individually and on behalf of others similarly situated, against DeVry Group, Daniel Hamburger, Richard M. Gunst, and Timothy J. Wiggins in the United States District Court for the Northern District of Illinois. The complaint was filed on behalf of a putative class of persons who purchased DeVry Group common stock between February 4, 2011 and January 27, 2016. Citing the FTC lawsuit and the ED January 2016 Notice, the plaintiff claims that defendants made false or misleading statements regarding DeVry University’s graduate employment rate and the earnings of DeVry University graduates relative to the graduates of other universities and colleges. As a result of these false or misleading statements about DeVry University graduate outcomes, plaintiff alleges, defendants overstated DeVry Group’s growth, revenue and earnings potential and made false or misleading statements about DeVry Group’s business, operations and prospects. The plaintiff alleges direct liability against all defendants for violations of §10(b) and Rule 10b-5 of the Exchange Act and asserted liability against the individual defendants pursuant to §20(a) of the Exchange Act. The plaintiff seeks monetary damages, interest, attorneys’ fees, costs and other unspecified relief. On July 13, 2016, the Utah Retirement System (“URS”) moved for appointment as lead plaintiff and approval of its selection of counsel, which was not opposed by the Pension Trust Fund for Operating Engineers and URS was appointed as lead plaintiff on August 24, 2016. URS filed a second amended complaint (“SAC”) on December 23, 2016. The SAC seeks to represent a putative class of persons who purchased DeVry Group common stock between August 26, 2011 and January 27, 2016 and names an additional individual defendant, Patrick J. Unzicker. Like the original complaint, the SAC asserts claims against all defendants for alleged violations of §10(b) and Rule 10b-5 of the Exchange Act and asserted liability against the individual defendants pursuant to §20(a) of the Exchange Act for alleged material misstatements or omissions regarding DeVry University graduate outcomes. On January 27, 2017, defendants moved to dismiss the SAC. On or about June 21, 2016, T’Lani Robinson and Robby Brown filed an arbitration demand with the American Arbitration Association in Chicago, seeking to represent a putative class of students who received a DeVry University education from January 1, 2008 until April 8, 2016 (“Putative Class Period”). Following DeVry Group’s filing of a declaratory judgment action in the United States District Court for the Northern District of Illinois seeking, among other things, an order declaring that federal court is the appropriate venue for this putative class action, on September 12, 2016, Robinson and Brown voluntarily withdrew their demand for arbitration. On September 20, 2016, Robinson and Brown answered the declaratory judgement action and filed a putative class action counterclaim, individually and on behalf of others similarly situated, against DeVry Group Inc., DeVry University, Inc., and DeVry/New York, Inc. in the United States District Court for the Northern District of Illinois. The counterclaim asserted causes of action for breach of contract, misrepresentation, concealment, negligence, violations of the Illinois Uniform Deceptive Trade Practices Act, the Illinois Consumer Fraud and Deceptive Trade Practices Act, and the Illinois Private Business and Vocational Schools Act, conversion, unjust enrichment, and declaratory relief. The plaintiffs sought monetary, declaratory, injunctive, and other unspecified relief. On November 4, 2016, following a stipulated dismissal of the declaratory action, the DeVry Parties moved to dismiss the counterclaim after which plaintiffs voluntarily withdrew it. On December 2, 2016, Robinson and Brown filed an amended complaint adding two additional named plaintiffs. The amended complaint purports to assert nationwide class claims under the above-referenced Illinois statutes and common law theories on behalf of those who, during the Putative Class Period, (i) enrolled in DeVry University; (ii) financed their education with DeVry University with direct loans administered by ED; or (iii) entered into an enrollment agreement with DeVry University and otherwise paid for a DeVry University education. The amended complaint also seeks to represent a fourth class of individuals residing in, or enrolled in a DeVry University campus located in, California during the Putative Class Period bringing claims under the California Business and Profession Code. In addition to the claims previously asserted as described above, the amended complaint adds a claim for breach of fiduciary duty owed students in administering Title IV funds. The DeVry Parties moved to dismiss the amended complaint on January 13, 2017. On October 14, 2016, a putative class action lawsuit was filed by Debbie Petrizzo and five other former DeVry University students, individually and on behalf of others similarly situated, against the DeVry Parties in the United States District Court for the Northern District of Illinois (the “ Petrizzo On October 28, 2016, a putative class action lawsuit was filed by Jairo Jara and eleven others, individually and on behalf of others similarly situated, against the DeVry Parties in the United States District Court for the Northern District of Illinois (the “ Jara By Order dated November 28, 2016, the district court ordered the Petrizzo Jara Petrizzo On January 17, 2017, Harriet Myers filed a complaint derivatively on behalf of DeVry Group in the United States District Court for the Northern District of Illinois against individual defendants Daniel M. Hamburger, Timothy J. Wiggins, Richard M. Gunst, Patrick J. Unzicker, Christopher B. Begley, David S. Brown, Lisa W. Wardell, Ann Weaver Hart, Lyle Logan, Alan G. Merten, Fernando Ruiz, Ronald L. Taylor and James D. White. DeVry Group was named as a nominal defendant only. The plaintiffs have agreed to a stipulated order moving the case to United States District Court for the District of Delaware. Citing the FTC lawsuit and settlement, the January 2016 Notice and ED settlement, and the allegations in the lawsuit filed by the Pension Trust Fund for Operating Engineers, each referenced above, the plaintiff alleges that the individual defendants have breached their fiduciary duties and violated federal securities law since at least 2011. The plaintiff asserts that the individual defendants permitted DeVry Group to engage in unlawful conduct, failed to correct misconduct or prevent its recurrence, and failed to ensure the accurate dissemination of information to shareholders. The complaint attempts to state three claims: (i) breach of fiduciary duty by all named defendants for allegedly allowing the illegal conduct to occur, (ii) unjust enrichment by all individual defendants in the receipt of compensation, and (iii) violation of Section 14(a) by failing to disclose the alleged illegal scheme in proxy statements and falsely stating that compensation was based on “pay for performance” where those performance results were allegedly false. Plaintiff seeks on behalf of DeVry Group monetary, injunctive and other unspecified relief. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 9 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | NOTE 15: SEGMENT INFORMATION DeVry Group’s principal business is providing postsecondary education. During the third quarter of fiscal year 2017, DeVry Group affected a change to reportable segments to align with current strategic priorities and resource allocation. DeVry Group presents four reportable segments: “Medical and Healthcare,” which includes the operations of Chamberlain and the medical and veterinary schools (which includes AUC, RUSM and RUSVM); “Professional Education,” which includes the operations of Becker; “Technology and Business,” which includes the operations of DeVry Brazil; and “U.S. Traditional Postsecondary,” which includes the operations of DeVry University and Carrington. These segments are consistent with the method by which the Chief Operating Decision Maker (DeVry Group’s President and Chief Executive Officer) evaluates performance and allocates resources. Performance evaluations are based, in part, on each segment’s operating income. Intersegment sales are accounted for at amounts comparable to sales to nonaffiliated customers and are eliminated in consolidation. “Home Office and Other” includes activity not allocated to a reportable segment and is included to reconcile segment results to the Consolidated Financial Statements. The accounting policies of the segments are the same as those described in “Note 4: Summary of Significant Accounting Policies.” Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Revenue: Medical and Healthcare $ 208,153 $ 210,215 $ 609,331 $ 590,616 Professional Education 29,810 23,683 91,906 71,417 Technology and Business 61,810 48,062 193,437 121,405 U.S. Traditional Postsecondary 152,951 193,008 465,666 590,643 Intersegment Elimination and Other (635) (747) (2,009) (2,245) Total Consolidated Revenue $ 452,089 $ 474,221 $ 1,358,331 $ 1,371,836 Operating Income (Loss): Medical and Healthcare $ 50,150 $ 57,450 $ 146,166 $ 140,920 Professional Education 2,619 5,905 8,810 15,638 Technology and Business 5,358 (1,583) 16,864 (1,447) U.S. Traditional Postsecondary (1) (5,724) 2,942 (21,411) (132,827) Home Office and Other (1) (5,110) (3,867) (65,183) (9,569) Total Consolidated Operating Income $ 47,293 $ 60,847 $ 85,246 $ 12,715 Segment Assets: Medical and Healthcare $ 888,413 $ 830,493 $ 888,413 $ 830,493 Professional Education 450,769 109,478 450,769 109,478 Technology and Business 609,624 504,640 609,624 504,640 U.S. Traditional Postsecondary 258,810 570,976 258,810 570,976 Home Office and Other (2) 110,193 81,472 110,193 81,472 Total Consolidated Assets $ 2,317,809 $ 2,097,059 $ 2,317,809 $ 2,097,059 Additions to Long-Lived Assets: Medical and Healthcare $ 3,574 $ 2,798 $ 10,418 $ 16,571 Professional Education 66 220 363,724 815 Technology and Business 4,882 5,557 12,495 194,111 U.S. Traditional Postsecondary 1,679 2,945 5,080 14,182 Home Office and Other 1,922 2,080 4,464 9,667 Total Consolidated Additions to Long-Lived Assets $ 12,123 $ 13,600 $ 396,181 $ 235,346 Reconciliation to Consolidated Financial Statements: Capital Expenditures $ 12,123 $ 9,956 $ 32,529 $ 51,004 Increase in Capital Assets from Acquisitions - - 4,913 13,487 Increase in Intangible Assets and Goodwill - 3,644 358,739 170,855 Total Increase in Consolidated Long-Lived Assets $ 12,123 $ 13,600 $ 396,181 $ 235,346 Depreciation Expense: Medical and Healthcare $ 6,652 $ 7,526 $ 19,850 $ 21,057 Professional Education 119 66 466 549 Technology and Business 2,881 1,272 6,991 3,535 U.S. Traditional Postsecondary 5,773 7,805 17,689 24,719 Home Office and Other 2,936 3,310 8,932 9,489 Total Consolidated Depreciation Expense $ 18,361 $ 19,979 $ 53,928 $ 59,349 Intangible Asset Amortization Expense: Professional Education $ 1,893 $ 147 $ 5,679 $ 447 Technology and Business 899 1,200 2,808 3,325 U.S. Traditional Postsecondary - 65 - 190 Total Consolidated Amortization Expense $ 2,792 $ 1,412 $ 8,487 $ 3,962 (1) U.S. Traditional Postsecondary and Home Office and Other Operating Income includes $ 4.1 52.2 (2) In addition to the change in reportable segments, Home Office and Other Segment Assets and Total Consolidated Assets in fiscal year 2016 have been revised to reflect the reclassification of deferred tax assets and liabilities related to adoption of ASU No. 2015-17 "Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes." DeVry Group conducts its educational operations in the U.S., Dominica, St. Kitts, St. Maarten, Brazil, Canada, Europe, the Middle East, India, China and the Pacific Rim. Other international revenue, which is derived principally from Europe and the Pacific Rim, was less than 5% of total revenue for each of the three-month and nine-month periods ended March 31, 2017 and 2016. Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Revenue from Unaffiliated Customers: Domestic Operations $ 305,639 $ 336,927 $ 901,261 $ 982,656 International Operations: Dominica, St. Kitts and St. Maarten 83,237 88,263 260,083 262,963 Brazil 61,810 48,063 193,437 121,405 Other 1,403 968 3,550 4,812 Total International 146,450 137,294 457,070 389,180 Total Consolidated Revenue $ 452,089 $ 474,221 $ 1,358,331 $ 1,371,836 Long-Lived Assets: Domestic Operations $ 260,101 $ 309,281 $ 260,101 $ 309,281 International Operations: Dominica, St. Kitts and St. Maarten 188,511 183,146 188,511 183,146 Brazil 117,412 92,779 117,412 92,779 Other 3,746 27 3,746 27 Total International 309,669 275,952 309,669 275,952 Total Consolidated Long-Lived Assets $ 569,770 $ 585,233 $ 569,770 $ 585,233 No one customer accounted for more than 10 |
SUMMARY OF SIGNIFICANT ACCOUN22
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The Consolidated Financial Statements include the accounts of DeVry Group and its wholly-owned and majority-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Where our ownership interest is less than 100 percent, the noncontrolling ownership interest is reported on our Consolidated Balance Sheets. The noncontrolling ownership interest earnings portion is classified as “Net Income Attributable to Noncontrolling Interest” in our Consolidated Statements of Income. Unless indicated, or the context requires otherwise, references to years refer to DeVry Group’s fiscal years. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents can include time deposits, high-grade commercial paper, money market funds and bankers acceptances with original maturities of three months or less. Short-term investment objectives are to minimize risk and maintain liquidity. These investments are stated at cost (which approximates fair value) because of their short duration or liquid nature. DeVry Group places its cash and temporary cash investments with high credit quality institutions. Cash and cash equivalent balances in U.S. bank accounts are generally in excess of the Federal Deposit Insurance Corporation (“FDIC”) insurance limit. Cash and cash equivalent balances in Brazilian bank accounts are generally in excess of the deposit insurance limits for Brazilian banks. DeVry Group has not experienced any losses on its cash and cash equivalents. Management periodically evaluates the creditworthiness of the security issuers and financial institutions with which it invests and maintains deposit accounts. |
Marketable Securities and Investments | Financial Aid and Restricted Cash A significant portion of revenue is received from students who participate in government financial aid and assistance programs which are subject to political and governmental budgetary considerations. There is no assurance that such funding will be maintained at current levels. Extensive and complex regulations in the U.S. and Brazil govern all of the government financial assistance programs in which students participate. Administration of these programs is periodically reviewed by various regulatory agencies. Any regulatory violation could be the basis for disciplinary action, which could include the suspension, limitation or termination from such financial aid programs. Restricted cash represents amounts received from federal and state governments under various student aid grant and loan programs and such restricted funds are held in separate bank accounts. Once the financial aid authorization and disbursement process for the student has been completed, the funds are transferred to unrestricted accounts, and these funds then become available for use in DeVry Group’s operations. This authorization and disbursement process that precedes the transfer of funds generally occurs within the period of the academic term for which such funds were authorized. As a requirement of continuing operations in Pennsylvania, DeVry Group is required to maintain a “minimum protective endowment” of at least $ 500,000 |
Revenue Recognition | Revenue Recognition Tuition Chamberlain University (“Chamberlain”), DeVry Education of Brazil (“DeVry Brazil”) higher education, DeVry University and Carrington tuition revenue is recognized on a straight-line basis over their respective applicable academic terms. In addition, American University of the Caribbean School of Medicine (“AUC”), Ross University School of Medicine (“RUSM”) and Ross University School of Veterinary Medicine (“RUSVM”) basic science curriculum revenue is recognized on a straight-line basis over the applicable academic term. The clinical portion of the AUC, RUSM and RUSVM education programs are conducted under the supervision of primarily U.S. teaching hospitals and veterinary schools. AUC, RUSM and RUSVM are responsible for the billing and collection of tuition from their students during the period of clinical education. Revenue is recognized on a weekly basis based on actual program attendance during the period of the clinical program. Fees paid to the hospitals and veterinary schools for supervision of AUC, RUSM and RUSVM students are charged to expense on the same basis. Becker Professional Education (“Becker”) and DeVry Brazil’s live classroom test preparation, and DeVry Brazil’s online tuition revenue is recognized on a straight-line basis over the applicable delivery period. Revenue from Becker conferences and training services, which are generally short-term in duration, is recognized when the conference or training service is provided. Other Educational Sales of Becker subscriptions, membership dues, certifications, textbooks, electronic books and other educational products, including Becker self-study sales, are included in Other Educational Revenue in the Consolidated Statements of Income. Revenue from Becker subscriptions and membership dues is recognized on a straight-line basis over the applicable subscription or membership period. Revenue from Becker certifications is recognized when the certification process is complete. Textbooks, electronic books and other educational products revenue is recognized when the sale occurs. In addition, fees from international licensees of the Becker programs are included in Other Educational Revenue and recognized when confirmation of course delivery is received. Refunds and Provisions Estimates of DeVry Group’s expected refunds are determined at the outset of each academic term, based upon actual experience in previous terms. Inputs to this analysis include refunds issued, withdrawal rates and historical amounts owed by students for that portion of a term that was completed. Management reassesses collectability throughout the period revenue is recognized by the DeVry Group institutions, on a student-by-student basis. This reassessment is based upon new information and changes in facts and circumstances relevant to a student's ability to pay. Management also reassesses collectability when a student withdraws from the institution and has unpaid tuition charges. Such unpaid charges do not meet the threshold of reasonably collectible and are recognized as revenue on a cash basis. The provisions for refunds, which are reported as a reduction to Tuition Revenue in the Consolidated Statements of Income, are recognized in the same ratable fashion as revenue to most appropriately match these costs with the tuition revenue in that term. Provisions for refunds were $ 10.9 35.4 11.5 34.7 Provisions for refunds are monitored and adjusted as necessary within the academic term and adjusted for actual refunds issued and withdrawn student accounts receivable balances at the completion of an academic term. If a student withdraws prior to completing an academic term, federal and state regulations and accreditation criteria permit DeVry Group to retain only a set percentage of the total tuition received from such student, which varies with, but generally equals or exceeds, the percentage of the academic term completed by such student. Payment amounts received by DeVry Group in excess of such set percentages of tuition are refunded to the student or the appropriate funding source. All refunds are netted against revenue during the applicable academic term. Reserves related to refunds and uncollectible accounts totaled $ 51.2 64.5 65.9 24.2 The allowance for uncollectible accounts is determined by analyzing the current aging of accounts receivable and historical loss rates on collections of accounts receivable. In addition, management considers projections of future receivable levels and collection loss rates. We monitor the inputs to this analysis periodically throughout the year. Provisions required to maintain the allowance at appropriate levels are charged to expense in each period as required. Provisions for uncollectible accounts, which are included in the Cost of Educational Services in the Consolidated Statements of Income, were $ 11.6 31.8 9.6 27.0 |
Internal-Use Software Development Costs | Internal-Use Software Development Costs DeVry Group capitalizes certain internal-use software development costs that are amortized using the straight-line method over the estimated lives of the software, not to exceed seven years. Capitalized costs include external direct costs of equipment, materials and services consumed in developing or obtaining internal-use software and payroll-related costs for employees directly associated with the internal-use software development project. Capitalization of such costs ceases at the point at which the project is substantially complete and ready for its intended purpose. Capitalized internal-use software development costs for projects not yet complete are included as Construction in Progress in the Land, Building and Equipment section of the Consolidated Balance Sheets. As of March 31, 2017, June 30, 2016 and March 31, 2016, the net balance of capitalized internal-use software development costs was $ 13.3 18.3 21.7 |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets DeVry Group evaluates the carrying amount of its significant long-lived assets whenever changes in circumstances or events indicate that the value of such assets may not be fully recoverable. Events that may trigger an impairment analysis could include a decision by management to exit a market or a line of business or to consolidate operating locations. In the first nine months of fiscal year 2017 and in fiscal year 2016, management consolidated operations at DeVry University, Carrington and DeVry Group’s home office. These decisions resulted in pre-tax accelerated depreciation and write-offs on leasehold improvements and equipment of $ 3.6 12.2 |
Perkins Program Fund | Perkins Program Fund DeVry University is required under U.S. federal aid program regulations to make contributions to the Federal Perkins Student Loan Fund, most recently at a rate equal to 33 2.6 |
Foreign Currency Translation | Foreign Currency Translation The financial position and results of operations of the AUC, RUSM and RUSVM Caribbean operations are measured using the U.S. dollar as the functional currency. As such, there is no translation gain or loss associated with these operations. DeVry Brazil’s operations and Becker’s international operations are measured using the local currency as the functional currency. Assets and liabilities of these entities are translated to U.S. dollars using exchange rates in effect at the balance sheet dates. Income and expense items are translated at monthly average exchange rates. The resultant translation adjustments are included in the component of Shareholders’ Equity designated as Accumulated Other Comprehensive Loss. Transaction gains or losses during each of the three-month and nine-month periods ended March 31, 2017 and 2016 were not material. |
Noncontrolling Interest | Noncontrolling Interest DeVry Group currently maintains a 97.9 2.1 In July 2015, DeVry Group purchased additional DeVry Brazil stock from the DeVry Brazil management group. Beginning July 1, 2015, DeVry Group has the right to exercise a call option and purchase any remaining DeVry Brazil stock from DeVry Brazil management. Likewise, DeVry Brazil management has had the right to exercise a put option and sell its remaining ownership interest in DeVry Brazil to DeVry Group. Since the put option is out of the control of DeVry Group, authoritative guidance requires the noncontrolling interest, which includes the value of the put option, to be displayed outside of the equity section of the Consolidated Balance Sheets. The DeVry Brazil management put option is being accreted to its redemption value in accordance with the terms of the related stock purchase agreement. The adjustment to increase or decrease the put option to its expected redemption value each reporting period is recorded in retained earnings in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”). Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Balance at Beginning of Period $ 6,720 $ 2,813 $ 5,112 $ 9,620 Net Income Attributable to Noncontrolling Interest 163 5 502 42 Payment for Purchase of Noncontrolling Interest of Subsidiary - - - (3,114) (Decrease) Increase in Redemption Value of Noncontrolling Interest Put Option (283) 711 986 (3,019) Balance at End of Period $ 6,600 $ 3,529 $ 6,600 $ 3,529 |
Earnings per Common Share | Earnings per Common Share Basic earnings per share is computed by dividing net income attributable to DeVry Group by the weighted average number of common shares outstanding during the period plus unvested participating restricted stock units (“RSUs”). Diluted earnings per share is computed by dividing net income attributable to DeVry Group by the weighted average number of shares assuming dilution. Diluted shares are computed using the Treasury Stock Method and reflect the additional shares that would be outstanding if dilutive stock-based grants were exercised during the period. Excluded from the computations of diluted earnings per share were options to purchase 1,670,000 2,514,000 2,828,000 2,765,000 Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Weighted Average Shares Outstanding 62,811 63,107 62,695 63,378 Unvested Participating RSUs 855 815 855 781 Basic Shares 63,666 63,922 63,550 64,159 Effect of Dilutive Stock Options 600 431 441 318 Diluted Shares 64,266 64,353 63,991 64,477 |
