MIAMI, Jan. 20, 2026 (GLOBE NEWSWIRE) -- Laureate Education, Inc. (NASDAQ: LAUR) plans to release results for the quarter and fiscal year ended December 31, 2025, on Thursday, February 19, 2026, before the stock market opens. Following the release, the Company will host a conference call with investors and analysts at 8:30 a.m. ET to discuss the fourth quarter results and the Company's business outlook. Interested parties are invited to listen to the earnings conference call by registering here to receive d ...

Core Insights - The article emphasizes a fundamental, valuation-driven investment approach focused on identifying businesses with potential for long-term growth and significant terminal value [1] Investment Philosophy - The investment strategy is centered around understanding core business economics, including competitive advantages, unit economics, reinvestment opportunities, and management quality [1] - The focus is on sectors that exhibit strong secular tailwinds, indicating a preference for industries poised for sustained growth [1] Professional Background - The investor has 10 years of self-education in the investment field and currently manages personal funds sourced from friends and family [1] - The motivation for sharing insights on Seeking Alpha is to provide valuable investment analysis and receive feedback from the investment community [1] Analytical Approach - The aim is to help readers concentrate on factors that drive long-term equity value, advocating for analysis that is both analytical and accessible [1]

Core Insights - The investment approach focuses on identifying businesses with potential for long-term growth and significant terminal value through understanding core economics, competitive advantages, unit economics, reinvestment opportunities, and management quality [1] Group 1: Investment Philosophy - The company emphasizes a fundamental, valuation-driven investment strategy that prioritizes long-term free cash flow generation and shareholder value creation [1] - There is a strong focus on sectors that exhibit robust secular tailwinds, indicating a preference for industries poised for sustained growth [1] Group 2: Professional Background - The analyst has 10 years of self-educated investment experience and currently manages personal funds sourced from friends and family [1] - The motivation for sharing insights on Seeking Alpha is to provide valuable investment analysis and receive feedback from the investment community [1]

Core Insights - Montreal-based Formula Growth has acquired a new position in Laureate Education, purchasing 111,000 shares valued at $3.5 million, representing approximately 1.25% of the fund's reportable U.S. equity assets as of quarter-end [2][3]. Company Overview - Laureate Education reported a revenue of $1.58 billion and a net income of $203.71 million for the trailing twelve months (TTM) [5]. - The company's stock price as of the last market close was $33.83, reflecting an impressive one-year price change of 86% [5]. Recent Performance - In the third quarter, Laureate Education achieved revenue of $400.2 million, marking a 9% year-over-year increase, with adjusted EBITDA rising to $94.8 million [12]. - Total enrollments increased by 6% year to date, with particularly strong growth observed in Peru [12]. Financial Position - Laureate Education ended the quarter with $241 million in cash and $102 million in debt, resulting in a net cash position [12]. - The management has raised full-year guidance and expanded its share repurchase authorization to $250 million, indicating confidence in the company's free cash flow durability [12]. Business Model - Laureate Education provides undergraduate and graduate degree programs in various fields through a network of universities and higher education institutions in Mexico, Peru, and the United States [9][10]. - The company primarily generates revenue from tuition and related educational services, targeting students seeking higher education, especially in emerging markets in Latin America and select U.S. locations [9].

Core Insights - The article highlights the author's qualifications and experience in equity research and investment analysis, emphasizing a strong focus on the U.S. equity market, particularly in the consumer staples sector, which is viewed as offering resilient long-term investment opportunities [1]. Group 1: Qualifications and Experience - The author is a certified FMVA and FPWMP, which provides a solid foundation for analyzing financial statements and building valuation models [1]. - Participation in the CFA Research Challenge has equipped the author with practical experience in equity analysis and industry research [1]. - The author has worked with a confidential client, preparing investment reports across various sectors, enhancing the ability to evaluate companies in diverse industries [1]. Group 2: Analytical Focus - The primary analytical focus is on the U.S. equity market, with a particular interest in the consumer staples sector [1]. - Defensive stocks within the consumer staples sector are identified as offering resilient long-term opportunities for investors [1]. Group 3: Educational Background - The author holds a degree in Finance from Alexandria University, graduating in 2024 with a CGPA of 3.6 [1].

Core Insights - The article highlights the author's extensive experience in equity research and investment analysis, emphasizing a strong focus on the U.S. equity market, particularly in the consumer staples sector, which is viewed as offering resilient long-term investment opportunities [1]. Group 1: Professional Background - The author is a certified FMVA and FPWMP, equipped with skills to analyze financial statements and build valuation models [1]. - Participation in the CFA Research Challenge provided practical experience in equity analysis and industry research [1]. - The author holds a degree in Finance from Alexandria University, graduating in 2024 with a CGPA of 3.6 [1]. Group 2: Skills and Interests - The analytical focus is on the consumer staples sector, where defensive stocks are believed to provide stable long-term opportunities [1]. - Experience includes preparing investment reports across various sectors such as healthcare, consumer staples, and industrials, enhancing the ability to evaluate companies across diverse industries [1]. Group 3: Recent Activities - In 2023, the author joined AIESEC, further developing leadership, communication, and teamwork skills through global exchange and project collaboration [1].

