false2026Q1000091276612-31xbrli:sharesiso4217:USDiso4217:USDxbrli:sharesxbrli:purelaur:segmentlaur:educationalInstitutionlaur:campus00009127662026-01-012026-03-3100009127662026-03-3100009127662025-01-012025-03-3100009127662025-12-3100009127662024-12-3100009127662025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:TuitionAndEducationalServicesMemberlaur:MexicoSegmentMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:TuitionAndEducationalServicesMemberlaur:PeruSegmentMember2026-01-012026-03-310000912766us-gaap:CorporateNonSegmentMemberlaur:TuitionAndEducationalServicesMember2026-01-012026-03-310000912766laur:TuitionAndEducationalServicesMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:OtherServicesMemberlaur:MexicoSegmentMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:OtherServicesMemberlaur:PeruSegmentMember2026-01-012026-03-310000912766us-gaap:CorporateNonSegmentMemberlaur:OtherServicesMember2026-01-012026-03-310000912766laur:OtherServicesMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:SalesRevenueGrossMemberlaur:MexicoSegmentMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:SalesRevenueGrossMemberlaur:PeruSegmentMember2026-01-012026-03-310000912766us-gaap:CorporateNonSegmentMemberlaur:SalesRevenueGrossMember2026-01-012026-03-310000912766laur:SalesRevenueGrossMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:SalesDiscountsWaiversAndScholarshipsMemberlaur:MexicoSegmentMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:SalesDiscountsWaiversAndScholarshipsMemberlaur:PeruSegmentMember2026-01-012026-03-310000912766us-gaap:CorporateNonSegmentMemberlaur:SalesDiscountsWaiversAndScholarshipsMember2026-01-012026-03-310000912766laur:SalesDiscountsWaiversAndScholarshipsMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:MexicoSegmentMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:PeruSegmentMember2026-01-012026-03-310000912766us-gaap:CorporateNonSegmentMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:TuitionAndEducationalServicesMemberlaur:MexicoSegmentMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:TuitionAndEducationalServicesMemberlaur:PeruSegmentMember2025-01-012025-03-310000912766us-gaap:CorporateNonSegmentMemberlaur:TuitionAndEducationalServicesMember2025-01-012025-03-310000912766laur:TuitionAndEducationalServicesMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:OtherServicesMemberlaur:MexicoSegmentMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:OtherServicesMemberlaur:PeruSegmentMember2025-01-012025-03-310000912766us-gaap:CorporateNonSegmentMemberlaur:OtherServicesMember2025-01-012025-03-310000912766laur:OtherServicesMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:SalesRevenueGrossMemberlaur:MexicoSegmentMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:SalesRevenueGrossMemberlaur:PeruSegmentMember2025-01-012025-03-310000912766us-gaap:CorporateNonSegmentMemberlaur:SalesRevenueGrossMember2025-01-012025-03-310000912766laur:SalesRevenueGrossMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:SalesDiscountsWaiversAndScholarshipsMemberlaur:MexicoSegmentMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:SalesDiscountsWaiversAndScholarshipsMemberlaur:PeruSegmentMember2025-01-012025-03-310000912766us-gaap:CorporateNonSegmentMemberlaur:SalesDiscountsWaiversAndScholarshipsMember2025-01-012025-03-310000912766laur:SalesDiscountsWaiversAndScholarshipsMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:MexicoSegmentMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:PeruSegmentMember2025-01-012025-03-310000912766us-gaap:CorporateNonSegmentMember2025-01-012025-03-310000912766country:MX2026-01-012026-03-310000912766country:PE2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMember2026-01-012026-03-310000912766us-gaap:OperatingSegmentsMember2025-01-012025-03-310000912766us-gaap:MaterialReconcilingItemsMember2026-01-012026-03-310000912766us-gaap:MaterialReconcilingItemsMember2025-01-012025-03-310000912766us-gaap:OperatingSegmentsMemberlaur:MexicoSegmentMember2026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:MexicoSegmentMember2025-12-310000912766us-gaap:OperatingSegmentsMemberlaur:PeruSegmentMember2026-03-310000912766us-gaap:OperatingSegmentsMemberlaur:PeruSegmentMember2025-12-310000912766us-gaap:CorporateNonSegmentMember2026-03-310000912766us-gaap:CorporateNonSegmentMember2025-12-310000912766laur:MexicoSegmentMember2025-12-310000912766laur:PeruSegmentMember2025-12-310000912766laur:MexicoSegmentMember2026-01-012026-03-310000912766laur:PeruSegmentMember2026-01-012026-03-310000912766laur:MexicoSegmentMember2026-03-310000912766laur:PeruSegmentMember2026-03-310000912766us-gaap:SecuredDebtMemberlaur:SeniorSecuredCreditFacilityMember2026-03-310000912766us-gaap:SecuredDebtMemberlaur:SeniorSecuredCreditFacilityMember2025-12-310000912766laur:AmendedCreditAgreementMemberus-gaap:LineOfCreditMember2026-03-310000912766laur:AmendedCreditAgreementMemberus-gaap:LineOfCreditMember2025-12-310000912766us-gaap:NotesPayableOtherPayablesMember2026-03-310000912766us-gaap:NotesPayableOtherPayablesMember2025-12-310000912766laur:SeniorAndOtherDebtMember2026-03-310000912766laur:SeniorAndOtherDebtMember2025-12-310000912766us-gaap:SecuredDebtMemberlaur:ThirdAmendment2028TrancheMemberus-gaap:LineOfCreditMember2026-03-310000912766us-gaap:SecuredDebtMemberlaur:ThirdAmendedAndRestatedCreditAgreementMemberlaur:DebtInstrumentCovenantPeriodThreeMemberus-gaap:LineOfCreditMember2026-01-012026-03-310000912766us-gaap:RevolvingCreditFacilityMemberlaur:SecondAmendedAndRestatedCreditAgreementMember2026-01-012026-03-310000912766laur:IncomeTaxContingenciesMember2026-03-310000912766laur:IncomeTaxContingenciesMember2025-12-310000912766us-gaap:PendingLitigationMember2026-03-310000912766us-gaap:PendingLitigationMember2025-12-310000912766country:PEus-gaap:ForeignCountryMemberlaur:NationalSuperintendencyOfTaxAdministrationSUNATPeruMember2026-03-310000912766country:PEus-gaap:ForeignCountryMemberlaur:NationalSuperintendencyOfTaxAdministrationSUNATPeruMember2025-12-310000912766exch:XMEXus-gaap:ForeignCountryMemberlaur:NationalSuperintendencyOfTaxAdministrationSUNATMexicanMember2025-12-310000912766exch:XMEXus-gaap:ForeignCountryMemberlaur:NationalSuperintendencyOfTaxAdministrationSUNATMexicanMember2026-03-310000912766us-gaap:CommonStockMember2025-12-310000912766us-gaap:AdditionalPaidInCapitalMember2025-12-310000912766us-gaap:RetainedEarningsMember2025-12-310000912766us-gaap:AccumulatedOtherComprehensiveIncomeMember2025-12-310000912766us-gaap:NoncontrollingInterestMember2025-12-310000912766us-gaap:AdditionalPaidInCapitalMember2026-01-012026-03-310000912766us-gaap:CommonStockMember2026-01-012026-03-310000912766us-gaap:RetainedEarningsMember2026-01-012026-03-310000912766us-gaap:NoncontrollingInterestMember2026-01-012026-03-310000912766us-gaap:AccumulatedOtherComprehensiveIncomeMember2026-01-012026-03-310000912766us-gaap:CommonStockMember2026-03-310000912766us-gaap:AdditionalPaidInCapitalMember2026-03-310000912766us-gaap:RetainedEarningsMember2026-03-310000912766us-gaap:AccumulatedOtherComprehensiveIncomeMember2026-03-310000912766us-gaap:NoncontrollingInterestMember2026-03-310000912766laur:ShareRepurchaseProgramMember2024-09-130000912766laur:ShareRepurchaseProgramMember2025-10-300000912766laur:ShareRepurchaseProgramMember2026-02-190000912766laur:ShareRepurchaseProgramMember2026-03-310000912766us-gaap:CommonStockMember2024-12-310000912766us-gaap:AdditionalPaidInCapitalMember2024-12-310000912766us-gaap:RetainedEarningsMember2024-12-310000912766us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-12-310000912766us-gaap:NoncontrollingInterestMember2024-12-310000912766us-gaap:AdditionalPaidInCapitalMember2025-01-012025-03-310000912766us-gaap:CommonStockMember2025-01-012025-03-310000912766us-gaap:RetainedEarningsMember2025-01-012025-03-310000912766us-gaap:NoncontrollingInterestMember2025-01-012025-03-310000912766us-gaap:AccumulatedOtherComprehensiveIncomeMember2025-01-012025-03-310000912766us-gaap:CommonStockMember2025-03-310000912766us-gaap:AdditionalPaidInCapitalMember2025-03-310000912766us-gaap:RetainedEarningsMember2025-03-310000912766us-gaap:AccumulatedOtherComprehensiveIncomeMember2025-03-310000912766us-gaap:NoncontrollingInterestMember2025-03-310000912766us-gaap:RestrictedStockMember2026-01-012026-03-310000912766us-gaap:RestrictedStockMember2025-01-012025-03-310000912766us-gaap:AccumulatedTranslationAdjustmentMember2026-03-310000912766us-gaap:AccumulatedForeignCurrencyAdjustmentAttributableToNoncontrollingInterestMember2026-03-310000912766us-gaap:AccumulatedForeignCurrencyAdjustmentIncludingPortionAttributableToNoncontrollingInterestMember2026-03-310000912766us-gaap:AccumulatedTranslationAdjustmentMember2025-12-310000912766us-gaap:AccumulatedForeignCurrencyAdjustmentAttributableToNoncontrollingInterestMember2025-12-310000912766us-gaap:AccumulatedForeignCurrencyAdjustmentIncludingPortionAttributableToNoncontrollingInterestMember2025-12-310000912766us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2026-03-310000912766us-gaap:AccumulatedGainLossNetCashFlowHedgeNoncontrollingInterestMember2026-03-310000912766us-gaap:AccumulatedGainLossCashFlowHedgeIncludingNoncontrollingInterestMember2026-03-310000912766us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2025-12-310000912766us-gaap:AccumulatedGainLossNetCashFlowHedgeNoncontrollingInterestMember2025-12-310000912766us-gaap:AccumulatedGainLossCashFlowHedgeIncludingNoncontrollingInterestMember2025-12-310000912766us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2026-03-310000912766us-gaap:AccumulatedDefinedBenefitPlansAdjustmentAttributableToNoncontrollingInterestMember2026-03-310000912766us-gaap:AccumulatedDefinedBenefitPlansAdjustmentIncludingPortionAttributableToNoncontrollingInterestMember2026-03-310000912766us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2025-12-310000912766us-gaap:AccumulatedDefinedBenefitPlansAdjustmentAttributableToNoncontrollingInterestMember2025-12-310000912766us-gaap:AccumulatedDefinedBenefitPlansAdjustmentIncludingPortionAttributableToNoncontrollingInterestMember2025-12-310000912766us-gaap:AociAttributableToNoncontrollingInterestMember2026-03-310000912766us-gaap:AociIncludingPortionAttributableToNoncontrollingInterestMember2026-03-310000912766us-gaap:AociAttributableToNoncontrollingInterestMember2025-12-310000912766us-gaap:AociIncludingPortionAttributableToNoncontrollingInterestMember2025-12-310000912766us-gaap:EmployeeStockOptionMember2026-01-012026-03-310000912766us-gaap:EmployeeStockOptionMember2025-01-012025-03-310000912766us-gaap:RestrictedStockUnitsRSUMember2026-01-012026-03-310000912766us-gaap:RestrictedStockUnitsRSUMember2025-01-012025-03-31

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ Quarterly Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended March 31, 2026

☐ Transition Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the transition period from __________ to __________.