Treasury Stock | Treasury Stock DeVry Group’s Board of Directors (the “Board”) has authorized share repurchase programs on ten occasions (see “Note 8: Dividends and Share Repurchase Programs”). The tenth share repurchase program was approved on February 16, 2017 and commenced in February 2017. Shares that are repurchased by DeVry Group are recorded as Treasury Stock at cost and result in a reduction of Shareholders’ Equity. From time to time, shares of its common stock are delivered back to DeVry Group under a swap arrangement resulting from employees’ exercise of incentive stock options pursuant to the terms of the DeVry Group Stock Incentive Plans (see “Note 5: Stock-Based Compensation”). In addition, shares of its common stock are delivered back to DeVry Group for payment of withholding taxes from employees for vesting RSUs. These shares are recorded as Treasury Stock at cost and result in a reduction of Shareholders’ Equity. Treasury shares are reissued on a monthly basis, at market value, to the DeVry Group Colleague Stock Purchase Plan in exchange for employee payroll deductions. When treasury shares are reissued, DeVry Group uses an average cost method to reduce the Treasury Stock balance. Gains on the difference between the average cost and the reissuance price are credited to Additional Paid-in Capital. Losses on the difference are charged to Additional Paid-in Capital to the extent that previous net gains from reissuance are included therein, otherwise such losses are charged to Retained Earnings. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the amounts of revenue and expense reported during the period. Actual results could differ from those estimates. |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss Accumulated Other Comprehensive Loss is composed of the change in cumulative translation adjustment, primarily at DeVry Brazil, and unrealized gains on available-for-sale marketable securities, net of the effects of income taxes. The Accumulated Other Comprehensive Loss balance at March 31, 2017, consists of $ 37.3 36.5 0.8 0.3 0.2 42.6 41.7 0.9 0.1 0.1 91.5 89.6 1.9 0.2 0.2 |
Advertising Expense | Advertising Expense Advertising costs are recognized as expense in the period in which materials are purchased or services are performed. Advertising expense, which is included in Student Services and Administrative Expense in the Consolidated Statements of Income, was $ 56.2 160.2 57.3 173.0 |
Restructuring Charges | Restructuring Charges DeVry Group’s financial statements include charges related to severance and related benefits for reductions in staff. These charges also include early lease termination or cease-of-use costs and accelerated depreciation and gains and losses on disposals of property and equipment related to campus and administrative office consolidations (see “Note 11: Restructuring Charges”). |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2017-04: “IntangiblesGoodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment.” This guidance was issued to simplify the goodwill impairment test by eliminating Step 2. Instead, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value, not to exceed the total amount of goodwill allocated to the reporting unit. The amendments should be adopted for the annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019 on a prospective basis. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. Management anticipates the adoption will not have a significant impact on DeVry Group’s Consolidated Financial Statements. We expect to early adopt ASU 2017-04 during the fourth quarter of fiscal year 2017. In November 2016, FASB issued ASU No. 2016-18: “Statement of Cash Flows (Topic 230): Restricted Cash.” This guidance was issued to address the diversity that exists in the classification and presentation of changes in restricted cash on the statement of cash flows. The amendments will require that the statement of cash flows explain the change during the period in total cash, cash equivalents and restricted cash. The amendments are effective for the financial statements issued for fiscal years after December 15, 2017, and interim periods within those fiscal years. The amendments will be applied using a retrospective transition method to each period presented. Management anticipates the adoption will not have a significant impact on DeVry Group’s Consolidated Financial Statements. Changes in the restricted cash balance will no longer be included as cash provided by or used in operating activities since these balances will now be included in the beginning and ending balances of cash in the statement of cash flows. We expect to early adopt ASU 2016-18 during the fourth quarter of fiscal year 2017. In August 2016, FASB issued ASU No. 2016-15: “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments.” This guidance was issued to address eight specific cash flow issues with the objective of reducing the existing diversity in practice. The amendments are effective for the financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Management has determined that our current accounting policies align with this guidance. Therefore, this guidance will have no impact on the Consolidated Financial Statements. In June 2016, FASB issued ASU No. 2016-13: “Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This guidance was issued to provide financial statement users with more decision-useful information about the expected losses on financial instruments by replacing the incurred loss impairment methodology with a methodology that reflects expected credit losses by requiring a broader range of reasonable and supportable information to inform credit loss estimates. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Management is evaluating the impact the guidance will have on DeVry Group’s Consolidated Financial Statements when adopted. In March 2016, FASB issued ASU No. 2016-09: “CompensationStock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” This guidance was issued to simplify the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, forfeitures, and classification on the statement of cash flows. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. We will adopt ASU No. 2016-09 in the first quarter of fiscal year 2018. Excess tax benefits and tax deficiencies will no longer be recorded to additional paid-in capital, but rather to income tax expense or benefit in the income statement, which may increase volatility in the income statement. An accounting policy election exists to account for forfeitures as they occur. Also, adoption will require changes to classification of certain stock-based compensation transactions on the statement of cash flows. The cash outflow from employee taxes paid when shares are withheld by the employer will be reclassified from operating activities to financing activities on the statement of cash flows. These changes are not expected to have a significant impact on DeVry Group’s Consolidated Financial Statements. In February 2016, FASB issued ASU No. 2016-02: “Leases (Topic 842).” This guidance was issued to increase transparency and comparability among organizations by recognizing right-to-use assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Management is evaluating the impact the guidance will have on DeVry Group’s Consolidated Financial Statements and believes the adoption will impact the Consolidated Balance Sheet with significant increases in assets and liabilities. In January 2016, FASB issued ASU No. 2016-01: “Financial InstrumentsOverall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” This guidance was issued to enhance the reporting model for financial instruments to provide users of financial statements with more decision-useful information. The guidance eliminates the classification of equity securities into different categories (that is, trading or available-for-sale) and requires equity securities to be measured at fair value with changes in the fair value recognized through net income. The amendments are effective for financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. This guidance will require DeVry Group to record the changes in the fair value of its available-for-sale equity investments through net income. Management anticipates the adoption will not have a significant impact on DeVry Group’s Consolidated Financial Statements. In September 2015, FASB issued ASU No. 2015-16: “Business Combinations (Topic 805): Simplifying Accounting for Measurement-Period Adjustments.” This guidance was issued to simplify the accounting for provisional amounts for items in a business combination for which the accounting is incomplete by the end of the reporting period in which the combination occurs and where the provisional amounts have been adjusted during the measurement period. The amendments in this guidance require an entity to present separately on the face of the income statement or disclose in the notes the portion of the amount recorded in current-period earnings by line item that would have been recorded in previous reporting periods if the adjustment to the provisional amounts had been recognized as of the acquisition date. This guidance requires DeVry Group to record and disclose measurement-period adjustments for business combinations as a period adjustment as opposed to a retroactive adjustment to the opening balance sheet of the acquired entity. The guidance is effective for DeVry Group’s current fiscal year and has had no impact on current year financial reporting. In May 2014, FASB issued ASU No. 2014-09: “Revenue from Contracts with Customers (Topic 606).” This guidance was issued to clarify the principles for recognizing revenue and develop a common revenue standard for GAAP and International Financial Reporting Standards (“IFRS”). The guidance is effective for the fiscal years and interim periods within those years beginning after December 15, 2017. DeVry Group will implement this guidance effective July 1, 2018 using the retrospective approach. Management anticipates the adoption will not have a significant impact on DeVry Group’s Consolidated Financial Statements. |
Reclassifications | Reclassifications In the fourth quarter of fiscal year 2016, we retrospectively adopted ASU No. 2015-17: “Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes.” This guidance was issued to simplify the accounting for classification of deferred taxes on the balance sheet. The guidance eliminates the previous requirement for organizations to present deferred tax assets and liabilities as current and noncurrent in a classified balance sheet. Instead, organizations will now be required to classify all deferred tax assets and liabilities as noncurrent. As a result, we decreased current deferred income tax assets by $ 43.1 24.2 18.8 Beginning in the third quarter of fiscal year 2017, we changed our reportable segments as described in “Note 15: Segment Information.” Prior period amounts have been reclassified to conform to the current reportable segment presentation within the Notes to Consolidated Financial Statements. |
SUMMARY OF SIGNIFICANT ACCOUN23
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Reconciliation of Non-Controlling Interest Balance | The following is a reconciliation of the noncontrolling interest balance (in thousands): Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Balance at Beginning of Period $ 6,720 $ 2,813 $ 5,112 $ 9,620 Net Income Attributable to Noncontrolling Interest 163 5 502 42 Payment for Purchase of Noncontrolling Interest of Subsidiary - - - (3,114) (Decrease) Increase in Redemption Value of Noncontrolling Interest Put Option (283) 711 986 (3,019) Balance at End of Period $ 6,600 $ 3,529 $ 6,600 $ 3,529 |
Reconciliation of Basic Shares to Diluted Shares | The following is a reconciliation of basic shares to diluted shares (in thousands): Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Weighted Average Shares Outstanding 62,811 63,107 62,695 63,378 Unvested Participating RSUs 855 815 855 781 Basic Shares 63,666 63,922 63,550 64,159 Effect of Dilutive Stock Options 600 431 441 318 Diluted Shares 64,266 64,353 63,991 64,477 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of options Activity | The following is a summary of options activity for the nine months ended March 31, 2017: Weighted Weighted Average Aggregate Average Remaining Intrinsic Number of Exercise Contractual Value Options Price Life (in Years) (in thousands) Outstanding at July 1, 2016 3,574,336 $ 32.79 Options Granted 397,700 23.78 Options Exercised (912,734) 22.81 Options Forfeited (12,409) 30.00 Options Expired (24,081) 31.16 Outstanding at March 31, 2017 3,022,812 34.65 5.37 $ 16,948 Exercisable at March 31, 2017 2,029,550 $ 39.68 3.66 $ 5,285 |
Summary of stock appreciation rights activity | The following is a summary of stock appreciation rights activity for the nine months ended March 31, 2017: Weighted Number of Weighted Average Aggregate Stock Average Remaining Intrinsic Appreciation Exercise Contractual Value Rights Price Life (in Years) (in thousands) Outstanding at July 1, 2016 118,065 $ 42.74 Rights Granted - - Rights Exercised (18,565) 30.41 Rights Canceled - - Outstanding at March 31, 2017 99,500 45.04 0.67 $ - Exercisable at March 31, 2017 99,500 $ 45.04 0.67 $ - |
