2014 Q4 Form 10-Q Financial Statement

#000119312514399805 Filed on November 06, 2014

View on sec.gov

Income Statement

Concept 2014 Q4 2014 Q3 2013 Q3
Revenue $217.5M $227.3M $199.1M
YoY Change 9.09% 14.19% -36.78%
Cost Of Revenue $141.8M $60.80M $90.30M
YoY Change 67.61% -32.67% -23.41%
Gross Profit $205.0M $122.0M $153.9M
YoY Change 32.26% -20.73% -22.35%
Gross Profit Margin 94.25% 53.67% 77.31%
Selling, General & Admin $230.9M $132.1M $181.7M
YoY Change 32.17% -27.3% -17.37%
% of Gross Profit 112.63% 108.28% 118.06%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $12.50M $13.20M $18.40M
YoY Change -24.7% -28.26% -10.24%
% of Gross Profit 6.1% 10.82% 11.96%
Operating Expenses $256.3M $140.9M $197.2M
YoY Change 35.18% -28.55% -17.39%
Operating Profit -$23.92M -$44.33M -$30.56M
YoY Change 65.78% 45.06% -22.75%
Interest Expense $0.00 $103.0K $209.0K
YoY Change -100.0% -50.72% 808.7%
% of Operating Profit
Other Income/Expense, Net $200.0K $81.00K -$117.0K
YoY Change 0.0% -169.23% -131.62%
Pretax Income -$74.10M -$44.79M -$55.05M
YoY Change 83.42% -18.65% 38.99%
Income Tax $500.0K $1.116M -$20.09M
% Of Pretax Income
Net Earnings -$25.49M -$47.97M -$87.06M
YoY Change -16.72% -44.9% 162.67%
Net Earnings / Revenue -11.72% -21.1% -43.73%
Basic Earnings Per Share
Diluted Earnings Per Share -$378.9K -$714.3K -$1.304M
COMMON SHARES
Basic Shares Outstanding 67.28M shares 67.25M shares 67.08M shares
Diluted Shares Outstanding

Balance Sheet

Concept 2014 Q4 2014 Q3 2013 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $216.7M $237.7M $83.10M
YoY Change -38.1% 186.04% -77.74%
Cash & Equivalents $93.83M $126.9M $29.64M
Short-Term Investments $122.9M $110.7M $52.20M
Other Short-Term Assets $4.729M $4.719M $5.885M
YoY Change 54.59% -19.81% 12.87%
Inventory $5.022M $5.192M $7.146M
Prepaid Expenses $17.45M $20.30M $112.8M
Receivables $31.40M $32.46M $41.69M
Other Receivables $19.40M $18.50M $39.80M
Total Short-Term Assets $318.1M $336.3M $557.2M
YoY Change -30.85% -39.65% 2.24%
LONG-TERM ASSETS
Property, Plant & Equipment $115.6M $138.2M $202.1M
YoY Change 3.13% -31.6% -36.34%
Goodwill $87.36M $87.36M $87.36M
YoY Change 0.0% 0.0% -33.75%
Intangibles $28.22M $29.06M $40.39M
YoY Change 120.17% -28.04% -45.45%
Long-Term Investments
YoY Change
Other Assets $19.36M $17.17M $25.92M
YoY Change 12.99% -33.76% -38.72%
Total Long-Term Assets $255.4M $287.7M $247.8M
YoY Change -25.97% 16.1% -58.7%
TOTAL ASSETS
Total Short-Term Assets $318.1M $336.3M $557.2M
Total Long-Term Assets $255.4M $287.7M $247.8M
Total Assets $573.5M $624.0M $805.0M
YoY Change -28.76% -22.48% -29.69%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $23.81M $29.66M $33.72M
YoY Change 4.3% -12.05% -36.65%
Accrued Expenses $59.30M $60.80M $98.70M
YoY Change -17.64% -38.4% 12.29%
Deferred Revenue
YoY Change
Short-Term Debt $10.00M $0.00 $0.00
YoY Change
Long-Term Debt Due $10.00M $0.00
YoY Change -100.0%
Total Short-Term Liabilities $180.2M $193.7M $355.9M
YoY Change -13.11% -45.59% 14.53%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00 $0.00
YoY Change
Other Long-Term Liabilities $21.07M $25.70M $29.79M
YoY Change -15.02% -13.76% -16.99%
Total Long-Term Liabilities $111.4M $124.7M $138.2M
YoY Change -21.7% -9.74% -14.98%
TOTAL LIABILITIES
Total Short-Term Liabilities $180.2M $193.7M $355.9M
Total Long-Term Liabilities $111.4M $124.7M $138.2M
Total Liabilities $291.6M $318.4M $494.1M
YoY Change -16.6% -35.56% 4.39%
SHAREHOLDERS EQUITY
Retained Earnings -$109.4M -$84.02M $99.26M
YoY Change -259.34% -184.64% -66.27%
Common Stock $607.4M $821.0K $819.0K
YoY Change 74058.0% 0.24% 0.37%
Preferred Stock
YoY Change
Treasury Stock (at cost) $215.2M $215.2M $214.5M
YoY Change 0.31% 0.31% 0.24%
Treasury Stock Shares $14.82M 14.82M shares 14.72M shares
Shareholders Equity $281.9M $305.7M $491.1M
YoY Change
Total Liabilities & Shareholders Equity $573.5M $624.0M $985.2M
YoY Change -28.76% -36.66% -13.96%

