STRIDE, INC., 10-K filed on 8/6/2025
Annual Report
v3.25.2
Document and Entity Information - USD ($)
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Aug. 01, 2025
Dec. 31, 2024
Cover        
Document Type 10-K      
Document Annual Report true      
Document Period End Date Jun. 30, 2025      
Document Transition Report false      
Entity File Number 001-33883      
Entity Registrant Name Stride, Inc.      
Entity Incorporation, State or Country Code DE      
Entity Tax Identification Number 95-4774688      
Entity Address, Address Line One 11720 Plaza America 9th Floor      
Entity Address, City or Town Reston      
Entity Address, State or Province VA      
Entity Address, Postal Zip Code 20190      
City Area Code 703      
Local Phone Number 483-7000      
Title of 12(b) Security Common Stock, $0.0001 par value      
Trading Symbol LRN      
Security Exchange Name NYSE      
Entity Well-known Seasoned Issuer No      
Entity Voluntary Filers No      
Entity Current Reporting Status Yes      
Entity Interactive Data Current Yes      
Entity Filer Category Large Accelerated Filer      
Entity Small Business false      
Entity Emerging Growth Company false      
ICFR Auditor Attestation Flag true      
Document Financial Statement Error Correction [Flag] false      
Entity Shell Company false      
Entity Common Stock, Shares Outstanding     43,626,921  
Entity Public Float       $ 2,930,615,000
Current Fiscal Year End Date --06-30      
Document Fiscal Year Focus 2025      
Document Fiscal Period Focus FY      
Entity Central Index Key 0001157408      
Amendment Flag false      
Auditor Name KPMG LLP BDO USA, P.C.    
Auditor Firm ID 185 243    
Auditor Location McLean, Virginia Potomac, Maryland    
v3.25.2
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Jun. 30, 2025
Jun. 30, 2024
Current assets    
Cash and cash equivalents $ 782,497 $ 500,614
Accounts receivable, net of allowance of $31,124 and $31,298 559,646 472,754
Inventories, net 37,570 36,748
Prepaid expenses 35,579 29,164
Marketable securities 202,769 191,672
Other current assets 14,673 14,494
Total current assets 1,632,734 1,245,446
Operating lease right-of-use assets, net 15,960 54,503
Property and equipment, net 78,582 50,856
Capitalized software, net 75,314 81,952
Capitalized curriculum development costs, net 58,584 53,232
Intangible assets, net 18,227 60,282
Goodwill 246,676 246,676
Deferred tax asset 26,377 7,200
Deposits and other assets 141,505 120,318
Total assets 2,293,959 1,920,465
Current liabilities    
Accounts payable 43,962 40,970
Accrued liabilities 103,276 60,796
Accrued compensation and benefits 74,939 64,878
Deferred revenue 26,995 35,742
Current portion of finance lease liability 42,316 29,146
Current portion of operating lease liability 11,391 12,748
Total current liabilities 302,879 244,280
Long-term finance lease liability 44,567 26,452
Long-term operating lease liability 35,164 45,192
Long-term debt 416,322 414,675
Other long-term liabilities 15,408 13,841
Total liabilities 814,340 744,440
Commitments and contingencies
Stockholders' equity    
Preferred stock, par value $0.0001; 10,000,000 shares authorized; zero shares issued or outstanding
Common stock, par value $0.0001; 100,000,000 shares authorized; 48,852,419 and 48,576,164 shares issued; and 43,517,676 and 43,241,421 shares outstanding, respectively 4 4
Additional paid-in capital 735,711 720,033
Accumulated other comprehensive loss (67) (42)
Retained earnings 846,453 558,512
Treasury stock of 5,334,743 shares at cost (102,482) (102,482)
Total stockholders' equity 1,479,619 1,176,025
Total liabilities and stockholders' equity $ 2,293,959 $ 1,920,465
v3.25.2
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
$ in Thousands
Jun. 30, 2025
Jun. 30, 2024
CONSOLIDATED BALANCE SHEETS    
Accounts receivable, allowance (in dollars) $ 31,124 $ 31,298
Preferred stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Preferred stock, shares authorized 10,000,000 10,000,000
Preferred stock, shares issued 0 0
Preferred stock, shares outstanding 0 0
Common stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Common stock, shares authorized 100,000,000 100,000,000
Common stock, shares issued 48,852,419 48,576,164
Common stock, shares outstanding 43,517,676 43,241,421
Treasury stock, shares 5,334,743 5,334,743
v3.25.2
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
CONSOLIDATED STATEMENTS OF OPERATIONS      
Revenues $ 2,405,317 $ 2,040,069 $ 1,837,358
Instructional costs and services 1,461,398 1,276,466 1,190,288
Gross margin 943,919 763,603 647,070
Selling, general, and administrative expenses 524,347 514,003 481,571
Impairment of long-lived assets 59,478    
Income from operations 360,094 249,600 165,499
Interest expense, net (10,504) (8,812) (8,404)
Other income, net 33,629 26,900 15,452
Income before income taxes and income (loss) from equity method investments 383,219 267,688 172,547
Income tax expense (93,007) (64,482) (45,346)
Income (loss) from equity method investments (2,271) 977 (334)
Net income attributable to common stockholders $ 287,941 $ 204,183 $ 126,867
Net income attributable to common stockholders per share:      
Basic (in dollars per share) $ 6.69 $ 4.79 $ 3
Diluted (in dollars per share) $ 5.95 $ 4.69 $ 2.97
Weighted average shares used in computing per share amounts:      
Basic (in shares) 43,041,274 42,626,588 42,286,392
Diluted (in shares) 48,413,717 43,535,441 42,728,108
v3.25.2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME      
Net income $ 287,941 $ 204,183 $ 126,867
Other comprehensive income (loss), net of tax:      
Foreign currency translation adjustment (25) (7) (178)
Comprehensive income attributable to common stockholders $ 287,916 $ 204,176 $ 126,689
v3.25.2
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)
$ in Thousands
Common Stock
Additional Paid-in Capital
Accumulated Other Comprehensive Income (Loss)
Retained Earnings
Treasury Stock
Total
Balance at Jun. 30, 2022 $ 4 $ 687,454 $ 143 $ 227,462 $ (102,482) $ 812,581
Balance (in shares) at Jun. 30, 2022 48,112,664          
Treasury Stock, Balance (in shares) at Jun. 30, 2022         (5,334,743)  
Increase (Decrease) in Stockholders' Equity            
Net income       126,867   126,867
Foreign currency translation adjustment     (178)     (178)
Stock-based compensation expense   21,419       21,419
Exercise of stock options   20       $ 20
Exercise of stock options (in shares) 1,350         1,350
Vesting of performance share units, net of tax withholding (in shares) 80,004          
Issuance of restricted stock awards (in shares) 595,818          
Forfeiture of restricted stock awards (in shares) (137,134)          
Repurchase of restricted stock for tax withholding   (13,413)       $ (13,413)
Repurchase of restricted stock for tax withholding (in shares) (313,654)          
Balance at Jun. 30, 2023 $ 4 695,480 (35) 354,329 $ (102,482) 947,296
Balance (in shares) at Jun. 30, 2023 48,339,048          
Treasury Stock, Balance (in shares) at Jun. 30, 2023         (5,334,743)  
Increase (Decrease) in Stockholders' Equity            
Net income       204,183   204,183
Foreign currency translation adjustment     (7)     (7)
Stock-based compensation expense   32,810       32,810
Vesting of performance share units, net of tax withholding (in shares) 31,426          
Issuance of restricted stock awards (in shares) 507,443          
Forfeiture of restricted stock awards (in shares) (153,728)          
Repurchase of restricted stock for tax withholding   (8,257)       (8,257)
Repurchase of restricted stock for tax withholding (in shares) (148,025)          
Balance at Jun. 30, 2024 $ 4 720,033 (42) 558,512 $ (102,482) $ 1,176,025
Balance (in shares) at Jun. 30, 2024 48,576,164          
Treasury Stock, Balance (in shares) at Jun. 30, 2024         (5,334,743) 5,334,743
Increase (Decrease) in Stockholders' Equity            
Net income       287,941   $ 287,941
Foreign currency translation adjustment     (25)     (25)
Stock-based compensation expense   37,295       37,295
Vesting of performance share units, net of tax withholding (in shares) 173,804          
Issuance of restricted stock awards (in shares) 317,490          
Forfeiture of restricted stock awards (in shares) (84,389)          
Repurchase of restricted stock for tax withholding   (21,617)       (21,617)
Repurchase of restricted stock for tax withholding (in shares) (130,650)          
Balance at Jun. 30, 2025 $ 4 $ 735,711 $ (67) $ 846,453 $ (102,482) $ 1,479,619
Balance (in shares) at Jun. 30, 2025 48,852,419          
Treasury Stock, Balance (in shares) at Jun. 30, 2025         (5,334,743) 5,334,743
v3.25.2
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Cash flows from operating activities      
Net income $ 287,941 $ 204,183 $ 126,867
Adjustments to reconcile net income to net cash provided by operating activities:      
Depreciation and amortization expense 114,669 109,683 110,358
Stock-based compensation expense 36,794 31,462 20,320
Deferred income taxes (17,783) 2,890 (10,373)
Provision for credit losses 15,267 22,844 9,158
Amortization of fees on debt 1,647 1,640 1,597
Noncash operating lease expense 12,265 14,246 14,728
Impairment of long-lived assets 59,478    
Other (596) 849 (1,966)
Changes in assets and liabilities:      
Accounts receivable (102,188) (32,056) (54,908)
Inventories, prepaid expenses, deposits and other current and long-term assets (6,239) (8,877) (19,389)
Accounts payable 310 (6,844) (11,999)
Accrued liabilities 40,915 (16,556) 24,132
Accrued compensation and benefits 9,913 7,394 (15,473)
Operating lease liability (12,396) (14,990) (12,243)
Deferred revenue and other liabilities (7,181) (37,071) 22,341
Net cash provided by operating activities 432,816 278,797 203,150
Cash flows from investing activities      
Purchase of property and equipment (1,781) (2,270) (4,336)
Capitalized software development costs (36,428) (40,653) (44,973)
Capitalized curriculum development costs (21,801) (18,666) (17,239)
Sale of other investments     60
Acquisition of assets     (1,409)
Other acquisitions, loans and investments, net of distributions (20,682) (5,196) (1,652)
Proceeds from the maturity of marketable securities 252,930 204,487 91,879
Purchases of marketable securities (260,233) (277,573) (140,570)
Net cash used in investing activities (87,995) (139,871) (118,240)
Cash flows from financing activities      
Repayments on finance lease obligations (41,469) (40,919) (42,956)
Payments of contingent consideration     (7,024)
Proceeds from exercise of stock options     20
Repurchase of restricted stock for income tax withholding (21,469) (8,200) (13,541)
Net cash used in financing activities (62,938) (49,119) (63,501)
Net change in cash, cash equivalents and restricted cash 281,883 89,807 21,409
Cash, cash equivalents and restricted cash, beginning of period 500,614 410,807 389,398
Cash, cash equivalents and restricted cash, end of period $ 782,497 $ 500,614 $ 410,807
v3.25.2
Description of the Business
 12 Months Ended
Jun. 30, 2025
Description of the Business  
Description of the Business

1. Description of the Business

Stride, Inc., together with its subsidiaries (“Stride” or the “Company”) is a technology company providing an educational platform to deliver online learning to students throughout the U.S. The brand reflects the Company’s continued growth into lifelong learning, regardless of a student’s age or location. The Company’s platform hosts products and services to attract, enroll, educate, track progress, and support students. These products and services, spanning curriculum, systems, instruction, and support services, are designed to help learners of all ages reach their full potential through inspired teaching and personalized learning. The Company’s clients are primarily public and private schools, school districts, and charter boards. Additionally, it provides solutions to employers, government agencies and consumers. These products and services are provided through two lines of revenue:

​

●General Education products and services are predominantly focused on core subjects, including math, English, science and history, for kindergarten through twelfth grade students to help build a common foundation of knowledge. These programs provide an alternative to traditional school options and address a range of student needs. Products and services are delivered as a comprehensive school-as-a-service offering for schools or as stand-alone products and services. A student enrolled in a school that offers Stride’s General Education program may elect to take career courses, but that student and the associated revenue is reported as a General Education enrollment and General Education revenue.

​

●Career Learning products and services are focused on developing skills to enter and succeed in careers in high-growth, in-demand industries—including information technology, healthcare and general business. The Company provides middle and high school students with Career Learning programs that complement their core general education coursework. Stride offers multiple career pathways through a broad catalog of courses. The middle school program 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 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 facilitate success in today’s digital, tech-enabled economy. A student is reported as a Career Learning enrollment and associated Career Learning revenue only if the student is enrolled in a Career Learning program. Like General Education products and services, the products and services for Career Learning are sold as a comprehensive school-as-a-service offering or as stand-alone products and services. The Company also provides focused post-secondary career learning programs to adult learners, for the software engineering, healthcare, and medical fields. These programs are sold directly to consumers, employers and government agencies.

​
v3.25.2
Basis of Presentation
 12 Months Ended
Jun. 30, 2025
Basis of Presentation  
Basis of Presentation

2. Basis of Presentation

The consolidated financial statements include the accounts of the Company and its subsidiaries. All significant intercompany accounts and transactions have been eliminated.
v3.25.2
Summary of Significant Accounting Policies
 12 Months Ended
Jun. 30, 2025
Summary of Significant Accounting Policies  
Summary of Significant Accounting Policies

3. Summary of Significant Accounting Policies

Recent Accounting Pronouncements

​

Accounting Standards Adopted

​

In November 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-07, Segment Reporting (Topic 280) ("ASU 2023-07"). This update provides, among other things, enhanced segment disclosure requirements including disclosures about significant segment expenses. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. There are aspects of ASU 2023-07 that apply to entities with one reportable segment. The Company adopted this guidance in the

fourth quarter of 2025. The adoption of ASU 2023-07 is reflected in Note 3, “Summary of Significant Accounting Policies - Segment Reporting.”.

​

Accounting Standards Not Yet Adopted

​

In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) (“ASU 2020-04”) which provided relief to companies that would have been impacted by the cessation of reference rate reform, e.g. LIBOR, that was tentatively planned for the end of fiscal year 2023. The ASU permitted an entity to consider contract modifications due to reference rate reform to be an event that did not require contract remeasurement. This ASU was applicable from March 12, 2020 through December 31, 2022 and adoption was permitted at any time during the period on a prospective basis. In December 2022, the FASB issued ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848, which extended the provisions of Topic 848 to December 31, 2024. The Company’s senior secured revolving credit facility included the use of alternate rates when LIBOR was not available. The Company’s senior secured revolving credit facility expired on January 27, 2025 and the Company did not have any contract modifications which required the application of this guidance prior to its expiration.

​

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 is intended to enhance the transparency and decision usefulness of income tax disclosures. The amendments in ASU 2023-09 address investor requests for enhanced income tax information primarily through changes to the rate reconciliation and income taxes paid information. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, and for interim periods for fiscal years beginning after December 15, 2025. The Company will review the extent of new disclosures necessary in the coming quarters, prior to implementation during fiscal year 2026. Other than additional disclosure, we do not expect a change to our consolidated financial statements.

​

In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40) ("ASU 2024-03"). This update provides investors with enhanced detail regarding components of expenses presented in the income statement, aiming to improve transparency and enable precise understanding of a company’s cost structure. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. The Company will review the extent of new disclosures necessary in the coming quarters, prior to implementation during fiscal year 2028.

​

Segment Reporting

Stride, Inc. operates in one operating and reportable business segment as a technology company providing an educational platform to deliver proprietary and third-party curriculum, software systems and educational services designed to facilitate individualized learning for students and adults. The Company’s primary revenue source is derived from educational products and services provided through its General Education and Career Learning lines of revenue.

Operating as a cohesive technology company, the Company offers its products and services across the United States via an integrated online platform, using a centralized management approach for all educational and support functions.

The Chief Executive Officer (“CEO”) serves as the Chief Operating Decision Maker (“CODM”). The CODM evaluates the Company’s performance based on consolidated net income. This measure aligns with Stride’s consolidated financial statements and serves as the basis for resource allocation and performance assessment. The measure of segment assets is reported on the balance sheet as total consolidated assets. The CODM monitors profitability and strategic growth initiatives on a consolidated basis without disaggregating profit or loss into separate operating segments. The Company determined there are no significant segment expenses that require a separate disclosure. The consolidated net income is used to assess overall company performance, benchmark against industry standards, and identify profitability trends, which guides resource allocation and investment in expansion and technology upgrades. The CODM also evaluates company performance using operating income. Operating income provides the CODM with a focused view of the company’s profitability excluding the effects of financing activities, tax strategies, and other non-operating items. This measure

enables the CODM to assess operational efficiency, monitor performance trends, and evaluate the effectiveness of strategies aimed at revenue generation and cost management.

Use of Estimates

The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions affecting the reported amounts of assets and liabilities and contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates and assumptions, including those related to the allowance for credit losses, inventory reserves, amortization periods, the allocation of purchase price to the fair value of net assets and liabilities acquired in business combinations, fair values used in asset impairment evaluations, valuation of long-lived assets, accrual for incurred but not reported (“IBNR”) claims, contingencies, income taxes, fair value of contingent consideration, and stock-based compensation expense. The Company bases its estimates on historical experience and various assumptions that it believes are reasonable under the circumstances. The results of the analysis form the basis for making assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could differ from those estimates.

Revenue Recognition

​

Revenue is recognized when control of the promised goods or services is transferred to the Company’s customers in an amount that reflects the consideration it expects to be entitled to in exchange for those goods or services using the following steps:

​

●identify the contract, or contracts, with a customer;
●identify the performance obligations in the contract;
●determine the transaction price;
●allocate the transaction price to the performance obligations in the contract; and
●recognize revenue when, or as, the Company satisfies a performance obligation.

​

Revenues related to the products and services that the Company provides to students in kindergarten through twelfth grade or adult learners are considered to be General Education or Career Learning based on the school or adult program in which the student is enrolled. General Education products and services are focused on core subjects, including math, English, science and history, for kindergarten through twelfth grade students to help build a common foundation of knowledge. Career Learning products and services are focused on developing skills to enter and succeed in careers in high-growth, in-demand industries—including information technology, healthcare and general business, for students in middle school through high school and adult learners.

​

The majority of the Company’s contracts are with the following types of customers:

​

●a virtual or blended school whereby the amount of revenue is primarily determined by funding the school receives;
●a school or individual who licenses certain curriculum on a subscription or course-by-course basis; or
●an enterprise who contracts with the Company to provide job training.

​

Funding-based Contracts

​

The Company provides an integrated package of systems, services, products, and professional expertise that is administered together to support a virtual or blended public school. Contractual agreements generally span multiple years with performance obligations being isolated to annual periods which generally coincide with the Company’s fiscal year. Customers of these programs can obtain administrative support, information technology, academic support services, online curriculum, learning systems platforms and instructional services under the terms of a negotiated service agreement. The schools receive funding on a per student basis from the state in which the public school or school district is located.

Shipments of materials for schools that occur in the fourth fiscal quarter and the upcoming school year are recorded in deferred revenue.

​

The Company generates revenues under contracts with virtual and blended public schools and includes the following components, where required:

​

●providing each of a school’s students with access to the Company’s online school and lessons;
●offline learning kits, which include books and materials to supplement the online lessons;
●the use of a personal computer and associated reclamation services;
●internet access and technology support services;
●instruction by a state-certified teacher; and
●management and technology services necessary to support a virtual or blended school. In certain contracts, revenues are determined directly by per enrollment funding.

​

To determine the pro rata amount of revenue to recognize in a fiscal quarter, the Company estimates the total expected funds each school will receive in a particular school year. Total funds for a school are primarily a function of the number of students enrolled in the school and established per enrollment funding levels, which are generally published on an annual basis by the state or school district. The Company reviews its estimates of funding periodically, and updates as necessary, by adjusting its year-to-date earned revenues to be proportional to the total expected revenues to be earned during the fiscal year. Actual school funding may vary from these estimates and the impact of these differences could impact the Company’s results of operations. Since the end of the school year coincides with the end of the Company’s fiscal year, annual revenues are generally based on actual school funding and actual costs incurred (including costs for the Company’s services to the schools plus other costs the schools may incur). The Company’s reported results are subject to annual school district financial audits, which incorporate enrollment counts, funding and other routine financial audit considerations. The results of these audits are incorporated into the Company’s monthly funding estimates for the current and prior periods. Historically, aggregate funding estimates have differed from actual reimbursements, generally in the range of 2% of annual revenue or less, which may vary from year to year. For the years ended June 30, 2024, 2023 and 2022, the Company’s aggregate funding estimates differed from actual reimbursements impacting total reported revenue by approximately 1.8%, 2.8%, and 1.6%, respectively.

Each state and/or school district has variations in the school funding formulas and methodologies that it uses to estimate funding for revenue recognition at its respective schools. As the Company estimates funding for each school, it takes into account the state definition for count dates on which reported enrollment numbers will be used for per pupil funding. The parameters the Company considers in estimating funding for revenue recognition purposes include school district count definitions, withdrawal rates, new registrations, average daily attendance, special needs enrollment, academic progress, historical completion, student location, funding caps and other state specified categorical program funding.

Under the contracts where the Company provides products and services to schools, the Company is responsible for substantially all of the expenses incurred by the school and has generally agreed to absorb any operating losses of the schools in a given school year. These school operating losses represent the excess of costs incurred over revenues earned by the virtual or blended public school (the school’s expected funding), as reflected in its respective financial statements, including Company charges to the schools. To the extent a school does not receive sufficient funding for each student enrolled in the school, the school would still incur costs associated with serving the unfunded enrollment. If losses due to unfunded enrollments result in a net operating loss for the year that loss is reflected as a reduction in the revenues and net receivables that the Company collects from the school. A school net operating loss in one year does not necessarily mean the Company anticipates losing money on the entire contract with the school. However, a school’s net operating loss may reduce the Company’s ability to collect its management fees in full and recognized revenues are constrained to reflect the expected cash collections from such schools. The Company records the school’s estimated net operating loss against revenues based upon the percentage of actual revenues in the period to total estimated revenues for the fiscal year. Actual school net operating losses may vary from these estimates or revisions, and the impact of these differences could have a material impact on results of operations. For the years ended June 30, 2025, 2024 and 2023, the Company’s revenues included a reduction for net school operating losses at the schools of $14.5 million, $17.0 million, and $23.8 million, respectively. Because the Company has agreed to absorb any operating losses of the schools, the Company records the

expenses incurred by the school as both revenue and expenses in the consolidated statements of operations. Amounts recorded as revenues and expenses for the years ended June 30, 2025, 2024 and 2023, were $662.6 million, $576.4 million and $503.2 million, respectively.

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Subscription-based Contracts

​

The Company provides certain online curriculum and services to schools and school districts under subscription agreements. Revenues from the licensing of curriculum under subscription arrangements are recognized on a ratable basis over the subscription period. Revenues from professional consulting, training and support services are deferred and recognized ratably over the service period.

​

In addition, the Company contracts with individual customers who have access for one to two years to company-provided online curriculum and generally prepay for services to be received. Adult learners enroll in courses that provide specialized training in a specific industry. Each of these contracts is considered to be one performance obligation. The Company recognizes these revenues pro rata over the maximum term of the customer contract based on the defined contract price.

​

Enterprise Contracts

​

The Company provides job training over a specified contract period to enterprises. Each of these contracts is considered to be one performance obligation. The Company recognizes these revenues based on the number of students trained during the term of the contract based on the defined contract price.

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Disaggregated Revenues

​

The revenue recognition related to the types of contracts discussed above can span both of the Company’s lines of revenue as shown below. For example, a funding-based contract may include both General Education and Career Learning students. In total, there is one performance obligation and revenue is recognized over the Company’s fiscal year. The revenue is then disaggregated between General Education and Career Learning based on the Company’s estimated full-year enrollment totals of each category. During the years ended June 30, 2025, 2024 and 2023, approximately 95%, 93%, and 90%, respectively, of the Company’s General Education revenues, and 100%, 100% and 99%, respectively, of the Company’s Middle – High School Career Learning revenues, were from funding-based contracts.

​

The following table presents the Company’s revenues disaggregated based on its two lines of revenue for the years ended June 30, 2025, 2024 and 2023:

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​

​

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​

​

​

​

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Years Ended June 30, 

​

​

2025

    

2024

    

2023

​

​

(In thousands)

General Education

​

$

1,448,676

​

$

1,289,193

​

$

1,131,391

Career Learning

​

​

​

​

​

​

​

​

​

Middle - High School

​

​

876,287

​

​

651,191

​

​

586,770

Adult

​

​

80,354

​

​

99,685

​

​

119,197

Total Career Learning

​

​

956,641

​

​

750,876

​

​

705,967

Total Revenues

​

$

2,405,317

​

$

2,040,069

​

$

1,837,358

​

Concentration of Customers

​

During each of the years ended June 30, 2025, 2024 and 2023, the Company had no contracts that represented greater than 10% of total revenues.

​

Contract Balances

​

The timing of revenue recognition, invoicing, and cash collection results in accounts receivable, unbilled receivables (a contract asset) and deferred revenue (a contract liability) in the consolidated balance sheets. Accounts receivable are recorded when there is an executed customer contract and the customer is billed. An allowance is recorded to reflect expected losses at the time the receivable is recorded. The collectability of outstanding receivables is evaluated regularly by the Company to determine if additional allowances are needed. Unbilled receivables are created when revenue is earned prior to the customer being billed. Deferred revenue is recorded when customers are billed or cash is collected in advance of services being provided.

​

The opening and closing balance of the Company’s accounts receivable, unbilled receivables and deferred revenue are as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

June 30, 

​

​

2025

    

2024

    

2023

​

​

(In thousands)

Accounts receivable

​

$

559,646

​

$

472,754

​

$

463,722

Unbilled receivables (included in accounts receivable)

​

​

19,902

​

​

19,499

​

​

20,647

Deferred revenue

​

​

26,995

​

​

35,742

​

​

76,159

Deferred revenue, long-term (included in other long-term liabilities)

​

​

327

​

​

1,097

​

​

2,061

​

The difference between the opening and closing balance of the accounts receivable and unbilled receivables relates to the timing of the Company’s billing in relation to month end and contractual agreements. The difference between the opening and closing balance of the deferred revenue relates to the timing difference between billings to customers and the service periods under the contract, as well as changes in the estimates of variable consideration. Typically, each of these balances are at their highest during the first quarter of the fiscal year and lowest at the end of the fiscal year. The amount of revenue recognized during the years ended June 30, 2025, 2024 and 2023, that was included in the previous July 1st deferred revenue balance was $32.0 million, $74.4 million, and $53.1 million, respectively. During the years ended June 30, 2025, 2024 and 2023, the Company recorded revenues of $35.9 million, $51.0 million and $26.8 million, respectively, related to performance obligations satisfied in prior periods.

​

Performance Obligations

​

A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the unit of account. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. For the majority of its contracts, the Company’s performance obligations are satisfied over time, as the Company delivers, and the customer receives the services, over the service period of the contract. The Company’s payment terms are generally net 30 or net 45, but can vary depending on the customer or when the school receives its funding from the state.

