ITT Educational Services
, a for-profit provider of postsecondary degree programs, said its third-quarter earnings fell 4%, hurt by poorer margins.
The Carmel, Ind.-based company earned $33.1 million, or 77 cents a share, in the quarter, compared with $34.4 million, or 73 cents a share, a year ago. Excluding special legal and other investigation costs, the company earned $33.1 million, or 77 cents a share, in the quarter, compared with $30.5 million, or 65 cents a share, a year ago. Analysts polled by Thomson First Call were expecting earnings of 75 cents a share in the most recent quarter.
Third-quarter revenue rose 7.3% to $189.7 million as against analysts' estimate of $195.9 million.
The company expects to earn $2.66 a share to $2.69 a share for the full year as against analysts' estimate of $2.68 a share.
New students enrollment increased 6% to 16,789 and total student enrollment increased 8.6% to 48,155 as of Sept. 30.
Operating profit fell 2.6% to $51.1 million and operating profit margin declined 270 basis points to 27%.
The company's shares were trading down 59 cents to $68.48.
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