The Advisory Board Company Reports First Quarter 2017 Results

WASHINGTON, May 4, 2017

First Quarter Financial Review
(In millions, except per share amounts)			Q1-17		Q1-16 ARIVA.DE Börsen-Geflüster Kurse The Advisory Board Company -   0,00%	% Change
Revenue			$ 194.5		$  200.7	(3.1)%
Net income				19.7	10.3	90.1
Earnings per diluted share (EPS)				0.48	0.25	92.0
Adjusted Revenue (non-GAAP) a				194.1	195.5	(0.7)
Adjusted EBITDA (non-GAAP) a				45.0	45.9	(1.9)
Adjusted EPS (non-GAAP) a				$   0.47	$    0.44	6.8%
a)    Excludes contribution from exited programs and impact of restructuring and other charges for current and prior year periods.

"We delivered solid overall performance to start the year, with first quarter adjusted revenue and adjusted EBITDA both above our guidance ranges," said Robert Musslewhite, Chairman and Chief Executive Officer of The Advisory Board Company. "These results reflect our strong competitive position in two high-demand target markets, Health Care and Education, as well as the efforts of our passionate, committed team that leverages our distinct capabilities to help our members address complex market challenges.  I am confident that our unique best practice-based portfolio, deep insight, and exceptional member relationships set us up well to continue to have tremendous impact in these important markets, both now and into the future."

Revenue for the first quarter of 2017 was $194.5 million, compared to $200.7 million for the same quarter a year ago. The Company reported net income for the first quarter of 2017 of $19.7 million, or $0.48 per diluted share, compared to net income of $10.3 million, or $0.25 per diluted share, for the first quarter of 2016. The first quarter of 2017 included $11.2 million in restructuring-related charges and a gain of $23.4 million from the sale of Evolent Health stock in the period.

Contract value, excluding exited programs from current and prior year periods, increased 1.5% to $756.2 million as of March 31, 2017, compared to contract value of $744.9 million as of March 31, 2016.

Adjusted revenue for the first quarter of 2017 was $194.1 million, compared to adjusted revenue of $195.5 million for the same quarter a year ago. Adjusted EBITDA in the first quarter of 2017 was $45.0 million, compared to $45.9 million for the first quarter of 2016. Adjusted EPS was $0.47 for the first quarter of 2017, compared to $0.44 for the first quarter last year.

Balance Sheet and Capital Resources

At March 31, 2017, the Company had $150.1 million in cash and cash equivalents and $515.1 million in total debt.  The Company's leverage ratio at March 31, 2017 was approximately 2.8, compared to 3.0 at March 31, 2016. Net of cash, the Company's net leverage ratio was 2.0 at March 31, 2017, compared to 2.7 at March 31, 2016.

Net cash provided by operating activities for the first quarter of 2017 was $28.7 million, compared to $27.2 million for the same quarter a year ago. During the three months ended March 31, 2017, the Company sold approximately 23% of its equity holdings in Evolent Health for $41.4 million in cash proceeds.

2017 Financial Guidance

The Company's financial guidance for calendar year 2017 remained unchanged, as follows:

For the second quarter ending June 30, 2017, the Company expects adjusted revenue to be in a range of $192 million to $197 million, and adjusted EBITDA to be in a range of $44 million to $49 million.

Conference Call Information

As previously announced, The Advisory Board Company will hold a conference call to discuss its financial and operating performance today, May 4, 2017, at 5:30 p.m. Eastern Time. The Company invites all interested parties to attend the conference call, including the lenders under the Company's senior secured credit facilities. The call will be available via live webcast on the Company's website at investors.advisoryboardcompany.com. The webcast and accompanying slide presentation will be archived on the Company's website for at least 30 days.

To participate by telephone, please dial 888-336-7150 (or 412-902-4176 for international callers). Participants are advised to dial in at least five minutes prior to the call to register. 

About The Advisory Board Company

The Advisory Board Company is a best practices firm that uses a combination of research, technology, and consulting to improve the performance of approximately 5,700 health care organizations and educational institutions. Headquartered in Washington, D.C., with offices worldwide, The Advisory Board Company forges and finds the best new ideas and proven practices from its network of thousands of leaders, then customizes and hardwires them into every level of member organizations, creating enduring value. For more information, visit www.advisoryboardcompany.com.

Non-GAAP Financial Measures 

This news release presents information about the Company's historical adjusted revenue, adjusted EBITDA, adjusted net income, and adjusted EPS, which are non-GAAP financial measures provided as a complement to the results provided in accordance with accounting principles generally accepted in the United States of America ("GAAP"). A reconciliation of each of the foregoing historical non-GAAP financial measures to the most directly comparable historical GAAP financial measures is provided in the accompanying tables found at the end of this release for each of the fiscal periods indicated.

No reconciliation of the Company's adjusted revenue, adjusted EBITDA, adjusted EBITDA margin and adjusted EPS guidance for calendar year 2017 and the quarter ending June 30, 2017 to the most comparable GAAP financial measures is included in the tables found at the end of this release. All of these non-GAAP financial measures exclude the impact and tax-effected impact of stock-based compensation expense, exited programs, restructuring and other related charges, sale of equity holdings in Evolent Health, Inc., and other fair value and non-cash charges. The Company is not able, without unreasonable efforts, to accurately forecast the excluded items at the level of precision that would be required to be included in the reconciliations.

