$142.6 million in Q2 2026 revenue at Lincoln Educational Services Corporation (Nasdaq: LINC) marks a 22.4% year-over-year gain from $116.5 million, with Adjusted EBITDA expanding 42.4% to $12.7 million from $8.9 million on that same base. Net cash from operating activities improved to $22.1 million generated versus $0.3 million a year earlier. Total liquidity stood at approximately $143 million as of June 30, 2026.
Q2 2026 key metrics
| Metric | Q2 2026 (reported) | Q2 2025 (reported) | YoY change |
|---|---|---|---|
| Revenue | $142.6M | $116.5M | +22.4% |
| Adj. EBITDA | $12.7M | $8.9M | +42.4% |
| Operating cash flow | $22.1M | $0.3M | n.m. |
| Ending student population | ~18,900 | +10.4% | |
| Student starts | +1% |
Margin math and cost structure
Adjusted EBITDA margin ran at 8.9% of revenue ($12.7 million on $142.6 million) versus 7.6% in Q2 2025 ($8.9 million on $116.5 million), roughly 130 basis points of expansion in the period. Educational services and facilities expense rose 27.4% to $59.6 million, including $2.9 million tied to the newer Houston, Hicksville, and Rowlett campuses and $3.1 million in higher depreciation. Selling, general and administrative expense increased 18.8% to $79.7 million, with $2.1 million attributable to those same campuses. Corporate and other expenses were $18.2 million, up from $16.4 million in the prior-year quarter.
Year-to-date through June 30, 2026, revenue reached $286.5 million (up 22.5%), with Adjusted EBITDA of $28.2 million rising 62.9% from $17.3 million. Year-to-date educational services and facilities expense increased $23.8 million, or 25.3%, to $118.0 million. Average student population for the first six months was over 18,300, up 16.3% and nearly 2,600 students ahead of the comparable period.
Student start gap and reacceleration
Ending student population rose 10.4% to approximately 18,900, an increase of nearly 1,800. Student starts grew just 1% in the quarter. President and CEO Scott Shaw attributed the gap to lower-than-expected conversion from enrollment to start, with fewer enrolled students attending the first day of class than the company had projected. Year-to-date starts grew 9%. LINC has taken steps to address those conversion trends, and Shaw said the August class is expected to be one of the largest in company history. Full-year student start guidance of 10% to 14% remains in place.
Campus expansion and full-year targets
Lincoln reiterated all 2026 financial guidance while raising capital expenditure guidance for two campus initiatives. In June, the company signed a lease in Suitland, Maryland for a focused-program campus offering Electrical and HVAC training, expected to open in the fourth quarter of 2027. Shaw described the model as costing less than half of a traditional campus buildout. In July, LINC completed the acquisition of its previously leased Melrose Park, Illinois campus property for $18.8 million. That campus was named one of "America's Top Vocational Schools" by USA Today for the second consecutive year. The company's projected 2030 targets stand at $850 million in revenue and $150 million in Adjusted EBITDA.
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