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Restructuring Costs
3 Months Ended
Dec. 31, 2024
Restructuring and Related Activities [Abstract]  
Restructuring Costs
Note 12 - Restructuring Costs
On December 5, 2023, UTI announced plans to consolidate the two Houston, Texas campus locations to align the curriculum, student facing systems, and support services to better serve students seeking careers in in-demand fields. Both facilities will remain in use post-consolidation. As part of the transition, the MIAT Houston campus, acquired in November 2021, began a phased teach-out in May 2024 and began operating under the UTI brand. The consolidation into a single UTI Houston campus was completed during the three months ended December 31, 2024, reducing the number of UTI campuses from 16 to 15.
The total costs of the restructuring plan are estimated to be approximately $2.1 million and relate to the UTI segment. Approximately $43 thousand of expenses, primarily related to employee termination costs and tools, were incurred during the three months ended December 31, 2024. Of the $43 thousand recorded during the three months ended December 31, 2024,
approximately $12 thousand was reported in “Educational services and facilities” while approximately $31 thousand was reported in “Selling, general and administrative” on the condensed consolidated statements of operations. The total costs incurred through December 31, 2024 has been approximately $0.2 million and primarily related to employee termination costs and tools. Additional estimated costs of $1.9 million, which primarily relate to student financing, are expected to be recorded during the remainder of fiscal 2025 and beyond as incurred.