NYSE$LRN

Stride Inc. · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Announced results for the first fiscal quarter, showing revenue growth driven by Career Learning enrollment strength, increases in revenue per enrollment, and Adult Learning growth.

Stride, Inc. reported revenue of $425.15 million, an increase of 6.2% compared to the previous year. However, the company experienced a loss from operations of $28.72 million and a net loss of $22.67 million, with a diluted net loss per share of $0.54. Adjusted EBITDA was $3.04 million.

  • Revenue increased to $425.2 million, driven by Career Learning enrollment strength and Adult Learning growth.
  • Loss from operations was $28.7 million, impacted by increased instructional costs, inflationary pressures, and investments in new products.
  • Net loss amounted to $22.7 million, or $0.54 per diluted share.
  • Adjusted EBITDA was $3.0 million.

Headline financials

Total Revenue

$425M

Previous: $400M+6.2%
EPS (adj)

-$0.54

Previous: -$0.15-260.0%
General Education Revenue per Enrollment

$2.22K

Previous: $1.89K+17.6%
Career Learning Revenue per Enrollment

$2.03K

Previous: $1.69K+20.2%
Capital Expenditures

-$913K

Previous: -$1.28M+28.6%
Free Cash Flow

-$23.6M

Previous: -$7.16M-229.4%
Net Income

-$22.7M

Previous: -$5.88M-285.4%
Operating Income

-$28.7M

Previous: -$6.98M-311.6%
Gross Profit

$130M

Previous: $126M+2.6%
Cash & Equivalents

$195M

Previous: $219M-11.0%
Total Assets

$1.62B

Previous: $1.57B+3.3%
Stock-Based Comp

$5.51M

Previous: $8.29M-33.5%

Revenue & EPS history

Stride · Revenue · Quarterly

$425M

Q1 2023+6.2%vs Q1 2022
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Stride · $397M total across 2 segments · Q1 2023

  • General Education
    $272M-11.3%
  • Career Learning - Middle/High School
    $126M+75.8%

Forward guidance

The Company is forecasting revenue in the range of $435.0 million to $465.0 million and adjusted operating income in the range of $70.0 million to $80.0 million for the second quarter of fiscal year 2023. For the full fiscal year 2023, revenue is expected to be in the range of $1.71 billion to $1.79 billion and adjusted operating income in the range of $160.0 million to $190.0 million.

Tailwinds

  • Revenue in the range of $435.0 million to $465.0 million for Q2 2023.
  • Capital expenditures in the range of $17.0 million to $20.0 million for Q2 2023.
  • Adjusted operating income in the range of $70.0 million to $80.0 million for Q2 2023.
  • Revenue in the range of $1.71 billion to $1.79 billion for fiscal year 2023.
  • Adjusted operating income in the range of $160.0 million to $190.0 million for fiscal year 2023.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

+1.8%

Avg return

Earnings day

+2.5%

Avg return

5 days after

+2.8%

Avg return

30 days after

58%

37 / 64 earnings

Positive

+38.8%

Q1 2025

Best reaction

-54.3%

Q1 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026+2.2%-0.3%-1.1%
Q2 2026+13.3%+19.5%+16.5%
Q1 2026-54.3%-53.3%-58.6%
Q3 2025-0.2%+12.7%+6.2%
Q2 2025+6.0%+14.1%+13.4%
Q1 2025+38.8%+41.2%+60.0%
Q4 2024+9.6%+15.1%+14.2%
Q3 2024+8.8%+15.5%+23.0%
Q2 2024-2.0%-3.0%-10.0%
Q1 2024+19.9%+24.3%+34.2%
Q4 2023+3.0%+4.7%+14.7%
Q3 2023+12.2%+12.8%+5.7%
Q2 2023+25.6%+26.0%+32.9%
Q1 2023-29.1%-28.4%-23.0%
Q4 2022-12.7%-15.9%-8.4%
Q3 2022+16.5%+5.7%+4.1%
Q2 2022+22.5%+25.0%+21.1%
Q1 2022+6.2%+0.6%+11.0%
Q4 2021+7.6%+15.8%+10.2%
Q3 2021-2.0%+2.5%-8.6%
Q2 2021-1.8%+1.7%-0.9%
Q1 2021+0.8%-16.8%-19.8%
Q4 2020-6.1%-4.7%-36.4%
Q3 2020-10.5%-6.6%-1.5%
Q2 2020-15.6%-18.1%-17.0%
Q1 2020-16.8%-15.3%-20.0%
Q4 2019-6.8%-1.1%-8.0%
Q3 2019-11.4%-11.6%-10.4%
Q2 2019+15.8%+14.9%+27.6%
Q1 2019+22.5%+28.5%+36.4%
Q4 2018+11.5%+8.3%+4.8%
Q3 2018+10.7%+11.5%+15.1%
Q2 2018+8.0%+5.0%-7.0%
Q1 2018-4.4%-10.0%-11.5%
Q4 2017-6.8%-5.9%-2.8%
Q3 2017-7.7%-0.3%-5.9%
Q2 2017+15.4%+17.4%+6.5%
Q1 2017-22.1%-24.6%+1.3%
Q4 2016-10.9%-8.3%+1.9%
Q3 2016+17.3%
Q2 2016+18.0%
Q1 2016-15.3%
Q4 2015+0.9%
Q3 2015+10.5%
Q2 2015+28.7%
Q1 2015-18.2%
Q4 2014-12.3%
Q3 2014+10.7%
Q2 2014-8.2%
Q1 2014+9.1%
Q4 2013+13.6%
Q3 2013+3.0%
Q2 2013+4.7%
Q1 2013-1.3%
Q4 2012+11.1%
Q4 2010+11.1%
Q3 2011+2.0%
Q3 2012-14.8%
Q2 2011-5.8%
Q2 2012-8.8%
Q1 2011+3.6%
Q4 2011+3.6%
Q1 2012-9.6%
Q3 2010+7.1%

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