Fair Values of Stock Option Awards Estimated Weighted Average Assumptions | The fair value of DeVry Group’s stock option grants was estimated assuming the following weighted average assumptions: Fiscal Year 2017 2016 Expected Life (in Years) 6.88 6.78 Expected Volatility 42.41 % 41.35 % Risk-free Interest Rate 1.41 % 1.85 % Dividend Yield 1.19 % 1.01 % Pre-vesting Forfeiture Rate 10.00 % 3.00 % |
Summary of Restricted Stock Units Activity | The following is a summary of RSUs activity for the nine months ended March 31, 2017: Weighted Average Number of Grant Date RSUs Fair Value Nonvested at July 1, 2016 1,139,350 $ 27.78 RSUs Granted 648,160 23.89 RSUs Vested (367,839) 27.22 RSUs Forfeited (100,555) 26.94 Nonvested at March 31, 2017 1,319,116 $ 26.09 |
Total Stock-Based Compensation Expense Included in Consolidated Statement of Earnings | The following table shows total stock-based compensation expense included in the Consolidated Statements of Income (in thousands): Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Cost of Educational Services $ 1,267 $ 1,209 $ 4,254 $ 4,477 Student Services and Administrative Expense 2,692 2,568 9,038 9,512 Stock-Based Compensation Expense 3,959 3,777 13,292 13,989 Income Tax Benefit (1,383) (1,439) (4,653) (5,157) Net Stock-Based Compensation Expense $ 2,576 $ 2,338 $ 8,639 $ 8,832 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table presents DeVry Group's assets and liabilities at March 31, 2017, that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in thousands). Level 1 Level 2 Level 3 Cash and Cash Equivalents $ 209,879 $ - $ - Available-for-Sale Investments: Marketable Securities, short-term 3,950 - - Institutional Loans Receivable, Net - 46,284 - Deferred Acquisition Obligations - 28,531 - FIES Long-Term Receivable - 13,633 - Total Financial Assets at Fair Value $ 213,829 $ 88,448 $ - The following table presents DeVry Group's assets and liabilities at June 30, 2016, that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in thousands). Level 1 Level 2 Level 3 Cash and Cash Equivalents $ 308,164 $ - $ - Available-for-Sale Investments: Marketable Securities, short-term 3,609 - - Institutional Loans Receivable, Net - 49,025 - Deferred Acquisition Obligations - 32,121 - FIES Long-Term Receivable - 13,057 - Total Financial Assets at Fair Value $ 311,773 $ 94,203 $ - The following table presents DeVry Group's assets and liabilities at March 31, 2016, that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy (in thousands). Level 1 Level 2 Level 3 Cash and Cash Equivalents $ 330,214 $ - $ - Available-for-Sale Investments: Marketable Securities, short-term 3,528 - - Institutional Loans Receivable, Net - 51,743 - Deferred Acquisition Obligations - 32,860 - FIES Long-Term Receivable - 17,593 - Total Financial Assets at Fair Value $ 333,742 $ 102,196 $ - |
FINANCING RECEIVABLES (Tables)
FINANCING RECEIVABLES (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Receivables [Abstract] | |
Institutional Loan Balances and Related Allowances for Credit Losses | The following table details the institutional loan balances along with the related allowances for credit losses (in thousands). March 31, 2017 June 30, 2016 March 31, 2016 Gross Institutional Loans $ 57,947 $ 69,825 $ 71,915 Allowance for Credit Losses: Balance at July 1 $ (20,800) $ (20,630) $ (20,630) Charge-offs and Adjustments 16,820 7,388 6,290 Recoveries (497) (461) (141) Additional Provision (7,186) (7,097) (5,691) Balance at End of Period (11,663) (20,800) (20,172) Net Institutional Loans $ 46,284 $ 49,025 $ 51,743 |
Credit Risk Profiles of Institutional Student Loan Balances | The following tables detail the credit risk profiles of the institutional loan balances based on payment activity and an aging analysis of past due institutional loans (in thousands). March 31, June 30, March 31, 2017 2016 2016 Institutional Loans: Performing $ 47,536 $ 50,045 $ 52,775 Nonperforming 10,411 19,780 19,140 Total Institutional Loans $ 57,947 $ 69,825 $ 71,915 |
Institutional Student Loans Past Due | Greater 30-59 60-89 90-119 Than 120 Total Days Past Days Past Days Past Days Past Total Institutional Due Due Due Due Past Due Current Loans Institutional Loans: March 31, 2017 $ 5,784 $ 1,318 $ 829 $ 10,411 $ 18,342 $ 39,605 $ 57,947 June 30, 2016 $ 8,038 $ 1,512 $ 924 $ 19,780 $ 30,254 $ 39,571 $ 69,825 March 31, 2016 $ 5,882 $ 2,896 $ 1,130 $ 19,140 $ 29,048 $ 42,867 $ 71,915 |
DIVIDENDS AND SHARE REPURCHAS27
DIVIDENDS AND SHARE REPURCHASE PROGRAMS (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Treasury Stock, Number of Shares and Restriction Disclosures [Abstract] | |
Shares Repurchased Under Programs | DeVry Group has repurchased shares under the following programs as of March 31, 2017: Date Shares Total Cost Authorized Repurchased (in millions) November 15, 2006 908,399 $ 35.0 May 13, 2008 1,027,417 50.0 November 11, 2009 972,205 50.0 August 11, 2010 1,103,628 50.0 November 10, 2010 968,105 50.0 May 20, 2011 2,396,143 100.0 November 2, 2011 3,478,299 100.0 August 29, 2012 2,005,317 62.7 December 15, 2015 1,672,250 36.6 February 16, 2017 302,214 10.0 Totals 14,833,977 $ 544.3 |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Association Of Certified Anti-Money Laundering Specialists [Member] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed at the date of acquisition (in thousands). July 1, 2016 Current Assets $ 24,895 Property and Equipment 432 Other Long-term Assets 3,200 Intangible Assets 88,600 Goodwill 274,620 Total Assets Acquired 391,747 Liabilities Assumed 37,619 Net Assets Acquired $ 354,128 |
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination | The preliminary values and estimated useful lives by asset type are as follows (in thousands): July 1, 2016 Value Estimated Assigned Useful Life Customer Relationships $ 42,500 10 years Curriculum 5,000 3 years Non-compete Agreements 700 1 year Proprietary Technology 500 4 years |
Faculdade de Imperatriz [Member] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed at the date of acquisition (in thousands). June 1, 2016 Current Assets $ 1,626 Property and Equipment 291 Intangible Assets 2,652 Goodwill 4,997 Total Assets Acquired 9,566 Liabilities Assumed 2,756 Net Assets Acquired $ 6,810 |
Grupo Ibmec Educacional S A [Member] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the fair values of the assets acquired and liabilities assumed at the date of acquisition (in thousands). December 15, 2015 Current Assets $ 27,615 Property and Equipment 17,968 Other Long-term Assets 2,639 Intangible Assets 59,275 Goodwill 107,888 Total Assets Acquired 215,385 Liabilities Assumed 24,423 Net Assets Acquired $ 190,962 |
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination | The values and estimated useful lives by asset type are as follows (in thousands): December 15, 2015 Value Estimated Assigned Useful Life Student Relationships $ 4,360 5 years Curriculum 1,821 5 years |
INTANGIBLE ASSETS (Tables)
INTANGIBLE ASSETS (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | Intangible assets consist of the following (in thousands): March 31, 2017 Gross Weighted Average Carrying Accumulated Amortization Amount Amortization Period Amortizable Intangible Assets: Student Relationships $ 13,014 $ (9,149) 5 Years Customer Relationships 42,900 (3,735) 10 Years Non-compete Agreements 1,640 (1,439) 3 Years Curriculum/Software 8,113 (2,699) 4 Years Franchise Contracts 11,087 (1,335) 18 Years Clinical Agreements 411 (102) 15 Years Trade Names 1,196 (957) 10 Years Proprietary Technology 500 (94) 4 Years Total $ 78,861 $ (19,510) Indefinite-Lived Intangible Assets: Trade Names $ 111,008 Trademarks 1,645 Ross Title IV Eligibility and Accreditations 14,100 Intellectual Property 13,940 Chamberlain Title IV Eligibility and Accreditations 1,200 Carrington Title IV Eligibility and Accreditations 20,200 AUC Title IV Eligibility and Accreditations 100,000 DeVry Brazil Accreditation 101,505 Total $ 363,598 June 30, 2016 Gross Carrying Accumulated Amount Amortization Amortizable Intangible Assets: Student Relationships $ 14,530 $ (7,150) Customer Relationships 400 (170) Non-compete Agreements 940 (799) Curriculum/Software 4,038 (1,914) Franchise Contracts 10,968 (863) Clinical Agreements 406 (81) Trade Names 1,183 (858) Total $ 32,465 $ (11,835) Indefinite-Lived Intangible Assets: Trade Names $ 70,731 Trademarks 1,645 Ross Title IV Eligibility and Accreditations 14,100 Intellectual Property 13,940 Chamberlain Title IV Eligibility and Accreditations 1,200 Carrington Title IV Eligibility and Accreditations 20,200 AUC Title IV Eligibility and Accreditations 100,000 DeVry Brazil Accreditation 100,410 Total $ 322,226 March 31, 2016 Gross Carrying Accumulated Amount Amortization Amortizable Intangible Assets: Student Relationships $ 13,082 $ (5,430) Customer Relationships 400 (160) Test Prep Relationships 900 (900) Non-compete Agreements 940 (752) Curriculum/Software 3,881 (1,786) Outplacement Relationships 3,900 (1,959) Franchise Contracts 9,875 (640) Clinical Agreements 366 (67) Trade Names 1,064 (746) Total $ 34,408 $ (12,440) Indefinite-Lived Intangible Assets: Trade Names $ 66,808 Trademarks 1,645 Ross Title IV Eligibility and Accreditations 14,100 Intellectual Property 13,940 Chamberlain Title IV Eligibility and Accreditations 1,200 Carrington Title IV Eligibility and Accreditations 60,700 AUC Title IV Eligibility and Accreditations 100,000 DeVry Brazil Accreditation 90,685 Total $ 349,078 |
Estimated Amortization Expense for Amortized Intangible Assets | Estimated amortization expense for amortizable intangible assets for the next five fiscal years ending June 30 and in the aggregate, by reporting unit, is as follows (in thousands): Fiscal Year DeVry Brazil Becker Total 2017 $ 3,721 $ 7,482 $ 11,203 2018 2,994 6,501 9,495 2019 2,152 6,422 8,574 2020 1,515 4,671 6,186 2021 949 4,440 5,389 Thereafter 7,326 19,686 27,012 |
Changes in Carrying Amount of Goodwill, by Segment | The table below summarizes goodwill balances by reporting unit (in thousands): March 31, June 30 March 31, Reporting Unit 2017 2016 2016 Chamberlain $ 4,716 $ 4,716 $ 4,716 AUC 68,321 68,321 68,321 RUSM and RUSVM 237,173 237,173 237,173 Becker 306,444 32,043 32,386 DeVry Brazil 222,151 223,558 194,409 DeVry University 22,196 22,196 22,196 Carrington - - 5,811 Total $ 861,001 $ 588,007 $ 565,012 The table below summarizes goodwill balances by reporting segment (in thousands): March 31, June 30, March 31, Reporting Segment 2017 2016 2016 Medical and Healthcare $ 310,210 $ 310,210 $ 310,210 Professional Education 306,444 32,043 32,386 Technology and Business 222,151 223,558 194,409 U.S. Traditional Postsecondary 22,196 22,196 28,007 Total $ 861,001 $ 588,007 $ 565,012 The table below summarizes the changes in the carrying amount of goodwill by segment (in thousands): U.S. Traditional Postsecondary Medical Technology Accumulated and Professional and Impairment Healthcare Education Business Gross Losses Total Balance at June 30, 2014 $ 310,210 $ 33,217 $ 55,472 $ 207,913 $ (86,933) $ 519,879 Acquisitions - - 55,915 - - 55,915 Foreign exchange rate changes - (420) (23,045) - - (23,465) Balance at June 30, 2015 310,210 32,797 88,342 207,913 (86,933) 552,329 Purchase Accounting Adjustments - - 4,575 - - 4,575 Acquisitions - - 108,246 - - 108,246 Impairments - - - - (92,973) (92,973) Foreign exchange rate changes - (411) (6,754) - - (7,165) Balance at March 31, 2016 310,210 32,386 194,409 207,913 (179,906) 565,012 Acquisitions - - 7,761 - - 7,761 Impairments - - - - (5,811) (5,811) Foreign exchange rate changes - (343) 21,388 - - 21,045 Balance at June 30, 2016 310,210 32,043 223,558 207,913 (185,717) 588,007 Purchase Accounting Adjustments - - (3,122) - - (3,122) Acquisitions - 274,620 - - - 274,620 Foreign exchange rate changes - (219) 1,715 - - 1,496 Balance at March 31, 2017 $ 310,210 $ 306,444 $ 222,151 $ 207,913 $ (185,717) $ 861,001 |
Summary of Indefinite-Lived Intangible Assets Balances by Reporting Segment | The table below summarizes the indefinite-lived intangible asset balances by reporting segment (in thousands): March 31, June 30, March 31, Reporting Segment 2017 2016 2016 Medical and Healthcare $ 137,500 $ 137,500 $ 137,500 Professional Education 67,812 27,912 27,912 Technology and Business 136,441 134,969 121,321 U.S. Traditional Postsecondary 21,845 21,845 62,345 Total $ 363,598 $ 322,226 $ 349,078 |
RESTRUCTURING CHARGES (Tables)
RESTRUCTURING CHARGES (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs | These pre-tax restructuring charges by segment were as follows (in thousands): Three Months Ended March 31, 2017 Nine Months Ended March 31, 2017 Real Termination Real Termination Estate Benefits Total Estate Benefits Total Medical and Healthcare $ 137 $ 530 $ 667 $ 137 $ 530 $ 667 U.S. Traditional Postsecondary 2,347 3,345 5,692 9,835 3,345 13,180 Home Office and Other (222) 1,634 1,412 1,706 2,315 4,021 Total $ 2,262 $ 5,509 $ 7,771 $ 11,678 $ 6,190 $ 17,868 Three Months Ended March 31, 2016 Nine Months Ended March 31, 2016 Real Termination Real Termination Estate Benefits Total Estate Benefits Total Professional Education $ 300 $ - $ 300 $ 300 $ - $ 300 U.S. Traditional Postsecondary 729 1,844 2,573 31,901 7,669 39,570 Total $ 1,029 $ 1,844 $ 2,873 $ 32,201 $ 7,669 $ 39,870 |
