Laureate Education appoints Rick Sinkfield as CLO » 08:1106/3006/30/20
Laureate Education announced the appointment of Rick Sinkfield as chief legal officer. Sinkfield previously served as Laureate's SVP and Assistant General Counsel, Latin America. Reporting to Laureate's President and CEO, Eilif Serck-Hanssen, Mr. Sinkfield will be responsible for all global legal affairs, corporate governance, corporate compliance, and regulatory matters.Mr. Sinkfield takes over this role on July 17 from Victoria Silbey, who has held the position since September 2017. Ms. Silbey is leaving to pursue another opportunity outside the company, in a sector similar to her previous experience.
|Over a week ago|
Laureate Education upgraded to Overweight from Equal Weight at Morgan Stanley » 08:2606/2406/24/20
Morgan Stanley analyst…
Morgan Stanley analyst Javier Martinez de Olcoz Cerdan upgraded Laureate Education to Overweight from Equal Weight with a price target of $13, down from $13.50, citing relative valuation versus peers after Q1 was weaker than expected across the Latin American education space. While the sector has re-rated, it is still lagging behind Bovespa longer-term and he still sees relative value within the space, the analyst tells investors.
|Over a month ago|
Fly Intel: Wall Street's top stories for Thursday » 16:4305/1405/14/20
WFC, GS, CSCO, NCLH, SDC, ALLO, MGNX, TSM, AAPL, LAUR, WIX, OII, CTMX, VRTU, SSYS
Futures for the major…
Fly Intel: Wall Street's top stories at midday » 13:0605/1405/14/20
WFC, GS, CSCO, NCLH, SDC, LAUR, WIX, OII, CTMX, VRTU, SSYS
Futures for the major…
Laureate Education CFO buys 101K shares of common stock » 20:2005/1305/13/20
In a regulatory filing,…
In a regulatory filing, Laureate Education disclosed that its CFO Jean-Jacques Charhon bought 101.1K shares of common stock on May 11th in a transaction totaling $904K.
Laureate Education price target lowered to $16 from $21 at BMO Capital » 09:1405/1105/11/20
BMO Capital analyst…
BMO Capital analyst Jeffrey Silber lowered the firm's price target on Laureate Education to $16 from $21 and keeps an Outperform rating on the shares. The analyst is updating his model to reflect the 6% year-to-date enrollment decline trend due to COVID-19 and limited visibility given the potential economic impact of the pandemic, but he remains positive on Laureate as a "best-in-class" international higher education operator whose recent divestitures will help simplify its investment story.
Laureate Education updates FY20 guidance » 07:2405/0705/07/20
Laureate is updating its…
Laureate is updating its full-year 2020 guidance in response to the COVID-19 pandemic, as well as foreign exchange impacts, as the U.S. Dollar has strengthened significantly since February 27, 2020, the date of the Company's fourth quarter and full year 2019 earnings release. The additional unfavorable foreign currency impact for 2020 is expected to be ($250) million for Revenue, ($55) million for Adjusted EBITDA and ($28) million for Free Cash Flow, defined as operating cash flow less capital expenditures. Given the reduced visibility over its financial and operating performance due to uncertainties related to the macroeconomic impact of the COVID-19 pandemic, Laureate is updating its guidance for full-year 2020 under two scenarios, based on current foreign exchange spot rates: Scenario 1 - Assumes gradual reopening of campuses in the second half of 2020: Total enrollments estimated to be approximately 830,000 students; Revenues estimated to be in the range of $2,675 to $2,775 million; Adjusted EBITDA estimated to be in the range of $545 to $575 million; and Free Cash Flow estimated to be in the range of $160 to $180 million. Scenario 2 - Assumes COVID-19 resurgence in second half of 2020, eroding macroeconomic conditions and campuses remain closed: Total enrollments estimated to be approximately 780,000 students; Revenues estimated to be in the range of $2,575 to $2,675 million; Adjusted EBITDA estimated to be in the range of $485 to $515 million; and Free Cash Flow estimated to be in the range of $100 million to $120 million. Revenue consensus $3.11B.
