Education technology holding company Aspen Group has reported a net loss of $900,000 for the first quarter of its 2022 fiscal year, the same amount it reported as a net loss for the first quarter of its 2021 fiscal year.
Revenue for the quarter was $19.4 million, up from $15.2 million reported for the first quarter of fiscal year 2021.
Aspen Group chairman and chief executive Michael Mathews said: “Aspen Group continued to experience solid momentum delivering 28% year-over-year revenue growth in what has typically been our slowest seasonal quarter. All three of our business units, Aspen Online Nursing + Other, Aspen BSN Pre-Licensure, and United States University, delivered growth year-over-year, with our highest LTV units (United States University, primarily MSN-FNP, and Aspen University’s BSN Pre-Licensure) now comprising 55% of consolidated revenue. Of note this quarter is the outstanding performance of each business unit achieving adjusted EBITDA above 20% during a period of new campus investment, an indication of the company’s profitability and cash generation potential.
“The first quarter delivered positive sequential improvement in our operating and profitability metrics. A portion of this performance is attributable to our recently instated Aspen 2.0 strategy, whereby we invest only in our highest LTV programmes while continuing to control expenses. We expect profitability gains from Aspen 2.0 to have the greatest impact in the second half of fiscal 2022 as we continue to realise the benefits of growth in our highest efficiency businesses.”
Date published: 23 September 2021