AI-extracted from the 10-Q filed 2026-07-29 — Q2 FY2026 (quarter ended June 30, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
Strategic Education reported Q2 2026 revenue of $337.3M (+4.9% YoY), with net income of $37.2M and diluted EPS of $1.71, despite a $13.9M Australian back-pay reserve charge.
Biggest Revenue Drivers
U.S. Higher Education$220.5M+2.3% YoY
Higher revenue per student, partially offset by 0.5% enrollment decline to 85,894.
Australia/New Zealand$74.4M+7.6% YoY
Favorable foreign currency impacts and higher revenue per student, offset by 5.2% enrollment decline to 17,555.
Biggest Revenue Drivers
Total revenue: $337.3M+4.9% YoY
U.S. Higher Education$220.5M+2.3% YoY
Higher revenue per student, partially offset by 0.5% enrollment decline to 85,894.
Australia/New Zealand$74.4M+7.6% YoY
Favorable foreign currency impacts and higher revenue per student, offset by 5.2% enrollment decline to 17,555.
Education Technology Services$42.4M+15.4% YoY
Growth in Sophia Learning subscriptions, increased Workforce Edge revenue from employer partnerships, and higher employer-affiliated enrollment.
Largest Expense Items
Instructional and support costs$177.9M+7.1% YoY
ANZ back-pay reserve, higher technology and student materials costs, unfavorable FX impacts, offset by lower personnel costs and bad debt.
General and administration$106.4M-0.4% YoY
Lower international agent commissions and personnel costs, offset by unfavorable FX impacts and increased branding investments.
Restructuring costs$2.5M-11.7% YoY
Lower asset impairment charges from facility consolidation, offset by higher severance and personnel separation expenses.
Margins: Operating margin improved to 15.0% in Q2 2026 from 14.2% in Q2 2025, driven by higher revenues and operating leverage, despite the $13.9M ANZ back-pay reserve which reduced instructional costs margin to 52.7% from 51.7%.
Watch Items from the Filing
Australia/New Zealand segment recorded $13.9M back-pay reserve for casual academic staff marking hours 2020–2025; Full Court reversed prior ruling; High Court appeal pending; actual liability could differ materially.
ANZ enrollment declined 5.2% YoY in Q2 to 17,555; Australian government applying stringent visa approval process with higher refusal rates; international enrollment cap constraints persist despite announced increase.
Borrower defense to repayment applications: Capella received ~6,770 claims and Strayer ~1,870 claims between May–July 2026; Department may seek recoupment; material adverse effect possible if successful.
ETS segment revenue surged 15.4% YoY to $42.4M; employer-affiliated enrollment in USHE now 34.7% of total vs 31.8% prior year; strong growth in Sophia Learning and Workforce Edge revenue.
USHE trailing 4-quarter student persistence improved to 89.0% (Q1 2026) from 87.4% (Q1 2025); Title IV per credit earned declining 5.9% due to employer-affiliated and affordable pathway growth.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
McRobbie Michael A.Reporting ownerGrant or award · Apr 22, 2026
Sasse Benjamin EReporting ownerGrant or award · Apr 22, 2026
About Strategic Education, Inc. (STRA): stock profile, AI score and financials
Strategic Education, Inc. (STRA) stock profile, AI quality score, and SEC EDGAR financial data, a Consumer Discretionary sector company. 13F Pro's AI-powered ranking engine scores STRA at 55.4/100 on a composite quality score built from its SEC filings, placing it at rank #1,244 of 2,925 stocks — the top half of the AI-ranked universe. STRA scores in the top quartile across balance sheet strength (75.6). Areas of concern include revenue growth (38.9), which score below median versus the broader universe. Shareholder dilution risk is elevated at 40.8/100, reflecting ongoing share issuance or stock-based compensation. Based on the latest XBRL financial filings (Q2 2026), Strategic Education, Inc. reports quarterly revenue of $337.3M, net income of $37.2M, an operating margin of 15.0%. Top institutional holders of STRA by reported 13-F value include BlackRock, VANGUARD PORTFOLIO MANAGEMENT, DIMENSIONAL FUND ADVISORS, based on the most recent SEC filings. STRA trades on the Nasdaq exchange and files with the SEC under CIK 1013934. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate STRA daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for Strategic Education, Inc. directly from SEC EDGAR.