Schedule of Restructuring Reserve by Type of Cost | The following table summarizes the separation and restructuring plan activity for the fiscal years 2017 and 2016, for which cash payments are required (in thousands): Liability balance at June 30, 2015 $ 26,992 Increase in liability (separation and other charges) 67,495 Reduction in liability (payments and adjustments) (46,264) Liability balance at June 30, 2016 48,223 Increase in liability (separation and other charges) 14,889 Reduction in liability (payments and adjustments) (23,074) Liability balance at March 31, 2017 $ 40,038 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Tabulation of Business Segment Information Based on Current Segmentation | Summary financial information by reporting segment is as follows (in thousands): Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Revenue: Medical and Healthcare $ 208,153 $ 210,215 $ 609,331 $ 590,616 Professional Education 29,810 23,683 91,906 71,417 Technology and Business 61,810 48,062 193,437 121,405 U.S. Traditional Postsecondary 152,951 193,008 465,666 590,643 Intersegment Elimination and Other (635) (747) (2,009) (2,245) Total Consolidated Revenue $ 452,089 $ 474,221 $ 1,358,331 $ 1,371,836 Operating Income (Loss): Medical and Healthcare $ 50,150 $ 57,450 $ 146,166 $ 140,920 Professional Education 2,619 5,905 8,810 15,638 Technology and Business 5,358 (1,583) 16,864 (1,447) U.S. Traditional Postsecondary (1) (5,724) 2,942 (21,411) (132,827) Home Office and Other (1) (5,110) (3,867) (65,183) (9,569) Total Consolidated Operating Income $ 47,293 $ 60,847 $ 85,246 $ 12,715 Segment Assets: Medical and Healthcare $ 888,413 $ 830,493 $ 888,413 $ 830,493 Professional Education 450,769 109,478 450,769 109,478 Technology and Business 609,624 504,640 609,624 504,640 U.S. Traditional Postsecondary 258,810 570,976 258,810 570,976 Home Office and Other (2) 110,193 81,472 110,193 81,472 Total Consolidated Assets $ 2,317,809 $ 2,097,059 $ 2,317,809 $ 2,097,059 Additions to Long-Lived Assets: Medical and Healthcare $ 3,574 $ 2,798 $ 10,418 $ 16,571 Professional Education 66 220 363,724 815 Technology and Business 4,882 5,557 12,495 194,111 U.S. Traditional Postsecondary 1,679 2,945 5,080 14,182 Home Office and Other 1,922 2,080 4,464 9,667 Total Consolidated Additions to Long-Lived Assets $ 12,123 $ 13,600 $ 396,181 $ 235,346 Reconciliation to Consolidated Financial Statements: Capital Expenditures $ 12,123 $ 9,956 $ 32,529 $ 51,004 Increase in Capital Assets from Acquisitions - - 4,913 13,487 Increase in Intangible Assets and Goodwill - 3,644 358,739 170,855 Total Increase in Consolidated Long-Lived Assets $ 12,123 $ 13,600 $ 396,181 $ 235,346 Depreciation Expense: Medical and Healthcare $ 6,652 $ 7,526 $ 19,850 $ 21,057 Professional Education 119 66 466 549 Technology and Business 2,881 1,272 6,991 3,535 U.S. Traditional Postsecondary 5,773 7,805 17,689 24,719 Home Office and Other 2,936 3,310 8,932 9,489 Total Consolidated Depreciation Expense $ 18,361 $ 19,979 $ 53,928 $ 59,349 Intangible Asset Amortization Expense: Professional Education $ 1,893 $ 147 $ 5,679 $ 447 Technology and Business 899 1,200 2,808 3,325 U.S. Traditional Postsecondary - 65 - 190 Total Consolidated Amortization Expense $ 2,792 $ 1,412 $ 8,487 $ 3,962 (1) U.S. Traditional Postsecondary and Home Office and Other Operating Income includes $ 4.1 52.2 (2) In addition to the change in reportable segments, Home Office and Other Segment Assets and Total Consolidated Assets in fiscal year 2016 have been revised to reflect the reclassification of deferred tax assets and liabilities related to adoption of ASU No. 2015-17 "Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes." |
Revenues and Long-Lived Assets by Geographic Area | Revenue and long-lived assets by geographic area are as follows (in thousands): Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Revenue from Unaffiliated Customers: Domestic Operations $ 305,639 $ 336,927 $ 901,261 $ 982,656 International Operations: Dominica, St. Kitts and St. Maarten 83,237 88,263 260,083 262,963 Brazil 61,810 48,063 193,437 121,405 Other 1,403 968 3,550 4,812 Total International 146,450 137,294 457,070 389,180 Total Consolidated Revenue $ 452,089 $ 474,221 $ 1,358,331 $ 1,371,836 Long-Lived Assets: Domestic Operations $ 260,101 $ 309,281 $ 260,101 $ 309,281 International Operations: Dominica, St. Kitts and St. Maarten 188,511 183,146 188,511 183,146 Brazil 117,412 92,779 117,412 92,779 Other 3,746 27 3,746 27 Total International 309,669 275,952 309,669 275,952 Total Consolidated Long-Lived Assets $ 569,770 $ 585,233 $ 569,770 $ 585,233 |
ASSETS HELD FOR SALE - Addition
ASSETS HELD FOR SALE - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | |
Disposal Group, Including Discontinued Operation, Property, Plant and Equipment | $ 11,280 | $ 0 | $ 11,280 | $ 0 | $ 0 |
Impairment of Long-Lived Assets to be Disposed of | $ 0 | $ 0 | $ 4,764 | $ 0 |
REGULATORY SETTLEMENTS - Additi
REGULATORY SETTLEMENTS - Additional Information (Detail) $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($) | |
Inquiry Settlement | $ 2,250 |
Inquiry Settlement Penalties | 500 |
Inquiry Settlement Charge | 2,750 |
Letter of Credit [Member] | |
Letter Of Credit Title IV Disbursement, Amount | 68,400 |
Permanent Injunction And Monetary Judgment Agreement [Member] | |
Settlement Payment | 49,400 |
Forgivable Of Loan | 30,400 |
Forgivable Of Account Receivable | 20,200 |
Regulatory Settlement Charge | 56,300 |
Loan Write Offs | 4,100 |
Business Technology And Management [Member] | |
Regulatory Settlement Charge | 4,100 |
Home Office And Other [Member] | |
Regulatory Settlement Charge | $ 52,200 |
SUMMARY OF SIGNIFICANT ACCOUN34
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Reconciliation of Non-Controlling Interest Balance) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Noncontrolling Interest [Line Items] | ||||
Balance at Beginning of Period | $ 6,720 | $ 2,813 | $ 5,112 | $ 9,620 |
Net Income Attributable to Noncontrolling Interest | 163 | 5 | 502 | 42 |
Payment for Purchase of Noncontrolling Interest of Subsidiary | 0 | 0 | 0 | (3,114) |
(Decrease) Increase in Redemption Value of Noncontrolling Interest Put Option | (283) | 711 | 986 | (3,019) |
Balance at End of Period | $ 6,600 | $ 3,529 | $ 6,600 | $ 3,529 |
SUMMARY OF SIGNIFICANT ACCOUN35
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Reconciliation of Basic Shares to Diluted Shares) (Detail) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||||
Weighted Average Shares Outstanding | 62,811 | 63,107 | 62,695 | 63,378 |
Unvested Participating RSUs | 855 | 815 | 855 | 781 |
Basic Shares | 63,666 | 63,922 | 63,550 | 64,159 |
Effect of Dilutive Stock Options | 600 | 431 | 441 | 318 |
Diluted Shares | 64,266 | 64,353 | 63,991 | 64,477 |
SUMMARY OF SIGNIFICANT ACCOUN36
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | |
Summary Of Significant Accounting Policies [Line Items] | |||||
Minimum protective endowment related to continuing operation in Pennsylvania | $ 500,000 | $ 500,000 | |||
Reserves related to uncollectible accounts and refunds | 51,200,000 | $ 65,900,000 | 51,200,000 | $ 65,900,000 | $ 64,500,000 |
Net balance of capitalized software development costs | $ 13,300,000 | $ 21,700,000 | $ 13,300,000 | $ 21,700,000 | 18,300,000 |
Anti-dilutive shares excluded from computations of earnings per share | 1,670,000 | 2,828,000 | 2,514,000 | 2,765,000 | |
Cumulative translation losses | $ 37,300,000 | $ 91,500,000 | $ 37,300,000 | $ 91,500,000 | 42,600,000 |
Advertising expense | 56,200,000 | 57,300,000 | 160,200,000 | 173,000,000 | |
Provision for Doubtful Accounts | 67,210,000 | 61,710,000 | |||
Impairment of Leasehold | 3,600,000 | 12,200,000 | |||
Provisions For Refund Payments | 10,900,000 | 11,500,000 | 35,400,000 | 34,700,000 | |
Deferred Tax Liabilities, Net, Noncurrent | 30,228,000 | 27,692,000 | 30,228,000 | 27,692,000 | 29,936,000 |
Federal Trade Commission Settlement Agreement [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Allowance for Doubtful Accounts Receivable, Write-offs | 24,200,000 | ||||
Accounting Standards Update 2015-17 [Member] | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Deferred Tax Assets, Net, Current | 43,100,000 | 43,100,000 | |||
Deferred Tax Assets, Net, Noncurrent | 24,200,000 | 24,200,000 | |||
Deferred Tax Liabilities, Net, Noncurrent | 18,800,000 | 18,800,000 | |||
Noncontrolling Interest | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Cumulative translation losses | 800,000 | 1,900,000 | 800,000 | 1,900,000 | 900,000 |
Educational Services | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Provision for Doubtful Accounts | $ 11,600,000 | $ 9,600,000 | $ 31,800,000 | $ 27,000,000 | |
Perkins Student Loan Fund | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Percentage of Contributions | 33.00% | 33.00% | |||
Allowances for expected losses on loan collections | $ 2,600,000 | $ 2,600,000 | |||
DeVry Brazil | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Ownership interest of parent in subsidiary | 2.10% | 2.10% | 2.10% | 2.10% | |
DeVry Education Group Inc. | |||||
Summary Of Significant Accounting Policies [Line Items] | |||||
Ownership interest of parent in subsidiary | 97.90% | 97.90% | 97.90% | 97.90% | |
Cumulative translation losses | $ 36,500,000 | $ 89,600,000 | $ 36,500,000 | $ 89,600,000 | 41,700,000 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain (Loss), before Tax, Total | 300,000 | 200,000 | 300,000 | 200,000 | 100,000 |
Tax effect on unrealized gains on available-for-sale securities | $ 200,000 | $ 200,000 | $ 200,000 | $ 200,000 | $ 100,000 |
STOCK-BASED COMPENSATION (Summa
STOCK-BASED COMPENSATION (Summary of Options Activity) (Detail) - Stock Option $ / shares in Units, $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($)$ / sharesshares | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |
Options, Outstanding at beginning of period | shares | 3,574,336 |
Options, Granted | shares | 397,700 |
Options, Exercised | shares | (912,734) |
Options Forfeited | shares | (12,409) |
Options Expired | shares | (24,081) |
Options, Outstanding at end of period | shares | 3,022,812 |
Options, Exercisable at end of period | shares | 2,029,550 |
Weighted Average Exercise Price at beginning of period | $ / shares | $ 32.79 |
Weighted Average Exercise Price, Options Granted | $ / shares | 23.78 |
Weighted Average Exercise Price, Options Exercised | $ / shares | 22.81 |
Weighted Average Exercise Price, Options Forfeited | $ / shares | 30 |
Weighted Average Exercise Price, Options Expired | $ / shares | 31.16 |
Weighted Average Outstanding Price at end of period | $ / shares | 34.65 |
Weighted Average Exercise Price, Exercisable at end of period | $ / shares | $ 39.68 |
Weighted Average Remaining Contractual Life, Outstanding at end of period | 5 years 4 months 13 days |
Weighted Average Remaining Contractual Life, Exercisable at end of period | 3 years 7 months 28 days |
Aggregate Intrinsic Value, Outstanding at End of period | $ | $ 16,948 |
Aggregate Intrinsic Value, Exercisable at end of period | $ | $ 5,285 |
STOCK-BASED COMPENSATION (Sum38
STOCK-BASED COMPENSATION (Summary of Stock Appreciation Rights Activity) (Detail) - Stock Appreciation Rights (SARs) [Member] $ / shares in Units, $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($)$ / sharesshares | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |
Outstanding at beginning of period | shares | 118,065 |
Rights Granted | shares | 0 |
Rights Exercised | shares | (18,565) |
Rights Canceled | shares | 0 |
Outstanding at end of period | shares | 99,500 |
Exercisable at end of period | shares | 99,500 |
Weighted Average Grant Date Fair Value, Nonvested beginning balance | $ / shares | $ 42.74 |
Weighted Average Exercise Price Rights Granted | $ / shares | 0 |
Weighted Average Exercise Price Rights Exercised | $ / shares | 30.41 |
Weighted Average Exercise Price Rights Canceled | $ / shares | 0 |
Weighted Average Grant Date Fair Value, Nonvested ending balance | $ / shares | 45.04 |
Weighted Average Exercise Price, Exercisable at end of period | $ / shares | $ 45.04 |
Weighted Average Remaining Contractual Life, Outstanding at end of period | 8 months 1 day |
Weighted Average Remaining Contractual Life, Exercisable at end of period | 8 months 1 day |
Aggregate Intrinsic Value, Outstanding at end of period | $ | $ 0 |
Aggregate Intrinsic Value, Exercisable at end of period | $ | $ 0 |
STOCK-BASED COMPENSATION (Fair
STOCK-BASED COMPENSATION (Fair Values of Stock Option Awards Weighted Average Assumptions) (Detail) | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected Life (in Years) | 6 years 10 months 17 days | 6 years 9 months 11 days |
Expected Volatility | 42.41% | 41.35% |
Risk-free Interest Rate | 1.41% | 1.85% |
Dividend Yield | 1.19% | 1.01% |
Pre-vesting Forfeiture Rate | 10.00% | 3.00% |
STOCK-BASED COMPENSATION (Sum40