Caution Regarding Forward-Looking Statements

Statements in this news release that relate to future results and events are forward-looking statements and are based on the Company's expectations as of the date of this news release. In some cases, you can identify these statements by such forward-looking words as "anticipate," "believe," "estimate," "expect," "guidance," "intend," "may," "outlook," "plan," "potential," "should," "will," "would," or similar words or expressions. Forward-looking statements in this news release include the Company's expectations regarding its performance and results for calendar 2017 or the quarter ending June 30, 2017 with respect to adjusted revenue, adjusted EBITDA, adjusted EBITDA margin, adjusted EPS, stock-based compensation expense, interest expense, depreciation and amortization expense, and capital expenditures.

Actual results and events in future periods may differ materially from those expressed or implied by these forward-looking statements because of a number of risks, uncertainties, and other factors, including those relating to:  factors that adversely affect the financial condition of the health care and education industries; federal and state law and regulations governing the health care and education industries and the Company's members' and subcontractors' respective compliance with those applicable laws and regulations; effects of federal and state privacy and security laws and cyberattacks, actual or attempted breaches of security, unanticipated disclosures of information, and similar events; liability for failure to provide accurate information or for deficient submissions to third-party payors; compliance with federal and state laws governing healthcare fraud and abuse or reimbursement; the Company's ability to attract new members, obtain renewals from existing members, and sell additional products and services; maintaining the Company's reputation and expanding its name recognition; the Company's ability to offer new and valuable products and services; effects of competition; the Company's ability to maintain a highly-skilled workforce; unsuccessful design or implementation of software or delivery of the Company's consulting, management and data-enabled services; delays in generating revenue; disruptions in service or operational failures at the Company's data centers or at other service provider locations; ability to collect and maintain member and third-party data and to obtain proper permissions and waivers for use and disclosure of information received from members or on their behalf; maintenance of third-party providers and strategic alliances and entry into new alliances; ability to license, integrate, and access third-party technologies and data; potential liability claims; protection of the Company's intellectual property; claims of infringement, misappropriation, or violation of proprietary rights of third parties; limitations associated with use of open source technology; estimates and assumptions used to prepare the Company's consolidated financial statements and any changes made to those estimates; any significant increase in bad debt in excess of recorded estimates; the inability to integrate successfully the operations of future acquisitions into the Company's business; business and financial risks associated with the pursuit of acquisition opportunities; any significant additional impairment of the Company's goodwill; the Company's ability to realize a return on its strategic investments; potential imposition of sales and use taxes on sales of the Company's services; the Company's ability to realize fully its deferred tax assets; the potential effects of changes in, or interpretations of, tax rules on the Company's effective tax rates; inherent limitations in, and the potential impact of any failure to maintain, effective internal control and procedures over financial reporting; limitations caused by the Company's level of debt, interest payment obligations, and covenants under its senior credit agreement; unanticipated risks and costs regarding interest rates and hedging instruments; and effects of issuance of additional capital stock; provisions in the Company's charter and bylaws that could discourage takeover attempts.

This list of risks, uncertainties, and other factors is not complete. The Company discusses some of these matters more fully, as well as certain risk factors that could affect the Company's business, financial condition, results of operations, and prospects, in its filings with the Securities and Exchange Commission, including the Company's annual report on Form 10-K for the year ended December 31, 2016, quarterly reports on Form 10-Q, and current reports on Form 8-K. These filings are available for review through the Securities and Exchange Commission's website at www.sec.gov. Any or all forward-looking statements the Company makes may turn out to be wrong, and can be affected by inaccurate assumptions the Company might make or by known or unknown risks, uncertainties, and other factors, including those identified in this news release. Accordingly, you should not place undue reliance on the forward-looking statements made in this news release, which speak only as of its date. The Company does not undertake to update any of its forward-looking statements, whether as a result of circumstances or events that arise after the date they are made, new information, or otherwise.

THE ADVISORY BOARD COMPANY
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
AND OTHER OPERATING STATISTICS
(In thousands, except per share data)
			Three Months Ended
			March 31,
			2017		2016		% Change
Statements of Income			(unaudited)		(unaudited)
Revenue (1)			$    194,539 Werbung Mehr Nachrichten zur The Advisory Board Company Aktie kostenlos abonnieren E-Mail-Adresse Bitte überprüfe deine die E-Mail-Adresse. Benachrichtigungen von ARIVA.DE (Mit der Bestellung akzeptierst du die Datenschutzhinweise) -1 Vielen Dank, dass du dich für unseren Newsletter angemeldet hast. Du erhältst in Kürze eine E-Mail mit einem Aktivierungslink. Hinweis: ARIVA.DE veröffentlicht in dieser Rubrik Analysen, Kolumnen und Nachrichten aus verschiedenen Quellen. Die ARIVA.DE AG ist nicht verantwortlich für Inhalte, die erkennbar von Dritten in den „News“-Bereich dieser Webseite eingestellt worden sind, und macht sich diese nicht zu Eigen. Diese Inhalte sind insbesondere durch eine entsprechende „von“-Kennzeichnung unterhalb der Artikelüberschrift und/oder durch den Link „Um den vollständigen Artikel zu lesen, klicken Sie bitte hier.“ erkennbar; verantwortlich für diese Inhalte ist allein der genannte Dritte. Andere Nutzer interessierten sich auch für folgende News 24.04.24 - PR Newswire Invesco Bond Income Plus Ltd - Issue of Equity 24.04.24 - PR Newswire Fidelity Emerging Markets Ltd - Monthly Factsheet Solarboom 2024:    5 Gründe die für diese Aktie sprechen… weiterlesen» Anzeige wo-site-teaser-box-16746_site-teaser-box_2024-04-24_08%253A00%253A00_2024-04-25_09%253A00%253A59