Online university American Public Education's Q3 revenue beats estimates

American Public Education

10/11/2025 21:42

Overview

American Public Education Q3 revenue grows 7% yr/yr, beating analyst expectations

Net income for Q3 rises 660% yr/yr to $5.6 mln

Adjusted EBITDA for Q3 increases 60% to $20.7 mln

Outlook

Company expects Q4 2025 revenue between $150 mln and $153.5 mln, down 6% to 9%

Company sees full-year 2025 revenue of $640 mln to $644 mln, up 2% to 3%

Expects Q4 2025 APEI net income of $5.9 mln to $8.3 mln, down 28% to 50%

Result Drivers

SUBSIDIARY GROWTH - Revenue growth driven by 19% increase at Hondros College of Nursing and 16% at Rasmussen University

MARGIN EXPANSION - Improved margins due to cost-saving measures and increased enrollments, particularly at Rasmussen University

MILITARY ENROLLMENTS IMPACT - Government shutdown muted military enrollments at APUS, but tuition assistance funds helped mitigate impact

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$163.2 mln
$160.1 mln (8 Analysts)
Q3 EPS
$0.30
Q3 Net Income
$5.60 mln
Q3 Adjusted EBITDA
$20.70 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "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 is $40.00, about 22.3% above its November 7 closing price of $31.07

The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release: ID:nPn6WTF7Va

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(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.)