American Public Education Reports First Quarter 2025 Financial Results
American Public Education (APEI) reported strong Q1 2025 financial results, with consolidated revenue increasing 6.6% year-over-year to $164.6 million. The company achieved a significant turnaround with net income of $7.5 million ($0.41 per share), compared to a loss of $1.0 million in Q1 2024. Adjusted EBITDA improved to $21.2 million from $17.1 million year-over-year.
Growth was driven by increased enrollment across all segments, particularly Rasmussen University, which saw a 7.4% increase in student enrollment. APUS net course registrations grew 3.5%, while Hondros College of Nursing enrollment increased 9.6%. The company raised its full-year 2025 guidance, projecting net income between $23-30 million and Adjusted EBITDA of $77-87 million, while maintaining revenue estimates of $650-660 million.
American Public Education (APEI) ha riportato solidi risultati finanziari del primo trimestre 2025, con un fatturato consolidato in crescita del 6,6% su base annua, raggiungendo 164,6 milioni di dollari. L'azienda ha registrato una significativa inversione di tendenza con un utile netto di 7,5 milioni di dollari (0,41 dollari per azione), rispetto a una perdita di 1,0 milione di dollari nel primo trimestre 2024. L'EBITDA rettificato è migliorato a 21,2 milioni di dollari rispetto ai 17,1 milioni dell'anno precedente.
La crescita è stata trainata dall'aumento delle iscrizioni in tutti i segmenti, in particolare alla Rasmussen University, che ha registrato un incremento del 7,4% degli studenti iscritti. Le iscrizioni nette ai corsi APUS sono cresciute del 3,5%, mentre le iscrizioni al Hondros College of Nursing sono aumentate del 9,6%. L'azienda ha rivisto al rialzo le previsioni per l'intero 2025, prevedendo un utile netto tra i 23 e i 30 milioni di dollari e un EBITDA rettificato tra i 77 e gli 87 milioni di dollari, mantenendo le stime di fatturato tra i 650 e i 660 milioni di dollari.
American Public Education (APEI) reportó sólidos resultados financieros del primer trimestre de 2025, con ingresos consolidados que aumentaron un 6,6% interanual hasta 164,6 millones de dólares. La compañía logró una recuperación significativa con un ingreso neto de 7,5 millones de dólares (0,41 dólares por acción), en comparación con una pérdida de 1,0 millón de dólares en el primer trimestre de 2024. El EBITDA ajustado mejoró a 21,2 millones de dólares desde 17,1 millones año tras año.
El crecimiento fue impulsado por un aumento en la matrícula en todos los segmentos, especialmente en Rasmussen University, que experimentó un incremento del 7,4% en la inscripción de estudiantes. Las inscripciones netas de cursos de APUS crecieron un 3,5%, mientras que la matrícula en Hondros College of Nursing aumentó un 9,6%. La compañía elevó sus previsiones para todo el año 2025, proyectando un ingreso neto entre 23 y 30 millones de dólares y un EBITDA ajustado de 77 a 87 millones de dólares, manteniendo las estimaciones de ingresos entre 650 y 660 millones de dólares.
American Public Education(APEI)는 2025년 1분기 재무 실적이 강세를 보였으며, 연결 매출은 전년 동기 대비 6.6% 증가한 1억 6460만 달러를 기록했습니다. 회사는 2024년 1분기 100만 달러 손실에서 750만 달러 순이익(주당 0.41달러)으로 크게 전환에 성공했습니다. 조정 EBITDA는 전년 대비 1710만 달러에서 2120만 달러로 개선되었습니다.
성장은 모든 부문에서 등록 학생 수 증가에 힘입었으며, 특히 Rasmussen University는 학생 등록이 7.4% 증가했습니다. APUS의 순강좌 등록은 3.5% 증가했으며 Hondros College of Nursing 등록은 9.6% 증가했습니다. 회사는 2025년 전체 가이던스를 상향 조정하여 순이익을 2300만~3000만 달러, 조정 EBITDA를 7700만~8700만 달러로 예상하고 있으며, 매출 추정치는 6억 5000만~6억 6000만 달러로 유지하고 있습니다.
