PHOENIX, Ariz. — Universal Technical Institute, a provider of automotive technician training, reported results for the third quarter ended June 30, 2010. Revenues for the third quarter ended June 30, 2010, were $107.5 million, a 22.4 percent increase from $87.9 million for the third quarter of the prior year. Net income for the third quarter ended June 30, 2010, was $6.3 million, or 25 cents per diluted share, as compared to net income of $1.9 million, or 8 cents per diluted share, for the third quarter of the prior year.

"This was an exciting quarter for UTI, as we opened our 11th campus and launched our new blended learning curriculum," said Kimberly McWaters, president and CEO. "It was a solid quarter of record revenues, 20 percent growth in average enrollment and 35 percent growth in students starting school in the third quarter."

For the third quarter of fiscal 2010, revenues were $107.5 million, a 22.4 percent increase from $87.9 million for last year's third quarter. The increase in revenues primarily relates to an increase in average undergraduate full-time student enrollment and an increase in tuition rates. During the third quarter of fiscal 2010 and 2009, tuition revenue recognized by the company did not include $2.4 million and $2.5 million, respectively, because that portion of student's tuition was funded by the company's proprietary loan program. These amounts will be recognized when collected. Additionally, there was a decrease in revenue from the industry training programs.

Educational services and facilities expense increased $6.4 million, or 13.5 percent to $53.7 million for the three months ended June 30, 2010, from $47.3 million in the three months ended June 30, 2009. This increase was due to higher compensation and benefits expense related to an increase in the number of instructors and employees in the financial aid and other student support departments to support the needs of the growing student population.

Selling, general and administrative expense increased $6.4 million, or 17.0 percent to $44 million for the three months ended June 30, 2010, from $37.6 million for the three months ended June 30, 2009. The increase was due to an increase in advertising expense and an increase in compensation and benefits expense related to the increase in sales force representatives and employees to support the growth in average undergraduate student enrollment.
                                                                                                                                                                                                                                                                                                       Operating income and margin for the third quarter of fiscal 2010 was $9.9 million and 9.2 percent, respectively, compared to operating income and margin of $3.0 million and 3.4 percent, respectively, in the same period last year.
                                                                                                                                                                                                                                                                                                      Earnings before interest, tax, depreciation and amortization (EBITDA) for the third quarter of fiscal 2010 was $14.9 million compared to $7.5 million in the same period last year.