How Do We Do It?
A Look at DeVry Inc.’s
Investor Relations Program
Mission
To effectively manage and position the
information impacting the Company’s
credibility, reputation and brand.
– Focus on ensuring transparency in the Company’s
financial reporting
Support from the Top
DeVry’s executive management team
believes investor relations and proactive
communications with the Street is an
important part of their job.
There are challenges though:
• DeVry does not provide guidance
• DeVry has 15 sell-side analysts
• DeVry is in the midst of a turnaround
• DeVry is impacted by industry turmoil
Messaging
Basis to DeVry’s messaging comes from
several sources:
• June 2004 Perception Study
• Quarterly meetings with all business heads
• Investor Feedback
• Industry Analysis
• Continuous measurement and improvement
The Quarterly Earnings Process
The process of gathering information and
compiling an outline of items that will
develop into the script starts at least three
weeks prior to the call.
The Preparation Process:
• Interviews with operating heads
• Analysis of trends
• Tying all main points back to Five-Point Growth Plan
The Quarterly Earnings Process
The quarterly conference call is an
important component of DeVry’s investor
communication effort.
The Call and Post-Production Process:
• Control of the Q&A session
• Provide feedback to management
• Deliver summary books to management team
Targeting Investors
DeVry utilizes a financial peer targeting
platform
• Cross referenced with industry holdings
• Analyze an institution’s buying potential
Since March 31, 2004, 8 favorable, long-term
institutional investors have initiated positions
in excess of 100,000 shares.
5 of the 8 were institutions DeVry actively
targeted
Investor Meetings & Conferences
How do we determine with whom to meet?
Prioritize by:
• Current holding in DeVry or history of holding
• Highly ranked on current targeting list
• Industry holdings
• Assets under management and style – limit hedge funds
Investor Meetings & Conferences
Over the past 12 months DeVry has:
• Attended 5 sell-side sponsored conferences
• Held 118 one-on-one meetings – face-to-face or
conference calls
• Facilitated 13 tours of DeVry operating locations – up to
40 investors on each tour
• Hosted and webcasted an Analyst Day at DeVry’s
Fremont, California, campus
Analyst Day
Give analysts and investors an opportunity to
meet and interact with managers not
ordinarily available at conferences or for
one-on-one meetings.
• 45 onsite attendees with many others participating via
webcast
• Presentations from 6 members of management
• Highlights of the event included a student panel and a
tour of the Fremont campus and newly constructed dorm
Annual Report
The evolving process
• Switched to a 10-K Wrap this year (6/30 Year End)
• Met smaller budget in both design and printing
• Process was about 45 days shorter
• Easier process
• Best practices approach: send the full 10-K
The Disclosure Committee
Co-chaired by director of investor relations
and corporate compliance officer
Members also include the chief financial
officer, chief compliance officer and general
counsel
Created disclosure policy and distributed to
all DeVry employees
Support
With an Investor Relations team of two,
DeVry utilizes the following external
resources:
• IR and Financial Media Consulting Firm
• Stock Surveillance
• Investor and First Call Database
• Design Firm: Annual Report and Presentation Template
IR: From the CFO’s Perspective
In this increasingly regulated environment,
investor relations is an important function
beyond a general investor communication
focus.
Investor relations impacts management’s and the
Company’s:
• Strategic focus
• Brand
• Reputation
• Credibility
IR: From the CFO’s Perspective
Benchmarking success
• Changing investor perceptions
• Clarity of the message
• Less stock price volatility
• Meeting with future holders – quality meetings
How Do We Do It?
A Look at DeVry Inc.’s
Investor Relations Program