​

The Company has elected, as a practical expedient, not to report the value of unsatisfied performance obligations for contracts with customers that have an expected duration of one year or less. The amount of unsatisfied performance obligations for contracts with customers which extend beyond one year as of June 30, 2025 was $0.3 million.

​

Significant Judgments

​

The Company determined that the majority of its contracts with customers contain one performance obligation. The Company markets the products and services as an integrated package building off its curriculum offerings. It does not market distinct products or services to be sold independently from the curriculum offering. The Company provides the significant service of integrating the goods and services into the operation of the school and education of its students, for which the customer has contracted.

​

The Company has determined that the time elapsed method is the most appropriate measure of progress towards the satisfaction of the performance obligation. Generally, the Company delivers the integrated products and services package over the course of the Company’s fiscal year. This package includes enrollment, marketing, teacher training, etc. in addition to the core curriculum and instruction. All of these activities are necessary and contribute to the overall education of its students, which occurs evenly throughout the year. Accordingly, the Company recognizes revenue on a straight-line basis.

​

The Company determined that the expected value method is the most appropriate method to account for variable consideration and the Company’s forecasting method is an estimation process that uses probability to determine expected funding. On a monthly basis, the Company estimates the total funds each school will receive in a particular school year and the amount of full-year school revenues and operating expenses to determine the amount of revenue the Company will recognize. Enrollment and state funding rates are key inputs to this estimate. The estimates are adjusted monthly, and a cumulative catch-up adjustment is recorded to revenue as necessary to reflect the total revenues earned to date to be proportional to the total revenues to be earned in the fiscal year. The Company builds in known constraints (i.e., enrollment, funding, net operating losses, etc.) into the estimate of the variable consideration to record the most probable amount.

​

Sales Taxes

Sales tax collected from customers is excluded from revenues. Collected but unremitted sales tax is included as part of accrued liabilities in the consolidated balance sheets. Revenues do not include sales tax as the Company considers itself a pass-through conduit for collecting and remitting sales tax.

​

Shipping and Handling Costs

Shipping and handling costs are expensed when incurred and are classified as instructional costs and services in the consolidated statements of operations. Shipping and handling charges invoiced to a customer are included in revenues.

Research and Development Costs

All research and development costs, including patent application costs, are expensed as incurred. Research and development costs totaled $16.6 million, $16.7 million and $15.5 million for the years ended June 30, 2025, 2024 and 2023, respectively, and are included within selling, general and administrative expenses in the consolidated statements of operations.

Cash, Cash Equivalents and Restricted Cash

Cash and cash equivalents generally consist of cash on hand and cash held in money market and demand deposit accounts. The Company considers all highly liquid investments with maturities of three months or less when purchased to be cash equivalents. The Company periodically has cash balances which exceed federally insured limits.

Investments in Marketable Securities

The Company’s marketable securities generally consist of bonds and other securities which are classified as held-to-maturity. The securities with maturities between three months and one year are classified as short-term and are included in marketable securities on the consolidated balance sheets. The securities with maturities greater than one year are classified as long-term and are included in deposits and other assets on the consolidated balance sheets. Held-to-maturity securities are recorded at their amortized cost. The Company recorded interest income of $31.6 million, $25.6 million and $13.6 million for the years ended June 30, 2025, 2024 and 2023, respectively. This activity is recorded within other income (expense) within the consolidated statements of operations.

The Company reviews the held-to-maturity debt securities for declines in fair value below the amortized cost basis under the credit loss model of Accounting Standards Codification (“ASC”) Topic 326, Financial Instruments – Credit Losses (“ASC 326”). Any decline in fair value related to a credit loss is recognized in the consolidated statements

of operations, with the amount of the loss limited to the difference between fair value and amortized cost. As of June 30, 2025 and 2024, the allowance for credit losses recognized related to held-to-maturity debt securities was zero.

As of June 30, 2025, the Company’s marketable securities consisted of investments in corporate bonds, U.S. treasury notes and commercial paper. The short-term and long-term portions were $202.8 million and $26.1 million, respectively. The maturities of the Company’s long-term marketable debt securities range from one to two years.

The following table summarizes the amortized cost, net carrying amount, and fair value disaggregated by class of instrument (in thousands).

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Allowance for

​

​

Net Carrying

​

​

Gross Unrealized

​

​

​

​

​

Amortized Cost

​

​

Credit Losses

​

​

Amount

​

​

Gains (Losses)

​

​

Fair Value

Corporate Bonds

$

48,837

​

$

-

​

$

48,837

​

$

97

​

$

48,934

U.S. Treasury Notes

​

35,816

​

​

-

​

​

35,816

​

​

27

​

​

35,843

Commercial Paper

​

144,257

​

​

-

​

​

144,257

​

​

(6)

​

​

144,251

Total

$

228,910

​

$

-

​

$

228,910

​

$

118

​

$

229,028

​

As of June 30, 2024, the Company’s marketable securities consisted of investments in corporate bonds, U.S. treasury notes, and commercial paper. The short-term and long-term portions were $191.7 million and $21.9 million, respectively. The maturities of the Company’s long-term marketable debt securities range from one to two years. The following table summarizes the amortized cost, net carrying amount, and fair value disaggregated by class of instrument (in thousands).

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Allowance for

​

​

Net Carrying

​

​

Gross Unrealized

​

​

​

​

​

Amortized Cost

​

​

Credit Losses

​

​

Amount

​

​

Gains (Losses)

​

​

Fair Value

Corporate Bonds

$

45,752

​

$

-

​

$

45,752

​

$

(95)

​

$

45,657

U.S. Treasury Notes

​

46,760

​

​

-

​

​

46,760

​

​

(71)

​

​

46,689

Commercial Paper

​

121,077

​

​

-

​

​

121,077

​

​

2

​

​

121,079

Total

$

213,589

​

$

-

​

$

213,589

​

$

(164)

​

$

213,425

​

Allowance for Credit Losses

The Company maintains an allowance for credit losses primarily for estimated losses resulting from the inability or failure of individual customers to make required payments. The Company maintains an allowance under ASC 326 based on historical losses, changes in payment history, customer-specific information, current economic conditions, and reasonable and supportable forecasts of future economic conditions. The allowance under ASC 326 is updated as additional losses are incurred or information becomes available related to the customer or economic conditions.

​

The Company’s allowance for credit losses decreased from $31.3 million as of June 30, 2024 to $31.1 million as of June 30, 2025. The decrease of $0.2 million is due primarily to a $15.3 million current year provision, less $15.5 million in amounts written off. The Company’s allowance for credit losses increased from $30.0 million as of June 30, 2023 to $31.3 million as of June 30, 2024. The increase of $1.3 million is due primarily to a $22.8 million current year provision, less $21.6 million in amounts written off.

​

The Company writes-off accounts receivable based on the age of the receivable and the facts and circumstances surrounding the customer and reasons for non-payment. Actual write-offs might differ from the recorded allowance.

Inventories

Inventories consist primarily of textbooks and curriculum materials, a majority of which are supplied to virtual and blended public schools, and utilized directly by students. Inventories represent items that are purchased and held for sale and are recorded at the lower of cost (first-in, first-out method) or net realizable value. The Company classifies its inventory as current or long-term based on the holding period. As of June 30, 2025 and 2024, $13.6 million and $12.5

million, respectively, of inventory, net of reserves, was deemed long-term and included in deposits and other assets on the consolidated balance sheets. The provision for excess and obsolete inventory is established based upon the evaluation of the quantity on hand relative to demand. The excess and obsolete inventory reserve was $6.8 million and $5.9 million at June 30, 2025 and 2024, respectively.

Other Current Assets

Other current assets primarily include textbooks, curriculum materials and other supplies which are expected to be returned upon the completion of the school year. Materials not returned are expensed as part of instructional costs and services.

Capitalized Software-as-a-Service Costs

The Company capitalizes Software-as-a-Service (“SaaS”) license and implementation costs incurred in cloud computing contracts that are service contracts if they meet certain requirements. Those requirements are similar to the requirements for capitalizing costs incurred to develop internal-use software. Capitalization of SaaS costs ceases once the project is substantially complete and the software is ready for its intended purpose. Amortization is computed using the straight-line method over the term of the associated hosting contract, usually between three and five years. The Company classifies its SaaS implementation costs as current or long-term based on the terms of the associated hosting contract. SaaS implementation costs deemed short-term are included in prepaid expenses, and those deemed long-term are included in deposits and other assets, on the consolidated balance sheets. Impairment is recognized when it is no longer probable that the SaaS project will be completed and placed in service.

As of June 30, 2025 and 2024, the Company recorded $17.5 million and $13.3 million, respectively, of costs related to SaaS implementation within prepaid expenses in the consolidated balance sheets. As of June 30, 2025 and 2024, the Company recorded $43.3 million and $44.1 million, respectively, of costs related to SaaS implementation within deposits and other assets in the consolidated balance sheets.

​

During the years ended June 30, 2025, 2024 and 2023, the Company amortized $3.4 million, zero, and zero, respectively of SaaS implementation costs to instructional costs and services. SaaS implementation costs amortized to selling, general and administrative expenses were $16.0 million, $15.8 million, and $9.2 million, during the years ended June 30, 2025, 2024 and 2023, respectively. There were no material impairments of SaaS implementation costs for the years ended June 30, 2025, 2024 and 2023.

​

Property and Equipment

Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization expense is calculated using the straight-line method over the estimated useful life of the asset (or the lesser of the term of the lease and the estimated useful life of the asset under the finance lease). Amortization of assets capitalized under finance lease arrangements is included in depreciation expense. Leasehold improvements are amortized over the lesser of the lease term or the estimated useful life of the asset. The determination of the lease term is discussed below under “Leases.”

Property and equipment are depreciated over the following useful lives:

​

​

​

​

​

    

Useful Life

Computer hardware

​

3 - 7 years

Computer software

​

3 - 5 years

Computers and printers

​

3 years

Web site development

​

3 years

Office equipment

​

5 years

Furniture and fixtures

​

7 years

Leasehold improvements

​

Shorter of useful life or term of the lease

​

The Company makes an estimate of unreturned student computers and printers based on an analysis of recent trends of returns. The Company recorded accelerated depreciation of $4.3 million, $4.0 million and $5.6 million for the years ended June 30, 2025, 2024 and 2023, respectively, related to unreturned student computers and printers.

The Company fully expenses computer peripheral equipment (e.g., keyboards, mouses) upon purchase as recovery has been determined to be uneconomical. These expenses totaled $3.8 million, $4.0 million and $3.1 million for the years ended June 30, 2025, 2024 and 2023, respectively, and are recorded as instructional costs and services.

Capitalized Software Costs

The Company develops software for internal use. Software development costs incurred during the application development stage are capitalized. The Company amortizes these costs over the estimated useful life of the software, which is generally three years. Capitalized software development costs are stated at cost less accumulated amortization.

Capitalized software additions totaled $36.4 million, $40.7 million and $45.0 million for the years ended June 30, 2025, 2024 and 2023, respectively. There were no material write-downs of capitalized software projects for the years ended June 30, 2025, 2024 and 2023.

Capitalized Curriculum Development Costs

The Company internally develops curriculum, which is primarily provided as online content and accessed via the Internet. The Company also creates textbooks and other materials that are complementary to online content.

​

The Company capitalizes curriculum development costs incurred during the application development stage, as well as the design and deployment phases of the project. As a result, a significant portion of the Company’s courseware development costs qualify for capitalization due to the concentration of its development efforts on the content of the courseware. Capitalization ends when a course is available for general release to its customers, at which time amortization of the capitalized costs begins. The period of time over which these development costs are amortized is generally five years.

Total capitalized curriculum development additions were $21.8 million, $18.7 million and $17.2 million for the years ended June 30, 2025, 2024 and 2023, respectively. These amounts are recorded on the consolidated balance sheets, net of amortization charges. There were no material write-downs of capitalized curriculum development costs for the years ended June 30, 2025, 2024 and 2023.

Leases

​

The Company’s principal leasing activities include computers and peripherals, classified as finance leases, and facilities, classified as operating leases.

​

Leases are classified as operating leases unless they meet any of the criteria below to be classified as a finance lease:

●the lease transfers ownership of the asset at the end of the lease;
●the lease grants an option to purchase the asset which the lessee is expected to exercise;
●the lease term reflects a major part of the asset’s economic life;
●the present value of the lease payments equals or exceeds the fair value of the asset; or
●the asset is specialized with no alternative use to the lessor at the end of the term.

​

Finance Leases

​

The Company enters into agreements to finance the purchase of computers and peripherals. Individual leases typically include 3-year payment terms. The Company pledges the assets financed to secure the outstanding leases.

​

Operating Leases

​

The Company enters into agreements for facilities that serve as offices for its headquarters and school operations. Lease terms vary between 1 and 8 years. Certain leases include renewal options, usually based upon current market rates, as well as termination rights. The Company performs an evaluation of each lease to determine if the lease payments included in the renewal option should be included in the initial measurement of the lease liability.

Discount Rate

​

The present value of the lease payments is calculated using either the rate implicit in the lease, or the lessee’s incremental borrowing rate, over the lease term. For the majority of the Company’s finance and operating leases, the stated rate is not defined within the lease terms. Therefore, the Company uses its incremental borrowing rate as the discount rate. The incremental borrowing rate is defined as the rate of interest that a lessee would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment and is calculated using comparative credit ratings.

​

Policy Elections

​

Short-term Leases

​

The Company has elected as an on-going accounting policy election not to record a right-of-use asset or lease liability on its short-term facility leases of 12 months or less, and will expense its lease payments on a straight-line basis over the lease term. The accounting policy election is made by class of underlying asset to which the right of use relates. The Company has elected to apply the accounting policy election only to operating leases.

Goodwill and Intangible Assets

The Company records as goodwill the excess of the purchase price over the fair value of the identifiable net assets acquired. Finite-lived intangible assets acquired in business combinations subject to amortization are recorded at their fair value. Finite-lived intangible assets include trade names, acquired customers and distributors, developed technology and non-compete agreements. Such intangible assets are amortized on a straight-line basis over their estimated useful lives. Amortization expense for the years ended June 30, 2025, 2024 and 2023 was $9.9 million, $12.9 million and $15.2 million, respectively, and is included within selling, general, and administrative expenses in the consolidated statements of operations. Future amortization of intangible assets is expected to be $7.4 million, $5.9 million, $4.1 million, $0.3 million and $0.2 million in the fiscal years ending June 30, 2026 through June 30, 2030, respectively and $0.2 million thereafter.

The Company reviews its finite-lived intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be fully recoverable. If the total of the expected undiscounted future cash flows is less than the carrying amount of the asset, a loss is recognized for the difference between

fair value and the carrying value of the asset. As part of the Company’s review of its long-lived assets for impairment (discussed in more detail in Note 3, “Summary of Significant Accounting Policies – Impairment of Long-Lived Assets”) during the year ended June 30, 2025, the Company recorded an aggregate impairment loss of $32.2 million, of which $32.0 million related to trade names and $0.2 million related to developed technology. The $32.2 million is recorded under impairment of long-lived assets within the consolidated statements of operations.

The Company has one reporting unit. The process for testing goodwill and intangible assets with indefinite lives for impairment is performed annually, as well as when an event triggering impairment may have occurred. Companies are also allowed to qualitatively assess goodwill impairment through a screening process which would permit companies to forgo the quantitative impairment test as part of their annual goodwill impairment process. The Company performs its annual assessment on May 31st, which is then updated for any changes in condition as of June 30th.

​

During the years ended June 30, 2025, 2024 and 2023, there were no events or changes in circumstances that would indicate that the carrying amount of the goodwill was impaired.

​

The following table represents the balance of the Company’s goodwill for the years ended June 30, 2025, 2024 and 2023:

​

​

​

​

​

($ in millions)

    

Amount

Goodwill

​

​

​

Balance as of June 30, 2023

​

$

246.7

​

​

​

​

Balance as of June 30, 2024

​

$

246.7

​

​

​

—

Balance as of June 30, 2025

​

$

246.7

​

The following table represents the balance of the Company’s intangible assets as of June 30, 2025 and 2024:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

June 30, 2025

​

June 30, 2024

($ in millions)

    

Gross
Carrying
Amount

    

Accumulated
 Amortization
and
Impairment

    

Net
Carrying
Value

    

Gross
Carrying
Amount

    

Accumulated
Amortization

    

Net
Carrying
Value

Trade names

    

$

70.6

    

$

(60.4)

    

$

10.2

​

$

70.6

​

$

(23.5)

​

$

47.1

Customer and distributor relationships

​

​

37.1

​

​

(33.7)

​

​

3.4

​

​

37.1

​

​

(31.1)

​

​

6.0

Developed technology

​

​

21.7

​

​

(17.3)

​

​

4.4

​

​

21.7

​

​

(14.8)

​

​

6.9

Other

​

​

1.4

​

​

(1.2)

​

​

0.2

​

​

1.4

​

​

(1.1)

​

​

0.3

Total

​

$

130.8

​

$

(112.6)

​

$

18.2

​

$

130.8

  

$

(70.5)

​

$

60.3

​

Impairment of Long-Lived Assets

Long-lived assets include property, equipment, right-of-use assets, capitalized curriculum and software developed or obtained for internal use. Management reviews the Company’s recorded long-lived assets for impairment annually or whenever events or changes in circumstances indicate that the carrying amount of an asset may not be fully recoverable. The Company determines the extent to which an asset may be impaired based upon its expectation of the asset’s future usability as well as on a reasonable assurance that the future cash flows associated with the asset will be in excess of its carrying amount. If the total of the expected undiscounted future cash flows is less than the carrying amount of the asset, a loss is recognized for the difference between fair value and the carrying value of the asset.

​

During the year ended June 30, 2025, the Company reviewed an asset group unrelated to its core operations, comprised entirely of Galvanize, a wholly-owned subsidiary, for impairment and determined that the carrying value exceeded its fair value. This review was prompted by changes in the expected use of certain long-lived assets as the Company decided to exit specific leased facilities. The fair value of the asset group was determined using a discounted

cash flow methodology based on expected future cash flows. The Company recorded an impairment loss of $59.5 million, which is separately disclosed in the consolidated statements of operations under impairment of long-lived assets and included in income from operations. This loss comprises $32.2 million associated with intangible assets and $27.3 million related to operating lease right-of-use assets.

​

During the years ended June 30, 2024 and 2023, there were no events or changes in circumstances that may indicate that the carrying amount of the long-lived assets may not be recoverable.

Income Taxes

Deferred tax assets and liabilities are computed based on the difference between the financial reporting and income tax bases of assets and liabilities using the enacted marginal tax rate. The net deferred tax asset is reduced by a valuation allowance if, based on the weight of available evidence, it is more likely than not that some portion or all of the net deferred tax asset will not be realized.

Stock-Based Compensation

The Company estimates the fair value of share-based awards on the date of grant. The fair value of restricted stock awards is based on the closing price of the Company’s common stock on the date of grant. Certain restricted stock awards with a market-based performance component are valued using a Monte Carlo simulation model that considers a variety of factors including, but not limited to, the Company’s common stock price, risk-free rate, and expected stock price volatility over the expected life of awards. The Company recognizes forfeitures of share-based awards as they occur in the period of forfeiture.

Advertising and Marketing Costs

Advertising and marketing costs consist primarily of internet advertising and online marketing, and are expensed when incurred. Advertising costs totaled $103.6 million, $96.5 million and $96.8 million for the years ended June 30, 2025, 2024 and 2023, respectively, and are included within selling, general, and administrative expenses in the consolidated statements of operations.

Fair Value Measurements

Fair value is the price that would be received to sell an asset or paid to transfer a liability, in the principal or most advantageous market for the asset or liability, in an orderly transaction between market participants at the measurement date. Measurements are described in a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

​

The three levels of inputs used to measure fair value are:

​

Level 1:   Inputs based on quoted market prices for identical assets or liabilities in active markets at the measurement date;

​

Level 2:   Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data; and

​

Level 3:   Inputs reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. The inputs are unobservable in the market and significant to the instrument’s valuation.

​

The carrying values reflected in the consolidated balance sheets for cash and cash equivalents, receivables, and short-term obligations approximate their fair values, as they are largely short-term in nature. The Tallo, Inc. (“Tallo”) convertible note is discussed in more detail in Note 12, “Acquisitions and Investments.” As of June 30, 2025, the estimated fair value of the long-term debt was $1,146.2 million. The Company estimated the fair value based on the quoted market prices in an inactive market (Level 2). The long-term debt, comprised of the Company’s convertible senior notes due 2027, is recorded at face value less the unamortized debt issuance costs on its consolidated balance sheet, and is discussed in more detail in Note 7, “Debt.” As of June 30, 2025, the estimated fair value of the Company’s held-to-maturity marketable securities was $229.0 million. The Company estimated the fair value based on the quoted market prices in an inactive market (Level 2). The held-to-maturity marketable securities are discussed in more detail in Note 3, “Summary of Significant Accounting Policies - Investments in Marketable Securities.”

​

On November 30, 2020, the Company acquired 100% of MedCerts in exchange for $70.0 million and estimated contingent consideration of $10.8 million. During fiscal year 2021 and 2022, the Company recorded an aggregate expense of $0.5 million to adjust its estimate of the fair value of the contingent consideration to $11.3 million. During the fiscal year ended June 30, 2023, the Company paid $7.0 million to settle the contingent consideration and recorded a gain of $4.3 million. The gain is recorded within selling, general, and administrative expenses on the consolidated statements of operations.

​

There were no assets or liabilities measured at fair value on a recurring basis as of June 30, 2025 and 2024.

​

There was no activity related to the Company’s fair value measurements categorized as Level 3 in the valuation hierarchy, valued on a recurring basis, for the years ended June 30, 2025 and 2024.

The following table presents activity related to the Company’s fair value measurements categorized as Level 3 in the valuation hierarchy, valued on a recurring basis, for the year ended June 30, 2023.

​

​

​

​

​

​

​

​

​

​

​

​

​

 

​

​

Year Ended June 30, 2023

 

​

​

 

​

Purchases,

​

​

 

​

​

​

 

​

Fair Value

​

Issuances,

​

Realized

​

Fair Value

Description

    

June 30, 2022

    

and Settlements

    

Gain

    

June 30, 2023

​

​

(In thousands)

Contingent consideration associated with acquisitions

​

$

11,290

​

$

(7,024)

​

$

(4,266)

​

$

—

Convertible note received in acquisition

​

$

889

​

$

(889)

​

$

—

​

$

—

​

Net Income (Loss) Per Common Share

Basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted-average number of common shares outstanding during the reporting period. The weighted average number of shares of common stock outstanding includes vested restricted stock awards. Diluted net income (loss) per share (“EPS”) reflects the potential dilution that could occur assuming conversion or exercise of all dilutive unexercised stock options and vesting of all dilutive unvested restricted stock awards. The dilutive effect of stock options and restricted stock awards is determined using the treasury stock method. Under the treasury stock method, the proceeds received from the exercise of stock options and restricted stock awards, the amount of compensation cost for future service not yet recognized by the Company and the amount of tax benefits that would be recorded as income tax expense when the stock options become deductible for income tax purposes are all assumed to be used to repurchase shares of the Company’s common stock. Stock options and restricted stock awards are not included in the computation of diluted net income (loss) per share when they are anti-dilutive. Common stock outstanding reflected in the Company’s consolidated balance sheets includes restricted stock awards outstanding. The dilutive effect of the Company’s convertible debt is determined using the if-converted method when the Company’s stock is trading above the conversion price. However, based on the structure of the instrument and how it is settled upon conversion, it would produce a similar result as the previously applied treasury stock method.

The following schedule presents the calculation of basic and diluted net income (loss) per share:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

  

  

​

2025

​

2024

​

2023

​

​

​

​

(In thousands except share and per share data)

Basic net income per share computation:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Net income attributable to common stockholders

​

​

​

$

287,941

​

$

204,183

​

$

126,867

Weighted average common shares  — basic

​

​

​

​

43,041,274

​

​

42,626,588

​

​

42,286,392

Basic net income per share

​

​

​

$

6.69

​

$

4.79

​

$

3.00

​

​

​

​

​

​

​

​

​

​

​

​

Diluted net income per share computation:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Net income attributable to common stockholders

​

​

​

$

287,941

​

$

204,183

​

$

126,867

Share computation:

​

​

​

​

​

​

​

​

​

​

​

Weighted average common shares  — basic

​

​

​

​

43,041,274

​

​

42,626,588

​

​

42,286,392

Effect of dilutive restricted stock and convertible debt

​

​

​

​

5,372,443

​

​

908,853

​

​

441,716

Weighted average common shares  — diluted

​

​

​

​

48,413,717

​

​

43,535,441

​

​

42,728,108

Diluted net income per share

​

​

​

$

5.95

​

$

4.69

​

$

2.97

​

For the years ended June 30, 2025, 2024 and 2023, shares issuable in connection with restricted stock and convertible debt of 2,400,621, 7,658 and 21,854 respectively, were excluded from the diluted income per common share calculation because the effect would have been anti-dilutive. In connection with the issuance of the 1.125% Convertible Senior Notes due 2027 (“Notes”), the Company entered into capped call transactions (the “Capped Call Transactions”) as described further in Note 7, “Debt.” The Capped Call Transactions are intended to reduce the potential dilution to the Company’s common stock upon conversion of the Notes and/or to offset any cash payments the Company may be required to make in excess of the principal amount of the Notes.
v3.25.2
Property and Equipment and Capitalized Software and Curriculum
 12 Months Ended
Jun. 30, 2025
Property and Equipment and Capitalized Software and Curriculum  
Property and Equipment and Capitalized Software and Curriculum

4. Property and Equipment and Capitalized Software and Curriculum

Property and equipment consists of the following at:

​

​

​

​

​

​

​

​

​

​

June 30, 

​

    

2025

    

2024

​

​

(In thousands)

Computers and printers

​

$

173,009

​

$

128,496

Computer software

​

 

6,004

​

 

9,923

Computer hardware

​

 

4,604

​

 

6,698

Leasehold improvements

​

 

10,327

​

 

10,369

State testing computers

​

​

7,151

​

​

4,609

Furniture and fixtures

​

 

3,107

​

 

3,190

Office equipment

​

 

129

​

 

122

​

​

 

204,331

​

 

163,407

Less accumulated depreciation and amortization

​

 

(125,749)

​

 

(112,551)

​

​

$

78,582

​

$

50,856

​

The Company recorded depreciation expense related to property and equipment reflected in selling, general, and administrative expenses of $2.8 million, $3.8 million and $3.6 million during the years ended June 30, 2025, 2024 and 2023, respectively. Depreciation expense of $39.3 million, $32.9 million and $42.3 million related to property and equipment is reflected in instructional costs and services during the years ended June 30, 2025, 2024 and 2023, respectively.

The Company incurs maintenance and repair expenses, which are expensed as incurred, and are generally recorded in selling, general, and administrative expenses.

Capitalized software costs consist of the following at:

​

​

​

​

​

​

​

​

​

​

June 30, 

​

    

2025

    

2024

​

​

(In thousands)

Capitalized software

​

$

323,782

​

$

330,054

Less accumulated depreciation and amortization

​

 

(248,468)

​

 

(248,102)

​

​

$

75,314

​

$

81,952

​

The Company recorded amortization expense of $35.6 million, $34.4 million and $27.0 million related to capitalized software reflected in instructional costs and services and $9.5 million, $7.9 million and $5.6 million reflected in selling, general, and administrative expenses during the years ended June 30, 2025, 2024 and 2023, respectively.

