Perdoceo Raises Quarterly Dividend to $0.17 a Share

The Tip Desk · August 7, 2026 · 4 min read

The postsecondary education provider lifted the payout 13.3% after second-quarter revenue of $213.4 million and diluted earnings of $0.75 a share.

Perdoceo Education Corporation (PRDO) raised its quarterly dividend 13.3% to $0.17 a share, a step-up from the $0.15 declared in February, as the company said it would keep returning capital while investing in enrollment, student support and technology.

The board declared the new rate on August 6, payable September 10 to holders of record on September 1. The company said it expects quarterly dividends to remain an integral and growing part of a capital-allocation strategy that also includes organic investment, acquisitions and share repurchases.

Year-over-year growth slowed in the second quarter ended June 30, 2026. Revenue rose 1.8% to $213.4 million from $209.6 million a year earlier, after a 4.1% increase in the first quarter. Operating income was $54.9 million, up 6.8% from $51.4 million, after a 22.0% rise in the prior quarter. Diluted earnings were $0.75 a share, up 21.0% from $0.62, after a 30.8% increase in the first quarter. Adjusted earnings were $0.80 a share, up 19.4% from $0.67.

President and Chief Executive Officer Todd Nelson said the company delivered another quarter of strong operating performance while building on sustainable growth achieved over the past two years, and that the breadth of program offerings allowed it to execute against an objective of sustainable and responsible growth.

Total student enrollments were 46,830 at June 30, 2026, up 0.7% from 46,500 a year earlier, after a 1.1% year-over-year increase at March 31. Colorado Technical University enrollments were 32,110, up 0.6% from a year earlier. The American InterContinental University System had 10,510 students, down 1.0% from a year earlier; AIUS enrollments were impacted by a modest decrease at Trident University. University of St. Augustine for Health Sciences enrollments were 4,210, up 6.0% from a year earlier.

Segment revenue told a mixed story. CTU revenue was $115.5 million, up 0.9% from a year earlier. AIUS revenue was $57.2 million, down 1.8%; the decrease was primarily due to non-Title IV and professional development programs. USAHS revenue was $40.5 million, up 10.2% from a year earlier. Corporate and other revenue was $189,000.

CTU operating income was $44.5 million, down 5.1% from $46.8 million a year earlier. CTU operating income for the quarter included increased legal fees related to previously disclosed legal matters and, excluding those expenses, operating income would have increased versus the prior-year quarter. AIUS operating income was $12.6 million, up 9.7% from $11.5 million. USAHS operating income was $3.6 million, compared with a $1.7 million loss a year earlier. Corporate and other operating income was a $5.9 million loss.

Adjusted operating income was $64.2 million, up 4.4% from $61.5 million a year earlier. Operating margin was 25.7% of revenue, compared with 24.5% a year earlier. Net income was $48.0 million, compared with $41.0 million a year earlier.

Cash, cash equivalents, restricted cash and available-for-sale short-term investments totaled $734.8 million at June 30, 2026, compared with $643.5 million at December 31, 2025. Net cash provided by operating activities was $74.6 million in the quarter, down 5.3% from $78.8 million a year earlier. Capital expenditures were $1.5 million.

For the quarter ending September 30, 2026, the company is providing an outlook of operating income of $54.5 million to $55.5 million, adjusted operating income of $64.0 million to $65.0 million, earnings of $0.68 to $0.69 a share, and adjusted earnings of $0.73 to $0.74 a share. For the year ending December 31, 2026, it is providing operating income of $221.2 million to $226.2 million, adjusted operating income of $258.0 million to $263.0 million, earnings of $2.91 to $2.97 a share, and adjusted earnings of $3.10 to $3.16 a share. The outlook assumes prospective student interest, retention and engagement remain consistent with recent experience, no material impact from federal budget reconciliations on student aid, and that legal fees relating to current litigation remain generally in line with current expectations.