American Public Education (APEI) a annoncé de solides résultats financiers pour le premier trimestre 2025, avec un chiffre d'affaires consolidé en hausse de 6,6 % sur un an, atteignant 164,6 millions de dollars. L'entreprise a réalisé un retournement significatif avec un bénéfice net de 7,5 millions de dollars (0,41 dollar par action), contre une perte de 1,0 million de dollars au premier trimestre 2024. L'EBITDA ajusté est passé de 17,1 millions à 21,2 millions de dollars sur un an.
La croissance a été portée par une augmentation des inscriptions dans tous les segments, notamment à l'université Rasmussen, qui a enregistré une hausse de 7,4 % des étudiants inscrits. Les inscriptions nettes aux cours d'APUS ont augmenté de 3,5 %, tandis que les inscriptions au Hondros College of Nursing ont progressé de 9,6 %. L'entreprise a relevé ses prévisions pour l'ensemble de l'année 2025, prévoyant un bénéfice net compris entre 23 et 30 millions de dollars et un EBITDA ajusté entre 77 et 87 millions de dollars, tout en maintenant ses estimations de chiffre d'affaires entre 650 et 660 millions de dollars.
American Public Education (APEI) meldete starke Finanzergebnisse für das erste Quartal 2025 mit einem konsolidierten Umsatzanstieg von 6,6 % gegenüber dem Vorjahr auf 164,6 Millionen US-Dollar. Das Unternehmen erzielte eine deutliche Wende mit einem Nettogewinn von 7,5 Millionen US-Dollar (0,41 US-Dollar pro Aktie) im Vergleich zu einem Verlust von 1,0 Million US-Dollar im ersten Quartal 2024. Das bereinigte EBITDA verbesserte sich von 17,1 Millionen auf 21,2 Millionen US-Dollar im Jahresvergleich.
Das Wachstum wurde durch eine erhöhte Einschreibung in allen Segmenten angetrieben, insbesondere an der Rasmussen University, die einen Anstieg der Studierendenzahlen um 7,4 % verzeichnete. Die Netto-Kursanmeldungen bei APUS stiegen um 3,5 %, während die Einschreibungen am Hondros College of Nursing um 9,6 % zunahmen. Das Unternehmen hob seine Prognose für das Gesamtjahr 2025 an und erwartet einen Nettogewinn zwischen 23 und 30 Millionen US-Dollar sowie ein bereinigtes EBITDA von 77 bis 87 Millionen US-Dollar, während die Umsatzerwartungen von 650 bis 660 Millionen US-Dollar beibehalten werden.
- Net income turned positive to $7.5 million from a $1.0 million loss year-over-year
- Revenue increased 6.6% to $164.6 million in Q1 2025
- Strong enrollment growth across all segments: Rasmussen +7.4%, APUS +3.5%, Hondros +9.6%
- Adjusted EBITDA improved 24% to $21.2 million
- Cash position strengthened by 18% to $187.5 million
- Raised full-year 2025 guidance for net income and Adjusted EBITDA
- Selling and promotional expenses increased 8.5% to $35.2 million
- Total costs and expenses rose 2% to $152.3 million
- Projecting potential Q2 2025 net loss between $0.7-2.5 million
Insights
APEI shows strong turnaround with profit growth and enrollment increases across all education segments, demonstrating operational improvements.