Laureate Education implements actions to reduce cash outlays, expenses » 07:2305/0705/07/20
The company said,…
The company said, "For the past five years, Laureate has invested in building capacity to deliver high-quality, digital learning experiences for its students. From fully online universities, such as Walden University, to campus-based universities offering a combination of campus-based and online learning environments, Laureate students around the world are familiar with this mode of delivery, and faculty understand the importance of harnessing the power of technology to create authentic, personal, and innovative learning experiences for students. Prior to the COVID-19 pandemic, 28% of the teaching hours across Laureate's campus-based institutions were already being taught online as we deliver our educational offerings in a hybrid delivery model emphasizing both face-to-face and online learning. This compares to just 3% in 2014 when Laureate first started to invest in the digital enablement of its campus-based institutions. This expertise allowed all of Laureate's institutions to quickly transition to fully online in a matter of weeks and resulted in minimal disruptions to students as they were able to continue their educational programs in a high-quality online learning environment. Laureate students are now taking classes in an innovative learning environment enabled by a common learning management system (LMS) platform operated across most of the Company's network universities. Our investments in digital instruction, coupled with an ongoing commitment to quality and online learning, allow Laureate to complement synchronous, real-time instruction with the benefits of high-quality, engaging student instruction delivered through asynchronous means. We are committed to serving students with innovative and effective learning tools during this crisis and beyond. Given the uncertainty that exists as to the extent and duration of the COVID-19 pandemic, Laureate has proactively implemented a number of actions to reduce cash outlays and expenses, including freezing of non-essential capital expenditures until visibility improves and a reduction of more than $100 million in operating expenses, which includes temporary reductions in compensation for its CEO, executive management and board members. If the recovery takes longer than expected, Laureate expects to take additional actions. As previously announced, Laureate's Board of Directors has authorized the Company to explore strategic alternatives for each of its business units, evaluating all potential options, including sales, spin-offs or business combinations. The rationale for embarking on the strategic review process has not changed. However, as a result of the COVID-19 pandemic and its continuing effect on market conditions, the strategic review is progressing at a slower pace than anticipated. There can be no assurance as to how long the exploration of strategic alternatives will take, that these processes will result in the completion of any transaction, or as to the values that may be realized from any potential transaction. Laureate does not intend to provide further interim updates on the progress of this review unless and until it believes disclosure is appropriate."
Laureate Education reports Q1 EPS 47c, consensus (45c) » 07:2205/0705/07/20
Reports Q1 revenue…
Reports Q1 revenue $528.6M, consensus $565.28M. New enrollments decreased 18%, down 6%, adjusted for the timing of semester start dates and excluding the divestiture of UniNorte Brazil in the prior year. Total enrollments decreased 5%, down 2% excluding the divestiture of UniNorte Brazil in the prior year. Eilif Serck-Hanssen, President and Chief Executive Officer, said, "Laureate's business model demonstrated resiliency in the first quarter. While the COVID-19 pandemic affected the Company's main intake cycle in the Southern Hemisphere, resulting in lower new enrollments than anticipated, solid re-enrollment performance helped mitigate the impact on total enrollments. To further enhance Laureate's already strong liquidity position, we have proactively implemented a number of actions to preserve cash, including cost reductions. We are continuing with our strategic review process to unlock value for all our stakeholders, albeit at a slower-than-anticipated pace in light of the pandemic's effect on market conditions. During these unprecedented times, Laureate is more focused than ever on the health and well-being of our students, faculty and staff while delivering on our promise of providing high-quality educational offerings. In March, we quickly leveraged our existing expertise, technologies and learning platforms to transition our more than 800,000 campus-based students to fully online learning. I want to thank our faculty and staff for their flexibility, commitment and resilience during these challenging times."
Laureate Education price target lowered to $17.50 from $27 at Stifel » 09:1105/0405/04/20
Stifel analyst Shlomo…
Stifel analyst Shlomo Rosenbaum lowered the firm's price target on Laureate Education to $17.50 from $27 after he lowered his estimates to reflect much higher currency headwinds and near-term "friction" from the COVID-19 pandemic despite the company having moved to online delivery. He thinks the company's asset sale process is significantly slowed, if not stalled completely right now, but Rosenbaum blames that on the current environment, not because of lack of interest in the assets. He keeps a Buy rating on the shares as he believes the company is fully committed to selling off the assets, although the time to realize the sales has been temporarily pushed out.