Courtesy of Benzinga.
DeVry Inc. (NYSE: DV) today announced that it anticipates reporting revenue for its fiscal fourth quarter ending June 30, 2012, between $500 million and $510 million. Total operating costs and expenses in the quarter are anticipated to be between $465 million and $475 million, which is expected to produce earnings per share in the range of $0.43 to $0.46, before discrete items.
Recent factors impacting management’s expectations for the fourth quarter include:
A shortfall in revenue from the increased use of scholarships awarded to students in DeVry University’s May and July classes; student enrollments in the quarter were in line with DeVry University’s expectations Higher than anticipated operating costs in the fourth quarter including increased spending on inquiry generation and instructional costs An accrual resulting from a now-resolved servicing issue related to DeVry University’s administration of its Federal Perkins loan program DeVry also anticipates reporting the following discrete items in the fourth quarter:
A non-cash pre-tax impairment charge of approximately $19 million for Advanced Academics (after tax of approximately $18 million or approximately $0.28 per share) A pre-tax restructuring charge of approximately $7 million related to workforce reductions (after tax approximately $4 million or approximately $0.07 per share)
