Lincoln Educational Services (LINC) 15th Annual Midwest IDEAS Investor Conference summary

Strategic growth initiatives

• Experiencing strong enrollment growth due to increased demand for skilled trades and skepticism about traditional college value.

• Forecasting incremental profitability over the next three years through organic growth, program replication, and new campus openings.

• Opened first new campus in 18 years in Atlanta, exceeding enrollment forecasts; plans to open one new campus annually for the next five years.

• Exploring acquisitions to accelerate growth, focusing on hands-on fields and underutilized assets, but maintaining a high threshold for deals.

• Targeting $90 million Adjusted EBITDA by 2027, driven by program replications, new campuses, and relocations.

Operational and educational model

• Transitioned to a blended learning platform, reducing on-campus days and increasing online instruction for efficiency and capacity.

• Standardizing processes across campuses to drive efficiency and profitability.

• Each new campus requires $15–$20 million investment and is expected to generate $6 million EBITDA within 36–40 months.

• Programs are accelerated, offering 1,000 hours of instruction per year, double that of traditional colleges.

• Faculty are industry professionals, providing practical, hands-on training.

Market position and competitive landscape

• Largest provider of automotive and skilled trades graduates east of the Mississippi; strong industry partnerships with companies like Tesla.

• Maintains a customer-focused approach, differentiating from community colleges by offering robust, specialized training environments.

• Community colleges are slow to adapt and struggle to attract students to skilled trades programs despite government funding.

• Sees opportunity in partnering with high schools, but finds regulatory and administrative barriers challenging.