For-profit Capella Education Company, which operates online school Cappella University, reported today that revenue, operating income, faculty positions, and enrollment declined in 2011.
Fourth-quarter 2011 revenue down 4.1% to $110.0 million in comparison to $114.7 million in 2010. Operating income dropped nearly $10 million to $18.9 million from $28.3 million in 2010. The company cut 63 non-faculty positions, which cost them $1.3 million, but is projected to save the company $5.2 million annually. The net income also dropped $6 million.
The total active enrollment fell 4.5% and new enrollment decreased by 9.4% since the fourth quarter of 2010.
Overall revenues for the year increased by 0.9% to $430.0 million, but cash flow from operations for 2011 decreased to $80.3 million from $88.4 million. By the end of the 2011 year, the company’s cash, cash equivalents, and marketable securities dropped to $127.0 million compared to $193.2 million for 2010.
-Dustin Bass, @dbass_cmn
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