EX-99.1 2 d349134dex991.htm PRESS RELEASE Press Release

Exhibit 99.1

LEARNING TREE ANNOUNCES SECOND QUARTER FISCAL YEAR 2012 RESULTS

RESTON, VA (May 8, 2012) Learning Tree International, Inc. (NASDAQ: LTRE) announced today its revenues and results of operations for its second quarter of fiscal year 2012, which ended March 30, 2012.

In its second quarter of fiscal year 2012, Learning Tree reported revenues of $28.9 million, loss from operations of $3.5 million, and net loss of $2.1 million or $0.16 per share. These results compare with revenues of $30.4 million, loss from operations of $1.6 million, and net loss of $1.0 million or $0.07 per share in its second quarter of fiscal year 2011.

“Dr. Collins and I are glad to have returned in January to positions of the day-to-day leadership of Learning Tree and we are enthusiastic about the company’s future,” said Max Shevitz, President. “While we are disappointed in the results of our second quarter, we are excited about the opportunities we have uncovered and been acting upon. We believe that the changes we are implementing: in the company’s speed and accuracy of execution, in its customer facing processes and in the company’s investment in marketing and sales; all have the potential, over time, to achieve our goals of revenue growth and improved margins. That said, we recognize that these changes and process improvements may take several quarters to gain traction and begin showing results.”

Learning Tree International is a leading global provider of highly effective, hands-on training to information technology professionals and managers. 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 Web development; IT security; project management; operating systems; databases; networking; software development and leadership and business skills. 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 Web site 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.

Webcast

An investor conference call to discuss second quarter fiscal year 2012 results is scheduled at 4:30 p.m. (EST) May 8, 2012. Interested parties are invited to listen to the conference call by accessing the webcast live on Learning Tree’s web site www.learningtree.com/investor. The webcast will also be available at www.learningtree.com/investor for replay.

Contact Information

Max Shevitz

President

Learning Tree International

Phone: (703) 709-9119

max_shevitz@learningtree.com


LEARNING TREE INTERNATIONAL, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(all amounts in thousands, except per share amounts)

 

     Three Months Ended     Six Months Ended  
     March 30,
2012
    April 1,
2011
    March 30,
2012
    April 1,
2011
 

Revenues

   $ 28,942      $ 30,402      $ 63,917      $ 66,034   

Cost of revenues

     14,558        14,819        30,192        30,609   
  

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     14,384        15,583        33,725        35,425   
  

 

 

   

 

 

   

 

 

   

 

 

 

Operating expenses:

        

Course development

     2,070        1,842        4,191        3,819   

Sales and marketing

     8,360        8,060        15,870        15,725   

General and administrative

     7,468        7,278        14,357        14,519   
  

 

 

   

 

 

   

 

 

   

 

 

 

Total operating expenses

     17,898        17,180        34,418        34,063   
  

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from operations

     (3,514     (1,597     (693     1,362   

Other income (expense), net

     (191     (33     (145     (14
  

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) before income taxes

     (3,705     (1,630     (838     1,348   

Provision (benefit) for income tax

     (1,586     (634     (554     381   
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

   $ (2,119   $ (996   $ (284   $ 967   
  

 

 

   

 

 

   

 

 

   

 

 

 

Earnings (loss) per share—diluted

   $ (0.16   $ (0.07   $ (0.02   $ 0.07   
  

 

 

   

 

 

   

 

 

   

 

 

 

LEARNING TREE INTERNATIONAL, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(all amounts in thousands)

 

     March 30,
2012
     September 30,
2011
 

Cash and cash equivalents

   $ 32,366       $ 40,293   

Available for sale securities

     12,866         2,352   

Trade accounts receivable, net

     13,218         18,220   

Prepaid expenses and other

     7,865         6,373   
  

 

 

    

 

 

 

Total current assets

     66,315         67,238   

Depreciable assets, net and other

     33,519         34,914   
  

 

 

    

 

 

 

Total assets

   $ 99,834       $ 102,152   
  

 

 

    

 

 

 

Accounts payable and accrued liabilities

   $ 16,637       $ 16,893   

Deferred revenues

     32,788         34,572   
  

 

 

    

 

 

 

Total current liabilities

     49,425         51,465   

Other

     12,574         12,936   
  

 

 

    

 

 

 

Total liabilities

     61,999         64,401   
  

 

 

    

 

 

 

Stockholders’ equity

     37,835         37,751   
  

 

 

    

 

 

 

Total liabilities and stockholders’ equity

   $ 99,834       $ 102,152