Apollo Group announced today that its fiscal fourth-quarter net income fell 60% due to higher costs and declining enrollment at the University of Phoenix. In response, the U.S. for-profit education company plans to close 115 campus, a move that will affect 13,000 students. The university, which also recently announced a tuition freeze, is in the process of notifying students.
The announcement comes as enrollments overall in the for-profit-education sector are declining after years of rapid growth, even as enrollment rises in other higher-education sectors. In recent months, the for-profit sector has faced tighter regulations and more pressure to enroll students who have a better chance of graduating.