Apollo Group 2Q Profit Beat Expectations

PHOENIX (AP) — Apollo Group Inc., a for-profit education company that operates the University of Phoenix, on Tuesday reported a fiscal second-quarter profit, ahead of expectations, as enrollment increased.

Profit for the quarter ended Feb. 28 totaled $125.3 million, or 77 cents per share, compared with a year-earlier loss of $32 million, or 19 cents per share. The year-earlier loss was mainly due to lawsuit verdict, which was later reversed.

Revenue rose 26 percent to $876.1 million from $693.6 million.

Analysts polled by Thomson Reuters, on average, predicted a profit of 65 cents per share on revenue of $865.5 million.

Enrollment at the University of Phoenix rose 20 percent to nearly 400,000, the company said.

Meanwhile, the company named Joseph L. D'Amico, its president and chief financial officer, to the new position of chief operating officer.