Capitalized curriculum development costs consist of the following at:

​

​

​

​

​

​

​

​

​

​

June 30, 

​

    

2025

    

2024

​

​

(In thousands)

Capitalized curriculum development costs

​

$

187,641

​

$

181,353

Less accumulated depreciation and amortization

​

 

(129,057)

​

 

(128,121)

​

​

$

58,584

​

$

53,232

​

The Company recorded amortization expense of $17.5 million, $17.7 million and $16.7 million related to capitalized curriculum development cost reflected in instructional costs and services during the years ended June 30, 2025, 2024 and 2023, respectively.
v3.25.2
Income Taxes
 12 Months Ended
Jun. 30, 2025
Income Taxes  
Income Taxes

5. Income Taxes

The provision for income taxes is based on earnings reported in the consolidated financial statements. A deferred income tax asset or liability is determined by applying currently enacted tax laws and rates to the expected reversal of the cumulative temporary differences between the carrying value of assets and liabilities for financial statement and income tax purposes. Deferred income tax expense or benefit is measured by the change in the deferred income tax asset or liability during the year.

Deferred tax assets and liabilities result primarily from temporary differences in book versus tax basis accounting. Deferred tax assets and liabilities consist of the following:

​

​

​

​

​

​

​

​

​

​

June 30, 

​

    

2025

    

2024

​

​

(In thousands)

Deferred tax assets

​

​

​

​

​

​

Net operating loss carryforward

​

$

13,888

​

$

15,553

Reserves

​

 

9,154

​

 

9,031

Accrued expenses

​

 

15,441

​

 

13,290

Stock compensation expense

​

 

6,881

​

 

8,162

Other assets

​

 

3,308

​

 

2,180

Convertible debt

​

 

4,059

​

 

5,980

Deferred revenue

​

 

260

​

 

456

Capitalized software and website development costs

​

​

4,680

​

​

—

Lease liability

​

​

11,136

​

​

13,879

Total deferred tax assets

​

 

68,807

​

 

68,531

Deferred tax liabilities

​

​

​

​

​

​

Capitalized curriculum development

​

 

(10,071)

​

 

(9,466)

Capitalized software and website development costs

​

 

—

​

 

(4,340)

Property and equipment

​

 

(11,460)

​

 

(9,401)

Right-of-use assets

​

​

(3,832)

​

​

(13,052)

Returned materials

​

 

(2,722)

​

 

(2,858)

Purchased intangibles

​

​

(6,717)

​

​

(14,827)

Total deferred tax liabilities

​

 

(34,802)

​

 

(53,944)

Net deferred tax asset before valuation allowance

​

 

34,005

​

 

14,587

Valuation allowance

​

 

(7,628)

​

 

(7,387)

Net deferred tax asset

​

$

26,377

​

$

7,200

Reported as:

​

​

​

​

​

​

Long-term deferred tax assets

​

$

26,377

​

$

7,200

​

The Company maintained a valuation allowance on net noncurrent deferred tax assets of $7.6 million and $7.4 million as of June 30, 2025 and 2024, respectively, predominantly related to foreign and state income tax net operating losses ("NOL").

At June 30, 2025, the Company had approximately $26.5 million of available federal NOL carryforwards solely related to the acquisition of Galvanize in January 2020. The available federal NOL carryforwards were generated after 2017 and have an indefinite carryforward period due to the Tax Cuts and Jobs Act (the “Tax Act”). Section 382 of the Internal Revenue Code limits the utilization of NOL carryforwards following a change of control. The Company has performed an analysis of the Section 382 ownership changes and have determined that it will be able to fully utilize its available NOLs subject to the Section 382 limitation.

At June 30, 2025, the Company had tax effected state NOL carryforwards of $0.7 million, net of valuation allowances, and will expire on various dates.

The components of the income before income taxes for the years ended June 30, 2025, 2024 and 2023 were as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

    

2025

    

2024

    

2023

​

​

(In thousands)

Domestic

​

$

374,932

​

$

262,802

​

$

161,270

Foreign

​

 

6,016

​

 

5,863

​

 

10,943

Total income before income taxes

​

$

380,948

​

$

268,665

​

$

172,213

​

The components of the income tax expense (benefit) for the years ended June 30, 2025, 2024 and 2023 were as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

    

2025

    

2024

    

2023

​

​

(In thousands)

Current:

​

​

​

​

​

​

​

​

​

Federal

​

$

91,696

​

$

52,678

​

$

41,360

State

​

 

17,921

​

 

7,660

​

 

12,032

Foreign

​

 

1,173

​

 

1,254

​

 

2,327

Total current

​

 

110,790

​

 

61,592

​

 

55,719

Deferred:

​

​

​

​

​

​

​

​

​

Federal

​

 

(16,047)

​

 

(667)

​

 

(9,033)

State

​

 

(1,736)

​

 

3,557

​

 

(1,340)

Total deferred

​

 

(17,783)

​

 

2,890

​

 

(10,373)

Total income tax expense

​

$

93,007

​

$

64,482

​

$

45,346

​

The provision for income taxes can be reconciled to the income tax that would result from applying the statutory rate to the net income before income taxes as follows:

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

 

​

    

2025

    

2024

    

2023

 

U.S. federal tax at statutory rates

​

21.0

%  

21.0

%  

21.0

%  

Lobbying

 

-

​

0.1

​

0.1

​

Non-deductible compensation

​

2.7

​

0.8

​

1.6

​

State taxes, net of federal benefit

 

3.4

​

3.2

​

4.4

​

Research and development tax credits

 

(1.2)

​

(1.5)

​

(1.4)

​

Change in valuation allowance

 

-

​

-

​

(0.4)

​

Effects of foreign operations

 

-

​

0.1

​

0.9

​

Reserve for unrecognized tax benefits

 

0.4

​

0.5

​

0.9

​

Other

 

(0.2)

​

0.1

​

(0.5)

​

Stock-based compensation

​

(1.7)

​

(0.3)

​

(0.3)

​

Provision for income taxes

 

24.4

%  

24.0

%  

26.3

%  

​

The increase in the effective income tax rate for the year ended June 30, 2025, as compared to the effective tax rate for the year ended June 30, 2024, was primarily due to the increase in non-deductible compensation. As of June 30, 2025 and 2024, the balance of income taxes payable was $52.6 million and $10.7 million, respectively. Income taxes payable is recorded within accrued liabilities on the consolidated balance sheets.

Tax Uncertainties

The Company follows the provisions of ASC 740, Income Taxes (“ASC 740”) which applies to all tax positions related to income taxes. ASC 740 provides a comprehensive model for how a company should recognize, measure, present and disclose in its financial statements uncertain tax positions that the Company has taken or expects to take on a tax return. ASC 740 clarifies accounting for income taxes by prescribing a minimum probability threshold that a tax position must meet before a financial statement benefit is recognized. If the probability for sustaining a tax position is greater than 50%, then the tax position is warranted and recognition should be at the highest amount which would be expected to be realized upon ultimate settlement related to unrecognized tax benefits.

The Company recognizes interest and penalties, if any, related to unrecognized tax benefits in income tax expense. As of June 30, 2025, 2024 and 2023, the Company had $0.5 million, $0.4 million and $0.2 million in accrued interest and penalties, respectively.

The unrecognized tax benefits for the years ended June 30, 2025, 2024 and 2023 were as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

    

2025

    

2024

    

2023

​

​

(In thousands)

Balance at beginning of the year

​

$

4,286

​

$

3,156

​

$

1,729

Additions for prior year tax positions

​

 

486

​

 

591

​

 

568

Additions for current year tax positions

​

 

1,635

​

 

1,205

​

 

1,106

Reductions for prior year tax positions

​

​

(893)

​

​

(666)

​

​

(247)

Balance at end of the year

​

$

5,514

​

$

4,286

​

$

3,156

​

If recognized, all of the $5.5 million balance of unrecognized tax benefits as of June 30, 2025 would affect the effective tax rate. The Company does not anticipate a significant increase or decrease in unrecognized tax benefits in the next twelve months.

The Company remains subject to audit by the Internal Revenue Service for federal tax purposes for tax years after June 30, 2021. Certain state and foreign tax jurisdictions are also either currently under audit or remain open under the statute of limitations for the tax years after June 30, 2019.
v3.25.2
Finance and Operating Leases
 12 Months Ended
Jun. 30, 2025
Finance and Operating Leases  
Finance and Operating Leases

6. Finance and Operating Leases

Finance Leases

The Company is a lessee under finance leases for computers and peripherals under agreements with Banc of America Leasing & Capital, LLC (“BALC”) and CSI Leasing, Inc. (“CSI Leasing”). As of June 30, 2025 and 2024, the finance lease liability was $86.9 million and $55.6 million, respectively, with lease interest rates ranging from 4.42% to 6.72%. As of June 30, 2025 and 2024, the balance of the associated right-of-use assets was $69.5 million and $39.8 million, respectively. The right-of-use asset is recorded within property and equipment, net on the consolidated balance sheets. Lease amortization expense associated with the Company’s finance leases is recorded within instructional costs and services on the consolidated statements of operations.

The Company entered into agreements with BALC and CSI Leasing in April 2020 and August 2022, respectively, to provide financing for its computers and peripherals. Individual leases with BALC include 36-month payment terms, fixed rates ranging from 4.42% to 6.72%, and a $1 purchase option at the end of each lease term. The Company has pledged the assets financed to secure the outstanding leases. Individual leases under the agreement with CSI Leasing include 36-month payment terms, but do not include a stated interest rate. The Company uses its incremental borrowing rate as the implied interest rate and the total lease payments to calculate its lease liability.

​

The following is a summary, as of June 30, 2025 and June 30, 2024, respectively, of the present value of the net minimum lease payments under the Company’s finance leases:

​

​

​

​

​

​

​

​

​

​

June 30, 

​

​

2025

​

2024

​

​

(in thousands)

2025

​

$

—

​

$

31,655

2026

​

​

45,781

​

​

19,880

2027

​

​

33,864

​

​

7,691

2028

​

​

12,095

​

​

82

2029

​

​

297

​

​

—

Total minimum payments

​

​

92,037

​

​

59,308

Less: imputed interest

​

​

(5,154)

​

​

(3,710)

Finance lease liability

​

​

86,883

​

​

55,598

Less: current portion of finance lease liability

​

​

(42,316)

​

​

(29,146)

Long-term finance lease liability

​

$

44,567

​

$

26,452

​

Operating Leases

The Company is a lessee under operating leases for various facilities to support the Company’s operations. As of June 30, 2025 and 2024, the operating lease liability was $46.6 million and $57.9 million, respectively. As of June 30, 2025 and 2024 the balance of the associated right-of-use assets was $16.0 million and $54.5 million, respectively. Lease expense associated with the Company’s operating leases is recorded within both instructional costs and services and selling, general, and administrative expenses on the consolidated statements of operations.

​

Individual operating leases range in terms of 1 to 8 years and expire on various dates through fiscal year 2034 and the minimum lease payments are discounted using the Company’s incremental borrowing rate.

The following is a summary as of June 30, 2025 and June 30, 2024, respectively, of the present value of the minimum lease payments under the Company’s operating leases:

​

​

​

​

​

​

​

​

​

​

June 30, 

​

​

2025

​

2024

​

​

(in thousands)

2025

​

$

—

​

$

14,263

2026

​

​

12,957

​

​

12,361

2027

​

​

8,942

​

​

8,705

2028

​

​

7,957

​

​

7,713

2029

​

​

7,776

​

​

7,599

2030

​

​

7,878

​

​

12,381

Thereafter

​

​

4,748

​

​

—

Total minimum payments

​

​

50,258

​

​

63,022

Less: imputed interest

​

​

(3,703)

​

​

(5,082)

Operating lease liability

​

​

46,555

​

​

57,940

Less: current portion of operating lease liability

​

​

(11,391)

​

​

(12,748)

Long-term operating lease liability

​

$

35,164

​

$

45,192

​

​

The Company is subleasing one of its facilities through December 2025. Sublease income is recorded as an offset to the related lease expense within both instructional costs and services and selling, general, and administrative expenses on the consolidated statements of operations.

The following is a summary of the Company’s lease cost, weighted-average remaining lease term, weighted-average discount rate and certain other cash flows as it relates to its operating and finance leases for the years ended June 30, 2025, 2024 and 2023:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

​

​

2025

​

2024

​

2023

​

​

​

(in thousands)

​

Lease cost

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Finance lease cost:

​

​

​

​

​

​

​

​

​

​

Amortization of right-of-use assets

​

$

37,637

​

$

31,099

​

$

39,312

​

Interest on lease liabilities

​

​

4,280

​

​

2,639

​

​

2,080

​

Instructional costs and services:

​

​

​

​

​

​

​

​

​

​

Operating lease cost

​

​

9,154

​

​

9,605

​

​

12,028

​

Short-term lease cost

​

​

83

​

​

56

​

​

103

​

Sublease income

​

​

(262)

​

​

(328)

​

​

(1,081)

​

Selling, general, and administrative expenses:

​

​

​

​

​

​

​

​

​

​

Operating lease cost

​

​

4,077

​

​

6,019

​

​

4,616

​

Short-term lease cost

​

​

93

​

​

150

​

​

259

​

Sublease income

​

​

(149)

​

​

(491)

​

​

(406)

​

Total lease cost

​

$

54,913

​

$

48,749

​

$

56,911

​

​

​

​

​

​

​

​

​

​

​

​

Other information

​

​

​

​

​

​

​

​

​

​

Cash paid for amounts included in the measurement of lease liabilities

​

​

​

​

​

​

​

​

​

​

Operating cash flows from operating leases

​

$

(12,396)

​

$

(14,990)

​

$

(12,243)

​

Financing cash flows from finance leases

​

​

(41,469)

​

​

(40,919)

​

​

(42,956)

​

Right-of-use assets obtained in exchange for new finance lease liabilities

​

​

68,995

​

​

35,652

​

​

30,514

​

Right-of-use assets obtained in exchange for new operating lease liabilities

​

​

1,012

​

​

864

​

​

1,619

​

Weighted-average remaining lease term - finance leases

​

​

2.07

yrs.

​

2.02

yrs.

​

1.72

yrs.

Weighted-average remaining lease term - operating leases

​

​

5.13

yrs.

​

5.66

yrs.

​

6.10

yrs.

Weighted-average discount rate - finance leases

​

​

5.34

%

​

5.62

%

​

3.86

%

Weighted-average discount rate - operating leases

​

​

2.95

%

​

2.92

%

​

2.81

%

​
v3.25.2
Debt
 12 Months Ended
Jun. 30, 2025
Debt  
Debt

​

7. Debt

The following is a summary, as of June 30, 2025 and June 30, 2024, respectively, of the components of the Company’s outstanding long-term debt:

​

​

​

​

​

​

​

​

​

    

June 30, 

​

    

2025

​

2024

​

​

(in thousands)

Convertible Senior Notes due 2027

​

$

420,000

​

$

420,000

Less: unamortized debt issuance costs

​

​

(3,678)

​

​

(5,325)

Total debt

​

​

416,322

​

​

414,675

Less: current portion of debt

​

​

—

​

​

—

Long-term debt

​

$

416,322

​

$

414,675

​

Future maturities of long-term debt are expected to be $420.0 million in the fiscal year ending June 30, 2028 and zero in each of the fiscal years ending June 30, 2026, 2027, 2029 and 2030.

Convertible Senior Notes due 2027

In August and September 2020, the Company issued $420.0 million aggregate principal amount of Notes. The Notes are governed by an indenture (the “Indenture”) between the Company and U.S. Bank National Association, as trustee. The net proceeds from the offering of the Notes were approximately $408.6 million after deducting the underwriting fees and other expenses paid by the Company.

The Notes bear interest at a rate of 1.125% per annum, payable semi-annually in arrears on March 1st and September 1st of each year, beginning on March 1, 2021. The Notes will mature on September 1, 2027. The Company recorded coupon interest expense of $4.7 million during each of the years ended June 30, 2025 and 2024 and 2023.

The Company incurred debt issuance costs of $11.4 million which are amortized over the contractual term of the Notes. The Company recorded interest expense of $1.6 million related to the amortization of the debt issuance costs during each of the years ended June 30, 2025 and 2024 and 2023.

Before June 1, 2027, noteholders will have the right to convert their Notes only upon the occurrence of certain events. After June 1, 2027, noteholders may convert their Notes at any time at their election until two days prior to the maturity date. The Company will settle conversions by paying cash up to the outstanding principal amount, and at the Company’s election, will settle the conversion spread by paying or delivering cash or shares of its common stock, or a combination of cash and shares of its common stock. The initial conversion rate is 18.9109 shares of common stock per $1,000 principal amount of Notes, which represents an initial conversion price of approximately $52.88 per share of common stock (lower strike price). The Notes will be redeemable at the Company’s option at any time after September 6, 2024 at a cash redemption price equal to the principal amount of the Notes, plus accrued and unpaid interest, subject to certain stock price hurdles as discussed in the Indenture.

In connection with the Notes, the Company entered into privately negotiated Capped Call Transactions with certain counterparties. The Capped Call Transactions are expected to cover the aggregate number of shares of the Company’s common stock that initially underlie the Notes, and are expected to reduce potential dilution to the Company’s common stock upon any conversion of Notes and/or offset any cash payments the Company is required to make in excess of the principal amount of converted Notes. The upper strike price of the Capped Call Transactions is $86.174 per share. The cost of the Capped Call Transactions was $60.4 million and was recorded within additional paid-in capital.
v3.25.2
Credit Facility
 12 Months Ended
Jun. 30, 2025
Credit Facility  
Credit Facility

8. Credit Facility

​

On January 27, 2020, the Company entered into a $100.0 million senior secured revolving credit facility (“Credit Facility”) to be used for general corporate operating purposes with PNC Capital Markets LLC. The Credit Facility had a five-year term and incorporated customary financial and other covenants, including, but not limited to, a maximum leverage ratio and a minimum interest coverage ratio. The majority of the Company’s borrowings under the Credit Facility were at LIBOR plus an additional rate ranging from 0.875% - 1.50% based on the Company’s leverage ratio as defined in the agreement. The Credit Facility was secured by the Company’s assets. The Credit Facility agreement allowed for an amendment to establish a new benchmark interest rate when LIBOR was discontinued during the five-year term. Up through its expiration, the Company was in compliance with the financial covenants. As part of the proceeds received from the Notes, the Company repaid its $100.0 million outstanding balance under the Credit Facility. The Credit Facility also included a $200.0 million accordion feature. The Credit Facility expired on January 27, 2025 and was not renewed.

v3.25.2
Equity Incentive Plan
 12 Months Ended
Jun. 30, 2025
Equity Incentive Plan  
Equity Incentive Plan

9. Equity Incentive Plan

On December 9, 2022, the Company’s stockholders approved an amendment and restatement of the 2016 Equity Incentive Award Plan (the “amended and restated 2016 Plan”). The amended and restated 2016 Plan reflects an increase in the number of shares of common stock available for issuance by 1,045,000 shares, the removal of certain provisions

that were otherwise required for awards to qualify as performance-based compensation under an exception to Section 162(m) of the Internal Revenue Code of 1986, as amended, prior to its repeal, an extension of the term of the amended and restated 2016 Plan to October 7, 2032, an increase to the limit on the number of shares that may be issued upon the exercise of incentive stock options, and a prohibition on the payment of dividends and dividend equivalents on unvested awards.

​

The amended and restated 2016 Plan is designed to attract, retain and motivate employees who make important contributions to the Company by providing such individuals with equity ownership opportunities. Awards granted under the amended and restated 2016 Plan may include stock options, stock appreciation rights, restricted stock, restricted stock units, and other stock-based awards. Under the amended and restated 2016 Plan, unissued shares related to forfeited or cancelled awards granted under the amended and restated 2016 Plan or awards granted under the Company’s 2007 Equity Incentive Award Plan (the “Prior Plan”) (to the extent such awards granted under the Prior Plan were outstanding as of December 15, 2016 and were forfeited or cancelled prior to September 19, 2022), will again be available for issuance under the amended and restated 2016 Plan. Notwithstanding the foregoing, shares tendered to pay the exercise price or tax withholding with respect to a stock option, or shares that are not issued in connection with the settlement of a stock appreciation right on exercise thereof, or shares purchased on the open market with the cash proceeds from the exercise of options will not again be available for issuance under the amended and restated 2016 Plan.

​

At June 30, 2025, the remaining aggregate number of shares of the Company’s common stock authorized for future issuance under the amended and restated 2016 Plan was 1,875,859. At June 30, 2025, there were 1,347,540 shares of the Company’s common stock that remain outstanding or nonvested under the amended and restated 2016 Plan and Prior Plan.

Compensation expense for all equity-based compensation awards is based on the grant-date fair value. The Company recognizes these compensation costs on a straight-line basis over the requisite service period, which is generally the vesting period of the award. The vesting of performance-based awards is contingent on the achievement of certain performance metrics. Compensation expense is recognized retroactively, through a cumulative catch-up adjustment, when the performance conditions are satisfied or when the Company determines that it is probable that the performance conditions will be satisfied. The amount of compensation expense recognized for a performance-based award is affected by the level of achievement attained. Management has established three levels of attainment: threshold, target, and outperform. Stock-based compensation expense is recorded within selling, general, and administrative expenses on the consolidated statements of operations.

Stock Options

Each stock option is exercisable pursuant to the vesting schedule set forth in the stock option agreement granting such stock option, generally over four years. No stock option shall be exercisable after the expiration of its option term. The Company has granted stock options under the Prior Plan and the Company has also granted stock options to executive officers under stand-alone agreements outside the Prior Plan.

​

Stock option activity including stand-alone agreements during the years ended June 30, 2025, 2024 and 2023 was as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

    

​

    

​

​

    

Weighted

    

​

​

 

​

​

​

​

Weighted

​

Average

​

​

​

 

​

​

​

​

Average

​

Remaining

​

Aggregate

 

​

​

​

​

Exercise

​

Contractual

​

Intrinsic

 

​

​

Shares

​

Price

​

Life (Years)

​

Value

 

Outstanding, June 30, 2022

​

1,350

​

$

14.77

​

0.98

​

$

35,127

​

Granted

​

—

​

​

—

​

​

​

​

​

​

Exercised

​

(1,350)

​

​

14.77

​

​

​

​

​

​

Forfeited or canceled

​

—

​

​

—

​

​

​

​

​

​

Outstanding, June 30, 2023

​

—

​

$

—

​

​

​

​

​

​

Granted

​

—

​

​

—

​

​

​

​

​

​

Exercised

​

—

​

​

—

​

​

​

​

​

​

Forfeited or canceled

​

—

​

​

—

​

​

​

​

​

​

Outstanding, June 30, 2024

​

—

​

$

—

​

​

​

​

Granted

​

—

​

​

—

​

​

​

​

​

​

Exercised

​

—

​

​

—

​

​

​

​

​

​

Forfeited or canceled

​

—

​

​

—

​

​

​

​

​

​

Outstanding and exercisable, June 30, 2025

​

—

​

$

—

​

—

​

$

—

​

​

The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value (the difference between the Company’s closing stock price on the last day of the period and the exercise price, multiplied by the number of in-the -money options) that would have been received by the option holders had all option holders exercised their options at the end of each fiscal year. The total intrinsic value of options exercised during each of the years ended June 30, 2025, 2024 and 2023 was zero. As of June 30, 2025, there was no unrecognized compensation expense related to nonvested stock options granted. During each of the years ended June 30, 2025, 2024 and 2023, the Company recognized zero stock-based compensation expense related to stock options.

Restricted Stock Awards

The Company has approved grants of restricted stock awards (“RSA”) pursuant to the amended and restated 2016 Plan and Prior Plan. Under the amended and restated 2016 Plan and Prior Plan, employees, outside directors and independent contractors are able to participate in the Company’s future performance through the awards of restricted stock. Each RSA vests pursuant to the vesting schedule set forth in the restricted stock agreement granting such RSAs, generally over three years.

Restricted stock award activity during the years ended June 30, 2025, 2024 and 2023 was as follows:

​

​

​

​

​

​

​

​

    

​

    

Weighted

​

​

​

​

Average

​

​

​

​

Grant-Date

​

​

Shares

​

Fair Value

Nonvested, June 30, 2022

 

1,131,466

​

$

33.27

Granted

​

595,818

​

​

37.90

Vested

​

(774,917)

​

​

32.50

Canceled

​

(137,134)

​

​

36.08

Nonvested, June 30, 2023

​

815,233

​

$

36.91

Granted

​

507,443

​

​

43.43

Vested

​

(437,724)

​

​

36.36

Canceled

​

(153,728)

​

​

37.37

Nonvested, June 30, 2024

​

731,224

​

$

40.60

Granted

​

317,490

​

​

85.79

Vested

​

(387,471)

​

​

42.79

Canceled

​

(84,389)

​

​

49.39

Nonvested, June 30, 2025

​

576,854

​

$

62.72

​

Performance-Based Restricted Stock Awards (included above)

During the year ended June 30, 2025, no new performance-based restricted stock awards were granted, and none remained nonvested as of June 30, 2025. During the year ended June 30, 2025, zero performance-based restricted stock awards vested. Vesting of the performance-based restricted stock awards is contingent on the achievement of certain financial performance goals and service vesting conditions.

During fiscal year 2020, the Company granted 358,294 performance-based restricted stock awards to the Company’s then CEO with a weighted average grant-date fair value of $27.91 per share. These awards were granted pursuant to the amended and restated 2016 Plan and are subject to the achievement of target free cash flow metrics in each of the fiscal years 2020 through 2022. The metrics are measured at the end of each fiscal year; however if either of the first two tranches are not achieved, the awards may still vest if the free cash flow metric in aggregate is met over the three-year life of the award. In August 2021, the second tranche was achieved at target resulting in the vesting of 119,431 shares. In August 2022, the first and third tranches were achieved at target resulting in the vesting of 238,863 shares.

Service-Based Restricted Stock Awards (included above)

During the year ended June 30, 2025, 317,490 new service-based restricted stock awards were granted, and 576,854 remain nonvested at June 30, 2025. During the year ended June 30, 2025, 387,471 service-based restricted stock awards vested.

Summary of All Restricted Stock Awards

As of June 30, 2025, there was $25.6 million of total unrecognized compensation expense related to nonvested restricted stock awards. The cost is expected to be recognized over a weighted average period of 1.5 years. The fair value of restricted stock awards granted for the years ended June 30, 2025, 2024 and 2023, was $27.2 million, $22.0 million and $22.6 million, respectively. The total fair value of shares vested for the years ended June 30, 2025, 2024 and 2023, was $43.6 million, $23.3 million and $29.6 million, respectively. During the years ended June 30, 2025, 2024 and 2023, the Company recognized $19.8 million, $16.0 million and $15.5 million, respectively, of stock-based compensation expense related to restricted stock awards.

​

Performance Share Units

The Company has approved grants of performance share units (“PSUs”) pursuant to the amended and restated 2016 Plan. Each PSU is earned through the achievement of a performance-based metric, combined with the continuation of employee service over a defined period. The level of performance determines the number of PSUs earned, and is generally measured against threshold, target and outperform achievement levels of the award. Each PSU represents the right to receive one share of the Company’s common stock, or at the option of the Company, an equivalent amount of cash, and is classified as an equity or liability award. When the grant is a fixed monetary amount, and the number of shares is not determined until achievement and the value of the Company’s stock on that day, the PSU is a liability-classified award. Each PSU vests pursuant to the vesting schedule found in the respective PSU agreement.