Commission File Number: 001-38002

Laureate Education, Inc.

(Exact name of registrant as specified in its charter)

Delaware

52-1492296

(State or other jurisdiction of incorporation or organization)

(I.R.S. Employer Identification No.)

PMB 1158, 1000 Brickell Avenue, Suite 715,

Miami,

Florida

33131

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: (786) 209-3368

Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, par value $0.004 per share	LAUR	The NASDAQ Stock Market LLC
		Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer x Accelerated filer ☐ Non-accelerated filer ☐

Smaller reporting company ☐ Emerging Growth Company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No x

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date.


Class						Outstanding at March 31, 2026
Common stock, par value $0.004 per share						139,978,289


INDEX
PART I. - FINANCIAL INFORMATION		Page No.

Item 1.	Financial Statements (Unaudited)



	Consolidated Statements of Operations - Three months ended March 31, 2026 and March 31, 2025	2



	Consolidated Statements of Comprehensive Income - Three months ended March 31, 2026 and March 31, 2025	3

	Consolidated Balance Sheets - March 31, 2026 and December 31, 2025	4

	Consolidated Statements of Cash Flows - Three months ended March 31, 2026 and March 31, 2025	6

	Notes to Consolidated Financial Statements	7

Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	17

Item 3.	Quantitative and Qualitative Disclosures About Market Risk	31

Item 4.	Controls and Procedures	31

PART II. - OTHER INFORMATION

Item 1.	Legal Proceedings	32

Item 1A.	Risk Factors	32

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	32

Item 5.	Other Information	32

Item 6.	Exhibits	33

SIGNATURES		34

PART I - FINANCIAL INFORMATION

Item 1. Financial Statements (Unaudited)

-LAUREATE EDUCATION, INC. AND SUBSIDIARIES

Consolidated Statements of Operations

IN THOUSANDS, except per share amounts


For the three months ended March 31,	2026		2025
	(Unaudited)		(Unaudited)
Revenues	$	272,612	$	236,162
Costs and expenses:
Direct costs	289,005		238,363
General and administrative expenses	11,134		10,990

Operating loss	(27,527)		(13,191)
Interest income	1,906		1,519
Interest expense	(3,139)		(2,366)


Other income (expense), net	439		(15)
Foreign currency exchange gain (loss), net	1,016		(3,199)

Loss from continuing operations before income taxes and equity in net income of affiliates	(27,305)		(17,252)
Income tax benefit (expense)	5,711		(2,517)
Equity in net income of affiliates, net of tax	—		3
Loss from continuing operations	(21,594)		(19,766)
Income from discontinued operations, net of tax of $0 for both periods	—		213
Net loss	(21,594)		(19,553)
Net loss attributable to noncontrolling interests	—		57
Net loss attributable to Laureate Education, Inc.	$	(21,594)	$	(19,496)






Basic and diluted earnings (loss) per share:


Basic and diluted loss per share	$	(0.15)	$	(0.13)

The accompanying notes are an integral part of these consolidated financial statements.

LAUREATE EDUCATION, INC. AND SUBSIDIARIES

Consolidated Statements of Comprehensive Income

IN THOUSANDS


For the three months ended March 31,	2026		2025
	(Unaudited)		(Unaudited)
Net loss	$	(21,594)	$	(19,553)
Other comprehensive income (loss):
Foreign currency translation adjustment, net of tax of $0 for both periods	(11,859)		9,333

Minimum pension liability adjustment, net of tax of $0 for both periods	48		—
Total other comprehensive (loss) income	(11,811)		9,333
Comprehensive loss	(33,405)		(10,220)
Net comprehensive loss attributable to noncontrolling interests	1		60
Comprehensive loss attributable to Laureate Education, Inc.	$	(33,404)	$	(10,160)

The accompanying notes are an integral part of these consolidated financial statements.

LAUREATE EDUCATION, INC. AND SUBSIDIARIES

Consolidated Balance Sheets

IN THOUSANDS, except per share amounts


	March 31, 2026		December 31, 2025
Assets	(Unaudited)
Current assets:
Cash and cash equivalents	$	157,353	$	146,703
Restricted cash	5,634		5,372
Receivables:
Accounts and notes receivable	173,513		244,070
Other receivables	2,436		15,735
Allowance for doubtful accounts	(120,426)		(125,056)
Receivables, net	55,523		134,749

Income tax receivable	19,903		2,568

Prepaid expenses and other current assets	32,235		28,956

Total current assets	270,648		318,348
Property and equipment:
Land	159,111		162,595
Buildings	408,608		397,102
Furniture, equipment and software	597,030		596,546
Leasehold improvements	160,903		159,875
Construction in-progress	27,995		26,704
Accumulated depreciation and amortization	(720,162)		(714,206)
Property and equipment, net	633,485		628,616
Operating lease right-of-use assets, net	453,755		335,626
Goodwill	635,213		637,300
Tradenames, net	165,037		166,195
Deferred costs, net	4,566		4,537
Deferred income taxes	74,597		72,159

Other assets	42,164		41,888
Long-term assets held for sale	1,682		1,681
Total assets	$	2,281,147	$	2,206,350

The accompanying notes are an integral part of these consolidated financial statements.

LAUREATE EDUCATION, INC. AND SUBSIDIARIES

Consolidated Balance Sheets (continued)

IN THOUSANDS, except per share amounts


	March 31, 2026		December 31, 2025
Liabilities and stockholders' equity	(Unaudited)
Current liabilities:
Accounts payable	$	45,742	$	57,126
Accrued expenses	81,530		72,669
Accrued compensation and benefits	83,888		112,591
Deferred revenue and student deposits	130,353		80,161
Current portion of operating leases	49,901		55,971
Current portion of long-term debt and finance leases	55,124		54,585
Income taxes payable	—		13,225



Other current liabilities	28,209		26,579

Total current liabilities	474,747		472,907
Long-term operating leases, less current portion	456,968		331,792
Long-term debt and finance leases, less current portion	160,717		73,123
Deferred compensation	7,580		7,482
Income taxes payable	77,693		78,979
Deferred income taxes	15,459		15,590

Other long-term liabilities	38,530		37,717

Total liabilities	1,231,694		1,017,590
Redeemable equity	1,398		1,398
Stockholders' equity:
Preferred stock, par value $0.001 per share – 50,000 shares authorized and no shares issued and outstanding as of March 31, 2026 and December 31, 2025	—		—
Common stock, par value $0.004 per share – 700,000 shares authorized, 139,978 shares issued and outstanding as of March 31, 2026 and 142,940 shares issued and outstanding as of December 31, 2025	560		572
Additional paid-in capital	1,051,877		1,075,460
Retained earnings	312,988		416,889
Accumulated other comprehensive loss	(316,794)		(304,984)

Total Laureate Education, Inc. stockholders' equity	1,048,631		1,187,937
Noncontrolling interests	(576)		(575)
Total stockholders' equity	1,048,055		1,187,362
Total liabilities and stockholders' equity	$	2,281,147	$	2,206,350

The accompanying notes are an integral part of these consolidated financial statements.

LAUREATE EDUCATION, INC. AND SUBSIDIARIES

Consolidated Statements of Cash Flows

IN THOUSANDS


For the three months ended March 31,	2026		2025
Cash flows from operating activities	(Unaudited)		(Unaudited)
Net loss	$	(21,594)	$	(19,553)
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	22,584		16,078
Amortization of operating lease right-of-use assets	9,091		8,125

Gain on lease terminations and disposals of subsidiaries and property and equipment, net	(90)		(255)



Non-cash interest expense	593		380
Non-cash share-based compensation expense	2,616		2,463
Bad debt expense	6,337		4,395
Deferred income taxes	(2,614)		4,860
Unrealized foreign currency exchange (gain) loss	(1,543)		2,932

Other, net	3,847		3,304
Changes in operating assets and liabilities:
Receivables	71,824		40,931
Prepaid expenses and other assets	(6,344)		(9,930)
Accounts payable and accrued expenses	(37,715)		(18,501)
Income tax receivable/payable, net	(31,936)		(20,940)
Deferred revenue and other liabilities	46,876		43,488
Net cash provided by operating activities	61,932		57,777
Cash flows from investing activities
Purchase of property and equipment	(8,330)		(4,612)

Receipts from sales of property and equipment	29		56







Net cash used in investing activities	(8,301)		(4,556)
Cash flows from financing activities
Borrowings on debt	95,127		30,000
Payments on debt	(23,641)		(22,461)
Payment of dividend equivalent rights for vested share-based awards	(97)		(386)

Proceeds from exercise of stock options	84		42
Withholding of shares to satisfy tax withholding for vested stock awards and exercised stock options	(4,603)		(2,345)
Payments to repurchase common stock and excise tax payments	(108,175)		(39,499)



Net cash used in financing activities	(41,305)		(34,649)
Effects of exchange rate changes on Cash and cash equivalents and Restricted cash	(1,414)		875
Change in cash included in current assets held for sale	—		(393)
Net change in Cash and cash equivalents and Restricted cash	10,912		19,054
Cash and cash equivalents and Restricted cash at beginning of period	152,075		97,854
Cash and cash equivalents and Restricted cash at end of period	$	162,987	$	116,908

The accompanying notes are an integral part of these consolidated financial statements.

