\n | \n\n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n $<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n\n (In thousands, except percentages)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| Revenues<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n392,145\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n257,154\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n134,991\n<\/p>\n<\/td>\n | | \n\n \n52.5\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| Income from operations<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n38,553\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n14,499\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n24,054\n<\/p>\n<\/td>\n | | \n\n \n165.9\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Adjusted operating income (1)<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n54,906\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n22,350\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n32,556\n<\/p>\n<\/td>\n | | \n\n \n145.7\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| Net income<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n23,789\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n8,754\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n15,035\n<\/p>\n<\/td>\n | | \n\n \n171.8\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| EBITDA (1)<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n62,153\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n32,913\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n29,240\n<\/p>\n<\/td>\n | | \n\n \n88.8\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Adjusted EBITDA (1)<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n75,007\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n38,999\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n36,008\n<\/p>\n<\/td>\n | | \n\n \n92.3\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n Financial Highlights for the Nine Months Ended March 31, 2021 Compared to the Nine Months Ended March 31, 2020<\/b><\/p>\n\n- \nRevenue of $1,139.3 million, compared with $771.8 million.\n<\/li>\n
- \nIncome from operations of $89.1 million, compared with $25.4 million.\n<\/li>\n
- \nNet income of $61.0 million, compared with $19.6 million.\n<\/li>\n
- \nDiluted net income per share of $1.46, compared with $0.48.\n<\/li>\n
- \nAdjusted operating income of $128.0 million, compared with $46.5 million. (1)\n<\/li>\n
- \nAdjusted EBITDA of $184.9 million, compared with $96.0 million. (1)\n<\/li>\n<\/ul>\n
Nine Months Ended March 31, 2021 Summary Financial Metrics<\/b><\/p>\n\n\n | \n\n Nine Months Ended March 31,<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Change 2021\/2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n\n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n $<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n\n (In thousands, except percentages)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| Revenues<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n1,139,250\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n771,834\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n367,416\n<\/p>\n<\/td>\n | | \n\n \n47.6\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| Income from operations<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n89,069\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n25,416\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n63,653\n<\/p>\n<\/td>\n | | \n\n \n250.4\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Adjusted operating income (1)<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n127,965\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n46,451\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n81,514\n<\/p>\n<\/td>\n | | \n\n \n175.5\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| Net income<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n60,956\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n19,618\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n41,338\n<\/p>\n<\/td>\n | | \n\n \n210.7\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| EBITDA (1)<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n154,107\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n78,206\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n75,901\n<\/p>\n<\/td>\n | | \n\n \n97.1\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Adjusted EBITDA (1)<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n184,928\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n95,991\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n88,937\n<\/p>\n<\/td>\n | | \n\n \n92.7\n<\/p>\n<\/td>\n | \n \n%\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n\n| (1)<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \nTo supplement our financial statements presented in accordance with U.S. generally accepted accounting principles (GAAP), we also present non-GAAP financial measures including adjusted operating income, EBITDA and adjusted EBITDA. Management believes that these additional metrics provide useful information to investors relating to our financial performance. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures is provided below.\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n Cash Flow and Liquidity<\/b><\/p>\n \nAs of March 31, 2021, the Company\u2019s cash and cash equivalents totaled $329.0 million, compared with $212.3 million reported at June 30, 2020. The increase in the cash balance is largely the result of the $348.3 million in proceeds the Company received from its issuance of convertible senior notes during the first quarter, partially offset by the use of $100 million to pay down its revolving credit facility and $72.8 million in cash used to acquire Tech Elevator and MedCerts.\n<\/p>\n Capital Expenditures<\/b><\/p>\n \nCapital expenditures for the nine months ended March 31, 2021 were $34.9 million, down 2% from the nine months ended March 31, 2020 and comprised of,\n<\/p>\n \n- \n$3.0 million on property and equipment,\n<\/li>\n
