Universal Technical Institute (UTI) Q1 2025 earnings summary

Executive summary

• Revenue grew 15.3% year-over-year to $201.4 million in Q1 2025, with net income of $22.2 million and diluted EPS of $0.40, driven by strong enrollment and new program launches in both UTI and Concorde segments.

• Adjusted EBITDA increased 44.8% year-over-year to $35.5 million, reflecting operational leverage and cost optimization.

• Average full-time active students rose 11.1% to 25,062, and new student starts increased 22.3% year-over-year.

• Both UTI and Concorde divisions exceeded expectations, benefiting from strategic marketing, admissions investments, and new program rollouts.

• Guidance for FY25 was raised, reflecting continued momentum and confidence in top and bottom-line growth.

Financial highlights

• Consolidated revenue up 15.3% year-over-year to $201.4 million; UTI contributed $131.5 million (+14.0%), Concorde $70.0 million (+17.9%).

• Net income for Q1 was $22.2 million, or $0.40 per diluted share, up from $10.4 million and $0.17 in the prior year.

• Adjusted EBITDA reached $35.5 million, up nearly 45% year-over-year.

• Operating cash flow was $23.0 million; adjusted free cash flow was $18.9 million.

• Year-to-date capital expenditures were $3.3 million, with full-year CapEx expected at $55 million.

Outlook and guidance

• FY25 revenue guidance raised to $810–$820 million, about 11% year-over-year growth at midpoint.

• Adjusted EBITDA expected between $122–$126 million, a 20% year-over-year increase at midpoint.

• Net income guidance increased to $54–$58 million, with EPS projected at $0.96–$1.04.

• New student starts for FY25 now expected between 28,500 and 29,500.

• Adjusted free cash flow for FY25 projected at $60–$65 million.