​

In addition to the performance conditions of the PSUs, there is a service vesting condition which is dependent upon continuing service by the grantee as an employee of the Company, unless the grantee is eligible for earlier vesting upon a change in control and qualifying termination, as defined by the PSU agreement. PSUs are generally subject to graduated vesting schedules and stock-based compensation expense is computed by tranche and recognized on a straight-line basis over the tranches’ applicable vesting period based on the expected achievement level.

​

Performance share unit activity (excluding liability-classified awards) during the years ended June 30, 2025, 2024 and 2023 was as follows:

​

​

​

​

​

​

​

​

​

​

​

Weighted

​

​

​

​

Average

​

​

​

​

Grant-Date

​

    

Shares

    

Fair Value

Nonvested, June 30, 2022

​

355,302

​

$

32.62

Granted

​

366,507

​

​

33.87

Vested

​

(119,467)

​

​

30.48

Canceled

​

(105,473)

​

​

28.22

Nonvested, June 30, 2023

​

496,869

​

$

34.99

Granted

​

375,725

​

​

41.85

Vested

​

(22,468)

​

​

49.62

Canceled

​

(90,595)

​

​

36.94

Nonvested, June 30, 2024

​

759,531

​

$

37.73

Granted

​

299,908

​

​

71.40

Vested

​

(223,241)

​

​

37.44

Canceled

​

(134,291)

​

​

42.60

Nonvested, June 30, 2025

​

701,907

​

$

51.27

​

Fiscal Year 2025 LTIP

​

During the year ended June 30, 2025, the Company granted 210,620 PSUs at target under a Long-Term Incentive Plan (“LTIP”) which are tied to operating income targets and stock price performance. These PSUs had a grant date fair value of $17.0 million, or a weighted average grant-date fair value of $80.89 per share. Seventy-five percent of the earned award is based on operating income performance (“Tranche #1”) and twenty-five percent is based on the performance of the Company’s stock price (“Tranche #2”), both of which will vest after achievement is certified during the first quarter of fiscal year 2028. For Tranche #1, the level of performance will determine the number of PSUs earned as measured against threshold, target and outperform achievement levels. For Tranche #2, the number of PSUs will be earned based on the Company’s compounded annual stock price growth over a completed three-year performance period. In all cases, vesting is dependent upon continuing service by the grantee as an employee of the Company. The fair value of Tranche #2 was determined using a Monte Carlo simulation model and is amortized on a straight-line basis over the vesting period. Tranche #2 is a market-based award, and therefore is not subject to any probability assessment by the Company. The Company is currently amortizing Tranche #1 over the vesting period because it believes that it is probable that the metric

will be achieved at outperform.

​

Fiscal Year 2024 LTIP

​

During fiscal year 2024, the Company granted 354,090 PSUs at target under an LTIP which are tied to operating income targets and stock price performance. These PSUs had a grant date fair value of $14.4 million, or a weighted average grant-date fair value of $40.84 per share. Seventy-five percent of the earned award is based on operating income performance (“Tranche #1”) and twenty-five percent is based on the performance of the Company’s stock price (“Tranche #2”), both of which will vest after achievement is certified during the first quarter of fiscal year 2027. For Tranche #1, the level of performance will determine the number of PSUs earned as measured against threshold, target and outperform achievement levels. For Tranche #2, the number of PSUs will be earned based on the Company’s compounded annual stock price growth over a completed three-year performance period. In all cases, vesting is dependent upon continuing service by the grantee as an employee of the Company. The fair value of Tranche #2 was determined using a Monte Carlo simulation model and is amortized on a straight-line basis over the vesting period. Tranche #2 is a market-based award, and therefore is not subject to any probability assessment by the Company. The Company is currently amortizing Tranche #1 over the vesting period because it believes that it is probable that the metric will be achieved at outperform.

​

Fiscal Year 2023 LTIP

​

During fiscal year 2023, the Company granted 289,640 PSUs at target under an LTIP which are tied to operating income targets and stock price performance. These PSUs had a grant date fair value of $10.0 million, or a weighted average grant-date fair value of $34.41 per share. Fifty percent of the earned award is based on operating income performance (“Tranche #1”) and fifty percent is based on the performance of the Company’s stock price (“Tranche #2”), both of which will vest after achievement is certified during the first quarter of fiscal year 2026. The grant date fair value of Tranche #1 was remeasured in October 2022 as a result of a modification of the terms of the award. Originally, performance was tied to gross margin. The metric was changed to operating income to better align with shareholder feedback and technology industry and peer group common practice. The modification of the performance criteria from gross margin to operating income resulted in a new fair market value as of the modification date of $4.8 million, a decrease of $0.8 million. For Tranche #1, the level of performance will determine the number of PSUs earned as measured against threshold, target and outperform achievement levels. For Tranche #2, the number of PSUs will be earned based on the Company’s compounded annual stock price growth over a completed three-year performance period. In all cases, vesting is dependent upon continuing service by the grantee as an employee of the Company. The fair value of Tranche #2 was determined using a Monte Carlo simulation model and is amortized on a straight-line basis over the vesting period. Tranche #2 is a market-based award, and therefore is not subject to any probability assessment by the Company. The Company is currently amortizing Tranche #1 over the vesting period because it believes that it is probable that the metric will be achieved at outperform.

​

Fiscal Year 2022 LTIP

​

During fiscal year 2022, the Company granted 250,250 PSUs at target under an LTIP which are tied to gross margin targets and stock price performance. These PSUs had a grant date fair value of $9.1 million, or a weighted average grant-date fair value of $36.30 per share. Fifty percent of the earned award is based on gross margin performance (“Tranche #1”) and fifty percent is based on the performance of the Company’s stock price (“Tranche #2”), both of which will vest after achievement is certified during the first quarter of fiscal year 2025. For Tranche #1, the level of performance will determine the number of PSUs earned as measured against threshold, target and outperform achievement levels. For Tranche #2, the number of PSUs will be earned based on the Company’s compounded annual stock price growth over a completed three-year performance period. In all cases, vesting is dependent upon continuing service by the grantee as an employee of the Company. The fair value of Tranche #2 was determined using a Monte Carlo simulation model and is amortized on a straight-line basis over the vesting period. Tranche #2 is a market-based award, and therefore is not subject to any probability assessment by the Company. In July 2024, achievement was certified at 70% of target for Tranche #1, which resulted in the vesting of 62,379 shares. In September 2024, achievement was certified at 175.0% of target for Tranche #2, which resulted in the vesting of 155,946 shares.

​

Fiscal Year 2021 Tech Elevator MIP

​

During fiscal year 2021, the Company granted to the executive team of Tech Elevator a time-based award with a value of $4.0 million and a performance-based award with a target value of $4.0 million under a Management Incentive Plan (“MIP”). The time-based award vests equally over three years on the anniversary of the closing date of the acquisition of Tech Elevator which was November 30, 2020. During the second quarter of fiscal year 2022, one-third vested and was settled with the issuance of 38,575 PSUs. During the second quarter of fiscal year 2023, an additional one-third vested and was settled with the issuance of 37,886 PSUs. During the second quarter of fiscal year 2024, the final third vested and was settled with the issuance of 13,066 PSUs. The performance-based award is tied to the achievement of certain revenue and EBITDA targets of Tech Elevator. Seventy percent of the award is based on Tech Elevator’s revenues for the calendar year 2023 (“Tranche #1”) and thirty percent of the earned award is based on Tech Elevator’s EBITDA for the calendar year 2023 (“Tranche #2”), both of which were expected to vest after achievement in January 2024. The level of performance determined the number of PSUs earned as measured against threshold and target achievement levels. In all cases, vesting was dependent upon continuing service by the grantee as an employee of the Company. The MIP was a liability-classified award. In January 2024, the Company determined that the performance award metrics for calendar year 2023 were not met and Tranches #1 and #2 were forfeited.

​

Fiscal Year 2021 LTIP

​

During fiscal year 2021, the Company granted 111,450 PSUs at target under an LTIP which are tied to the achievement of certain individualized financial and non-financial performance targets. These PSUs had a grant date fair value of $2.7 million, or a weighted average grant-date fair value of $24.15 per share. In December 2022, achievement was certified related to two metrics – one at threshold and one at 123% of target. Forty percent, or 4,533 shares vested immediately and an additional sixty percent, or 6,797 shares vested in December 2023. The remaining shares tied to metrics that were not achieved were forfeited. The fiscal year 2021 LTIP is an equity-classified award.

​

Fiscal Year 2020 Galvanize TRIP

​

During fiscal year 2020, the Company granted to the executive team of Galvanize a target level of $12.3 million under a Transaction Related Incentive Plan (“TRIP”) which is tied to the achievement of certain revenue and EBITDA targets of Galvanize. Seventy percent of the earned award is based on the performance of Galvanize for the calendar year 2021 (“Tranche #1”) and thirty percent of the earned award is based on the performance of Galvanize for the calendar year 2022 (“Tranche #2”), both of which are expected to vest after achievement is certified in January following each of the calendar year ends. The revenue and EBITDA targets are split sixty percent and forty percent, respectively, for both tranches. In all cases, vesting is dependent upon continuing service by the grantee as an employee of the Company. The level of performance will determine the number of PSUs earned as measured against threshold, target and outperform achievement levels. In January 2022, the Company determined that the metrics for calendar year 2021 were not met and Tranche #1 was forfeited. In January 2023, the Company determined that the metrics for calendar year 2022 were not met and Tranche #2 was also forfeited. The TRIP was a liability-classified award.

​

Fiscal Year 2019 LTIP

​

During fiscal year 2019, the Company granted 263,936 PSUs at target under an LTIP which are tied to certain career learning revenue targets and enrollment levels, as well as students’ academic progress. These PSUs had a grant date fair value of $7.9 million, or a weighted average grant-date fair value of $30.05 per share. During fiscal year 2020, the Company granted an additional 34,030 PSUs at target with a grant date fair value of $0.8 million, or $23.51 per share. Forty-five percent of the earned award is based on students’ academic progress (“Tranche #1”) and twenty-five percent of the earned award is based on certain enrollment levels (“Tranche #2”). In October 2021, Tranche #2 achievement was certified at approximately 193% of target resulting in the vesting of 115,223 shares, while Tranche #1 was not achieved resulting in 107,397 forfeited shares. The remaining thirty percent of the earned award is based on certain revenue targets (“Tranche #3”). In August 2022, Tranche #3 achievement was certified at 200% of target resulting in the vesting of 77,048 shares.

​

Summary of All Performance Share Units

​

As of June 30, 2025, there was $27.9 million of total unrecognized compensation expense related to nonvested PSUs that are expected to vest based on the Company’s probability assumptions discussed above. The cost is expected to be recognized over a weighted average period of 1.2 years. During the years ended June 30, 2025, 2024 and 2023 the Company recognized $16.9 million, $15.4 million and $4.9 million, respectively, of stock-based compensation expense related to PSUs. Included in the stock-based compensation expense above, for the years ended June 30, 2025 and 2024 and 2023 is zero, $0.3 million, and $1.0 million, respectively, related to the Tech Elevator time-based portion of the MIP. The time-based portion of the MIP fully vested during the second quarter of fiscal year 2024 and was settled with the issuance of PSUs. Therefore, the amount recorded in accrued liabilities for future issuances is zero.

​

Deferred Stock Units (“DSUs”)

​

The DSUs vest on the grant-date anniversary and are settled in the form of shares of common stock issued to the holder upon separation from the Company. DSUs are specific only to board members.

Deferred stock unit activity during the years ended June 30, 2025, 2024 and 2023 was as follows:

​

​

​

​

​

​

​

​

​

​

​

Weighted

​

​

​

​

Average

​

​

​

​

Grant-Date

​

    

Shares

    

Fair Value

Nonvested, June 30, 2022

​

69,117

​

$

24.27

Granted

​

30,418

​

​

34.43

Vested

​

—

​

​

—

Canceled

​

—

​

​

—

Nonvested, June 30, 2023

​

99,535

​

$

27.38

Granted

​

13,171

​

​

59.43

Vested

​

(16,102)

​

​

22.91

Canceled

​

—

​

​

—

Nonvested, June 30, 2024

​

96,604

​

$

32.49

Granted

​

6,621

​

​

108.92

Vested

​

(34,446)

​

​

27.03

Canceled

​

—

​

​

—

Nonvested, June 30, 2025

​

68,779

​

$

42.58

​

Summary of All Deferred Stock Units

​

As of June 30, 2025, there was $0.3 million of total unrecognized compensation expense related to nonvested DSUs. The cost is expected to be recognized over a weighted average period of 0.4 years. During the years ended June 30, 2025, 2024 and 2023, the Company recognized $0.8 million, $0.9 million and $0.7 million, respectively, of stock-based compensation expense related to DSUs.
v3.25.2
Commitments and Contingencies
 12 Months Ended
Jun. 30, 2025
Commitments and Contingencies  
Commitments and Contingencies

10. Commitments and Contingencies

Litigation

​

In the ordinary conduct of the Company’s business, the Company is subject to lawsuits, arbitrations and administrative proceedings from time to time. The Company vigorously defends these claims; however, no assurances can be given as to the outcome of any pending legal proceedings. The Company believes, based on currently available information, that the outcome of any existing or known threatened proceedings, even if determined adversely, should not have a material adverse effect on its business, financial condition, liquidity or results of operations.

Employment Arrangements

The Company has entered into employment arrangements with certain executive officers that provide for severance payments and, in some cases, other benefits, upon certain terminations of employment. All arrangements provide for employment on an “at-will” basis. If the employee resigns for “good reason” or is terminated without cause, the employee is entitled to salary continuation, and in some cases benefit continuation, for varying periods depending on the arrangement.

Off-Balance Sheet Arrangements

The Company contractually guarantees that certain schools under the Company’s management will not have annual operating deficits and the Company’s management fees from these schools may be reduced accordingly to cover any school operating deficits.

Other than these lease and operating deficit guarantees, the Company did not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on the Company’s financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources.
v3.25.2
Severance
 12 Months Ended
Jun. 30, 2025
Severance  
Severance

11. Severance

​

During the years ended June 30, 2025, 2024 and 2023, the Company recorded severance of $6.6 million, $4.6 million and $3.4 million, respectively. Included in severance expense for the years ended June 30, 2025, 2024 and 2023 is $1.6 million, $0.5 million and $0.5 million, respectively, associated with accelerated vesting of equity awards to former executives and other employees.
v3.25.2
Acquisitions and Investments
 12 Months Ended
Jun. 30, 2025
Acquisitions and Investments.  
Acquisitions and Investments

12. Acquisitions and Investments

Investment in Tallo, Inc. and Acquisition of Assets

​

In August 2018, the Company made an initial investment of $6.7 million for a 39.5% minority interest in Tallo. In August 2020, the Company invested an additional $2.3 million, which increased its minority interest to 46.1%. These investments in preferred stock, which contain additional rights over common stock and have no readily determinable fair value, were recorded at cost and will be adjusted, as necessary, for impairment. In the event Tallo issues equity at a materially different price than what the Company paid, the Company would also assess changing the carrying value. In conjunction with the Company’s initial investment in August 2018, Tallo also issued a convertible note to the Company for $5.0 million that is being accounted for as an available-for-sale debt security and adjusted to fair value quarterly. The note bears interest at the mid-term Applicable Federal Rate plus 25 bps per annum with a maturity of 48 months. The note is convertible at the Company’s option into 3.67 million Series D Preferred Shares that, combined with the shares resulting from the conversion of the accrued interest, would give the Company an effective ownership of 55% if exercised. In October 2021, the Company agreed to loan Tallo up to $3.0 million. This promissory note bears interest at 5% and has a maturity date of five years. The promissory note does not contain any means of conversion into additional ownership by the Company. During the second and third quarters of fiscal year 2022, the Company funded $3.0 million under the promissory note.

​

During fiscal year 2022, the Company adjusted its investment in Tallo preferred stock to fair value and recorded an impairment charge of $4.5 million to other income (expense), net on the consolidated statements of operations. Also, during fiscal year 2022, the Company recorded a credit loss expense of $4.1 million to reduce the carrying amount of the convertible note and $3.0 million to reduce the carrying amount of the promissory note. The credit loss expenses were recorded within selling, general, and administrative expenses on the consolidated statements of operations. Additionally, the Company reversed an aggregate $0.4 million of accrued interest on both instruments and made an accounting policy election to record this within interest income (expense), net on the consolidated statements of operations. During the year ended June 30, 2022, the Company’s investment in Tallo, the convertible note, and promissory note were included in

deposits and other assets on the consolidated balance sheets.

  On July 8, 2022, the Company purchased the assets of Tallo in exchange for $1.0 million, plus $0.4 million in working capital.  As part of the closing of the transaction, the promissory note was cancelled and the convertible note was converted into additional equity. That additional equity and previously held equity interests were cancelled, and combined with the cash, resulted in a purchase price of $7.3 million. The acquisition of Tallo further expands the Company’s ability to match students to internships, jobs, and scholarships with colleges and companies looking for talent. The acquisition has been accounted for as a business combination under the acquisition method of accounting, which results in acquired assets and assumed liabilities being measured at their fair values as of July 8, 2022, the acquisition date. The allocation of the purchase price resulted in goodwill of $5.7 million and intangible assets of $1.3 million, both of which are deductible for income tax purposes. The recognized goodwill is primarily associated with future customer relationships and an acquired assembled work force. The intangible assets primarily consist of customer relationships which will be amortized over 10 years.
v3.25.2
Related Party Transactions
 12 Months Ended
Jun. 30, 2025
Related Party Transactions  
Related Party Transactions

13. Related Party Transactions

The Company contributed to Future of School, a charity focused on access to quality education. Future of School is a related party because a former executive officer of the Company formerly served on its Board of Directors. During the years ended June 30, 2025, 2024 and 2023, contributions made by the Company to Future of School was zero. In fiscal year 2019 and 2021, the Company accrued $2.5 million and $3.5 million, respectively, for contributions to be made in subsequent years. As of June 30, 2025, $2.3 million remains outstanding as related to the fiscal year 2021 accrual.
v3.25.2
Employee Benefits
 12 Months Ended
Jun. 30, 2025
Employee Benefits  
Employee Benefits

14. Employee Benefits

The Company maintains a 401(k) salary deferral plan (the “401(k) Plan”) for its employees. Employees who have been employed for at least 30 days may voluntarily contribute to the 401(k) Plan on a pretax basis, up to the maximum allowed by the Internal Revenue Service. The 401(k) Plan provides for a matching Company contribution of 50%, up to first 5% of each participant’s contribution. The Company expensed $8.5 million, $7.7 million and $7.7 million during the years ended June 30, 2025, 2024 and 2023, respectively, under the 401(k) Plan.
v3.25.2
Supplemental Disclosure of Cash Flow Information
 12 Months Ended
Jun. 30, 2025
Supplemental Disclosure of Cash Flow Information  
Supplemental Disclosure of Cash Flow Information

15. Supplemental Disclosure of Cash Flow Information

​

​

​

​

​

​

​

​

​

​

​

​

​

 

​

Years Ended June 30, 

 

    

2025

    

2024

    

2023

​

​

​

(In thousands)

Cash paid for interest

​

$

9,144

​

$

7,521

​

$

6,946

Cash paid for taxes

​

$

67,901

​

​

85,228

​

$

37,131

​

​

​

​

​

​

​

​

​

​

Supplemental disclosure of non-cash financing activities:

​

​

​

​

​

​

​

​

​

Right-of-use assets obtained from acquisitions

​

$

—

​

$

—

​

$

385

Right-of-use assets obtained in exchange for new finance lease liabilities

​

​

68,995

​

​

35,652

​

​

30,514

​

​

​

​

​

​

​

​

​

​

Supplemental disclosure of non-cash investing activities:

​

​

​

​

​

​

​

​

​

Stock-based compensation expense capitalized on software development

​

$

551

​

$

816

​

$

700

Stock-based compensation expense capitalized on curriculum development

​

​

128

​

​

76

​

​

84

Non-cash purchase price related to business combinations

​

​

—

​

​

—

​

​

5,861

​

​

​

​

​

​

​

​

​

​

Business combinations:

​

​

​

​

​

​

​

​

​

Acquired assets

​

$

—

​

$

—

​

$

1,132

Intangible assets

​

​

—

​

​

—

​

​

1,309

Goodwill

​

​

—

​

​

—

​

​

5,655

Assumed liabilities

​

​

—

​

​

—

​

​

(385)

Deferred revenue

​

​

—

​

​

—

​

​

(441)

​
v3.25.2
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS
 12 Months Ended
Jun. 30, 2025
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS  
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS

SCHEDULE II

STRIDE, INC.

VALUATION AND QUALIFYING ACCOUNTS

Years Ending June 30, 2025, 2024 and 2023

1.     ALLOWANCE FOR CREDIT LOSSES

​

​

​

​

​

​

​

​

​

​

​

​

    

​

​

    

Additions

    

​

    

​

​

​

​

Balance at

​

Charged to

​

Deductions from

​

​

​

​

​

Beginning

​

Cost and

​

(Net Increases to)

​

Balance at

​

​

of Period

​

Expenses

​

Allowance

​

End of Period

June 30, 2025

​

$

31,297,967

 

15,266,692

 

15,440,904

​

$

31,123,755

June 30, 2024

​

$

30,031,273

 

22,843,961

 

21,577,267

​

$

31,297,967

June 30, 2023

​

$

26,993,037

 

8,047,729

 

5,009,493

​

$

30,031,273

2.     INVENTORY RESERVES

​

​

​

​

​

​

​

​

​

​

​

​

    

Balance at

    

Charged to

    

Deductions,

    

​

​

​

​

Beginning

​

Cost and

​

Shrinkage and

​

Balance at

​

​

of Period

​

Expenses

​

Obsolescence

​

End of Period

June 30, 2025

​

$

5,921,239

 

942,397

 

30,732

​

$

6,832,904

June 30, 2024

​

$

4,145,280

 

1,778,825

 

2,867

​

$

5,921,239

June 30, 2023

​

$

6,457,046

 

2,392,785

 

4,704,551

​

$

4,145,280

3.     COMPUTER RESERVE (1)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Additions

​

​

​

​

​

​

​

Balance at

​

Charged to

​

Deductions,

​

​

​

​

​

Beginning

​

Cost and

​

Shrinkage and

​

Balance at

​

​

of Period

​

Expenses

​

Obsolescence

​

End of Period

June 30, 2025

​

$

1,786,225

 

2,499,889

 

1,011,682

​

$

3,274,432

June 30, 2024

​

$

1,345,832

 

1,129,323

 

688,930

​

$

1,786,225

June 30, 2023

​

$

2,039,771

 

332,197

 

1,026,136

​

$

1,345,832

(1)A reserve account is maintained against potential obsolescence of, and damage beyond economic repair to computers. The reserve is calculated based upon several factors including historical percentages, the net book value and the remaining useful life. During fiscal years 2025, 2024 and 2023, certain computers were written off against the reserve.

4.     INCOME TAX VALUATION ALLOWANCE

​

​

​

​

​

​

​

​

​

​

​

​

    

​

​

    

Additions to

    

Deductions in

    

​

​

​

​

Balance at

​

Net Deferred

​

Net Deferred

​

​

​

​

​

Beginning

​

Tax Asset

​

Tax Asset

​

Balance at

​

​

of Period

​

Allowance

​

Allowance

​

End of Period

June 30, 2025

​

$

7,387,179

 

240,463

 

—

​

$

7,627,642

June 30, 2024

​

$

6,790,724

 

596,455

 

—

​

$

7,387,179

June 30, 2023

​

$

6,677,352

 

113,372

 

—

​

$

6,790,724

​
v3.25.2
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Pay vs Performance Disclosure      
Net Income (Loss) $ 287,941 $ 204,183 $ 126,867
v3.25.2
Insider Trading Arrangements
 3 Months Ended
Jun. 30, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.2
Insider Trading Policies and Procedures
 12 Months Ended
Jun. 30, 2025
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.2
Cybersecurity Risk Management and Strategy Disclosure
 12 Months Ended
Jun. 30, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]

Cybersecurity Risk Management and Strategy

​

We have developed and implemented a cybersecurity risk management program intended to protect the confidentiality, integrity, and availability of our critical systems and information.

​

Our cybersecurity risk management program is guided by the National Institute of Standards and Technology Cybersecurity Framework (NIST CSF) and the National Institute of Standards and Technology Special Publication (SP) 800-53. This does not imply that we meet any particular technical standards, specifications, or requirements, only that we use the NIST CSF and SP 800-53 as a framework to help us identify, assess, and manage cybersecurity risks relevant to our business.

​

Our cybersecurity risk management program is integrated into our overall enterprise risk management program, and shares common methodologies, reporting channels and governance processes that apply across the enterprise risk management program to other legal, compliance, strategic, operational, and financial risk areas.

​

Key elements of our cybersecurity risk management program include:

​

●risk assessments designed to help identify material cybersecurity risks to our critical systems, information, products, services, and our broader enterprise IT environment;

​

●a security team principally responsible for managing (1) our cybersecurity risk assessment processes, (2) our security controls, and (3) our response to cybersecurity incidents;

​

●the use of external service providers, where appropriate, to assess, test or otherwise assist with aspects of our security controls;

​

●cybersecurity awareness training of our employees, including incident response personnel, and senior management;

​

●a cybersecurity incident response plan that includes procedures for responding to cybersecurity incidents; and

​

●a third-party risk management process for key service providers, suppliers, and vendors based on our assessment of their criticality to our operations and respective risk profile.

​

We have not identified risks from known cybersecurity threats, including as a result of any prior cybersecurity incidents, that have materially affected us, including our operations, business strategy, results of operations, or financial condition. We face certain ongoing risks from cybersecurity threats that, if realized, are reasonably likely to materially affect us, including our operations, business strategy, results of operations, or financial condition.  See “Risk Factors – We operate in markets that are dependent on Information Technology (IT) systems and technological change. Failure to maintain and support customer-facing services, systems, and platforms, including addressing quality issues and execution on time of new products and enhancements, could negatively impact our revenues and reputation” and “Risk Factors – The failure to prevent a cybersecurity incident affecting our systems could result in the disruption of our services and the disclosure or misappropriation of sensitive information, which could harm our reputation, decrease demand for our services and products, expose us to liability, penalties, and remedial costs, or otherwise adversely affect our financial performance”.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block]

Our cybersecurity risk management program is integrated into our overall enterprise risk management program, and shares common methodologies, reporting channels and governance processes that apply across the enterprise risk management program to other legal, compliance, strategic, operational, and financial risk areas.

​

Key elements of our cybersecurity risk management program include:

​

●risk assessments designed to help identify material cybersecurity risks to our critical systems, information, products, services, and our broader enterprise IT environment;

​

●a security team principally responsible for managing (1) our cybersecurity risk assessment processes, (2) our security controls, and (3) our response to cybersecurity incidents;

​

●the use of external service providers, where appropriate, to assess, test or otherwise assist with aspects of our security controls;

​

●cybersecurity awareness training of our employees, including incident response personnel, and senior management;

​

●a cybersecurity incident response plan that includes procedures for responding to cybersecurity incidents; and

​

●a third-party risk management process for key service providers, suppliers, and vendors based on our assessment of their criticality to our operations and respective risk profile.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block]

Our Board considers cybersecurity risk as part of its risk oversight function and has delegated to its Audit Committee (the “Committee”) oversight of cybersecurity and other information technology risks, including oversight of management’s implementation of our cybersecurity risk management program.

