Laureate Education reported third‑quarter 2025 revenue of $400.2 million, up 9% year‑over‑year, and operating income of $71.5 million versus $72.0 million in the same period last year. Net income fell to $34.4 million from $85.3 million, while basic and diluted earnings per share were $0.23, down from $0.56 in Q3 2024. Adjusted EBITDA rose to $94.8 million from $91.4 million, reflecting stronger operating leverage.
For the nine months ended September 30, 2025, the company generated $1,160.5 million in revenue, a 2% increase from the prior year, and $314.7 million in Adjusted EBITDA, up 2% from $308.9 million. Net income for the nine months was $112.3 million, down from $202.8 million in 2024. New enrollments grew 7% and total enrollments grew 6%, with Peru’s new enrollments up 13% and total enrollments up 8%, and Mexico’s new and total enrollments each rising 4% year‑over‑year.
Management raised its 2025 outlook, projecting full‑year revenue of $1.681 billion to $1.686 billion and Adjusted EBITDA of $508 million to $512 million, reflecting stronger demand in Peru and improved pricing and currency mix in Mexico.
The board approved a $150 million increase to the existing stock‑repurchase program, raising the total authorization to $250 million. The company’s balance sheet remains strong, with $241 million in cash and cash equivalents and $102.4 million in gross debt, resulting in net cash of $138.6 million. During the nine months, Laureate repurchased $71 million of common stock.
Net income decline was driven by unfavorable foreign‑currency exchange impacts, particularly a weaker U.S. dollar against the Mexican peso and Peruvian sol, and a one‑time tax benefit from the prior year that was not repeated in 2025. The company also incurred higher interest expense on short‑term debt, contributing to the lower net income.
Adjusted EBITDA was affected by approximately $5 million of intra‑year academic‑calendar timing, which reflects the company’s practice of recognizing revenue and expenses at the start of each academic term. The timing adjustment reduced EBITDA in the quarter but is expected to normalize in subsequent periods as the company aligns its revenue recognition with enrollment cycles.
Segment performance highlights Peru as the primary growth driver, with enrollment growth of 13% and a 7% increase in new enrollments. Mexico contributed steady revenue growth of 4% in both new and total enrollments, supported by a mix of online and campus programs.
Management noted that while foreign‑currency volatility and academic‑calendar timing presented short‑term challenges, the company remains focused on expanding online offerings and strengthening its presence in high‑growth markets. The updated guidance reflects confidence in continued demand and the effectiveness of the company’s pricing strategy.
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