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Q1 FY2026 Earnings Presentation October 28, 2025
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2 Safe Harbor This presentation and the investor call to which it relates contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve substantial risks and uncertainties. All statements other than statements of historical facts contained in this presentation are forward- looking statements. We have tried, whenever possible, to identify these forward-looking statements using words such as “outlook,” “anticipates,” “believes,” “estimates,” “continues,” “likely,” “may,” “opportunity,” “potential,” “projects,” “will,” “will be,” “expects,” “plans,” “intends,” “should,” “would” and similar expressions to identify forward-looking statements, whether in the negative or the affirmative. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause our actual results, performance or achievements to differ materially from those expressed in, or implied by, such statements. These risks, uncertainties, factors and contingencies include, but are not limited to: reduction of per pupil funding amounts at the schools we serve; inability to achieve a sufficient level of new enrollments to sustain our business model or meet guidance; limitations of the enrollment data we present, which may not fully capture trends in the performance of our business; failure to enter into new school contracts or renew existing contracts, in part or in their entirety; failure of the schools we serve, our vendors, or us to comply with our contracts, or federal, state and local laws and regulations, resulting in a loss of funding, an obligation to repay funds previously received, contractual remedies, or actions or proceedings against us; governmental investigations that could result in fines, penalties, settlements, or injunctive relief; declines or variations in academic performance outcomes of the students and schools we serve, including due to the evolution of curriculum standards, testing programs and state accountability metrics; harm to our reputation resulting from poor performance or misconduct by operators or us in any school in our industry and/or in any school which we operate legal and regulatory challenges from opponents of virtual public education or for-profit education companies; changes in national and local economic and business conditions and other factors, such as natural disasters, pandemics and outbreaks of contagious diseases and other adverse public health developments; discrepancies in interpretation of legislation by regulatory agencies that may lead to payment or funding disputes; termination of our contracts, or a reduction or termination in the scope of services, with schools; failure to develop the Career Learning business; entry of new competitors with superior technologies (including artificial intelligence) and lower prices; unsuccessful integration of mergers, acquisitions and joint ventures; failure to further develop, maintain and enhance our technology, products, services and brands; inadequate recruiting, training and retention of effective teachers and employees; infringement of our intellectual property; disruptions to our Internet-based learning and delivery systems, including, but not limited to, our data storage systems and third-party cloud systems and facilities, resulting from cybersecurity attacks; misuse or unauthorized disclosure of student and personal data; failure to prevent or mitigate a cybersecurity incident that affects our systems; problems in the implementation of new IT systems and technology; failure by us or third parties to maintain and support information technology systems, including addressing quality issues and timely delivering new products and enhancements; risks related to artificial intelligence; and other risks and uncertainties associated with our business described in the risk factors discussed in the Company’s Annual Report on Form 10-K for the year ended June 30, 2025 and any subsequently filed Quarterly Reports on Form 10-Q or the Company’s other filings with the Securities and Exchange Commission. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. All information in this presentation is as of today’s date, and the Company undertakes no obligation to update any forward-looking statement to conform the statement to actual results or changes in the Company’s expectations.
