2013 Q3 Form 10-Q Financial Statement

#000119312513324320 Filed on August 07, 2013

View on sec.gov

Income Statement

Concept 2013 Q3 2013 Q2 2012 Q2
Revenue $199.1M $212.6M $343.0M
YoY Change -36.78% -38.03% -28.77%
Cost Of Revenue $90.30M $89.50M $107.0M
YoY Change -23.41% -16.36% -32.28%
Gross Profit $153.9M $166.7M $193.2M
YoY Change -22.35% -13.72% -40.9%
Gross Profit Margin 77.31% 78.42% 56.32%
Selling, General & Admin $181.7M $194.0M $206.4M
YoY Change -17.37% -6.01% -8.1%
% of Gross Profit 118.06% 116.38% 106.83%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $18.40M $18.90M $20.00M
YoY Change -10.24% -5.5% -2.44%
% of Gross Profit 11.96% 11.34% 10.35%
Operating Expenses $197.2M $209.6M $223.5M
YoY Change -17.39% -6.22% -8.74%
Operating Profit -$30.56M -$30.28M -$100.9M
YoY Change -22.75% -69.98% -226.96%
Interest Expense $209.0K $212.0K $28.00K
YoY Change 808.7% 657.14% -28.21%
% of Operating Profit
Other Income/Expense, Net -$117.0K $360.0K $365.0K
YoY Change -131.62% -1.37% 89.12%
Pretax Income -$55.05M -$49.36M -$101.4M
YoY Change 38.99% -51.33% -229.64%
Income Tax -$20.09M -$26.53M -$19.03M
% Of Pretax Income
Net Earnings -$87.06M -$31.39M -$100.2M
YoY Change 162.67% -68.68% -281.08%
Net Earnings / Revenue -43.73% -14.77% -29.22%
Basic Earnings Per Share -$1.52
Diluted Earnings Per Share -$1.304M -$464.5K -$1.52
COMMON SHARES
Basic Shares Outstanding 67.08M shares 67.05M shares 66.03M shares
Diluted Shares Outstanding 66.03M shares

Balance Sheet

Concept 2013 Q3 2013 Q2 2012 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $83.10M $229.9M $369.9M
YoY Change -77.74% -37.85% -4.86%
Cash & Equivalents $29.64M $63.73M $209.3M
Short-Term Investments $52.20M $63.90M $160.6M
Other Short-Term Assets $5.885M $7.245M $6.179M
YoY Change 12.87% 17.25% -93.68%
Inventory $7.146M $7.690M $10.00M
Prepaid Expenses $112.8M $96.44M $73.24M
Receivables $41.69M $53.52M $55.58M
Other Receivables $39.80M $40.50M $2.100M
Total Short-Term Assets $557.2M $458.0M $531.2M
YoY Change 2.24% -13.79% -4.95%
LONG-TERM ASSETS
Property, Plant & Equipment $202.1M $246.0M $327.3M
YoY Change -36.34% -24.83% -10.29%
Goodwill $87.36M $132.4M $130.9M
YoY Change -33.75% 1.15%
Intangibles $40.39M $56.90M $74.63M
YoY Change -45.45% -23.77%
Long-Term Investments
YoY Change
Other Assets $25.92M $28.15M $40.24M
YoY Change -38.72% -30.05% -27.62%
Total Long-Term Assets $247.8M $536.2M $607.8M
YoY Change -58.7% -11.79% -34.62%
TOTAL ASSETS
Total Short-Term Assets $557.2M $458.0M $531.2M
Total Long-Term Assets $247.8M $536.2M $607.8M
Total Assets $805.0M $994.2M $1.139B
YoY Change -29.69% -12.72% -23.48%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $33.72M $31.86M $38.38M
YoY Change -36.65% -16.98% -19.03%
Accrued Expenses $98.70M $129.9M $92.10M
YoY Change 12.29% 41.04% -14.33%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $0.00 $0.00 $400.0K
YoY Change -100.0% -100.0% -55.56%
Total Short-Term Liabilities $355.9M $278.9M $270.2M
YoY Change 14.53% 3.22% -25.27%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00 $0.00
YoY Change -100.0%
Other Long-Term Liabilities $29.79M $29.33M $36.85M
YoY Change -16.99% -20.4% -79.04%
Total Long-Term Liabilities $138.2M $145.6M $166.5M
YoY Change -14.98% -12.55% -5.57%
TOTAL LIABILITIES
Total Short-Term Liabilities $355.9M $278.9M $270.2M
Total Long-Term Liabilities $138.2M $145.6M $166.5M
Total Liabilities $494.1M $424.4M $436.7M
YoY Change 4.39% -2.8% -18.79%
SHAREHOLDERS EQUITY
Retained Earnings $99.26M $186.3M $327.5M
YoY Change -66.27% -43.1%
Common Stock $819.0K $818.0K $817.0K
YoY Change 0.37% 0.12%
Preferred Stock
YoY Change
Treasury Stock (at cost) $214.5M $214.5M $214.0M
YoY Change 0.24% 0.24%
Treasury Stock Shares 14.72M shares 14.72M shares 14.54M shares
Shareholders Equity $491.1M $569.7M $702.3M
YoY Change
Total Liabilities & Shareholders Equity $985.2M $994.2M $1.139B
YoY Change -13.96% -12.72% -23.48%

