Filing Flows › Strategic Education (STRA) › Q3 2025
Strategic Education (STRA) Q3 2025 earnings results (third quarter 2025)
10-Q filed Nov 6, 2025
Strategic Education (STRA) reported revenue of $320M for the third quarter 2025 (Q3 2025), +5% from a year earlier and -0.5% from the quarter before. Operating margin was 11.6%, net earnings $26.6M (8.3% of revenue).
Strategic Education, Q3 2025: revenue $320M (+5% year over year), operating margin 11.6%, net earnings $26.6M, operating cash flow $60.1M. The chart follows the revenue to costs, profit and cash.
| Q3 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $320M | -0.5% | +5% |
| Operating profit | $37.0M | -19% | +2% |
| Net earnings | $26.6M | -18% | -4% |
| Operating cash flow | $60.1M | +93% | +17% |
| Free cash flow | $49.3M | +142% | +17% |
What changed
Revenue was $319.9M in Q3 2025, up 5% year over year and roughly flat from the previous quarter. U.S. Higher Education was the largest line at 67% of revenue. Education Technology Services added $12.0M year over year (up 46%), 86% of the total change. Australia / New Zealand declined 5%.
Operating profit was $37.0M, a 11.6% margin (down 0.3 points year over year). Of the extra revenue versus a year earlier, 5% reached operating profit, below the 12% margin then. Total costs grew 5% against revenue growth of 5%. Net earnings were $26.6M, down 4% year over year. The effective tax rate was 27.6%.
Operating cash flow was $60.1M (up 17% year over year), 226% of net earnings. Non-cash charges added back $12.0M of depreciation and amortization and $5.9M of share-based compensation. Working capital and other items added $15.7M. Capital expenditures of $10.9M left free cash flow of $49.3M.
Questions
What was Strategic Education's revenue in the third quarter 2025?
Strategic Education (STRA) reported revenue of $320M for the third quarter 2025 (Q3 2025), +5% from a year earlier and -0.5% from the quarter before.
Was Strategic Education profitable in the third quarter 2025?
Operating profit was $37.0M (11.6% of revenue) and net earnings $26.6M.