Consolidated Statements of Income (Loss)
(unaudited)
(in thousands, except per share data)
| | | | | | | | | | | | | | | | | | | | | |
| | Three Months Ended | | Year Ended | |||||||||||||||||
| | Sept. 30, | | June 30, | | March 31, | | Dec. 31, | | Sept. 30, | | June 30, | | June 30, | |||||||
| | 2021 | | 2021 | | 2021 | | 2020 | | 2020 | | 2021 | | 2020 | |||||||
Revenue | | $ | 289,070 | | $ | 223,466 | | $ | 230,213 | | $ | 234,396 | | $ | 218,826 | | $ | 906,901 | | $ | 866,427 |
Operating cost and expense: | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
Cost of educational services | |
| 152,050 | |
| 116,408 | |
| 114,977 | |
| 120,827 | |
| 105,693 | |
| 457,905 | |
| 457,165 |
Student services and administrative expense | |
| 129,436 | |
| 74,980 | |
| 74,412 | |
| 72,260 | |
| 70,830 | |
| 292,482 | |
| 280,291 |
Restructuring expense | |
| 3,094 | |
| 1,570 | |
| 1,217 | |
| 1,166 | |
| 2,916 | |
| 6,869 | |
| 23,683 |
Business acquisition and integration expense | |
| 26,553 | |
| 3,432 | |
| 3,646 | |
| 11,079 | |
| 13,436 | |
| 31,593 | |
| — |
Gain on sale of assets | |
| — | |
| — | |
| — | |
| — | |
| — | |
| — | |
| (4,779) |
Total operating cost and expense | |
| 311,133 | |
| 196,390 | |
| 194,252 | |
| 205,332 | |
| 192,875 | |
| 788,849 | |
| 756,360 |
Operating income (loss) | |
| (22,063) | |
| 27,076 | |
| 35,961 | |
| 29,064 | |
| 25,951 | |
| 118,052 | |
| 110,067 |
Other income (expense): | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
Interest and dividend income | |
| 878 | |
| 961 | |
| 910 | |
| 1,219 | |
| 1,004 | |
| 4,094 | |
| 3,688 |
Interest expense | |
| (47,393) | |
| (25,382) | |
| (8,555) | |
| (3,736) | |
| (3,692) | |
| (41,365) | |
| (19,510) |
Investment gain | | | — | | | 636 | | | 479 | | | 1,005 | | | 518 | | | 2,638 | | | 18 |
Gain on derivative | | | — | | | — | | | — | | | — | | | — | | | — | | | 110,723 |
Net other income (expense) | |
| (46,515) | |
| (23,785) | |
| (7,166) | |
| (1,512) | |
| (2,170) | |
| (34,633) | |
| 94,919 |
Income (loss) from continuing operations before income taxes | |
| (68,578) | |
| 3,291 | |
| 28,795 | |
| 27,552 | |
| 23,781 | |
| 83,419 | |
| 204,986 |
(Provision for) benefit from income taxes | |
| (8,604) | |
| (726) | |
| (4,557) | |
| (3,611) | |
| (4,195) | |
| (13,089) | |
| 14,939 |
Income (loss) from continuing operations | |
| (77,182) | |
| 2,565 | |
| 24,238 | |
| 23,941 | |
| 19,586 | |
| 70,330 | |
| 219,925 |
Discontinued operations: | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
Income (loss) from discontinued operations before income taxes | |
| (6,050) | |
| 7,326 | |
| 1,416 | |
| 72 | |
| 671 | |
| 9,485 | |
| (30,386) |
Loss on disposal of discontinued operations before income taxes (includes ($293,360) accumulated other comprehensive income reclassifications for realized loss on foreign currency translation adjustments for the year ended June 30, 2020) | | | — | | | — | | | — | | | — | | | — | | | — | | | (287,560) |
(Provision for) benefit from income taxes | |
| 25,228 | |
| (954) | |
| (1,104) | |
| (864) | |
| (418) | |
| (3,340) | |
| 12,243 |
Income (loss) from discontinued operations | |
| 19,178 | |
| 6,372 | |
| 312 | |
| (792) | |
| 253 | |
| 6,145 | |
| (305,703) |
Net income (loss) | |
| (58,004) | |
| 8,937 | |
| 24,550 | |
| 23,149 | |
| 19,839 | |
| 76,475 | |
| (85,778) |
Net loss attributable to redeemable noncontrolling interest | |
| — | |
| 75 | |
| 102 | |
| 166 | |
| 91 | |
| 434 | |
| 444 |
Net income (loss) attributable to Adtalem Global Education | | $ | (58,004) | | $ | 9,012 | | $ | 24,652 | | $ | 23,315 | | $ | 19,930 | | $ | 76,909 | | $ | (85,334) |
| | | | | | | | | | | | | | | | | | | | | |
Amounts attributable to Adtalem Global Education: | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
Net income (loss) from continuing operations | | $ | (77,182) | | $ | 2,565 | | $ | 24,238 | | $ | 23,941 | | $ | 19,586 | | $ | 70,330 | | $ | 219,925 |
Net income (loss) from discontinued operations | |
| 19,178 | |
| 6,447 | |
| 414 | |
| (626) | |
| 344 | |
| 6,579 | |
| (305,259) |
Net income (loss) attributable to Adtalem Global Education | | $ | (58,004) | | $ | 9,012 | | $ | 24,652 | | $ | 23,315 | | $ | 19,930 | | $ | 76,909 | | $ | (85,334) |
| | | | | | | | | | | | | | | | | | | | | |
Earnings (loss) per share attributable to Adtalem Global Education: | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
Basic: | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
Continuing operations | | $ | (1.55) | | $ | 0.05 | | $ | 0.48 | | $ | 0.46 | | $ | 0.37 | | $ | 1.37 | | $ | 4.10 |
Discontinued operations | | $ | 0.39 | | $ | 0.13 | | $ | 0.01 | | $ | (0.01) | | $ | 0.01 | | $ | 0.13 | | $ | (5.69) |
Net | | $ | (1.17) | | $ | 0.18 | | $ | 0.49 | | $ | 0.45 | | $ | 0.38 | | $ | 1.50 | | $ | (1.59) |
Diluted: | |
| | |
| | |
| | |
| | |
| | |
| | |
| |
Continuing operations | | $ | (1.55) | | $ | 0.05 | | $ | 0.47 | | $ | 0.46 | | $ | 0.37 | | $ | 1.36 | | $ | 4.07 |
Discontinued operations | | $ | 0.39 | | $ | 0.13 | | $ | 0.01 | | $ | (0.01) | | $ | 0.01 | | $ | 0.13 | | $ | (5.64) |
Net | | $ | (1.17) | | $ | 0.18 | | $ | 0.48 | | $ | 0.44 | | $ | 0.38 | | $ | 1.49 | | $ | (1.58) |
| | | | | | | | | | | | | | | | | | | | | |
Weighted-average shares outstanding: | | | | | | | | | | | | | | | | | | | | | |
Basic shares | | | 49,663 | | | 49,884 | | | 50,658 | | | 52,251 | | | 52,464 | | | 51,322 | | | 53,659 |
Diluted shares | | | 49,663 | | | 50,326 | | | 51,111 | | | 52,441 | | | 52,797 | | | 51,645 | | | 54,094 |