Financial Data and Key Metrics Changes - Enrollment increased by 7.8% to 97,400 students in Q4 2018 compared to the previous year [6] - Service revenues were $177.5 million in Q4 2018, up 9% from $162.9 million in Q4 2017 on a comparable basis [27][28] - Adjusted operating income for Q4 2018 was $80.5 million with an operating margin of 45.3%, compared to $69.7 million and 42.8% in Q4 2017 [29] - Effective tax rate decreased to 19.5% in Q4 2018 from 25.5% in Q4 2017 due to the Tax Cuts and Jobs Act [39] Business Line Data and Key Metrics Changes - Technology and academic services revenue grew from $10.7 million in Q4 2017 to $11.1 million in Q4 2018, a 3.3% increase [30] - Counseling services and support expenses increased from $50.2 million in Q4 2017 to $52 million in Q4 2018, a 3.5% increase [33] - Marketing and communication expenses as a percentage of comparable revenue decreased by 80 basis points from Q4 2017 to Q4 2018 [35] Market Data and Key Metrics Changes - GCU's traditional ground campus produced a record 7,000 new students in fall 2018, with expectations of approximately 8,000 new students for fall 2019 [16] - Orbis is expected to expand by adding seven new locations in 2019, focusing on high-quality outcomes with a 90% graduation rate [21] Company Strategy and Development Direction - The company aims to implement six core growth strategies to enhance academic services and improve outcome metrics for students [15] - GCE will continue to seek additional university partners that offer geographic and programmatic differentiation [24] - The focus remains on maintaining high graduation rates and low student loan default rates while expanding the online campus by 6% to 7% [18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about enrollment growth due to the non-profit status of GCU, which has positively impacted student recruitment [74] - The company is being cautious in setting new targets for online business growth, maintaining a conservative estimate of 6% to 7% [74] - Management highlighted the importance of finding optimal partners for future growth rather than rushing into agreements that may lead to cannibalization [96] Other Important Information - The company repurchased 52,784 shares of common stock in Q4 2018 at a cost of approximately $5.5 million [43] - Total unrestricted cash and short-term investments were $120.3 million as of December 31, 2018 [44] - GCE's CapEx for 2019 is estimated to range between $20 million and $25 million, primarily for software development [45] Q&A Session Summary Question: What is the target growth rate for the online business? - Management maintains a target growth rate of 6% to 7% for the online business, citing strong enrollment growth in Q4 2018 [74] Question: Will the new Orbis locations require additional university partners? - The new locations in 2019 will not require additional university partners as they will be opened with existing partners [76] Question: What is the EPS impact of the Orbis acquisition? - The guidance includes the higher interest expense associated with the acquisition, and the effective tax rate does not assume the tax deduction associated with the amortization of the intangible asset [85] Question: What drove the decision to walk away from certain university partnerships? - The decision was based on a lack of differentiation and potential cannibalization between similar programs offered by both institutions [96]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10‑K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended: December 31, 2018 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from [ ] to [ ] Commission file number: 001‑34211 GRAND CANYON EDUCATION, INC. (Exact name of registrant as specified in its charter) DELAWARE 20‑335 ...