- \n$20.2 million on capitalized software development, and\n<\/li>\n
- \n$11.7 million on capitalized curriculum development.\n<\/li>\n<\/ul>\n
Revenue and Enrollment Data<\/b><\/p>\n \nDuring the first quarter of fiscal year 2021, the Company revised its lines of revenue reporting into two categories:\n<\/p>\n \n- \nGeneral Education – products and services that are predominantly focused on kindergarten through twelfth grade students for core subjects including math, English, science, and history to help build a common foundation of knowledge, and\n<\/li>\n
- \nCareer Learning – products and services that are focused on developing skills for students, in middle school through high school and adult learners, to enter careers in high-growth, in-demand industries\u2014including information technology, business, and health services. Middle and high school students also take general education courses per state standards in addition to coursework in career pathways.\n<\/li>\n<\/ol>\n
\nThe Company believes that the change in the lines of revenue will facilitate a better understanding of its business strategy and the markets in which the Company competes. Additional information on the new lines of revenue, including revenue and enrollments for the three months ended March 31, 2021 and 2020 revised to reflect the new lines of revenue format can be found in Appendix A. Additional information on the new lines of revenue for fiscal years 2020 and 2019 revised to reflect the new lines of revenue format can be found in our first quarter, fiscal year 2021 press release. This information is provided for investor reference only. Readers are encouraged to obtain and carefully review Stride Inc.\u2019s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2021, including all financial statements contained therein and the footnotes thereto, filed with the SEC.\n<\/p>\n \nRevenue <\/i><\/b><\/p>\n \nThe following table sets forth the Company\u2019s revenues for the periods indicated:\n<\/p>\n \n\n | \n | \n\n Three Months Ended
\n
March 31, <\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Change
\n
2021 \/ 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Nine Months Ended
\n
March 31, <\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Change
\n
2021 \/ 2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n $<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n $<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n(In thousands, except percentages)<\/b><\/td>\n<\/tr>\n\n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| General Education<\/b><\/td>\n | | \n$<\/td>\n | \n \n322,304\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n233,147\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n89,157\n<\/p>\n<\/td>\n | | \n\n \n38.2%\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n950,142\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n699,332\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n250,810\n<\/p>\n<\/td>\n | | \n\n \n35.9%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Career Learning<\/b><\/td>\n | | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | <\/tr>\n \n| Middle – High School<\/td>\n | | \n | \n\n \n52,382\n<\/p>\n<\/td>\n | | \n | \n\n \n20,820\n<\/p>\n<\/td>\n | | \n | \n\n \n31,562\n<\/p>\n<\/td>\n | | \n\n \n151.6%\n<\/p>\n<\/td>\n | | \n | \n\n \n152,529\n<\/p>\n<\/td>\n | | \n | \n\n \n69,315\n<\/p>\n<\/td>\n | | \n | \n\n \n83,214\n<\/p>\n<\/td>\n | | \n\n \n120.1%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Adult<\/td>\n | | \n | \n\n \n17,459\n<\/p>\n<\/td>\n | | \n | \n\n \n3,187\n<\/p>\n<\/td>\n | | \n | \n\n \n14,272\n<\/p>\n<\/td>\n | | \n\n \n447.8%\n<\/p>\n<\/td>\n | | \n | \n\n \n36,579\n<\/p>\n<\/td>\n | | \n | \n\n \n3,187\n<\/p>\n<\/td>\n | | \n | \n\n \n33,392\n<\/p>\n<\/td>\n | | \n\n \n1,047.8%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total Career Learning<\/td>\n | | \n | \n\n \n69,841\n<\/p>\n<\/td>\n | | \n | \n\n \n24,007\n<\/p>\n<\/td>\n | | \n | \n\n \n45,834\n<\/p>\n<\/td>\n | | \n\n \n190.9%\n<\/p>\n<\/td>\n | | \n | \n\n \n189,108\n<\/p>\n<\/td>\n | | \n | \n\n \n72,502\n<\/p>\n<\/td>\n | | \n | \n\n \n116,606\n<\/p>\n<\/td>\n | | \n\n \n160.8%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total Revenues<\/b><\/td>\n | | \n$<\/td>\n | \n \n392,145\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n257,154\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n134,991\n<\/p>\n<\/td>\n | | \n\n \n52.5%\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n1,139,250\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n771,834\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n367,416\n<\/p>\n<\/td>\n | | \n\n \n47.6%\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n Enrollment Data<\/i><\/b><\/p>\n \nThe following table sets forth total enrollment data for students in our General Education and Career Learning lines of revenue. Enrollments for General Education and Career Learning include those students in full service public or private programs where Stride provides a combination of curriculum, technology, instructional and support services inclusive of administrative support.\n<\/p>\n \n\n | \n | \n\n Three Months Ended
\n
March 31, <\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Change
\n
2021 \/ 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Nine Months Ended
\n
March 31, <\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Change
\n
