Adtalem Global Education First Quarter Fiscal Year 2026 Results; Maintains Fiscal Year 2026 Guidance

Total enrollment up 8.0% YoY

Revenue up 10.8% YoY

Diluted earnings per share $1.67; Adjusted EPS $1.75, growth of 35.7% YoY

First quarter highlights

• Total student enrollment 97,359, up 8.0% year-over-year
• Revenue $462.3 million, up 10.8% year-over-year
• Chamberlain University achieved eleventh straight quarter of total enrollment growth, up 2.2% year-over-year
• Walden University achieved ninth straight quarter of total enrollment growth, up 13.6% year-over-year, highest total enrollment in university history
• Medical & Veterinary segment achieved third straight enrollment cycle growth, up 2.4% year-over-year
• Sustaining momentum, GAAP net income $61.8 million; adjusted EBITDA $112.0 million, up 15.8% year-over-year

Capital allocation

• Repurchased $8 million of shares in the first quarter, $142 million remaining under $150 million Board-authorized share repurchase program through May 2028
• Increased revolving credit facility by $100 million to $500 million, extended maturity to August 2030
• Repaid $50 million of outstanding Term Loan B balance on Oct. 29, 2025
• Net leverage 0.6x as of Sept. 30, 2025

Fiscal Year 2026 Guidance

• Revenue $1,900 million to $1,940 million
• Adjusted earnings per share $7.60 to $7.90

Investor Day 2026

• The company is announcing that it will host an Investor Day on Tuesday, Feb. 24, 2026

Adtalem Global Education Inc. (NYSE:ATGE), the largest healthcare educator in the United States, today reported first quarter fiscal year 2026 results (ended Sept. 30, 2025). The Company continues to transform higher education by training the next generation of professionals at an industry-leading scale.

"We delivered an outstanding start to Fiscal Year 2026 – adjusted EPS up 35.7% and revenue up 10.8% - marking our ninth consecutive quarter or enrollment growth. With net leverage at 0.6x and strong free cash flow, we're executing a disciplined capital allocation strategy that balance growth investment with shareholder returns," said Steve Beard, chairman and chief executive officer, Adtalem Global Education. "We look forward to sharing our strategic vision and capital allocation framework at our Investor Day in February. Our focus remains singular: creating sustainable, long-term shareholder value by serving as essential talent infrastructure for America's healthcare workforce."

Financial Highlights

Selected financial data for the three months ended Sept. 30, 2025:

• Revenue of $462.3 million increased 10.8% compared with the prior year
• Operating income of $85.5 million, compared with $70.2 million in the prior year; adjusted operating income of $90.3 million, compared with $75.8 million in the prior year
• Net income of $61.8 million, compared with $46.2 million in the prior year; adjusted net income of $64.9 million, compared with $50.5 million in the prior year
• Diluted earnings per share of $1.67, compared with $1.18 in the prior year; adjusted earnings per share of $1.75, compared with $1.29 in the prior year
• Adjusted EBITDA of $112.0 million, compared with $96.7 million in the prior year; adjusted EBITDA margin of 24.2%, compared with 23.2% in the prior year

Business Highlights

• Adtalem continues to accelerate its AI integration through a partnership with Google Cloud to co-develop a comprehensive AI credentials program – the first of this scale that will be designed specifically for healthcare students and practicing clinicians – reaching students across the nation's largest healthcare workforce pipeline.
• Chamberlain University expanded its Practice Ready. Specialty Focused.® (PRSF) model to address the critical shortage of post-acute nurses through a partnership with the American Association of Post-Acute Care Nursing (AAPACN). The new specialization joins existing PRSF tracks – including critical care, emergency, home health, nephrology, oncology, and perioperative nursing – positioning Chamberlain to meet the evolving needs of the healthcare workforce.
• Chamberlain University is addressing critical nursing shortages through its Bachelor of Science in Nursing (BSN) Online Option, which provides flexible, experiential learning to students in 36 states. Since launching four years ago, the program has grown to more than 4,000 students currently enrolled and now partners with 67 clinical sites nationwide.
• Walden University streamlined its professional doctoral programs, enhancing its student experience. The updated structure features a simplified, single tuition price point and integrates the Believe & Achieve Scholarship® to support affordability. A newly designed capstone process that now enables students to build toward degree completion throughout their studies – reinforcing Walden's commitment to innovation, accessibility and academic excellence.
• Ross University School of Medicine (RUSM) and American University of the Caribbean (AUC) expanded access to medical education through new partnerships: AUC's University of Lancashire campus announced a new partnership with University of Wolverhampton providing direct admittance to AUC for prospective students; RUSM partnered with a leading Indian higher education institution creating a pathway for prospective students through the Advanced Medical Preparation (AMP) program; and AUC and RUSM collaborated with ScribeAmerica, creating the MedPath program, designed specifically for existing frontline healthcare workers to advance into medical school.

Segment Highlights

Chamberlain

• Total student enrollment increased 2.2% compared with the prior year, driven by growth in pre-licensure nursing programs partially offset by post-licensure programs.

Walden

• Total student enrollment increased 13.6% compared with the prior year, driven by growth in healthcare and non-healthcare programs.

Medical and Veterinary

• Total student enrollment increased 2.4% compared to the prior year, driven by growth in medical and veterinary.

Fiscal Year 2026 Outlook

Adtalem maintains guidance for fiscal year 2026, with revenue in the range of $1,900 million to $1,940 million, approximately 6.0% to 8.5% growth year-over-year. Adjusted earnings per share to be in the range of $7.60 to $7.90, approximately 14.0% to 18.5% growth year-over-year.

