Stride, Inc. · NYSE:LRN
Stride — Q1 FY2027 Earnings Presentation
22 slides from Stride's earnings presentation, Oct 20, 2026
Slide 1: Q1 FY2027 Earnings Presentation
Q1 FY2027 Earnings Presentation October 20, 2026
Slide 2: Safe Harbor
Safe Harbor This presentation and the investor call to which it relates contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve substantial risks and uncertainties. All statements other than statements of historical facts con
Slide 3: Compelling Long-Term Investment Thesis
Compelling Long-Term Investment Thesis Disruptor in Innovator with the scale, expertise & long-term Education customer relationships to change education Sustainable & Accelerating secular shift toward virtual education Growing Virtual and school choice School Business New Products & Leveraging capab
Slide 4: Q1 FY2027 Highlights
Q1 FY2027 Highlights Q1 FY2027 Performance Revenue $639.4M, +3.0% YoY Clearer focus and accountability Demand for educational choices across the business remains strong • Alignment of resources with our • Parent satisfaction with traditional K-12 highest priorities schools hits new low Adjusted Oper
Slide 5: Increasing demand for virtual education options
Increasing demand for Top reasons parents enroll virtual education options students in virtual education Secular trends driving demand Health & wellbeing concerns • Bullying • Negative social experience • Behavioral / social issues Percentage of parents who considered, searched • School safety for,
Slide 6: Key Financial Metrics
Key Financial Metrics Revenue ($M) Adjusted Operating Income ($M) $800 $180 $700 $160 $645 $145 $159 $600 $654 $140 $621 $631 $630 $636 $639 $625 $142 $140 $613 $136 $135 $587 $120 $131 $500 $551 $118 $100 $400 $80 $300 $81 $79 $60 $200 $40 $58 $100 $20 $- $- Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q
Slide 7: Revenue and Enrollment Trends
Revenue and Enrollment Trends Enrollment Trends 1Q27 YoY enrollment growth (2.5)% General Education average enrollments decreased 8.5K, Three months ended September 30, down 6.2% YoY 2026 2025 Change Revenue ($M) General Education $356.6 $363.1 (1.8)% ↓ Career Learning average Career Learning enroll
Slide 8: FY27 Guidance Balances Growth with Investment Execution
FY27 Guidance Balances Growth with Investment Execution Guidance reflects actions underway to improve execution and strengthen the business Q2 FY 27 Guidance1 FY27 Guidance1 Guidance mid-points ($, M) Low High Low High • FY27 Revenue: +2% YoY Revenue $625M $645M $2.530B $2.610B – Midpoint of guidanc
Slide 9: Strong Balance Sheet with Low Debt
Strong Balance Sheet with Low Debt Cash position, low leverage ratio, and consistent cash flows provide options for capital allocation September 30, 2026 Select balance sheet and other information ($M) Cash, Cash Equivalents & Marketable Securities $884.2 Accounts Receivable, Net 854.8 Leverage Acco
Slide 10: Disciplined Capital Allocation
Disciplined Capital Allocation Prioritizing organic growth, new product and technology development, and synergistic M&A • Invest in academic quality and student / customer experience supporting outcomes / retention Organic Growth • Technology advancements to improve personalization and outcomes • Im
Slide 11: Compelling Long-Term Growth Targets
Compelling Long-Term Growth Targets Continued progress against FY2028 targets Total Revenue ($B) Adj. Operating Income ($M) Diluted EPS ($) 10% CAGR 20% CAGR 20% CAGR to mid-point (FY23-28) to mid-point (FY23-28) to mid-point (FY23-28) $800M $9.00 $8.35 $3.50B $3.30B $8.00 $7.14 $3.00B $585M $7.00 $
Slide 12: Board has authorized $500M in share buybacks through October 2027
