KGIC Inc. Reports Earnings Results for the First Quarter Ended March 31, 2016
KGIC Inc. reported earnings results for the first quarter ended March 31, 2016. For the quarter, the company’s tuition revenue was $6,272,519 against $7,501,981 for the same period prior year, a decrease of 16%. Total revenue was $7,364,550 against $9,320,783 for the same period prior year, a decrease of 21%. Gross profit was $587,178 against $253,062 for the same period prior year, an increase of 132%. Loss from school operations before other items was $3,089,140 against $5,325,704 for the same period prior year, an increase of 42%. Loss from continuing operations was $3,633,315 against $5,942,910 for the same period prior year, an increase of 39%. Adjusted LBITDA from school operations was $2,707,549 against $4,969,844 for the same period prior year. The company reported a net loss of $0.02 per share compared to a net loss of $0.038 per share for the same period in 2015. Adjusted LBITDA was $0.015 per share compared to a negative of $0.031 per share for the same period in 2015. Cash flow used in operations was $2.97 million in the first quarter of 2016. Reduction in tuition revenue in first quarter of 2016 of 16% is attributable to the closure of 6 campuses and the loss of students from the discontinued South Korean student recruitment agencies in 2015.