Strayer Education 3Q profit rises 27 percent

Strayer said net income rose to $11.8 million, or 83 cents per share, up from $9.3 million, or 64 cents per share, a year ago.

Analysts surveyed by Thomson Reuters, on average, had forecast a profit of 81 cents per share.

Revenue rose 25 percent to $87 million, Wall Street estimates of $81 million.

Enrollment at Strayer University for the 2008 fall term rose 24 percent to 44,564 students, compared with 36,082 in the same term a year ago. Enrollment of continuing students was up 22 percent, while new-student enrollment jumped 29 percent. The number of students taking courses online increased 44 percent.

"We are pleased with our solid financial results for the third quarter and our strong student enrollment for the fall term," said Robert Silberman, chairman and chief executive.

The company also forecast fourth-quarter profit and revenue above analysts' expectations, and said it would increase tuition 5 percent beginning in January. Strayer also plans to open 11 new campuses.

Besides its online offerings, Strayer runs 60 campuses in 12 states and Washington D.C. Strayer's undergraduate and graduate degree offerings are geared toward working adults, with programs in business administration, accounting, information technology, education, health care and public administration.