#United States #Rasmussen University #Charles Town #American Public Education #Hondros College of Nursing

American Public Education Reports Strong Fourth Quarter and Full Year 2025 Financial Results

American Public Education, Inc. (APEI), traded on Nasdaq under the symbol APEI, is renowned for changing lives and supporting careers through its robust online education offerings. As the company releases its fourth quarter and full year results for 2025, there are notable highlights of both growth and resilience amidst challenges such as the federal government shutdown.

Financial Overview

The company reported a consolidated revenue of $648.9 million for the full year of 2025, showcasing a 3.9% year-over-year growth despite facing obstacles. This growth reflects increased student enrollment across three main institutions: the American Public University System (APUS), Rasmussen University (RU), and Hondros College of Nursing (HCN). Notably, the RU segment, with its focus on health sciences, experienced a remarkable 13.9% increase in revenue, tallying $246.2 million. Similarly, HCN achieved an 11.4% revenue growth, emphasizing the effective strategies in attracting and retaining students.

In contrast, APEI's APUS segment experienced a slight decline, with revenues dipping 13.8% due to the ramifications of the government shutdown and the sale of Graduate School USA earlier in the year. However, excluding the impact of GSUSA, consolidated revenues remained stable compared to the previous year.

Key Highlights for Q4 2025

• - Consolidated revenue reached $158.3 million, representing a 3.5% decrease year-over-year.
• - RU's revenue highlighted a 15.9% growth due to increased enrollments, contributing $66.6 million.
• - The HCN segment similarly performed well with a 9.5% increase to become $20.7 million.
• - Overall, adjusted EBITDA decreased by 8.6% to $28.7 million, impacted by the government shutdown.

These results were further complemented by an impressive 9.6% increase in net income available to common stockholders, reaching $12.6 million, surpassing $11.5 million from the previous year. Moreover, the net income per diluted share rose by 6.3% to $0.67.

Strategic Developments

In addition to the financial results, APEI has taken significant steps to strengthen its financial position. The company successfully redeemed its preferred equity and sold certain corporate assets, which have simplified its operations. Merely days before this report, APEI completed a debt refinancing that led to a reduction in borrowing rates by 375 basis points, translating into anticipated annual savings of $3.7 million in interest expenses.

The Board of Directors also authorized a new common stock repurchase program of up to $50 million, reaffirming the company’s commitment to returning value to its shareholders.

Looking Ahead

CEO Angela Selden expressed optimism for the coming fiscal year, stating, “As we introduce full year 2026 guidance, we remain committed to driving sustained growth, expanding margins, and fulfilling our strategic priorities to enhance shareholder value.” For the first quarter of 2026, APEI forecasts revenues between $173 million and $175 million and expects net income available to common stockholders to rise between $11.1 million and $12.2 million.

Moving forward, the company is determined to overcome the residual effects of governmental challenges and continue nurturing the educational landscape through enhanced learning opportunities.

Through its commitment to providing quality education accessible to a diverse range of learners, American Public Education stands poised for continued success and expansion. With a significant focus on adaptability and innovation within its operational framework, APEI looks set to face the future with confidence.