Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 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 20-3356 ...

Grand Canyon Education, Inc. (NASDAQ:LOPE) Q1 2022 Earnings Conference Call May 4, 2022 4:30 PM ET Company Participants Daniel Bachus - Chief Financial Officer Brian Mueller - Chairman, President & Chief Executive Officer Conference Call Participants Jeffrey Silber - BMO Capital Markets Jeffrey Meuler - Robert W. Baird & Co. Operator Good afternoon, ladies and gentlemen and welcome to the First Quarter 2022 Grand Canyon Inc. Earnings Conference Call. At this time, all participants are in a listen-only mode. ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 or Table of Contents ☐ 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 ...

Grand Canyon Education, Inc. (NASDAQ:LOPE) Q4 2021 Earnings Conference Call February 16, 2022 4:30 PM ET Company Participants Brian Mueller – President and Chief Executive Officer Daniel Bachus – Chief Financial Officer Conference Call Participants Jeff Meuler – Baird Ryan Griffin – BMO Capital Markets Philip Matthews – Berenberg Capital Alex Paris – Barrington Research Operator Good day, ladies and gentlemen. Thank you for standing by and welcome to the Fourth Quarter 2021, Grand Canyon Education Earnings ...

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, 2021 OR 2600 W. Camelback Road, Phoenix, Arizona 85017 (Address of principal executive offices, including zip code) For the transition period from [ ] to [ ] Commission file number: 001-34211 GRAND CANYON EDUCATION, INC. (Exact name of registrant as specified in its charter ...

Table of Contents FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2021 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 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 GRAND CANYON EDUCATION, INC. (Exact name of registrant as specified in its charter) Delaware 20 ...

Financial Data and Key Metrics Changes - The adjusted non-GAAP diluted income per share for Q3 2021 was $1.11, compared to $1.14 in Q3 2020 [23] - Service revenue was slightly below expectations in Q3 2021, primarily due to slowed enrollment growth in GCU online [24] - The effective tax rate for Q3 2021 was 20.3%, compared to 20.2% in Q3 2020 [30] Business Line Data and Key Metrics Changes - GCU's traditional campus enrolled 8,911 new students for the fall semester, up from 8,402 in the previous year [10] - Orbis enrollments grew to 5,652, a 12.1% increase, with nursing enrollments up 70% [14] - GCU online had 89,838 students as of September 1, 2021, remaining flat year-over-year, but new enrollments declined in the low teens [17] Market Data and Key Metrics Changes - Undergraduate enrollment at U.S. colleges is projected to fall by nearly 500,000 students, a 3.2% decline [7] - The decline in undergraduate enrollment is more pronounced in community colleges and public four-year colleges [9] Company Strategy and Development Direction - The company aims to address challenges in higher education, including rising costs and inadequate support services [5] - GCU plans to expand its traditional campus to accommodate 40,000 students and is evaluating additional campus locations [13] - The company is focusing on B2B partnerships and licensure programs to enhance enrollment and revenue [19] Management's Comments on Operating Environment and Future Outlook - Management noted that the uneven reopening of the country has impacted GCU online enrollments, particularly in graduate programs [43] - The company expects to return to mid-single-digit growth in GCU online enrollments next year [20] - Management remains optimistic about long-term growth, projecting a return to historical growth rates [72] Other Important Information - The company has accumulated $407.4 million in cash and plans to repurchase an additional $250 million of its common stock [12][34] - GCU engaged a firm to assist in refinancing a secured note, with plans to repay $500 million [31] Q&A Session Summary Question: Has the situation for GCU online worsened since the last call? - Management acknowledged that conditions are not as favorable as three months ago due to uneven openings of schools and hospitals [43] Question: Are traditional advertising costs increasing? - Management indicated that costs have not significantly increased, but a higher spend could lead to diminishing returns [48] Question: How does the performance of B2B partner enrollments compare to traditional channels? - Management stated that B2B partner enrollments account for about 30% of new enrollments, with traditional channels remaining strong [78]