2021 \/ 2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n #<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n #<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n (In thousands, except percentages)<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| General Education (1)<\/td>\n | | \n | \n\n \n155.8\n<\/p>\n<\/td>\n | | \n | \n\n \n108.9\n<\/p>\n<\/td>\n | | \n | \n\n \n46.9\n<\/p>\n<\/td>\n | | \n\n \n43.1%\n<\/p>\n<\/td>\n | | \n | \n\n \n159.4\n<\/p>\n<\/td>\n | | \n | \n\n \n108.3\n<\/p>\n<\/td>\n | | \n | \n\n \n51.1\n<\/p>\n<\/td>\n | | \n\n \n47.2%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Career Learning (1) (2)<\/td>\n | | \n | \n\n \n29.5\n<\/p>\n<\/td>\n | | \n | \n\n \n13.2\n<\/p>\n<\/td>\n | | \n | \n\n \n16.3\n<\/p>\n<\/td>\n | | \n\n \n123.5%\n<\/p>\n<\/td>\n | | \n | \n\n \n30.0\n<\/p>\n<\/td>\n | | \n | \n\n \n13.2\n<\/p>\n<\/td>\n | | \n | \n\n \n16.8\n<\/p>\n<\/td>\n | | \n\n \n127.3%\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total Enrollment<\/td>\n | | \n | \n\n \n185.3\n<\/p>\n<\/td>\n | | \n | \n\n \n122.1\n<\/p>\n<\/td>\n | | \n | \n\n \n63.2\n<\/p>\n<\/td>\n | | \n\n \n51.8%\n<\/p>\n<\/td>\n | | \n | \n\n \n189.4\n<\/p>\n<\/td>\n | | \n | \n\n \n121.5\n<\/p>\n<\/td>\n | | \n | \n\n \n67.9\n<\/p>\n<\/td>\n | | \n\n \n55.9%\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| \n \n(1)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \nThis data includes enrollments for which Stride receives no public funding or revenue.\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n(2)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \nNo enrollments are included in Career Learning for Galvanize, Tech Elevator or MedCerts.\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n Revenue per Enrollment Data<\/i><\/b><\/p>\n \nThe following table sets forth revenue per average enrollment data for students for the period indicated. If the mix of enrollments changes, our revenues will be impacted to the extent the average revenues per enrollments are significantly different.\n<\/p>\n \n\n | \n | \n\n Three Months Ended
\n
March 31,<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Change
\n
2021 \/ 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Nine Months Ended
\n
March 31,<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Change
\n
2021 \/ 2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n #<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n #<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n %<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| General Education<\/td>\n | | \n$<\/td>\n | \n \n1,876\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n1,946\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n(70)\n<\/p>\n<\/td>\n | | \n\n \n(3.6%)\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n5,384\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n5,787\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n(403)\n<\/p>\n<\/td>\n | | \n\n \n(7.0%)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Career Learning<\/td>\n | | \n | \n\n \n1,759\n<\/p>\n<\/td>\n | | \n | \n\n \n1,569\n<\/p>\n<\/td>\n | | \n | \n\n \n190\n<\/p>\n<\/td>\n | | \n\n \n12.1%\n<\/p>\n<\/td>\n | | \n | \n\n \n5,033\n<\/p>\n<\/td>\n | | \n | \n\n \n5,189\n<\/p>\n<\/td>\n | | \n | \n\n \n(156)\n<\/p>\n<\/td>\n | | \n\n \n(3.0%)\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \nOutlook<\/b><\/p>\n \nThe Company is raising its outlook and guidance for the full fiscal year 2021:\n<\/p>\n \n- \nRevenue in the range of $1.525 billion to $1.530 billion.\n<\/li>\n
- \nCapital expenditures in the range of $50 million to $55 million. Note that capital expenditures include the purchase of property and equipment and capitalized software and curriculum development costs as defined on our Statement of Cash Flows.\n<\/li>\n
- \nTax rate of 27% to 29% after discrete items.\n<\/li>\n
- \nAdjusted operating income in the range of $156 million to $159 million. (1)\n<\/li>\n<\/ul>\n
\n\n| \n \n(1)\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \nIn addition to providing an outlook for revenue and capital expenditures, adjusted operating income is provided as a supplemental non-GAAP financial measure as management believes that it provides useful information to our investors. Please also see Special Note on Forward Looking Statements below.\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n | \n | \n | \n | \n | \nYear Ended June 30, 2021<\/b><\/td>\n<\/tr>\n\n | \n | \n | \n | \n | \nLow<\/b><\/td>\n | | \nHigh<\/b><\/td>\n<\/tr>\n\n | \n | \n | \n | \n | \n(In millions)<\/b><\/td>\n<\/tr>\n\n| Income from operations<\/td>\n | | \n | \n | \n | \n\n \n$\n<\/p>\n<\/td>\n | \n \n102.5\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n103.5\n<\/p>\n<\/td>\n<\/tr>\n | \n| Stock-based compensation expense<\/td>\n | | \n | \n | \n | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n42.0\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n44.0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Amortization of intangible assets<\/td>\n | | \n | \n | \n | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n11.5\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n11.5\n<\/p>\n<\/td>\n<\/tr>\n | \n| Adjusted operating income<\/td>\n | | \n | \n | \n | \n\n \n$\n<\/p>\n<\/td>\n | \n \n156.0\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n159.0\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n Conference Call<\/b><\/p>\n \nThe Company will discuss its third quarter 2021 financial results during a conference call scheduled for Tuesday, April 20, 2021 at 5:00 p.m. eastern time (ET).\n<\/p>\n \nA live webcast of the call will be available at https:\/\/event.on24.com\/wcc\/r\/3081392\/A9D9252C3927749F0B31617B75AC2CB3<\/a>. To participate in the live call, investors and analysts should dial (833) 900-1536 (domestic) or (236) 712-2276 (international) at 4:45 p.m. (ET). The conference ID number is 1779113. Please access the website at least 15 minutes prior to the start of the call.\n<\/p>\n\nA replay of the call will be available starting on April 20, 2021 at 8:00 p.m. (ET) through May 20, 2021 at 8:00 p.m. (ET) by dialing (800) 585-8367 (domestic) or (416) 621-4642 (international) and entering the conference ID 1779113. A webcast replay will be available at https:\/\/event.on24.com\/wcc\/r\/3081392\/A9D9252C3927749F0B31617B75AC2CB3<\/a> for 30 days.