Investor Day 2026

Adtalem is announcing our upcoming Investor Day, scheduled for Feb. 24, 2026. Additional information can be found at investors.adtalem.com.

Conference Call and Webcast Information

Adtalem will hold a conference call to discuss its first quarter fiscal year 2026 results today at 4:00 p.m. CT (5:00 p.m. ET).

The call can be accessed by dialing +1 877-407-6184 (U.S. participants) or +1 201-389-0877 (international participants) and stating "Adtalem earnings call" or by using conference ID:13756230. The call will be simulcast through the Adtalem investor relations website at: https://investors.adtalem.com.

Adtalem will archive a replay of the call for 30 days. To access the replay, dial +1 877-660-6853 (U.S.) or +1 201-612-7415 (international), conference ID: 13756230, or visit the Adtalem investor relations website.

About Adtalem Global Education

Adtalem Global Education is the largest provider of healthcare education in the U.S., shaping the future of healthcare by preparing a dynamic workforce with high-quality academic programs. We innovate education pathways, align with industry needs and empower individuals to reach their full potential. Our commitment to excellence and access is reflected in our expansive network of institutions, serving over 97,000 students and supported by a strong community of approximately 365,000 alumni and over 10,000 dedicated employees.

Cautionary Disclosure Regarding Forward-Looking Statements

Certain statements contained in this release are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations of future events based on certain assumptions and include any statement that does not directly relate to any historical or current fact, which includes statements regarding Adtalem's future growth. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "future," "believe," "expect," "anticipate," "estimate," "plan," "intend," "may," "will," "would," "could," "can," "continue," "preliminary," "potential," "range," and similar terms. These forward-looking statements are subject to risk and uncertainties that could cause actual results to differ materially from those described in the statements. Important factors that could cause actual results to differ materially from the expectations expressed or implied by our forward-looking statements are disclosed in Item 1A. "Risk Factors," of our Annual Report on Form 10-K. You should evaluate forward-looking statements in the context of these risks and uncertainties and are cautioned to not place undue reliance on such forward-looking statements. We caution you that these factors, performance or developments we expect or anticipate or, even if substantially realized, that they will result in the consequences or affect us or our operations in the way we expect. All forward-looking statements are based on information available to use as of the date any such statements are made, and Adtalem assumes no obligation to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized, except as required by law.

A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of special items that may be incurred in the future, although these special items could be material to Adtalem's results in accordance with GAAP.

¹ Represents total students attending sessions during each institution's most recent enrollment period in Q1 FY 2026 and Q1 FY 2025.

Adtalem Global Education Inc.

Non-GAAP Financial Measures and Reconciliations

We believe that certain non-GAAP financial measures provide investors with useful supplemental information regarding the underlying business trends and performance of Adtalem's ongoing operations as seen through the eyes of management and are useful for period-over-period comparisons. We use these supplemental non-GAAP financial measures internally in our assessment of performance and budgeting process. However, these non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. The following are non-GAAP financial measures used in the subsequent GAAP to non-GAAP reconciliation tables:

Adjusted net income (most comparable GAAP measure: net income) – Measure of Adtalem's net income adjusted for restructuring expense, amortization of acquired intangible assets, strategic advisory costs, write-off of debt issuance costs, debt modification costs, and (income) loss from discontinued operations.

Adjusted earnings per share (most comparable GAAP measure: diluted earnings per share) – Measure of Adtalem's diluted earnings per share adjusted for restructuring expense, amortization of acquired intangible assets, strategic advisory costs, write-off of debt issuance costs, debt modification costs, and (income) loss from discontinued operations.

Adjusted operating income (most comparable GAAP measure: operating income) – Measure of Adtalem's operating income adjusted for restructuring expense, amortization of acquired intangible assets, strategic advisory costs, and debt modification costs.

Adjusted EBITDA (most comparable GAAP measure: net income) – Measure of Adtalem's net income adjusted for (income) loss from discontinued operations, interest expense, other income, net, provision for income taxes, depreciation, amortization of acquired intangible assets, amortization of cloud computing implementation assets, stock-based compensation, restructuring expense, strategic advisory costs, and debt modification costs. Provision for income taxes, interest expense, and other income, net is not recorded at the reportable segments, and therefore, the segment adjusted EBITDA reconciliations begin with adjusted operating income.

Free cash flow (most comparable GAAP measure: net cash provided by operating activities-continuing operations) – Defined as net cash provided by operating activities-continuing operations less capital expenditures.

Net debt – Defined as long-term debt less cash and cash equivalents.

Net leverage – Defined as net debt divided by adjusted EBITDA.

A description of special items in our non-GAAP financial measures described above are as follows:

• Restructuring expense primarily related to workforce reductions, costs to exit certain course offerings, and prior real estate consolidations at Adtalem's home office. We do not include normal, recurring, cash operating expenses in our restructuring expense.
• Amortization of acquired intangible assets.
• Amortization of cloud computing implementation assets.
• Strategic advisory costs related to expanding capabilities and bringing new capacities to market to further enhance our strategic position. We do not include normal, recurring, cash operating expenses in our strategic advisory costs.
• Write-off of debt issuance costs related to the amendment of the revolving loan facility.
• Debt modification costs related to refinancing our Term Loan B loan.
• (Income) loss from discontinued operations includes expense from ongoing litigation costs and settlements related to divestitures.

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Investor Contact: Jay Spitzer

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+1 312-906-6600

Media Contact: Maureen Bender

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