Government Solutions – Results-Oriented, Hands-On Training for All Levels of Government

Financial Statements

LEARNING TREE INTERNATIONAL, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(all amounts in thousands, except per share amounts) (Unaudited)

		Three Months Ended				Six Months Ended
		March 29, 2013		March 30, 2012		March 29, 2013		March 30, 2012

Revenues	$	26,933	$	28,942	$	60,223	$	63,917
Cost of revenues		14,859		14,558		31,280		30,192
Gross profit		12,074		14,384		28,943		33,725

Operating expenses:
Course development		1,930		2,070		4,031		4,191
Sales and marketing		7,312		8,360		15,117		15,870
General and administrative		6,667		7,468		14,994		14,357
Total operating expenses		15,909		17,898		34,142		34,418

Income (loss) from operations		(3,835)		(3,514)		(5,199)		(693)

Other income (expense), net		206		(191)		187		(145)

Income (loss) before income taxes		(3,629)		(3,705)		(5,012)		(838)
Provision (benefit) for income tax		386		(1,586)		419		(554)
Net income (loss)	$	(4,015)	$	(2,119)	$	(5,431)	$	(284)

Earnings (loss) per share--diluted	$	(0.30)	$	(0.16)	$	(0.41)	$	(0.02)


LEARNING TREE INTERNATIONAL, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS
(all amounts in thousands)
	March 29, 2013 (unaudited)			September 28, 2012

Cash and cash equivalents	$	26,317	$	25,784
Available for sale securities		0		6,131
Trade accounts receivable, net		13,307		16,831
Prepaid expenses and other		8,953		8,552
Total current assets		48,577		57,298
Depreciable assets, net and other		23,473		31,748
Total assets	$	72,050	$	89,046

Accounts payable and accrued liabilities	$	15,976	$	20,264
Deferred revenues		29,084		31,899
Total current liabilities		45,060		52,163
Other		8,627		12,377
Total liabilities		53,687		64,540

Stockholders' equity		18,363		24,506
Total liabilities and stockholders' equity	$	72,050	$	89,046