Lincoln Educational Services Corporation
LINC Consumer Defensive Education & Training Services
Lincoln Educational Services Corporation’s revenue for fiscal 2025 (year ended December 2025) was $518.2 million, up 17.8% from fiscal 2024. In the quarter to June 2026, revenue grew 22.4%, EPS grew 20.0%, free cash flow grew 129.4% and total debt rose 28.4%, each against the same quarter a year earlier. Revenue growth for five consecutive years, operating cash flow growth for three.
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Lincoln Educational Services Corporation (LINC) Altman Z-score
Lincoln Educational Services Corporation's Altman Z-score for fiscal 2025 is 3.03, in the safe zone (above 2.99).
Altman Z-score, annual
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Annual newest first
| Period | Altman Z-score | Change (points) |
|---|---|---|
| FY2025 | 3.03 | 0.47 |
| FY2024 | 2.56 | (0.37) |
| FY2023 | 2.92 | 0.44 |
| FY2022 | 2.48 | (0.35) |
| FY2021 | 2.83 | 0.69 |
| FY2020 | 2.14 | 0.71 |
| FY2019 | 1.43 | (0.24) |
| FY2018 | 1.67 | 0.18 |
| FY2017 | 1.49 | 0.31 |
| FY2016 | 1.18 | (0.74) |
How fiscal 2025’s score is made up
| Component | This year | Year before | Result | Points |
|---|---|---|---|---|
| Working capital / total assets | (0.03) | — | −0.03 | |
| Retained earnings / total assets | 0.20 | — | 0.28 | |
| EBIT / total assets | 0.06 | — | 0.20 | |
| Market value of equity / total liabilities | 2.55 | — | 1.53 | |
| Sales / total assets | 1.05 | — | 1.05 | |
| Altman Z-score | Safe zone | 3.03 | ||
| Z″ Variant for non-manufacturing and asset-light companies (drops the sales/assets term, uses book equity) | Grey zone | 1.60 | ||
Z and Z″ put Lincoln Educational Services Corporation in different zones: safe zone by Z, grey zone by Z″.
How the Altman Z-score works
Z = 1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets (Altman, 1968). The market value of equity is the close on the last trading day of the fiscal year times weighted basic shares.
Z″ = 6.56 × working capital ÷ total assets + 3.26 × retained earnings ÷ total assets + 6.72 × EBIT ÷ total assets + 1.05 × book equity ÷ total liabilities (Altman, Hartzell and Peck, 1995), the variant for non-manufacturing and asset-light companies.
| Zone | Z | Z″ |
|---|---|---|
| Safe zone | above 2.99 | above 2.60 |
| Grey zone | 1.81–2.99 | 1.10–2.60 |
| Distress zone | below 1.81 | below 1.10 |
Not worked out for banks, insurers and REITs, whose balance sheets the model does not describe, nor when a figure is missing or there is no share price in the week to the fiscal year end.
Altman Z-score against peers
| Company | Altman Z-score |
|---|---|
| STRA Strategic Education Inc. compare | 3.9× |
| APEI American Public Education, Inc. compare | 3.7× |
| UTI Universal Technical Institute Inc compare | 3.7× |
| LINC Lincoln Educational Services Corporation | 3.0× |
| AFYA Afya Limited compare | 2.4× |
| COUR Coursera, Inc. compare | 1.9× |
| DAO Youdao, Inc. Unsponsored ADR compare | −0.2× |
| GOTU Gaotu Techedu Inc. compare | −0.2× |
| PXED Phoenix Education Partners, Inc. compare | — |
What Altman Z-score is
The Altman Z-Score weighs working capital, retained earnings, operating profit, market value and sales against assets and debts to gauge the risk of distress.
1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets