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Mar 31, 2020

Laureate Q1 2020 Earnings Report

Laureate's business model demonstrated resiliency, with solid re-enrollment performance mitigating the impact of lower new enrollments due to the COVID-19 pandemic.

Key Takeaways

Laureate Education reported a decrease in revenue and Adjusted EBITDA for the first quarter of 2020, primarily due to the COVID-19 pandemic and the weakening of foreign currencies. The company is implementing cost reductions and continuing its strategic review process to unlock value.

New enrollments decreased 18% compared to the first quarter of 2019, but only 6% when adjusted for timing and the sale of UniNorte.

Revenue decreased by 12% to $528.6 million, or 4% on an organic constant currency basis.

The operating loss was $(117.1) million, compared to an operating loss of $(92.0) million for the same period last year.

Adjusted EBITDA was $(36.9) million, a decrease of 25% on a reported basis.

Total Revenue
$529M
Previous year: $622M
-15.0%
EPS
-$0.64
Previous year: -$0.25
+156.0%
Adjusted EBITDA
-$36.9M
Cash and Equivalents
$547M
Previous year: $274M
+99.4%

Laureate

Laureate

Forward Guidance

Laureate is updating its full-year 2020 guidance in response to the COVID-19 pandemic and foreign exchange impacts, presenting two scenarios based on the potential for campus reopenings in the second half of the year.