Strategic Education Inc (STRA)
NASDAQ:STRA
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Earnings Data
Report Date
Aug 05, 2026Before Open (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
1.8Last Year’s EPS
1.52Same Quarter Last Year
Moderate Buy
Based on 3 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call highlighted strong performance and momentum in the Education Technology Services businesses (Sophia Learning and Workforce Edge), meaningful employer-affiliated and healthcare enrollment gains, record retention, cost reductions from productivity initiatives, and active share repurchases — all supporting management's confidence in achieving EBIT and EPS targets. Offsetting this were modest consolidated revenue declines (-1%), U.S. Higher Education revenue pressure (-4%) and lower revenue per student in Q1, continued weakness in unaffiliated Strayer enrollment, and regulatory/visa headwinds in ANZ that produced a $2.4M operating loss. On balance the positive operational shifts, margin improvement, and ETS growth materially outweigh the near-term enrollment and regional headwinds.Company Guidance
Education Technology Services (ETS) Strong Growth and Profitability
ETS revenue grew 21% year-over-year to $42 million; ETS operating income rose 42% to $20 million with a 47% operating margin. ETS now represents 46% of consolidated operating income.
Sophia Learning Subscriber and Revenue Acceleration
Sophia Learning average total subscribers increased 40% and revenue grew 32%, driven by strong consumer and employer-affiliated subscriber growth.
Workforce Edge Expansion and Student Conversions
Workforce Edge finished the quarter with 82 corporate agreements covering 4 million employees; enrollments from Workforce Edge into Strayer and Capella grew 70% to nearly 4,000 students, with a robust inbound RFP pipeline.
Employer-Affiliated and Healthcare Momentum in U.S. Higher Education
Employer-affiliated enrollment in U.S. Higher Education grew 10% and reached a record 34.5% of total U.S. Higher Education enrollment (up >300 basis points year-over-year). Healthcare enrollment grew 10% and now represents over 50% of U.S. Higher Education enrollment.
Productivity-Driven Cost Control and Margin Expansion
Consolidated adjusted operating expenses declined ~2% driven by productivity and AI enablement; operating income grew 3% and consolidated adjusted operating margin expanded to 14.3%. Management reiterated confidence in achieving ~200 basis points of adjusted operating margin improvement for the year.
Record Student Retention
U.S. Higher Education set a new record for average student retention at 89%.
Share Repurchases and Capital Allocation
Repurchased approximately 493,000 shares during the quarter for $40 million and maintain roughly $200 million remaining on the repurchase authorization; regular quarterly dividend maintained.
Management Confidence on EBIT/EPS and Near-Term Outlook
Management expects Q1 to be the low point for revenue and revenue growth for the year and expressed high confidence in meeting notional plan targets for EBIT and EPS due to continued productivity gains.
STRA Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
STRA Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 23, 2026 | $83.62 | $72.19 | -13.67% |
Feb 26, 2026 | $77.84 | $81.68 | +4.94% |
Nov 06, 2025 | $73.67 | $74.19 | +0.70% |
Jul 30, 2025 | $77.70 | $72.61 | -6.54% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Strategic Education Inc (STRA) report earnings?
Strategic Education Inc (STRA) is schdueled to report earning on Aug 05, 2026, Before Open (Confirmed).
What is Strategic Education Inc (STRA) earnings time?
Strategic Education Inc (STRA) earnings time is at Aug 05, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is STRA EPS forecast?
STRA EPS forecast for the fiscal quarter 2026 (Q2) is 1.8.