With 150 Schools Now Open Edison Schools Expects $20 million EBITDA for Current Year Friday, October 11, 2002 The company said it expects to post at least a $20 million EBITDA, net of stock-based compensation expense, in the current fiscal year as well as achieve substantial net income in the fourth quarter of its current fiscal year. We are now well into our fiscal year with all of our sites open, our enrollments largely determined, and our HQ re-engineering substantially complete. This summer we provided our shareholders guidance on our expected results and we now have sufficient visibility to strongly reaffirm our earlier expectations, said Chris Whittle, Edisons founder and CEO. These expected results would represent a major financial accomplishment for the company. The company said it would provide further details on its expected results during its First Quarter Earnings Call scheduled for next month. However, it did provide certain factors which are driving the anticipated improvements. We expect major progress this year for two key reasons, said Whittle. First, the companys site contribution before depreciation and amortization is expected to reach approximately $100,000,000, a record in both absolute and percentage terms. This is being driven by enrollment growth, strong summer school performance, and by discontinuing a handful of unprofitable relationships. Second, our central spending as a percentage of revenue is expected to improve as it has always done. In fact, we expect our central spending to improve this year in absolute terms as well.
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