Examples of forward-looking statements include, among others, statements regarding (1) UTI's belief that the acquisition will serve as a cornerstone for its key future growth and diversification efforts; (2) UTI's ability to integrate Concorde's healthcare programs into its portfolio of educational offerings; (3) UTI's anticipated expansion efforts; (4) UTI's expectation of increasing shareholder value; and (5) UTI's expectation of accelerating its revenue, profitability and cash flow over the next several years. UTI is an educational institution and cannot guarantee employment or salary. With the addition of the Concorde brand and its portfolio of programs and campuses, Universal Technical Institute will significantly expand upon its already announced growth and diversification plans. 1.7 million+ Total technician employment expected nationally by 203138 By any measure this is a terrible performance, and the 47-year-old McWaters may need to be replaced. Universal Technical Institute, Inc. to Acquire Concorde Career Colleges, Inc., a Leading Provider of Healthcare Education Programs. Click the button and tell us what program you're interested in! The company will provide further commentary on the Concorde acquisition during the Second Quarter Fiscal Year 2022 Results conference call it will be hosting tomorrow at 4:30 pm Eastern Daylight Time . Get in touch with us directly. Contact an Admissions Representative to begin the enrollment process. Among the reasons stated by UTI CEO Kimberly J. McWaters for the underperformance are "changes in consumer perception and behaviors regarding education and the lingering effects of regulatory change, including increased competition for higher-quality students." That's interesting, because hedge funds can be quite active and activist. That implies potential students don't see the costs of going to UTI as commensurate with the benefits. We aim to bring you long-term focused analysis driven by fundamental data. UTI has struggled in recent years. [22], Learn how and when to remove this template message, "Don't Expect Miracles from Universal Technical Institute", "Universal Technical Institute, Inc.: Introduction", "Inaugural Class of Fort Bragg BMW MSTEP Program, Taught by UTI, Celebrates Their Graduation & Prepares for New Civilian Careers as BMW Technicians", "New BMW and UTI Program Prepares Service Members for Civilian Careers as BMW Automotive Technicians", "Premier Truck Group and Universal Technical Institute Honor Transitioning Military Service Members as They Graduate from the Inaugural Class of Technician Training at Fort Bliss", "Universal Technical Institute Implements Financial Improvement Plan to Deliver $25 to $30 Million in Annualized Savings in 2017; Reaffirms 2016 Fiscal Year Outlook", "One of Arizona's longest-tenured female CEOs to retire amid losses at Universal Technical Institute", "Universal Technical Institute Announces Jerome A. So they usually pay more attention to companies that are included in major indices. 1) UTI cannot guarantee employment or salary. If you are like me, you may want to think about whether this company will grow or shrink. The definition of company insiders can be subjective and does vary between jurisdictions. Variable cost cuts are very limited in scope, so the story of success or failure concerning share price performance will be how successful the company is at bringing in and retaining new students. We can see that Universal Technical Institute does have institutional investors; and they hold a good portion of the company's stock. Google Investors should not expect the companys current buyback and dividend to continue much longer. Universal Technical Institute serves three student segments: high school, veterans, and adult. 2) For important information about the educational debt, earnings and completion rates of students who attended this program, and to review the applicable Gainful Employment disclosure, visit our website at www.uti.edu/disclosures. You may opt-out of receiving targeted advertisements from other companies that perform interest-based advertising services, including some that we may work with, via the Digital Advertising Alliance (DAA) site at http://optout.aboutads.info. Enrollment has been declining since then. Search trends for automotive education are down 10% year-over-year. Most Programs Take Less Than a Year. Many look for medium term catalysts that will drive the share price higher. Note that UTI scores second lowest in profit margins, profit growth, and is the most highly valued company on the list. Concorde Career Colleges is a leading provider of healthcare education programs focused on preparing students for successful professions in the healthcare sector, which is expected to add about 2.6 million new jobs over the next decade due to attrition in the workforce along with an aging population that is expected to drive increased demand for healthcare services.1 The company offers diploma and degree programs across nursing, dental hygiene, and other direct patient care fields including physical therapy assistant and respiratory therapy, as well as allied health including medical and dental assisting and healthcare administration. PHOENIX, Dec. 1, 2022 /PRNewswire/ -- Universal Technical Institute, Inc.(NYSE: UTI), a leading workforce solutions provider of transportation and skilled trades education programs, today announced the close of its acquisition of Concorde Career Colleges, Inc. ("Concorde"),which offers more than 20 programs across the Allied Health, Dental, Nursing, Patient Care, and Diagnosticfields. For the first half growth came in at 17 percent. Additionally, Universal Technical Institute is opening new campuses in Miramar, Florida., and Austin, Texas and is further expanding its welding programs to 2 additional locations during the fiscal year. The Company is comprised of two divisions: UTI and Concorde Career Colleges. 