The Advisory Board Company Reports Fiscal Year 2008 Third Quart...(2006 Rates Financial Highligh...),Health

Financial Highlights

(GAAP, as reported)

Revenues $161,045 $139,543 15.4%

Cost of services $74,775 $65,824

Member relations and

marketing $33,654 $29,808

General and administrative $19,457 $17,015

Income from operations $30,561 $25,439

Net income $23,529 $20,217 16.4%

Basic earnings per share $1.30 $1.07 21.5%

Diluted earnings per share $1.25 $1.03 21.4%

Weighted average common

shares outstanding

Basic 18,097 18,818

Diluted 18,825 19,554

Financial Highlights

(Adjusted) (1)

Adjusted cost of services $70,995 $62,693

Adjusted member relations

and marketing $31,530 $27,721

Adjusted general and

administrative $14,918 $13,068

Adjusted income from

operations $41,004 $34,604 18.5%

Adjusted net income $30,497 $26,276 16.1%

Adjusted diluted earnings

per share $1.62 $1.34 20.9%

Diluted weighted average

common shares outstanding 18,825 19,554

Adjusted percentages of

revenues (1)

Adjusted cost of services 44.1% 44.9%

Adjusted member relations

and marketing 19.6% 19.9%

Adjusted general and

administrative 9.3% 9.4%

Adjusted income from

operations 25.5% 24.8%

(1) In order to allow investors to assess results on a basis consistent

with t
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