US: Universal Technical Institute reports modest quarterly profit
Universal Technical Institute (UTI), a private for-profit system of transportation and technical programmes throughout the US, has reported net income of $843,000 for the third quarter of its 2022 fiscal year ending 30 June 2022, compared to a net income of $3 million reported for the third quarter of 2021. Revenue for the quarter was $101 million, up from $83.8 million reported for Q3 2021.
UTI also announced results for the first nine months of its 2022 fiscal year ending 30 June 2022. Its net income for the period was $23 million, up from net income of $2.5 million reported for the first nine months of 2021. Revenue for the nine-month period was $308.1 million, up from $237.6 million reported for the first nine months of 2021.
UTI’s chief executive Jerome Grant said: “We delivered another strong quarter with revenue and adjusted EBITDA exceeding our expectations. Several elements of our growth and diversification strategy, which is still in its early stages of deployment, contributed positively to our performance in the quarter, including the Miat College of Technology acquisition and the opening of our new campus in Austin, Texas.”
“As always, our focus on delivering strong student and employment outcomes is central to everything we do at UTI. The need for our services across a broad array of in-demand fields in the transportation and skilled trades arenas supports our strategy of expanding our offerings into areas where the skills gap remains substantial.
“Our recent announcement to acquire Concorde Career Colleges, which will broaden our family of education brands into sizeable and growing healthcare fields like dental and other allied health professions, as well as patient care and nursing, fits perfectly with this strategy.
“In addition, we are opening our new campus in Miramar, Florida this month and are executing on our plan for Miat programme expansions across the UTI campuses over the next two years. We remain focused and excited for the opportunities ahead of us and delivering on our longer-term strategic road map that we believe will result in revenue in excess of $700 million and adjusted EBITDA margin of approximately 20% by fiscal 2025. With our flexible and adaptable business model, we are prepared to navigate any nearer-term challenges affecting the broader economic environment.”