\n<\/p>\nAbout Stride Inc.<\/b><\/p>\n \nAt Stride, Inc. (NYSE: LRN) \u2013 formerly K12 Inc. \u2013 we are reimagining learning \u2013 where learning is lifelong, deeply personal, and prepares learners for tomorrow. The company has transformed the teaching and learning experience for millions of people by providing innovative, high-quality, tech-enabled education solutions, curriculum, and programs directly to students, schools, the military, and enterprises in primary, secondary, and post-secondary settings. Stride is a premier provider of K-12 education for students, schools, and districts, including career learning services through middle and high school curriculum. For adult learners, Stride delivers professional skills training in healthcare and technology, as well as staffing and talent development for Fortune 500 companies. Stride has delivered millions of courses over the past decade and serves learners in all 50 states and more than 100 countries. The company is a proud sponsor of the Future of School<\/a>, a nonprofit organization dedicated to closing the gap between the pace of technology and the pace of change in education. More information can be found at stridelearning.com<\/a>, K12.com<\/a>, galvanize.com<\/a>, techelevator.com<\/a>, and medcerts.com<\/a>.\n<\/p>\n\nSpecial Note on Forward-Looking Statements<\/i><\/b><\/p>\n This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We have tried, whenever possible, to identify these forward-looking statements using words such as \u201canticipates<\/b>,\u201d \u201cbelieves<\/b>,\u201d \u201cestimates<\/b>,\u201d \u201ccontinues<\/b>,\u201d \u201clikely<\/b>,\u201d \u201cmay<\/b>,\u201d \u201copportunity<\/b>,\u201d \u201cpotential<\/b>,\u201d \u201cprojects<\/b>,\u201d \u201cwill<\/b>,\u201d \u201cexpects<\/b>,\u201d \u201cplans<\/b>,\u201d \u201cintends<\/b>\u201d and similar expressions to identify forward looking statements, whether in the negative or the affirmative. These statements reflect our current beliefs and are based upon information currently available to us. Accordingly, such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause our actual results, performance or achievements to differ materially from those expressed in, or implied by, such statements. These risks, uncertainties, factors and contingencies include, but are not limited to: reduction of per pupil funding amounts at the schools we serve; inability to achieve a sufficient level of new enrollments to sustain our business model; failure to replace students who have graduated from the terminal grade in a school or have left our programs for other reasons with new students of a sufficient number; inability to maintain our current rate of retention of students enrolled in our courses; an increase in the amount of failures to enter into new school contracts or renew existing contracts, in part or in their entirety; the failure of perceived industry trends and projections resulting from the expected effects of COVID-19 on virtual education; failure of the schools we serve or us to comply with federal, state and local regulations, resulting in a loss of funding, an obligation to repay funds previously received or contractual remedies; governmental investigations that could result in fines, penalties, settlements, or injunctive relief; declines or variations in academic performance outcomes of the students and schools we serve as curriculum standards, testing programs and state accountability metrics evolve; harm to our reputation resulting from poor performance or misconduct by operators or us in any school in our industry and\/or in any school in which we operate; legal and regulatory challenges from opponents of virtual public education or for-profit education companies; changes in national and local economic and business conditions and other factors such as natural disasters, pandemics and outbreaks of contagious diseases and other adverse public health developments, such as COVID-19; discrepancies in interpretation of legislation by regulatory agencies that may lead to payment or funding disputes; termination of our contracts, or a reduction in the scope of services with schools; failure to develop the career learning education business; entry of new competitors with superior technologies and lower prices; unsuccessful integration of mergers, acquisitions and joint ventures, failure to further develop, maintain and enhance our technology, products, services and brands; inadequate recruiting, training and retention of effective teachers and employees; infringement of our intellectual property; disruptions to our Internet-based learning and delivery systems, including but not limited to our data storage systems, resulting from cybersecurity attacks; misuse or unauthorized disclosure of student and personal data; and other risks and uncertainties associated with our business described in the Company\u2019s filings with the Securities and Exchange Commission. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. All information in this presentation is as of today\u2019s date, and the Company undertakes no obligation to update any forward-looking statement to conform the statement to actual results or changes in the Company\u2019s expectations. <\/i><\/p>\n Financial Statements <\/b><\/p>\n \nThe financial statements set forth below are not the complete set of Stride Inc.\u2019s financial statements for the three and nine months ended March 31, 2021 and are presented below without footnotes. Readers are encouraged to obtain and carefully review Stride Inc.\u2019s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2021, including all financial statements contained therein and the footnotes thereto, filed with the SEC, which may be retrieved from the SEC\u2019s website at www.sec.gov<\/a> or from Stride Inc.\u2019s website at www.stridelearning.com<\/a>.\n<\/p>\n\n\n\u00a0\n<\/p>\n \n\n| \n STRIDE INC.