American Public Education has delivered a remarkably strong Q1 2025, transforming from a loss position to substantial profitability. The company reported
Revenue grew by
What's most impressive is APEI's ability to leverage its cost structure while growing. Despite the revenue increase, costs grew at just
Management's increased full-year guidance for net income (now
Looking forward, the projected enrollment increases across all segments suggest the company's operational improvements are driving sustainable growth. Particularly notable is the
Net Income & Adjusted EBITDA Exceeded Guidance, Driven by Increased Enrollment and Operating Leverage in Rasmussen Segment
Key First Quarter 2025 Highlights
- Consolidated revenue for Q1 2025 increased
6.6% year-over-year to$164.6 million - Net income available to common stockholders in Q1 2025 was
$7.5 million ( in Q1 2024.$1.0) million - Net income per diluted common share in Q1 2025 was
$0.41 $0.06 - Q1 2025 Adjusted EBITDA was
$21.2 million $17.1 million - Increasing guidance for full year 2025 net income available to common stockholders to a range between
$23 $30 million $77 million $87 million $650 million $660 million
Management Commentary
"This first quarter of 2025 proved to be an excellent start to the year," said Angela Selden, President and Chief Executive Officer of APEI. "We exceeded the expectations we set forth for the first quarter largely due to strong enrollment trends at Rasmussen which are beginning to show the operating leverage benefits of greater enrollment and disciplined operations."
"The areas for improvements that we have focused on over the past two years are driving better and more consistent financial results. We have been able to deliver better results due to improved operations and student outcomes at our educational units, and we continue to educate service-minded professionals in high demand industries," concluded Selden.
First Quarter 2025 Financial Results
- Total consolidated revenue for the three months ended March 31, 2025, was
$164.6 million $10.1 million 6.6% , compared to$154.4 million $6.1 million $3.3 million $1.2 million - Total costs and expenses for the three months ended March 31, 2025, were
$152.3 million $3.1 million 2.0% , compared to$149.3 million - Instructional costs and services expenses for the three months ended March 31, 2025, were
$74.9 million $2.5 million 3.5% , compared to$72.4 million - Selling and promotional expenses for the three months ended March 31, 2025, were
$35.2 million $2.7 million 8.5% , compared to$32.5 million - General and administrative expenses for the three months ended March 31, 2025, were
$36.4 million $0.1 million 0.4% , compared to$36.3 million 22.1% for the three months ended March 31, 2025, from23.5% for the three months ended March 31, 2024.
- Instructional costs and services expenses for the three months ended March 31, 2025, were
- Net income available to common stockholders was
$7.5 million $0.41 ( , or ($1.0) million $0.06 - Adjusted EBITDA was
$21.2 million $17.1 million
Balance Sheet and Liquidity
- Total cash, cash equivalents, and restricted cash were
$187.5 million $158.9 million $28.6 million 18.0% .
Registrations and Enrollment
Q1 2025 | Q1 2024 | % Change | |
American Public University System1 | |||
For the three months ended March 31, | 102,500 | 99,000 | 3.5 % |
Rasmussen University2 | |||
For the three months ended March 31, | 14,500 | 13,500 | 7.4 % |
Hondros College of Nursing3 | |||
For the three months ended March 31, | 3,600 | 3,300 | 9.6 % |
- APUS Net Course Registrations represents the approximate aggregate number of courses for which students remain enrolled after the date by which they may drop a course without financial penalty. Excludes students in doctoral programs.
- RU Total Student Enrollment represents students in an active status as of the full-term census or billing date.
- HCN Total Student Enrollment represents the approximate number of students enrolled in a course after the date by which students may drop a course without financial penalty.
Second Quarter and Full Year 2025 Outlook
The following statements are based on APEI's current expectations. These statements are forward-looking and actual results may differ materially. APEI undertakes no obligation to update publicly any forward-looking statements for any reason unless required by law. Refer to APEI's earnings conference call and presentation for further details.