Laureate Education, Inc. and Subsidiaries

Notes to Consolidated Financial Statements

(Dollars and shares in thousands)

Note 1. Description of Business

Laureate Education, Inc. and subsidiaries (hereinafter Laureate, we, us, our, or the Company) provide higher education programs and services to students through a portfolio of degree-granting higher education institutions in Mexico and Peru. Laureate's programs are provided through institutions that are campus-based and through electronically distributed educational programs (online). We are domiciled in Delaware as a public benefit corporation, a demonstration of our long-term commitment to our mission to benefit our students and society. The Company completed its initial public offering (IPO) on February 6, 2017, and its shares are listed on the Nasdaq Global Select Market under the symbol “LAUR.”

The accompanying unaudited Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States (GAAP) for interim financial information and with the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In our opinion, these financial statements include all adjustments considered necessary to present a fair statement of our consolidated results of operations, financial position and cash flows. Operating results for any interim period are not necessarily indicative of the results that may be expected for the full year. These unaudited Consolidated Financial Statements should be read in conjunction with Laureate's audited Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 (the 2025 Form 10-K).

Note 2. Revenue

Revenue Recognition

Our revenues primarily consist of tuition revenues from enrolled students. We also generate other revenues from student fees, short courses, and other education-related activities. These other revenues are less material to our overall financial results and have a tendency to trend with tuition revenues. Revenues are recognized when control of the promised goods or services is transferred to our customers in an amount that reflects the consideration we expect to be entitled to in exchange for those goods or services. These revenues are recognized net of scholarships and other discounts, refunds and waivers. Laureate’s institutions have various billing and academic cycles.

We determine revenue recognition through the five-step model prescribed by ASC Topic 606, Revenue from Contracts with Customers, as follows:

•Identification of the contract, or contracts, with a customer;

•Identification of the performance obligations in the contract;

•Determination of the transaction price;

•Allocation of the transaction price to the performance obligations in the contract; and

•Recognition of revenue when, or as, we satisfy a performance obligation.

We assess collectability on a portfolio basis prior to recording revenue. If a student withdraws from an institution, Laureate's obligation to issue a refund depends on the refund policy at that institution and the timing of the student's withdrawal. Generally, our refund obligations are reduced over the course of the academic term. We record refunds as a reduction of deferred revenue, as applicable.

The following table shows the components of Revenues by reportable segment and as a percentage of total revenue for the three months ended March 31, 2026 and 2025:


	Mexico		Peru		Corporate(1)		Total
2026
Tuition and educational services	$	282,342	$	53,764	$	—	$	336,106	123	%
Other	42,647		14,818		16		57,481		21	%
Gross revenue	324,989		68,582		16		393,587		144	%
Less: Discounts / waivers / scholarships	(114,347)		(6,628)		—		(120,975)		(44)	%
Total	$	210,642	$	61,954	$	16	$	272,612	100	%
2025
Tuition and educational services	$	244,069	$	39,507	$	—	$	283,576	120	%
Other	39,600		11,047		51		50,698		22	%
Gross revenue	283,669		50,554		51		334,274		142	%
Less: Discounts / waivers / scholarships	(94,414)		(3,698)		—		(98,112)		(42)	%
Total	$	189,255	$	46,856	$	51	$	236,162	100	%

(1) Includes the elimination of inter-segment revenues.

Contract Balances

The timing of billings, cash collections and revenue recognition results in accounts receivable (contract assets) and Deferred revenue and student deposits (contract liabilities) on the Consolidated Balance Sheets. We have various billing and academic cycles and recognize student receivables when an academic session begins, although students generally enroll in courses prior to the start of the academic session. Receivables are recognized only to the extent that it is probable that we will collect substantially all of the consideration to which we are entitled in exchange for the goods and services that will be transferred to the student. We receive advance payments or deposits from our students before revenue is recognized, which are recorded as contract liabilities in deferred revenue and student deposits. Payment terms vary by university with some universities requiring payment in advance of the academic session and other universities allowing students to pay in installments over the term of the academic session.

All of our contract assets are considered accounts receivable and are included within the Accounts and notes receivable balance in the accompanying Consolidated Balance Sheets. Total accounts receivable from our contracts with students were $173,513 and $244,070 as of March 31, 2026 and December 31, 2025, respectively. The decrease in the contract assets balance at March 31, 2026 compared to December 31, 2025 was primarily driven by enrollment cycles, in particular the repayment of outstanding amounts by students re-enrolling for the next academic session. The first and third calendar quarters generally coincide with the primary and secondary intakes for our larger institutions. All contract asset amounts are classified as current.

Contract liabilities in the amount of $130,353 and $80,161 were included within the Deferred revenue and student deposits balance in the current liabilities section of the accompanying Consolidated Balance Sheets as of March 31, 2026 and December 31, 2025, respectively. The increase in the contract liability balance during the period ended March 31, 2026 was the result of semester billings and cash payments received in advance of satisfying performance obligations, partially offset by revenue recognized during the period. Revenue recognized during the three months ended March 31, 2026 that was included in the contract liability balance at the beginning of the year was approximately $54,716.

Note 3. Business and Geographic Segment Information

Laureate’s educational services are offered through two reportable segments: Mexico and Peru. Laureate determines its segments based on information utilized by the chief operating decision maker to allocate resources and assess performance. Laureate’s Chief Executive Officer is the chief operating decision maker.

global growth in services and technology-related industries and recognition of the significant personal and economic benefits gained by graduates of higher education institutions. The target demographics are primarily 18- to 24-year-olds in the countries in which we compete. We compete with other private higher education institutions on the basis of price, educational quality, reputation and location. We believe that we compare favorably with competitors because of our focus on quality, professional-oriented curriculum and the competitive advantages provided by our in-country networks. There are a number of private and public institutions in both of the countries in which we operate, and it is difficult to predict how the markets will evolve and how many competitors there will be in the future. We expect competition to increase as the Mexican and Peruvian markets mature. Essentially all of our revenues were generated from private pay sources as there are no material government-sponsored loan programs in Mexico or Peru. Specifics related to both of our reportable segments are discussed below.

In Mexico, the private sector plays a meaningful role in higher education, bridging supply and demand imbalances created by a lack of capacity at public universities. Laureate owns two nationally licensed institutions and is present throughout the country with a footprint of over 30 campuses.

In Peru, private universities are increasingly providing the capacity to meet growing demand in the higher-education market. Laureate owns three institutions in Peru, with a footprint of 20 campuses.

Inter-segment transactions are accounted for in a similar manner as third-party transactions and are eliminated in consolidation. The Corporate amounts presented in the following tables include corporate charges that were not allocated to our reportable segments and adjustments to eliminate inter-segment items.

The chief operating decision maker uses Adjusted EBITDA to evaluate performance and to allocate resources for each segment in the annual budget and monthly forecasting process. Adjusted EBITDA is defined as Loss from continuing operations before income taxes and equity in net income of affiliates, adding back the following items: Gain on disposal of subsidiaries, net, Foreign currency exchange gain (loss), net, Other income (loss), net, Loss on debt extinguishment, Interest expense, Interest income, Depreciation and amortization expense, Loss on impairment of assets, and Share-based compensation expense. The chief operating decision maker considers budget-to-actual variances for Adjusted EBITDA when making decisions about allocating resources to the segments.

Adjusted EBITDA is also a key measure used by our management and Board of Directors to understand and evaluate our core operating performance and trends, to prepare and approve our annual budget and to develop short- and long-term operational plans. In particular, the exclusion of certain expenses in calculating Adjusted EBITDA can provide a useful measure for period-to-period comparisons of our core business. Additionally, Adjusted EBITDA is a key financial measure used by the compensation committee of our Board of Directors and our Chief Executive Officer in connection with the payment of incentive compensation to our executive officers and other members of our management team. Accordingly, we believe that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results in the same manner as our management and Board of Directors. We use total assets as the measure of assets for reportable segments.

The following table presents a reconciliation of Adjusted EBITDA of our reportable segments to Loss from continuing operations before income taxes and equity in net income of affiliates, as reported in the Consolidated Statements of Operations:




For the three months ended March 31,	2026		2025





Adjusted EBITDA of reportable segments:
Mexico	$	41,476	$	52,959
Peru	(34,941)		(38,842)
Total Adjusted EBITDA of reportable segments	6,535		14,117
Reconciling items:
Corporate	(8,862)		(8,767)
Depreciation and amortization expense	(22,584)		(16,078)

Share-based compensation expense	(2,616)		(2,463)

Operating loss	(27,527)		(13,191)
Interest income	1,906		1,519
Interest expense	(3,139)		(2,366)


Other income (loss), net	439		(15)
Foreign currency gain (loss), net	1,016		(3,199)

Loss from continuing operations before income taxes and equity in net income of affiliates	$	(27,305)	$	(17,252)

The following table presents significant segment expenses of our reportable segments:




For the three months ended March 31,	2026		2025
Mexico
Revenues	$	210,642	$	189,255
Less:
Labor costs	80,766		64,429
Lease and other facilities costs	27,006		23,091
Advertising costs	16,255		12,678
Other costs (1)	45,139		36,098
Adjusted EBITDA	$	41,476	$	52,959

Peru
Revenues	$	61,954	$	46,856
Less:
Labor costs	57,411		48,450
Lease and other facilities costs	6,913		7,374
Advertising costs	13,621		9,961
Other costs (1)	18,950		19,913
Adjusted EBITDA	$	(34,941)	$	(38,842)

(1) Other costs for each reportable segment include: professional services expense, technology expense, bad debt and other direct costs.

The following table presents other financial information of our reportable segments:




For the three months ended March 31,	2026		2025
Mexico
Depreciation and amortization expense	$	14,345	$	9,300

Expenditures for long-lived assets	$	6,228	$	2,580

Peru
Depreciation and amortization expense	$	8,228	$	6,600

Expenditures for long-lived assets	$	2,102	$	2,032

The following table presents the total assets of our reportable segments:


	March 31, 2026		December 31, 2025
Assets
Mexico	$	1,491,406	$	1,383,658
Peru	645,831		674,902
Corporate	143,910		147,790
Total assets	$	2,281,147	$	2,206,350

Note 4. Goodwill

The change in the net carrying amount of Goodwill from December 31, 2025 through March 31, 2026 was composed of the following items:


	Mexico		Peru		Total
Balance at December 31, 2025	$	557,241	$	80,059	$	637,300




Currency translation adjustments	174		(2,261)		(2,087)

Balance at March 31, 2026	$	557,415	$	77,798	$	635,213

Note 5. Debt

Outstanding long-term debt was as follows:


	March 31, 2026		December 31, 2025
Senior long-term debt:
Senior Secured Credit Facility	$	75,000	$	—

Other debt:
Lines of credit	42,064		43,278
Note payable	21,845		22,313
Total senior and other debt	138,909		65,591
Finance lease obligations	78,155		63,463
Total long-term debt and finance leases	217,064		129,054
Less: total unamortized deferred financing costs	1,223		1,346
Less: current portion of long-term debt and finance leases	55,124		54,585
Long-term debt and finance leases, less current portion	$	160,717	$	73,123

Senior Secured Credit Facility

The Company maintains a revolving credit facility (the Revolving Credit Facility) under its credit agreement (the Amended Credit Agreement) that provides for $155,000 of revolving credit loans maturing September 18, 2028. The credit available to be borrowed under the Amended Credit Agreement, whether as revolving loans or term loans, if any, are referred to herein collectively as the “Senior Secured Credit Facility.”

