EarningsRevenues in the second quarter increased 3.9%, and adjusted EBITDA increased 24.4%, above estimates and near the high end of management’s guidance.
Profitability OutlookExpected recovery already underway at Rasmussen University is contributing to the optimistic outlook for profitability in 2024.
ValuationGiven its substantial discount valuation, recovering demand for affordable online higher education and nursing programs and expectation for a return to profitability in 2024, an OUTPERFORM investment rating is maintained.