Second Quarter 2025 Guidance | |||
(Approximate) | (% Yr/Yr Change) | ||
APUS Net course registrations | 93,500 to 96,100 | ||
HCN Student enrollment | 3,700 | 14 % | |
RU Student enrollment | 14,600 | 8 % | |
- On-ground Healthcare | 6,400 | 3 % | |
- Online | 8,300 | 12 % | |
($ in millions except EPS) | |||
APEI Consolidated revenue | |||
APEI Net loss/income available to common stockholders | ( | n.a. | |
APEI Adjusted EBITDA | |||
APEI Diluted EPS | ( | n.a. | |
Full Year 2025 Guidance | |||
(Approximate) | (% Yr/Yr Change) | ||
($ in millions) | |||
APEI Consolidated Revenue | |||
APEI Net income available to common stockholders | |||
APEI Adjusted EBITDA | | ||
APEI Capital Expenditure (CapEx) | ( | ||
Non-GAAP Financial Measures
This press release contains the non-GAAP financial measures of EBITDA (earnings before interest, taxes, depreciation, and amortization) and adjusted EBITDA (EBITDA less non-cash expenses such as stock compensation and non-recurring expenses). APEI believes that the use of these measures is useful because they allow investors to better evaluate APEI's operating profit and cash generation capabilities.
For the three months ended March 31, 2025 and 2024, adjusted EBITDA excludes stock compensation, loss on disposals of long-lived assets, loss on assets held for sale, other professional fees and loss on leases.
These non-GAAP measures should not be considered in isolation or as an alternative to measures determined in accordance with generally accepted accounting principles in
APEI is presenting EBITDA and adjusted EBITDA in connection with its GAAP results and urges investors to review the reconciliation of EBITDA and adjusted EBITDA to the comparable GAAP financial measures that is included in the tables following this press release (under the captions "GAAP Net Income to Adjusted EBITDA," and "GAAP Outlook Net Income to Outlook Adjusted EBITDA") and not to rely on any single financial measure to evaluate its business.
About American Public Education
American Public Education, Inc. (Nasdaq: APEI), through its institutions American Public University System, Rasmussen University, Hondros College of Nursing, and Graduate School
APUS, which operates through American Military University and American Public University, is the leading educator to active-duty military and veteran students* and serves approximately 88,000 adult learners worldwide via accessible and affordable higher education.
Rasmussen University is a 125-year-old nursing and health sciences-focused institution that serves approximately 14,600 students across its 20 campuses in six states and online. It also has schools of Business, Technology, Design, Early Childhood Education and Justice Studies.
Hondros College of Nursing focuses on educating pre-licensure nursing students at eight campuses (six in
Graduate School
Both APUS and Rasmussen University are institutionally accredited by the Higher Learning Commission (HLC), an institutional accreditation agency recognized by the
*Based on FY 2019 Department of Defense tuition assistance data, as reported by Military Times, and Veterans Administration student enrollment data as of 2024.
**Based on information compiled by the National Council of State Boards of Nursing and
Forward Looking Statements
Statements made in this press release regarding APEI or its subsidiaries that are not historical facts are forward-looking statements based on current expectations, assumptions, estimates and projections about APEI and the industry. In some cases, forward-looking statements can be identified by words such as "anticipate," "believe," "seek," "could," "estimate," "expect," "intend," "may," "plan," "should," "will," "would," and similar words or their opposites. Forward-looking statements include, without limitation, statements regarding the Company's future path, expected growth, registration, enrollments, revenues, net income, Adjusted EBITDA and EBITDA, capital expenditures, the growth and profitability of Rasmussen University and plans with respect to recent, current and future initiatives.
Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Such risks and uncertainties include, among others, risks related to: APEI's failure to comply with regulatory and accrediting agency requirements, including the "90/10 Rule", and to maintain institutional accreditation and the impacts of any actions APEI may take to prevent or correct such failure; changes in the postsecondary education regulatory environment as a result of
Company Contact
Frank Tutalo
Director, Public Relations
American Public Education, Inc.