Financial Data and Key Metrics Changes - Non-GAAP diluted income per share for Q2 2021 was $1.12, compared to $1.03 in Q2 2020, reflecting a year-over-year increase [47] - The effective tax rate for Q2 2021 was 23.3%, down from 24.6% in Q2 2020, primarily due to favorable adjustments from state audits [50] - Total unrestricted cash and short-term investments as of June 30, 2021, were $113.9 million, with capital expenditures (CapEx) of approximately $6.8 million in Q2 2021 [54] Business Line Data and Key Metrics Changes - Grand Canyon University Online had 91,572 students as of June 30, 2021, with a year-over-year growth of 4.1% [10] - Ground campus enrollment started with 22,363 students in fall 2020, with an increase of 11.5% in traditional students, excluding professional studies [20] - GCE/Orbis partner enrollments at off-campus sites were 4,210, a 13.2% increase year-over-year, with nursing enrollment up 19% [33] Market Data and Key Metrics Changes - The pandemic has caused significant enrollment and financial issues for many universities, impacting GCE's short-term growth [6] - GCU's traditional campus is near capacity, necessitating the construction of at least two new residence halls to meet demand [21] - The average incoming GPA for new students attending the ground campus is 3.6, with the honors college growing to over 2,800 students [22] Company Strategy and Development Direction - GCE aims to create educational models addressing rising costs, increasing debt levels, and inadequate support services in higher education [7] - The company is focused on expanding its three platforms: GCU Online, traditional campus, and GCE/Orbis, with significant investments planned [41][29] - GCE plans to invest an additional $500 million over the next four years to accommodate growth in traditional campus enrollment [29] Management's Comments on Operating Environment and Future Outlook - Management views current enrollment challenges as short-term, with confidence in returning to long-term growth once normal operations resume [17][18] - The company is optimistic about the upcoming fall semester, with strong demand for a fully open campus experience [76][79] - Management acknowledges increased competition but believes their direct engagement strategy will mitigate its impact [72][75] Other Important Information - GCE repurchased 981,431 shares at a cost of approximately $95.3 million in Q2 2021, with an additional $970 million authorized for share repurchase [51][53] - The company has a strong financial position post-split from GCE, with $307 million in cash as of June 30, 2021 [29] - GCE is expanding its off-campus classroom and laboratory sites, aiming for over 40 locations by the end of 2022 [36] Q&A Session Summary Question: Enrollment trends at Grand Canyon University online - Management acknowledged increased competition but emphasized their unique direct engagement strategy with schools and hospitals, which continues to yield results [72][75] Question: Impact of the Delta variant on ground students - Management reported no reluctance among students to return, with parents expressing a desire for a fully open campus [76][79] Question: Clarification on new enrollment sources - Management confirmed that two-thirds of new enrollments come from marketing channels outside direct counseling, which have not diminished [85][87] Question: Update on stock repurchase and refinancing - Management confirmed plans to repurchase at least $500 million of stock, with potential for more depending on the refinancing outcome [88][91] Question: Growth of Orbis and occupational therapy enrollment - Management noted a decline in occupational therapy enrollment due to COVID restrictions but highlighted a 19% increase in nursing programs [97][98]

