PERDOCEO EDUCATION Corp Q1 FY2026 earnings call

• Academic institutions support adult learners with flexible pathways. First quarter operating performance exceeded expectations. • Total student enrollments: CTU up 1.9%, St. Augustine up 3.1%, partially offset by AIUS decline. • Strategic investments in technology, including AI efforts in classrooms, courses, and engaging prospective students. • Corporate student programs at CTU support enrollment growth. • Investing in technology and talent to expand corporate programs and enhance academic outcomes.

In the first quarter, CTU's revenue increased 4% to $120.8 million, with operating income up 8.1% to $50.5 million, mainly due to enrollment and revenue growth and lower bad debt expense. AIU Systems' revenue rose to $57.8 million, and operating income increased 12% to $12.6 million, with investments in marketing offset by lower bad debt expense. St. Augustine had revenue of $43 million, a 9.8% increase, and operating income went to $6.3 million (from a prior year loss), with adjusted operating income excluding depreciation and amortization up to $13.3 million from $8.5 million. Corporate and other had operating losses of $6.3 million, slightly higher than the prior year's $5.9 million.

• Full year 2026 adjusted operating income expected to range $254M - $263M, adjusted EPS $3.05 - $3.16. • Second quarter 2026 adjusted operating income expected $63M - $64M, adjusted EPS 79c - 80c. • Expect revenue growth in 2026 supported by organic growth at CTU, AIU system, and St. Augustine's program rollouts. • Continued investments in technology, data analytics, academics, and student support processes.

• Risks from factors in Prodocio's most recent annual report on Form 10-K and subsequent SEC filings that could cause actual results to differ from forward-looking statements. • Potential impact of regulatory or legislative changes on prospective student interest or operations.