STOCK-BASED COMPENSATION (Summary of Restricted Stock Units Activity) (Detail) - Restricted Stock Units (RSUs) [Member] - $ / shares | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Outstanding at beginning of period | 1,139,350 | |
Restricted Stock Units Outstanding, Shares Granted | 648,160 | |
Restricted Stock Units Outstanding, Shares Vested | (367,839) | |
Restricted Stock Units Outstanding, Shares Forfeited | (100,555) | |
Outstanding at end of period | 1,319,116 | |
Weighted Average Grant Date Fair Value, Nonvested beginning balance | $ 27.78 | |
Weighted Average Grant Date Fair Value, Shares Granted | 23.89 | $ 25.84 |
Weighted Average Grant Date Fair Value, Shares Vested | 27.22 | |
Weighted Average Grant Date Fair Value, Shares Forfeited | 26.94 | |
Weighted Average Grant Date Fair Value, Nonvested ending balance | $ 26.09 |
STOCK-BASED COMPENSATION (Total
STOCK-BASED COMPENSATION (Total Stock-Based Compensation Expense Included in Consolidated Statement of Income) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-Based Compensation Expense | $ 3,959 | $ 3,777 | $ 13,292 | $ 13,989 |
Income Tax Benefit | (1,383) | (1,439) | (4,653) | (5,157) |
Net Stock-Based Compensation Expense | 2,576 | 2,338 | 8,639 | 8,832 |
Cost of Educational Services | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-Based Compensation Expense | 1,267 | 1,209 | 4,254 | 4,477 |
Student Services And Administrative Expense | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-Based Compensation Expense | $ 2,692 | $ 2,568 | $ 9,038 | $ 9,512 |
STOCK-BASED COMPENSATION - Addi
STOCK-BASED COMPENSATION - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total intrinsic value of options exercised | $ 5.5 | $ 0.1 |
Total pre-tax unrecognized compensation costs related to non-vested awards | $ 21.8 | |
Total pre-tax unrecognized compensation costs related to non-vested awards expected to be recognized, years | 2 years 4 months 24 days | |
Total fair value of options and Restricted Stock Units vested | $ 13 | $ 15.9 |
Stock Incentive Plans | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted average estimated grant date fair values, for options granted at market price, per share | $ 9.09 | $ 10.17 |
Common Stock, Capital Shares Reserved for Future Issuance | 6,518,677 | |
Restricted Stock Units | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 23.89 | $ 25.84 |
Restricted Stock Units Outstanding, Shares Granted | 648,160 | |
Performance Based Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted Stock Units Outstanding, Shares Granted | 223,230 | |
Non-Performance Based Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted Stock Units Outstanding, Shares Granted | 424,930 |
FAIR VALUE MEASUREMENTS (Assets
FAIR VALUE MEASUREMENTS (Assets Measured at Fair Value on Recurring Basis) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 |
Available-for-Sale Investments: | |||
Marketable Securities, short-term | $ 3,950 | $ 3,609 | $ 3,528 |
Institutional Loans Receivable, Net | 46,284 | 49,025 | 51,743 |
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and Cash Equivalents | 209,879 | 308,164 | 330,214 |
Available-for-Sale Investments: | |||
Marketable Securities, short-term | 3,950 | 3,609 | 3,528 |
Institutional Loans Receivable, Net | 0 | 0 | 0 |
Deferred Acquisition Obligations | 0 | 0 | 0 |
FIES Long-Term Receivable | 0 | 0 | 0 |
Total Financial Assets at Fair Value | 213,829 | 311,773 | 333,742 |
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and Cash Equivalents | 0 | 0 | 0 |
Available-for-Sale Investments: | |||
Marketable Securities, short-term | 0 | 0 | 0 |
Institutional Loans Receivable, Net | 46,284 | 49,025 | 51,743 |
Deferred Acquisition Obligations | 28,531 | 32,121 | 32,860 |
FIES Long-Term Receivable | 13,633 | 13,057 | 17,593 |
Total Financial Assets at Fair Value | 88,448 | 94,203 | 102,196 |
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and Cash Equivalents | 0 | 0 | 0 |
Available-for-Sale Investments: | |||
Marketable Securities, short-term | 0 | 0 | 0 |
Institutional Loans Receivable, Net | 0 | 0 | 0 |
Deferred Acquisition Obligations | 0 | 0 | 0 |
FIES Long-Term Receivable | 0 | 0 | 0 |
Total Financial Assets at Fair Value | $ 0 | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS - Addit
FAIR VALUE MEASUREMENTS - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Disposal Group, Including Discontinued Operation, Property, Plant and Equipment | $ 11,280 | $ 0 | $ 11,280 | $ 0 | $ 0 |
Impairment of Long-Lived Assets to be Disposed of | 0 | 0 | 4,764 | 0 | |
Accrued Expenses [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Deferred Acquisition Obligations | 15,800 | 12,200 | 15,800 | 12,200 | 7,700 |
Deferred Rent and Other Liabilities [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Deferred Acquisition Obligations | $ 12,800 | $ 20,700 | $ 12,800 | $ 20,700 | $ 24,400 |
FINANCING RECEIVABLES (Institut
FINANCING RECEIVABLES (Institutional Loan Balances and Related Allowances for Credit Losses) (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | |
Financing Receivables [Line Items] | |||
Gross Institutional Loans | $ 57,947 | $ 71,915 | $ 69,825 |
Allowance for Credit Losses: | |||
Balance at July 1 | (20,800) | (20,630) | (20,630) |
Charge-offs and Adjustments | 16,820 | 6,290 | 7,388 |
Recoveries | (497) | (141) | (461) |
Additional Provision | (7,186) | (5,691) | (7,097) |
Balance at End of Period | (11,663) | (20,172) | (20,800) |
Net Institutional Loans | $ 46,284 | $ 51,743 | $ 49,025 |
FINANCING RECEIVABLES (Credit R
FINANCING RECEIVABLES (Credit Risk Profiles of Institutional Loan Balance) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 |
Financing Receivables [Line Items] | |||
Total Institutional Loans | $ 57,947 | $ 69,825 | $ 71,915 |
Credit Risk Profiles Of Institutional Loans | |||
Financing Receivables [Line Items] | |||
Total Institutional Loans | 57,947 | 69,825 | 71,915 |
Performing | Credit Risk Profiles Of Institutional Loans | |||
Financing Receivables [Line Items] | |||
Total Institutional Loans | 47,536 | 50,045 | 52,775 |
Nonperforming | Credit Risk Profiles Of Institutional Loans | |||
Financing Receivables [Line Items] | |||
Total Institutional Loans | $ 10,411 | $ 19,780 | $ 19,140 |
FINANCING RECEIVABLES (Instit47
FINANCING RECEIVABLES (Institutional Loans Past Due) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Institutional Loans, Past Due | $ 18,342 | $ 30,254 | $ 29,048 |
Institutional Loans, Current | 39,605 | 39,571 | 42,867 |
Total Institutional Loans | 57,947 | 69,825 | 71,915 |
Financing Receivables, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Institutional Loans, Past Due | 5,784 | 8,038 | 5,882 |
Financing Receivables, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Institutional Loans, Past Due | 1,318 | 1,512 | 2,896 |
Financing Receivables 90 To 119 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Institutional Loans, Past Due | 829 | 924 | 1,130 |
Financing Receivables Greater Than 120 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Institutional Loans, Past Due | $ 10,411 | $ 19,780 | $ 19,140 |
FINANCING RECEIVABLES - Additio
FINANCING RECEIVABLES - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | |||
Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 | Jun. 30, 2015 | |
Financing Receivables [Line Items] | ||||
Number of days past due, to consider loans as nonperforming | 120 days | |||
Financing Receivable Allowance For Credit Losses | $ 11,663 | $ 20,800 | $ 20,172 | $ 20,630 |
Notes Receivable Gross | 57,947 | 69,825 | 71,915 | |
Federal Trade Commission Settlement Agreement [Member] | Institutional Loan [Member] | ||||
Financing Receivables [Line Items] | ||||
Financing Receivable Allowance For Credit Losses | 13,400 | |||
Notes Receivable Gross | 17,500 | |||
Forgivable Of Loan | 12,900 | |||
Nonperforming loan | ||||
Financing Receivables [Line Items] | ||||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 10,400 | 19,800 | 19,100 | |
Impaired Financing Receivable, Related Allowance | 10,200 | 19,700 | 18,800 | |
Accounts Receivable | ||||
Financing Receivables [Line Items] | ||||
Net Institutional Student Loans, classified as Accounts Receivable | 18,600 | 21,700 | 25,900 | |
Other Assets | ||||
Financing Receivables [Line Items] | ||||
Net Institutional Student Loans, classified as Other Assets | $ 27,700 | $ 27,300 | $ 25,800 |
DIVIDENDS AND SHARE REPURCHAS49
DIVIDENDS AND SHARE REPURCHASE PROGRAMS (Shares Repurchased under Programs) (Detail) $ in Millions | 9 Months Ended |
Mar. 31, 2017USD ($)shares | |
Stock Repurchase Programs Total | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 14,833,977 |
Total Cost | $ | $ 544.3 |
Authorized on November 15, 2006 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 908,399 |
Total Cost | $ | $ 35 |
Authorized on May 13, 2008 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 1,027,417 |
Total Cost | $ | $ 50 |
Authorized on November 11, 2009 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 972,205 |
Total Cost | $ | $ 50 |
Authorized on August 11, 2010 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 1,103,628 |
Total Cost | $ | $ 50 |
Authorized on November 10, 2010 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 968,105 |
Total Cost | $ | $ 50 |
Authorized on May 20, 2011 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 2,396,143 |
Total Cost | $ | $ 100 |
Authorized on November 2, 2011 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 3,478,299 |
Total Cost | $ | $ 100 |
Authorized On August 29, 2012 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 2,005,317 |
Total Cost | $ | $ 62.7 |
Authorized On December 15, 2015 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 1,672,250 |
Total Cost | $ | $ 36.6 |
Authorized On February 16, 2017 | |
Share Repurchases [Line Items] | |
Shares Repurchased | shares | 302,214 |
Total Cost | $ | $ 10 |
DIVIDENDS AND SHARE REPURCHAS50
DIVIDENDS AND SHARE REPURCHASE PROGRAMS - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 9 Months Ended | ||||
Dec. 22, 2016 | Jun. 24, 2016 | Dec. 23, 2015 | Mar. 31, 2017 | Feb. 16, 2017 | Dec. 15, 2015 | |
Ninth share repurchase plan [Member] | ||||||
Share Repurchases [Line Items] | ||||||
Treasury Stock Shares Acquired | 802,948 | |||||
Treasury Stock Value Acquired Cost Method | $ 20.5 | |||||
Tenth share repurchase plan [Member] | ||||||
Share Repurchases [Line Items] | ||||||
Authorized amount for repurchase | $ 10 | |||||
Treasury Stock Shares Acquired | 302,214 | |||||
Maximum | Ninth share repurchase plan [Member] | ||||||
Share Repurchases [Line Items] | ||||||
Authorized amount for repurchase | $ 100 | |||||
Maximum | Tenth share repurchase plan [Member] | ||||||
Share Repurchases [Line Items] | ||||||
Authorized amount for repurchase | $ 300 | |||||
DeVry Group [Member] | ||||||
Share Repurchases [Line Items] | ||||||
Payments of Dividends | $ 11.4 | $ 11.6 | $ 11.6 |
BUSINESS COMBINATIONS (Estimate
BUSINESS COMBINATIONS (Estimated Fair Values of Assets Acquired and Liabilities Assumed) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jul. 02, 2016 | Jun. 30, 2016 | Jun. 01, 2016 | Mar. 31, 2016 | Dec. 15, 2015 |
Business Acquisition [Line Items] | ||||||
Goodwill | $ 861,001 | $ 588,007 | $ 565,012 | |||
Association Of Certified Anti-Money Laundering Specialists [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Current Assets | $ 24,895 | |||||
Property and Equipment | 432 | |||||
Other Long-term Assets | 3,200 | |||||
Intangible Assets | 88,600 | |||||
Goodwill | 274,620 | |||||
Total Assets Acquired | 391,747 | |||||
Liabilities Assumed | 37,619 | |||||
Net Assets Acquired | $ 354,128 | |||||
Faculdade de Imperatriz [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Current Assets | $ 1,626 | |||||
Property and Equipment | 291 | |||||
Intangible Assets | 2,652 | |||||
Goodwill | 4,997 | |||||
Total Assets Acquired | 9,566 | |||||
Liabilities Assumed | 2,756 | |||||
Net Assets Acquired | $ 6,810 | |||||
Grupo Ibmec Educacional S A [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Current Assets | $ 27,615 | |||||
Property and Equipment | 17,968 | |||||
Other Long-term Assets | 2,639 | |||||
Intangible Assets | 59,275 | |||||
Goodwill | 107,888 | |||||
Total Assets Acquired | 215,385 | |||||
Liabilities Assumed | 24,423 | |||||
Net Assets Acquired | $ 190,962 |
BUSINESS COMBINATIONS (Acquired
BUSINESS COMBINATIONS (Acquired Intangible Assets Subject to Amortization and Values and Estimated Useful Lives) (Detail) - USD ($) $ in Thousands | Jul. 02, 2016 | Dec. 15, 2015 |
Association Of Certified Anti-Money Laundering Specialists [Member] | Customer Relationships [Member] | ||
Business Acquisition [Line Items] | ||
Amortizable intangible assets | $ 42,500 | |
Amortizable intangible assets, estimated useful lives | 10 years | |
Association Of Certified Anti-Money Laundering Specialists [Member] | Curriculum [Member] | ||
Business Acquisition [Line Items] | ||
Amortizable intangible assets | $ 5,000 | |
Amortizable intangible assets, estimated useful lives | 3 years | |
Association Of Certified Anti-Money Laundering Specialists [Member] | Noncompete Agreements [Member] | ||