[PART I – FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20%E2%80%93%20FINANCIAL%20INFORMATION) The first part presents the company's financial statements, management's discussion, market risk disclosures, and internal controls [Item 1. Financial Statements](index=3&type=section&id=Item%201%20Financial%20Statements) The company's financial statements for the period ended June 30, 2021, show increased service revenue and net income, stable total assets, increased liabilities, and decreased operating cash flow due to working capital changes [Consolidated Income Statements](index=4&type=section&id=Consolidated%20Income%20Statements) Q2 and H1 2021 vs 2020 Performance | Metric (In thousands, except per share) | Q2 2021 | Q2 2020 | YoY Change | H1 2021 | H1 2020 | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Service Revenue** | $201,487 | $185,768 | +8.5% | $438,421 | $407,423 | +7.6% | | **Operating Income** | $50,248 | $48,310 | +4.0% | $134,474 | $129,106 | +4.2% | | **Net Income** | $49,461 | $47,010 | +5.2% | $127,573 | $118,395 | +7.8% | | **Diluted EPS** | $1.09 | $1.00 | +9.0% | $2.78 | $2.49 | +11.6% | [Consolidated Balance Sheets](index=5&type=section&id=Consolidated%20Balance%20Sheets) Balance Sheet Highlights (In thousands) | Account | June 30, 2021 | Dec 31, 2020 | Change | | :--- | :--- | :--- | :--- | | Cash and cash equivalents | $69,448 | $245,769 | -71.7% | | Secured Note receivable, net | $1,154,912 | $964,912 | +19.7% | | Total Assets | $1,846,967 | $1,844,579 | +0.1% | | Total Liabilities | $304,284 | $270,250 | +12.6% | | Total Stockholders' Equity | $1,542,683 | $1,574,329 | -2.0% | - The significant decrease in cash and cash equivalents is primarily due to share repurchases and funding provided to GCU, while the increase in the Secured Note receivable reflects additional loans to GCU[12](index=12&type=chunk)[18](index=18&type=chunk) [Consolidated Statements of Cash Flows](index=10&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Cash Flow Summary for Six Months Ended June 30 (In thousands) | Cash Flow Category | 2021 | 2020 | | :--- | :--- | :--- | | Net cash provided by operating activities | $210,329 | $221,052 | | Net cash used in investing activities | ($240,085) | ($80,577) | | Net cash used in financing activities | ($146,565) | ($90,515) | | **Net (decrease) increase in cash** | **($176,321)** | **$49,960** | - The decrease in operating cash flow was mainly due to changes in working capital, particularly income taxes[18](index=18&type=chunk) The significant increase in cash used for investing activities was driven by a **$190 million** funding to GCU and increased investment purchases[18](index=18&type=chunk) Cash used in financing activities rose due to a substantial increase in common share repurchases, totaling **$167.7 million** in H1 2021 versus **$74.0 million** in H1 2020[18](index=18&type=chunk)[169](index=169&type=chunk) [Notes to Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes detail the company's business as an education services provider for 27 university partners, with Grand Canyon University (GCU) being the most significant, outlining key accounting policies, the Secured Note from GCU, leases, debt obligations, and an active share repurchase program - GCE provides education services to **27 university partners** as of June 30, 2021, with Grand Canyon University (GCU) as its most significant partner[21](index=21&type=chunk)[23](index=23&type=chunk) - Revenue is generated through services agreements where GCE receives a percentage of its university partners' tuition and fee revenue, which is **60% for GCU**[29](index=29&type=chunk)[50](index=50&type=chunk) - The company holds a Secured Note from GCU with a principal balance of **$1.15 billion** as of June 30, 2021, bearing interest at **6.0% annually**[29](index=29&type=chunk)[12](index=12&type=chunk) - The company has an active share repurchase program, which was increased by **$100 million** in January 2021 and **$970 million** in July 2021, with **1.55 million shares** repurchased for **$151.7 million** during H1 2021[97](index=97&type=chunk)[102](index=102&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=23&type=section&id=Item%202%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial results, highlighting an 8.5% increase in Q2 2021 service revenue driven by partner enrollments and higher revenue per student, detailing COVID-19's impact on enrollment growth, increased operating expenses for new sites, and strong liquidity supported by cash and an active share repurchase program [Impact of COVID-19](index=25&type=section&id=Impact%20of%20COVID-19) - The pandemic initially accelerated GCU's online enrollment growth in 2020 as more working adults returned to school[117](index=117&type=chunk) - Beginning in Q2 2021, online enrollment growth rates began to slow as new enrollments and re-entries declined year-over-year, and student dropouts returned to historical levels, a trend expected to continue through the rest of 2021[119](index=119&type=chunk) - GCU's non-tuition revenue, negatively impacted in 2020, saw recovery in 2021, with residential student capacity expected to be full for Fall 2021[116](index=116&type=chunk)[117](index=117&type=chunk) [Results of Operations](index=27&type=section&id=Results%20of%20Operations) For Q2 2021, service revenue grew 8.5% to $201.5 million, driven by increased partner enrollments and higher revenue per student, while operating expenses rose, particularly in Technology and Academic Services, contributing to a 7.8% net income growth for H1 2021 Q2 2021 vs Q2 2020 Results Summary | Metric | Q2 2021 | Q2 2020 | YoY Change | Key Driver | | :--- | :--- | :--- | :--- | :--- | | **Service Revenue** | $201.5M | $185.8M | +8.5% | 3.5% increase in partner enrollments and higher revenue per student | | **Technology & Academic Services Expense** | $33.7M | $27.2M | +24.0% | Increased headcount and costs for new off-campus sites | | **Counseling Services & Support Expense** | $60.9M | $57.6M | +5.8% | Increased headcount and travel costs | | **Marketing & Communication Expense** | $45.4M | $41.1M | +10.6% | Increased advertising for new partners and locations | | **Net Income** | $49.5M | $47.0M | +5.2% | Revenue growth partially offset by higher operating costs | - Total partner enrollments reached **101,808** at June 30, 2021, a **3.5% increase** from the prior year, with enrollments at off-campus classroom and laboratory sites growing **13.2%**[127](index=127&type=chunk) - The effective tax rate for Q2 2021 was **23.3%**, down from **24.6%** in Q2 2020, due to favorable adjustments from state audits[139](index=139&type=chunk) [Liquidity and Capital Resources](index=32&type=section&id=Liquidity%20and%20Capital%20Resources) The company ended Q2 2021 with **$113.9 million** in unrestricted cash and investments, plus **$115.0 million** available on its credit line, supporting a significant share repurchase program and a short-term loan to GCU - As of June 30, 2021, the company had **$113.9 million** in unrestricted cash, cash equivalents, and investments, with an additional **$115.0 million** available on its credit facility[157](index=157&type=chunk) - The Board of Directors increased the share repurchase authorization by **$100 million** in January 2021 and **$970 million** in July 2021, bringing the total program authorization to **$1.47 billion**[162](index=162&type=chunk) - The company entered into two Accelerated Share Repurchase (ASR) agreements in March and May 2021 to buy back **$35.0 million** and **$50.0 million** of its common stock, respectively[164](index=164&type=chunk)[167](index=167&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=35&type=section&id=Item%203%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company states that inflation has not materially impacted its results, and while market risk is primarily related to interest rate fluctuations, a 10% change is not expected to have a material impact on earnings, fair values, or cash flows - The company believes inflation has not materially impacted its results of operations[175](index=175&type=chunk) - Interest rate risk is managed by investing excess funds in a portfolio of cash equivalents and various rated securities, with a **10% change** in interest rates not expected to have a material impact[177](index=177&type=chunk) [Item 4. Controls and Procedures](index=35&type=section&id=Item%204%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were effective as of June 30, 2021, with no material changes to internal control over financial reporting identified during the quarter - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of the end of the period[178](index=178&type=chunk) - There were no changes in internal control over financial reporting during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[179](index=179&type=chunk)[181](index=181&type=chunk) [PART II – OTHER INFORMATION](index=36&type=section&id=PART%20II%20%E2%80%93%20OTHER%20INFORMATION) The second part covers legal proceedings, risk factors, equity sales, defaults, mine safety, and exhibits [Item 1. Legal Proceedings](index=36&type=section&id=Item%201%20Legal%20Proceedings) The company reported no material legal proceedings - None[182](index=182&type=chunk) [Item 1A. Risk Factors](index=36&type=section&id=Item%201A%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K for the year ended December 31, 2020 - No material changes from the risk factors disclosed in the 2020 Form 10-K[183](index=183&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=36&type=section&id=Item%202%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company details its significant share repurchase activity, including a substantial increase in its repurchase authorization, with **981,431 shares** repurchased at an average price of **$97.13** during Q2 2021 through open market purchases and two Accelerated Share Repurchase (ASR) agreements - The Board of Directors increased the stock repurchase authorization by **$100.0 million** in January 2021 and **$970.0 million** in July 2021, bringing the aggregate authorization to **$1.47 billion**[185](index=185&type=chunk) - The company executed two ASR agreements in Q2 2021: one for **$35.0 million** initiated in March and completed in May, and another for **$50.0 million** initiated in May to be completed by September 2021[186](index=186&type=chunk)[187](index=187&type=chunk) Share Repurchases in Q2 2021 | Period | Total Shares Purchased | Average Price Paid Per Share | | :--- | :--- | :--- | | April 2021 | 31,360 | $110.32 | | May 2021 | 720,046 | $98.74 | | June 2021 | 230,025 | $90.30 | | **Total Q2** | **981,431** | **$97.13** | [Item 3. Defaults Upon Senior Securities](index=37&type=section&id=Item%203%20Defaults%20Upon%20Senior%20Securities) The company reported no defaults upon senior securities - None[191](index=191&type=chunk) [Item 4. Mine Safety Disclosures](index=37&type=section&id=Item%204%20Mine%20Safety%20Disclosures) Not applicable to the company - None[192](index=192&type=chunk) [Item 5. Other Information](index=37&type=section&id=Item%205%20Other%20Information) The company reported no other information - None[193](index=193&type=chunk) [Item 6. Exhibits](index=37&type=section&id=Item%206%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including certifications by the Principal Executive Officer and Principal Financial Officer as required by the Sarbanes-Oxley Act, and the financial statements formatted in Inline XBRL - Exhibits filed include CEO and CFO certifications pursuant to Sarbanes-Oxley Sections 302 and 906[196](index=196&type=chunk) - The financial statements and notes were also filed in Inline XBRL format[196](index=196&type=chunk)

Grand Canyon Education, Inc. (NASDAQ:LOPE) Q1 2021 Earnings Conference Call May 5, 2021 4:30 PM ET Company Participants Dan Bachus – Chief Financial Officer Brian Mueller – Chairman and Chief Executive Officer Conference Call Participants Jeff Meuler – Baird Brett Knoblauch – Berenberg Capital Greg Pendy – Sidoti Operator Good day and thank you for standing by. Welcome to the Quarter One 2021 Grand Canyon Education, Inc. Earnings Conference Call. At this time all participants are in a listen-only mode. [Ope ...