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Disruptor in Education Innovator with the scale, expertise & long-term customer relationships to change education Sustainable & Growing Virtual School Business Accelerating secular shift toward virtual education and school choice New Products & Technologies Leveraging capabilities and assets to address market failures or shortcomings Experienced Leadership Team Deep educational, regulatory, and policy expertise Financial Track Record Consistent revenue and profitability growth with a strong balance sheet to support organic and inorganic growth 3 Compelling Long-Term Investment Thesis
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4 Q1 FY2026 Highlights Record Enrollment and Strong Growth Trends • Total enrollments topped 247.7K, up 11.3% from the prior year Secular Demand Trends Support Continued Momentum • Record low K-12 satisfaction rates among parents, down 8% from last year On Track to Achieve FY2028 Targets • Remain well on track to achieve FY2028 targets outlined in our November 2023 Investor Day Organic and Inorganic Opportunities • Strong balance sheet and disciplined capital allocation strategy allow for flexibility Note: To supplement our financial statements presented in accordance with U.S. generally accepted accounting principles (GAAP), we also present non-GAAP financial measures including adjusted operating income, adjusted EBITDA, and adjusted earnings per share. Management believes that these additional metrics provide useful information to investors relating to our financial performance. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures is provided in the Appendix to this presentation. Q1 FY2026 Performance Adjusted Operating Income $81.1M, +39% YoY Adjusted EBITDA $108.4M, +29% YoY Adjusted EPS $1.52, +39% YoY
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5 Increasing demand for virtual education options Secular trends driving demand Top reasons parents enroll students in virtual education Health & wellbeing concerns • Bullying • Negative social experience • Behavioral / social issues • School safety Value flexibility and individualized pace • Mobile / military family • Seeking 1:1 instruction • Academically lagging • Working student • Athletics Concern about environment at previous school • Academic struggles • Disciplinary needs • Special needs • Religion Percentage of parents who searched for new schools for their kids in the last year; 27% looked at full-time online education options Percentage of parents who fear for the safety of their children at school Percentage of K-12 parents who support making K-12 education more flexible, including the schools they can attend 60% 44% 81% Percentage of Americans who are satisfied with K-12 education in the U.S. 35%
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$15 $95 $96 $88 $58 $136 $142 $131 $81 $135 $- $40 $80 $120 $160 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Guidance FY24 FY25 FY26 $480 $505 $521 $534 $551 $587 $613 $654 $621 $620 $- $200 $400 $600 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Guidance FY24 FY25 FY26 6 Revenue ($M) $1.04B $1.54B $1.69B $1.84B $2.04B $2.41B - $0.5B $1.0B $1.5B $2.0B $2.5B FY2020 FY2021 FY2022 FY2023 FY2024 FY2025 Adjusted Operating Income1 ($M) $62M $161M $188M $201M $294M $466M - $100M $200M $300M $400M $500M FY2020 FY2021 FY2022 FY2023 FY2024 FY2025 $640 $145 1. Guidance as of October 28, 2025 Growth in Key Financial Metrics 1 1
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7 Strong Enrollment Trends Q1 FY26 YoY enrollment growth 11.3% Enrollments Trends General Education average enrollments increased 6.8K, up 5% y-o-y Career Learning average enrollments increased 18.3K, up 20% y-o-y Three months ended September 30, 2025 2024 Change Revenue ($M) General Education $363.1 $329.4 10.2% ↑ Career Learning Middle – High School 241.5 198.9 21.4% ↑ Adult 16.3 22.8 (28.6)% ↓ Total Career Learning 257.8 221.7 16.3% ↑ Total $620.9 $551.1 12.7% ↑ Enrollments (K) General Education, K-12 137.7 130.9 5.2% ↑ Career Learning, Middle – High School 110.0 91.7 20.0% ↑ Total 247.7 222.6 11.3% ↑
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Guidance mid-points • FY26 Revenue: +5% YoY – Midpoint of Guidance • FY26 AOI: +5% YoY – Midpoint of guidance 8 Guiding to Continued Revenue and Profitability Growth 1. Guidance as of October 28, 2025 Q2 FY 26 Guidance1 FY26 Guidance1 ($, M) Low High Low High Revenue $620M $640M $2.480B $2.555B Adjusted Operating Income $135M $145M $475M $500M Capital Expenditures $15M $18M $70M $80M Effective Tax Rate 24% 25% Demand remains robust; in-year enrollment growth impacted by platform implementation challenges
