Core Insights - K12 Tutoring has achieved Level II validation under the Every Student Succeeds Act (ESSA), confirming its effectiveness in improving student outcomes through personalized academic support [1][2][3] Company Overview - K12 Tutoring is a leading online tutoring service that provides personalized, high-quality tutoring solutions designed to support students' academic journeys [5] - The platform connects students with state-certified educators who create tailored learning plans to address individual academic needs [3][5] Validation and Impact - The independent evaluation conducted in collaboration with Instructure found that students using K12 Tutoring scored an average of 8 percentile points higher on the NWEA MAP Growth math assessment compared to non-tutored peers, equating to approximately eight months of additional classroom learning [2] - K12 Tutoring's ESSA Level II validation highlights its role as an effective academic intervention, providing research-backed solutions for schools and districts [1][3] Tutoring Offerings - K12 Tutoring offers scalable services, including both teacher-assigned and high-dosage tutoring, which are identified as the most effective interventions for accelerating learning progress [3] - The service's flexible scheduling allows families and educators to arrange tutoring sessions at their convenience, making it accessible for students nationwide [3][4]

Market Overview - Wall Street has experienced significant volatility in 2025, with all three major stock indexes (Dow, S&P 500, Nasdaq Composite) in negative territory year to date [1] - Small-cap benchmarks (Russell 2000, S&P 600) and mid-cap-specific S&P 400 Index are also in the red year to date [1] High-Performing Mid-Cap Stocks - Despite market headwinds, five mid-cap stocks have provided over 25% returns year to date: ADMA Biologics Inc. (ADMA), FirstCash Holdings Inc. (FCFS), Stride Inc. (LRN), Life Time Group Holdings Inc. (LTH), and National Fuel Gas Co. (NFG) [2] - These stocks exhibit strong revenue and earnings growth potential for 2025, with positive earnings estimate revisions over the last 60 days [3] ADMA Biologics Inc. - ADMA Biologics specializes in plasma-based biologics for treating and preventing infectious diseases, targeting immune-compromised individuals [7][8] - Expected revenue growth rate is 16.3% and earnings growth rate is 44.9% for the current year, with a 2.9% improvement in earnings estimates over the last 60 days [9] FirstCash Holdings Inc. - FirstCash operates retail pawn stores across the U.S., Mexico, and Latin America, providing loans against personal property and retailing forfeited merchandise [10][11] - Expected revenue growth rate is 0.2% and earnings growth rate is 17.2% for the current year, with a 2.6% improvement in earnings estimates over the last seven days [13] Stride Inc. - Stride is a technology-based education service company offering online curriculum and educational services [14] - Expected revenue growth rate is 14.9% and earnings growth rate is 48.4% for the current year, with a 4.3% improvement in earnings estimates over the last 30 days [16] Life Time Group Holdings Inc. - Life Time provides health, fitness, and wellness experiences, operating various fitness and recreation centers [17][18] - Expected revenue growth rate is 12.9% and earnings growth rate is 37.9% for the current year, with a 6.5% improvement in earnings estimates over the last 60 days [19] National Fuel Gas Co. - National Fuel Gas focuses on systematic investments to strengthen operations and reduce emissions, with significant capital investments planned [20][21] - Expected revenue growth rate is 31.5% and earnings growth rate is 39.1% for the current year, with a 1.9% improvement in earnings estimates over the last 60 days [22][23]