As of March 31, 2026 and December 31, 2025, the Senior Secured Credit Facility had a total outstanding balance of $75,000 and $0, respectively.

Estimated Fair Value of Debt

As of March 31, 2026 and December 31, 2025, the estimated fair value of our debt approximated its carrying value.

Certain Covenants

As of March 31, 2026, our Amended Credit Agreement contained certain negative covenants including, among others: (1) limitations on additional indebtedness; (2) limitations on dividends; (3) limitations on asset sales, including the sale of ownership interests in subsidiaries and sale-leaseback transactions; and (4) limitations on liens, guarantees, loans or investments. The Amended Credit Agreement provides, solely with respect to the Revolving Credit Facility, that the Company shall not permit its Consolidated Senior Secured Debt to Consolidated EBITDA ratio, as defined in the Amended Credit Agreement, to exceed 3 as of the last day of each quarter commencing with the quarter ending December 31, 2019 and thereafter. The Amended Credit Agreement also provides that if less than 25% of the Revolving Credit Facility is utilized as of that date, then such financial covenant shall not apply. As of March 31, 2026, more than 25% of the Revolving Credit Facility was utilized, and we were in compliance with the leverage ratio covenant. In addition, indebtedness at some of our locations contain financial maintenance covenants. We were in compliance with these covenants as of March 31, 2026.

Note 6. Commitments and Contingencies

Contingencies

Laureate is subject to legal proceedings, claims, governmental audits, and other matters arising in the ordinary course of business. In management’s opinion, we have adequate legal defenses, insurance coverage, and/or accrued liabilities with respect to the eventuality of these matters. Management believes that any judgment or settlement of these matters would not have a material impact on Laureate’s financial position, results of operations, or cash flows.

Income Tax Contingencies

As of March 31, 2026 and December 31, 2025, Laureate had recorded cumulative liabilities for income tax contingencies of $77,693 and $78,979, respectively.

Non-Income Tax Loss Contingencies

Laureate has accrued liabilities for certain civil actions against our institutions, a portion of which existed prior to our acquisition of these entities. Laureate intends to vigorously defend against these matters. As of March 31, 2026 and December 31, 2025, approximately $12,500 and $12,800, respectively, of loss contingencies were included in Other long-term liabilities and Other current liabilities on the Consolidated Balance Sheets.

We have also identified certain loss contingencies that we have assessed as being reasonably possible of loss, but not probable of loss, and could have an adverse effect on the Company’s results of operations if the outcomes are unfavorable. In the aggregate, we estimate that the reasonably possible loss for these unrecorded contingencies could be up to approximately $19,900 if the outcomes were unfavorable.

Guarantees

During the first quarter of 2021, one of our Peruvian institutions issued a bank guarantee in order to appeal a tax assessment received related to tax audits of 2014 and 2015. As of March 31, 2026 and December 31, 2025, the total amount of the guarantee was approximately $7,800 and $8,100, respectively.

During the third quarter of 2025, one of our Mexican institutions issued a bank guarantee in order to appeal an assessment received related to a tax audit of 2017. As of both March 31, 2026 and December 31, 2025, the total amount of the guarantee was approximately $12,500.

Note 7. Stockholders’ Equity

The components of net changes in stockholders’ equity for the three months ended March 31, 2026 are as follows:


	Laureate Education, Inc. Stockholders
	Common stock			Additional paid-in capital		Retained earnings		Accumulated other comprehensive loss		Non-controlling interests		Total stockholders’ equity
	Shares	Amount
Balance at December 31, 2025	142,940	$	572	$	1,075,460	$	416,889	$	(304,984)	$	(575)	$	1,187,362


Non-cash share-based compensation	—	—		2,616		—		—		—		2,616
Purchase and retirement of common stock	(3,168)	(13)		(23,835)		(82,307)		—		—		(106,155)
Exercise of stock options and vesting of restricted stock units, net of shares withheld to satisfy tax withholding	206	1		(2,364)		—		—		—		(2,363)





Net loss	—	—		—		(21,594)		—		—		(21,594)
Foreign currency translation adjustment, net of tax of $0	—	—		—		—		(11,858)		(1)		(11,859)

Minimum pension liability adjustment, net of tax of $0	—	—		—		—		48		—		48
Balance at March 31, 2026	139,978	$	560	$	1,051,877	$	312,988	$	(316,794)	$	(576)	$	1,048,055

Stock Repurchases

On September 13, 2024, the Company announced that its Board of Directors had approved a $100,000 stock purchase program. On October 30, 2025, the Company announced that its Board of Directors had approved a $150,000 increase to the authorization for the Company’s stock repurchase program. On February 19, 2026, the Company announced that its Board of Directors had approved an additional $150,000 increase to the existing authorization for the Company’s stock repurchase program, for a total authorization of $400,000 that has no fixed expiration date. As of March 31, 2026, the Company had $75,795 of capacity remaining under its stock repurchase authorization. The Company intends to finance the repurchases with free cash flow, excess cash and liquidity on-hand, including available capacity under its Revolving Credit Facility. The Company’s proposed repurchases may be made from time to time on the open market at prevailing market prices, in privately negotiated transactions, in block trades and/or through other legally permissible means, depending on market conditions and in accordance with applicable rules and regulations promulgated under the Exchange Act. Repurchases may be effected pursuant to a trading plan adopted in accordance with Rule 10b5-1 of the Exchange Act. The Company’s Board of Directors will review the share repurchase program periodically and may authorize adjustment of its terms and size or suspend or discontinue the program. Under this stock repurchase program, all shares repurchased are immediately retired. Upon retirement of repurchased stock, the excess of the purchase price plus excise tax over par value is allocated to additional paid-in capital, subject to certain limitations. Any remainder is allocated to retained earnings to the extent that positive retained earnings exist.

The components of net changes in stockholders’ equity for the three months ended March 31, 2025 are as follows:


	Laureate Education, Inc. Stockholders
	Common stock			Additional paid-in capital		Retained earnings		Accumulated other comprehensive loss		Non-controlling interests		Total stockholders’ equity
	Shares	Amount
Balance at December 31, 2024	150,794	$	604	$	1,129,511	$	291,644	$	(462,210)	$	(2,404)	$	957,145


Non-cash share-based compensation	—	—		2,463		—		—		—		2,463
Purchase and retirement of common stock	(2,181)	(9)		(16,339)		(25,875)		—		—		(42,223)
Exercise of stock options and vesting of restricted stock units, net of shares withheld to satisfy tax withholding	197	1		(1,129)		—		—		—		(1,128)
Equitable adjustments to stock-based awards	—	—		(2)		—		—		—		(2)




Net loss	—	—		—		(19,496)		—		(57)		(19,553)
Foreign currency translation adjustment, net of tax of $0	—	—		—		—		9,336		(3)		9,333


Balance at March 31, 2025	148,810	$	596	$	1,114,504	$	246,273	$	(452,874)	$	(2,464)	$	906,035

Share-based Compensation Expense

During the three months ended March 31, 2026 and 2025, the Company recorded share-based compensation expense for restricted stock unit awards of $2,616 and $2,463, respectively.

Accumulated Other Comprehensive Income (Loss)

Accumulated other comprehensive income (loss) (AOCI) in our Consolidated Balance Sheets includes the accumulated translation adjustments arising from translation of foreign subsidiaries’ financial statements, the unrealized gain on a derivative designated as an effective net investment hedge, and the accumulated net gains or losses that are not recognized as components of net periodic benefit cost for our minimum pension liability. The AOCI related to the net investment hedge will be deferred from earnings until the sale or liquidation of the hedged investee. Laureate reports changes in AOCI on our Consolidated Statements of Stockholders’ Equity. The components of these balances were as follows:


	March 31, 2026						December 31, 2025
	Laureate Education, Inc.		Noncontrolling Interests		Total		Laureate Education, Inc.		Noncontrolling Interests		Total
Foreign currency translation adjustment	$	(325,468)	$	960	$	(324,508)	$	(313,610)	$	961	$	(312,649)
Unrealized gain on derivatives	10,416		—		10,416		10,416		—		10,416
Minimum pension liability adjustment	(1,742)		—		(1,742)		(1,790)		—		(1,790)
Accumulated other comprehensive loss	$	(316,794)	$	960	$	(315,834)	$	(304,984)	$	961	$	(304,023)

Note 8. Income Taxes

Laureate’s income tax provisions for all periods consist of federal, state and foreign income taxes. The tax provisions for the three months ended March 31, 2026 and 2025 are based on estimated full-year effective tax rates, adjusted for discrete income tax items related specifically to the interim periods. Laureate has operations in multiple countries at various statutory tax rates and other operations that are loss-making entities for which it is not ‘more likely than not’ that a tax benefit will be realized on the loss.

For the three months ended March 31, 2026, the Company recognized an income tax benefit of $5,711, as compared to income tax expense of $(2,517) in the prior-year period.

Note 9. Earnings Per Share

Laureate computes basic earnings per share (EPS) by dividing income available to common shareholders by the weighted average number of common shares outstanding for the reporting period. Diluted EPS reflects the potential dilution that would occur if share-based compensation awards were exercised or converted into common stock. To calculate the diluted EPS, the basic weighted average number of shares is increased by the dilutive effect of stock options, restricted stock units, and any other share-based compensation arrangements determined using the treasury stock method.

