Universal Technical Institute Inc
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +5.43%.
Did UTI Beat Earnings? Q4 2025 Results
Universal Technical Institute closed out fiscal 2025 on a mixed note, posting Q4 revenue of $222.44 million, a 13.3% year-over-year gain that edged past the $219.32 million consensus by 1.42%, yet earnings per share of $0.34 fell well short of the $0.49 analyst estimate, a miss of 30.61%. The earnings shortfall reflected deliberate expansion spending, as operating expenses climbed 15.9% in the quarter, compressing operating income to $24.99 million from $26.02 million a year earlier. CEO Jerome Grant framed the full fiscal year as "an exceptional year," and on an annual basis the company delivered 14% revenue growth and net income of $63.02 million, exceeding its own guidance range. Looking ahead, management expects fiscal 2026 revenue of $905 million to $915 million, but net income is guided lower to $40 million to $45 million as roughly $40 million in planned growth investments for new campuses and program launches temporarily weigh on margins, with the longer-term target of surpassing $1.20 billion in revenue by fiscal 2029.
- Growth in average full-time active students of 10.5% YoY for full year and 8.1% in Q4
- New student starts increased 10.8% YoY to 29,793 for full year
- Concorde division revenue growth of 19.3% for the full year driven by strong enrollment
- Revenue per student increases at both UTI and Concorde divisions
- Program expansions and new campus initiatives driving organic growth
“Fiscal 2025 was an exceptional year for Universal Technical Institute and a defining start to the second phase of our North Star strategy. We exceeded every major operational target we set and even surpassed our twice-raised revenue guidance range with 14% year-over-year growth. Entering this next chapter, we are executing from the strongest position in our company's history, and these results reinforce the durability of our model and prove that our platform can scale efficiently while maintaining our high quality.”
Universal Technical Institute CEO, on the earnings call
Forward Guidance & Outlook
For fiscal 2026, the company expects revenue of $905-$915 million (~9% YoY growth at midpoint), net income of $40-$45 million, diluted EPS of $0.71-$0.80, adjusted EBITDA of $114-$119 million, adjusted free cash flow of $20-$25 million, and new student starts of 31,500-33,000. Baseline adjusted EBITDA excluding planned growth investments is expected to exceed $150 million, while approximately $40 million in growth investments for new campuses and program launches will temporarily moderate margins. Capital expenditures are projected at approximately $100 million. The company expects to open at least two and up to five campuses annually and launch approximately 20 new programs annually. By fiscal 2029, UTI expects to surpass $1.2 billion in annual revenue and approach $220 million in adjusted EBITDA.
UTI YoY Financials
UTI Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.