American Public Education (APEI) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue grew 6.2% year-over-year to $174.7M, or 8.7% excluding divested GSUSA revenue, with strong growth in both Military+ and Health+ segments.

• Net income available to common stockholders surged 137.6% year-over-year to $17.7M; diluted EPS rose to $0.94, up 129%.

• Adjusted EBITDA increased 37.5% to $29.2M, with margin expanding to 16.7%.

• Full-year 2026 guidance was raised for revenue, Adjusted EBITDA, and EPS.

• Institutional merger of APUS, Rasmussen, and Hondros College of Nursing completed, with full combination expected in Q3 2026 pending regulatory approvals.

Financial highlights

• Q1 2026 revenue: $174.7M vs. $164.6M prior year; Adjusted EBITDA: $29.2M vs. $21.2M prior year; net income: $17.7M vs. $7.5M prior year.

• Adjusted EBITDA margin expanded to 16.7% (or 17%) from 12.9% (or 13%) year-over-year.

• Cash and equivalents at $221M as of March 31, 2026, up from $176.5M at year-end 2025; total debt reduced to $90M.

• Cash flows from operations were $63.3M, up 71% year-over-year.

• No preferred stock dividends paid in Q1 2026 due to prior redemption.

Outlook and guidance

• Full-year 2026 guidance: revenue $686M–$696M, net income $44.9M–$51.6M, Adjusted EBITDA $93M–$102M, EPS $2.33–$2.68.

• Q2 2026 guidance: revenue $170M–$172M, net income $6.5M–$7.5M, Adjusted EBITDA $16.5M–$18M, EPS $0.34–$0.39.

• Multi-year plan targets $890M–$1.0B organic revenue and 20%–21% Adjusted EBITDA margin by 2029.

• CapEx guidance unchanged at $28M–$32M.

• Expects to incur $1.0–$3.0M in professional fees in 2026 to complete the institutional combination.