Core Viewpoint - Aspen Group, Inc. reported financial results for the second quarter of fiscal year 2026, showing a slight decline in revenue but significant improvements in profitability and operational efficiency [1][4]. Financial Performance - Revenue for Q2 FY2026 was $11.2 million, a decrease of 2% from $11.5 million in Q2 FY2025 [5][6]. - Gross profit increased to $8.4 million, up from $8.1 million year-over-year, resulting in a gross margin of 75% compared to 71% in the previous year [2][9]. - Net income was $0.7 million, a turnaround from a net loss of $(1.1) million in Q2 FY2025, marking the third consecutive quarter of profitability [6][10]. - Adjusted EBITDA rose to $2.5 million, up from $1.5 million, with an adjusted EBITDA margin of 22% compared to 14% [6][12]. Operational Highlights - New student enrollments decreased by 29% year-over-year, with a notable decline at Aspen University (AU) by 17% due to reduced marketing spend [13][7]. - United States University (USU) saw a 9% increase in revenue to $7.3 million, attributed to strong demand and higher revenue per student [8][6]. - The company implemented a restructuring plan that eliminated approximately 75 positions, expected to yield $1.5 million in quarterly savings starting Q3 FY2026 [18][19]. Cash Flow and Liquidity - The ending unrestricted cash balance for Q2 FY2026 was $0.3 million, with a positive cash flow from operations of $0.5 million [19][18]. - The company anticipates resuming marketing spend to support enrollment growth following the repayment of its 15% Debentures [19][30]. Market Position and Strategy - The company aims to sustain profitability and cash flow through disciplined execution and strategic reinvestments in marketing to boost enrollments [4][19]. - Management remains committed to expanding student resources and achieving positive operating cash flow for fiscal year 2026 [4][19].

Group 1 - Planet Labs PBC has achieved positive operating cash flow, marking a significant milestone for the company [1] - The increase in capital expenditures (CapEx) has led to a substantial improvement in free cash flow [1] - The company is described as operating in a lean and efficient manner, which contributes to its financial performance [1]