Expanding Skilled Trades Focus
On Tuesday, 30 September 2025, Lincoln Educational Services (NASDAQ:LINC) presented at the Lytham Partners Fall 2025 Investor Conference. The company outlined its strategic initiatives, emphasizing growth through campus expansions and acquisitions while addressing challenges like competition from community colleges. Lincoln aims to strengthen its position as a leader in skilled trades education, leveraging its 80-year history. Expanding Skilled Trades Focus.
Key Takeaways
- Lincoln Educational is focusing on expanding its campus network and exploring acquisitions.
- The company is shifting to a blended learning model, with 30% online and 70% hands-on training.
- Financial projections include cash flow neutrality by 2026 and cash flow positivity by 2027.
- Lincoln’s graduation and job placement rates surpass those of traditional colleges.
- The company plans to enter new fields like aircraft maintenance and RN programs.
Operational Updates
Lincoln Educational is actively expanding its campus network, with recent openings in Atlanta, Georgia, and Houston, Texas. The Nashville campus has been relocated to a more efficient location, adding electrical and HVAC training, while the Philadelphia campus has moved to Levittown, broadening its program offerings.
The company utilizes a real estate strategy focused on leasing properties, often employing sale-leaseback transactions to fund expansion. Lincoln is partnering with Cushman Wakefield to identify new campus locations in top metropolitan areas, targeting warehouse spaces with high ceilings and ample parking, sometimes repurposing former Amazon facilities.
Future Outlook
Lincoln plans to open one to two new campuses annually, with each costing $20 million to $25 million. The company is considering expanding into related trades, such as aircraft maintenance, and launching an RN program to complement its existing LPN program.
Market trends favor Lincoln’s growth, with increasing demand for skilled trades driven by the retirement of baby boomers, government infrastructure projects, and the expansion of AI and data centers. The company anticipates becoming cash flow neutral by 2026 and cash flow positive by 2027, supported by a $60 million credit facility with a $20 million accordion for acquisitions.
Q&A Highlights
The average student at Lincoln is 25 years old, with 20% coming directly from high school. The company attracts individuals seeking career changes or higher-paying jobs in high-demand fields. Lincoln’s marketing strategy includes digital marketing, social media, and a team of 100 representatives visiting high schools to promote trade opportunities.
Lincoln’s graduation rate stands at approximately 70%, higher than traditional colleges and community colleges. The job placement rate is between 80% and 82% in the field of study. The company differentiates itself from community colleges and smaller regional trade schools through specialized programs, hands-on training, and frequent class starts.
CEO Scott Shaw highlighted the company’s long-standing history and the growing recognition of trades education.
“We are really going to capitalize on our 80-year history and the fact that the trades are in such big demand.”
In conclusion, Lincoln Educational is poised for growth as it expands its campus network and explores new program offerings. For more details, refer to the full transcript below.
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