Q1 2024 Earnings Call Transcript for Strategic Education, Inc. (NASDAQ:STRA)

Strategic Education, Inc. (NASDAQ:STRA) has exceeded earnings expectations in the first quarter of 2024, reporting an EPS of $1.11 compared to the expected $0.59. This impressive performance has positioned STRA as a standout in the market, despite not being among the 30 most popular stocks among hedge funds.

During the earnings call on April 25, 2024, key executives including Chairman Robert Silberman, President and CEO Karl McDonnell, and CFO Daniel Jackson discussed the company’s strong results and future outlook. McDonnell highlighted the company’s revenue growth of 14% to $292 million, with operating expenses growing in line with expectations.

The U.S. Higher Education segment saw significant growth driven by employer-affiliated enrollment, with total enrollment increasing by 10% and employer-affiliated enrollment growing by 22%. The Education, Technology & Services segment also performed well, with Sophia Learning and Workforce Edge gaining market share and driving revenue growth.

In Australia and New Zealand, enrollment growth returned in the first quarter, with revenue increasing by 19% on a constant currency basis. Despite a loss from operations, the segment showed improvement compared to the previous year.

Overall, Strategic Education, Inc. is optimistic about its continued momentum and success in 2024. The company’s focus on growth initiatives and strong performance across its segments indicate a promising future ahead. Investors and stakeholders can look forward to further updates and progress from STRA as they navigate the evolving education landscape.