Phoenix Education Partners Soars in Q2 2026 with Record Retention and EBITDA Growth
Phoenix Education Partners, a leading provider of flexible education for working adults, has reported impressive results in its second quarter fiscal 2026 earnings conference call. The company's commitment to delivering strong student outcomes and ensuring that working adult learners develop skills that translate directly into their careers continues to pay off.
The recent Encoura Ruffalo Noel Levitz Priorities Survey for Online Learners, a national study spanning 150 institutions and approximately 90,000 learners, shows that the company's students are consistently satisfied with their online university experience. The survey found that 85% of our students reported being very satisfied or satisfied with their online university experience, compared to 73% of students in the national benchmarked institutions.
Chris Lynne, Chief Executive Officer of Phoenix Education Partners, emphasized during the conference call that "our strategy remains centered on supporting student success through personalized technology-enabled programs." This approach has yielded impressive results, including record retention rates and growth in EBITDA.
The company's second quarter fiscal 2026 results reflect continued progress across its key priorities. Enrollment growth driven by strong retention trends, margin expansion, and a strong balance sheet are all indicative of the durability of the model and commitment to student success.
Average total degreed enrollment was up 1.8% for the quarter, net revenue was down 0.4%, and adjusted EBITDA was up 7.8% from the prior year. This is a testament to the company's ability to execute initiatives aimed at enhancing engagement, persistence, and ultimately student outcomes.
The employer-affiliated or B2B channel continues to be a meaningful growth driver for Phoenix Education Partners. Employer-affiliated students represented 35% of total enrollment in the quarter, up from 31% in the comparable period in 2025, reflecting continued expansion of both existing and new employer relationships.
Blair Westblom, Chief Financial Officer, highlighted during the conference call that "disciplined cost management and lower bad debt expense" were key contributors to the adjusted EBITDA outperformance. This demonstrates the company's commitment to prudent financial management and ability to navigate the complexities of the education industry.
Phoenix Education Partners' milestone this year is the celebration of its 50th anniversary, marking five decades of serving working adult learners while continuously adapting to the evolving needs of the workforce. The company's dedication to student satisfaction and success remains unwavering, as evidenced by its commitment to delivering strong outcomes through technology-enabled programs.
These results underscore Phoenix Education Partners' position as a leader in providing flexible education for working adults. As the company continues to execute its strategy with discipline and drive growth, investors can expect continued momentum from this education innovator.
