Apollo Group, Inc. (NASDAQ: APOL) ("Apollo Group," "Apollo" or the
"Company") today provided details on new degreed enrollment and the
fiscal 2012 outlook in anticipation of its participation at the Robert
W. Baird Business Solutions Conference on Wednesday, February 29, 2012.
In addition, the Company announced details for its fiscal 2012 second
quarter conference call.
New Degreed Enrollment and Business Outlook
The Company currently anticipates new degreed enrollment for the second
quarter ending February 29, 2012, will reflect approximately flat to
low-single-digit growth year-over-year on a percentage basis, as
compared to previous expectations of growth similar to first quarter of
fiscal 2012, which was approximately 13 percent. Adjusted to exclude the
impact of an extra day in the second quarter of fiscal 2012, new degreed
enrollment for the quarter is expected to decrease year-over-year in the
low to mid-single digits, as compared to previous expectations of an
increase in the mid-single digits. Management believes new degreed
enrollment has been adversely impacted by a number of factors, including
the improving labor market, the competitive environment, and changes in
marketing channels to better identify potential students more likely to
succeed at University of Phoenix.
The Company anticipates consolidated net revenue for fiscal year 2012
will be $4.1 to $4.3 billion, consistent with the previously provided
outlook. The anticipated operating profit range for fiscal 2012 has been
revised to $625 to $725 million, excluding the impact of special items,
from the previous outlook of $655 to $750 million.
"While we expect new degreed enrollment to continue to fluctuate for the
remainder of this year, we are encouraged by the favorable impact of
improved retention and productivity gains during our second quarter,"
said Apollo Group Co-Chief Executive Officer Chas Edelstein. "In
addition, we continue to identify opportunities to be more efficient and
improve profitability over time."
Apollo Group Co-Chief Executive Officer and Apollo Global Chairman Greg
Cappelli added, "As we begin to emerge from a period of transition,
which continues to be impacted by the volatility in our industry, we
believe our investments to differentiate the University of Phoenix will
allow us to continue to provide our students with a high quality
education, as well as position us for long-term growth."
Fiscal 2012 Second Quarter Conference Call
The Company will report its fiscal 2012 second quarter results after the
market close on Monday, March 26, 2012, and will host a conference call
at 2:00 p.m. MT (5:00 p.m. ET) the same day. Participating from Apollo
Group, Inc. will be: Chas Edelstein, Co-Chief Executive Officer; Greg
Cappelli, Co-Chief Executive Officer and Chairman, Apollo Global; and
Brian Swartz, Senior Vice President and Chief Financial Officer.
Please dial in at least five minutes prior to the start of the call.
Journalists are invited to listen only. At the conclusion of the call,
journalists who wish to ask questions should call the media hotline at
Webcast and Replay:
journalists and the general public may access a live webcast of this
event by visiting the Apollo Group, Inc. website at: www.apollogrp.edu.
A webcast replay will be available approximately one hour following the
conclusion of the call at the same link.
replay will be available approximately two hours following the
conclusion of the call by dialing:
Conference ID: 56164637
(Available until April
About Apollo Group, Inc.
Apollo Group, Inc. is one of the world's largest private education
providers and has been in the education business for more than 35 years.
The Company offers innovative and distinctive educational programs and
services both online and on-campus at the undergraduate, master's and
doctoral levels through its subsidiaries: University of Phoenix, Apollo
Global, Institute for Professional Development and College for Financial
Planning. The Company's programs and services are provided in 40 states
and the District of Columbia, Puerto Rico, Latin America, and Europe, as
well as online throughout the world.
For more information about Apollo Group, Inc. and its subsidiaries, call
(800) 990-APOL or visit the Company's website at www.apollogrp.edu.
Forward-Looking Statements Safe Harbor
Statements about Apollo Group and its business in this release which are
not statements of historical fact, including statements regarding Apollo
Group's future strategy and plans and commentary regarding future
results of operations and prospects, are forward-looking statements, and
are subject to the Safe Harbor provisions created by the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements are based on current information and expectations and involve
a number of risks and uncertainties. Actual plans implemented and actual
results achieved may differ materially from those set forth in or
implied by such statements due to various factors, including without
limitation (i) changes in the overall U.S. or global economy, (ii) the
impact of increased competition from traditional public universities and
proprietary educational institutions (iii) changes in enrollment or
student mix, (iv) the impact of the Company's initiatives to improve the
student experience, (v) changes in law or regulation affecting the
Company's eligibility to participate in or the manner in which it
participates in U.S. federal student financial aid programs, and (vi)
changes in the Company's business necessary to remain in compliance with
existing, new, or amended U.S. federal student financial aid program
regulations, including the so-called 90/10 Rule and the limitations on
cohort default rates, and to remain in compliance with the accrediting
criteria of the relevant accrediting bodies. For a discussion of the
various factors that may cause actual plans implemented and actual
results achieved to differ materially from those set forth in the
forward-looking statements, please refer to the risk factors and other
disclosures contained in Apollo Group's Form 10-K for fiscal year 2011
and subsequent Forms 10-Q, and other filings with the Securities and
Exchange Commission, all of which are available on the Company's website
Apollo Group, Inc.
Investor Relations Contacts:
Coronelli, (312) 660-2059
Davis, (312) 660-2071
Media Relations Hotline, (602) 254-0086