Universal Technical Institute Inc
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +6.73%.
Did UTI Beat Earnings? Q2 2025 Results
Universal Technical Institute posted a convincing fiscal second quarter beat, with revenue of $207.45 million clearing the $196.63 million consensus estimate by 5.50% and rising 12.6% year-over-year, as the for-profit education company demonstrated that demand for skilled trades and healthcare training remains robust. Diluted EPS came in at $0.21, up from $0.14 in the year-ago quarter, while net income climbed 47.0% to $11.45 million. The standout driver was the Concorde Career Colleges healthcare division, which grew revenue 20.3% to $73.22 million and nearly doubled adjusted EBITDA to $10.90 million, with stronger lead conversion and targeted marketing fueling a 15.5% rise in average students. New student starts across the enterprise jumped 21.4% to 6,650, signaling healthy enrollment momentum heading into the back half of the year. Management responded by lifting full-year fiscal 2025 revenue guidance to $825 million to $835 million and raising diluted EPS guidance to $1.00 to $1.08, while reiterating its five-year target of exceeding $1.10 billion in revenue by fiscal 2029.
- 21.4% growth in new student starts to 6,650
- 10.3% growth in average full-time active students to 24,604
- Concorde division outperformance driven by increased marketing investments and strong lead conversion
- UTI division benefiting from robust demand for skilled trades education and recently launched programs
- Revenue per student growth of 2.2% at UTI and 2.8% at Concorde
“We delivered another strong quarter in Q2 as we continued to advance our North Star Strategy and build on our operational momentum. We exceeded expectations across all key metrics, with revenue growing 13% year-over-year, average full-time active students increasing 10%, and new student starts rising over 21%. These results reflect disciplined execution across the organization and the strength of our growth, diversification, and optimization strategy, bolstered by favorable macroeconomic trends and rising demand for skilled trades and healthcare professionals. As a result, I'm pleased to announce we have raised our guidance across all metrics for fiscal 2025.”
Universal Technical Institute CEO, on the earnings call
Forward Guidance & Outlook
UTI raised full-year fiscal 2025 guidance across all metrics. Revenue is now expected at $825-$835 million (up from $810-$820 million), net income at $56-$60 million (up from $54-$58 million), diluted EPS at $1.00-$1.08 (up from $0.96-$1.04), adjusted EBITDA at $124-$128 million (up from $122-$126 million), adjusted free cash flow at $62-$68 million (up from $60-$65 million), and new student starts at 29,000-30,000 (up from 28,500-29,500). The company expects approximately $55 million of total capex for FY2025. Management reiterated confidence in its five-year North Star Strategy targets of approximately 10% revenue CAGR and approaching 20% adjusted EBITDA margin by fiscal 2029, with revenue expected to exceed $1.1 billion. Nine new programs have been announced for 2025 and three new campuses are planned for 2026.
UTI YoY Financials
UTI Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.