Core Insights - The company reported a fourth-quarter net income of $12.6 million, or $0.67 per diluted share, an increase from $11.5 million, or $0.63 per diluted share, in the prior year [1] - Adjusted EBITDA for the fourth quarter was $28.7 million, down from $31.4 million, with an adjusted EBITDA margin of 18.1% [1] - The company experienced a revenue increase of 9.2% in the fourth quarter, reaching $20.7 million, with enrollment rising to 4,000 students, an 8.1% increase [1] Financial Performance - For the full year 2025, consolidated revenue was $648.9 million, up 3.9% from 2024, and adjusted EBITDA was $85.7 million, up 18.6% [5][10] - Net income available to common stockholders for the full year was $25.3 million, or $1.36 per diluted share, compared to $10.1 million, or $0.55 per diluted share, in the previous year [11] - The company ended 2025 with cash equivalents and restricted cash totaling $176.5 million, an increase from $158.9 million at the end of 2024 [12] Segment Performance - APUS revenue for the fourth quarter was $71.0 million, down 13.8% year-over-year, with net course registrations decreasing by 15.3% [2][6] - In contrast, Rasmussen and Hondros reported strong growth, with Rasmussen revenue increasing by 13.9% to $246.2 million and Hondros revenue rising by 11.4% to $75.0 million [18] - The company plans to report results in two segments starting in fiscal 2026: APU Global and RU Health Plus [16] Strategic Actions - The company refinanced its debt, lowering the borrowing rate by approximately 375 basis points and reducing principal from $96.4 million to $90 million [13] - A $50 million share repurchase program was authorized, aimed at offsetting dilution from share-based compensation and providing flexibility for opportunistic repurchases [14] - The company is opening new campuses, including a Rasmussen campus in Orlando and a Hondros campus in Detroit, with capital expenditures expected to be around $3.5 million for each campus [17] 2026 Outlook - For 2026, the company guided full-year revenue of $685 million to $695 million, adjusted EBITDA of $91.5 million to $100.5 million, and diluted EPS of $2.15 to $2.47 [4][22] - The first quarter of 2026 is expected to generate revenue of $173 million to $175 million, with adjusted EBITDA of $25.5 million to $27.0 million [19]