The following tables summarize the computations of basic and diluted earnings per share:


For the three months ended March 31,	2026		2025
Numerator used in basic and diluted earnings per common share for continuing operations:
Loss from continuing operations	$	(21,594)	$	(19,766)
Loss attributable to noncontrolling interests	—		57








Net loss from continuing operations for basic and diluted earnings per share	$	(21,594)	$	(19,709)




Numerator used in basic and diluted earnings per common share for discontinued operations:



Net income from discontinued operations for basic and diluted earnings per share	$	—	$	213

Denominator used in basic and diluted earnings per common share:
Basic and diluted weighted average shares outstanding	142,294		147,563








Basic and diluted earnings (loss) per share:
Loss from continuing operations	$	(0.15)	$	(0.13)
Income from discontinued operations	—		—
Basic and diluted loss per share	$	(0.15)	$	(0.13)

The following table summarizes the number of stock options and restricted stock units that were excluded from the diluted EPS calculations because the effect would have been antidilutive:



For the three months ended March 31,	2026	2025
Stock options	294	316
Restricted stock units	962	1,179

Note 10. Legal and Regulatory Matters

Our institutions are subject to uncertain and varying laws and regulations, and any changes to these laws or regulations or their application to us may materially adversely affect our business, financial condition and results of operations. There have been no material changes to the laws and regulations affecting our higher education institutions that are described in our 2025 Form 10‑K.

Note 11. Supplemental Cash Flow Information

Reconciliation of Cash and cash equivalents and Restricted cash

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Consolidated Balance Sheets, as well as the March 31, 2025 balance. The March 31, 2026 and March 31, 2025 balances sum to the amounts shown in the Consolidated Statements of Cash Flows for the three months ended March 31, 2026 and 2025:


	March 31, 2026		March 31, 2025		December 31, 2025
Cash and cash equivalents	$	157,353	$	109,776	$	146,703
Restricted cash	5,634		7,132		5,372
Total Cash and cash equivalents and Restricted cash shown in the Consolidated Statements of Cash Flows	$	162,987	$	116,908	$	152,075

Restricted cash represents cash that is not immediately available for use in current operations.

Supplemental Noncash Information

During the three months ended March 31, 2026, the Company recorded additional operating lease right-of-use assets and operating lease liabilities of approximately $134,000 that were predominantly related to the extension of leases for campus real estate in our Mexico segment.

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Forward-Looking Statements

This Quarterly Report on Form 10-Q (this Form 10-Q) contains “forward‑looking statements” within the meaning of the federal securities laws, which involve risks and uncertainties. You can identify forward‑looking statements because they contain words such as “believes,” “expects,” “may,” “will,” “should,” “seeks,” “approximately,” “intends,” “plans,” “estimates” or “anticipates” or similar expressions that concern our strategy, plans or intentions. All statements we make relating to estimated and projected earnings, costs, expenditures, cash flows, growth rates and financial results, and all statements we make relating to our current growth strategy and other future plans, strategies or transactions that may be identified, explored or implemented and any litigation or dispute resulting from any completed transaction are forward-looking statements. In addition, we, through our senior management, from time to time make forward‑looking public statements concerning our expected future operations and performance and other developments. All of these forward‑looking statements are subject to risks and uncertainties that may change at any time, including with respect to our current growth strategy and the impact of any completed divestiture or separation transaction on our remaining businesses. Accordingly, our actual results may differ materially from those we expected. We derive most of our forward‑looking statements from our operating budgets and forecasts, which are based upon many detailed assumptions. While we believe that our assumptions are reasonable, we caution that it is very difficult to predict the impact of known factors, and, of course, it is impossible for us to anticipate all factors that could affect our actual results. Important factors that could cause actual results to differ materially from our expectations, including, without limitation, in conjunction with the forward-looking statements and risk factors included in this Form 10-Q, are disclosed in “Item 1—Business,” and “Item 1A—Risk Factors” of our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 (the 2025 Form 10-K). Some of the factors that we believe could affect our results include:

•the risks associated with operating our portfolio of degree-granting higher education institutions in Mexico and Peru, including complex business, political, legal, regulatory, tax and economic risks;

•our ability to maintain and, subsequently, increase tuition rates and student enrollments in our institutions;

•our ability to effectively manage the growth of our business and increase our operating leverage;

•the risks associated with maintaining the value of our brands and our reputation;

•the effect of existing international and U.S. laws and regulations governing our business or changes to those laws and regulations or in their application to our business;

•changes in the political, economic and business climate in the markets in which we operate;

•risks of downturns in general economic conditions and in the educational services and education technology industries that could, among other things, impair our goodwill and intangible assets;

•possible increased competition from other educational service providers;

•market acceptance of new service offerings by us or our competitors and our ability to predict and respond to changes in the markets for our educational services;

•the effect of greater than anticipated tax liabilities;

•the effect on our business and results of operations from fluctuations in the value of foreign currencies;

•risks associated with the incorporation of new technologies (including artificial intelligence) into our programs and processes;

•the fluctuations in revenues due to seasonality;

•the risks associated with disruptions to our computer networks and information systems and other cybersecurity incidents, including misappropriation of personal or proprietary information;

•the risks associated with protests, strikes or natural or other disasters;

•our ability to attract and retain key personnel;

•the risks associated with indebtedness and disruptions to credit and equity markets;

•our focus on a specific public benefit purpose and producing a positive effect for society may negatively influence our financial performance; and

•the future trading prices of our common stock and the impact of any securities analysts’ reports on these prices.

We caution you that the foregoing list of important factors may not contain all of the material factors that are important to you. In addition, in light of these risks and uncertainties, the matters referred to in the forward-looking statements contained in this Form 10-Q may not in fact occur. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law.

Introduction

This Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is provided to assist readers of the financial statements in understanding the results of operations, financial condition and cash flows of Laureate Education, Inc. This MD&A should be read in conjunction with the consolidated financial statements and related notes included elsewhere in this Form 10-Q. The consolidated financial statements included elsewhere in this Form 10-Q are presented in U.S. dollars (USD) rounded to the nearest thousand, with the amounts in MD&A rounded to the nearest tenth of a million. Therefore, discrepancies in the tables between totals and the sums of the amounts listed may occur due to such rounding. Our MD&A is presented in the following sections:

•Overview;

•Results of Operations;

•Liquidity and Capital Resources;

•Critical Accounting Policies and Estimates; and

•Recently Adopted Accounting Standards.

Overview

Our Business

We operate a portfolio of degree-granting higher education institutions in Mexico and Peru. Collectively, we have approximately 507,700 students enrolled at five institutions in these two countries. We believe that the higher education markets in Mexico and Peru present an attractive long-term opportunity, primarily because of the large and growing imbalance between the supply and demand for affordable, quality higher education in those markets. We believe that the combination of the projected growth in the middle class, limited government resources dedicated to higher education, and a clear value proposition demonstrated by the higher earnings potential afforded by higher education, creates substantial opportunities for high-quality private institutions to meet this growing and unmet demand. By offering high-quality, outcome-focused education, we believe that we enable students to prosper and thrive in the dynamic and evolving knowledge economy. We have two reportable segments as described below. We group our institutions by geography in Mexico and Peru for reporting purposes.

Our Segments

Our segments generate revenues by providing an education that emphasizes profession-oriented fields of study with undergraduate and graduate degrees in a wide range of disciplines. Our educational offerings utilize campus-based, online and hybrid (a combination of online and in-classroom) courses and programs to deliver their curriculum. The Mexico and Peru markets are characterized by what we believe is a significant imbalance between supply and demand. The demand for higher education is large and growing and is fueled by several demographic and economic factors, including a growing middle class, global growth in services and technology-related industries and recognition of the significant personal and economic benefits gained by graduates of higher education institutions. The target demographics are primarily 18- to 24-year-olds in the countries in which we compete. We compete with other private higher education institutions on the basis of price, educational quality, reputation and location. We believe that we compare favorably with competitors because of our focus on quality, professional-oriented curriculum and the competitive advantages provided by our in-country networks. There are a number of private and public institutions in both of the countries in which we operate, and it is difficult to predict how the markets will evolve and how many competitors there will be in the future. We expect competition to increase as the Mexican and Peruvian markets mature. Essentially all of our revenues were generated from private pay sources as there are no material government-sponsored loan programs in Mexico or Peru. Specifics related to both of our reportable segments are discussed below:

•Private education providers in Mexico constitute approximately 39% of the total higher-education market. The private sector plays a meaningful role in higher education, bridging supply and demand imbalances created by a lack of capacity at public universities. Laureate owns two nationally licensed institutions and is present throughout the country with a footprint of over 30 campuses.

•In Peru, private universities are increasingly providing the capacity to meet growing demand and constitute approximately 76% of the total higher-education market. Laureate owns three institutions in Peru, with a footprint of 20 campuses.

Corporate is a non-operating business unit whose purpose is to support operations. Its departments are responsible for establishing operational policies and internal control standards, implementing strategic initiatives, and monitoring compliance with policies and controls throughout our operations. Our Corporate segment provides financial, human resource, information technology, insurance, legal, and tax compliance services. The Corporate segment also contains the eliminations of inter-segment revenues and expenses.

The following information for our reportable segments is presented as of March 31, 2026:


	Institutions	Enrollment	2026 YTD Revenues ($ in millions)		% Contribution to 2026 YTD Revenues
Mexico	2	259,900	$	210.6	77	%
Peru	3	247,800	62.0		23	%
Total	5	507,700	$	272.6	100	%

Challenges

Our operations are outside of the United States and are subject to complex business, economic, legal, regulatory, political, tax and foreign currency risks, which may be difficult to adequately address. As a result, we face risks that are inherent in international operations, including: fluctuations in exchange rates, possible currency devaluations, inflation and hyper-inflation; price controls and foreign currency exchange restrictions; potential economic and political instability in both countries in which we operate; expropriation of assets by local governments; key political elections and changes in government policies; subsequent changes to laws and regulatory regimes; multiple and possibly overlapping and conflicting tax laws; and compliance with a wide variety of foreign laws. See “Item 1A—Risk Factors—Risks Relating to Our Business—We operate a portfolio of degree-granting higher education institutions in Mexico and Peru and are subject to complex business, economic, legal, political, tax and foreign currency risks, which risks may be difficult to adequately address,” in our 2025 Form 10-K. We plan to grow our operations organically by: 1) adding new programs and course offerings; 2) expanding target student demographics; and 3) increasing capacity at existing and new campus locations. Our success in growing our business will depend on the ability to anticipate and effectively manage these and other risks related to operating in various countries. See “Item IA—Risk Factors—Risks Relating to Our Business—If we do not effectively manage our growth and business, our results of operations may be materially adversely affected” in our 2025 Form 10-K.