​

The Committee receives regular reports from management on our cybersecurity risks. In addition, management updates the Committee on any incidents it considers to be significant or potentially significant.

​
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] Audit Committee
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block]

The Committee receives regular reports from management on our cybersecurity risks. In addition, management updates the Committee on any incidents it considers to be significant or potentially significant.

​
Cybersecurity Risk Role of Management [Text Block]

​

Our management team, including our Chief Information Security Officer (CISO), is responsible for assessing and managing our material risks from cybersecurity threats. The team has primary responsibility for our overall cybersecurity risk management program and supervises both our internal cybersecurity personnel and our retained external cybersecurity consultants. Our CISO has more than 20 years of experience managing the security and compliance organization for global companies, providing online and cloud-based services to more than a majority of the Fortune 500 and the United States Government.

​

Our management team takes steps to stay informed about and monitor efforts to prevent, detect, mitigate, and remediate cybersecurity risks and incidents through various means, which may include briefings from internal security personnel; threat intelligence and other information obtained from governmental, public or private sources, including external consultants engaged by us; and alerts and reports produced by security tools deployed in our IT environment.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] Our management team, including our Chief Information Security Officer (CISO)
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] Our CISO has more than 20 years of experience managing the security and compliance organization for global companies, providing online and cloud-based services to more than a majority of the Fortune 500 and the United States Government.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]

​

Our management team takes steps to stay informed about and monitor efforts to prevent, detect, mitigate, and remediate cybersecurity risks and incidents through various means, which may include briefings from internal security personnel; threat intelligence and other information obtained from governmental, public or private sources, including external consultants engaged by us; and alerts and reports produced by security tools deployed in our IT environment.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.2
Summary of Significant Accounting Policies (Policies)
 12 Months Ended
Jun. 30, 2025
Summary of Significant Accounting Policies  
Recent Accounting Pronouncements

Accounting Standards Adopted

​

In November 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-07, Segment Reporting (Topic 280) ("ASU 2023-07"). This update provides, among other things, enhanced segment disclosure requirements including disclosures about significant segment expenses. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. There are aspects of ASU 2023-07 that apply to entities with one reportable segment. The Company adopted this guidance in the

fourth quarter of 2025. The adoption of ASU 2023-07 is reflected in Note 3, “Summary of Significant Accounting Policies - Segment Reporting.”.

​

Accounting Standards Not Yet Adopted

​

In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) (“ASU 2020-04”) which provided relief to companies that would have been impacted by the cessation of reference rate reform, e.g. LIBOR, that was tentatively planned for the end of fiscal year 2023. The ASU permitted an entity to consider contract modifications due to reference rate reform to be an event that did not require contract remeasurement. This ASU was applicable from March 12, 2020 through December 31, 2022 and adoption was permitted at any time during the period on a prospective basis. In December 2022, the FASB issued ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848, which extended the provisions of Topic 848 to December 31, 2024. The Company’s senior secured revolving credit facility included the use of alternate rates when LIBOR was not available. The Company’s senior secured revolving credit facility expired on January 27, 2025 and the Company did not have any contract modifications which required the application of this guidance prior to its expiration.

​

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 is intended to enhance the transparency and decision usefulness of income tax disclosures. The amendments in ASU 2023-09 address investor requests for enhanced income tax information primarily through changes to the rate reconciliation and income taxes paid information. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, and for interim periods for fiscal years beginning after December 15, 2025. The Company will review the extent of new disclosures necessary in the coming quarters, prior to implementation during fiscal year 2026. Other than additional disclosure, we do not expect a change to our consolidated financial statements.

​

In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40) ("ASU 2024-03"). This update provides investors with enhanced detail regarding components of expenses presented in the income statement, aiming to improve transparency and enable precise understanding of a company’s cost structure. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. The Company will review the extent of new disclosures necessary in the coming quarters, prior to implementation during fiscal year 2028.
Segment Reporting

Segment Reporting

Stride, Inc. operates in one operating and reportable business segment as a technology company providing an educational platform to deliver proprietary and third-party curriculum, software systems and educational services designed to facilitate individualized learning for students and adults. The Company’s primary revenue source is derived from educational products and services provided through its General Education and Career Learning lines of revenue.

Operating as a cohesive technology company, the Company offers its products and services across the United States via an integrated online platform, using a centralized management approach for all educational and support functions.

The Chief Executive Officer (“CEO”) serves as the Chief Operating Decision Maker (“CODM”). The CODM evaluates the Company’s performance based on consolidated net income. This measure aligns with Stride’s consolidated financial statements and serves as the basis for resource allocation and performance assessment. The measure of segment assets is reported on the balance sheet as total consolidated assets. The CODM monitors profitability and strategic growth initiatives on a consolidated basis without disaggregating profit or loss into separate operating segments. The Company determined there are no significant segment expenses that require a separate disclosure. The consolidated net income is used to assess overall company performance, benchmark against industry standards, and identify profitability trends, which guides resource allocation and investment in expansion and technology upgrades. The CODM also evaluates company performance using operating income. Operating income provides the CODM with a focused view of the company’s profitability excluding the effects of financing activities, tax strategies, and other non-operating items. This measure

enables the CODM to assess operational efficiency, monitor performance trends, and evaluate the effectiveness of strategies aimed at revenue generation and cost management.
Use of Estimates

Use of Estimates

The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions affecting the reported amounts of assets and liabilities and contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, the Company evaluates its estimates and assumptions, including those related to the allowance for credit losses, inventory reserves, amortization periods, the allocation of purchase price to the fair value of net assets and liabilities acquired in business combinations, fair values used in asset impairment evaluations, valuation of long-lived assets, accrual for incurred but not reported (“IBNR”) claims, contingencies, income taxes, fair value of contingent consideration, and stock-based compensation expense. The Company bases its estimates on historical experience and various assumptions that it believes are reasonable under the circumstances. The results of the analysis form the basis for making assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results could differ from those estimates.
Revenue Recognition

Revenue Recognition

​

Revenue is recognized when control of the promised goods or services is transferred to the Company’s customers in an amount that reflects the consideration it expects to be entitled to in exchange for those goods or services using the following steps:

​

●identify the contract, or contracts, with a customer;
●identify the performance obligations in the contract;
●determine the transaction price;
●allocate the transaction price to the performance obligations in the contract; and
●recognize revenue when, or as, the Company satisfies a performance obligation.

​

Revenues related to the products and services that the Company provides to students in kindergarten through twelfth grade or adult learners are considered to be General Education or Career Learning based on the school or adult program in which the student is enrolled. General Education products and services are focused on core subjects, including math, English, science and history, for kindergarten through twelfth grade students to help build a common foundation of knowledge. Career Learning products and services are focused on developing skills to enter and succeed in careers in high-growth, in-demand industries—including information technology, healthcare and general business, for students in middle school through high school and adult learners.

​

The majority of the Company’s contracts are with the following types of customers:

​

●a virtual or blended school whereby the amount of revenue is primarily determined by funding the school receives;
●a school or individual who licenses certain curriculum on a subscription or course-by-course basis; or
●an enterprise who contracts with the Company to provide job training.

​

Funding-based Contracts

​

The Company provides an integrated package of systems, services, products, and professional expertise that is administered together to support a virtual or blended public school. Contractual agreements generally span multiple years with performance obligations being isolated to annual periods which generally coincide with the Company’s fiscal year. Customers of these programs can obtain administrative support, information technology, academic support services, online curriculum, learning systems platforms and instructional services under the terms of a negotiated service agreement. The schools receive funding on a per student basis from the state in which the public school or school district is located.

Shipments of materials for schools that occur in the fourth fiscal quarter and the upcoming school year are recorded in deferred revenue.

​

The Company generates revenues under contracts with virtual and blended public schools and includes the following components, where required:

​

●providing each of a school’s students with access to the Company’s online school and lessons;
●offline learning kits, which include books and materials to supplement the online lessons;
●the use of a personal computer and associated reclamation services;
●internet access and technology support services;
●instruction by a state-certified teacher; and
●management and technology services necessary to support a virtual or blended school. In certain contracts, revenues are determined directly by per enrollment funding.

​

To determine the pro rata amount of revenue to recognize in a fiscal quarter, the Company estimates the total expected funds each school will receive in a particular school year. Total funds for a school are primarily a function of the number of students enrolled in the school and established per enrollment funding levels, which are generally published on an annual basis by the state or school district. The Company reviews its estimates of funding periodically, and updates as necessary, by adjusting its year-to-date earned revenues to be proportional to the total expected revenues to be earned during the fiscal year. Actual school funding may vary from these estimates and the impact of these differences could impact the Company’s results of operations. Since the end of the school year coincides with the end of the Company’s fiscal year, annual revenues are generally based on actual school funding and actual costs incurred (including costs for the Company’s services to the schools plus other costs the schools may incur). The Company’s reported results are subject to annual school district financial audits, which incorporate enrollment counts, funding and other routine financial audit considerations. The results of these audits are incorporated into the Company’s monthly funding estimates for the current and prior periods. Historically, aggregate funding estimates have differed from actual reimbursements, generally in the range of 2% of annual revenue or less, which may vary from year to year. For the years ended June 30, 2024, 2023 and 2022, the Company’s aggregate funding estimates differed from actual reimbursements impacting total reported revenue by approximately 1.8%, 2.8%, and 1.6%, respectively.

Each state and/or school district has variations in the school funding formulas and methodologies that it uses to estimate funding for revenue recognition at its respective schools. As the Company estimates funding for each school, it takes into account the state definition for count dates on which reported enrollment numbers will be used for per pupil funding. The parameters the Company considers in estimating funding for revenue recognition purposes include school district count definitions, withdrawal rates, new registrations, average daily attendance, special needs enrollment, academic progress, historical completion, student location, funding caps and other state specified categorical program funding.

Under the contracts where the Company provides products and services to schools, the Company is responsible for substantially all of the expenses incurred by the school and has generally agreed to absorb any operating losses of the schools in a given school year. These school operating losses represent the excess of costs incurred over revenues earned by the virtual or blended public school (the school’s expected funding), as reflected in its respective financial statements, including Company charges to the schools. To the extent a school does not receive sufficient funding for each student enrolled in the school, the school would still incur costs associated with serving the unfunded enrollment. If losses due to unfunded enrollments result in a net operating loss for the year that loss is reflected as a reduction in the revenues and net receivables that the Company collects from the school. A school net operating loss in one year does not necessarily mean the Company anticipates losing money on the entire contract with the school. However, a school’s net operating loss may reduce the Company’s ability to collect its management fees in full and recognized revenues are constrained to reflect the expected cash collections from such schools. The Company records the school’s estimated net operating loss against revenues based upon the percentage of actual revenues in the period to total estimated revenues for the fiscal year. Actual school net operating losses may vary from these estimates or revisions, and the impact of these differences could have a material impact on results of operations. For the years ended June 30, 2025, 2024 and 2023, the Company’s revenues included a reduction for net school operating losses at the schools of $14.5 million, $17.0 million, and $23.8 million, respectively. Because the Company has agreed to absorb any operating losses of the schools, the Company records the

expenses incurred by the school as both revenue and expenses in the consolidated statements of operations. Amounts recorded as revenues and expenses for the years ended June 30, 2025, 2024 and 2023, were $662.6 million, $576.4 million and $503.2 million, respectively.

​

Subscription-based Contracts

​

The Company provides certain online curriculum and services to schools and school districts under subscription agreements. Revenues from the licensing of curriculum under subscription arrangements are recognized on a ratable basis over the subscription period. Revenues from professional consulting, training and support services are deferred and recognized ratably over the service period.

​

In addition, the Company contracts with individual customers who have access for one to two years to company-provided online curriculum and generally prepay for services to be received. Adult learners enroll in courses that provide specialized training in a specific industry. Each of these contracts is considered to be one performance obligation. The Company recognizes these revenues pro rata over the maximum term of the customer contract based on the defined contract price.

​

Enterprise Contracts

​

The Company provides job training over a specified contract period to enterprises. Each of these contracts is considered to be one performance obligation. The Company recognizes these revenues based on the number of students trained during the term of the contract based on the defined contract price.

​

Disaggregated Revenues

​

The revenue recognition related to the types of contracts discussed above can span both of the Company’s lines of revenue as shown below. For example, a funding-based contract may include both General Education and Career Learning students. In total, there is one performance obligation and revenue is recognized over the Company’s fiscal year. The revenue is then disaggregated between General Education and Career Learning based on the Company’s estimated full-year enrollment totals of each category. During the years ended June 30, 2025, 2024 and 2023, approximately 95%, 93%, and 90%, respectively, of the Company’s General Education revenues, and 100%, 100% and 99%, respectively, of the Company’s Middle – High School Career Learning revenues, were from funding-based contracts.

​

The following table presents the Company’s revenues disaggregated based on its two lines of revenue for the years ended June 30, 2025, 2024 and 2023:

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

​

2025

    

2024

    

2023

​

​

(In thousands)

General Education

​

$

1,448,676

​

$

1,289,193

​

$

1,131,391

Career Learning

​

​

​

​

​

​

​

​

​

Middle - High School

​

​

876,287

​

​

651,191

​

​

586,770

Adult

​

​

80,354

​

​

99,685

​

​

119,197

Total Career Learning

​

​

956,641

​

​

750,876

​

​

705,967

Total Revenues

​

$

2,405,317

​

$

2,040,069

​

$

1,837,358

​

Concentration of Customers

​

During each of the years ended June 30, 2025, 2024 and 2023, the Company had no contracts that represented greater than 10% of total revenues.

​

Contract Balances

​

The timing of revenue recognition, invoicing, and cash collection results in accounts receivable, unbilled receivables (a contract asset) and deferred revenue (a contract liability) in the consolidated balance sheets. Accounts receivable are recorded when there is an executed customer contract and the customer is billed. An allowance is recorded to reflect expected losses at the time the receivable is recorded. The collectability of outstanding receivables is evaluated regularly by the Company to determine if additional allowances are needed. Unbilled receivables are created when revenue is earned prior to the customer being billed. Deferred revenue is recorded when customers are billed or cash is collected in advance of services being provided.

​

The opening and closing balance of the Company’s accounts receivable, unbilled receivables and deferred revenue are as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

June 30, 

​

​

2025

    

2024

    

2023

​

​

(In thousands)

Accounts receivable

​

$

559,646

​

$

472,754

​

$

463,722

Unbilled receivables (included in accounts receivable)

​

​

19,902

​

​

19,499

​

​

20,647

Deferred revenue

​

​

26,995

​

​

35,742

​

​

76,159

Deferred revenue, long-term (included in other long-term liabilities)

​

​

327

​

​

1,097

​

​

2,061

​

The difference between the opening and closing balance of the accounts receivable and unbilled receivables relates to the timing of the Company’s billing in relation to month end and contractual agreements. The difference between the opening and closing balance of the deferred revenue relates to the timing difference between billings to customers and the service periods under the contract, as well as changes in the estimates of variable consideration. Typically, each of these balances are at their highest during the first quarter of the fiscal year and lowest at the end of the fiscal year. The amount of revenue recognized during the years ended June 30, 2025, 2024 and 2023, that was included in the previous July 1st deferred revenue balance was $32.0 million, $74.4 million, and $53.1 million, respectively. During the years ended June 30, 2025, 2024 and 2023, the Company recorded revenues of $35.9 million, $51.0 million and $26.8 million, respectively, related to performance obligations satisfied in prior periods.

​

Performance Obligations

​

A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the unit of account. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. For the majority of its contracts, the Company’s performance obligations are satisfied over time, as the Company delivers, and the customer receives the services, over the service period of the contract. The Company’s payment terms are generally net 30 or net 45, but can vary depending on the customer or when the school receives its funding from the state.

​

The Company has elected, as a practical expedient, not to report the value of unsatisfied performance obligations for contracts with customers that have an expected duration of one year or less. The amount of unsatisfied performance obligations for contracts with customers which extend beyond one year as of June 30, 2025 was $0.3 million.

​

Significant Judgments

​

The Company determined that the majority of its contracts with customers contain one performance obligation. The Company markets the products and services as an integrated package building off its curriculum offerings. It does not market distinct products or services to be sold independently from the curriculum offering. The Company provides the significant service of integrating the goods and services into the operation of the school and education of its students, for which the customer has contracted.

​

The Company has determined that the time elapsed method is the most appropriate measure of progress towards the satisfaction of the performance obligation. Generally, the Company delivers the integrated products and services package over the course of the Company’s fiscal year. This package includes enrollment, marketing, teacher training, etc. in addition to the core curriculum and instruction. All of these activities are necessary and contribute to the overall education of its students, which occurs evenly throughout the year. Accordingly, the Company recognizes revenue on a straight-line basis.

​

The Company determined that the expected value method is the most appropriate method to account for variable consideration and the Company’s forecasting method is an estimation process that uses probability to determine expected funding. On a monthly basis, the Company estimates the total funds each school will receive in a particular school year and the amount of full-year school revenues and operating expenses to determine the amount of revenue the Company will recognize. Enrollment and state funding rates are key inputs to this estimate. The estimates are adjusted monthly, and a cumulative catch-up adjustment is recorded to revenue as necessary to reflect the total revenues earned to date to be proportional to the total revenues to be earned in the fiscal year. The Company builds in known constraints (i.e., enrollment, funding, net operating losses, etc.) into the estimate of the variable consideration to record the most probable amount.

​

Sales Taxes

Sales tax collected from customers is excluded from revenues. Collected but unremitted sales tax is included as part of accrued liabilities in the consolidated balance sheets. Revenues do not include sales tax as the Company considers itself a pass-through conduit for collecting and remitting sales tax.
Shipping and Handling Costs

Shipping and Handling Costs

Shipping and handling costs are expensed when incurred and are classified as instructional costs and services in the consolidated statements of operations. Shipping and handling charges invoiced to a customer are included in revenues.
Research and Developments Costs

Research and Development Costs

All research and development costs, including patent application costs, are expensed as incurred. Research and development costs totaled $16.6 million, $16.7 million and $15.5 million for the years ended June 30, 2025, 2024 and 2023, respectively, and are included within selling, general and administrative expenses in the consolidated statements of operations.
Cash, Cash Equivalents and Restricted Cash

Cash, Cash Equivalents and Restricted Cash

Cash and cash equivalents generally consist of cash on hand and cash held in money market and demand deposit accounts. The Company considers all highly liquid investments with maturities of three months or less when purchased to be cash equivalents. The Company periodically has cash balances which exceed federally insured limits.
Investments in Marketable Securities

Investments in Marketable Securities

The Company’s marketable securities generally consist of bonds and other securities which are classified as held-to-maturity. The securities with maturities between three months and one year are classified as short-term and are included in marketable securities on the consolidated balance sheets. The securities with maturities greater than one year are classified as long-term and are included in deposits and other assets on the consolidated balance sheets. Held-to-maturity securities are recorded at their amortized cost. The Company recorded interest income of $31.6 million, $25.6 million and $13.6 million for the years ended June 30, 2025, 2024 and 2023, respectively. This activity is recorded within other income (expense) within the consolidated statements of operations.

The Company reviews the held-to-maturity debt securities for declines in fair value below the amortized cost basis under the credit loss model of Accounting Standards Codification (“ASC”) Topic 326, Financial Instruments – Credit Losses (“ASC 326”). Any decline in fair value related to a credit loss is recognized in the consolidated statements

of operations, with the amount of the loss limited to the difference between fair value and amortized cost. As of June 30, 2025 and 2024, the allowance for credit losses recognized related to held-to-maturity debt securities was zero.

As of June 30, 2025, the Company’s marketable securities consisted of investments in corporate bonds, U.S. treasury notes and commercial paper. The short-term and long-term portions were $202.8 million and $26.1 million, respectively. The maturities of the Company’s long-term marketable debt securities range from one to two years.

The following table summarizes the amortized cost, net carrying amount, and fair value disaggregated by class of instrument (in thousands).

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Allowance for

​

​

Net Carrying

​

​

Gross Unrealized

​

​

​

​

​

Amortized Cost

​

​

Credit Losses

​

​

Amount

​

​

Gains (Losses)

​

​

Fair Value

Corporate Bonds

$

48,837

​

$

-

​

$

48,837

​

$

97

​

$

48,934

U.S. Treasury Notes

​

35,816

​

​

-

​

​

35,816

​

​

27

​

​

35,843

Commercial Paper

​

144,257

​

​

-

​

​

144,257

​

​

(6)

​

​

144,251

Total

$

228,910

​

$

-

​

$

228,910

​

$

118

​

$

229,028

​

As of June 30, 2024, the Company’s marketable securities consisted of investments in corporate bonds, U.S. treasury notes, and commercial paper. The short-term and long-term portions were $191.7 million and $21.9 million, respectively. The maturities of the Company’s long-term marketable debt securities range from one to two years. The following table summarizes the amortized cost, net carrying amount, and fair value disaggregated by class of instrument (in thousands).

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Allowance for

​

​

Net Carrying

​

​

Gross Unrealized

​

​

​

​

​

Amortized Cost

​

​

Credit Losses

​

​

Amount

​

​

Gains (Losses)

​

​

Fair Value

Corporate Bonds

$

45,752

​

$

-

​

$

45,752

​

$

(95)

​

$

45,657

U.S. Treasury Notes

​

46,760

​

​

-

​

​

46,760

​

​

(71)

​

​

46,689

Commercial Paper

​

121,077

​

​

-

​

​

121,077

​

​

2

​

​

121,079

Total

$

213,589

​

$

-

​

$

213,589

​

$

(164)

​

$

213,425

​
Allowance for Credit Losses

Allowance for Credit Losses

The Company maintains an allowance for credit losses primarily for estimated losses resulting from the inability or failure of individual customers to make required payments. The Company maintains an allowance under ASC 326 based on historical losses, changes in payment history, customer-specific information, current economic conditions, and reasonable and supportable forecasts of future economic conditions. The allowance under ASC 326 is updated as additional losses are incurred or information becomes available related to the customer or economic conditions.

​

The Company’s allowance for credit losses decreased from $31.3 million as of June 30, 2024 to $31.1 million as of June 30, 2025. The decrease of $0.2 million is due primarily to a $15.3 million current year provision, less $15.5 million in amounts written off. The Company’s allowance for credit losses increased from $30.0 million as of June 30, 2023 to $31.3 million as of June 30, 2024. The increase of $1.3 million is due primarily to a $22.8 million current year provision, less $21.6 million in amounts written off.

​

The Company writes-off accounts receivable based on the age of the receivable and the facts and circumstances surrounding the customer and reasons for non-payment. Actual write-offs might differ from the recorded allowance.

Inventories

Inventories

Inventories consist primarily of textbooks and curriculum materials, a majority of which are supplied to virtual and blended public schools, and utilized directly by students. Inventories represent items that are purchased and held for sale and are recorded at the lower of cost (first-in, first-out method) or net realizable value. The Company classifies its inventory as current or long-term based on the holding period. As of June 30, 2025 and 2024, $13.6 million and $12.5

million, respectively, of inventory, net of reserves, was deemed long-term and included in deposits and other assets on the consolidated balance sheets. The provision for excess and obsolete inventory is established based upon the evaluation of the quantity on hand relative to demand. The excess and obsolete inventory reserve was $6.8 million and $5.9 million at June 30, 2025 and 2024, respectively.
Other Current Assets

Other Current Assets

Other current assets primarily include textbooks, curriculum materials and other supplies which are expected to be returned upon the completion of the school year. Materials not returned are expensed as part of instructional costs and services.

Capitalized Software-as-a-Service Costs

Capitalized Software-as-a-Service Costs

The Company capitalizes Software-as-a-Service (“SaaS”) license and implementation costs incurred in cloud computing contracts that are service contracts if they meet certain requirements. Those requirements are similar to the requirements for capitalizing costs incurred to develop internal-use software. Capitalization of SaaS costs ceases once the project is substantially complete and the software is ready for its intended purpose. Amortization is computed using the straight-line method over the term of the associated hosting contract, usually between three and five years. The Company classifies its SaaS implementation costs as current or long-term based on the terms of the associated hosting contract. SaaS implementation costs deemed short-term are included in prepaid expenses, and those deemed long-term are included in deposits and other assets, on the consolidated balance sheets. Impairment is recognized when it is no longer probable that the SaaS project will be completed and placed in service.

As of June 30, 2025 and 2024, the Company recorded $17.5 million and $13.3 million, respectively, of costs related to SaaS implementation within prepaid expenses in the consolidated balance sheets. As of June 30, 2025 and 2024, the Company recorded $43.3 million and $44.1 million, respectively, of costs related to SaaS implementation within deposits and other assets in the consolidated balance sheets.

​

During the years ended June 30, 2025, 2024 and 2023, the Company amortized $3.4 million, zero, and zero, respectively of SaaS implementation costs to instructional costs and services. SaaS implementation costs amortized to selling, general and administrative expenses were $16.0 million, $15.8 million, and $9.2 million, during the years ended June 30, 2025, 2024 and 2023, respectively. There were no material impairments of SaaS implementation costs for the years ended June 30, 2025, 2024 and 2023.
Property and Equipment

​

Property and Equipment

Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization expense is calculated using the straight-line method over the estimated useful life of the asset (or the lesser of the term of the lease and the estimated useful life of the asset under the finance lease). Amortization of assets capitalized under finance lease arrangements is included in depreciation expense. Leasehold improvements are amortized over the lesser of the lease term or the estimated useful life of the asset. The determination of the lease term is discussed below under “Leases.”

Property and equipment are depreciated over the following useful lives:

​

​

​

​

​

    

Useful Life

Computer hardware

​

3 - 7 years

Computer software

​

3 - 5 years

Computers and printers

​

3 years

Web site development

​

3 years

Office equipment

​

5 years

Furniture and fixtures

​

7 years

Leasehold improvements

​

Shorter of useful life or term of the lease

​

The Company makes an estimate of unreturned student computers and printers based on an analysis of recent trends of returns. The Company recorded accelerated depreciation of $4.3 million, $4.0 million and $5.6 million for the years ended June 30, 2025, 2024 and 2023, respectively, related to unreturned student computers and printers.

The Company fully expenses computer peripheral equipment (e.g., keyboards, mouses) upon purchase as recovery has been determined to be uneconomical. These expenses totaled $3.8 million, $4.0 million and $3.1 million for the years ended June 30, 2025, 2024 and 2023, respectively, and are recorded as instructional costs and services.
Capitalized Software Costs

Capitalized Software Costs

The Company develops software for internal use. Software development costs incurred during the application development stage are capitalized. The Company amortizes these costs over the estimated useful life of the software, which is generally three years. Capitalized software development costs are stated at cost less accumulated amortization.

Capitalized software additions totaled $36.4 million, $40.7 million and $45.0 million for the years ended June 30, 2025, 2024 and 2023, respectively. There were no material write-downs of capitalized software projects for the years ended June 30, 2025, 2024 and 2023.
Capitalized Curriculum Development Costs

Capitalized Curriculum Development Costs

The Company internally develops curriculum, which is primarily provided as online content and accessed via the Internet. The Company also creates textbooks and other materials that are complementary to online content.

