Segment Information

3 Months Ended

Mar. 31, 2022

Segment Reporting [Abstract]

Segment Information

Segment Information

In connection with the Rasmussen Acquisition (as further described in Note 3, “Acquisition Activity”), the Company revised its reportable segments to reflect the manner in which the chief operating decision-maker evaluates performance and allocates resources, and to include RU as a separately reportable segment. Prior to the third quarter of 2021, the Company had

two reportable segments: the American Public Education, Inc. Segment, or APEI Segment, and the Hondros College of Nursing, or HCN Segment. Post-acquisition, the Company has three reportable segments: the APUS Segment, which was previously included within the former APEI Segment; the RU Segment; and the HCN Segment. The APEI Segment previously reported the results of both APUS and remaining unallocated Company expenses. GSUSA does not meet the quantitative thresholds to qualify as a reportable segment; therefore, its operational activities are presented below within “Corporate and Other”. Adjustments to reconcile segment results to the Consolidated Financial Statements, including unallocated corporate activity and eliminations, which generally were previously reported within the APEI Segment, are also included in “Corporate and Other”. Prior periods have been updated to conform to the revised presentation.

In accordance with FASB ASC 280, Segment Reporting, the chief operating decision-maker has been identified as the Company’s Chief Executive Officer. The Company’s Chief Executive Officer reviews operating results to make decisions about allocating resources and assessing performance for the APUS, RU, and HCN Segments.

A summary of financial information by reportable segment is as follows (in thousands):    

	Three Months Ended March 31,
	2022		2021
	(Unaudited)
Revenue:
APUS Segment	$	73,090	$	77,476
RU Segment	67,099		—
HCN Segment	11,541		11,132
Corporate and Other	3,017		(67)
Total Revenue	$	154,747	$	88,541
Depreciation and amortization:
APUS Segment	$	1,701	$	2,493
RU Segment	6,079		—
HCN Segment	222		148
Corporate and Other	146		10
Total Depreciation and amortization	$	8,148	$	2,651
Income (loss) from operations before interest and income taxes:
APUS Segment	$	13,182	$	14,031
RU Segment	891		—
HCN Segment	(995)		783
Corporate and Other	(7,878)		(4,177)
Total income from operations before interest and income taxes	$	5,200	$	10,637
Interest (expense) income:
APUS Segment	$	39	$	91
RU Segment	3		—
HCN Segment	2		2
Corporate and Other	(3,399)		21
Total Interest (expense) income	$	(3,355)	$	114
Income tax expense (benefit):
APUS Segment	$	4,674	$	3,767
RU Segment	306		—
HCN Segment	(316)		205
Corporate and Other	(3,624)		(1,333)
Total Income tax expense	$	1,040	$	2,639
Capital expenditures:
APUS Segment	$	441	$	971
RU Segment	1,924		—
HCN Segment	500		557
Corporate and Other	100		—
Total Capital Expenditures	$	2,965	$	1,528

A summary of the Company’s consolidated assets by reportable segment is as follows (in thousands):

	As of March 31, 2022		As of December 31, 2021
	(Unaudited)
Assets:
APUS Segment	$	136,573	$	126,926
RU Segment	426,073		429,299
HCN Segment	50,803		51,936
Corporate and Other	157,961		117,447
Total Assets	$	771,410	$725,608