Legacy Education Q4 revenue slightly misses estimates on higher operating costs

Overview

• Career education provider's Q4 revenue grew 12% yr/yr, slightly missing analyst expectations

• Q4 adjusted EBITDA met analyst estimates

• Company says revenue growth driven by higher enrollments and full-year impact of CCMCC acquisition

Outlook

• Company did not provide specific guidance for the upcoming quarter or fiscal year

Result Drivers

• ENROLLMENT GAINS - Co said higher new student starts and increased student population drove revenue growth

• CCMCC ACQUISITION - Co said full-year impact of CCMCC acquisition contributed to revenue growth

• OPERATING COSTS - Co said increased instructional and staffing costs, as well as higher marketing and professional fees, were driven by higher enrollment

Company press release:

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the schools, colleges & universities peer group is "buy"

• Wall Street's median 12-month price target for Legacy Education Inc is $14.50, about 40.6% above its September 23 closing price of $10.31

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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)