ftutalo@apei.com
571-358-3042
Investor Relations
Brian M. Prenoveau, CFA
MZ North America
Direct: 561-489-5315
APEI@mzgroup.us
American Public Education, Inc. | ||||||
Consolidated Balance Sheet | ||||||
(In thousands) | ||||||
As of March 31, 2025 | As of December 31, 2024 | |||||
ASSETS | (Unaudited) | |||||
Current assets: | ||||||
Cash, cash equivalents, and restricted cash | $ | 187,502 | $ | 158,941 | ||
Accounts receivable, net of allowance of | 41,872 | 62,465 | ||||
Prepaid expenses | 20,667 | 13,748 | ||||
Income tax receivable | - | 949 | ||||
Assets held for sale | 22,467 | 24,469 | ||||
Total current assets | 272,508 | 260,572 | ||||
Property and equipment, net | 73,038 | 73,383 | ||||
Operating lease assets, net | 92,649 | 94,776 | ||||
Deferred income taxes | 46,066 | 47,311 | ||||
Intangible assets, net | 28,221 | 28,221 | ||||
Goodwill | 59,593 | 59,593 | ||||
Other assets, net | 6,586 | 6,247 | ||||
Total assets | $ | 578,661 | $ | 570,103 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||
Current liabilities: | ||||||
Accounts payable | $ | 7,849 | $ | 7,847 | ||
Accrued compensation and benefits | 18,039 | 20,546 | ||||
Accrued liabilities | 18,790 | 13,735 | ||||
Deferred revenue and student deposits | 25,087 | 23,474 | ||||
Income tax payable | 177 | - | ||||
Lease liabilities, current | 13,489 | 13,553 | ||||
Total current liabilities | 83,431 | 79,155 | ||||
Lease liabilities, long-term | 91,471 | 93,645 | ||||
Long-term debt, net | 93,747 | 93,424 | ||||
Total liabilities | $ | 268,649 | $ | 266,224 | ||
Stockholders' equity: | ||||||
Preferred stock, shares issued and outstanding in 2025 and 2024, respectively ( and | 39,691 | 39,691 | ||||
Common stock, 18,036,421 issued and outstanding in 2025; 17,712,575 issued and outstanding in 2024 | 180 | 177 | ||||
Additional paid-in capital | 304,533 | 305,823 | ||||
Accumulated other comprehensive loss | (48) | (7) | ||||
Accumulated deficit | (34,344) | (41,805) | ||||
Total stockholders' equity | 310,012 | 303,879 | ||||
Total liabilities and stockholders' equity | $ | 578,661 | $ | 570,103 | ||
American Public Education, Inc. | ||||||
Consolidated Statement of Income | ||||||
(In thousands, except per share data) | ||||||
Three Months Ended | ||||||
March 31, | ||||||
2025 | 2024 | |||||
(unaudited) | ||||||
Revenue | $ | 164,551 | $ | 154,432 | ||
Costs and expenses: | ||||||
Instructional costs and services | 74,944 | 72,425 | ||||
Selling and promotional | 35,205 | 32,456 | ||||
General and administrative | 36,407 | 36,277 | ||||
Depreciation and amortization | 3,992 | 5,128 | ||||
Loss on assets held for sale | 1,527 | - | ||||
Loss on leases | - | 2,936 | ||||
Loss on disposals of long-lived assets | 230 | 28 | ||||
Total costs and expenses | 152,305 | 149,250 | ||||
Income from operations before | ||||||
interest and income taxes | 12,246 | 5,182 | ||||
Interest expense, net | (887) | (126) | ||||
Income before income taxes | 11,359 | 5,056 | ||||
Income tax expense | 2,466 | 1,213 | ||||
Equity investment loss | - | (3,327) | ||||
Net income | $ | 8,893 | $ | 516 | ||
Preferred stock dividends | 1,432 | 1,535 | ||||
Net income (loss) available to common stockholders | $ | 7,461 | $ | (1,019) | ||
Income (loss) per common share: | ||||||
Basic | $ | 0.42 | $ | (0.06) | ||
Diluted | $ | 0.41 | $ | (0.06) | ||
Weighted average number of | ||||||