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9 Strong Balance Sheet with Low Debt Cash position, low leverage ratio, and consistent cash flows provide options for capital allocation Leverage ratio1 of 0.04x 1. Leverage ratio is a non-GAAP measure defined as Net Debt (total debt obligations of $541.8M less cash and cash equivalents of $518.4M) divided by Adjusted EBITDA of $595.5M for the twelve months ended September 30, 2025 September 30, 2025 Select balance sheet and other information ($M) Cash, Cash Equivalents & Marketable Securities $749.6 Accounts Receivable, Net 809.3 Accounts Payable 55.6 Total Debt Obligations $541.8
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Compelling Long-Term Growth Targets 10 Remain on track for FY2028 targets Total Revenue ($B) $415M $201M $294M $466M $585M $0M $200M $400M $600M $800M FY2023 FY2024 FY2025 FY2028 Target $2.70B $1.84B $2.04B $2.41B $3.30B $0.00B $0.50B $1.00B $1.50B $2.00B $2.50B $3.00B $3.50B FY2023 FY2024 FY2025 FY2028 Target 10% CAGR to mid-point (FY23-28) 20% CAGR to mid-point (FY23-28) Adj. Operating Income ($M) Diluted EPS ($) $6.15 $2.97 $4.69 $5.95 $8.35 $- $1.00 $2.00 $3.00 $4.00 $5.00 $6.00 $7.00 $8.00 $9.00 FY2023 FY2024 FY2025 FY2028 Target 20% CAGR to mid-point (FY23-28) Depicts low-high range for FY2028 targets
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11 Disciplined Capital Allocation Prioritizing organic growth, new product and technology development, and synergistic M&A Organic Growth • Invest in academic quality and student / customer experience supporting outcomes / retention • Technology advancements to improve personalization and outcomes • Implement innovative products across portfolio Strategic Acquisitions • Leverage platform across verticals • High-growth, high-margin targets providing synergies Capital Return • Evaluate approaches to return cash to stockholders over the long term
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Appendix 12
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Reconciliation of Net Income to EBITDA and Adjusted EBITDA 13 Three months ended September 30, LTM ended September 30, ($, M) 2025 2024 2025 Net income $68.8 $40.9 $315.9 Interest expense, net 3.1 2.4 11.2 Other income, net (16.9) (8.8) (41.8) Income tax expense 14.4 11.3 96.2 (Income) loss from equity method investments (0.4) 1.6 0.2 Depreciation and amortization 29.2 28.1 115.8 EBITDA 98.2 75.5 497.5 Stock-based compensation expense 10.2 8.4 38.5 Impairment of long-lived assets - - 59.5 Adjusted EBITDA $108.4 $83.9 $595.5
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14 Reconciliation of Income from Operations to Adjusted Operating Income Three months ended September 30, ($, M) 2025 2024 Income from operations $69.0 $47.3 Amortization of intangible assets 1.9 2.6 Stock-based compensation expense 10.2 8.4 Adjusted operating income $81.1 $58.4
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15 Reconciliation of Income from Operations to Adjusted Operating Income Year ended June 30, ($, M) 2020 2021 2022 2023 2024 2025 Income from operations $32.5 $110.5 $156.6 $165.5 $249.6 $360.1 Amortization of intangible assets 6.0 11.6 13.0 15.2 12.9 9.9 Stock-based compensation expense 23.6 39.3 18.6 20.3 31.4 36.7 Impairment of long-lived assets - - - - - 59.5 Adjusted operating income $62.1 $161.4 $188.2 $201.0 $293.9 $466.2
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16 Reconciliation of Income from Operations to Adjusted Operating Income Three months ended ($, M) Sept. 30, 2023 Dec. 31, 2023 March 31, 2024 June 30, 2024 Sept. 30, 2024 Dec. 31, 2024 March 31, 2025 June 30, 2025 Income from operations $3.3 $84.3 $88.3 $73.7 $47.3 $125.1 $130.8 $56.9 Amortization of intangible assets 3.0 3.0 2.9 4.0 2.7 2.6 2.3 2.4 Stock-based compensation expense 8.5 7.6 5.2 10.2 8.4 7.9 8.6 11.8 Impairment of long-lived assets - - - - - - - 59.5 Adjusted operating income $14.8 $94.9 $96.4 $87.9 $58.4 $135.6 $141.7 $130.6
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Three months ended September 30, ($, M) 2025 2024 Net income attributable to common stockholders $68.8 $40.9 Amortization of intangible assets 1.9 2.6 Stock-based compensation expense 10.2 8.4 Income tax effect on adjustments above (8.9) (4.4) Adjusted net income attributable to common stockholders $72.0 $47.5 Share computation: Weighted average common shares — diluted 49,222,851 43,708,967 Effect of capped call transactions (1,803,506) - Adjusted weighted average common shares — diluted 47,419,345 43,708,967 Adjusted earnings per share $1.52 $1.09 17 Reconciliation of Net Income to Adjusted Earnings Per Share
