Legacy Education (LGCY) Q3 2026 earnings summary

Executive summary

• Achieved record-breaking Q3 2026 with revenue up 15% year-over-year to $21.4 million, driven by higher student enrollment and new program launches.

• Net income for Q3 2026 rose 7.5% to $3.0 million, with diluted EPS up to $0.22 and adjusted EBITDA up 12.6% to $4.4 million.

• Expanded program offerings and improved retention led to organic growth from a larger, mature platform.

• Investments in facilities and capacity, including expansions at Lancaster and Temecula, support future enrollment and program expansion.

• Maintained compliance, received reaccreditations, and continued to monitor regulatory developments.

Financial highlights

• Q3 2026 revenue: $21.4 million (+15% YoY); nine-month revenue: $60.0 million (+29.7% YoY).

• Q3 2026 net income: $3.0 million (+7.5% YoY); nine-month net income: $7.3 million (+15.1% YoY).

• Adjusted EBITDA for Q3 2026: $4.4 million (+12.6% YoY); nine-month adjusted EBITDA: $10.5 million (+22.3% YoY).

• Diluted EPS for Q3 2026: $0.22 (+4.8% YoY); nine-month diluted EPS: $0.52.

• Cash and equivalents at $21.7 million as of March 31, 2026; working capital $30.9 million; debt minimal at $600K.

Outlook and guidance

• Focused on organic growth via new programs, branch expansion, and selective acquisitions.

• Enrollment ramp at expanded campuses expected to increase student capacity by 200-400 per campus over 1-2 years.

• New branch outside California planned, with capacity for 600-800 students over several years.

• Continued ramp-up of new programs, including MRI and cardiac sonography in Q4.

• Evaluating impact of new federal regulations on student loan limits and program eligibility.