Business Acquisition [Line Items] | ||
Amortizable intangible assets | $ 700 | |
Amortizable intangible assets, estimated useful lives | 1 year | |
Association Of Certified Anti-Money Laundering Specialists [Member] | Proprietary Technology [Member] | ||
Business Acquisition [Line Items] | ||
Amortizable intangible assets | $ 500 | |
Amortizable intangible assets, estimated useful lives | 4 years | |
Grupo Ibmec Educacional S A [Member] | Student Relationships [Member] | ||
Business Acquisition [Line Items] | ||
Amortizable intangible assets | $ 4,360 | |
Amortizable intangible assets, estimated useful lives | 5 years | |
Grupo Ibmec Educacional S A [Member] | Curriculum [Member] | ||
Business Acquisition [Line Items] | ||
Amortizable intangible assets | $ 1,821 | |
Amortizable intangible assets, estimated useful lives | 5 years |
BUSINESS COMBINATIONS - Additio
BUSINESS COMBINATIONS - Additional Information (Detail) $ in Thousands | Jul. 02, 2016USD ($) | Jun. 01, 2016USD ($) | Dec. 15, 2015USD ($) |
Grupo Ibmec Educacional S A [Member] | |||
Business Acquisition [Line Items] | |||
Number Of Students In Degree Programs | 15,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | $ 59,275 | ||
Payments to Acquire Businesses, Gross | 180,500 | ||
Business Combination, Consideration Transferred | $ 191,000 | ||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
Business Combination, Contingent Consideration | $ 10,500 | ||
Grupo Ibmec Educacional S A [Member] | Trade Name [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | 18,400 | ||
Grupo Ibmec Educacional S A [Member] | Accreditations [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | $ 34,700 | ||
Faculdade de Imperatriz [Member] | |||
Business Acquisition [Line Items] | |||
Number Of Students In Degree Programs | 2,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | $ 2,652 | ||
Payments to Acquire Businesses, Gross | 3,500 | ||
Business Combination, Consideration Transferred | $ 6,800 | ||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
Business Combination, Contingent Consideration | $ 3,300 | ||
Faculdade de Imperatriz [Member] | Trade Name [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | 500 | ||
Faculdade de Imperatriz [Member] | Accreditations [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | $ 2,100 | ||
Association Of Certified Anti-Money Laundering Specialists [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | $ 88,600 | ||
Payments to Acquire Businesses, Gross | $ 330,600 | ||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
Cash Acquired from Acquisition | $ 23,500 | ||
Association Of Certified Anti-Money Laundering Specialists [Member] | Revolving Credit Facility [Member] | |||
Business Acquisition [Line Items] | |||
Long-term Line of Credit | 175,000 | ||
Association Of Certified Anti-Money Laundering Specialists [Member] | Trade Name [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets | $ 39,900 |
INTANGIBLE ASSETS (Schedule of
INTANGIBLE ASSETS (Schedule of Intangible Assets) (Detail) - USD ($) $ in Thousands | 9 Months Ended | ||
Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 | |
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | $ 78,861 | $ 32,465 | $ 34,408 |
Amortizable Intangible Assets, Accumulated Amortization | (19,510) | (11,835) | (12,440) |
Indefinite-lived Intangible Assets, Gross Carrying Amount | 363,598 | 322,226 | 349,078 |
Student Relationships [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | 13,014 | 14,530 | 13,082 |
Amortizable Intangible Assets, Accumulated Amortization | $ (9,149) | (7,150) | (5,430) |
Amortizable Intangible Assets, Weighted Average Amortization Period | 5 years | ||
Customer Relationships [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | $ 42,900 | 400 | 400 |
Amortizable Intangible Assets, Accumulated Amortization | $ (3,735) | (170) | (160) |
Amortizable Intangible Assets, Weighted Average Amortization Period | 10 years | ||
Test Prep Relationships [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | 900 | ||
Amortizable Intangible Assets, Accumulated Amortization | (900) | ||
Non-compete Agreements [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | $ 1,640 | 940 | 940 |
Amortizable Intangible Assets, Accumulated Amortization | $ (1,439) | (799) | (752) |
Amortizable Intangible Assets, Weighted Average Amortization Period | 3 years | ||
Curriculum/Software [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | $ 8,113 | 4,038 | 3,881 |
Amortizable Intangible Assets, Accumulated Amortization | $ (2,699) | (1,914) | (1,786) |
Amortizable Intangible Assets, Weighted Average Amortization Period | 4 years | ||
Outplacement Relationships [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | 3,900 | ||
Amortizable Intangible Assets, Accumulated Amortization | (1,959) | ||
Franchise Contracts [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | $ 11,087 | 10,968 | 9,875 |
Amortizable Intangible Assets, Accumulated Amortization | $ (1,335) | (863) | (640) |
Amortizable Intangible Assets, Weighted Average Amortization Period | 18 years | ||
Proprietary Technology [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | $ 500 | ||
Amortizable Intangible Assets, Accumulated Amortization | $ (94) | ||
Amortizable Intangible Assets, Weighted Average Amortization Period | 4 years | ||
Clinical Agreements [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | $ 411 | 406 | 366 |
Amortizable Intangible Assets, Accumulated Amortization | $ (102) | (81) | (67) |
Amortizable Intangible Assets, Weighted Average Amortization Period | 15 years | ||
Trade Names [Member] | |||
Intangible Assets [Line Items] | |||
Amortizable Intangible Assets, Gross Carrying Amount | $ 1,196 | 1,183 | 1,064 |
Amortizable Intangible Assets, Accumulated Amortization | (957) | (858) | (746) |
Indefinite-lived Intangible Assets, Gross Carrying Amount | $ 111,008 | 70,731 | 66,808 |
Amortizable Intangible Assets, Weighted Average Amortization Period | 10 years | ||
Trademarks [Member] | |||
Intangible Assets [Line Items] | |||
Indefinite-lived Intangible Assets, Gross Carrying Amount | $ 1,645 | 1,645 | 1,645 |
Ross Title IV Eligibility and Accreditations [Member] | |||
Intangible Assets [Line Items] | |||
Indefinite-lived Intangible Assets, Gross Carrying Amount | 14,100 | 14,100 | 14,100 |
Intellectual Property [Member] | |||
Intangible Assets [Line Items] | |||
Indefinite-lived Intangible Assets, Gross Carrying Amount | 13,940 | 13,940 | 13,940 |
Chamberlain Title IV Eligibility and Accreditations [Member] | |||
Intangible Assets [Line Items] | |||
Indefinite-lived Intangible Assets, Gross Carrying Amount | 1,200 | 1,200 | 1,200 |
Carrington Title IV Eligibility and Accreditations [Member] | |||
Intangible Assets [Line Items] | |||
Indefinite-lived Intangible Assets, Gross Carrying Amount | 20,200 | 20,200 | 60,700 |
AUC Title IV Eligibility and Accreditations [Member] | |||
Intangible Assets [Line Items] | |||
Indefinite-lived Intangible Assets, Gross Carrying Amount | 100,000 | 100,000 | 100,000 |
Devry Brazil Accreditations [Member] | |||
Intangible Assets [Line Items] | |||
Indefinite-lived Intangible Assets, Gross Carrying Amount | $ 101,505 | $ 100,410 | $ 90,685 |
INTANGIBLE ASSETS (Estimated Am
INTANGIBLE ASSETS (Estimated Amortization Expense for Amortized Intangible Assets) (Detail) $ in Thousands | Mar. 31, 2017USD ($) |
Intangible Assets [Line Items] | |
2,017 | $ 11,203 |
2,018 | 9,495 |
2,019 | 8,574 |
2,020 | 6,186 |
2,021 | 5,389 |
Thereafter | 27,012 |
Devry Brazil [Member] | |
Intangible Assets [Line Items] | |
2,017 | 3,721 |
2,018 | 2,994 |
2,019 | 2,152 |
2,020 | 1,515 |
2,021 | 949 |
Thereafter | 7,326 |
Becker [Member] | |
Intangible Assets [Line Items] | |
2,017 | 7,482 |
2,018 | 6,501 |
2,019 | 6,422 |
2,020 | 4,671 |
2,021 | 4,440 |
Thereafter | $ 19,686 |
INTANGIBLE ASSETS (Summary of G
INTANGIBLE ASSETS (Summary of Goodwill Balances by Reporting Unit) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 |
Goodwill [Line Items] | |||
Goodwill | $ 861,001 | $ 588,007 | $ 565,012 |
Chamberlain [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 4,716 | 4,716 | 4,716 |
AUC [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 68,321 | 68,321 | 68,321 |
RUSM and RUSVM [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 237,173 | 237,173 | 237,173 |
Becker [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 306,444 | 32,043 | 32,386 |
Devry Brazil [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 222,151 | 223,558 | 194,409 |
DeVry University [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 22,196 | 22,196 | 22,196 |
Carrington [Member] | |||
Goodwill [Line Items] | |||
Goodwill | $ 0 | $ 0 | $ 5,811 |
INTANGIBLE ASSETS (Summary of57
INTANGIBLE ASSETS (Summary of Goodwill Balances by Reporting Segment) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 |
Goodwill [Line Items] | |||
Goodwill | $ 861,001 | $ 588,007 | $ 565,012 |
Medical And Healthcare [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 310,210 | 310,210 | 310,210 |
Professional Education [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 306,444 | 32,043 | 32,386 |
Technology and Business [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 222,151 | 223,558 | 194,409 |
U.S. Traditional Postsecondary [Member] | |||
Goodwill [Line Items] | |||
Goodwill | $ 22,196 | $ 22,196 | $ 28,007 |
INTANGIBLE ASSETS (Changes in C
INTANGIBLE ASSETS (Changes in Carrying Amount of Goodwill, by Segment) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Jun. 30, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2015 | |
Goodwill [Line Items] | ||||
Goodwill beginning balance | $ 565,012 | $ 588,007 | $ 552,329 | $ 519,879 |
Purchase Accounting Adjustments | (3,122) | 4,575 | ||
Acquisitions | 7,761 | 274,620 | 108,246 | 55,915 |
Impairments | (5,811) | (92,973) | ||
Foreign exchange rate changes | 21,045 | 1,496 | (7,165) | (23,465) |
Goodwill ending balance | 588,007 | 861,001 | 565,012 | 552,329 |
Medical And Healthcare [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill beginning balance | 310,210 | 310,210 | 310,210 | 310,210 |
Purchase Accounting Adjustments | 0 | 0 | ||
Acquisitions | 0 | 0 | 0 | 0 |
Impairments | 0 | 0 | ||
Foreign exchange rate changes | 0 | 0 | 0 | 0 |
Goodwill ending balance | 310,210 | 310,210 | 310,210 | 310,210 |
Professional Education [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill beginning balance | 32,386 | 32,043 | 32,797 | 33,217 |
Purchase Accounting Adjustments | 0 | 0 | ||
Acquisitions | 0 | 274,620 | 0 | 0 |
Impairments | 0 | 0 | ||
Foreign exchange rate changes | (343) | (219) | (411) | (420) |
Goodwill ending balance | 32,043 | 306,444 | 32,386 | 32,797 |
Technology And Business [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill beginning balance | 194,409 | 223,558 | 88,342 | 55,472 |
Purchase Accounting Adjustments | (3,122) | 4,575 | ||
Acquisitions | 7,761 | 0 | 108,246 | 55,915 |
Impairments | 0 | 0 | ||
Foreign exchange rate changes | 21,388 | 1,715 | (6,754) | (23,045) |
Goodwill ending balance | 223,558 | 222,151 | 194,409 | 88,342 |
U.S. Traditional Postsecondary [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill beginning balance | 207,913 | 207,913 | 207,913 | 207,913 |
Purchase Accounting Adjustments | 0 | 0 | ||
Acquisitions | 0 | 0 | 0 | 0 |
Impairments | 0 | 0 | ||
Foreign exchange rate changes | 0 | 0 | 0 | 0 |
Goodwill ending balance | 207,913 | 207,913 | 207,913 | 207,913 |
Accumulated Impairment Losses beginning balance | (179,906) | (185,717) | (86,933) | (86,933) |
Purchase Accounting Adjustments | 0 | 0 | ||
Acquisitions | 0 | 0 | 0 | 0 |
Impairments | (5,811) | (92,973) | ||
Foreign exchange rate changes | 0 | 0 | 0 | 0 |
Accumulated Impairment Losses ending balance | $ (185,717) | $ (185,717) | $ (179,906) | $ (86,933) |
INTANGIBLE ASSETS (Summary of I
INTANGIBLE ASSETS (Summary of Indefinite-Lived Intangible Assets Balances by Reporting Unit) (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 |
Indefinite-lived Intangible Assets [Line Items] | |||
Indefinite-lived intangible assets balances | $ 363,598 | $ 322,226 | $ 349,078 |
Medical and Healthcare | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Indefinite-lived intangible assets balances | 137,500 | 137,500 | 137,500 |
Professional Education | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Indefinite-lived intangible assets balances | 67,812 | 27,912 | 27,912 |
Technology And Business | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Indefinite-lived intangible assets balances | 136,441 | 134,969 | 121,321 |
U.S. Traditional Postsecondary | |||
Indefinite-lived Intangible Assets [Line Items] | |||
Indefinite-lived intangible assets balances | $ 21,845 | $ 21,845 | $ 62,345 |
INTANGIBLE ASSETS - Additional
INTANGIBLE ASSETS - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
May 31, 2016 | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2015 | |
Intangible Assets [Line Items] | |||||||
Amortization of Intangible Assets | $ 2,792 | $ 1,412 | $ 8,487 | $ 3,962 | |||
Indefinite-lived Intangible Assets, Period Increase (Decrease) | 41,400 | ||||||