\n
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n | \n | \n\n Three Months Ended
\n<\/b>
March 31, <\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Nine Months Ended
\n<\/b>
March 31, <\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n (In thousands except share and per share data)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| Revenues <\/b><\/td>\n | | \n$<\/td>\n | \n \n392,145\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n257,154\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n1,139,250\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n771,834\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Instructional costs and services<\/td>\n | | \n | \n\n \n253,128\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n178,968\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n740,951\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n515,796\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Gross margin<\/b><\/td>\n | | \n | \n\n \n139,017\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n78,186\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n398,299\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n256,038\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Selling, general, and administrative expenses<\/td>\n | | \n | \n\n \n100,464\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n63,687\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n309,230\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n230,622\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Income from operations <\/b><\/td>\n | | \n | \n\n \n38,553\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n14,499\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n89,069\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n25,416\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Interest income (expense), net<\/td>\n | | \n | \n\n \n(5,371\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(76\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(12,502\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n1,275\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Other income (expense), net<\/td>\n | | \n | \n\n \n486\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n(1,093\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n2,276\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n(736\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Income before income taxes and income (loss) from equity method investments<\/b><\/td>\n | | \n | \n\n \n33,668\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n13,330\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n78,843\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n25,955\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Income tax expense<\/td>\n | | \n | \n\n \n(10,275\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(4,419\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(18,541\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(5,993\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Income (loss) from equity method investments<\/td>\n | | \n | \n\n \n396\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n(157\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n654\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n(344\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Net income attributable to common stockholders<\/b><\/td>\n | | \n$<\/td>\n | \n \n23,789\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n8,754\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n60,956\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n19,618\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Net income attributable to common stockholders per share:<\/b><\/td>\n | | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | <\/tr>\n \n| Basic<\/td>\n | | \n$<\/td>\n | \n \n0.59\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n0.22\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n1.52\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n0.50\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Diluted<\/td>\n | | \n$<\/td>\n | \n \n0.57\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n0.22\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n1.46\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n0.48\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Weighted average shares used in computing per share amounts:<\/b><\/td>\n | | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | <\/tr>\n \n| Basic<\/td>\n | | \n | \n\n \n40,286,109\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n39,539,791\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n40,143,610\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n39,426,121\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Diluted<\/td>\n | | \n | \n\n \n41,690,509\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n39,938,898\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n41,701,955\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n40,461,290\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n<\/table>\n\n\n\nSTRIDE INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS <\/b><\/td>\n<\/tr>\n\n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n | \n | \n\n March 31,
\n<\/b>
2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n June 30,
\n<\/b>
2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n (audited)<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n (In thousands except share and per share data)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| ASSETS<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Current assets<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Cash and cash equivalents<\/td>\n | | \n$<\/td>\n | \n \n329,031\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n212,299\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Accounts receivable, net of allowance of $21,697 and $6,808<\/td>\n | | \n | \n\n \n422,786\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n236,134\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Inventories, net<\/td>\n | | \n | \n\n \n28,814\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n28,300\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Prepaid expenses<\/td>\n | | \n | \n\n \n26,656\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n13,058\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Other current assets<\/td>\n | | \n | \n\n \n22,918\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n11,480\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total current assets <\/b><\/td>\n | | \n | \n\n \n830,205\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n501,271\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Operating lease right-of-use assets, net<\/td>\n | | \n | \n\n \n100,027\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n111,768\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Property and equipment, net<\/td>\n | | \n | \n\n \n82,918\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n38,668\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Capitalized software, net<\/td>\n | | \n | \n\n \n51,922\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n48,493\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Capitalized curriculum development costs, net<\/td>\n | | \n | \n\n \n48,482\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n48,849\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Intangible assets, net<\/td>\n | | \n | \n\n \n103,047\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n77,451\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Goodwill<\/td>\n | | \n | \n\n \n240,251\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n174,939\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Deposits and other assets<\/td>\n | | \n | \n\n \n77,316\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n71,824\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total assets <\/b><\/td>\n | | \n$<\/td>\n | \n \n1,534,168\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n1,073,263\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| LIABILITIES AND STOCKHOLDERS’ EQUITY<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Current liabilities<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Accounts payable<\/td>\n | | \n$<\/td>\n | \n \n47,043\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n40,428\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Accrued liabilities<\/td>\n | | \n | \n\n \n44,199\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n27,351\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Accrued compensation and benefits<\/td>\n | | \n | \n\n \n62,816\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n47,227\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Deferred revenue<\/td>\n | | \n | \n\n \n53,449\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n24,417\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Credit facility<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n100,000\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Current portion of finance lease liability<\/td>\n | | \n | \n\n \n26,036\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n13,304\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Current portion of operating lease liability<\/td>\n | | \n | \n\n \n21,259\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n20,689\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total current liabilities <\/b><\/td>\n | | \n | \n\n \n254,802\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n273,416\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Long-term finance lease liability<\/td>\n | | \n | \n\n \n43,117\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n4,634\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Long-term operating lease liability<\/td>\n | | \n | \n\n \n82,600\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n96,544\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Long-term debt<\/td>\n | | \n | \n\n \n295,388\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Deferred tax liability<\/td>\n | | \n | \n\n \n31,531\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n13,771\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Other long-term liabilities<\/td>\n | | \n | \n\n \n39,951\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n9,569\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total liabilities <\/b><\/td>\n | | \n | \n\n \n747,389\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n397,934\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Commitments and contingencies<\/b><\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Stockholders\u2019 equity<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Preferred stock, par value $0.0001; 10,000,000 shares authorized; zero shares issued or outstanding<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Common stock, par value $0.0001; 100,000,000 shares authorized; 46,877,934 and 46,341,627 shares issued; and 41,543,191 and 41,006,884 shares outstanding<\/td>\n | | \n | \n\n \n4\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n4\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Additional paid-in capital<\/td>\n | | \n | \n\n \n788,028\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n730,761\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Accumulated other comprehensive income (loss)<\/td>\n | | \n | \n\n \n(427\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n93\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Retained earnings<\/td>\n | | \n | \n\n \n101,656\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n46,953\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Treasury stock of 5,334,743 shares at cost<\/td>\n | | \n | \n\n \n(102,482\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(102,482\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total stockholders\u2019 equity <\/b><\/td>\n | | \n | \n\n \n786,779\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n675,329\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total liabilities and stockholders’ equity <\/b><\/td>\n | | \n$<\/td>\n | \n \n1,534,168\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n1,073,263\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n<\/table>\n\n\n\nSTRIDE INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS<\/b><\/td>\n<\/tr>\n\n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n | \n | \n\n Nine Months Ended
\n<\/b>
March 31, <\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n | \n\n (In thousands)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| Cash flows from operating activities<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Net income<\/td>\n | | \n$<\/td>\n | \n \n60,956\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n19,618\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Adjustments to reconcile net income to net cash provided by operating activities:<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Depreciation and amortization expense<\/td>\n | | \n | \n\n \n65,038\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n52,790\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Stock-based compensation expense<\/td>\n | | \n | \n\n \n30,821\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n17,785\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Deferred income taxes<\/td>\n | | \n | \n\n \n2,256\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n1,151\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Provision for (recovery of) doubtful accounts<\/td>\n | | \n | \n\n \n7,635\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n(88\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Amortization of discount and fees on debt<\/td>\n | | \n | \n\n \n8,737\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Other<\/td>\n | | \n | \n\n \n22,456\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n11,605\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Changes in assets and liabilities:<\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Accounts receivable<\/td>\n | | \n | \n\n \n(197,659\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(76,187\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Inventories, prepaid expenses, deposits and other current and long-term assets<\/td>\n | | \n | \n\n \n(27,798\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n240\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Accounts payable<\/td>\n | | \n | \n\n \n(913\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(20,066\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Accrued liabilities<\/td>\n | | \n | \n\n \n8,850\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n6,260\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Accrued compensation and benefits<\/td>\n | | \n | \n\n \n14,913\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n(15,543\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Operating lease liability<\/td>\n | | \n | \n\n \n(15,650\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(8,151\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Deferred revenue and other liabilities<\/td>\n | | \n | \n\n \n31,480\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n13,611\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Net cash provided by operating activities <\/b><\/td>\n | | \n | \n\n \n11,122\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n3,025\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Cash flows from investing activities<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Purchase of property and equipment<\/td>\n | | \n | \n\n \n(2,967\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(1,493\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Capitalized software development costs<\/td>\n | | \n | \n\n \n(20,189\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(18,825\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Capitalized curriculum development costs<\/td>\n | | \n | \n\n \n(11,742\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(15,463\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Sale of long-lived assets<\/td>\n | | \n | \n\n \n223\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Acquisition of Galvanize, Inc., net of cash acquired<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n(167,995\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Acquisition of MedCerts, LLC, net of cash acquired<\/td>\n | | \n | \n\n \n(54,795\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Acquisition of Tech Elevator, Inc., net of cash acquired<\/td>\n | | \n | \n\n \n(16,030\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Other acquisitions and investments, net of distributions<\/td>\n | | \n | \n\n \n(1,008\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(4,277\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Net cash used in investing activities <\/b><\/td>\n | | \n | \n\n \n(106,508\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(208,053\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Cash flows from financing activities<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Repayments on finance lease obligations<\/td>\n | | \n | \n\n \n(17,103\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(21,603\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Borrowing from credit facility<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n105,000\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Repayments on credit facility<\/td>\n | | \n | \n\n \n(100,000\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(5,000\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Issuance of convertible senior notes<\/td>\n | | \n | \n\n \n408,610\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Purchases of capped calls in connection with convertible senior notes<\/td>\n | | \n | \n\n \n(60,354\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Proceeds from exercise of stock options<\/td>\n | | \n | \n\n \n724\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n48\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Withholding of stock options for tax withholding<\/td>\n | | \n | \n\n \n(10,885\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n\u2014\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Repurchase of restricted stock for income tax withholding<\/td>\n | | \n | \n\n \n(8,872\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(6,504\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Net cash provided by financing activities <\/b><\/td>\n | | \n | \n\n \n212,120\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n71,941\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Net change in cash, cash equivalents and restricted cash<\/b><\/td>\n | | \n | \n\n \n116,734\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n(133,087\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Cash, cash equivalents and restricted cash, beginning of period<\/b><\/td>\n | | \n | \n\n \n213,299\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n284,621\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Cash, cash equivalents and restricted cash, end of period<\/b><\/td>\n | | \n$<\/td>\n | \n \n330,033\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n151,534\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n | \n | \n | \n | \n | \n | \n\u00a0<\/td>\n<\/tr>\n | \n| Reconciliation of cash, cash equivalents and restricted cash to balance sheet as of March 31st:<\/b><\/td>\n | | \n | \n | \n | \n | \n | <\/tr>\n \n| Cash and cash equivalents<\/td>\n | | \n$<\/td>\n | \n \n329,031\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n150,034\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Other current assets (restricted cash)<\/td>\n | | \n | \n\n \n502\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n500\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Deposits and other assets (restricted cash)<\/td>\n | | \n | \n\n \n500\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n1,000\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total cash, cash equivalents and restricted cash<\/b><\/td>\n | | \n$<\/td>\n | \n \n330,033\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n151,534\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \nNon-GAAP Financial Measures<\/b><\/p>\n \nTo supplement our financial statements presented in accordance with GAAP, we have presented adjusted operating income (loss), and adjusted EBITDA, which are not presented in accordance with GAAP.\n<\/p>\n \n- \nAdjusted operating income (loss) is defined as income (loss) from operations as adjusted for stock-based compensation and the amortization of intangible assets.\n<\/li>\n
- \nAdjusted EBITDA is defined as income (loss) from operations as adjusted for stock-based compensation and depreciation and amortization.\n<\/li>\n
- \nAdjusted EBITDA and adjusted operating income (loss) exclude stock-based compensation, which consists of expenses for stock options, restricted stock, restricted stock units, and performance stock units.\n<\/li>\n<\/ul>\n
\nManagement believes that the presentation of these non-GAAP financial measures provides useful information to investors relating to our financial performance. These measures remove stock-based compensation, which is a non-cash charge that varies based on market volatility and the terms and conditions of the awards. Adjusted EBITDA also removes depreciation and amortization, which can vary depending upon accounting methods and the book value of assets. Adjusted EBITDA provides a measure of corporate performance exclusive of capital structure and the method by which assets were acquired.\n<\/p>\n \nOur management uses these non-GAAP financial measures:\n<\/p>\n \n- \nas additional measures of operating performance because they assist us in comparing our performance on a consistent basis; and\n<\/li>\n
- \nin presentations to the members of our Board of Directors to enable our Board to review the same measures used by management to compare our current operating results with corresponding prior periods.\n<\/li>\n<\/ul>\n
\nOther companies may define these non-GAAP financial measures differently and, as a result, our use of these non-GAAP financial measures may not be directly comparable to similar non-GAAP financial measures used by other companies. Although we use these non-GAAP financial measures to assess the performance of our business, the use of non-GAAP financial measures is limited as they include and\/or do not include certain items not included and\/or included in the most directly comparable GAAP financial measure.\n<\/p>\n \nThese non-GAAP financial measures should be considered in addition to, and not as a substitute for, revenues, income (loss), net income (loss) and net income (loss) per share or other related financial information prepared in accordance with GAAP. Adjusted EBITDA is not intended to be a measure of liquidity. You are cautioned not to place undue reliance on these non-GAAP financial measures.\n<\/p>\n \nA reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures is provided below.\n<\/p>\n \n\n\u00a0\n<\/p>\n \n\n | \n\n Three Months Ended
\n<\/b>
March 31, <\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n Nine Months Ended
\n<\/b>
March 31, <\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n\n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n 2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n\n (In thousands)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| Income from operations<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n38,553\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n14,499\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n89,069\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n25,416\n<\/p>\n<\/td>\n<\/tr>\n | \n| Stock-based compensation expense<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n12,854\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n6,086\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n30,821\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n17,785\n<\/p>\n<\/td>\n<\/tr>\n | \n| Amortization of intangible assets<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n3,499\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n1,765\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n8,075\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n3,250\n<\/p>\n<\/td>\n<\/tr>\n | \n| Adjusted operating income<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n54,906\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n22,350\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n127,965\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n46,451\n<\/p>\n<\/td>\n<\/tr>\n | \n| Depreciation and other amortization<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n20,101\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n16,649\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n56,963\n<\/p>\n<\/td>\n | | \n\n \n\u00a0\n<\/p>\n<\/td>\n | \n \n49,540\n<\/p>\n<\/td>\n<\/tr>\n | \n| Adjusted EBITDA<\/td>\n | \n \n$\n<\/p>\n<\/td>\n | \n \n75,007\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n38,999\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n184,928\n<\/p>\n<\/td>\n | | \n\n \n$\n<\/p>\n<\/td>\n | \n \n95,991\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n Appendix A<\/b><\/p>\n Full Definitions for New Lines of Reporting Revenue and Enrollments<\/b><\/p>\n \nStride, Inc., together with its subsidiaries (\u201cStride\u201d or the \u201cCompany\u201d) is an education services company providing online and blended learning. The Company\u2019s technology-based products and services enable its clients to attract, enroll, educate, track progress, and support students on a scalable basis. These products and services, spanning curriculum, systems, instruction, and support services are designed to help learners reach their educational goals through inspired teaching and personalized learning. The Company\u2019s clients are primarily public and private schools, school districts, and charter boards. Additionally, it offers solutions to employers, government agencies and consumers, including through private schools which it operates. These products and services are provided through two lines of revenue:\n<\/p>\n General Education<\/b> \u2013 products and services are predominantly focused on kindergarten through twelfth grade students for core subjects including math, English, science and history, to help build a common foundation of knowledge. Programs utilizing General Education products and services are for students that are not specializing in any particular curriculum or course of study. These programs provide an alternative to traditional school options and serve a range of student needs including safety concerns, increased academic support, scheduling flexibility, physical\/health restrictions or advanced learning among other reasons. Products and services are sold a la carte or combined into customized customer offerings.\n<\/p>\n \nCareer Learning<\/b> \u2013 products and services are focused on developing skills for students, in middle school through high school and adult learners, to enter careers in high-growth, in-demand industries\u2014including information technology, business, and health services. The Company provides middle and high school students with Career Learning programs that complement their core general education coursework in math, English, science and history. Stride offers multiple career pathways supported by a diverse catalog of Career Learning courses. The middle school program spans career exploration, exposes students to a variety of career options, and introduces career skill development. In high school, students may engage in industry content pathway courses, project-based learning in virtual teams, and career development services. High school students also have the opportunity to progress toward certifications, connect with industry professionals, earn college credits while in high school, and participate in job shadowing and\/or work based learning experiences that are required to succeed in today\u2019s digital, tech-enabled economy. A student enrolled in a school offering our General Education program may take Career Learning courses but that student and associated revenue is not reported as Career Learning enrollment and revenue. A student and the associated revenue, whether in middle or high school is counted as Career Learning if enrolled in a school offering our Career Learning program and must commit to a career pathway and its associated services, including the Exploratory Pathways. Like General Education, products and services for the Career Learning market are sold a la carte or combined into a Career Learning program or customized customer offering. The Company also offers post-secondary Career Learning programs to adult learners, through its Galvanize, Inc. (\u201cGalvanize\u201d), Tech Elevator, Inc. (\u201cTech Elevator\u201d), and MedCerts, LLC (\u201cMedCerts\u201d) subsidiaries. These programs include skills training in data science and software engineering, healthcare and medical fields, technology staffing and talent development, and are offered directly to consumers, employers and government agencies.\n<\/p>\n \nThe following tables provide revenue and enrollments for the three months ended March 31, 2021 and 2020 for the new reporting formats. This information is provided for investor reference only. Readers are encouraged to obtain and carefully review Stride Inc.\u2019s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2021, including all financial statements contained therein and the footnotes thereto, filed with the SEC, which may be retrieved from the SEC\u2019s website at www.sec.gov<\/a> or from Stride Inc.\u2019s website at www.stridelearning.com<\/a>.\n<\/p>\n\n\n\u00a0\n<\/p>\n \n\n| General Education<\/b><\/td>\n | \n Three Months Ended<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n\n March 31, 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n March 31, 2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n\n (In thousands)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| Managed Public School Programs<\/td>\n | $<\/td>\n | \n \n336,281\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n228,335\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Add:<\/td>\n | | \n | \n | \n | \n | <\/tr>\n \n| Private Pay Schools and Other<\/td>\n | | \n\n \n12,241\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n8,879\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Institutional (Non-managed and Software & Services)<\/td>\n | | \n\n \n26,164\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n16,753\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Less:<\/td>\n | | \n | \n | \n | \n | <\/tr>\n \n| Career Learning – Managed Public School Programs<\/td>\n | | \n\n \n(51,178\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(20,586\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Career Learning – Non-managed Public School Programs<\/td>\n | | \n\n \n(541\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(82\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Career Learning – Private Pay Schools and Other<\/td>\n | | \n\n \n(663\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(152\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total General Education Revenues<\/td>\n | $<\/td>\n | \n \n322,304\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n$<\/td>\n | \n \n233,147\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n \n\n| Enrollments<\/b><\/td>\n | \n Three Months Ended<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n\n March 31, 2021<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n March 31, 2020<\/b><\/p>\n<\/td>\n<\/tr>\n\n | \n\n (In thousands)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| Managed Public School Programs<\/td>\n | | \n\n \n180.6\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n119.7\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Non-managed Public School Programs<\/td>\n | | \n\n \n55.4\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n16.2\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total Old Reporting<\/td>\n | | \n\n \n236.0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n135.9\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Add:<\/td>\n | | \n | \n | \n | \n | <\/tr>\n \n| Private Pay<\/td>\n | | \n\n \n4.7\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n2.4\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| Less:<\/td>\n | | \n | \n | \n | \n | <\/tr>\n \n| Non-managed Public School Programs<\/td>\n | | \n\n \n(55.4\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(16.2\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Net Changes – Old vs New Reporting<\/td>\n | | \n\n \n(50.7\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n | | \n | \n\n \n(13.8\n<\/p>\n<\/td>\n | \n \n)\n<\/p>\n<\/td>\n<\/tr>\n | \n| Total New Reporting<\/td>\n | | \n\n \n185.3\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | | \n | \n\n \n122.1\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n<\/table>\n | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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