CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 80.96% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Open platformOpen platform

Grand Canyon Education Q3 service revenue rises on higher university partner enrollments

By Reuters News


Overview

  • Education services provider's Q3 service revenue rose 2.4% yr/yr, driven by higher enrollments

  • Q3 adjusted EBITDA decreased 3.2%, pretax profit missed

  • Company approved $355 mln increase to share repurchase program


Outlook

  • Grand Canyon Education sees Q4 2026 service revenue between $320.5 mln and $321.5 mln

  • Company expects 2026 service revenue of $1.1607 bln to $1.1617 bln

  • Company forecasts 2026 adjusted diluted EPS of $10.09 to $10.13


Result Drivers

  • ENROLLMENT GROWTH - Co said higher university partner enrollments drove Q3 service revenue increase

  • REVENUE SHIFT - Co said fewer days of revenue for ground students led to shift of revenue from Q3 to Q4, impacting per-student revenue

  • ONLINE TUITION MIX - Co said revenue per online student declined due to mix shift toward students with lower net tuition rates


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Net Income

$43.01 mln

Q3 Adjusted EBITDA

$73.50 mln

Q3 Pretax Profit

Miss

$53.76 mln

$55.51 mln (3 Analysts)

Q3 Operating Income

$51.47 mln

Q3 Service revenue

$267.35 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the miscellaneous educational service providers peer group is "buy"

  • Wall Street's median 12-month price target for Grand Canyon Education Inc is $194.62, about 29.2% above its November 4 closing price of $150.67

  • The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 13 three months ago


Reuters Recommended Reads

  • Nov 2 - HealthStream Q3 revenue, adjusted EBITDA beat estimates; raises 2026 outlook

  • Nov 3 - Duolingo Q3 daily active users accelerated to 29% on gains in every region; shares soar

  • Nov 3 - Hackett Group Q3 adj EPS beats estimates


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.