Strategic Education, Inc. Files Q1 2024 10-Q Report

TL;DR

<b>Strategic Education, Inc. filed its Q1 2024 10-Q, providing a detailed financial snapshot and segment performance data.</b>

AI Summary

Strategic Education, Inc. (STRA) filed a Quarterly Report (10-Q) with the SEC on April 25, 2024. Strategic Education, Inc. reported financial results for the quarter ended March 31, 2024. The company's filing covers the period from January 1, 2024, to March 31, 2024. Key financial data from previous periods, including December 31, 2023, and March 31, 2023, are referenced. The report details segment information, including US Higher Education and Australia/New Zealand segments. Specific financial statement line items such as Common Stock, Additional Paid-In Capital, Retained Earnings, and Accumulated Other Comprehensive Income are provided for various dates.

Why It Matters

For investors and stakeholders tracking Strategic Education, Inc., this filing contains several important signals. This filing provides investors with the latest quarterly financial performance and operational details for Strategic Education, Inc., crucial for assessing the company's current health and future prospects. The breakdown of segment performance (US Higher Education and Australia/New Zealand) allows for a deeper understanding of where the company is generating revenue and potential growth areas or challenges.

Risk Assessment

Risk Level: low — Strategic Education, Inc. shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not indicate any immediate or significant financial distress or unusual events.

Analyst Insight

Monitor the revenue growth and net income trends in the upcoming quarters to assess the company's ability to sustain or improve its financial performance.

Revenue Breakdown

Key Numbers

• 2024-03-31 — Reporting Period End Date (Quarterly report)
• 2024-04-25 — Filing Date (10-Q filing)
• 2023-03-31 — Prior Year Period End Date (Comparison period)
• 2023-12-31 — Prior Year End Date (Balance sheet comparison)

Key Players & Entities

• Strategic Education, Inc. (company) — Filer name
• STRA (company) — Ticker symbol
• 2024-03-31 (date) — Reporting period end date
• 2024-04-25 (date) — Filing date
• US (location) — Segment country
• Australia and New Zealand (location) — Segment name

FAQ

Industry Context

Strategic Education, Inc. operates within the higher education sector, providing postsecondary education and workforce training.

Regulatory Implications

The company is subject to various regulatory requirements governing higher education institutions in the US and internationally.

What Investors Should Do

1. Analyze the detailed segment revenue figures for US Higher Education and Australia/New Zealand to identify growth trends.
2. Review any commentary within the full 10-Q report regarding student enrollment, program demand, and strategic initiatives.
3. Compare key financial metrics (if available in the full text) to prior periods to assess year-over-year performance.

Key Dates

• 2024-03-31: Quarter End — End of the reporting period for the 10-Q filing.
• 2024-04-25: Filing Date — Date the 10-Q was officially submitted to the SEC.

Year-Over-Year Comparison

This filing represents the first quarterly report of 2024, providing updated financial information compared to the previous year-end report (10-K) and the prior year's first quarter report.

Key Financial Figures

• $0.01 — ange on which registered Common Stock, $0.01 par value STRA Nasdaq Global Select Mar

Filing Documents

• stra-20240331.htm (10-Q) — 1034KB
• stra-20240331xex311.htm (EX-31.1) — 9KB
• stra-20240331xex312.htm (EX-31.2) — 9KB
• stra-20240331xex321.htm (EX-32.1) — 4KB
• stra-20240331xex322.htm (EX-32.2) — 5KB
• 0001013934-24-000007.txt (&nbsp;) — 6450KB
• stra-20240331.xsd (EX-101.SCH) — 53KB
• stra-20240331_cal.xml (EX-101.CAL) — 80KB
• stra-20240331_def.xml (EX-101.DEF) — 180KB
• stra-20240331_lab.xml (EX-101.LAB) — 596KB
• stra-20240331_pre.xml (EX-101.PRE) — 413KB
• stra-20240331_htm.xml (XML) — 902KB

— FINANCIAL INFORMATION

PART I — FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements Unaudited Condensed Consolidated Balance Sheets at December 31, 202 3 and March 3 1 , 20 24 3 Unaudited Condensed Consolidated Statements of Income (Loss) for the three months ended March 3 1 , 202 3 and 20 24 4 Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) for the three months ended March 3 1 , 202 3 and 20 24 4 Unaudited Condensed Consolidated Statements of Stockholders' Equity for the three months ended March 3 1 , 202 3 and 202 4 5 Unaudited Condensed Consolidated Statements of Cash Flows for the three months ended March 3 1 , 202 3 and 202 4 6 Notes to Unaudited Condensed Consolidated Financial Statements 7 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 26 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 34 Item 4.

Controls and Procedures

Controls and Procedures 35

— OTHER INFORMATION

PART II — OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 36 Item 1A.

Risk Factors

Risk Factors 36 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 38 Item 3. Defaults Upon Senior Securities 38 Item 4. Mine Safety Disclosures 38 Item 5. Other Information 38 Item 6. Exhibits 39

SIGNATURES

SIGNATURES 40 2 Table of Contents

— FINANCIAL INFORMATION

PART I — FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements STRATEGIC EDUCATION, INC. UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share data) December 31, 2023 March 31, 2024 ASSETS Current assets: Cash and cash equivalents $ 168,481 $ 222,116 Marketable securities 39,728 31,448 Tuition receivable, net 76,102 83,082 Other current assets 44,758 53,801 Total current assets 329,069 390,447 Property and equipment, net 118,529 116,419 Right-of-use lease assets 119,202 114,653 Marketable securities, non-current 483 — Intangible assets, net 251,623 248,855 Goodwill 1,251,888 1,229,882 Other assets 54,419 54,980 Total assets $ 2,125,213 $ 2,155,236 LIABILITIES & STOCKHOLDERS' EQUITY Current liabilities: Accounts payable and accrued expenses $ 90,888 $ 99,245 Income taxes payable 2,200 10,659 Contract liabilities 92,341 128,503 Lease liabilities 24,190 23,316 Total current liabilities 209,619 261,723 Long-term debt 61,400 61,256 Deferred income tax liabilities 28,338 30,439 Lease liabilities, non-current 127,735 116,350 Other long-term liabilities 45,603 42,885 Total liabilities 472,695 512,653 Commitments and contingencies Stockholders' equity: Common stock, par value $ 0.01 ; 32,000,000 shares authorized; 24,406,816 and 24,607,939 shares issued and outstanding at December 31, 2023 and March 31, 2024, respectively 244 246 Additional paid-in capital 1,517,650 1,519,291 Accumulated other comprehensive loss ( 34,247 ) ( 60,754 ) Retained earnings 168,871 183,800 Total stockholders' equity 1,652,518 1,642,583 Total liabilities and stockholders' equity $ 2,125,213 $ 2,155,236 The accompanying notes are an integral part of these condensed consolidated financial statements. 3 Table of Contents STRATEGIC EDUCATION, INC. UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) (in thousands, except per share data) For the three months ended March 31, 2023 2024 Revenues $ 256,606 $ 290,250 Costs and expenses: Inst