APEI Q3 2025 Revenue Exceeds Guidance

By Bobby Samwell • Tuesday, November 11 15:41 • Permanent Link

American Public Education, Inc. (APEI) has released its unaudited financial and operating results for the third quarter ended September 30, 2025, which have exceeded the top end of their guidance. The company reported consolidated revenue for Q3 2025 of $163.2 million, representing a 7% year-over-year increase. This growth was driven by significant revenue increases in its subsidiary education institutions, with Hondros College of Nursing (HCN) up 19%, Rasmussen University (RU) up 16%, and American Public University System (APUS) up 8%, partially offset by a 90% decrease at Graduate School USA (GSUSA), which was sold in July 2025. Excluding GSUSA, revenue would have increased by 12% year-over-year.

Net income available to common stockholders for Q3 2025 was $5.6 million, a substantial 660% increase from $0.7 million in Q3 2024. Adjusted EBITDA also saw significant growth, increasing by 60% to $20.7 million compared to $12.9 million for Q3 2024, driven by increased revenue and margin expansion of 424 basis points.

Cash flows from operations increased by 56% to $73.5 million from $47.3 million for Q3 2024. The company also reported a strong balance sheet with $193.1 million of cash, cash equivalents, and restricted cash at September 30, 2025, representing a simplified capital structure and no net debt.

In terms of enrollment, American Public University System saw net course registrations increase by 8.1% to 100,000, Rasmussen University's total student enrollment grew by 10.4% to 14,900, and Hondros College of Nursing experienced a 17.6% increase in total student enrollment to 3,700 for the three months ended September 30, 2025.

Looking ahead, the company provided an outlook for the fourth quarter and full year 2025, with expectations for continued growth and operational improvements.

These results reflect APEI's commitment to growing revenue, expanding margins, and driving enrollment across its subsidiary education institutions. Today the company's shares have moved 3.12% to a price of $34.02. If you want to know more, read the company's complete 8-K report here.

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