Financial Data and Key Metrics Changes - Total revenue for Q3 was $613.4 million, an increase of 17.8% year-over-year [12] - Adjusted operating income was $141.7 million, up 47% [16] - Adjusted EBITDA reached $168.3 million, up 40% [16] - Gross margins improved to 40.6%, up 190 basis points from last year [15] - Diluted earnings per share for the quarter were $2.20 [16] Business Line Data and Key Metrics Changes - Revenue from career learning, middle, and high school programs grew to $223.9 million, up 33% [12] - General education revenue was $370.8 million, up 13% [12] - Enrollment in career learning programs increased by 34% to 98,700 [12] - Average enrollments rose 14% from last year to 141,500 [13] Market Data and Key Metrics Changes - Enrollment was up over 21% from last year, setting the company up for continued growth [11] - Demand for full-time online programs remains strong, with 27% of parents considering such options [6] - Application volumes have grown significantly, almost doubling compared to two years ago and quadrupling compared to four years ago [9] Company Strategy and Development Direction - The company aims to leverage its core capabilities to deliver innovative, outcomes-driven solutions for over 50 million students [9] - Focus on building an enduring business for the next 25 years while celebrating its 25th anniversary [8] - Plans to invest in tutoring and socialization opportunities for students in online programs [61][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in finishing the year with more enrollments than started, marking the third consecutive year of growth [11] - The macro environment remains favorable, with strong demand trends supporting future growth [6] - Management noted a generally favorable funding environment for FY 2026 [14] Other Important Information - The company raised its full-year revenue guidance to a range of $2.37 to $2.385 billion, up from $2.32 to $2.355 billion [18] - Capital expenditures for the quarter were $15.8 million, slightly down from $16.3 million [17] - Free cash flow was $37.3 million, down from $52.2 million due to timing of cash receipts [17] Q&A Session Summary Question: Strong enrollment growth in Career Learning program - Management acknowledged ongoing tests to develop a separate funnel for career learning but noted challenges in cracking the code [20][22] Question: Improving socialization opportunities for online students - Management discussed initiatives like the K-12 zone and geographic pods to enhance socialization for students [24][26] Question: Marketing strategy and spend - Management indicated that marketing strategies will remain consistent, focusing on testing and optimizing media placements without significantly increasing spend [34][38] Question: Impact of federal policies on demand - Management expressed confidence that the current administration's focus on choice will positively impact demand, particularly at the state level [41] Question: Growth in Career Learning and missed opportunities in lower grades - Management highlighted strong growth in middle and high school but acknowledged the need to improve communication and offerings in lower grades [46][47] Question: Constraints on enrollment due to school policies - Management confirmed that some schools have closed enrollment windows, impacting the ability to meet demand [50][51] Question: Future gross margin expansion - Management indicated that while gross margins are currently strong, they do not expect significant increases beyond current levels [59][60]

Financial Performance - Q3 FY25 revenue reached $613.4 million, an 18% year-over-year increase[9] - Adjusted Operating Income for Q3 FY25 was $141.7 million, a 47% year-over-year increase[9] - Adjusted EBITDA for Q3 FY25 was $168.3 million, a 40% year-over-year increase[9] - Revenue for the first nine months of FY25 reached $1751.7 million, a 16% year-over-year increase[9] - Adjusted Operating Income for the first nine months of FY25 was $335.7 million, a 63% year-over-year increase[9] - Adjusted EBITDA for the first nine months of FY25 was $412.6 million, a 48% year-over-year increase[9] Enrollment Trends - Average Q3 enrollments reached 240200, up 21.1% from the prior year[7] - General Education enrollments increased by 16900, up 14% year-over-year[17] - Career Learning enrollments increased by 24900, up 34% year-over-year[17] Guidance and Targets - The company increased its full-year revenue guidance to a range of $2370 billion to $2385 billion[18] - The company increased its full-year Adjusted Operating Income guidance to a range of $455 million to $465 million[18]

Company Performance - K12 reported quarterly earnings of $2.02 per share, missing the Zacks Consensus Estimate of $2.09 per share, but showing an increase from $1.60 per share a year ago, representing an earnings surprise of -3.35% [1] - The company posted revenues of $613.38 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 3.31%, compared to year-ago revenues of $520.84 million [2] - Over the last four quarters, K12 has surpassed consensus EPS estimates three times and topped consensus revenue estimates four times [2] Stock Performance - K12 shares have increased approximately 35.5% since the beginning of the year, contrasting with a -6% decline in the S&P 500 [3] - The current consensus EPS estimate for the coming quarter is $1.71 on revenues of $610.89 million, and for the current fiscal year, it is $6.96 on revenues of $2.34 billion [7] Industry Outlook - The Schools industry, to which K12 belongs, is currently in the top 20% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that K12's stock may outperform the market in the near future [5][6]