Regulatory Environment and Other Matters

Our business is subject to varying laws and regulations based on the requirements of local jurisdictions. These laws and regulations are subject to updates and changes. We cannot predict the form of the rules that ultimately may be adopted in the future or what effects they might have on our business, financial condition, results of operations and cash flows. We will continue to develop and implement necessary changes that enable us to comply with such laws and regulations. See “Item 1A—Risk Factors—Risks Relating to Our Business—Our institutions are subject to uncertain and varying laws and regulations, and any changes to these laws or regulations or their application to us may materially adversely affect our business, financial condition and results of operations,” and “Item 1—Business—Industry Regulation” in our 2025 Form 10-K for a detailed discussion of our different regulatory environments.

Key Business Metric

Enrollment

Enrollment is our lead revenue indicator and represents our most important non-financial metric. We define “enrollment” as the number of students registered in a course on the last day of the enrollment reporting period. New enrollments provide an indication of future revenue trends. Total enrollment is a function of continuing student enrollments and new student enrollments, offset by graduations and attrition. Attrition is defined as a student leaving the institution before completion of the program. To minimize attrition, we have implemented programs that involve assisting students in remedial education, mentoring, counseling and student financing.

Each of our institutions has an enrollment cycle that varies by geographic region and academic program. Each institution has a “Primary Intake” period during the academic year in which the majority of the enrollment occurs. Each institution also has a

smaller “Secondary Intake” period. Our Peruvian institutions have their Primary Intake during the first calendar quarter and a Secondary Intake during the third calendar quarter. Institutions in our Mexico segment have their Primary Intake during the third calendar quarter and a Secondary Intake during the first calendar quarter. Our institutions in Peru are generally out of session in January, February and July, while institutions in Mexico are generally out of session in May through July. Revenues are recognized when classes are in session.

Principal Components of Income Statement

Revenues

The majority of our revenue is derived from tuition revenue from enrolled students. The amount of tuition generated in a given period depends on the price per credit hour and the total credit hours or price per program taken by the enrolled student population. The price per credit hour varies by program, by market and by degree level. Additionally, varying levels of discounts and scholarships are offered depending on market-specific dynamics and individual achievements of our students. Revenues are recognized net of scholarships and other discounts, refunds and waivers. In addition to tuition revenues, we generate other revenues from student fees, short courses, and other education-related activities. These other revenues are less material to our overall financial results and have a tendency to trend with tuition revenues. The main drivers of changes in revenues between periods are student enrollment and price. We continually monitor market conditions and carefully adjust our tuition rates to meet local demand levels. We proactively seek the best price and content combinations to remain competitive in all the markets in which we operate.

Direct Costs

Our direct costs include labor and operating costs associated with the delivery of services to our students, including the cost of wages, payroll taxes and benefits, depreciation and amortization, rent, utilities, bad debt expenses, and marketing and promotional costs to grow future enrollments. In general, a significant portion of our direct costs tend to be variable in nature and trend with enrollment, and management continues to monitor and improve the efficiency of instructional delivery.

General and Administrative Expenses

Our general and administrative expenses primarily consist of costs associated with corporate departments, including executive management, finance, legal, business development and other departments that do not provide direct operational services.

Factors Affecting Comparability

Foreign Exchange

While the USD is our reporting currency, our institutions are located in Mexico and Peru and operate in other functional currencies, namely the Mexican peso and Peruvian nuevo sol. We monitor the impact of foreign currency movements and the correlation between the local currency and the USD. Our revenues and expenses are generally denominated in local currency. The principal foreign exchange exposure is the risk related to the translation of revenues and expenses incurred in each country from the local currency into USD. See “Item 1A—Risk Factors—Risks Relating to Our Business—Our reported revenues and earnings may be negatively affected by the strengthening of the U.S. dollar and currency exchange rates” in our 2025 Form 10‑K. In order to provide a framework for assessing how our business performed excluding the effects of foreign currency fluctuations, we present constant currency in our segment results, which is calculated using the change from prior-year average foreign exchange rates to current-year average foreign exchange rates, as applied to local-currency operating results for the current year.

Seasonality

Our institutions have a summer break during which classes are generally not in session and minimal revenues are recognized. In addition to the timing of summer breaks, holidays such as Easter also have an impact on our academic calendar. Operating expenses, however, do not fully correlate to the enrollment and revenue cycles, as the institutions continue to incur expenses during summer breaks. Given the geographic diversity of our institutions and differences in timing of summer breaks, our second and fourth quarters are stronger revenue quarters as the majority of our institutions are in session for most of these respective quarters. Our first and third fiscal quarters are weaker revenue quarters because our institutions have summer breaks for some portion of one of these two quarters. However, our primary enrollment intakes occur during the first and third quarters. Due to this seasonality, revenues and profits in any one quarter are not necessarily indicative of results in subsequent quarters and may not be correlated to new enrollment in any one quarter. Additionally, seasonality may be affected due to other events that could change the academic calendar at our institutions. See “Item 1A—Risk Factors—Risks Relating to Our Business—We experience seasonal fluctuations in our results of operations” in our 2025 Form 10-K.

Income Tax Expense

Our consolidated income tax provision is derived based on the combined impact of federal, state and foreign income taxes. Also, discrete items can arise in the course of our operations that can further affect the Company’s effective tax rate for the period. Our tax rate fluctuates from period to period due to changes in the mix of earnings between our tax-paying entities and our loss-making entities for which it is not ‘more likely than not’ that a tax benefit will be realized on the loss. See “Item 1A—Risk Factors—Risks Relating to Our Business—We may have exposure to greater-than-anticipated tax liabilities” in our 2025 Form 10-K.

Results of Operations

The following discussion of the results of our operations is organized as follows:

•Comparison of Consolidated Results;

•Non-GAAP Financial Measure; and

•Segment Results.

Comparison of Consolidated Results for the Three Months Ended March 31, 2026 and 2025


					% Change
					Better/(Worse)
(in millions)	2026		2025		2026 vs. 2025
Revenues	$	272.6	$	236.2	15	%
Direct costs	289.0		238.4		(21)	%
General and administrative expenses	11.1		11.0		(1)	%

Operating loss	(27.5)		(13.2)		(108)	%
Interest expense, net of interest income	(1.2)		(0.8)		(50)	%
Other non-operating income (expense)	1.5		(3.2)		147	%
Loss from continuing operations before income taxes	(27.3)		(17.3)		(58)	%
Income tax benefit (expense)	5.7		(2.5)		nm

Loss from continuing operations	(21.6)		(19.8)		(9)	%
Income from discontinued operations, net of tax	—		0.2		(100)	%
Net loss	(21.6)		(19.6)		(10)	%
Net loss attributable to noncontrolling interests	—		0.1		100	%
Net loss attributable to Laureate Education, Inc.	$	(21.6)	$	(19.5)	(11)	%

nm - percentage changes not meaningful

Comparison of Consolidated Results for the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025

Revenues increased by $36.4 million to $272.6 million for the three months ended March 31, 2026 (the 2026 fiscal quarter) from $236.2 million for the three months ended March 31, 2025 (the 2025 fiscal quarter). This increase in revenues was primarily driven by a net change in foreign currency exchange rates, which increased revenues by $34.8 million, mainly due to the strengthening of the Mexican peso against the USD compared to the 2025 fiscal quarter. In addition, the increase was attributable to the effect of higher average total enrollment at our institutions, which increased revenues by $9.6 million compared to the 2025 fiscal quarter. These increases in revenues were partially offset by changes in tuition rates and enrollments in programs at varying price points (product mix), pricing and timing, which decreased revenues by $7.9 million compared to the 2025 fiscal quarter and included a net unfavorable effect of approximately $9 million from intra-year academic calendar timing attributable to later semester start dates in the 2026 fiscal quarter as compared to the 2025 fiscal quarter. Corporate accounted for the remaining difference of $0.1 million.

Direct costs and general and administrative expenses combined increased by $50.7 million to $300.1 million for the 2026 fiscal quarter from $249.4 million for the 2025 fiscal quarter. This increase was primarily driven by the effect of a net change in foreign currency exchange rates, which increased direct costs by $34.9 million, mainly due to the strengthening of the Mexican peso against the USD compared to the 2025 fiscal quarter. Additionally, the increase was attributable to the effect of operational changes, which increased direct costs by $15.8 million compared to the 2025 fiscal quarter, primarily due to the result of higher enrollment at our institutions.

Operating loss increased by $14.3 million to $(27.5) million for the 2026 fiscal quarter from $(13.2) million for the 2025 fiscal quarter. This change was primarily driven by lower operating income in our Mexico segment, due to the unfavorable effect of the timing of the academic calendar combined with the strengthening of the Mexican peso against the USD, in addition to higher depreciation and amortization expenses related to growth initiatives including campus expansions and new campus investments compared to the 2025 fiscal quarter. This decrease was partially offset by lower operating loss in our Peru segment during the 2026 fiscal quarter compared to the 2025 fiscal quarter due in part to a favorable effect of the timing of the academic calendar.

Other non-operating income (expense) changed by $4.7 million to income of $1.5 million for the 2026 fiscal quarter from an expense of $(3.2) million for the 2025 fiscal quarter. This change was attributable to: (1) a gain on foreign currency exchange during the 2026 fiscal quarter compared to a loss during the 2025 fiscal quarter for a change of $4.2 million, related to revaluation of items denominated in currencies different than the functional currency, including intercompany loan arrangements; and (2) an increase in other income of $0.5 million for the 2026 fiscal quarter.

Income tax benefit (expense) changed by $8.2 million to a benefit of $5.7 million for the 2026 fiscal quarter from an expense of $(2.5) million for the 2025 fiscal quarter. This change mainly resulted from the year-over-year effect of a larger pretax loss during the 2026 fiscal quarter as compared to the 2025 fiscal quarter due primarily to the net unfavorable effect of intra-year academic calendar timing attributable to later semester start dates in the 2026 fiscal quarter than in the 2025 fiscal quarter. In addition, there was a decrease in the statutory interest on certain tax liabilities that is recorded as a component of income tax expense, due to a reduction in the required statutory interest rate as well as a lower average balance of these tax liabilities during the 2026 fiscal quarter as compared to the 2025 fiscal quarter.

Non-GAAP Financial Measure

We define Adjusted EBITDA as net income (loss), before (income) loss from discontinued operations, net of tax, equity in net (income) loss of affiliates, net of tax, income tax expense (benefit), (gain) loss on disposal of subsidiaries, net, foreign currency exchange (gain) loss, net, other (income) expense, net, interest expense, interest income, and loss on debt extinguishment, plus depreciation and amortization, share-based compensation expense and loss on impairment of assets. Adjusted EBITDA is used in addition to and in conjunction with results presented in accordance with GAAP and should not be relied upon to the exclusion of GAAP financial measures.

