Overview

* American Public Education Q2 2025 revenue up 6.5% yr/yr, beating analyst expectations

* Net loss of $0.3 mln includes $3.5 mln preferred equity redemption loss

* Adjusted EBITDA increased 38.2% to $15.1 mln

Outlook

* Company reconfirms 2025 revenue estimate of $650 mln to $660 mln

* APEI sees Q3 revenue between $159 mln and $161 mln

* Company expects Q3 adjusted EBITDA of $15 mln to $17 mln

* APEI projects full-year adjusted EBITDA of $81 mln to $88 mln

Result Drivers

* SEGMENT GROWTH - Revenue increase driven by growth in Rasmussen University (RU), American Public University System (APUS), and Hondros College of Nursing (HCN) segments

* BUSINESS SIMPLIFICATION - Sale of Graduate School USA and administrative buildings, and redemption of preferred equity to streamline operations

* REGULATORY RELIEF - Lifting of growth restrictions on Rasmussen University by Department of Education

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $162.80 $161 mln

Revenue mln (7

Analysts

)

Q2 Net -$300,00

Income 0

Q2 $15.10

Adjusted mln

EBITDA

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the miscellaneous educational service providers peer group is "buy"

* Wall Street's median 12-month price target for American Public Education Inc ( APEI ) is $35.50, about 14% above its August 5 closing price of $30.52

* The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)