Revenue Growth - For the nine months ended March 31, 2025, revenues increased to $1,751.7 million, up 16.3% from $1,505.9 million in the prior year[166] - Revenues for the three months ended March 31, 2025, were $613.4 million, an increase of $92.6 million, or 17.8%, from $520.8 million in the same period of 2024[184] - General Education revenues for the nine months ended March 31, 2025, were $1,054.5 million, an increase of 11.9% from $942.1 million in the prior year[176] - Career Learning revenues increased by 23.7% to $697.1 million for the nine months ended March 31, 2025, compared to $563.8 million in the prior year[176] - General Education revenues for the three months ended March 31, 2025, were $370.8 million, a 12.7% increase from $328.9 million in the prior year[176] - Career Learning revenues for the same period were $242.6 million, reflecting a 26.4% increase from $191.9 million in the prior year[176] Enrollment Statistics - Total enrollments for the nine months ended March 31, 2025, reached 233.5 thousand, an increase of 38.9 thousand or 20.0% over the prior year[166] - General Education revenues increased by $41.9 million, or 12.7%, year over year, driven by a 13.6% increase in enrollments[184] - Career Learning revenues rose by $50.6 million, or 26.4%, primarily due to a 33.7% increase in enrollments[184] - Stride graduated 15,987 high school students from partner schools in the most recent academic year ended June 30, 2024[158] Financial Performance - Operating income for the same period rose to $303.2 million, compared to $175.9 million in the prior year, driven by revenue growth and an increase in gross margin[166] - Net income attributable to common stockholders for the three months ended March 31, 2025, was $99.3 million, or 16.2% of revenues, compared to $69.7 million, or 13.4% of revenues, in the prior year[183] - Operating income for the nine months ended March 31, 2025, increased to $303.2 million, up from $175.9 million in the prior year, driven by revenue growth and an increase in gross margin[166] Expenses - Instructional costs and services expenses for the three months ended March 31, 2025, were $364.1 million, an increase of $44.6 million, or 14.0%, from $319.5 million in the prior year[185] - Selling, general, and administrative expenses for the three months ended March 31, 2025, were $118.5 million, an increase of $5.5 million, or 4.9%, from $113.0 million in the prior year[186] - Instructional costs and services expenses for the nine months ended March 31, 2025, were $1,046.7 million, an increase of $116.2 million, or 12.5%, from $930.5 million in the prior year[192] Cash Flow and Working Capital - The company had net working capital of $1,243.4 million as of March 31, 2025, including cash and cash equivalents of $528.6 million and accounts receivable of $699.8 million[197] - Net cash provided by operating activities increased by $27.9 million to $134.5 million for the nine months ended March 31, 2025, compared to $106.6 million for the same period in 2024[206] - Net cash used in investing activities decreased by $47.7 million to $53.3 million for the nine months ended March 31, 2025, compared to $101.0 million for the same period in 2024[208] - Net cash used in financing activities increased by $10.8 million to $50.6 million for the nine months ended March 31, 2025, compared to $39.8 million in the prior year[209] Investments and Agreements - Stride has invested over $700 million in the last twenty years to develop curriculum, systems, instructional practices, and support services[177] - The average duration of agreements for the school-as-a-service offering is greater than five years, with most providing for automatic renewals[164]

Financial Data and Key Metrics Changes - Total revenue for Q3 was $613.4 million, an increase of 17.8% year-over-year [12] - Adjusted operating income was $141.7 million, up 47% [17] - Adjusted EBITDA reached $168.3 million, up 40% [17] - Gross margins improved to 40.6%, up 190 basis points from last year [15] - Diluted earnings per share for the quarter were $2.20 [17] - Free cash flow was $37.3 million, down from $52.2 million due to timing of cash receipts [18] Business Line Data and Key Metrics Changes - Revenue from career learning, middle and high school programs grew to $223.9 million, up 33% [12] - General education revenue was $370.8 million, up 13% [12] - Enrollment in career learning programs increased by 34% to 98,700 [12] - Average enrollments rose 14% from last year to 141,500 [13] Market Data and Key Metrics Changes - Demand for full-time online programs remains strong, with 27% of parents considering such options [5] - Application volumes have grown significantly, nearly doubling compared to two years ago and quadrupling compared to four years ago [9] Company Strategy and Development Direction - The company aims to leverage its core capabilities to deliver innovative, outcomes-driven solutions for over 50 million students [9] - Focus on building an enduring business for the next 25 years while celebrating its 25th anniversary [8] - Plans to invest in tutoring and socialization opportunities for students in online programs [26][60] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in finishing the fiscal year with more enrollments than started, marking the third consecutive year of growth [11] - The macro environment remains favorable, with strong demand trends supporting future growth [5][10] - Management noted that less than 5% of overall revenues come from federal sources, indicating limited impact from federal funding changes [14] Other Important Information - The company raised its full-year revenue guidance to a range of $2.37 to $2.385 billion, up from previous guidance [18] - Capital expenditures for the year are expected to remain between $60 and $65 million [19] Q&A Session Summary Question: Strong enrollment growth in Career Learning program - Management acknowledged ongoing tests to develop a separate enrollment funnel for career learning but noted challenges in cracking the code [21][23] Question: Improving socialization opportunities for online students - Management highlighted initiatives like the K-12 zone and geographic pods to enhance socialization for students [25][27] Question: Marketing strategy and spend - Management indicated that marketing strategies will remain consistent, focusing on testing and optimizing without significantly increasing spend [33][37] Question: Impact of federal policies on demand - Management expressed confidence that the current administration's focus on choice will positively impact demand, particularly at the state level [40][41] Question: Growth in middle and high school areas - Management noted strong growth in these areas but emphasized the need to improve communication and offerings for lower grades [45][46] Question: Enrollment constraints due to closed windows - Management confirmed that demand continues to grow, but enrollment windows often close during this period, limiting capacity to meet demand [48][50] Question: Impact of uncertainty on demand - Management indicated that local uncertainties, such as school safety and district-level volatility, have positively influenced demand [55] Question: Future gross margin expansion - Management expects continued efficiency improvements but does not anticipate significant increases in gross margins beyond current levels [57][58]

EXHIBIT 99.1 Strong Demand Delivers Another Record Quarter for Stride RESTON, Va., April 29, 2025 (GLOBE NEWSWIRE) -- Stride, Inc. (NYSE: LRN), one of the nation's most successful technology-based education companies, today announced its results for the third fiscal quarter ended March 31, 2025. Third Quarter Fiscal 2025 Highlights Compared to 2024 Third Quarter Fiscal 2025 Summary Financial Metrics | | Three Months Ended March 31, | | | | Change 2025/2024 | | | --- | --- | --- | --- | --- | --- | --- | | | ...

