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Sep 30, 2021

Lincoln Tech Q3 2021 Earnings Report

Reported solid third quarter results with revenue and operating income increasing.

Key Takeaways

Lincoln Educational Services Corporation reported a 13.0% increase in revenue to $89.1 million and a 49.6% increase in operating income to $5.7 million compared to the prior year quarter. The company's student population also increased by 6.4% to 14,000.

Revenue increased by 13.0% compared to the prior year quarter.

Operating income increased by 49.6% compared to the prior year quarter.

Student starts were 5,430 compared to 5,510 for the prior year quarter.

Ending student population increased by 6.4% compared to the prior year quarter.

Total Revenue
$89.1M
Previous year: $78.8M
+13.0%
EPS
$0.11
Previous year: $0.08
+37.5%
Student Starts
5.43K
Gross Profit
$51M
Previous year: $44.5M
+14.4%
Cash and Equivalents
$47.2M
Previous year: $26.5M
+77.8%
Free Cash Flow
$14.9M
Previous year: $3.27M
+356.8%
Total Assets
$253M
Previous year: $206M
+23.1%

Lincoln Tech

Lincoln Tech

Lincoln Tech Revenue by Segment

Forward Guidance

Lincoln is refining its 2021 full year guidance.

Positive Outlook

  • Revenue growth in the range of 12% to 14%
  • Student start growth in the range of 7% to 8%
  • Adjusted EBITDA in the range of $35.0 million to $37.0 million
  • Pre-tax Income in the range of $25.0 million to $27.0 million

Challenges Ahead

  • Guidance excludes the gain related to the sale-leaseback transaction
  • Guidance excludes the associated expenses in the fourth quarter
  • Capital expenditures of approximately $7.5 million