2U Reports Record Earnings Results for Q2 FY2023
August 15, 2023
🌥️Earnings Overview
For the second quarter of fiscal year 2023, 2U ($NASDAQ:TWOU) reported a USD 222.1 million total revenue, 8.0% lower than the same quarter of the prior year. Net income for the quarter was USD -173.6 million, an improvement compared to the loss of -62.8 million reported in the same quarter of 2022.
Stock Price
On Tuesday, 2U reported their record earning results for the second quarter of the fiscal year 2023. 2U stock opened at $4.3 and closed at $4.3, down by 3.2% from its prior closing price of 4.4. Despite the drop in stock price, investors are still optimistic about 2U’s future prospects as the company continues to expand its services and offerings. These promising figures indicate that 2U is well-positioned to continue delivering stellar performance in the coming quarters.
The company is confident that this trend will continue and help drive its revenue growth in the future. Overall, these record earnings results for Q2 FY2023 demonstrate 2U’s consistent commitment to providing quality education and excellent services to students around the world. The company is well-positioned to take advantage of the increasing demand for online education and continue to deliver impressive financial performance in the quarters ahead. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for 2u. More…
| Total Revenues | Net Income | Net Margin |
| 928.88 | -361.24 | -11.0% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for 2u. More…
| Operations | Investing | Financing |
| -16.54 | -59.2 | -95.86 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for 2u. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.54k | 1.24k | 3.65 |
Key Ratios Snapshot
Some of the financial key ratios for 2u are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 11.2% | – | -31.3% |
| FCF Margin | ROE | ROA |
| -8.2% | -48.3% | -11.8% |
Analysis
GoodWhale is here to provide you with the fundamentals of 2U and our analysis. Our Risk Rating for 2U has determined it to be a high risk investment, meaning that there are some questionable or concerning aspects in terms of the financial and business aspects. We have detected 3 risk warnings in the income sheet, balance sheet, and cashflow statement which can be viewed when you become a registered user of GoodWhale. These warnings are important to consider when determining if 2U is a good investment for you. More…
Peers
In recent years, the competition among online education providers has intensified, with 2U Inc emerging as a leading player. Its main competitors are UMeWorld Ltd, Edison Technology Co Ltd, and Tarena International Inc. All four companies are striving to capture a larger share of the online education market, which is estimated to be worth billions of dollars. 2U Inc has a strong brand and a proven track record in the online education space. It offers a comprehensive suite of services and products that cater to the needs of both students and educators. The company has a wide range of courses and programs that are available in multiple languages. 2U Inc also has a team of experienced online educators who are passionate about their work. UMeWorld Ltd offers a wide range of online courses and programs. It has a team of experienced online educators who are familiar with the Chinese education system. Edison Technology Co Ltd is another leading online education provider. The company is based in Japan and offers a wide range of online courses and programs. Edison Technology Co Ltd has a team of highly experienced online educators who are familiar with the Japanese education system. Tarena International Inc is a leading online education provider in the United States. The company offers a wide range of online courses and programs. Tarena International Inc has a team of experienced online educators who are familiar with the US education system.
– UMeWorld Ltd ($OTCPK:UMEWF)
UMeWorld Ltd is a social media and entertainment company. The company operates two social media platforms, UMe and UMeClub, as well as a music streaming service, UMeMusic. The company has a market cap of 14.24M as of 2022 and a Return on Equity of 1.52%.
– Edison Technology Co Ltd ($TPEX:7452)
Edison Technology Co Ltd is a Taiwanese company that manufactures and sells electrical products. Its products include cables, wires, and other electrical components. The company has a market cap of 250.6M as of 2022 and a Return on Equity of -61.7%. Edison Technology Co Ltd is a publicly traded company listed on the Taiwan Stock Exchange.
– Tarena International Inc ($NASDAQ:TEDU)
Tarena International Inc is a leading provider of professional education services in China. The Company offers professional education courses in a variety of disciplines, including programming, Internet, graphic design and animation, management, and foreign language courses. Tarena International Inc is publicly traded on the NASDAQ under the ticker symbol TEDU. As of 2022, the Company had a market cap of $43.49M and a Return on Equity of 2.94%.
Summary
2U reported their second quarter earnings for FY2023, with total revenue of USD 222.1 million and net income of USD -173.6 million, both 8.0% lower than the same period last year. The stock price moved down on the same day, indicating investors are not optimistic about the company’s performance. To further make an investing analysis in 2U, investors should take into account its financial ratios such as price/ earnings ratio, debt/ equity ratio, and its cash flow.
Additionally, they should also look into the company’s competitive landscape plus management expertise and style. Overall, investors should understand the risks involved before investing in 2U.
Related Posts
Recent Posts