Board has authorized $500M in share buybacks through October 2027 Completed ~$189M as of 9/30/2026 $600M $500M $500M $400M $311M $300M $189M $200M $100M $0M Buyback authorization as of 11/3/2025 Completed as of 9/30/2026 Remaining authorization 12
Slide 13: Appendix
Appendix Stride
Slide 14: Reconciliation of Net Income to EBITDA and Adjusted EBITDA
Reconciliation of Net Income to EBITDA and Adjusted EBITDA Three months ended LTM ended September 30, September 30, ($, M) 2026 2025 2026 Net income $64.9 $68.8 $334.3 Interest expense, net 2.9 3.1 11.6 Other income, net (1.4) (16.9) 13.2 Income tax expense 17.8 14.4 106.2 (Income) loss from equity
Slide 15: Reconciliation of Income from Operations to Adjusted Operating Income
Reconciliation of Income from Operations to Adjusted Operating Income Three months ended September 30, ($, M) 2026 2025 Income from operations $84.3 $69.0 Amortization of intangible assets 1.7 1.9 Stock-based compensation expense (7.4) 10.2 Adjusted operating income $78.6 $81.1 15
Slide 16: Reconciliation of Income from Operations to Adjusted Operating Income
Reconciliation of Income from Operations to Adjusted Operating Income Year ended June 30, ($, M) 2023 2024 2025 2026 Income from operations $165.5 $249.6 $360.1 $450.8 Amortization of intangible assets 15.2 12.9 9.9 7.3 Stock-based compensation 20.3 31.4 36.7 40.3 expense Impairment of long-lived as
Slide 17: Reconciliation of Income from Operations to Adjusted Operating Income
Reconciliation of Income from Operations to Adjusted Operating Income Three months ended Sept. 30, Dec. 31, March 31, June 30, Sept. 30, Dec. 31, March 31, June 30, ($, M) 2024 2024 2025 2025 2025 2025 2026 2026 Income from operations $47.3 $125.1 $130.8 $56.9 $69.0 $146.9 $129.1 $105.9 Amortization
Slide 18: Reconciliation of Net Income to Adjusted Earnings Per Share
Reconciliation of Net Income to Adjusted Earnings Per Share Three months ended September 30, ($, M) 2026 2025 Net income attributable to common stockholders $64.9 $ 68.8 Amortization of intangible assets 1.7 1.9 Stock-based compensation expense (7.4) 10.2 Income tax effect on adjustments above (2.0)
Slide 19: Reconciliation of Diluted Net Income Per Share to Adjusted Earnings Per Share
Reconciliation of Diluted Net Income Per Share to Adjusted Earnings Per Share Three months ended September 30, ($, per share) 2026 2025 Diluted net income per share $ 1.45 $ 1.40 Amortization of intangible assets 0.04 0.04 Stock-based compensation expense (0.16) 0.20 Income tax effect on adjustments
Slide 20: Reconciliation of Net Cash used in Operating Activities to Free Cash Flow
Reconciliation of Net Cash used in Operating Activities to Free Cash Flow Three months ended September 30, ($, M) 2026 2025 Net cash used in operating activities $ (124.8) $ (195.8) Purchases of property and equipment - (0.3) Capitalized software development costs (17.9) (13.7) Capitalized curriculu
Slide 21: Reconciliation of Income from Operations to Adjusted Operating Income
Reconciliation of Income from Operations to Adjusted Operating Income Three Months Ended Year Ended December 31, 2026 June 30, 2027 ($, M) Low High Low High Income from operations $ 126.0 $ 134.5 $ 479.5 $ 503.5 Stock-based compensation expense 7.5 8.5 15.0 19.0 Amortization of intangible assets 1.5
Slide 22: Effect of Convertible Notes on Share Dilution
Effect of Convertible Notes on Share Dilution Convertible Senior Notes (Illustrative Dilution Example) • Stride Convertible Notes: $420M principal (7.9M shares underlying); Maturity date 9/1/2027 • Irrevocably elected that all future conversions of the notes will be settled pursuant to combination s