Published on 6 Mar 2024 on Zacks via Yahoo Finance

American Public's (APEI) Q4 Earnings & Revenues Beat, Stock Down

American Public Education, Inc. APEI delivered strong earnings in fourth-quarter 2023. The top and bottom lines handily surpassed the Zacks Consensus Estimate on the back of contributions from the American Public University System (“APUS”) and Hondros College of Nursing (“HCN”) segments.Shares of this post-secondary education provider lost 1.3% during the trading session and 0.6% in the after-hours trading session on Mar 5. Investors’ sentiments might have been hurt by tepid guidance for 2024.

Delving Deeper

The company reported adjusted earnings per share of 64 cents, which beat the consensus mark of 14 cents by a whopping 357.1%. In the year-ago period, the company incurred a loss of 35 cents per share. Total revenues of $152.8 million topped the consensus mark of $151 million by 1.5% and inched up 0.2% from the year-ago period. Solid performances of the APUS and HCN segments led to the increase. The upside was partially offset by the lower contributions from the Rasmussen University (“RU”) segment and the Graduate School USA ("GSUSA") included in the Corporate and Other segment.Total costs and expenses decreased 10.4% year over year to $136.9 million. The decline was due to advertising, depreciation and amortization, employee compensation and Collegis transition costs.Adjusted EBITDA increased 66.9% year over year to $25.7 million. Adjusted EBITDA margin of 16.8% expanded 670 bps year over year.