Core Insights - Stride, Inc. reported strong financial results for the third fiscal quarter ended March 31, 2025, with significant increases in revenues and net income compared to the same period in 2024 [1][2][6]. Financial Performance - Revenues for the third quarter reached $613.4 million, a 17.8% increase from $520.8 million in the same quarter of 2024 [3][6]. - Income from operations was $130.8 million, up 48.1% from $88.3 million year-over-year [3][6]. - Net income increased by 42.6% to $99.3 million, compared to $69.7 million in the prior year [3][6]. - Diluted net income per share rose to $2.02, a 26.3% increase from $1.60 [3][6]. - Adjusted operating income was $141.7 million, reflecting a 47.0% increase from $96.4 million [3][6]. - Adjusted EBITDA for the quarter was $168.3 million, up 39.6% from $120.5 million [3][6]. Year-to-Date Performance - For the nine months ended March 31, 2025, total revenues were $1.75 billion, a 16.3% increase from $1.51 billion in the same period of 2024 [5][7]. - Income from operations for the nine months was $303.2 million, a 72.4% increase from $175.9 million [5][7]. Enrollment and Revenue Metrics - Average enrollments in the third quarter were 240.2K, a 21.1% increase from 198.4K in the same quarter of fiscal 2024 [10]. - Career Learning enrollments averaged 98.7K, up 33.7% from 73.8K year-over-year [10]. - Revenue per enrollment for the third quarter was $2,415, slightly down from $2,420 in the same quarter of fiscal 2024 [12]. Cash Flow and Capital Allocation - As of March 31, 2025, cash and cash equivalents totaled $754.6 million, an increase from $714.2 million reported at June 30, 2024 [14]. - Capital expenditures for the quarter were $15.8 million, compared to $16.3 million in the same quarter of the previous year [14]. Fiscal Year 2025 Outlook - The company raised its revenue and adjusted operating income forecast for the full fiscal year 2025, projecting revenues in the range of $2.370 billion to $2.385 billion and adjusted operating income between $455 million and $465 million [19][15].

Core Viewpoint - MGM Resorts International is expected to report a decline in earnings and revenues for the first quarter of 2025, with various factors influencing its performance, including strong domestic demand and macroeconomic challenges [1][2][6]. Financial Performance Estimates - The Zacks Consensus Estimate for first-quarter earnings per share (EPS) is 50 cents, reflecting a 32.4% decrease from 74 cents in the same quarter last year [1]. - The consensus revenue estimate is approximately $4.27 billion, indicating a 2.5% decline from the previous year's figure [2]. Factors Influencing Performance - MGM's first-quarter performance is anticipated to benefit from robust domestic demand trends, strong Las Vegas operations, strategic convention bookings, and growth in digital platforms like BetMGM [3]. - Event-driven demand around the Super Bowl and January conventions is expected to have positively impacted performance, with Las Vegas operations' Average Daily Rates projected to grow in the mid-single digits, supported by record January occupancy levels of 94% [4]. Regional Operations and Bookings - The strong group bookings pipeline, enhanced by collaboration with Marriott and improvements to the Mandalay Bay Convention Center, is likely to support performance [5]. - The Zacks Consensus Estimate for first-quarter revenues from regional operations rooms is $67 million, slightly up from $66 million reported in the prior-year quarter [5]. Challenges and Headwinds - Persistent macroeconomic challenges, including inflation, competitive labor markets, and foreign currency fluctuations, are expected to negatively impact performance [6]. - Soft contributions from casino, rooms, and food and beverage sectors are anticipated, with estimated revenues of $2.2 billion, $937 million, and $740 million respectively, compared to higher figures in the prior-year quarter [7]. Cost Pressures - Elevated pre-opening costs related to MGM Grand hotel renovations and international expansion, particularly in Brazil, are likely to exert margin pressure [8]. - First-quarter EBITDAR growth in Las Vegas may be affected by an estimated $65 million year-over-year Super Bowl headwind and temporary room disruptions from renovation projects [8]. Earnings Prediction Model - The current model does not predict a definitive earnings beat for MGM Resorts, as it lacks a positive Earnings ESP and holds a Zacks Rank of 4 (Sell) [9][10].