common shares: | ||||||
Basic | 17,840 | 17,510 | ||||
Diluted | 18,417 | 17,811 | ||||
Three Months Ended | ||||||
Segment Information: | March 31, | |||||
2025 | 2024 | |||||
Revenue: | ||||||
APUS Segment | $ | 83,946 | $ | 80,656 | ||
RU Segment | $ | 59,251 | $ | 53,135 | ||
HCN Segment | $ | 17,676 | $ | 16,447 | ||
Corporate and other1 | $ | 3,678 | $ | 4,194 | ||
Income (loss) from operations before | ||||||
interest and income taxes: | ||||||
APUS Segment | $ | 24,126 | $ | 23,087 | ||
RU Segment | $ | (72) | $ | (8,966) | ||
HCN Segment | $ | (746) | $ | (304) | ||
Corporate and other | $ | (11,062) | $ | (8,635) | ||
1. Corporate and Other includes tuition and contract training revenue earned by GSUSA and the elimination of intersegment revenue for courses taken by employees of one segment at other segments. |
GAAP Net Income to Adjusted EBITDA: | |||||||
The following table sets forth the reconciliation of the Company's reported GAAP net income to the calculation of adjusted EBITDA for the three months ended March 31, 2025 and 2024: | |||||||
Three Months Ended | |||||||
March 31, | |||||||
(in thousands, except per share data) | 2025 | 2024 | |||||
Net income (loss) available to common stockholders | $ | 7,461 | $ | (1,019) | |||
Preferred dividends | 1,432 | 1,535 | |||||
Net income | $ | 8,893 | $ | 516 | |||
Income tax expense | 2,466 | 1,213 | |||||
Interest expense, net | 887 | 126 | |||||
Equity investment loss | - | 3,327 | |||||
Depreciation and amortization | 3,992 | 5,128 | |||||
EBITDA | 16,238 | 10,310 | |||||
Loss on assets held for sale | 1,527 | - | |||||
Loss on leases | - | 2,936 | |||||
Other professional fees | 989 | - | |||||
Stock compensation | 2,263 | 1,918 | |||||
Loss on disposals of long-lived assets | 230 | 28 | |||||
Transition services costs | - | 1,865 | |||||
Adjusted EBITDA | $ | 21,247 | $ | 17,057 | |||
GAAP Outlook Net Income to Outlook Adjusted EBITDA: | ||||||||||||||
The following table sets forth the reconciliation of the Company's outlook GAAP net income to the calculation of outlook adjusted EBITDA for the three months ending June 30, 2025 and twelve months ending December 31, 2025: | ||||||||||||||
Three Months Ending | Twelve Months Ending | |||||||||||||
June 30, 2025 | December 31, 2025 | |||||||||||||
(in thousands, except per share data) | Low | High | Low | High | ||||||||||
Net income/(loss) available to common stockholders | $ | (2,461) | $ | (711) | $ | 22,937 | $ | 29,937 | ||||||
Preferred dividends | 1,488 | 1,488 | 2,920 | 2,920 | ||||||||||
Net Income/(Loss) | (973) | 777 | 25,857 | 32,857 | ||||||||||
Income tax expense/(benefit) | (417) | 333 | 11,082 | 14,082 | ||||||||||
Interest expense | 4,127 | 4,127 | 7,852 | 7,852 | ||||||||||
Depreciation and amortization | 4,459 | 4,459 | 17,986 | 17,986 | ||||||||||
EBITDA | 7,196 | 9,696 | 62,777 | 72,777 | ||||||||||
Stock compensation | 2,254 | 2,254 | 7,349 | 7,349 | ||||||||||
Professional Services | 1,688 | 1,688 | 3,953 | 3,953 | ||||||||||
Transition services cost | 363 | 363 | 1,164 | 1,164 | ||||||||||
Other | - | 1,757 | 1,757 | |||||||||||
Adjusted EBITDA | $ | 11,500 | $ | 14,000 | $ | 77,000 | $ | 87,000 | ||||||
EPS | $ | (0.13) | $ | (0.04) | $ | 1.23 | $ | 1.61 | ||||||
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SOURCE American Public Education, Inc.
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