Perdoceo Education Exceeds Q2 Expectations with 25.7% YoY Revenue Growth, Raises Full-Year EPS Guidance

Perdoceo Education reported Q2 CY2025 results exceeding market expectations, with revenue up 25.7% YoY to $209.6 million and non-GAAP profit of $0.67 per share, 3.1% above analysts' consensus estimates. The company raised its full-year adjusted EPS guidance to $2.51, a 1.4% increase. However, its operating margin decreased to 24.5% from 28.1% in the same quarter last year.

Perdoceo Education Corp (PRDO) reported its second-quarter (Q2) results for 2025, exceeding market expectations and driving its shares up 5.4%. The company reported adjusted earnings per share (EPS) of $0.67, surpassing the analyst estimate of $0.60. Revenue for the quarter reached $209.6 million, a 25.7% year-on-year (YoY) increase, beating the consensus estimate of $206.92 million [2].

The company's total student enrollments increased by 17.4% to 46,500 as of June 30, 2025, compared to 39,600 in the prior-year period. This growth was supported by a 7.4% increase at CTU, a 7.1% increase at AIUS, and the addition of St. Augustine, which Perdoceo acquired in December 2024 [2].

Perdoceo Education's board authorized a new $75 million share buyback plan and approved a 15.4% increase in the quarterly dividend to $0.15 per share [2]. The company ended the quarter with $659.6 million in cash, cash equivalents, restricted cash, and available-for-sale short-term investments, demonstrating its strong financial position [2].

For the third quarter of 2025, Perdoceo expects adjusted EPS between $0.60 and $0.62, compared to the analyst consensus of $0.62. For the full year 2025, the company forecasts adjusted EPS of $2.48 to $2.55, with the midpoint of $2.52 slightly above the analyst consensus of $2.49 [2].

However, the company's operating margin decreased to 24.5% from 28.1% in the same quarter last year, indicating a contraction in profitability [3].

Perdoceo Education's stock traded up 1.7% to $29.30 immediately after reporting, reflecting investors' positive response to the company's strong financial performance and upbeat full-year outlook [3].

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_L8N3TS3BH:0-perdoceo-education-corp-reports-results-for-the-quarter-ended-june-30-earnings-summary/
[2] https://www.investing.com/news/earnings/perdoceo-education-shares-surge-54-as-q2-earnings-beat-expectations-93CH-4164421
[3] https://stockstory.org/us/stocks/nasdaq/prdo/news/earnings/perdoceo-education-nasdaqprdo-exceeds-q2-expectations