Lincoln Educational Services Corporation (LINC) Quarterly 10-Q Report

The report was filed on November 12, 2024

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Lincoln Educational Services Corporation (LINC+0.60%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.

The filing includes financial statements for the quarter, showing an increase in revenue to $114.4 million from $99.6 million in the same quarter the previous year. The increase is attributed to a 10.6% rise in average student population and revenue from the newly opened East Point, Georgia campus.

Educational services and facilities expenses rose to $48.0 million from $43.1 million, driven by costs associated with new programs and campuses, including the East Point, Georgia and Houston, Texas campuses.

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Selling, general, and administrative expenses increased to $63.3 million from $54.5 million, primarily due to higher administrative costs, marketing investments, and sales expenses.

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A gain of $2.8 million was recorded from insurance proceeds related to hail damage at one of the campuses.

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Net interest expense was $0.2 million, compared to net interest income of $0.9 million in the previous year, due to lower interest income and increased interest expense from additional finance leases.

The provision for income taxes was $1.7 million, up from $0.8 million, driven by an increase in pre-tax income.

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Net income for the quarter was $3.953 million, up from $2.064 million in the previous year.

Cash used in operating activities was $993,000, while cash used in investing and financing activities was $22.2 million and $3.1 million, respectively.

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Lincoln had a working capital of $115.4 million as of September 30, 2024. The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.

The filing also details a secured credit agreement with Fifth Third Bank (FITB-0.47%), providing a revolving credit facility of $40 million.

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Lincoln continues to focus on expanding its campus operations and launching new programs, while managing costs associated with these expansions.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Lincoln Educational Services Corporation quarterly 10-Q report dated November 12, 2024. To report an error, please email earnings@qz.com.