Adtalem Global Education Inc.
Schedule of non-GAAP Earnings
(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 | |||||||
Net income (loss) attributable to Adtalem (GAAP) | | $ | (58,004) | | $ | 9,012 | | $ | 24,652 | | $ | 23,315 | | $ | 19,930 | | $ | 76,909 | | $ | (85,334) |
Deferred revenue adjustment | | | 6,207 | | | — | | | — | | | — | | | — | | | — | | | — |
CEO transition costs | | | 6,195 | | | — | | | — | | | — | | | — | | | — | | | — |
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 | | | — |
Walden intangible amortization expense | | | 16,451 | | | — | | | — | | | — | | | — | | | — | | | — |
Pre-acquisition interest expense | | | 31,634 | | | 21,750 | | | 4,951 | | | 45 | | | — | | | 26,746 | | | — |
Gain on sale of assets | | | — | | | — | | | — | | | — | | | — | | | — | | | (4,779) |
Gain on derivative | | | — | | | — | | | — | | | — | | | — | | | — | | | (110,723) |
Tax Cuts and Jobs Act of 2017 and tax charges related to the divestiture of DeVry University | | | — | | | — | | | — | | | — | | | — | | | — | | | (2,230) |
Net tax benefit for a former subsidiary investment loss | | | — | | | — | | | — | | | — | | | — | | | — | | | (25,688) |
Income tax impact on non-GAAP adjustments | | | 4,640 | | | (5,325) | | | (3,365) | | | (4,006) | | | (3,601) | | | (16,297) | | | (4,399) |
(Income) loss from discontinued operations | | | (19,178) | | | (6,447) | | | (414) | | | 626 | | | (344) | | | (6,579) | | | 305,259 |
Net income from continuing operations attributable to Adtalem excluding special items (non-GAAP) | | $ | 17,592 | | $ | 23,992 | | $ | 30,687 | | $ | 32,225 | | $ | 32,337 | | $ | 119,241 | | $ | 95,789 |
| | | | | | | | | | | | | | | | | | | | | |
| | 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 | |||||||
Earnings (loss) per share, diluted (GAAP) | | $ | (1.17) | | $ | 0.18 | | $ | 0.48 | | $ | 0.44 | | $ | 0.38 | | $ | 1.49 | | $ | (1.58) |
Effect on diluted earnings per share: | | | | | | | | | | | | | | | | | | | | | |
Deferred revenue adjustment | | | 0.12 | | | — | | | — | | | — | | | — | | | — | | | — |
CEO transition costs | | | 0.12 | | | — | | | — | | | — | | | — | | | — | | | — |
Restructuring expense | | | 0.06 | | | 0.03 | | | 0.02 | | | 0.02 | | | 0.06 | | | 0.13 | | | 0.44 |
Business acquisition and integration expense | | | 0.53 | | | 0.07 | | | 0.07 | | | 0.21 | | | 0.25 | | | 0.61 | | | — |
Walden intangible amortization expense | | | 0.33 | | | — | | | — | | | — | | | — | | | — | | | — |
Pre-acquisition interest expense | | | 0.63 | | | 0.43 | | | 0.10 | | | 0.00 | | | — | | | 0.52 | | | — |
Gain on sale of assets | | | — | | | — | | | — | | | — | | | — | | | — | | | (0.09) |
Gain on derivative | | | — | | | — | | | — | | | — | | | — | | | — | | | (2.05) |
Tax Cuts and Jobs Act of 2017 and tax charges related to the divestiture of DeVry University | | | — | | | — | | | — | | | — | | | — | | | — | | | (0.04) |
Net tax benefit for a former subsidiary investment loss | | | — | | | — | | | — | | | — | | | — | | | — | | | (0.47) |
Income tax impact on non-GAAP adjustments | | | 0.09 | | | (0.11) | | | (0.07) | | | (0.08) | | | (0.07) | | | (0.32) | | | (0.08) |
(Income) loss from discontinued operations | | | (0.38) | | | (0.13) | | | (0.01) | | | 0.01 | | | (0.01) | | | (0.13) | | | 5.64 |
Earnings per share from continuing operations excluding special items, diluted (non-GAAP) | | $ | 0.35 | | $ | 0.48 | | $ | 0.60 | | $ | 0.61 | | $ | 0.61 | | $ | 2.31 | | $ | 1.77 |
Diluted shares used in non-GAAP EPS calculation | | | 50,222 | | | 50,326 | | | 51,111 | | | 52,441 | | | 52,797 | | | 51,645 | | | 54,094 |