​

The Company capitalizes curriculum development costs incurred during the application development stage, as well as the design and deployment phases of the project. As a result, a significant portion of the Company’s courseware development costs qualify for capitalization due to the concentration of its development efforts on the content of the courseware. Capitalization ends when a course is available for general release to its customers, at which time amortization of the capitalized costs begins. The period of time over which these development costs are amortized is generally five years.

Total capitalized curriculum development additions were $21.8 million, $18.7 million and $17.2 million for the years ended June 30, 2025, 2024 and 2023, respectively. These amounts are recorded on the consolidated balance sheets, net of amortization charges. There were no material write-downs of capitalized curriculum development costs for the years ended June 30, 2025, 2024 and 2023.
Leases

Leases

​

The Company’s principal leasing activities include computers and peripherals, classified as finance leases, and facilities, classified as operating leases.

​

Leases are classified as operating leases unless they meet any of the criteria below to be classified as a finance lease:

●the lease transfers ownership of the asset at the end of the lease;
●the lease grants an option to purchase the asset which the lessee is expected to exercise;
●the lease term reflects a major part of the asset’s economic life;
●the present value of the lease payments equals or exceeds the fair value of the asset; or
●the asset is specialized with no alternative use to the lessor at the end of the term.

​

Finance Leases

​

The Company enters into agreements to finance the purchase of computers and peripherals. Individual leases typically include 3-year payment terms. The Company pledges the assets financed to secure the outstanding leases.

​

Operating Leases

​

The Company enters into agreements for facilities that serve as offices for its headquarters and school operations. Lease terms vary between 1 and 8 years. Certain leases include renewal options, usually based upon current market rates, as well as termination rights. The Company performs an evaluation of each lease to determine if the lease payments included in the renewal option should be included in the initial measurement of the lease liability.

Discount Rate

​

The present value of the lease payments is calculated using either the rate implicit in the lease, or the lessee’s incremental borrowing rate, over the lease term. For the majority of the Company’s finance and operating leases, the stated rate is not defined within the lease terms. Therefore, the Company uses its incremental borrowing rate as the discount rate. The incremental borrowing rate is defined as the rate of interest that a lessee would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment and is calculated using comparative credit ratings.

​

Policy Elections

​

Short-term Leases

​

The Company has elected as an on-going accounting policy election not to record a right-of-use asset or lease liability on its short-term facility leases of 12 months or less, and will expense its lease payments on a straight-line basis over the lease term. The accounting policy election is made by class of underlying asset to which the right of use relates. The Company has elected to apply the accounting policy election only to operating leases.
Income Taxes

Income Taxes

Deferred tax assets and liabilities are computed based on the difference between the financial reporting and income tax bases of assets and liabilities using the enacted marginal tax rate. The net deferred tax asset is reduced by a valuation allowance if, based on the weight of available evidence, it is more likely than not that some portion or all of the net deferred tax asset will not be realized.
Goodwill and Intangible Assets

Goodwill and Intangible Assets

The Company records as goodwill the excess of the purchase price over the fair value of the identifiable net assets acquired. Finite-lived intangible assets acquired in business combinations subject to amortization are recorded at their fair value. Finite-lived intangible assets include trade names, acquired customers and distributors, developed technology and non-compete agreements. Such intangible assets are amortized on a straight-line basis over their estimated useful lives. Amortization expense for the years ended June 30, 2025, 2024 and 2023 was $9.9 million, $12.9 million and $15.2 million, respectively, and is included within selling, general, and administrative expenses in the consolidated statements of operations. Future amortization of intangible assets is expected to be $7.4 million, $5.9 million, $4.1 million, $0.3 million and $0.2 million in the fiscal years ending June 30, 2026 through June 30, 2030, respectively and $0.2 million thereafter.

The Company reviews its finite-lived intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be fully recoverable. If the total of the expected undiscounted future cash flows is less than the carrying amount of the asset, a loss is recognized for the difference between

fair value and the carrying value of the asset. As part of the Company’s review of its long-lived assets for impairment (discussed in more detail in Note 3, “Summary of Significant Accounting Policies – Impairment of Long-Lived Assets”) during the year ended June 30, 2025, the Company recorded an aggregate impairment loss of $32.2 million, of which $32.0 million related to trade names and $0.2 million related to developed technology. The $32.2 million is recorded under impairment of long-lived assets within the consolidated statements of operations.

The Company has one reporting unit. The process for testing goodwill and intangible assets with indefinite lives for impairment is performed annually, as well as when an event triggering impairment may have occurred. Companies are also allowed to qualitatively assess goodwill impairment through a screening process which would permit companies to forgo the quantitative impairment test as part of their annual goodwill impairment process. The Company performs its annual assessment on May 31st, which is then updated for any changes in condition as of June 30th.

​

During the years ended June 30, 2025, 2024 and 2023, there were no events or changes in circumstances that would indicate that the carrying amount of the goodwill was impaired.

​

The following table represents the balance of the Company’s goodwill for the years ended June 30, 2025, 2024 and 2023:

​

​

​

​

​

($ in millions)

    

Amount

Goodwill

​

​

​

Balance as of June 30, 2023

​

$

246.7

​

​

​

​

Balance as of June 30, 2024

​

$

246.7

​

​

​

—

Balance as of June 30, 2025

​

$

246.7

​

The following table represents the balance of the Company’s intangible assets as of June 30, 2025 and 2024:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

June 30, 2025

​

June 30, 2024

($ in millions)

    

Gross
Carrying
Amount

    

Accumulated
 Amortization
and
Impairment

    

Net
Carrying
Value

    

Gross
Carrying
Amount

    

Accumulated
Amortization

    

Net
Carrying
Value

Trade names

    

$

70.6

    

$

(60.4)

    

$

10.2

​

$

70.6

​

$

(23.5)

​

$

47.1

Customer and distributor relationships

​

​

37.1

​

​

(33.7)

​

​

3.4

​

​

37.1

​

​

(31.1)

​

​

6.0

Developed technology

​

​

21.7

​

​

(17.3)

​

​

4.4

​

​

21.7

​

​

(14.8)

​

​

6.9

Other

​

​

1.4

​

​

(1.2)

​

​

0.2

​

​

1.4

​

​

(1.1)

​

​

0.3

Total

​

$

130.8

​

$

(112.6)

​

$

18.2

​

$

130.8

  

$

(70.5)

​

$

60.3
Impairment of Long-Lived Assets

Impairment of Long-Lived Assets

Long-lived assets include property, equipment, right-of-use assets, capitalized curriculum and software developed or obtained for internal use. Management reviews the Company’s recorded long-lived assets for impairment annually or whenever events or changes in circumstances indicate that the carrying amount of an asset may not be fully recoverable. The Company determines the extent to which an asset may be impaired based upon its expectation of the asset’s future usability as well as on a reasonable assurance that the future cash flows associated with the asset will be in excess of its carrying amount. If the total of the expected undiscounted future cash flows is less than the carrying amount of the asset, a loss is recognized for the difference between fair value and the carrying value of the asset.

​

During the year ended June 30, 2025, the Company reviewed an asset group unrelated to its core operations, comprised entirely of Galvanize, a wholly-owned subsidiary, for impairment and determined that the carrying value exceeded its fair value. This review was prompted by changes in the expected use of certain long-lived assets as the Company decided to exit specific leased facilities. The fair value of the asset group was determined using a discounted

cash flow methodology based on expected future cash flows. The Company recorded an impairment loss of $59.5 million, which is separately disclosed in the consolidated statements of operations under impairment of long-lived assets and included in income from operations. This loss comprises $32.2 million associated with intangible assets and $27.3 million related to operating lease right-of-use assets.

​

During the years ended June 30, 2024 and 2023, there were no events or changes in circumstances that may indicate that the carrying amount of the long-lived assets may not be recoverable.
Stock-Based Compensation

Stock-Based Compensation

The Company estimates the fair value of share-based awards on the date of grant. The fair value of restricted stock awards is based on the closing price of the Company’s common stock on the date of grant. Certain restricted stock awards with a market-based performance component are valued using a Monte Carlo simulation model that considers a variety of factors including, but not limited to, the Company’s common stock price, risk-free rate, and expected stock price volatility over the expected life of awards. The Company recognizes forfeitures of share-based awards as they occur in the period of forfeiture.
Advertising and Marketing Costs

Advertising and Marketing Costs

Advertising and marketing costs consist primarily of internet advertising and online marketing, and are expensed when incurred. Advertising costs totaled $103.6 million, $96.5 million and $96.8 million for the years ended June 30, 2025, 2024 and 2023, respectively, and are included within selling, general, and administrative expenses in the consolidated statements of operations.

Fair Value Measurements

Fair Value Measurements

Fair value is the price that would be received to sell an asset or paid to transfer a liability, in the principal or most advantageous market for the asset or liability, in an orderly transaction between market participants at the measurement date. Measurements are described in a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

​

The three levels of inputs used to measure fair value are:

​

Level 1:   Inputs based on quoted market prices for identical assets or liabilities in active markets at the measurement date;

​

Level 2:   Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data; and

​

Level 3:   Inputs reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. The inputs are unobservable in the market and significant to the instrument’s valuation.

​

The carrying values reflected in the consolidated balance sheets for cash and cash equivalents, receivables, and short-term obligations approximate their fair values, as they are largely short-term in nature. The Tallo, Inc. (“Tallo”) convertible note is discussed in more detail in Note 12, “Acquisitions and Investments.” As of June 30, 2025, the estimated fair value of the long-term debt was $1,146.2 million. The Company estimated the fair value based on the quoted market prices in an inactive market (Level 2). The long-term debt, comprised of the Company’s convertible senior notes due 2027, is recorded at face value less the unamortized debt issuance costs on its consolidated balance sheet, and is discussed in more detail in Note 7, “Debt.” As of June 30, 2025, the estimated fair value of the Company’s held-to-maturity marketable securities was $229.0 million. The Company estimated the fair value based on the quoted market prices in an inactive market (Level 2). The held-to-maturity marketable securities are discussed in more detail in Note 3, “Summary of Significant Accounting Policies - Investments in Marketable Securities.”

​

On November 30, 2020, the Company acquired 100% of MedCerts in exchange for $70.0 million and estimated contingent consideration of $10.8 million. During fiscal year 2021 and 2022, the Company recorded an aggregate expense of $0.5 million to adjust its estimate of the fair value of the contingent consideration to $11.3 million. During the fiscal year ended June 30, 2023, the Company paid $7.0 million to settle the contingent consideration and recorded a gain of $4.3 million. The gain is recorded within selling, general, and administrative expenses on the consolidated statements of operations.

​

There were no assets or liabilities measured at fair value on a recurring basis as of June 30, 2025 and 2024.

​

There was no activity related to the Company’s fair value measurements categorized as Level 3 in the valuation hierarchy, valued on a recurring basis, for the years ended June 30, 2025 and 2024.

The following table presents activity related to the Company’s fair value measurements categorized as Level 3 in the valuation hierarchy, valued on a recurring basis, for the year ended June 30, 2023.

​

​

​

​

​

​

​

​

​

​

​

​

​

 

​

​

Year Ended June 30, 2023

 

​

​

 

​

Purchases,

​

​

 

​

​

​

 

​

Fair Value

​

Issuances,

​

Realized

​

Fair Value

Description

    

June 30, 2022

    

and Settlements

    

Gain

    

June 30, 2023

​

​

(In thousands)

Contingent consideration associated with acquisitions

​

$

11,290

​

$

(7,024)

​

$

(4,266)

​

$

—

Convertible note received in acquisition

​

$

889

​

$

(889)

​

$

—

​

$

—

​
Net Income (Loss) Per Common Share

Net Income (Loss) Per Common Share

Basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted-average number of common shares outstanding during the reporting period. The weighted average number of shares of common stock outstanding includes vested restricted stock awards. Diluted net income (loss) per share (“EPS”) reflects the potential dilution that could occur assuming conversion or exercise of all dilutive unexercised stock options and vesting of all dilutive unvested restricted stock awards. The dilutive effect of stock options and restricted stock awards is determined using the treasury stock method. Under the treasury stock method, the proceeds received from the exercise of stock options and restricted stock awards, the amount of compensation cost for future service not yet recognized by the Company and the amount of tax benefits that would be recorded as income tax expense when the stock options become deductible for income tax purposes are all assumed to be used to repurchase shares of the Company’s common stock. Stock options and restricted stock awards are not included in the computation of diluted net income (loss) per share when they are anti-dilutive. Common stock outstanding reflected in the Company’s consolidated balance sheets includes restricted stock awards outstanding. The dilutive effect of the Company’s convertible debt is determined using the if-converted method when the Company’s stock is trading above the conversion price. However, based on the structure of the instrument and how it is settled upon conversion, it would produce a similar result as the previously applied treasury stock method.

The following schedule presents the calculation of basic and diluted net income (loss) per share:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

  

  

​

2025

​

2024

​

2023

​

​

​

​

(In thousands except share and per share data)

Basic net income per share computation:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Net income attributable to common stockholders

​

​

​

$

287,941

​

$

204,183

​

$

126,867

Weighted average common shares  — basic

​

​

​

​

43,041,274

​

​

42,626,588

​

​

42,286,392

Basic net income per share

​

​

​

$

6.69

​

$

4.79

​

$

3.00

​

​

​

​

​

​

​

​

​

​

​

​

Diluted net income per share computation:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Net income attributable to common stockholders

​

​

​

$

287,941

​

$

204,183

​

$

126,867

Share computation:

​

​

​

​

​

​

​

​

​

​

​

Weighted average common shares  — basic

​

​

​

​

43,041,274

​

​

42,626,588

​

​

42,286,392

Effect of dilutive restricted stock and convertible debt

​

​

​

​

5,372,443

​

​

908,853

​

​

441,716

Weighted average common shares  — diluted

​

​

​

​

48,413,717

​

​

43,535,441

​

​

42,728,108

Diluted net income per share

​

​

​

$

5.95

​

$

4.69

​

$

2.97

​

For the years ended June 30, 2025, 2024 and 2023, shares issuable in connection with restricted stock and convertible debt of 2,400,621, 7,658 and 21,854 respectively, were excluded from the diluted income per common share calculation because the effect would have been anti-dilutive. In connection with the issuance of the 1.125% Convertible Senior Notes due 2027 (“Notes”), the Company entered into capped call transactions (the “Capped Call Transactions”) as described further in Note 7, “Debt.” The Capped Call Transactions are intended to reduce the potential dilution to the Company’s common stock upon conversion of the Notes and/or to offset any cash payments the Company may be required to make in excess of the principal amount of the Notes.
v3.25.2
Summary of Significant Accounting Policies (Tables)
 12 Months Ended
Jun. 30, 2025
Summary of Significant Accounting Policies  
Schedule of disaggregation of revenue

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

​

2025

    

2024

    

2023

​

​

(In thousands)

General Education

​

$

1,448,676

​

$

1,289,193

​

$

1,131,391

Career Learning

​

​

​

​

​

​

​

​

​

Middle - High School

​

​

876,287

​

​

651,191

​

​

586,770

Adult

​

​

80,354

​

​

99,685

​

​

119,197

Total Career Learning

​

​

956,641

​

​

750,876

​

​

705,967

Total Revenues

​

$

2,405,317

​

$

2,040,069

​

$

1,837,358
Schedule of accounts receivables, unbilled receivables and deferred revenue

​

​

​

​

​

​

​

​

​

​

​

​

​

June 30, 

​

​

2025

    

2024

    

2023

​

​

(In thousands)

Accounts receivable

​

$

559,646

​

$

472,754

​

$

463,722

Unbilled receivables (included in accounts receivable)

​

​

19,902

​

​

19,499

​

​

20,647

Deferred revenue

​

​

26,995

​

​

35,742

​

​

76,159

Deferred revenue, long-term (included in other long-term liabilities)

​

​

327

​

​

1,097

​

​

2,061
Schedule of investments in marketable securities

The following table summarizes the amortized cost, net carrying amount, and fair value disaggregated by class of instrument (in thousands).

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Allowance for

​

​

Net Carrying

​

​

Gross Unrealized

​

​

​

​

​

Amortized Cost

​

​

Credit Losses

​

​

Amount

​

​

Gains (Losses)

​

​

Fair Value

Corporate Bonds

$

48,837

​

$

-

​

$

48,837

​

$

97

​

$

48,934

U.S. Treasury Notes

​

35,816

​

​

-

​

​

35,816

​

​

27

​

​

35,843

Commercial Paper

​

144,257

​

​

-

​

​

144,257

​

​

(6)

​

​

144,251

Total

$

228,910

​

$

-

​

$

228,910

​

$

118

​

$

229,028

The following table summarizes the amortized cost, net carrying amount, and fair value disaggregated by class of instrument (in thousands).

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Allowance for

​

​

Net Carrying

​

​

Gross Unrealized

​

​

​

​

​

Amortized Cost

​

​

Credit Losses

​

​

Amount

​

​

Gains (Losses)

​

​

Fair Value

Corporate Bonds

$

45,752

​

$

-

​

$

45,752

​

$

(95)

​

$

45,657

U.S. Treasury Notes

​

46,760

​

​

-

​

​

46,760

​

​

(71)

​

​

46,689

Commercial Paper

​

121,077

​

​

-

​

​

121,077

​

​

2

​

​

121,079

Total

$

213,589

​

$

-

​

$

213,589

​

$

(164)

​

$

213,425
Schedule of useful lives of property and equipment

​

​

​

​

​

    

Useful Life

Computer hardware

​

3 - 7 years

Computer software

​

3 - 5 years

Computers and printers

​

3 years

Web site development

​

3 years

Office equipment

​

5 years

Furniture and fixtures

​

7 years

Leasehold improvements

​

Shorter of useful life or term of the lease
Schedule of goodwill activity

​

​

​

​

​

($ in millions)

    

Amount

Goodwill

​

​

​

Balance as of June 30, 2023

​

$

246.7

​

​

​

​

Balance as of June 30, 2024

​

$

246.7

​

​

​

—

Balance as of June 30, 2025

​

$

246.7
Schedule of intangible assets

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

June 30, 2025

​

June 30, 2024

($ in millions)

    

Gross
Carrying
Amount

    

Accumulated
 Amortization
and
Impairment

    

Net
Carrying
Value

    

Gross
Carrying
Amount

    

Accumulated
Amortization

    

Net
Carrying
Value

Trade names

    

$

70.6

    

$

(60.4)

    

$

10.2

​

$

70.6

​

$

(23.5)

​

$

47.1

Customer and distributor relationships

​

​

37.1

​

​

(33.7)

​

​

3.4

​

​

37.1

​

​

(31.1)

​

​

6.0

Developed technology

​

​

21.7

​

​

(17.3)

​

​

4.4

​

​

21.7

​

​

(14.8)

​

​

6.9

Other

​

​

1.4

​

​

(1.2)

​

​

0.2

​

​

1.4

​

​

(1.1)

​

​

0.3

Total

​

$

130.8

​

$

(112.6)

​

$

18.2

​

$

130.8

  

$

(70.5)

​

$

60.3
Schedule of activity related to fair value measurements categorized as Level 3 of the valuation hierarchy, valued on a recurring basis

The following table presents activity related to the Company’s fair value measurements categorized as Level 3 in the valuation hierarchy, valued on a recurring basis, for the year ended June 30, 2023.

​

​

​

​

​

​

​

​

​

​

​

​

​

 

​

​

Year Ended June 30, 2023

 

​

​

 

​

Purchases,

​

​

 

​

​

​

 

​

Fair Value

​

Issuances,

​

Realized

​

Fair Value

Description

    

June 30, 2022

    

and Settlements

    

Gain

    

June 30, 2023

​

​

(In thousands)

Contingent consideration associated with acquisitions

​

$

11,290

​

$

(7,024)

​

$

(4,266)

​

$

—

Convertible note received in acquisition

​

$

889

​

$

(889)

​

$

—

​

$

—

​
Schedule of calculation of basic and diluted net income (loss) per share

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

  

  

​

2025

​

2024

​

2023

​

​

​

​

(In thousands except share and per share data)

Basic net income per share computation:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Net income attributable to common stockholders

​

​

​

$

287,941

​

$

204,183

​

$

126,867

Weighted average common shares  — basic

​

​

​

​

43,041,274

​

​

42,626,588

​

​

42,286,392

Basic net income per share

​

​

​

$

6.69

​

$

4.79

​

$

3.00

​

​

​

​

​

​

​

​

​

​

​

​

Diluted net income per share computation:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Net income attributable to common stockholders

​

​

​

$

287,941

​

$

204,183

​

$

126,867

Share computation:

​

​

​

​

​

​

​

​

​

​

​

Weighted average common shares  — basic

​

​

​

​

43,041,274

​

​

42,626,588

​

​

42,286,392

Effect of dilutive restricted stock and convertible debt

​

​

​

​

5,372,443

​

​

908,853

​

​

441,716

Weighted average common shares  — diluted

​

​

​

​

48,413,717

​

​

43,535,441

​

​

42,728,108

Diluted net income per share

​

​

​

$

5.95

​

$

4.69

​

$

2.97
v3.25.2
Property and Equipment and Capitalized Software and Curriculum (Tables)
 12 Months Ended
Jun. 30, 2025
Property and Equipment and Capitalized Software and Curriculum  
Schedule of property and equipment

​

​

​

​

​

​

​

​

​

​

June 30, 

​

    

2025

    

2024

​

​

(In thousands)

Computers and printers

​

$

173,009

​

$

128,496

Computer software

​

 

6,004

​

 

9,923

Computer hardware

​

 

4,604

​

 

6,698

Leasehold improvements

​

 

10,327

​

 

10,369

State testing computers

​

​

7,151

​

​

4,609

Furniture and fixtures

​

 

3,107

​

 

3,190

Office equipment

​

 

129

​

 

122

​

​

 

204,331

​

 

163,407

Less accumulated depreciation and amortization

​

 

(125,749)

​

 

(112,551)

​

​

$

78,582

​

$

50,856
Schedule of capitalized software

​

​

​

​

​

​

​

​

​

​

June 30, 

​

    

2025

    

2024

​

​

(In thousands)

Capitalized software

​

$

323,782

​

$

330,054

Less accumulated depreciation and amortization

​

 

(248,468)

​

 

(248,102)

​

​

$

75,314

​

$

81,952
Schedule of capitalized curriculum development costs

​

​

​

​

​

​

​

​

​

​

June 30, 

​

    

2025

    

2024

​

​

(In thousands)

Capitalized curriculum development costs

​

$

187,641

​

$

181,353

Less accumulated depreciation and amortization

​

 

(129,057)

​

 

(128,121)

​

​

$

58,584

​

$

53,232
v3.25.2
Finance and Operating Leases (Tables)
 12 Months Ended
Jun. 30, 2025
Finance and Operating Leases  
Schedule of present value of the minimum lease payments on finance leases

​

​

​

​

​

​

​

​

​

​

June 30, 

​

​

2025

​

2024

​

​

(in thousands)

2025

​

$

—

​

$

31,655

2026

​

​

45,781

​

​

19,880

2027

​

​

33,864

​

​

7,691

2028

​

​

12,095

​

​

82

2029

​

​

297

​

​

—

Total minimum payments

​

​

92,037

​

​

59,308

Less: imputed interest

​

​

(5,154)

​

​

(3,710)

Finance lease liability

​

​

86,883

​

​

55,598

Less: current portion of finance lease liability

​

​

(42,316)

​

​

(29,146)

Long-term finance lease liability

​

$

44,567

​

$

26,452
Schedule of future minimum lease payments under non-cancelable operating leases

​

​

​

​

​

​

​

​

​

​

June 30, 

​

​

2025

​

2024

​

​

(in thousands)

2025

​

$

—

​

$

14,263

2026

​

​

12,957

​

​

12,361

2027

​

​

8,942

​

​

8,705

2028

​

​

7,957

​

​

7,713

2029

​

​

7,776

​

​

7,599

2030

​

​

7,878

​

​

12,381

Thereafter

​

​

4,748

​

​

—

Total minimum payments

​

​

50,258

​

​

63,022

Less: imputed interest

​

​

(3,703)

​

​

(5,082)

Operating lease liability

​

​

46,555

​

​

57,940

Less: current portion of operating lease liability

​

​

(11,391)

​

​

(12,748)

Long-term operating lease liability

​

$

35,164

​

$

45,192
Schedule of lease cost, weighted-average remaining lease term, weighted-average discount rate

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

​

​

2025

​

2024

​

2023

​

​

​

(in thousands)

​

Lease cost

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Finance lease cost:

​

​

​

​

​

​

​

​

​

​

Amortization of right-of-use assets

​

$

37,637

​

$

31,099

​

$

39,312

​

Interest on lease liabilities

​

​

4,280

​

​

2,639

​

​

2,080

​

Instructional costs and services:

​

​

​

​

​

​

​

​

​

​

Operating lease cost

​

​

9,154

​

​

9,605

​

​

12,028

​

Short-term lease cost

​

​

83

​

​

56

​

​

103

​

Sublease income

​

​

(262)

​

​

(328)

​

​

(1,081)

​

Selling, general, and administrative expenses:

​

​

​

​

​

​

​

​

​

​

Operating lease cost

​

​

4,077

​

​

6,019

​

​

4,616

​

Short-term lease cost

​

​

93

​

​

150

​

​

259

​

Sublease income

​

​

(149)

​

​

(491)

​

​

(406)

​

Total lease cost

​

$

54,913

​

$

48,749

​

$

56,911

​

​

​

​

​

​

​

​

​

​

​

​

Other information

​

​

​

​

​

​

​

​

​

​

Cash paid for amounts included in the measurement of lease liabilities

​

​

​

​

​

​

​

​

​

​

Operating cash flows from operating leases

​

$

(12,396)

​

$

(14,990)

​

$

(12,243)

​

Financing cash flows from finance leases

​

​

(41,469)

​

​

(40,919)

​

​

(42,956)

​

Right-of-use assets obtained in exchange for new finance lease liabilities

​

​

68,995

​

​

35,652

​

​

30,514

​

Right-of-use assets obtained in exchange for new operating lease liabilities

​

​

1,012

​

​

864

​

​

1,619

​

Weighted-average remaining lease term - finance leases

​

​

2.07

yrs.

​

2.02

yrs.

​

1.72

yrs.

Weighted-average remaining lease term - operating leases

​

​

5.13

yrs.

​

5.66

yrs.

​

6.10

yrs.