Cashflow Statement

Concept 2013 Q3 2013 Q2 2012 Q2
OPERATING ACTIVITIES
Net Income -$87.06M -$31.39M -$100.2M
YoY Change 162.67% -68.68% -281.08%
Depreciation, Depletion And Amortization $18.40M $18.90M $20.00M
YoY Change -10.24% -5.5% -2.44%
Cash From Operating Activities -$10.80M -$52.80M -$800.0K
YoY Change -167.92% 6500.0% -101.45%
INVESTING ACTIVITIES
Capital Expenditures -$9.100M -$5.900M -$7.700M
YoY Change -4.21% -23.38% -68.05%
Acquisitions
YoY Change
Other Investing Activities $14.30M -$600.0K -$3.100M
YoY Change -49.11% -80.65% -29.55%
Cash From Investing Activities $5.100M -$6.500M -$10.80M
YoY Change -72.58% -39.81% -62.24%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -400.0K -400.0K -2.200M
YoY Change -233.33% -81.82% -94.24%
NET CHANGE
Cash From Operating Activities -10.80M -52.80M -800.0K
Cash From Investing Activities 5.100M -6.500M -10.80M
Cash From Financing Activities -400.0K -400.0K -2.200M
Net Change In Cash -6.100M -59.70M -13.80M
YoY Change -117.53% 332.61% 17.95%
FREE CASH FLOW
Cash From Operating Activities -$10.80M -$52.80M -$800.0K
Capital Expenditures -$9.100M -$5.900M -$7.700M
Free Cash Flow -$1.700M -$46.90M $6.900M
YoY Change -106.69% -779.71% -91.29%