Goodwill | 861,001 | $ 588,007 | 565,012 | 861,001 | 565,012 | ||
Intangible Assets, Net (Excluding Goodwill), Total | $ 422,949 | 342,856 | 371,046 | $ 422,949 | 371,046 | ||
Percentage Of Intangible Assets Including Goodwill | 55.00% | 55.00% | |||||
Goodwill, Acquired During Period | 7,761 | $ 274,620 | 108,246 | $ 55,915 | |||
Devry University [Member] | |||||||
Intangible Assets [Line Items] | |||||||
Fair Value In Excess Of Carrying Value Percentage | 6.00% | ||||||
Goodwill | $ 22,196 | 22,196 | 22,196 | 22,196 | 22,196 | ||
Potential Impairment Of Goodwill And Intangible Assets | 23,800 | ||||||
Percentage Of Cost Savings On Revenue Decline | 90.00% | ||||||
Carrington [Member] | |||||||
Intangible Assets [Line Items] | |||||||
Goodwill | 0 | 0 | $ 5,811 | 0 | $ 5,811 | ||
Potential Impairment Of Intangible Assets | $ 20,200 | 20,200 | |||||
Carrington [Member] | Title Four Eligibility And Accreditations [Member] | |||||||
Intangible Assets [Line Items] | |||||||
Goodwill and Intangible Asset Impairment, Total | $ 48,200 | ||||||
Association Of Certified Anti-Money Laundering Specialists [Member] | |||||||
Intangible Assets [Line Items] | |||||||
Indefinite-lived Intangible Assets Acquired | 39,900 | ||||||
Goodwill, Acquired During Period | $ 274,600 |
RESTRUCTURING CHARGES (Pre-tax
RESTRUCTURING CHARGES (Pre-tax Restructuring Charges) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | $ 7,771 | $ 2,873 | $ 17,868 | $ 39,870 |
Medical and Healthcare | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 667 | 667 | ||
Professional Education | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 300 | 300 | ||
U.S. Traditional Postsecondary | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 5,692 | 2,573 | 13,180 | 39,570 |
Home Office and Other | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 1,412 | 4,021 | ||
Termination Benefits | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 5,509 | 1,844 | 6,190 | 7,669 |
Termination Benefits | Medical and Healthcare | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 530 | 530 | ||
Termination Benefits | Professional Education | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 0 | 0 | ||
Termination Benefits | U.S. Traditional Postsecondary | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 3,345 | 1,844 | 3,345 | 7,669 |
Termination Benefits | Home Office and Other | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 1,634 | 2,315 | ||
Real Estate | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 2,262 | 1,029 | 11,678 | 32,201 |
Real Estate | Medical and Healthcare | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 137 | 137 | ||
Real Estate | Professional Education | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 300 | 300 | ||
Real Estate | U.S. Traditional Postsecondary | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 2,347 | $ 729 | 9,835 | $ 31,901 |
Real Estate | Home Office and Other | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | $ (222) | $ 1,706 |
RESTRUCTURING CHARGES (Separati
RESTRUCTURING CHARGES (Separation and Restructuring Plan Activity) (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Jun. 30, 2016 | |
Restructuring Cost and Reserve [Line Items] | ||
Liability beginning balance | $ 48,223 | $ 26,992 |
Increase in liability (separation and other charges) | 14,889 | 67,495 |
Reduction in liability (payments and adjustments) | (23,074) | (46,264) |
Liability ending balance | $ 40,038 | $ 48,223 |
RESTRUCTURING CHARGES - Additio
RESTRUCTURING CHARGES - Additional Information (Detail) $ in Millions | 9 Months Ended | |
Mar. 31, 2017USD ($) | Mar. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Number of Positions Eliminated | 207 | 303 |
DeVry Group | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Reserve, Noncurrent | $ 22.3 | |
Restructuring Reserve, Current | $ 17.7 |
INCOME TAXES - Additional Infor
INCOME TAXES - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | |
Income Tax Contingency [Line Items] | |||||
Undistributed Earnings of Foreign Subsidiaries | $ 994 | $ 861 | $ 994 | $ 861 | $ 891 |
Effective Income Tax Rate Reconciliation, Percent, Total | 14.80% | 12.70% | 3.20% | 9.10% | |
Income Tax Expense Benefit Special Items | $ 22.1 | $ 13.4 | |||
Effective Income Tax Rate Excluding Special Items | 17.80% | 13.20% |
DEBT - Additional Information (
DEBT - Additional Information (Detail) - USD ($) $ in Millions | 9 Months Ended | ||||
Mar. 31, 2017 | Oct. 04, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | |
Revolving Credit Facility | |||||
Line of Credit Facility [Line Items] | |||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 550 | ||||
Letters of Credit Outstanding, Amount | $ 68.5 | $ 0.1 | $ 0.1 | ||
Line Of Credit Facility Unused Capacity Commitment Fee Percentage | 0.40% | ||||
Line of Credit Facility, Current Borrowing Capacity | $ 400 | ||||
Letter of Credit Annual Fee Percentage | 2.50% | ||||
Line of Credit Facility, Expiration Date | Mar. 31, 2020 | ||||
Foreign Currency Borrowing Capacity | $ 200 | ||||
Line of Credit Facility, Initiation Date | Mar. 31, 2015 | ||||
Long-term Line of Credit | $ 120 | ||||
Debt, Weighted Average Interest Rate | 3.45% | ||||
Revolving Credit Facility | Minimum [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Line of Credit Facility, Interest Rate During Period | 1.00% | ||||
Revolving Credit Facility | Maximum [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Line of Credit Facility, Interest Rate During Period | 2.00% | ||||
Revolving Credit Facility | Prime Rate | Minimum [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Line of Credit Facility, Interest Rate During Period | 2.00% | ||||
Revolving Credit Facility | Prime Rate | Maximum [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Line of Credit Facility, Interest Rate During Period | 3.00% | ||||
Letter of Credit [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 100 | $ 50 | |||
Letter Of Credit Title IV Disbursement, Amount | $ 68.4 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Additional Information (Detail) $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($) | |
Inquiry Settlement | $ 2,250 |
Inquiry Settlement Penalties | 500 |
Permanent Injunction And Monetary Judgment Agreement [Member] | |
Forgivable Of Loan | 30,400 |
Forgiveable Of Account Receivable | 20,200 |
Settlement Payment | $ 49,400 |
Letter of Credit [Member] | |
Letter Of Credit Title IV Percentage | 10.00% |
Letter Of Credit Title IV Disbursement, Amount | $ 68,400 |
Letter Of Credit Provisional Certification Term | 5 years |
SEGMENT INFORMATION (Tabulation
SEGMENT INFORMATION (Tabulation of Business Segment Information Based on Current Segmentation) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | ||
Segment Reporting Information [Line Items] | ||||||
Total Consolidated Revenue | $ 452,089 | $ 474,221 | $ 1,358,331 | $ 1,371,836 | ||
Total Consolidated Operating Income | 47,293 | 60,847 | 85,246 | 12,715 | ||
Total Consolidated Assets | 2,317,809 | 2,097,059 | 2,317,809 | 2,097,059 | $ 2,096,996 | |
Total Consolidated Additions to Long-Lived Assets | 12,123 | 13,600 | 396,181 | 235,346 | ||
Total Consolidated Depreciation Expense | 18,361 | 19,979 | 53,928 | 59,349 | ||
Total Consolidated Amortization Expense | 2,792 | 1,412 | 8,487 | 3,962 | ||
Reconciliation to Consolidated Financial Statements [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Capital Expenditures | 12,123 | 9,956 | 32,529 | 51,004 | ||
Increase in Capital Assets from Acquisitions | 0 | 0 | 4,913 | 13,487 | ||
Increase in Intangible Assets and Goodwill | 0 | 3,644 | 358,739 | 170,855 | ||
Total Consolidated Additions to Long-Lived Assets | 12,123 | 13,600 | 396,181 | 235,346 | ||
Medical and Healthcare [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total Consolidated Revenue | 208,153 | 210,215 | 609,331 | 590,616 | ||
Total Consolidated Operating Income | 50,150 | 57,450 | 146,166 | 140,920 | ||
Total Consolidated Assets | 888,413 | 830,493 | 888,413 | 830,493 | ||
Total Consolidated Additions to Long-Lived Assets | 3,574 | 2,798 | 10,418 | 16,571 | ||
Total Consolidated Depreciation Expense | 6,652 | 7,526 | 19,850 | 21,057 | ||
Professional Education [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total Consolidated Revenue | 29,810 | 23,683 | 91,906 | 71,417 | ||
Total Consolidated Operating Income | 2,619 | 5,905 | 8,810 | 15,638 | ||
Total Consolidated Assets | 450,769 | 109,478 | 450,769 | 109,478 | ||
Total Consolidated Additions to Long-Lived Assets | 66 | 220 | 363,724 | 815 | ||
Total Consolidated Depreciation Expense | 119 | 66 | 466 | 549 | ||
Total Consolidated Amortization Expense | 1,893 | 147 | 5,679 | 447 | ||
Technology And Business [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total Consolidated Revenue | 61,810 | 48,062 | 193,437 | 121,405 | ||
Total Consolidated Operating Income | 5,358 | (1,583) | 16,864 | (1,447) | ||
Total Consolidated Assets | 609,624 | 504,640 | 609,624 | 504,640 | ||
Total Consolidated Additions to Long-Lived Assets | 4,882 | 5,557 | 12,495 | 194,111 | ||
Total Consolidated Depreciation Expense | 2,881 | 1,272 | 6,991 | 3,535 | ||
Total Consolidated Amortization Expense | 899 | 1,200 | 2,808 | 3,325 | ||
U.S. Traditional Postsecondary [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total Consolidated Revenue | 152,951 | 193,008 | 465,666 | 590,643 | ||
Total Consolidated Operating Income | [1] | (5,724) | 2,942 | (21,411) | (132,827) | |
Total Consolidated Assets | 258,810 | 570,976 | 258,810 | 570,976 | ||
Total Consolidated Additions to Long-Lived Assets | 1,679 | 2,945 | 5,080 | 14,182 | ||
Total Consolidated Depreciation Expense | 5,773 | 7,805 | 17,689 | 24,719 | ||
Total Consolidated Amortization Expense | 0 | 65 | 0 | 190 | ||
Intersegment Elimination and Other [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total Consolidated Revenue | (635) | (747) | (2,009) | (2,245) | ||
Home Office And Other | ||||||
Segment Reporting Information [Line Items] | ||||||
Total Consolidated Operating Income | [1] | (5,110) | (3,867) | (65,183) | (9,569) | |
Total Consolidated Assets | [2] | 110,193 | 81,472 | 110,193 | 81,472 | |
Total Consolidated Additions to Long-Lived Assets | 1,922 | 2,080 | 4,464 | 9,667 | ||
Total Consolidated Depreciation Expense | $ 2,936 | $ 3,310 | $ 8,932 | $ 9,489 | ||
[1] | U.S. Traditional Postsecondary and Home Office and Other Operating Income includes $4.1 million and $52.2 million in charges, respectively, in the nine months ended March 31, 2017 for regulatory settlements as described in "Note 3: Regulatory Settlements." | |||||
[2] | In addition to the change in reportable segments, Home Office and Other Segment Assets and Total Consolidated Assets in fiscal year 2016 have been revised to reflect the reclassification of deferred tax assets and liabilities related to adoption of ASU No. 2015-17 "Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes." |
SEGMENT INFORMATION (Revenues a
SEGMENT INFORMATION (Revenues and Long-Lived Assets by Geographic Area) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Information [Line Items] | ||||
Total Consolidated Revenue from Unaffiliated Customers | $ 452,089 | $ 474,221 | $ 1,358,331 | $ 1,371,836 |
Total Consolidated Long-lived Assets | 569,770 | 585,233 | 569,770 | 585,233 |
Domestic Operations [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total Consolidated Revenue from Unaffiliated Customers | 305,639 | 336,927 | 901,261 | 982,656 |
Total Consolidated Long-lived Assets | 260,101 | 309,281 | 260,101 | 309,281 |
Dominica, St. Kitts and St. Maarten [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total Consolidated Revenue from Unaffiliated Customers | 83,237 | 88,263 | 260,083 | 262,963 |
Total Consolidated Long-lived Assets | 188,511 | 183,146 | 188,511 | 183,146 |
Brazil [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total Consolidated Revenue from Unaffiliated Customers | 61,810 | 48,063 | 193,437 | 121,405 |
Total Consolidated Long-lived Assets | 117,412 | 92,779 | 117,412 | 92,779 |
Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total Consolidated Revenue from Unaffiliated Customers | 1,403 | 968 | 3,550 | 4,812 |
Total Consolidated Long-lived Assets | 3,746 | 27 | 3,746 | 27 |
Total International [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total Consolidated Revenue from Unaffiliated Customers | 146,450 | 137,294 | 457,070 | 389,180 |
Total Consolidated Long-lived Assets | $ 309,669 | $ 275,952 | $ 309,669 | $ 275,952 |
SEGMENT INFORMATION - Additiona
SEGMENT INFORMATION - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
U.S. Traditional Postsecondary [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Regulatory Settlement Charge | $ 4.1 | |||
Home Office And Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Regulatory Settlement Charge | $ 52.2 | |||
Sales Revenue, Net [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Concentration Risk, Percentage | 10.00% | 10.00% | 10.00% | 10.00% |
Concentration Risk, Benchmark Description | less than 5% | less than 5% | less than 5% | less than 5% |