Cashflow Statement

Concept 2014 Q4 2014 Q3 2013 Q3
OPERATING ACTIVITIES
Net Income -$25.49M -$47.97M -$87.06M
YoY Change -16.72% -44.9% 162.67%
Depreciation, Depletion And Amortization $12.50M $13.20M $18.40M
YoY Change -24.7% -28.26% -10.24%
Cash From Operating Activities -$17.50M -$19.80M -$10.80M
YoY Change 118.75% 83.33% -167.92%
INVESTING ACTIVITIES
Capital Expenditures -$2.600M -$3.600M -$9.100M
YoY Change -16.13% -60.44% -4.21%
Acquisitions
YoY Change
Other Investing Activities -$14.20M $12.80M $14.30M
YoY Change -108.01% -10.49% -49.11%
Cash From Investing Activities -$16.70M $9.300M $5.100M
YoY Change -109.58% 82.35% -72.58%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 1.100M -1.100M -400.0K
YoY Change 450.0% 175.0% -233.33%
NET CHANGE
Cash From Operating Activities -17.50M -19.80M -10.80M
Cash From Investing Activities -16.70M 9.300M 5.100M
Cash From Financing Activities 1.100M -1.100M -400.0K
Net Change In Cash -33.10M -11.60M -6.100M
YoY Change -119.87% 90.16% -117.53%
FREE CASH FLOW
Cash From Operating Activities -$17.50M -$19.80M -$10.80M
Capital Expenditures -$2.600M -$3.600M -$9.100M
Free Cash Flow -$14.90M -$16.20M -$1.700M
YoY Change 204.08% 852.94% -106.69%

