Universal Technical Institute (NYSE: UTI) reported Q1 EPS of $0.07, versus ($0.36) reported last year. Revenue for the quarter came in at $87.2 million versus the consensus estimate of $79.04 million.

• First quarter revenue of $87.2 million increased 5.0% versus the prior year quarter.
• New student starts, excluding Norwood, MA campus, increased 7.7% for the first quarter as compared to the prior year quarter.
• First quarter net income of $4.7 million increased $12.4 million from the prior year quarter loss.
• Adjusted EBITDA(1) of $10.1 million in the first quarter increased $8.7 million versus the prior year quarter.
• Management reaffirms overall full year 2020 guidance while increasing capital expenditure guidance to reflect incremental growth investments in welding program expansions.

"Growth in our first quarter of fiscal 2020 across multiple key metrics reflects our focused execution on our multi-pronged strategy," said Jerome Grant, UTI's Chief Executive Officer. "New student starts were up 7.7%, revenues increased 5%, and operating income of $4.3 million improved $11.5 million from the prior year quarter's loss. As a result, we grew net income to $4.7 million."

"We have strengthened our foundation and are taking steps to drive our next phase of growth. Recently, we realigned our senior leadership team to fuel that growth, streamline the student experience and become more effective and efficient from initial contact through the admissions process."

"We are keenly focused on offering curriculum to provide our students training for job skills that are in high demand. This focus, combined with our goal to efficiently utilize space in our legacy campuses, produced our successful welding programs. To capitalize on the positive turn in our results, we have accelerated expansion of welding and now plan to move from three to at least six programs by fiscal 2021. Additionally, with an eye toward the future of the transportation industry and arming our students with the skills they will need to succeed, we are adapting our core automotive program to include Volvo Car's advanced and electrified vehicles and technology, and continuing our work in partnership with industry to update our manufacturer programs with the latest in their brand-specific innovations."

"We remain committed to delivering the next phase of profitable growth and generating positive returns for all our stakeholders."

GUIDANCE:

Universal Technical Institute sees FY2020 revenue of $338-345 million, versus the consensus of $346.1 million.

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