Universal Technical Institute, Inc. (NYSE:UTI) Q1 2024 Earnings Call Transcript

And we believe that’s a significant amount of upside for them over the next 24 to 36 months and we’re going to really focus on that with them as well.

Alex Paris: And then I guess my last question would be inorganic growth, M&A, you’ve been very successful with M&A over the last few years, the acquisition of MIAT and Concorde have been home runs in my opinion. Didn’t talk much about it in the prepared comments. I assume these things take a while to close anyway, but what’s your thoughts with regard to M&A and where would you target M&A?

Troy Anderson: You’re right. We didn’t talk about a lot in our speech because we’ve got nothing to announce today. And so therefore, not going to talk about it. We have made it clear in the past that we’re not done. We are looking in places that, whether it’s geographies or program areas. We think we can accomplish through M&A as well. In just one example, in the healthcare area, we were incredibly blessed with Allied Health and dental in the Concorde acquisition, but a very small number of their students and small number of campuses are actually in nursing. And so therefore, that’s an area of research where we can look at participating more deeply in the healthcare arena. So we are excited about Cochrane as a cornerstone acquisition in healthcare and we will likely look to be more aggressive in that space.

On the UTI side of the equation, as we’ve said in the past is when we look at new locations. We also or programs in that we’re not teaching in the location. We also look at inorganic means for entering a market so that we don’t have start up from the very beginning. It takes about 18 months to get a campus from a warehouse to a campus. And so we’ll also look in terms of geography and new program areas to continue to proliferate broader band of in demand skills. And when we have something to announce, you guys will be the first to know.

Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Jerome Grant for any closing remarks.

Jerome Grant: Hey, thanks a lot, Dave. I’d like to thank everyone who attended today. As always, Troy and I are going to be available for follow-up question tuned over the next few days. We look forward to speaking with many of you over that time period. And once again, we look forward to, your audience once again in May when we do our second quarter fiscal results. So thanks.

Operator: The conference is now concluded. Thank you for attending today’s presentation. You may now disconnect.