Weighted-average discount rate - finance leases

​

​

5.34

%

​

5.62

%

​

3.86

%

Weighted-average discount rate - operating leases

​

​

2.95

%

​

2.92

%

​

2.81

%

​
v3.25.2
Income Taxes (Tables)
 12 Months Ended
Jun. 30, 2025
Income Taxes  
Schedule of deferred tax assets and liabilities

​

​

​

​

​

​

​

​

​

​

June 30, 

​

    

2025

    

2024

​

​

(In thousands)

Deferred tax assets

​

​

​

​

​

​

Net operating loss carryforward

​

$

13,888

​

$

15,553

Reserves

​

 

9,154

​

 

9,031

Accrued expenses

​

 

15,441

​

 

13,290

Stock compensation expense

​

 

6,881

​

 

8,162

Other assets

​

 

3,308

​

 

2,180

Convertible debt

​

 

4,059

​

 

5,980

Deferred revenue

​

 

260

​

 

456

Capitalized software and website development costs

​

​

4,680

​

​

—

Lease liability

​

​

11,136

​

​

13,879

Total deferred tax assets

​

 

68,807

​

 

68,531

Deferred tax liabilities

​

​

​

​

​

​

Capitalized curriculum development

​

 

(10,071)

​

 

(9,466)

Capitalized software and website development costs

​

 

—

​

 

(4,340)

Property and equipment

​

 

(11,460)

​

 

(9,401)

Right-of-use assets

​

​

(3,832)

​

​

(13,052)

Returned materials

​

 

(2,722)

​

 

(2,858)

Purchased intangibles

​

​

(6,717)

​

​

(14,827)

Total deferred tax liabilities

​

 

(34,802)

​

 

(53,944)

Net deferred tax asset before valuation allowance

​

 

34,005

​

 

14,587

Valuation allowance

​

 

(7,628)

​

 

(7,387)

Net deferred tax asset

​

$

26,377

​

$

7,200

Reported as:

​

​

​

​

​

​

Long-term deferred tax assets

​

$

26,377

​

$

7,200
Schedule of components of income before income taxes

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

    

2025

    

2024

    

2023

​

​

(In thousands)

Domestic

​

$

374,932

​

$

262,802

​

$

161,270

Foreign

​

 

6,016

​

 

5,863

​

 

10,943

Total income before income taxes

​

$

380,948

​

$

268,665

​

$

172,213
Schedule of related components of the income tax expense

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

    

2025

    

2024

    

2023

​

​

(In thousands)

Current:

​

​

​

​

​

​

​

​

​

Federal

​

$

91,696

​

$

52,678

​

$

41,360

State

​

 

17,921

​

 

7,660

​

 

12,032

Foreign

​

 

1,173

​

 

1,254

​

 

2,327

Total current

​

 

110,790

​

 

61,592

​

 

55,719

Deferred:

​

​

​

​

​

​

​

​

​

Federal

​

 

(16,047)

​

 

(667)

​

 

(9,033)

State

​

 

(1,736)

​

 

3,557

​

 

(1,340)

Total deferred

​

 

(17,783)

​

 

2,890

​

 

(10,373)

Total income tax expense

​

$

93,007

​

$

64,482

​

$

45,346
Schedule of reconciliation of provision for income taxes to the income tax from applying the statutory rate

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

 

​

    

2025

    

2024

    

2023

 

U.S. federal tax at statutory rates

​

21.0

%  

21.0

%  

21.0

%  

Lobbying

 

-

​

0.1

​

0.1

​

Non-deductible compensation

​

2.7

​

0.8

​

1.6

​

State taxes, net of federal benefit

 

3.4

​

3.2

​

4.4

​

Research and development tax credits

 

(1.2)

​

(1.5)

​

(1.4)

​

Change in valuation allowance

 

-

​

-

​

(0.4)

​

Effects of foreign operations

 

-

​

0.1

​

0.9

​

Reserve for unrecognized tax benefits

 

0.4

​

0.5

​

0.9

​

Other

 

(0.2)

​

0.1

​

(0.5)

​

Stock-based compensation

​

(1.7)

​

(0.3)

​

(0.3)

​

Provision for income taxes

 

24.4

%  

24.0

%  

26.3

%  
Schedule of unrecognized tax benefits

​

​

​

​

​

​

​

​

​

​

​

​

​

Years Ended June 30, 

​

    

2025

    

2024

    

2023

​

​

(In thousands)

Balance at beginning of the year

​

$

4,286

​

$

3,156

​

$

1,729

Additions for prior year tax positions

​

 

486

​

 

591

​

 

568

Additions for current year tax positions

​

 

1,635

​

 

1,205

​

 

1,106

Reductions for prior year tax positions

​

​

(893)

​

​

(666)

​

​

(247)

Balance at end of the year

​

$

5,514

​

$

4,286

​

$

3,156
v3.25.2
Debt (Tables)
 12 Months Ended
Jun. 30, 2025
Debt  
Schedule of components of debt

​

​

​

​

​

​

​

​

​

    

June 30, 

​

    

2025

​

2024

​

​

(in thousands)

Convertible Senior Notes due 2027

​

$

420,000

​

$

420,000

Less: unamortized debt issuance costs

​

​

(3,678)

​

​

(5,325)

Total debt

​

​

416,322

​

​

414,675

Less: current portion of debt

​

​

—

​

​

—

Long-term debt

​

$

416,322

​

$

414,675
v3.25.2
Equity Incentive Plan (Tables)
 12 Months Ended
Jun. 30, 2025
Schedule of stock option activity

​

​

​

​

​

​

​

​

​

​

​

​

​

​

    

​

    

​

​

    

Weighted

    

​

​

 

​

​

​

​

Weighted

​

Average

​

​

​

 

​

​

​

​

Average

​

Remaining

​

Aggregate

 

​

​

​

​

Exercise

​

Contractual

​

Intrinsic

 

​

​

Shares

​

Price

​

Life (Years)

​

Value

 

Outstanding, June 30, 2022

​

1,350

​

$

14.77

​

0.98

​

$

35,127

​

Granted

​

—

​

​

—

​

​

​

​

​

​

Exercised

​

(1,350)

​

​

14.77

​

​

​

​

​

​

Forfeited or canceled

​

—

​

​

—

​

​

​

​

​

​

Outstanding, June 30, 2023

​

—

​

$

—

​

​

​

​

​

​

Granted

​

—

​

​

—

​

​

​

​

​

​

Exercised

​

—

​

​

—

​

​

​

​

​

​

Forfeited or canceled

​

—

​

​

—

​

​

​

​

​

​

Outstanding, June 30, 2024

​

—

​

$

—

​

​

​

​

Granted

​

—

​

​

—

​

​

​

​

​

​

Exercised

​

—

​

​

—

​

​

​

​

​

​

Forfeited or canceled

​

—

​

​

—

​

​

​

​

​

​

Outstanding and exercisable, June 30, 2025

​

—

​

$

—

​

—

​

$

—

​
Schedule of restricted stock award activity

​

​

​

​

​

​

​

​

    

​

    

Weighted

​

​

​

​

Average

​

​

​

​

Grant-Date

​

​

Shares

​

Fair Value

Nonvested, June 30, 2022

 

1,131,466

​

$

33.27

Granted

​

595,818

​

​

37.90

Vested

​

(774,917)

​

​

32.50

Canceled

​

(137,134)

​

​

36.08

Nonvested, June 30, 2023

​

815,233

​

$

36.91

Granted

​

507,443

​

​

43.43

Vested

​

(437,724)

​

​

36.36

Canceled

​

(153,728)

​

​

37.37

Nonvested, June 30, 2024

​

731,224

​

$

40.60

Granted

​

317,490

​

​

85.79

Vested

​

(387,471)

​

​

42.79

Canceled

​

(84,389)

​

​

49.39

Nonvested, June 30, 2025

​

576,854

​

$

62.72
Schedule of performance share units award activity

​

​

​

​

​

​

​

​

​

​

​

Weighted

​

​

​

​

Average

​

​

​

​

Grant-Date

​

    

Shares

    

Fair Value

Nonvested, June 30, 2022

​

355,302

​

$

32.62

Granted

​

366,507

​

​

33.87

Vested

​

(119,467)

​

​

30.48

Canceled

​

(105,473)

​

​

28.22

Nonvested, June 30, 2023

​

496,869

​

$

34.99

Granted

​

375,725

​

​

41.85

Vested

​

(22,468)

​

​

49.62

Canceled

​

(90,595)

​

​

36.94

Nonvested, June 30, 2024

​

759,531

​

$

37.73

Granted

​

299,908

​

​

71.40

Vested

​

(223,241)

​

​

37.44

Canceled

​

(134,291)

​

​

42.60

Nonvested, June 30, 2025

​

701,907

​

$

51.27
Deferred Stock Units  
Schedule of performance share units award activity

​

​

​

​

​

​

​

​

​

​

​

Weighted

​

​

​

​

Average

​

​

​

​

Grant-Date

​

    

Shares

    

Fair Value

Nonvested, June 30, 2022

​

69,117

​

$

24.27

Granted

​

30,418

​

​

34.43

Vested

​

—

​

​

—

Canceled

​

—

​

​

—

Nonvested, June 30, 2023

​

99,535

​

$

27.38

Granted

​

13,171

​

​

59.43

Vested

​

(16,102)

​

​

22.91

Canceled

​

—

​

​

—

Nonvested, June 30, 2024

​

96,604

​

$

32.49

Granted

​

6,621

​

​

108.92

Vested

​

(34,446)

​

​

27.03

Canceled

​

—

​

​

—

Nonvested, June 30, 2025

​

68,779

​

$

42.58
v3.25.2
Supplemental Disclosure of Cash Flow Information (Tables)
 12 Months Ended
Jun. 30, 2025
Supplemental Disclosure of Cash Flow Information  
Schedule of supplemental disclosure of cash flow information

​

​

​

​

​

​

​

​

​

​

​

 

​

Years Ended June 30, 

 

    

2025

    

2024

    

2023

​

​

​

(In thousands)

Cash paid for interest

​

$

9,144

​

$

7,521

​

$

6,946

Cash paid for taxes

​

$

67,901

​

​

85,228

​

$

37,131

​

​

​

​

​

​

​

​

​

​

Supplemental disclosure of non-cash financing activities:

​

​

​

​

​

​

​

​

​

Right-of-use assets obtained from acquisitions

​

$

—

​

$

—

​

$

385

Right-of-use assets obtained in exchange for new finance lease liabilities

​

​

68,995

​

​

35,652

​

​

30,514

​

​

​

​

​

​

​

​

​

​

Supplemental disclosure of non-cash investing activities:

​

​

​

​

​

​

​

​

​

Stock-based compensation expense capitalized on software development

​

$

551

​

$

816

​

$

700

Stock-based compensation expense capitalized on curriculum development

​

​

128

​

​

76

​

​

84

Non-cash purchase price related to business combinations

​

​

—

​

​

—

​

​

5,861

​

​

​

​

​

​

​

​

​

​

Business combinations:

​

​

​

​

​

​

​

​

​

Acquired assets

​

$

—

​

$

—

​

$

1,132

Intangible assets

​

​

—

​

​

—

​

​

1,309

Goodwill

​

​

—

​

​

—

​

​

5,655

Assumed liabilities

​

​

—

​

​

—

​

​

(385)

Deferred revenue

​

​

—

​

​

—

​

​

(441)

