Thread regarding National American University layoffs

NAUH finally releases annual report. Larger losses in 2018.

"The university’s enrollment declined from 8,185 students as of May 31, 2016 to 6,703 students as of May 31, 2017, and then decreased to 5,648 students as of May 31, 2018, representing a decrease of approximately 18.1% from 2016 to 2017 and a decrease of 15.7% from 2017 to 2018."

"During the same periods, total revenue declined from $96.1 million for the fiscal year ended May 31, 2016, to $86.6 million for fiscal year ended May 31, 2017, and then decreased to $77.2 million for the fiscal year ended May 31, 2018, representing annual decreases of 9.9% and 10.9%, respectively. Income before income taxes for the fiscal year ended May 31, 2016 was a loss of $8.2 million, compared to a loss of $7.8 million for the fiscal year ended May 31, 2017, and a loss of $12.3 million for the fiscal year ended May 31, 2018."

https://www.sec.gov/Archives/edgar/data/1399855/000165495418010162/nauh_10k.htm

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| 592 views | | 1 reply (September 16, 2018) | Reply
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National American University's earnings losses escalated, from $7.8M in FY 2017 to $12.3M in FY 2018. Four years of annual losses in enrollment, revenues, earnings, and assets--something that's not even close to sustainable.

Available cash has been reduced from $23.3M in 2015 to $5.3M in 2018.

NAU is expected to merge and close campuses, but they have long-term obligations that would result in penalties.

Even with cost-cutting measures such as campus closings, we may see a cash crunch starting in June 2019, when NAUH has to start paying off their principal to Black Hills Community Bank (more about their long-term debt is in the Annual Report).

From the SEC Form 10K:

Enrollment

(2015) 9,519

(2016) 8,185

(2017) 6,703

(2018) 5,648

Revenue + Earnings

(2015) 117.9 (-6.7M)

(2016) 96.1M (-8.2M)

(2017) 86.6M (-7.8M)

(2018) 77.2M (-12.3M)

2018 Annual Report

https://www.sec.gov/Archives/edgar/data/1399855/000165495418010162/nauh_10k.htm

2017 Annual Report

https://www.sec.gov/Archives/edgar/data/1399855/000165495417006965/nauh_10k.htm

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