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dei Trading Symbol
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CECO
dei Entity Registrant Name
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CAREER EDUCATION CORP
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2013
dei Document Type
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10-Q
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2013-06-30
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dei Current Fiscal Year End Date
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<div> <p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2"><b>1. DESCRIPTION OF THE COMPANY</b></font></p> <p style="MARGIN-TOP: 6px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2">The colleges, schools and universities that are part of the Career Education Corporation (&#x201C;CEC&#x201D;) family offer high-quality education to a diverse student population across the world in a variety of career-oriented disciplines through online, on-ground and hybrid learning program offerings. The more than 90 campuses that serve these students are located throughout the United States, and in France and Monaco, and offer doctoral, master&#x2019;s, bachelor&#x2019;s and associate degrees and diploma and certificate programs.</font></p> <p style="MARGIN-TOP: 12px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2">We are an industry leader whose institutions are recognized globally. Those institutions include, among others, American InterContinental University (&#x201C;AIU&#x201D;); Brooks Institute; Colorado Technical University (&#x201C;CTU&#x201D;); Harrington College of Design; INSEEC Group (&#x201C;INSEEC&#x201D;) Schools; International University of Monaco (&#x201C;IUM&#x201D;); International Academy of Design&#xA0;&amp; Technology (&#x201C;IADT&#x201D;); Le Cordon Bleu North America (&#x201C;LCB&#x201D;); and Sanford-Brown Institutes and Colleges (&#x201C;SBI&#x201D; and &#x201C;SBC&#x201D;, respectively). Through our schools, we are committed to providing high-quality education, enabling students to graduate and pursue rewarding career opportunities.</font></p> <p style="MARGIN-TOP: 12px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2">For more information, see our website at <i>www.careered.com</i>. The website includes a detailed listing of individual campus locations and web links to our colleges, schools and universities.</font></p> <p style="MARGIN-TOP: 12px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px"> <font style="FONT-FAMILY: Times New Roman" size="2">As used in this Quarterly Report on Form 10-Q, the terms &#x201C;we&#x201D;, &#x201C;us&#x201D;, &#x201C;our&#x201D;, &#x201C;the Company&#x201D; and &#x201C;CEC&#x201D; refer to Career Education Corporation and our wholly-owned subsidiaries. The terms &#x201C;school&#x201D; and &#x201C;university&#x201D; refer to an individual, branded, proprietary educational institution, owned by us and includes its campus locations. The term &#x201C;campus&#x201D; refers to an individual main or branch campus operated by one of our schools or universities.</font></p> </div>
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OperatingIncomeLoss
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OtherSalesRevenueNet
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IncomeLossFromContinuingOperations
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NonoperatingIncomeExpense
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NetIncomeLoss
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CostsAndExpenses
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CY2012Q2 us-gaap Allowance For Doubtful Accounts Receivable Write Offs
AllowanceForDoubtfulAccountsReceivableWriteOffs
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CY2012Q2 us-gaap Interest Expense
InterestExpense
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CY2012Q2 us-gaap Discontinued Operation Tax Effect Of Discontinued Operation
DiscontinuedOperationTaxEffectOfDiscontinuedOperation
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AssetImpairmentCharges
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IncomeTaxExpenseBenefit
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EducationalServicesAndFacilitiesExpense
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CY2012Q2 ceco Remaining Lease Obligations Net Cash Payments
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2876000
CY2012Q2 ceco Shares That Have Anti Dilutive Effect On Diluted Net Income Per Share
SharesThatHaveAntiDilutiveEffectOnDilutedNetIncomePerShare
0 shares
CY2012Q2 ceco Revenue From Tuition And Registration Fees
RevenueFromTuitionAndRegistrationFees
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CY2012Q2 ceco Remaining Lease Obligations Incurred
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CY2013Q2 us-gaap Income Loss From Discontinued Operations Net Of Tax Per Basic And Diluted Share
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CY2013Q2 us-gaap Effective Income Tax Rate Continuing Operations
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CY2013Q2 us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
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CY2013Q2 us-gaap Effective Income Tax Rate Reconciliation Other Adjustments
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CY2013Q2 us-gaap Earnings Per Share Basic And Diluted
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CY2013Q2 us-gaap Stock Issued During Period Shares Employee Stock Purchase Plans
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CY2013Q2 us-gaap Revenues
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CY2013Q2 us-gaap Income Loss From Discontinued Operations Net Of Tax
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CY2013Q2 us-gaap Income Loss From Continuing Operations Before Income Taxes Foreign
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CY2013Q2 us-gaap Other Nonoperating Income Expense
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CY2013Q2 us-gaap Income Loss From Continuing Operations Before Income Taxes Domestic
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CY2013Q2 us-gaap Investment Income Interest
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CY2013Q2 us-gaap Gain Loss On Sale Of Business
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CY2013Q2 us-gaap Operating Income Loss
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CY2013Q2 us-gaap Other Sales Revenue Net
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CY2013Q2 us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
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CY2013Q2 us-gaap Nonoperating Income Expense
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CY2013Q2 us-gaap Costs And Expenses
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CY2013Q2 us-gaap Allowance For Doubtful Accounts Receivable Write Offs
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CY2013Q2 us-gaap Provision For Doubtful Accounts
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CY2013Q2 us-gaap Depreciation And Amortization
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CY2013Q2 us-gaap Severance Costs1
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CY2013Q2 ceco Income Tax Reconciliation Valuation Allowances Foreign Rate Differences And Non Profit
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CY2013Q2 ceco Educational Services And Facilities Expense
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CY2013Q2 ceco Remaining Lease Obligations Net Cash Payments
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CY2013Q2 ceco Shares That Have Anti Dilutive Effect On Diluted Net Income Per Share
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CY2013Q2 ceco Revenue From Tuition And Registration Fees
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CY2013Q2 ceco Remaining Lease Obligations Incurred
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1148000
CY2013Q2 ceco Remaining Lease Obligations Other
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CY2013Q2 ceco Outstanding Liability On Performance Unit Awards To Be Settled In Cash
OutstandingLiabilityOnPerformanceUnitAwardsToBeSettledInCash
100000

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