​
v3.25.2
Description of the Business (Details)
Jun. 30, 2025
item
Description of the Business  
Number of lines of revenue 2
v3.25.2
Summary of Significant Accounting Policies - Segment Reporting (Details)
 12 Months Ended
Jun. 30, 2025
segment
Summary of Significant Accounting Policies  
Number of Operating Segments 1
Number of Reportable Segments 1
v3.25.2
Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($)
$ in Thousands
 12 Months Ended 24 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2022
Jun. 30, 2023
Summary of Significant Accounting Policies          
Estimate of Percentage of Impact on Total Revenue         2.00%
Percentage of impact on total revenue   1.80% 2.80% 1.60%  
School operating losses included in the entity's revenue $ 14,500 $ 17,000 $ 23,800    
Revenues $ 2,405,317 2,040,069 1,837,358    
Minimum          
Summary of Significant Accounting Policies          
Duration of contracts providing access to curriculum via the entity's Web site 1 year        
Maximum          
Summary of Significant Accounting Policies          
Duration of contracts providing access to curriculum via the entity's Web site 2 years        
Primary Obligor          
Summary of Significant Accounting Policies          
Revenues $ 662,600 $ 576,400 $ 503,200    
v3.25.2
Summary of Significant Accounting Policies - Disaggregated Revenues (Details)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
USD ($)
item
Jun. 30, 2024
USD ($)
Jun. 30, 2023
USD ($)
Summary of Significant Accounting Policies      
Number of lines of revenue | item 2    
Total Revenues $ 2,405,317 $ 2,040,069 $ 1,837,358
General Education      
Summary of Significant Accounting Policies      
Percentage of revenues from funding-based contracts 95.00% 93.00% 90.00%
Total Revenues $ 1,448,676 $ 1,289,193 $ 1,131,391
Career Learning      
Summary of Significant Accounting Policies      
Total Revenues $ 956,641 $ 750,876 $ 705,967
Middle - High School      
Summary of Significant Accounting Policies      
Percentage of revenues from funding-based contracts 100.00% 100.00% 99.00%
Total Revenues $ 876,287 $ 651,191 $ 586,770
Adult      
Summary of Significant Accounting Policies      
Total Revenues $ 80,354 $ 99,685 $ 119,197
v3.25.2
Summary of Significant Accounting Policies - Concentration of Customers (Details) - contract
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Revenue | Customer Concentration Risk      
Concentration of revenues      
Number of customers with concentration 0 0 0
v3.25.2
Summary of Significant Accounting Policies - Contract Balances (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Accounts receivables, contract assets and deferred revenue      
Accounts receivable $ 559,646 $ 472,754 $ 463,722
Unbilled receivables (included in accounts receivable) 19,902 19,499 20,647
Deferred revenue 26,995 35,742 76,159
Deferred revenue, long-term (included in other long-term liabilities) 327 1,097 2,061
Revenue recognized that was included in opening deferred revenue balance 32,000 74,400 53,100
Revenue recognized from performance obligation satisfied in prior periods $ 35,900 $ 51,000 $ 26,800
v3.25.2
Summary of Significant Accounting Policies - Performance Obligations and Research and Development Costs (Details) - USD ($)
$ in Millions
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Summary of Significant Accounting Policies      
Minimum payment term 30 days    
Maximum payment term 45 days    
Practical expedient      
Unsatisfied performance obligations true    
Unsatisfied performance obligations amount $ 0.3    
Research and development costs $ 16.6 $ 16.7 $ 15.5
v3.25.2
Summary of Significant Accounting Policies - Investments in Marketable Securities (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Marketable securities      
Investment income, nonoperating $ 31,600 $ 25,600 $ 13,600
Marketable securities, short-term portion 202,800 191,700  
Marketable securities, long-term portion $ 26,100 $ 21,900  
Marketable Securities, Maturity Date, Start 1 year 1 year  
Marketable Securities, Maturity Date, End 2 years 2 years  
Amortized Cost $ 228,910 $ 213,589  
Allowance for Credit Losses 0 0  
Net Carrying Amount 228,910 213,589  
Gross Unrealized Losses   164  
Gross Unrealized Gains 118    
Fair Value 229,028 213,425  
Corporate Bonds      
Marketable securities      
Amortized Cost 48,837 45,752  
Net Carrying Amount 48,837 45,752  
Gross Unrealized Losses   95  
Gross Unrealized Gains 97    
Fair Value 48,934 45,657  
U.S. Treasury Notes      
Marketable securities      
Amortized Cost 35,816 46,760  
Net Carrying Amount 35,816 46,760  
Gross Unrealized Losses   71  
Gross Unrealized Gains 27    
Fair Value 35,843 46,689  
Commercial Paper      
Marketable securities      
Amortized Cost 144,257 121,077  
Net Carrying Amount 144,257 121,077  
Gross Unrealized Losses 6    
Gross Unrealized Gains   2  
Fair Value $ 144,251 $ 121,079  
v3.25.2
Summary of Significant Accounting Policies - Allowance for Credit Losses (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Summary of Significant Accounting Policies      
Allowance for doubtful accounts $ 31,124 $ 31,298 $ 30,000
Increase in allowance for doubtful accounts 200 1,300  
Provision 15,300 22,800  
Allowance for credit losses written off $ 15,500 $ 21,600  
v3.25.2
Summary of Significant Accounting Policies - Inventories (Details) - USD ($)
$ in Millions
Jun. 30, 2025
Jun. 30, 2024
Summary of Significant Accounting Policies    
Inventory deemed long-term and included in deposits and other assets $ 13.6 $ 12.5
Excess and obsolete inventory reserve $ 6.8 $ 5.9
v3.25.2
Summary of Significant Accounting Policies - Capitalized Software-as-a-Service Costs (Details) - USD ($)
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2022
Property and equipment, net        
Capitalized software, net $ 75,314,000 $ 81,952,000    
Capitalized software written down   0 $ 0 $ 0
Capitalized computer software as service        
Property and equipment, net        
Capitalized software written down 0 0 0  
Capitalized computer software as service | Instructional costs and services        
Property and equipment, net        
Amortization expense 3,400,000 0 0  
Capitalized computer software as service | Selling, general and administrative expenses        
Property and equipment, net        
Amortization expense 16,000,000 15,800,000 $ 9,200,000  
Capitalized computer software as service | Prepaid expenses        
Property and equipment, net        
Capitalized software, net 17,500,000 13,300,000    
Capitalized computer software as service | Deposits and other assets        
Property and equipment, net        
Capitalized software, net $ 43,300,000 $ 44,100,000    
Minimum | Capitalized computer software as service        
Property and equipment, net        
Capitalized software as service useful life 3 years      
Maximum | Capitalized computer software as service        
Property and equipment, net        
Capitalized software as service useful life 5 years      
v3.25.2
Summary of Significant Accounting Policies - Property and Equipment and Leases (Details) - USD ($)
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2022
Property and equipment        
Equipment expense $ 3,800,000 $ 4,000,000 $ 3,100,000  
Capitalized software development costs $ 36,428,000 40,653,000 44,973,000  
Capitalized software written down   0 0 $ 0
Capitalized Curriculum Development Costs        
Estimated useful life of the software 5 years      
Capitalized curriculum development costs $ 21,801,000 18,666,000 17,239,000  
Capitalized curriculum development costs write down   0 0 $ 0
Operating Leases        
Time for Short Term Leases 12 months      
Minimum        
Operating Leases        
Operating leases initial term 1 year      
Maximum        
Finance Leases        
Finance lease term 3 years      
Operating Leases        
Operating leases initial term 8 years      
Student and state testing computers and printers        
Property and equipment        
Accelerated depreciation $ 4,300,000 $ 4,000,000 $ 5,600,000  
Computer hardware | Minimum        
Property and equipment        
Useful Life 3 years      
Computer hardware | Maximum        
Property and equipment        
Useful Life 7 years      
Computer software | Minimum        
Property and equipment        
Useful Life 3 years      
Computer software | Maximum        
Property and equipment        
Useful Life 5 years      
Computers and printers | Minimum        
Property and equipment        
Useful Life 3 years      
Website development        
Property and equipment        
Useful Life 3 years      
Office equipment        
Property and equipment        
Useful Life 5 years      
Furniture and fixtures        
Property and equipment        
Useful Life 7 years      
Software Development        
Property and equipment        
Estimated useful life of capitalized software 3 years      
Building | Minimum        
Operating Leases        
Operating leases initial term 1 year      
Building | Maximum        
Operating Leases        
Operating leases initial term 8 years      
v3.25.2
Summary of Significant Accounting Policies - Goodwill and Intangible Assets (Details)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
USD ($)
segment
Jun. 30, 2024
USD ($)
Jun. 30, 2023
USD ($)
Intangible Assets:      
Amortization expense $ 9,900 $ 12,900 $ 15,200
Impairment loss $ 32,200    
Impairment, Intangible Asset, Finite-Lived, Statement of Income or Comprehensive Income [Extensible Enumeration] Impairment of long-lived assets    
Number of reporting units | segment 1    
Impairment of long-lived assets $ 59,478    
Operating lease right-of-use assets 27,300    
Future amortization of intangible assets      
Fiscal 2026 7,400    
Fiscal 2027 5,900    
Fiscal 2028 4,100    
Fiscal 2029 300    
Fiscal 2030 200    
Thereafter 200    
Rollforward of Goodwill      
Balance at the beginning of the period 246,676 246,700  
Acquisition     5,655
Balance at the end of the period 246,676 246,676 $ 246,700
Intangible Assets      
Gross Carrying Amount 130,800 130,800  
Accumulated Amortization and Impairment (112,600) (70,500)  
Net Carrying Value 18,200 60,300  
Trade names      
Intangible Assets:      
Impairment loss 32,000    
Intangible Assets      
Gross Carrying Amount 70,600 70,600  
Accumulated Amortization and Impairment (60,400) (23,500)  
Net Carrying Value 10,200 47,100  
Customer and distributor relationships      
Intangible Assets      
Gross Carrying Amount 37,100 37,100  
Accumulated Amortization and Impairment (33,700) (31,100)  
Net Carrying Value 3,400 6,000  
Developed technology      
Intangible Assets:      
Impairment loss 200    
Intangible Assets      
Gross Carrying Amount 21,700 21,700  
Accumulated Amortization and Impairment (17,300) (14,800)  
Net Carrying Value 4,400 6,900  
Other      
Intangible Assets      
Gross Carrying Amount 1,400 1,400  
Accumulated Amortization and Impairment (1,200) (1,100)  
Net Carrying Value $ 200 $ 300  
v3.25.2
Summary of Significant Accounting Policies - Advertising and Marketing Costs (Details) - USD ($)
$ in Millions
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Advertising and Marketing Costs      
Advertising costs $ 103.6 $ 96.5 $ 96.8
v3.25.2
Summary of Significant Accounting Policies - Fair Value Measurement (Details) - USD ($)
$ in Thousands
 1 Months Ended 12 Months Ended 24 Months Ended
Nov. 30, 2020
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2022
Jun. 30, 2025
Assets and liabilities measured at fair value          
Estimated fair value of long-term debt         $ 1,146,200
Estimated fair value of marketable securities         229,000
Expense on estimate of fair value of contingent consideration       $ 500  
Fair value of the contingent consideration       $ 11,300  
Payments of contingent consideration     $ 7,024    
MedCerts          
Assets and liabilities measured at fair value          
Ownership percentage acquired (as a percent) 100.00%        
Total consideration $ 70,000        
Contingent consideration $ 10,800        
Payments of contingent consideration   $ 7,000      
MedCerts | Selling, General, and Administrative Expenses          
Assets and liabilities measured at fair value          
Gain on contingent consideration   4,300      
Measured on a recurring basis          
Assets and liabilities measured at fair value          
Assets, Fair Value Disclosure   0     0
Liabilities, Fair Value Disclosure   0     $ 0
Measured on a recurring basis | Significant Unobservable Inputs (Level 3) | Contingent Consideration | Acquisitions          
Assets and liabilities measured at fair value          
Fair Value Liability, beginning of period   11,290      
Purchases, Issuances and Settlements     (7,024)    
Realized Liability Gains/(Losses)     (4,266)    
Fair Value Liability, ending of period     11,290    
Measured on a recurring basis | Significant Unobservable Inputs (Level 3) | Convertible Note | Acquisitions          
Assets and liabilities measured at fair value          
Fair Value Asset, beginning of period   $ 889      
Purchases, Issuances and Settlements     $ (889)    
Fair Value, Asset, Recurring Basis, Unobservable Input Reconciliation, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration]     Other Nonoperating Income (Expense)    
Fair Value Asset, ending of period     $ 889    
v3.25.2
Summary of Significant Accounting Policies - Net Income (Loss) Per Common Share (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Sep. 30, 2020
Weighted average shares used in computing per share amounts:        
Net Income (Loss) $ 287,941 $ 204,183 $ 126,867  
Weighted average common shares-basic 43,041,274 42,626,588 42,286,392  
Basic net income per share (in dollars per share) $ 6.69 $ 4.79 $ 3  
Effect of dilutive restricted stock awards and convertible debt 5,372,443 908,853 441,716  
Weighted average common shares-diluted 48,413,717 43,535,441 42,728,108  
Diluted net income per share (in dollars per share) $ 5.95 $ 4.69 $ 2.97  
Convertible Senior Notes Due 2027        
Weighted average shares used in computing per share amounts:        
Interest rate (as percent) 1.125%     1.125%
Stock options and restricted stock        
Weighted average shares used in computing per share amounts:        
Anti-dilutive shares 2,400,621 7,658 21,854  
v3.25.2
Property and Equipment and Capitalized Software and Curriculum (Details) - USD ($)
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2022
Property and equipment, net        
Property and equipment, gross $ 204,331,000 $ 163,407,000    
Less accumulated depreciation and amortization (125,749,000) (112,551,000)    
Property and equipment, Net 78,582,000 50,856,000    
Capitalized Computer Software, Net [Abstract]        
Capitalized Computer Software, Gross 323,782,000 330,054,000    
Less accumulated depreciation and amortization (248,468,000) (248,102,000)    
Capitalized software, Net 75,314,000 81,952,000    
Capitalized curriculum development costs 187,641,000 181,353,000    
Less accumulated depreciation and amortization (129,057,000) (128,121,000)    
Capitalized curriculum development costs, net 58,584,000 53,232,000    
Capitalized software written down   0 $ 0 $ 0
Assets written-off 59,478,000      
Selling, General and Administrative Expenses        
Capitalized Computer Software, Net [Abstract]        
Depreciation expense 2,800,000 3,800,000 3,600,000  
Student computers | Cost of Sales        
Capitalized Computer Software, Net [Abstract]        
Depreciation expense 39,300,000 32,900,000 42,300,000  
Computers and printers        
Property and equipment, net        
Property and equipment, gross 173,009,000 128,496,000    
Computer software        
Property and equipment, net        
Property and equipment, gross 6,004,000 9,923,000    
Computer hardware        
Property and equipment, net        
Property and equipment, gross 4,604,000 6,698,000    
Leasehold improvements        
Property and equipment, net        
Property and equipment, gross 10,327,000 10,369,000    
State testing computers        
Property and equipment, net        
Property and equipment, gross 7,151,000 4,609,000    
Furniture and fixtures        
Property and equipment, net        
Property and equipment, gross 3,107,000 3,190,000    
Office equipment        
Property and equipment, net        
Property and equipment, gross 129,000 122,000    
Software Development | Selling, General and Administrative Expenses        
Capitalized Computer Software, Net [Abstract]        
Amortization expense 9,500,000 7,900,000 5,600,000  
Software Development | Cost of Sales        
Capitalized Computer Software, Net [Abstract]        
Amortization expense 35,600,000 34,400,000 27,000,000  
Capitalized curriculum        
Capitalized Computer Software, Net [Abstract]        
Amortization expense $ 17,500,000 $ 17,700,000 $ 16,700,000  
v3.25.2
Income Taxes - Deferred (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Jun. 30, 2024
Deferred tax assets:    
Net operating loss carryforward $ 13,888 $ 15,553
Reserves 9,154 9,031
Accrued expenses 15,441 13,290
Stock compensation expense 6,881 8,162
Other assets 3,308 2,180
Convertible debt 4,059 5,980
Deferred revenue 260 456
Capitalized software and website development costs 4,680  
Lease liability 11,136 13,879
Total deferred tax assets 68,807 68,531
Deferred tax liabilities:    
Capitalized curriculum development (10,071) (9,466)
Capitalized software and website development costs   (4,340)
Property and equipment (11,460) (9,401)
Right-of-use assets (3,832) (13,052)
Returned materials (2,722) (2,858)
Purchased intangibles (6,717) (14,827)
Total deferred tax liabilities (34,802) (53,944)
Net deferred tax asset before valuation allowance 34,005 14,587
Valuation Allowance (7,628) (7,387)
Net deferred tax asset $ 26,377 $ 7,200
v3.25.2
Income Taxes - Carryforward (Details)
$ in Millions
Jun. 30, 2025
USD ($)
Income Taxes  
NOL carryforward $ 26.5
Deferred Tax Assets, Operating Loss Carryforwards, Subject to Expiration $ 0.7
v3.25.2
Income Taxes - (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Income Taxes      
Domestic $ 374,932 $ 262,802 $ 161,270
Foreign 6,016 5,863 10,943
Total income before income taxes 380,948 268,665 172,213
Current:      
Federal 91,696 52,678 41,360
State 17,921 7,660 12,032
Foreign 1,173 1,254 2,327
Total current 110,790 61,592 55,719
Deferred:      
Federal (16,047) (667) (9,033)
State (1,736) 3,557 (1,340)
Total deferred (17,783) 2,890 (10,373)
Total income tax expense $ 93,007 $ 64,482 $ 45,346
Reconciliation to income tax at the statutory rate:      
U.S. Federal tax at statutory rates (as a percent) 21.00% 21.00% 21.00%
Lobbying (as a percent)   0.10% 0.10%
Non-deductible compensation 2.70% 0.80% 1.60%
State taxes, net of federal benefit (as a percent) 3.40% 3.20% 4.40%
Research and development tax credits (as a percent) (1.20%) (1.50%) (1.40%)
Change in valuation allowance (as a percent)     (0.40%)
Effects of foreign operations (as a percent)   0.10% 0.90%
Reserve for unrecognized tax benefits (as a percent) 0.40% 0.50% 0.90%
Other (as a percent) (0.20%) 0.10% (0.50%)
Stock-based compensation (as a percent) (1.70%) (0.30%) (0.30%)
Provision for income taxes (as a percent) 24.40% 24.00% 26.30%
Income taxes payable $ 52,600 $ 10,700  
v3.25.2
Income Taxes - Tax Uncertainties (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Tax Uncertainties      
Interest and penalties accrued $ 500 $ 400 $ 200
Balance at beginning of the year 4,286 3,156 1,729
Additions for prior year tax positions 486 591 568
Additions for current year tax positions 1,635 1,205 1,106
Reductions for prior year tax positions (893) (666) (247)
Balance at end of the year 5,514 $ 4,286 $ 3,156
Unrecognized tax benefits that would affect the effective tax rate $ 5,500    
v3.25.2
Finance and Operating Leases (Details) - USD ($)
Jun. 30, 2025
Jun. 30, 2024
Finance and Operating Leases    
Finance lease liability $ 86,883,000 $ 55,598,000
Maximum    
Finance and Operating Leases    
Finance lease term 3 years  
BALC    
Finance and Operating Leases    
Finance lease liability $ 86,900,000 55,600,000
Finance lease right-of-use assets $ 69,500,000 $ 39,800,000
Finance lease term 36 months  
Purchase option $ 1  
BALC | Minimum    
Finance and Operating Leases    
Fixed interest rate (as a percent) 4.42%  
BALC | Maximum    
Finance and Operating Leases    
Fixed interest rate (as a percent) 6.72%  
CSI Leasing    
Finance and Operating Leases    
Finance lease term 36 months  
v3.25.2
Finance and Operating Leases - Finance leases (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Jun. 30, 2024
Finance leases    
Remainder of fiscal year   $ 31,655
Year 1 $ 45,781 19,880
Year 2 33,864 7,691
Year 3 12,095 82
Year 4 297  
Total minimum payments 92,037 59,308
Less: imputed interest (5,154) (3,710)
Finance lease liability 86,883 55,598
Less: current portion of finance lease liability (42,316) (29,146)
Long-term finance lease liability $ 44,567 $ 26,452
v3.25.2
Finance and Operating Leases - Operating Leases (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Jun. 30, 2024
Operating Leases    
Remainder of fiscal year   $ 14,263
Year 1 $ 12,957 12,361
Year 2 8,942 8,705
Year 3 7,957 7,713
Year 4 7,776 7,599
Year 5 7,878 12,381
Thereafter 4,748  
Total minimum payments 50,258 63,022
Less: imputed interest (3,703) (5,082)
Operating lease liability 46,555 57,940
Less: current portion of operating lease liability (11,391) (12,748)
Long-term operating lease liability 35,164 45,192
Operating lease right-of-use assets, net $ 15,960 $ 54,503
Minimum    
Operating Leases    
Operating leases initial term 1 year  
Maximum    
Operating Leases    
Operating leases initial term 8 years  
v3.25.2
Finance and Operating Leases - Sub Leases (Details)
 12 Months Ended
Jun. 30, 2025
facility
Finance and Operating Leases  
Number of entity's facilities that are being subleased through December 2025 1
v3.25.2
Finance and Operating Leases - Lease cost and other information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Finance lease cost:      
Amortization of right-of-use assets $ 37,637 $ 31,099 $ 39,312
Interest on lease liabilities 4,280 2,639 2,080
Total lease cost 54,913 48,749 56,911
Cash paid for amounts included in the measurement of lease liabilities      
Operating cash flows from operating leases (12,396) (14,990) (12,243)
Financing cash flows from finance leases (41,469) (40,919) (42,956)
Right-of-use assets obtained in exchange for new finance lease liabilities 68,995 35,652 30,514
Right-of-use assets obtained in exchange for new operating lease liabilities $ 1,012 $ 864 $ 1,619
Weighted-average remaining lease term - finance leases 2 years 25 days 2 years 7 days 1 year 8 months 19 days
Weighted-average remaining lease term - operating leases 5 years 1 month 17 days 5 years 7 months 28 days 6 years 1 month 6 days
Weighted-average discount rate - finance leases 5.34% 5.62% 3.86%
Weighted-average discount rate - operating leases 2.95% 2.92% 2.81%
Instructional costs and services      
Finance lease cost:      
Operating lease cost $ 9,154 $ 9,605 $ 12,028
Short-term lease cost 83 56 103
Sublease income (262) (328) (1,081)
Selling, general and administrative expenses      
Finance lease cost:      
Operating lease cost 4,077 6,019 4,616
Short-term lease cost 93 150 259
Sublease income $ (149) $ (491) $ (406)
v3.25.2
Debt (Details) - USD ($)
$ in Thousands
Jun. 30, 2025
Jun. 30, 2024
Debt    
Less: unamortized debt issuance costs $ (3,678) $ (5,325)
Total debt 416,322 414,675
Long-term debt 416,322 414,675
Convertible Senior Notes Due 2027    
Debt    
Total debt $ 420,000 $ 420,000
v3.25.2
Debt - Maturities of long-term debt (Details)
$ in Millions
Jun. 30, 2025
USD ($)
Debt  
Year 1 $ 0.0
Year 2 0.0
Year 3 420.0
Year 4 0.0
Year 5 $ 0.0
v3.25.2
Debt - Additional Information (Details)
 2 Months Ended 12 Months Ended
Sep. 30, 2020
USD ($)
$ / shares
Jun. 30, 2025
USD ($)
Jun. 30, 2024
USD ($)
Jun. 30, 2023
USD ($)
Debt        
Amortization of fees on debt   $ 1,647,000 $ 1,640,000 $ 1,597,000
Convertible Senior Notes Due 2027        
Debt        
Face amount $ 420,000,000      
Interest rate (as percent) 1.125% 1.125%    
Net proceeds $ 408,600,000      
Interest expense   $ 4,700,000 4,700,000 4,700,000
Debt issuance costs $ 11,400,000      
Amortization of fees on debt   $ 1,600,000 $ 1,600,000 $ 1,600,000
Period prior to maturity date where noteholders may convert their notes at their election prior to the maturity date 2 days      
Conversion rate 18.9109      
Denomination of the Principal amount $ 1,000      
Conversion price (in dollars per share) | $ / shares $ 52.88      
Upper strike price (in dollars per share) | $ / shares $ 86.174      
Capped call transaction $ 60,400,000      
v3.25.2
Credit Facility (Details) - USD ($)
$ in Millions
 1 Months Ended
Jan. 27, 2020
Aug. 31, 2018
Credit Facility    
Term of debt   48 months
Interest rate spread added to base rate (as a percent)   25.00%
Credit Facility    
Credit Facility    
Face amount $ 100.0  
Term of debt 5 years  
Repayments on credit facility $ 100.0  
Amount of accordion feature under the credit facility $ 200.0  
Credit Facility | Minimum    
Credit Facility    
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] lrn:LiborMember  
Credit Facility | Maximum    
Credit Facility    
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] lrn:LiborMember  
v3.25.2
Equity Incentive Plan (Details) - 2016 Plan - shares
Dec. 09, 2022
Jun. 30, 2025
Equity Transactions    
Additional shares available for issuance 1,045,000  
Shares reserved for issuance   1,875,859
Number of stock awards outstanding (in shares)   1,347,540
v3.25.2
Equity Incentive Plan - Stock Options (Details) - USD ($)
 12 Months Ended
Jun. 30, 2023
Jun. 30, 2022
Shares    
Outstanding at the beginning of the period (in shares) 1,350  
Exercised (in shares) (1,350)  
Outstanding at the end of the period (in shares)   1,350
Weighted-Average Exercise Price    
Outstanding at the beginning of the period (in dollars per share) $ 14.77  
Exercised (in dollars per share) $ 14.77  
Outstanding at the end of the period (in dollars per share)   $ 14.77
Additional information    
Weighted Average Remaining Contractual Life   11 months 23 days
Aggregate Intrinsic Value   $ 35,127
v3.25.2
Equity Incentive Plan - Relationship (Details) - Employee and Non Employees Stock Option [Member] - USD ($)
$ in Millions
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Equity Transactions      
Intrinsic value of options exercised $ 0 $ 0 $ 0
Unrecognized compensation 0    
Stock based compensation expense $ 0 $ 0 $ 0
v3.25.2
Equity Incentive Plan - Restricted Stock Awards (Details) - USD ($)
$ / shares in Units, $ in Millions
 1 Months Ended 12 Months Ended
Aug. 31, 2022
Aug. 31, 2021
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2020
Shares            
Vested (in shares) (238,863)          
Restricted Stock Awards            
Shares            
Nonvested at the beginning of the period (in shares)     731,224 815,233 1,131,466  
Granted (in shares)     317,490 507,443 595,818  
Vested (in shares)     (387,471) (437,724) (774,917)  
Canceled (in shares)     (84,389) (153,728) (137,134)  
Nonvested at the end of the period (in shares)     576,854 731,224 815,233  
Weighted-Average Grant Date Fair Value            
Nonvested at the beginning of the period (in dollars per share)     $ 40.6 $ 36.91 $ 33.27  
Granted (in dollars per share)     85.79 43.43 37.9  
Vested (in dollars per share)     42.79 36.36 32.5  
Canceled (in dollars per share)     49.39 37.37 36.08  
Nonvested at the end of the period (in dollars per share)     $ 62.72 $ 40.6 $ 36.91  
Vesting period     3 years      
Unrecognized compensation     $ 25.6      
Weighted average period for recognition of total unrecognized compensation expense related to unvested stock options granted     1 year 6 months      
Fair value of share-based compensation awards granted in period     $ 27.2 $ 22.0 $ 22.6  
Fair value of share-based compensation awards vested in period     43.6 23.3 29.6  
Stock based compensation expense     $ 19.8 $ 16.0 $ 15.5  
Restricted Stock Awards | Vesting Based on Performance            
Shares            
Granted (in shares)     0      
Nonvested at the end of the period (in shares)     0      
Restricted Stock Awards | Vesting Based On Performance And Service            
Shares            
Vested (in shares)     0      
Restricted Stock Awards | Service based awards            
Shares            
Granted (in shares)     317,490      
Vested (in shares)     (387,471)      
Nonvested at the end of the period (in shares)     576,854      
Performance-Based Restricted Stock Awards | Senior Executives | 2019 SPP            
Weighted-Average Grant Date Fair Value            
Market Capitalization Growth Performance Period           3 years
Performance-Based Restricted Stock Awards | New Chief Executive Officer and Executive Chairman            
Shares            
Granted (in shares)           358,294
Weighted-Average Grant Date Fair Value            
Granted (in dollars per share)           $ 27.91
Performance Shares Tranche #2 | New Chief Executive Officer and Executive Chairman            
Shares            
Granted (in shares)   119,431        
v3.25.2
Equity Incentive Plan - Performance Share Units ("PSU") (Details) - $ / shares
 1 Months Ended 12 Months Ended
Aug. 31, 2022
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Shares        
Vested (in shares) (238,863)      
Performance Share Units        
Shares        
Nonvested at the beginning of the period (in shares)   759,531 496,869 355,302
Granted (in shares)   299,908 375,725 366,507
Vested (in shares)   (223,241) (22,468) (119,467)
Canceled (in shares)   (134,291) (90,595) (105,473)
Nonvested at the end of the period (in shares)   701,907 759,531 496,869
Weighted-Average Grant Date Fair Value        
Nonvested at the beginning of the period (in dollars per share)   $ 37.73 $ 34.99 $ 32.62
Granted (in dollars per share)   71.4 41.85 33.87
Vested (in dollars per share)   37.44 49.62 30.48
Canceled (in dollars per share)   42.6 36.94 28.22
Nonvested at the end of the period (in dollars per share)   $ 51.27 $ 37.73 $ 34.99
Number of shares of common stock each unit has the right to receive   1    
v3.25.2
Equity Incentive Plan - Long Term Incentive Plan (LTIP) (Details)
 1 Months Ended 3 Months Ended 12 Months Ended
Sep. 30, 2024
shares
Jul. 31, 2024
shares
Dec. 31, 2022
tranche
Aug. 31, 2022
shares
Oct. 31, 2021
shares
Dec. 31, 2023
shares
Dec. 31, 2022
tranche
shares
Dec. 31, 2021
shares
Jun. 30, 2025
USD ($)
$ / shares
shares
Jun. 30, 2024
USD ($)
$ / shares
shares
Jun. 30, 2023
USD ($)
$ / shares
shares
Jun. 30, 2022
USD ($)
$ / shares
shares
Jun. 30, 2020
USD ($)
$ / shares
shares
Jun. 30, 2019
USD ($)
$ / shares
shares
Equity Transactions                            
Vested (in shares)       238,863                    
Fiscal Year 2021 LTIP                            
Equity Transactions                            
Earned award vesting percentage     123.00%                      
Number of metrics assumed to be achieved | tranche     2       2              
Number of metrics assumed to be achieved at threshold | tranche     1       1              
Vest immediately | Fiscal Year 2021 LTIP                            
Equity Transactions                            
Earned award vesting percentage                       40.00%    
Vested (in shares)                       4,533    
Vest annually over two years. | Fiscal Year 2021 LTIP                            
Equity Transactions                            
Earned award vesting percentage                       60.00%    
Vested (in shares)                       6,797    
Vest the following year                            
Equity Transactions                            
Vested (in shares)       77,048                    
Certified achievement percentage       200.00%                    
Performance Share Units                            
Equity Transactions                            
Granted (in shares)                 299,908 375,725 366,507      
Granted (in dollars per share) | $ / shares                 $ 71.4 $ 41.85 $ 33.87      
Vested (in shares)                 223,241 22,468 119,467      
Canceled (in shares)                 (134,291) (90,595) (105,473)      
Unrecognized compensation | $                 $ 27,900,000          
Weighted average period for recognition of total unrecognized compensation expense related to unvested stock options granted                 1 year 2 months 12 days          
Stock based compensation expense | $                 $ 16,900,000 $ 15,400,000 $ 4,900,000      
Performance Share Units | Fiscal Year 2025 LTIP                            
Equity Transactions                            
Granted (in shares)                 210,620          
Granted (in dollars per share) | $ / shares                 $ 80.89          
Vesting period                 3 years          
Fair value | $                 $ 17,000,000          
Performance Share Units | Fiscal Year 2024 LTIP                            
Equity Transactions                            
Granted (in shares)                   354,090        
Granted (in dollars per share) | $ / shares                   $ 40.84        
Vesting period                   3 years        
Fair value | $                   $ 14,400,000        
Performance Share Units | Fiscal Year 2023 LTIP                            
Equity Transactions                            
Granted (in shares)                   289,640        
Granted (in dollars per share) | $ / shares                   $ 34.41        
Vesting period                   3 years        
Fair value | $                   $ 10,000,000        
Performance Share Units | Fiscal Year 2022 LTIP                            
Equity Transactions                            
Granted (in shares)                     250,250      
Granted (in dollars per share) | $ / shares                     $ 36.3      
Vesting period                     3 years      
Fair value | $                     $ 9,100,000      
Vested (in shares) 155,946 62,379                        
Performance Share Units | Fiscal Year 2021 MIP                            
Equity Transactions                            
Granted (in shares)           13,066 37,886 38,575            
Earned award vesting percentage             0.33% 33.33%            
Performance Share Units | Fiscal Year 2021 LTIP                            
Equity Transactions                            
Granted (in shares)                       111,450    
Granted (in dollars per share) | $ / shares                       $ 24.15    
Fair value | $                       $ 2,700,000    
Performance Share Units | Fiscal Year 2020 TRIP                            
Equity Transactions                            
Fair value | $                         $ 12,300,000  
Performance Share Units | Fiscal Year 2019 LTIP                            
Equity Transactions                            
Granted (in shares)                         34,030 263,936
Granted (in dollars per share) | $ / shares                         $ 23.51 $ 30.05
Fair value | $                         $ 800,000 $ 7,900,000
Vested (in shares)         115,223                  
Canceled (in shares)         (107,397)                  
Performance Share Units | Tech Elevator                            
Equity Transactions                            
Stock based compensation expense | $                 $ 0 300,000 $ 1,000,000      
Performance Share Units | Tech Elevator | Fiscal Year 2021 MIP                            
Equity Transactions                            
Intrinsic value of awards | $                       $ 4,000,000    
Performance Share Units | Revenue | Fiscal Year 2020 TRIP                            
Equity Transactions                            
Earned award vesting percentage                         60.00%  
Performance Share Units | EBITDA | Fiscal Year 2020 TRIP                            
Equity Transactions                            
Earned award vesting percentage                         40.00%  
Performance Shares Tranche #1 | Fiscal Year 2023 LTIP                            
Equity Transactions                            
Fair value | $                   4,800,000        
Share based payment award fair market value decrease | $                   $ 800,000        
Performance Shares Tranche #1 | Fiscal Year 2022 LTIP                            
Equity Transactions                            
Certified achievement percentage   70.00%                        
Performance Shares Tranche #1 | Fiscal Year 2020 TRIP | Calendar Year 2021                            
Equity Transactions                            
Earned award vesting percentage                         70.00%  
Performance Shares Tranche #1 | Fiscal Year 2019 LTIP                            
Equity Transactions                            
Earned award vesting percentage                         45.00%  
Performance Shares Tranche #1 | Vest immediately | Fiscal Year 2025 LTIP                            
Equity Transactions                            
Earned award vesting percentage                 75.00%          
Performance Shares Tranche #1 | Vest immediately | Fiscal Year 2024 LTIP                            
Equity Transactions                            
Earned award vesting percentage                   75.00%        
Performance Shares Tranche #1 | Vest immediately | Fiscal Year 2023 LTIP                            
Equity Transactions                            
Earned award vesting percentage                   50.00%        
Performance Shares Tranche #1 | Vest immediately | Fiscal Year 2022 LTIP                            
Equity Transactions                            
Earned award vesting percentage                     50.00%      
Performance Shares Tranche #1 | Vest annually over two years. | Fiscal Year 2023 LTIP                            
Equity Transactions                            
Earned award vesting percentage                   50.00%        
Performance Shares Tranche #2 | Fiscal Year 2022 LTIP                            
Equity Transactions                            
Certified achievement percentage 175.00%                          
Performance Shares Tranche #2 | Fiscal Year 2020 TRIP | Calendar Year 2022                            
Equity Transactions                            
Earned award vesting percentage                         30.00%  
Performance Shares Tranche #2 | Fiscal Year 2019 LTIP                            
Equity Transactions                            
Earned award vesting percentage                         25.00%  
Certified achievement percentage         193.00%                  
Performance Shares Tranche #2 | Vest annually over two years. | Fiscal Year 2025 LTIP                            
Equity Transactions                            
Earned award vesting percentage                 25.00%          
Performance Shares Tranche #2 | Vest annually over two years. | Fiscal Year 2024 LTIP                            
Equity Transactions                            
Earned award vesting percentage                   25.00%        
Performance Shares Tranche #2 | Vest annually over two years. | Fiscal Year 2022 LTIP                            
Equity Transactions                            
Earned award vesting percentage                     50.00%      
Performance Shares Tranche #3 | Fiscal Year 2019 LTIP                            
Equity Transactions                            
Earned award vesting percentage                           30.00%
Time Based Award                            
Equity Transactions                            
Deferred Compensation Liability | $                 $ 0          
Time Based Award | Tech Elevator | Fiscal Year 2021 MIP                            
Equity Transactions                            
Vesting period                       3 years    
Intrinsic value of awards | $                       $ 4,000,000    
Time Based Award | Vest immediately | Tech Elevator | Fiscal Year 2021 MIP                            
Equity Transactions                            
Earned award vesting percentage                       70.00%    
Time Based Award | Vest annually over two years. | Tech Elevator | Fiscal Year 2021 MIP                            
Equity Transactions                            
Earned award vesting percentage                       30.00%    
v3.25.2
Equity Incentive Plan - Deferred Stock Units ("DSU") (Details) - USD ($)
$ / shares in Units, $ in Millions
 1 Months Ended 12 Months Ended
Aug. 31, 2022
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Shares        
Vested (in shares) (238,863)      
Deferred Stock Units        
Shares        
Nonvested at the beginning of the period (in shares)   96,604 99,535 69,117
Granted (in shares)   6,621 13,171 30,418
Vested (in shares)   (34,446) (16,102)  
Nonvested at the end of the period (in shares)   68,779 96,604 99,535
Weighted-Average Grant Date Fair Value        
Nonvested at the beginning of the period (in dollars per share)   $ 32.49 $ 27.38 $ 24.27
Granted (in dollars per share)   108.92 59.43 34.43
Vested (in dollars per share)   27.03 22.91  
Nonvested at the end of the period (in dollars per share)   $ 42.58 $ 32.49 $ 27.38
Unrecognized compensation   $ 0.3    
Weighted average period for recognition of total unrecognized compensation expense related to unvested stock options granted   4 months 24 days    
Stock based compensation expense   $ 0.8 $ 0.9 $ 0.7
v3.25.2
Severance (Details) - USD ($)
$ in Millions
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Severance      
Severance costs $ 6.6 $ 4.6 $ 3.4
Executives and other employees      
Severance      
Costs associated with accelerated vesting of equity awards $ 1.6 $ 0.5 $ 0.5
v3.25.2
Acquisitions and Investments (Details) - USD ($)
$ in Thousands
 1 Months Ended 12 Months Ended
Jul. 08, 2022
Oct. 31, 2021
Aug. 31, 2018
Jun. 30, 2022
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Mar. 31, 2022
Aug. 31, 2020
Schedule of Equity Method Investments                  
Investment     $ 6,700           $ 2,300
Ownership percentage     39.50%           46.10%
Convertible note     $ 5,000            
Ownership percentage on an if-converted basis     55.00%            
Interest rate spread added to base rate (as a percent)     25.00%            
Term of debt     48 months            
Convertible into Series D Preferred shares     3,670            
Impairment loss       $ 4,500          
Loans receivable   $ 3,000              
Loans receivable interest rate   5.00%              
Maturity term of loans receivable   5 years              
Loans receivable funded amount               $ 3,000  
Investment, Type [Extensible Enumeration]         lrn:TalloIncMember        
Credit loss expense on convertible note       4,100          
Credit loss expense on promissory note       3,000          
Reversal of accrued interest on convertible note and promissory note       $ 400          
Goodwill         $ 246,676 $ 246,676 $ 246,700    
Intangible assets         $ 18,227 $ 60,282      
Acquisition of Tallo Assets                  
Schedule of Equity Method Investments                  
Cash purchase price $ 1,000                
Working capital 400                
Cash and contingent consideration paid 7,300                
Goodwill 5,700                
Intangible assets $ 1,300                
Acquisition of Tallo Assets | Customer relationships                  
Schedule of Equity Method Investments                  
Amortization period 10 years                
v3.25.2
Related Party Transactions (Details) - Future of School - USD ($)
$ in Millions
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2021
Jun. 30, 2019
Related Party Transactions          
Contributions made to related party $ 0.0 $ 0.0 $ 0.0    
Accrued contributions to related party $ 2.3     $ 3.5 $ 2.5
v3.25.2
Employee Benefits (Details) - USD ($)
$ in Millions
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Employee Benefits      
Minimum length of service for participation 30 days    
Company match percentage of participant's compensation 50.00%    
Percentage of participant's compensation that company matches on 5.00%    
401(k) Plan expense $ 8.5 $ 7.7 $ 7.7
v3.25.2
Supplemental Disclosure of Cash Flow Information (Details) - USD ($)
$ in Thousands
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
Supplemental Disclosure of Cash Flow Information      
Cash paid for interest $ 9,144 $ 7,521 $ 6,946
Cash paid for taxes 67,901 85,228 37,131
Supplemental disclosure of non-cash financing activities:      
Right-of-use assets obtained from acquisitions     385
Right-of-use assets obtained in exchange for new finance lease liabilities 68,995 35,652 30,514
Supplemental disclosure of non-cash investing activities:      
Stock-based compensation expense capitalized on software development 551 816 700
Stock-based compensation expense capitalized on curriculum development $ 128 $ 76 84
Non-cash purchase price related to business combinations     5,861
Business Combinations:      
Acquired assets     1,132
Intangible assets, net     1,309
Goodwill     5,655
Assumed liabilities     (385)
Deferred revenue     $ (441)
v3.25.2
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($)
 12 Months Ended
Jun. 30, 2025
Jun. 30, 2024
Jun. 30, 2023
ALLOWANCE FOR DOUBTFUL ACCOUNTS      
Valuation and Qualifying Account Activity      
Balance at Beginning of Period $ 31,297,967 $ 30,031,273 $ 26,993,037
Additions (Deductions) Charged to Cost and Expenses 15,266,692 22,843,961 8,047,729
Deductions from Allowance 15,440,904 21,577,267 5,009,493
Balance at End of Period 31,123,755 31,297,967 30,031,273
INVENTORY RESERVES      
Valuation and Qualifying Account Activity      
Balance at Beginning of Period 5,921,239 4,145,280 6,457,046
Additions (Deductions) Charged to Cost and Expenses 942,397 1,778,825 2,392,785
Deductions from Allowance 30,732 2,867 4,704,551
Balance at End of Period 6,832,904 5,921,239 4,145,280
COMPUTER RESERVE      
Valuation and Qualifying Account Activity      
Balance at Beginning of Period 1,786,225 1,345,832 2,039,771
Additions (Deductions) Charged to Cost and Expenses 2,499,889 1,129,323 332,197
Deductions from Allowance 1,011,682 688,930 1,026,136
Balance at End of Period 3,274,432 1,786,225 1,345,832
INCOME TAX VALUATION ALLOWANCE      
Valuation and Qualifying Account Activity      
Balance at Beginning of Period 7,387,179 6,790,724 6,677,352
Additions to Net Deferred Tax Asset Allowance 240,463 596,455 113,372
Balance at End of Period $ 7,627,642 $ 7,387,179 $ 6,790,724