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Financial Data and Key Metrics Changes - Third quarter revenue was $400 million, and adjusted EBITDA was $95 million, both exceeding guidance provided in July [5][12] - Year-over-year revenue growth for the third quarter was 6%, while adjusted EBITDA increased by 3% [12] - Net income for the third quarter was $34 million, resulting in earnings per share of $0.23, with adjusted net income at $37 million and adjusted earnings per share of $0.25, a 14% increase compared to Q3 of the prior year [12][18] Business Line Data and Key Metrics Changes - New enrollments in Mexico increased by 2% on a reported basis or 4% excluding campus closures, while total enrollment volume increased by 4% [13] - In Peru, new enrollments surged by 21% for the third quarter, driven by strong growth in fully online programs for working adults [14][15] - Adjusted EBITDA for Mexico increased by 25% in the third quarter, while Peru's adjusted EBITDA declined by 2% due to timing of expenses [13][16] Market Data and Key Metrics Changes - Peru's economy is projected to grow approximately 3% in 2025, supported by robust domestic demand and low inflation [8] - Mexico's government has maintained fiscal discipline and advanced industrial modernization, contributing to a stable economic environment [8][9] Company Strategy and Development Direction - The company plans to open two new campuses in Monterrey, Mexico, and Lima, Peru, marking the first new campus launches since 2019 [6] - The company has identified numerous other cities in Mexico and Peru for potential development over the next several years [6] - An increase in the stock repurchase program by $150 million reflects the company's disciplined capital allocation strategy [7][17] Management's Comments on Operating Environment and Future Outlook - Management noted a resilient business model despite a softer macroeconomic environment [5] - The company expects an increase in economic activity in the second half of 2026 following trade negotiations [9] - Full year 2025 guidance was increased, projecting revenue growth of 7% to 8% and adjusted EBITDA growth of 13% to 14% [18][19] Other Important Information - The company ended September with $241 million in cash and $102 million in gross debt, resulting in a net cash position of $139 million [17] - The company has returned over $3 billion of capital to shareholders since 2019 through share repurchases and dividends [17] Q&A Session Summary Question: Revenue strength in Peru amidst calendar timing - Management highlighted strong consumer sentiment and a catch-up on deferred demand from last year, with pricing in line with inflation [22][23] Question: New enrollment growth in Mexico - Management clarified that the majority of enrollment growth in the third quarter was driven by traditional undergraduate students aged 18 to 24 [24][25] Question: Contribution from new campuses in Mexico - Management indicated that 4% growth excluding campus closures included a 1% contribution from new campus launches, with 3% from same-store growth [27] Question: Impact of pricing mix on average revenue per student - Management noted that the mix impact could be upwards of 2% as the company aggressively targets the fully online working adult segment [28]

Financial Performance - Q3 2025 - Revenue reached $400 million, a 9% increase as reported, and a 4% increase organically/CC compared to Q3 2024 [26] - Adjusted EBITDA was $95 million, a 4% increase as reported, but a 3% decrease organically/CC compared to Q3 2024 [26] - Net income was $34 million in Q3 2025 [17] - YTD Revenue reached $1161 million, a 2% increase as reported, and a 6% increase organically/CC compared to Q3 YTD 2024 [29] - YTD Adjusted EBITDA was $315 million, a 2% increase as reported, and a 5% increase organically/CC compared to Q3 YTD 2024 [29] Segment Results - Q3 2025 - Mexico's revenue was $195 million, a 5% increase organically/CC compared to Q3 2024 [34] - Mexico's Adjusted EBITDA was $26 million, a 25% increase organically/CC compared to Q3 2024 [34] - Peru's revenue was $205 million, a 3% increase organically/CC compared to Q3 2024 [37] - Peru's Adjusted EBITDA was $78 million, a 9% decrease organically/CC compared to Q3 2024 [37] Outlook and Capital Allocation - Full-year 2025 revenue is expected to grow by 7%-8% on a USD reported basis and ~8% on an organic constant currency basis [49] - Full-year 2025 Adjusted EBITDA is expected to grow by 13%-14% on a USD reported basis and 12%-13% on an organic constant currency basis [49] - The company announced a $150 million increase in stock buyback authorization, bringing the total capacity to $177 million [17, 42]

Group 1 - The article does not provide any specific information or insights regarding a company or industry [1]