Phoenix Education Partners, Inc. is an education company headquartered in Phoenix, Arizona, and trades on the New York Stock Exchange under the symbol PXED. Its principal operating business is University of Phoenix, which was established in 1976 and has historically focused on serving nontraditional students, especially adults balancing education with ...Phoenix Education Partners, Inc. is an education company headquartered in Phoenix, Arizona, and trades on the New York Stock Exchange under the symbol PXED. Its principal operating business is University of Phoenix, which was established in 1976 and has historically focused on serving nontraditional students, especially adults balancing education with employment, family, and other responsibilities. The University of Phoenix has been continuously accredited since 1978 by the Higher Learning Commission, according to the supplied company and regulatory materials.
The company’s business model is centered on online higher education and career-relevant learning. Its offerings include undergraduate and graduate degree programs, certificates, professional development, and programs designed to help employers develop workforce capabilities. The institution promotes flexible scheduling, online course delivery, rolling or frequent enrollment opportunities, and programs aligned with a broad range of careers. The supplied company information references more than 100 programs aligned with over 300 careers and approximately 80,000 average total degree enrollment, although enrollment figures can vary by reporting period and definition.
Phoenix Education Partners primarily delivers its products through digital platforms rather than a traditional residential-campus model. This structure can reduce the need for extensive physical facilities and inventory, while requiring ongoing spending on technology systems, student support, marketing, academic personnel, compliance, curriculum development, and regulatory administration. Education services are therefore relatively asset-light compared with many campus-based institutions, but the company’s costs are closely tied to student recruitment, retention, instruction, technology infrastructure, accreditation, financial-aid administration, and customer service.
The supplied trailing-twelve-month information reports revenue of approximately $950 million, a gross margin of about 55.3%, an operating margin of approximately 13.1%, and a net profit margin of about 8.2%. It also reports free cash flow of roughly $130.5 million, a current ratio of 1.915, and relatively modest debt compared with equity and market capitalization. These figures suggest a business with meaningful cash generation and moderate financial leverage, although education companies remain exposed to changes in enrollment, tuition affordability, student outcomes, government policy, accreditation standards, and competition from universities and alternative online-learning providers.
Chief Executive Officer Chris Lynne has more than two decades of higher-education experience and was appointed CEO in March 2023, according to the supplied leadership information. The company reported approximately 3,400 full-time employees. Its stated strategic priorities include advancing student success, maintaining career relevance, expanding employer relationships, supporting flexible access to education, and improving the value and outcomes delivered to adult learners. Investors should distinguish the 1976 founding date of the University of Phoenix from the more recent corporate formation and public-listing history of Phoenix Education Partners, Inc.
Operator: Ladies and gentlemen, good afternoon and welcome to Phoenix Education Partners third quarter fiscal 2020 Earnings conference call. At this time, all participants are in a listen only mode. Following prepared remarks, we will open the call for questions. I would now like to turn the call over to Beth Coronelli, vice President of Investor Relations. Please go ahead.
Beth Coronelli: Thank you. Welcome to the Phoenix Education Partners third quarter fiscal 2020 Earnings conference call. Speaking on today's call are Chris Lynne, our Chief Executive Officer and Blair Westbloom, our chief Financial Officer. Before we begin, I would like to remind everyone that certain statements and projections of future results made in this presentation constitute forward looking statements that are based on current market, competitive and regulatory expectations, and are subject to risks and uncertainties that could cause actual results to vary materially Listeners should not place undue reliance on such statements. We undertake no obligation to update publicly any forward looking statements after this presentation. The risks related to these forward looking statements are described in our filings with the SEC, including our most recent form 10-K, form 10-q and other public filings. We will also discuss certain non-GAAP financial measures. You should consider our non-GAAP results as supplements to and not in lieu of our GAAP results. Reconciliations to the most directly comparable GAAP measures can be found in our earnings release and SEC filings. Unless otherwise noted, comments in the call will focus on comparisons to the prior year period. We also direct you to the supplemental earnings slides provided on the Phoenix Education Partners website.
I'll now turn the call over to Chris.
Chris Lynne: Thank you. Beth. And good afternoon, everyone. We appreciate you joining us today as we discuss our third quarter fiscal 2026 results and the continued execution of our long term strategy. Guided by our mission, we remain focused on helping students achieve meaningful educational and career outcomes through flexible and affordable programs designed for working adults. The pace of change continues to accelerate as artificial intelligence reshapes how people work and the skills employers need. This environment aligns directly with our long standing focus on working adult learners. For nearly five decades. University of Phoenix has helped students adapt, grow and succeed through periods of economic and technological transformation. Today, we are building on that legacy by continuing to enhance the learning experience. Incorporating employer informed curriculum and preparing learners with in-demand skills, creating greater opportunities for career mobility. As we celebrate our 50th anniversary this year, we are reminded that our ability to evolve alongside the needs of learners and employers has been one of our defining strengths. That same commitment to innovation …