1) UTI is an educational institution and cannot guarantee employment or salary. One way it is attempting to build up the value of the education it offers students is by customizing programs according to the requirements of prospective employers. With 70% stake, institutions possess the maximum shares in the. 2023 Universal Technical Institute, Inc. All rights reserved. Presiding over this type of decline over almost a decade calls for new leadership, as other educational companies, while under similar pressures, have managed to perform much better facing the same headwinds. I further understand and agree that I may instead call MIAT at 1-800-477-1310 for Canton, MI and 1-888-547-7047 for Houston, TX or UTI at 1-800-913-7524 to request admission information. The problem with this strategy is that demand for UTIs education appears to be highly elastic. We expect the transaction to close during the first half of fiscal 2023, subject to regulatory approvals and other customary closing conditions.". Since the items excluded from these measures are significant components in understanding and assessing financial performance under GAAP, these measures should not be considered to be an alternative to net income (loss) or any other measures derived in accordance with GAAP as a measure of operating performance or profitability. UTI shares have fallen to under $10 since the buyback began, which indicates that the share repurchase program has destroyed over 20% of the $8.8 million purchased, or around $2 million in value. Once completed, the acquisition will add Concorde Career Colleges to Universal Technical Institute, Inc.'s brand family, which currently includes Universal Technical Institute, Motorcycle Mechanics Institute, Marine Mechanics Institute, NASCAR Technical Institute, and MIAT College of Technology. Join A Paid User Research SessionYoull receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. On the state level, Tennessee recently made waves bymaking two-year community colleges freeto all high school graduates. UTI has relationships with manufacturers of more than 35 leading brands. Lincoln Education and Corinthian colleges are the other schools on the list with automotive technology programs. 1Source: U.S. Bureau of Labor Statistics, https://www.bls.gov/ooh/healthcare/home.htm, viewed May 2, 2022.2 Encompasses 12 UTI campuses, 2 MIAT campuses, and 17 Concorde campuses post-close. I am not receiving compensation for it (other than from Seeking Alpha). Awards vary due to specific conditions, criteria and state. COVID-19 FAQs | COVID-19 Updates | Lab Info | CDC's COVID-19 website. I wrote this article myself, and it expresses my own opinions. I also cant see any reason why another firm would buy out UTI. Media ContactAlanna Vitucciavitucci@uti.edu480.710.6843, View original content to download multimedia:https://www.prnewswire.com/news-releases/universal-technical-institute-expands-platform-of-workforce-solutions-offerings-with-completion-of-concorde-career-colleges-inc-acquisition-301692062.html. Along with the weak revenue is the high cost structure of the company, much of which is fixed. "Universal Technical Institute's brands have a great reputation with both employers and students in transportation and skilled trades. Management understands what must be done, but the overwhelming negative trend in the market will be hard to overcome no matter what changes are made. Universal Technical Institute (UTI) suffers from unreasonably high valuation and steadily declining enrollment. The scholarship growth angle is a good one, but unless it includes a large number of students it won't do much to change the performance of UTI over the long term. I only included this strategy segment to show the company is taking steps in that direction, and waiting to see the enrollment numbers is all that will matter. EBITDA stood at $4.2 million in comparison to $89.5 million in 2012 in the second quarter. Increasing inquiries is one thing, converting them to students is another; and UTI hasn't been good at doing that recently. UTI expressly disclaims any obligation to publicly update any forward-looking statements, whether written or oral, that may be made from time to time, whether as a result of new information, future developments, changes in expectations, any changes in events, conditions, or circumstances, or otherwise. In the second quarter that continued with a year-over-year growth rate of 14 percent. The acquisition adds campuses in Texas and Michigan and eight new . UTI has not entirely avoided allegations of wrongdoing either. That liability equals 66% of the stocks market cap and is 195% larger than the companys cash balance. Instead, they are based only on UTI's current beliefs, expectations, and assumptions regarding the future of its business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Looking at the last year, the company burnt through US$36m. SOURCE Universal Technical Institute, Inc. Concorde Career Colleges, Inc. ("Concorde"), 2022 full year and fourth quarter earnings call on, https://www.prnewswire.com/news-releases/universal-technical-institute-expands-platform-of-workforce-solutions-offerings-with-completion-of-concorde-career-colleges-inc-acquisition-301692062.html, Stock market news live updates: Stock futures stagnant as earnings season picks up, Who's to blame? However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions. PHOENIX, July 19, 2021 /PRNewswire/ -- Universal Technical Institute, Inc. (NYSE: UTI), the nation's leading provider of transportation technician training, today announced that it plans to report results for the third quarter of fiscal 2021 ended June 30, 2021 on Monday, August 2, 2021, after market close. Concerned about the content? The company is headquartered in Phoenix, Arizona. [2], In January 1998, UTI acquired Clinton Harley Corporation and Clinton Education Group, Inc. for $26.3 million. UTI Graduation Rate by Race/Ethnicity. Sam McBride and Andr Rouillard contributed to this report. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. The acquisition of NTT and PTA was completed for approximately $50.2 million. We choose to disclose this non-GAAP financial measure for Concorde because it provides an additional performance measure. Any forward-looking statements made by UTI in this press release are based only on information currently available to UTI and speak only as of the date on which it is made.
Brute Lawn Mower Parts Model Bsg1221seb6, How Much Does Steve Liesman Make, New Restaurant In Brownwood The Villages, Fl,