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Three months ended September 30, ($, per share) 2025 2024 Diluted net income per share $1.40 $0.94 Amortization of intangible assets 0.04 0.06 Stock-based compensation expense 0.20 0.19 Income tax effect on adjustments above (0.18) (0.10) Effect of capped call transactions 0.06 - Adjusted earnings per share $1.52 $1.09 18 Reconciliation of Diluted Net Income Per Share to Adjusted Earnings Per Share
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Three months ended ($, M) Sept. 30, 2024 Dec. 31, 2024 March 31, 2025 June 30, 2025 Net income attributable to common stockholders $40.9 $96.4 $99.3 $51.3 Amortization of intangible assets 2.6 2.5 2.4 2.4 Stock-based compensation expense 8.4 7.9 8.5 11.8 Impairment of long-lived assets - - - 59.5 Income tax effect on adjustments above (4.4) (1.1) (0.6) (15.3) Adjusted net income attributable to common stockholders $47.5 $105.7 $109.6 $109.7 Share computation: Weighted average common shares — diluted 43,708,967 47,462,688 49,181,728 49,767,056 Effect of capped call transactions - (2,779,544) (2,092,035) (1,827,961) Adjusted weighted average common shares — diluted 43,708,967 44,683,144 47,089,693 47,939,095 Adjusted earnings per share $1.09 $2.37 $2.33 $2.29 19 Reconciliation of Net Income to Adjusted Earnings Per Share
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Three months ended ($, per share) Sept. 30, 2024 Dec. 31, 2024 March 31, 2025 June 30, 2025 Diluted net income per share $0.94 $2.03 $2.02 $1.03 Amortization of intangible assets 0.06 0.05 0.05 0.05 Stock-based compensation expense 0.19 0.17 0.17 0.24 Impairment of long-lived assets - - - 1.20 Income tax effect on adjustments above (0.10) (0.02) (0.01) (0.31) Effect of capped call transactions - 0.14 0.10 0.08 Adjusted earnings per share $1.09 $2.37 $2.33 $2.29 20 Reconciliation of Diluted Net Income Per Share to Adjusted Earnings Per Share
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Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow 21 Three months ended September 30, ($, M) 2025 2024 Net cash provided by operating activities $(195.8) $(142.0) Purchases of property and equipment (0.3) (0.7) Capitalized software development costs (13.7) (8.8) Capitalized curriculum development costs (7.7) (5.3) Free Cash Flow $(217.5) $(156.8)
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Reconciliation of Income from Operations to Adjusted Operating Income 22 Three Months Ended December 31, 2025 Year Ended June 30, 2026 ($, M) Low High Low High Income from operations $122.7 $131.5 $427.0 $448.0 Stock-based compensation expense 10.5 11.5 41.0 44.0 Amortization of intangible assets 1.8 2.0 7.0 8.0 Adjusted operating income $135.0 $145.0 $475.0 $500.0
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23 Effect of Convertible Notes on Share Dilution Convertible Senior Notes (Illustrative Dilution Example) • Stride Convertible Notes: $420M principal (7.9M shares underlying) • Irrevocably elected that all future conversions of the notes will be settled pursuant to combination settlement, generally requiring the principal amount to be settled in cash • Any excess of the conversion value over the principal amount can be settled, at Stride’s election, in cash or shares of our common stock • Incremental shares are reported for GAAP purposes but are not issued at the time of reporting • Stride’s capped call transactions completed at the time of the issuance of the convertible notes effectively raise the potential dilution point of the convertible notes from $52.88 to $86.17 • Below some examples of potential dilution from the Notes at various share prices: 1. Non-GAAP Dilution is equal to the number of shares owed for settlement of the Convertible Notes less the shares expected to be received by Stride for the capped call transaction. 2. Q1 FY2026 average stock price LRN Illustrative Avg. Quarterly Stock Price Shares owed on Convertible Notes Shares received from capped call transactions GAAP Dilution Non-GAAP Dilution1 $130 4,711,809 2,033,938 4,711,809 2,677,871 $135 4,831,467 1,958,607 4,831,467 2,872,860 $140 4,942,578 1,888,657 4,942,578 3,053,921 $145 5,046,026 1,823,531 5,046,026 3,222,495 $146.612 5,077,835 1,803,506 5,077,835 3,274,329 $150 5,142,578 1,762,746 5,142,578 3,379,832 $155 5,232,901 1,705,884 5,232,901 3,527,017 $160 5,317,578 1,652,575 5,317,578 3,665,003 $165 5,397,123 1,602,497 5,397,123 3,794,627 $170 5,471,990 1,555,364 5,471,990 3,916,625