Shares rise after ITT halts 3-year swoon in new students

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Investors cheered Thursday after ITT Educational Services Inc. reversed a three-year slide in new-student enrollment during the second quarter.

The Carmel-based operator of for-profit colleges signed up 16,883 new students in the three months ended June 30, a 7.5-percent increase from the same quarter last year.

ITT shares rose as much as 8.4 percent Thursday morning from their Wednesday close at $27.07 apiece.

The level of new students is still more than 20 percent lower than in the second quarter of 2010—the last time ITT saw a gain in new students at its 150 ITT Technical Institute campuses around the country.

But the turnaround gives hope that ITT can also reverse its long slide in revenue and profit, a trend still startlingly evident in the company’s second-quarter results.

Profit tumbled 54.7 percent from a year earlier, to $20.9 million. The earnings totaled 89 cents per share, down from $1.96 a year earlier. Wall Street analysts expected a penny more per share, according to a survey by Thomson Financial.

Revenue fell 21 percent, to $260 million; analysts expected $273 million.

Total enrollment at ITT campuses was 58,617 on June 30, down 11.7 percent from the same time last year.


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  1. A Tilted Kilt at a water park themed hotel? Who planned that one? I guess the Dad's need something to do while the kids are on the water slides.

  2. Don't come down on the fair for offering drinks. This is a craft and certainly one that belongs in agriculture due to ingredients. And for those worrying about how much you can drink. I'm sure it's more to do with liability than anything else. They don't want people suing for being over served. If you want a buzz, do a little pre-drinking before you go.

  3. I don't drink but go into this "controlled area" so my friend can drink. They have their 3 drink limit and then I give my friend my 3 drink limit. How is the fair going to control this very likely situation????

  4. I feel the conditions of the alcohol sales are a bit heavy handed, but you need to realize this is the first year in quite some time that beer & wine will be sold at the fair. They're starting off slowly to get a gauge on how it will perform this year - I would assume if everything goes fine that they relax some of the limits in the next year or couple of years. That said, I think requiring the consumption of alcohol to only occur in the beer tent is a bit much. That is going to be an awkward situation for those with minors - "Honey, I'm getting a beer... Ok, sure go ahead... Alright see you in just a min- half an hour."

  5. This might be an effort on the part of the State Fair Board to manage the risk until they get a better feel for it. However, the blanket notion that alcohol should not be served at "family oriented" events is perhaps an oversimplification. and not too realistic. For 15 years, I was a volunteer at the Indianapolis Air Show, which was as family oriented an event as it gets. We sold beer donated by Monarch Beverage Company and served by licensed and trained employees of United Package Liquors who were unpaid volunteers. And where did that money go? To central Indiana children's charities, including Riley Hospital for Children! It's all about managing the risk.