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10-Q
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CAREER EDUCATION CORP
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CECO
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<div> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt"> <b>1. DESCRIPTION OF THE COMPANY</b></p> <!-- xbrl,body --> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 6pt; TEXT-INDENT: 4%"> The colleges, institutions and universities that are part of the Career Education Corporation (&#x201C;CEC&#x201D;) family offer high-quality education to a diverse student population in a variety of career-oriented disciplines through online, on-ground and hybrid learning program offerings. In addition to its online offerings, Career Education serves students from campuses throughout the United States offering programs that lead to doctoral, master&#x2019;s, bachelor&#x2019;s and associate degrees, as well as to diplomas and certificates.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> Our institutions include both universities that provide degree programs through the master or doctoral level and colleges that provide programs through the associate and bachelor level. The University group includes American InterContinental University (&#x201C;AIU&#x201D;) and Colorado Technical University (&#x201C;CTU&#x201D;)&#x2014;predominantly serving students online with career-focused degree programs that meet the educational demands of today&#x2019;s busy adults. The Career Schools group offers career-centered education primarily through ground-based campuses and includes Briarcliffe College, Brooks Institute, Harrington College of Design, Le Cordon Bleu North America (&#x201C;LCB&#x201D;), Missouri College and Sanford-Brown Institutes and Colleges (&#x201C;SBI&#x201D; and &#x201C;SBC,&#x201D; respectively). Through our colleges, institutions and universities, we are committed to providing high-quality education, enabling students to graduate and pursue rewarding career opportunities.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> A detailed listing of individual campus locations and web links to Career Education&#x2019;s colleges, institutions and universities can be found at <i>www.careered.com</i>.</p> <p style="MARGIN-BOTTOM: 0pt; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman; MARGIN-TOP: 12pt; TEXT-INDENT: 4%"> 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;college,&#x201D; &#x201C;institution,&#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 colleges, institutions or universities.</p> </div>
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EducationalServicesAndFacilitiesExpense
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PercentIncreaseDecreaseRelatedToValuationAllowanceEffectiveTaxRate
0.393 pure
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P4Y
ceco Share Based Compensation Arrangement By Share Based Payment Award Deferred Stock Units Grants In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardDeferredStockUnitsGrantsInPeriod
117000 shares
ceco Share Based Compensation Arrangement By Share Based Payment Award Deferred Stock Unit Vested In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardDeferredStockUnitVestedInPeriod
0 shares
ceco Share Based Compensation Arrangement By Share Based Payment Award Deferred Stock Units Forfeited In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardDeferredStockUnitsForfeitedInPeriod
0 shares
ceco Number Of Plaintiffs Dropped Out Of Settlement
NumberOfPlaintiffsDroppedOutOfSettlement
4 Person
ceco Share Based Compensation Arrangement By Share Based Payment Award Deferred Stock Units Grants In Period Weighted Average Grant Date Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardDeferredStockUnitsGrantsInPeriodWeightedAverageGrantDateFairValue
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ceco Share Based Compensation Arrangement By Share Based Payment Award Deferred Stock Units Vested Weighted Average Grant Date Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardDeferredStockUnitsVestedWeightedAverageGrantDateFairValue
0.00
ceco Share Based Compensation Arrangement By Share Based Payment Award Deferred Stock Units Nonvested Forfeited Weighted Average Grant Date Fair Value
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ceco Basis Point Change In Royalty Rate
BasisPointChangeInRoyaltyRate
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ceco Basis Point Change In Discount Rate
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36000
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InterestExpense
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CY2013Q3 us-gaap Depreciation And Amortization
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CostsAndExpenses
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CY2013Q3 us-gaap Discontinued Operation Tax Effect Of Discontinued Operation
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39900000
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1.000 pure
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CY2014Q3 us-gaap Income Loss From Continuing Operations
IncomeLossFromContinuingOperations
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CY2014Q3 us-gaap Revenues
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CY2014Q3 us-gaap Net Income Loss
NetIncomeLoss
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CY2014Q3 us-gaap Investment Income Interest
InvestmentIncomeInterest
223000
CY2014Q3 us-gaap Other Comprehensive Income Unrealized Holding Gain Loss On Securities Arising During Period Net Of Tax
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CY2014Q3 us-gaap Income Loss From Continuing Operations Before Income Taxes Domestic
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CY2014Q3 us-gaap Allocated Share Based Compensation Expense
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CY2014Q3 us-gaap Asset Impairment Charges
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CY2014Q3 us-gaap Interest Expense
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CY2014Q3 us-gaap Provision For Doubtful Accounts
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CY2014Q3 us-gaap Restructuring Charges
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CY2014Q3 us-gaap Allowance For Doubtful Accounts Receivable Write Offs
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CY2014Q3 us-gaap Income Tax Expense Benefit
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CY2014Q3 us-gaap Depreciation And Amortization
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CostsAndExpenses
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CY2014Q3 us-gaap Deferred Compensation Arrangement With Individual Compensation Expense
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CY2014Q3 us-gaap Discontinued Operation Tax Effect Of Discontinued Operation
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-173000
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CY2014Q3 ceco Disposal Group Including Discontinued Operation Remaining Lease Obligations Net Cash Payments
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6581000
CY2014Q3 ceco Retention Bonuses Amount Recorded During Period
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200000
CY2014Q3 ceco Educational Services And Facilities Expense
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82892000
CY2014Q3 ceco Percentage Of Revenue
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1.000 pure
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CY2014Q3 ceco Performance Unit Awards Expense
PerformanceUnitAwardsExpense
1200000

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