Shares of Grand Canyon Education (GCE) saw a significant surge on Friday following the release of their impressive third-quarter earnings report. The stock climbed 13% to reach $137.89 per share during afternoon trading, marking a potential all-time closing high. With a 30% increase in stock value throughout this year, GCE continues to prove its worth in the education services industry.
During the third quarter, GCE achieved a profit of $35.7 million, or $1.19 per share, surpassing last year’s Q3 profit of $30 million, or 96 cents per share. This growth in profitability can be attributed to a variety of factors, including higher enrollment at Grand Canyon University (GCU) and increased revenue per student resulting from higher fees.
Moreover, GCE exceeded analysts’ expectations by generating $221.9 million in revenue for the quarter, surpassing the forecasted amount of $219.6 million. The company’s strong financial performance can also be attributed to effective management strategies and adherence to their Q3 guidance.
Due to the favorable results from the third quarter, GCE has revised its full-year profit outlook. They now anticipate full-year earnings per share of $6.74 to $6.77, compared to the previously projected range of $6.37 to $6.55. This positive adjustment further strengthens investor confidence in the company’s continued success.
In conclusion, GCE’s strong Q3 performance, marked by increased profitability and revenue, has propelled the company forward and resulted in an impressive surge in stock value. With a revised full-year outlook that exceeds initial expectations, Grand Canyon Education is poised for continued growth and success in the education services sector.