Legacy Education Inc.

What they do

Legacy Education delivers certificate and degree programs in healthcare and allied fields through High Desert Medical College (acquired July 2010), Central Coast College (January 2019), Integrity College of Health (deemed acquired December 2019), and Contra Costa Medical Career College (December 2024). Programs include vocational nursing, registered nursing, ultrasound technology, surgical technology, medical assisting, dental assisting, pharmacy technician, and diagnostic medical sonography at campuses in Lancaster, Bakersfield, Temecula, Salinas, Pasadena, and Antioch, California. The company reported 3,101 students enrolled as of June 30, 2025, and 3,550 students as of March 31, 2026.

Revenue drivers

• High Desert Medical College (HDMC) — Largest institution by enrollment, with 1,956 students at June 30, 2025 and 2,244 at March 31, 2026; offers vocational nursing, ultrasound technology, MRI, cardiac sonography, dental assisting, and other healthcare programs across Lancaster, Bakersfield, and Temecula campuses.
• Central Coast College (CCC) — Salinas-based institution with 495 students at June 30, 2025 and 600 at March 31, 2026; programs include business administrative specialist, computer specialist: accounting, medical assisting, veterinary technology, surgical technology, and pharmacy technician.
• Contra Costa Medical Career College (CCMCC) — Acquired December 2024, located in Antioch; had 448 students at June 30, 2025 and 497 at March 31, 2026; offers surgical technology, sterile processing, diagnostic medical sonography, vocational nursing, and medical assisting with phlebotomy.
• Integrity College of Health — Pasadena campus with 202 students at June 30, 2025 and 209 at March 31, 2026; offers vocational nursing, RN to BSN (accredited by NLN CNEA in June 2025), medical assisting, medical billing and coding, and diagnostic medical sonography.

Recent performance

For the fiscal third quarter ended March 31, 2026, revenue increased 15.0% to $21.4 million, net income rose 7.5% to $3.0 million, and diluted EPS was $0.22, up 4.8%. New student starts were 1,078 and total student population grew 9.4% to 3,550. For the nine months ended March 31, 2026, revenue grew 29.7% to $60.0 million, net income was $7.3 million (up 15.1%), and diluted EPS was $0.52. Educational services expense for the quarter rose 9% to $11.0 million but declined as a percentage of revenue from 54.4% to 51.7%, while general and administrative expense increased 33.5% to $6.2 million, driven by marketing, bad debt, and professional fees.

Strategy

The company is expanding its physical footprint, citing facility expansion at High Desert Medical College's Lancaster and Temecula campuses and an executed branch Letter of Intent. It is launching new programs: Surgical Technology AAS and Sterile Processing Technician at HDMC, and Sterile Processing Technician at Integrity. HDMC and CCC plan to begin cardiac sonography and MRI AAS programs in October 2025, pending regulatory approvals. Management emphasizes disciplined execution, operational improvements, and expanding access to career-focused programs aligned with workforce needs.

Risks

• Extensive regulatory oversight — As a post-secondary educator, Legacy is subject to regulation by federal, state, and accrediting agencies covering virtually all operational phases, including program offerings, recruitment, financial aid, and student outcomes.
• Title IV funding dependence — Students rely on federal and state financial aid, and failure to comply with eligibility requirements could result in loss of funding, financial penalties, or restrictions on operations.
• New program approval risk — Several planned programs, including HDMC's Surgical Technology AAS and CCC's MRI and cardiac sonography programs, require pending approvals from BPPE, ED, and ACCET before launch.
• Enrollment concentration — HDMC alone accounted for approximately 63% of total students at June 30, 2025 (1,956 of 3,101), making the company dependent on a single institution's performance.

Outlook

Management stated it continues to see strong interest in healthcare career training, supported by student demand and steady enrollment trends. The company believes its strong balance sheet and growing student population continue building scale across the organization. It remains focused on operational improvements and expanding access to programs that align with workforce needs.