Aspen Group Stock Price, News & Analysis

Aspen Group (Nasdaq: ASPU) reported a 23% year-over-year increase in new student enrollments for Q4 FY 2021, totaling 2,182. Bookings rose 21% to $32.2 million. For the full fiscal year, bookings hit $143.4 million, up from $111.3 million. The company ended FY 2021 with $8.5 million in unrestricted cash and total liquidity of $13.5 million, including an undrawn $5 million credit facility. Aspen University's student body rose 17% to 11,117, while USU's increased 41% to 2,769.

Aspen Group reported a 33% revenue increase in Q3 FY2021, totaling $16.6 million compared to $12.5 million in Q3 FY2020. The GAAP gross profit was $8.7 million, with a margin of 52%. Despite this growth, the company faced a net loss of $2.8 million, slightly worse than the $2.3 million loss from the previous year. Operating expenses rose due to new campus launch costs, although the Phoenix metro program showed promising profitability with a 52% EBITDA margin. Looking ahead, Q4 forecasts predicted 31%-33% revenue growth but lower than previously estimated.

Aspen Group, Inc. (Nasdaq: ASPU) announced the launch of its new Bachelor of Science in Nursing (BSN) Pre-Licensure program in Nashville, Tennessee, following necessary state and board of nursing approvals. The program enables enrollment of first-year prerequisite students effective immediately, with classes starting in April 2021. The 120-credit program costs below $50,000 and offers various flexible learning options. Aspen Group aims to have 12 operational BSN locations by 2025, further enhancing accessibility to nursing education.

Aspen Group, Inc. (Nasdaq: ASPU) announced the amicable departure of Chief Financial Officer Frank J. Cotroneo, effective February 26, 2021. The company is conducting an executive search for a new CFO, with Chief Accounting Officer Robert Alessi temporarily taking over the responsibilities. CEO Michael Mathews praised Cotroneo for his contributions in building a strong finance team and improving financial processes. Aspen Group focuses on making college affordable through its universities, Aspen University and United States University.

Aspen Group reported a 22% increase in total active student body to 13,407 and a 26% growth in nursing students, comprising 87% of the total. For Q3 FY2021, enrollments rose to 2,129, with bookings increasing 24% year-over-year to $33 million. Despite a 38% rise in average cost of enrollment (CAC) to $1,365, the marketing efficiency ratio remained high at above 11X. The company plans to open eight new campuses in the Southern US over four years, aiming for continued growth and shareholder value.

Aspen Group, Inc. (Nasdaq: ASPU) announced a significant milestone in its BSN-PL program by implementing a double cohort system at its main campus in Phoenix, with 86 students starting in February 2021, marking a 70% increase from the previous year. This change is expected to increase annual student enrollments to over 500 and yield approximately $10 million in revenue, up from $6 million. The increase highlights the company's growth potential and emphasizes the profitable nature of its educational programs.

Aspen Group, Inc. (ASPU) reported a 40% increase in revenue to $17.0 million for Q2 FY2021, compared to $12.1 million in Q2 FY2020. However, the company reported a net loss of $4.4 million, or $(0.19) per share, versus a net loss of $0.6 million in the prior year. Gross profit rose to $9.3 million, but gross margin decreased to 55%. The company emphasized its growth strategy through marketing investments and new campus openings, which are expected to enhance revenue streams in the future. Bookings also grew by 34% to $42.1 million.

Aspen Group, Inc. (ASPU) reported a record 2,659 new student enrollments for Q2 FY2021, reflecting a 20% increase year-over-year. The total active student body rose to 13,238, with nursing students reaching 11,442. Bookings surged 34% to $42.1 million, and average revenue per enrollment climbed 12% to $15,825. Despite an increase in the weighted average cost of enrollment (CAC) by 31% from $875 to $1,143, the Marketing Efficiency Ratio remained above 13X. The company plans to open ten new campuses in the Southern U.S. over the next five years, promoting long-term growth.

Aspen Group, Inc. (Nasdaq: ASPU) announced participation in three virtual investor conferences in November and December 2020. The events include ROTH Technology Virtual Event on November 11, 2020, where one-on-one meetings will be held from 9:15 AM to 4:10 PM ET; the 11th Annual Craig-Hallum Alpha Select Conference on November 17, 2020, with meetings from 9:00 AM to 3:00 PM ET; and the B. Riley Securities 2020 Education Services & Technology Conference on December 2, 2020, featuring a fireside chat with CEO Michael Mathews.