Corinthian’s profit tumbles 81% as enrollment drops

Corinthian Colleges Inc., which operates colleges and training centers in the U.S. and Canada, said Wednesday that its fiscal first-quarter profit fell 81% as enrollment declined, and lowered its earnings forecast for the year.

Net income for the quarter that ended Sept. 30 fell to $1.4 million, or 2 cents a share, from $7.4 million, or 8 cents, a year earlier. That was lower than the 3-cent average estimate of analysts surveyed by Thomson Financial. Sales fell to $231.8 million from $236.3 million.

Corinthian had delayed its first-quarter report from Nov. 1, after announcing in July that it was investigating misdated stock options.

The company said its internal options review cut earnings by 1 cent a share in the first quarter. Corinthian reduced its forecast for the full year to a range of 47 cents to 52 cents, from 50 cents to 55 cents. Corinthian said it expected second-quarter earnings of 9 cents to 11 cents a share, lower than the 12-cent average estimate of analysts surveyed by Thomson Financial.

Shares of Santa Ana-based Corinthian rose 32 cents to $12.47. They have risen 6% this year.