Adjusted EBITDA is a key measure used by our management and Board of Directors to understand and evaluate our core operating performance and trends, to prepare and approve our annual budget and to develop short- and long-term operational plans. In particular, the exclusion of certain expenses in calculating Adjusted EBITDA can provide a useful measure for period-to-period comparisons of our core business. Additionally, Adjusted EBITDA is a key financial measure used by the compensation committee of our Board of Directors and our Chief Executive Officer in connection with the payment of incentive compensation to our executive officers and other members of our management team. Accordingly, we believe that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results in the same manner as our management and Board of Directors.

The following table presents Adjusted EBITDA and reconciles Net loss to Adjusted EBITDA for the three months ended March 31, 2026 and 2025:


					% Change
					Better/(Worse)
(in millions)	2026		2025		2026 vs. 2025
Net loss	$	(21.6)	$	(19.6)	(10)	%
Plus:
Income from discontinued operations, net of tax	—		(0.2)		(100)	%
Loss from continuing operations	(21.6)		(19.8)		(9)	%
Plus:

Income tax (benefit) expense	(5.7)		2.5		nm
Loss from continuing operations before income taxes	(27.3)		(17.3)		(58)	%
Plus:

Foreign currency exchange (gain) loss, net	(1.0)		3.2		131	%
Other income, net	(0.4)		—		nm


Interest expense	3.1		2.4		(29)	%
Interest income	(1.9)		(1.5)		27	%
Operating loss	(27.5)		(13.2)		(108)	%
Plus:
Depreciation and amortization	22.6		16.1		(40)	%
EBITDA	(4.9)		2.9		nm
Plus:
Share-based compensation expense (a)	2.6		2.5		(4)	%

Adjusted EBITDA	$	(2.3)	$	5.4	(143)	%

nm - percentage changes not meaningful

(a) Represents non-cash, share-based compensation expense pursuant to the provisions of ASC 718, “Stock Compensation.”

Comparison of Depreciation and Amortization for the Three Months Ended March 31, 2026 and 2025

Depreciation and amortization increased by $6.5 million to $22.6 million for the 2026 fiscal quarter from $16.1 million for the 2025 fiscal quarter, which was primarily attributable to equipment purchases and campus improvements in Mexico related to growth initiatives including campus expansions and new campus investments that resulted in a higher depreciable asset base, combined with the strengthening of the Mexican peso against the USD compared to the 2025 fiscal quarter.

Segment Results

We have two reportable segments: Mexico and Peru. For purposes of the following comparison of results discussion, “segment direct costs” represent direct costs incurred by the segment as they are included in Adjusted EBITDA, such that depreciation and amortization expense, loss on impairment of assets and share-based compensation expense have been excluded. Enrollment is based on average total enrollment for the period. For a further description of our segments, see Overview.

The following table, derived from our consolidated financial statements included elsewhere in this Form 10-Q, present selected financial information of our segments:


(in millions)					% Change
					Better/(Worse)
For the three months ended March 31,	2026		2025		2026 vs. 2025
Revenues:
Mexico	$	210.6	$	189.3	11	%
Peru	62.0		46.9		32	%
Corporate	—		0.1		(100)	%
Consolidated Total Revenues	$	272.6	$	236.2	15	%

Adjusted EBITDA:
Mexico	$	41.5	$	53.0	(22)	%
Peru	(34.9)		(38.8)		10	%
Corporate	(8.9)		(8.8)		(1)	%
Consolidated Total Adjusted EBITDA	$	(2.3)	$	5.4	(143)	%

Mexico

Financial Overview

Comparison of Mexico Results for the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025


(in millions)	Revenues		Direct Costs		Adjusted EBITDA
March 31, 2025	$	189.3	$	136.3	$	53.0
Enrollment (1)	6.8
Product mix, pricing and timing (1)	(15.1)
Constant currency	(8.3)		9.1		(17.4)
Foreign exchange	29.6		23.7		5.9



March 31, 2026	$	210.6	$	169.1	$	41.5

(1) Enrollment and product mix, pricing and timing are not separable for the calculation of direct costs and therefore are combined and defined as Constant currency for the calculation of Adjusted EBITDA.

Revenues increased by $21.3 million, an 11% increase from the 2025 fiscal quarter.

•On a constant currency basis, revenue decreased by 4%, primarily driven by an unfavorable impact of approximately $12 million from intra-year academic calendar timing attributable to later semester start dates in the 2026 fiscal quarter compared to the 2025 fiscal quarter.

•Revenues from our Mexico segment represented 77% of our consolidated total revenues for the 2026 fiscal quarter, compared to 80% for the 2025 fiscal quarter.

Adjusted EBITDA decreased by $11.5 million, a 22% decrease from the 2025 fiscal quarter.

•On a constant currency basis, Adjusted EBITDA decreased by 33%, primarily driven by an unfavorable effect of intra-year academic calendar timing attributable to later semester start dates in the 2026 fiscal quarter compared to the 2025 fiscal quarter.

Peru

Financial Overview

Comparison of Peru Results for the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025


(in millions)	Revenues		Direct Costs		Adjusted EBITDA
March 31, 2025	$	46.9	$	85.7	$	(38.8)
Enrollment (1)	2.8
Product mix, pricing and timing (1)	7.1
Constant currency	9.9		2.8		7.1
Foreign exchange	5.2		8.4		(3.2)



March 31, 2026	$	62.0	$	96.9	$	(34.9)

Revenues increased by $15.1 million, a 32% increase from the 2025 fiscal quarter.

•On a constant currency basis, revenues increased by 21% and were favorably affected by approximately $3 million from intra-year academic calendar timing in the 2026 fiscal quarter as compared to the 2025 fiscal quarter.

•Revenues from our Peru segment represented 23% of our consolidated total revenues for the 2026 fiscal quarter compared to 20% for the 2025 fiscal quarter.

Adjusted EBITDA increased by $3.9 million, a 10% increase from the 2025 fiscal quarter.

•On a constant currency basis, Adjusted EBITDA increased by 18% compared to the 2025 fiscal quarter, due in part to a favorable effect from academic calendar timing.

Corporate

Corporate revenues primarily represent miscellaneous other revenues, net of the elimination of intersegment revenues.

Comparison of Corporate Results for the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025


					% Change
					Better/(Worse)
(in millions)	2026		2025		2026 vs. 2025
Revenues	$	—	$	0.1	(100)	%
Expenses	8.9		8.9		—	%
Adjusted EBITDA	$	(8.9)	$	(8.8)	(1)	%

Liquidity and Capital Resources

Liquidity Sources

We anticipate that cash flow from operations and available cash will be sufficient to meet our current operating requirements and manage our liquidity needs for at least the next 12 months from the date of issuance of this report.

Our primary source of cash is revenue from tuition charged to students in connection with our various education program offerings. Essentially all of our revenues are generated from private pay sources as there are no material government-sponsored loan programs in Mexico or Peru. We anticipate generating sufficient cash flow from operations in the countries in which we operate to satisfy the working capital and financing needs of our organic growth plans for each country. If our educational institutions within one country were unable to maintain sufficient liquidity, we would consider using internal cash resources or reasonable short-term working capital facilities to accommodate any short- to medium-term shortfalls.

As of March 31, 2026, our cash and cash equivalents were $157.4 million. Our cash accounts are maintained with high-quality financial institutions. The Company also maintains a revolving credit facility under its credit agreement (the Amended Credit Agreement) that provides for borrowings of up to $155.0 million of revolving credit loans maturing September 2028 (the Revolving Credit Facility). The credit available to be borrowed under the Amended Credit Agreement, whether as revolving loans or term loans, if any, are referred to herein collectively as the “Senior Secured Credit Facility.” In accordance with the terms of the Amended Credit Agreement, any proceeds drawn on the Revolving Credit Facility may be used for general corporate purposes. As of March 31, 2026, the Company had $75.0 million outstanding balance borrowed under the Revolving Credit Facility.

If certain conditions are satisfied, the Amended Credit Agreement also provides for an incremental revolving and term loan facilities, at the request of the Company and subject to lender approval, not to exceed (i) the greater of (a) $172.5 million and (b) 50% of the Company’s Consolidated EBITDA, plus (ii) additional amounts so long as both immediately before and after giving effect to such incremental facilities the Company’s Consolidated Senior Secured Debt to Consolidated EBITDA ratio, as defined in the Amended Credit Agreement, on a pro forma basis, does not exceed 2.25x, plus (iii) the aggregate amounts of any voluntary repayments of term loans, if any, and aggregate amount of voluntary repayments of revolving credit facilities that are accompanied by a corresponding termination or reduction of revolving credit commitments.

Liquidity Restrictions

Our liquidity is affected by restricted cash balances, which totaled $5.6 million as of March 31, 2026 and $5.4 million as of December 31, 2025. Restricted cash mainly consists of cash equivalents held as assets for a supplemental employment retention agreement for a former executive.

Indefinite Reinvestment of Historical Foreign Earnings

We earn a significant portion of our income from subsidiaries located in countries outside the United States. As of March 31, 2026, $147.9 million of our total $157.4 million of cash and cash equivalents were held by foreign subsidiaries. As of December 31, 2025, $130.4 million of our total $146.7 million of cash and cash equivalents were held by foreign subsidiaries. As part of our business strategies, we have determined that the undistributed historical earnings of our foreign operations for which we have not already recorded taxes will be deemed indefinitely reinvested outside of the United States.

Liquidity Requirements

Our liquidity requirements include: funding for debt service (including finance leases); operating lease obligations; payments of deferred compensation; working capital; operating expenses; capital expenditures; stock repurchases; business development activities; and payments of other third-party obligations.

Debt

As of March 31, 2026, our debt obligations consisted of lines of credit and short-term borrowing arrangements of subsidiaries and notes payable, which totaled $63.9 million. In addition, our finance lease obligations were $78.2 million.

Covenants

The Amended Credit Agreement provides, solely with respect to the Revolving Credit Facility, that the Company shall not permit its Consolidated Senior Secured Debt to Consolidated EBITDA ratio, as defined in the Amended Credit Agreement, to exceed 3 as of the last day of each quarter commencing with the quarter ending December 31, 2019 and thereafter. The Amended Credit Agreement also provides that if less than 25% of the Revolving Credit Facility is utilized as of that date, then such financial covenant shall not apply. As of March 31, 2026, more than 25% of the Revolving Credit Facility was utilized, and we were in compliance with the leverage ratio covenant. In addition, indebtedness at some of our locations contain financial maintenance covenants. We were in compliance with those covenants as of March 31, 2026.

