Reston, VA – August 10, 2010
Learning Tree International, Inc. (NASDAQ: LTRE) announced today its revenues and results of operations for its third quarter of fiscal year 2010, which ended July 2, 2010. Learning Tree also announced that it would pay a one-time dividend of $2.20 per share on September 10, 2010, to shareholders of record as of August 20, 2010.
Revenues for the quarter ended July 2, 2010, were $32.8 million compared with $32.3 million for the same quarter of the prior fiscal year. For its third quarter of fiscal year 2010, Learning Tree reported income from operations of $1.3 million, compared to income from operations of $3.2 million for its third quarter of fiscal year 2009. After the effects of a tax benefit of $0.5 million due mainly to tax adjustments under ASC 740, net income for the third quarter of fiscal year 2010 was $2.1 million, the same as for the third quarter of fiscal year 2009. Earnings per share for the third quarter of fiscal year 2010 were $0.15, the same as for the third quarter of fiscal year 2009.
Revenues for the first nine months of fiscal year 2010 were $93.6 million, compared with $100.8 million for the same period in fiscal year 2009. Learning Tree's income from operations for the first nine months of its fiscal year 2010 was $3.0 million. This compares to income from operations of $3.4 million for the first nine months of fiscal year 2009. Net income for the first nine months of fiscal year 2010 was $3.2 million, or $0.23 per share. This compares to net income of $2.6 million, or $0.17 per share, for the first nine months of fiscal year 2009.
“We are pleased that our consolidated revenues in our third quarter of fiscal 2010 exceeded those for our third quarter of the prior fiscal year. Even without the effect of foreign exchange rates, our revenues were essentially unchanged from our third quarter of last year – which represents the best year-over-year comparison we've had since start of the downtown in fiscal 2008,” commented Learning Tree President and CEO Nicholas R. Schacht. “During the third quarter we saw a significant increase in our work for the U.S. Department of Veterans Affairs and we received our 5,000th enrollment for courses delivered with Learning Tree AnyWare™, our patent-pending live online learning platform.”
Mr. Schacht continued, “After carefully considering our cash balances, the stability of our business operations, the successful sale of all our auction rate securities at their full face value, and our anticipated needs for cash for operations as well as an operating reserve, yesterday our Board voted to pay a one-time dividend of $2.20 per share on September 10, 2010 to shareholders of record as of August 20, 2010. The total amount of the dividend will be approximately $30 million.”
Learning Tree International is a leading global provider of highly effective, hands-on training to managers and information technology professionals. Since 1974, over 65,000 organizations have relied on Learning Tree to enhance the professional skills of more than 2 million employees. Learning Tree develops, markets and delivers a broad, proprietary library of instructor-led courses focused on people and project management; leadership and business skills; web development; operating systems; databases; networking; IT security; and software development. Courses are presented globally at Learning Tree Education Centers, on site at client facilities, and are available via Learning Tree AnyWare™, the Company's proprietary live, online instructor-led training delivery option, which connects online participants to the actual classroom. For more information about Learning Tree products and services, call 1-888-THE-TREE (1-888-843-8733), or visit the Learning Tree website at www.learningtree.com.
Except for historical information contained herein, the matters addressed in this press release are forward-looking statements. Please do not put undue reliance on these forward-looking statements, since they are based on key assumptions about future risks and uncertainties. Although Learning Tree believes that its assumptions are reasonable, inevitably some will prove to be incorrect. As a result, Learning Tree's actual future results can be expected to differ from those in this release, and those differences may be material. Learning Tree is not undertaking any obligation to update forward-looking statements. In order to help the reader assess the major risks in Learning Tree's business, Learning Tree has identified many, but not all, of these risks in Item 1A, “Risk Factors” in Learning Tree's Annual Report on Form 10-K (“Item 1A”). Please read that exhibit carefully. Some of the factors discussed in Item 1A that could affect Learning Tree include the following: risks associated with the timely development, introduction, and customer acceptance of Learning Tree's courses; competition; international operations, including currency fluctuations; changing economic and market conditions; technology development and new technology introduction; efficient delivery and scheduling of Learning Tree's courses; adverse weather conditions, strikes, acts of war or terrorism and other external events; and attracting and retaining qualified personnel.
An investor conference call to discuss third quarter results is scheduled at 4:30 p.m. (EDT) August 10, 2010. Interested parties are invited to listen to the conference call by accessing the webcast live on Learning Tree's website www.learningtree.com/investor. The webcast will also be available at www.learningtree.com/investor for replay.
Learning Tree International
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