Leases

We conduct a significant portion of our operations from leased facilities, including many of our higher education facilities and other office locations. As of March 31, 2026 and December 31, 2025, the present value of operating lease liabilities was $506.9 million and $387.8 million, respectively.

Capital Expenditures

Capital expenditures primarily consist of purchases of property and equipment. Our capital expenditure program is a component of our liquidity and capital management strategy. This program includes discretionary spending, which we can adjust in response to economic and other changes in our business environment, to grow our business through the following: (1) capacity expansion at institutions to support enrollment growth; (2) new programs and campuses for institutions in our existing markets; and (3) information technology to increase efficiency and controls. Our non-discretionary spending includes the maintenance of existing facilities. We typically fund our capital expenditures through cash flow from operations and external financing. In the event that we are unable to obtain the necessary funding for capital expenditures, our long-term growth strategy could be significantly affected. We believe that our internal sources of cash and our ability to obtain additional third-party financing, subject to market conditions, will be sufficient to fund our investing activities.

Our total capital expenditures, excluding receipts from the sale of subsidiaries and property and equipment, were $8.3 million and $4.6 million during the three months ended March 31, 2026 and 2025, respectively. The increase in capital expenditures was driven by higher equipment purchases in Mexico during the 2026 fiscal quarter compared to the 2025 fiscal quarter.

Share Repurchase Programs

On September 13, 2024, the Company announced that its Board of Directors had approved a $100 million stock purchase program. On October 30, 2025, the Company announced that its Board of Directors had approved a $150 million increase to the authorization for the Company’s stock repurchase program. On February 19, 2026, the Company announced that its Board of Directors had approved an additional $150 million increase to the existing authorization for the Company’s stock repurchase program, for a total authorization of $400 million that has no fixed expiration date. As of March 31, 2026, the Company had $75.8 million of capacity remaining under its stock repurchase authorization.

The Company intends to finance the repurchases with free cash flow, excess cash and liquidity on-hand, including available capacity under its Revolving Credit Facility. The Company’s proposed repurchases may be made from time to time on the open market at prevailing market prices, in privately negotiated transactions, in block trades and/or through other legally permissible means, depending on market conditions and in accordance with applicable rules and regulations promulgated under the Exchange Act. Repurchases may be effected pursuant to a trading plan adopted in accordance with Rule 10b5-1 of the Exchange Act. The Company’s Board of Directors will review the share repurchase program periodically and may authorize adjustment of its terms and size or suspend or discontinue the program.

Cash Flows

In the consolidated statements of cash flows, the changes in operating assets and liabilities are presented excluding the effects of exchange rate changes and reclassifications, as these effects do not represent operating cash flows. Accordingly, the amounts in the consolidated statements of cash flows do not agree with the changes of the operating assets and liabilities as presented in the consolidated balance sheets. The effects of exchange rate changes on cash are presented separately in the consolidated statements of cash flows.

The following table summarizes our cash flows from operating, investing, and financing activities for the three months ended March 31, 2026 and 2025:


(in millions)	2026		2025
Cash provided by (used in):
Operating activities	$	61.9	$	57.8
Investing activities	(8.3)		(4.6)
Financing activities	(41.3)		(34.6)
Effects of exchange rates changes on cash	(1.4)		0.9
Change in cash included in current assets held for sale	—		(0.4)
Net change in cash and cash equivalents and restricted cash	$	10.9	$	19.1

Comparison of Cash Flows for the Three Months Ended March 31, 2026 to the Three Months Ended March 31, 2025

Operating Activities

Cash provided by operating activities increased by $4.1 million to $61.9 million for the 2026 fiscal quarter from $57.8 million for the 2025 fiscal quarter. This increase in operating cash flows was primarily attributable to the net effect of changes in operating assets and liabilities, which increased operating cash by $14.0 million compared to the 2025 fiscal quarter. This increase was partially offset by higher cash paid for taxes in Mexico and Peru of $9.6 million, from $18.5 million for the 2025 fiscal quarter to $28.1 million for the 2026 fiscal quarter, due to an increase in the taxes that were payable during the 2026 fiscal quarter upon filing the 2025 annual tax returns, as compared to the taxes that were payable during the 2025 fiscal quarter upon filing the 2024 annual tax returns, attributable to an increase in year-over-year taxable income for tax year 2025 compared to tax year 2024. In addition, there was an increase in cash paid for interest of $0.3 million, from $2.0 million for the 2025 fiscal quarter to $2.3 million for the 2026 fiscal quarter, due to higher average debt balances.

Investing Activities

Cash used in investing activities increased by $3.7 million to $(8.3) million for the 2026 fiscal quarter from $(4.6) million for the 2025 fiscal quarter. This increase in investing cash outflows was attributable to higher capital expenditures of $3.7 million during the 2026 fiscal quarter compared to the 2025 fiscal quarter, driven by higher equipment purchases in Mexico.

Financing Activities

Cash used in financing activities increased by $6.7 million to $(41.3) million for the 2026 fiscal quarter from $(34.6) million for the 2025 fiscal quarter. This increase in financing cash outflows was primarily attributable to a $68.7 million increase in common stock repurchases during the 2026 fiscal quarter compared to the 2025 fiscal quarter. This change was partially offset by $63.9 million of higher net proceeds from debt borrowings on the Revolving Credit Facility to partially fund the Company’s share repurchases during the 2026 fiscal quarter. Other items accounted for the remaining difference of $1.9 million.

Critical Accounting Policies and Estimates

The preparation of the consolidated financial statements in conformity with GAAP requires our management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the related disclosure of contingent assets and liabilities. Actual results could differ from these estimates. Our significant accounting policies are discussed in Note 2, Significant Accounting Policies, of the audited consolidated financial statements included in our 2025 Form 10-K. Our critical accounting policies require the most significant judgments and estimates about the effect of matters that are inherently uncertain. As a result, these accounting policies and estimates could materially affect our financial statements and are critical to the understanding of our results of operations and financial condition. For a complete discussion of our critical accounting policies, see the “Critical Accounting Policies and Estimates” section of the MD&A in our 2025 Form 10-K. During the three months ended March 31, 2026, there were no significant changes to our critical accounting policies.

Recently Adopted Accounting Standards

None.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

For information regarding our exposure to certain market risks, see Item 7A, Quantitative and Qualitative Disclosures About Market Risk, in our 2025 Form 10-K. There have been no significant changes in our market risk exposures since our December 31, 2025 fiscal year end.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Our management, with the participation of our Chief Executive Officer (CEO) and Chief Financial Officer (CFO), has evaluated the effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act), as of the end of the period covered by this Quarterly Report on Form 10-Q. The purpose of disclosure controls and procedures is to ensure that information required to be disclosed in the reports we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms, and that such information is accumulated and communicated to management, including our CEO and CFO, to allow timely decisions regarding required disclosures. Based on that evaluation, our CEO and CFO have concluded that, as of the end of the period covered by this Quarterly Report on Form 10-Q, our disclosure controls and procedures were effective.

Changes in Internal Controls over Financial Reporting

There were no changes in our internal control over financial reporting during the fiscal quarter ended March 31, 2026 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

PART II - OTHER INFORMATION

Item 1. Legal Proceedings

The information required with respect to this item can be found under “Contingencies” in Note 6, Commitments and Contingencies, of the notes to the consolidated financial statements included elsewhere in this Form 10-Q and is incorporated by reference into this Item 1.

Item 1A. Risk Factors

There have been no material changes to the risk factors previously disclosed in “Item 1A. Risk Factors” in our 2025 Form 10‑K.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Issuer Purchases of Equity Securities (amounts in the table below shown in thousands, except per share amounts)

The following table provides a summary of the Company’s purchases of its common stock during the three months ended March 31, 2026 pursuant to the Company’s previously authorized share repurchase program:


Period	Total number of shares purchased	Average price paid per share		Total number of shares purchased as part of publicly announced plans or programs	Approximate dollar value of shares yet to be purchased under the plans or programs (1)
1/1/26 - 1/31/26	196	$	33.58	196	$	24,310
2/1/26 - 2/28/26	858	$	33.46	858	145,616
3/1/26 - 3/31/26	2,114	$	33.03	2,114	75,795
Total	3,168	$	33.18	3,168	$	75,795

(1) On September 13, 2024, the Company announced that its Board of Directors had approved a stock repurchase program to acquire up to $100 million of the Company’s common stock. On October 30, 2025, the Company announced that its Board of Directors had approved a $150 million increase to the authorization for the Company’s stock repurchase program. On February 19, 2026, the Company announced that its Board of Directors had approved an additional $150 million increase to the existing authorization for the Company’s stock repurchase program, for a total authorization of $400 million that has no fixed expiration date. As of March 31, 2026, the Company had $75.8 million of capacity remaining under its stock repurchase authorization. The Company’s repurchases may be made from time to time on the open market at prevailing market prices, in privately negotiated transactions, in block trades and/or through other legally permissible means, depending on market conditions and in accordance with applicable rules and regulations promulgated under the Exchange Act. Repurchases may be effected pursuant to a trading plan adopted in accordance with Rule 10b5-1 of the Exchange Act. The Company’s Board of Directors will review the share repurchase program periodically and may authorize adjustment of its terms and size or suspend or discontinue the program at any time.

Item 5. Other Information

Rule 10b5-1 Trading Arrangements

During the three months ended March 31, 2026, none of the Company's directors or officers (as defined in Rule 16a-1(f) of the Securities Exchange Act of 1934, as amended) adopted, terminated or modified a Rule 10b5-1 trading arrangement or non-Rule 10b5-1 trading arrangement (as such terms are defined in Item 408 of Regulation S-K of the Securities Act of 1933, as amended).

Item 6. Exhibits

Exhibit

No.

Exhibit Description

10.1

Seventh Amendment to Independent Contractor and Consultant Agreement as of March 1, 2026 between Laureate Education, Inc. and MC Consultoria and Assesoria Empresarial LTDA

31.1

Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

31.2

Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

101.INS

XBRL Instance Document — the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the inline XBRL document

101.SCH

XBRL Taxonomy Extension Schema Document With Embedded Linkbase Documents

104

Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

/s/ RICHARD M. BUSKIRK

Richard M. Buskirk

Senior Vice President and Chief Financial Officer

Date: April 30, 2026

/s/ GERARD M. KNAUER

Gerard M. Knauer

Vice President, Accounting and Global Controller

Date: April 30, 2026

LAUREATE EDUCATION, INC. 10-Q