Revenue: As of FY2026 Q3, the actual value is USD 487.03 M.

EPS: As of FY2026 Q3, the actual value is USD 1.2.

EBIT: As of FY2026 Q3, the actual value is USD 104.49 M.

Consolidated Financial Performance

• Revenue: Covista Inc.’s consolidated revenue increased by 4.5% to $487.0 million for the three months ended March 31, 2026, and grew by 9.1% to $1,452.7 million for the nine months ended March 31, 2026.
• Net Income: Net income decreased by 31.6% to $41.6 million for the three months ended March 31, 2026, and was $179.8 million for the nine months ended March 31, 2026, a 1.6% decrease from the prior year period.
• Operating Income: Consolidated operating income increased by 0.9% to $91.3 million for the three months ended March 31, 2026, and by 8.8% to $287.9 million for the nine months ended March 31, 2026.
• Adjusted Operating Income: Consolidated adjusted operating income decreased by 3.0% to $102.2 million for the three months ended March 31, 2026, but increased by 12.7% to $318.6 million for the nine months ended March 31, 2026.
• Operating Costs:
  • Cost of Educational Services: Increased by 5.4% to $210.7 million for the three months and by 7.8% to $616.9 million for the nine months ended March 31, 2026. As a percentage of revenue, it was 43.3% and 42.5% for the respective periods.
  • Student Services and Administrative Expense: Increased by 5.1% to $184.1 million for the three months and by 10.5% to $542.6 million for the nine months ended March 31, 2026. As a percentage of revenue, it was 37.8% and 37.4% for the respective periods.
• Restructuring Expense: Was $0.9 million for the three months and $5.2 million for the nine months ended March 31, 2026, primarily due to workforce reductions.
• Interest Expense: Was $13.6 million for the three months and $35.6 million for the nine months ended March 31, 2026.
• Other Income, Net: Was $0.2 million for the three months and $4.4 million for the nine months ended March 31, 2026.
• Provision for Income Taxes: The effective tax rate from continuing operations was 25.6% for the three months and 24.0% for the nine months ended March 31, 2026.
• Loss from Discontinued Operations: Covista Inc. reported a loss of -$16.3 million for the three months and -$15.4 million for the nine months ended March 31, 2026.

Cash Flow

• Operating Activities: Net cash provided by operating activities from continuing operations increased by $72.6 million to $346.4 million for the nine months ended March 31, 2026. Total net cash provided by operating activities was $346.5 million for the same period.
• Investing Activities: Net cash used in investing activities was -$55.9 million for the nine months ended March 31, 2026, primarily due to $50.9 million in capital expenditures and a -$5.0 million minority investment.
• Financing Activities: Net cash used in financing activities was -$342.9 million for the nine months ended March 31, 2026, driven by -$239.9 million in share repurchases, -$50.8 million in net repayments of long-term debt, and -$42.1 million in employee taxes paid on withholding shares.

Segment Performance

• Chamberlain Segment:
  • Revenue: Increased by 2.3% to $197.0 million for the three months ended March 31, 2026, and by 3.4% to $560.0 million for the nine months ended March 31, 2026.
  • Student Enrollment: Total student enrollment for the March 2026 session increased by 0.5%, while the January 2026 session saw a 0.7% decrease compared to the prior year.
  • Adjusted Operating Income: Increased by 0.8% to $47.9 million for the three months, but decreased by 8.8% to $107.3 million for the nine months ended March 31, 2026.
  • Strategic Focus: Driving pre-licensure growth by optimizing student enrollment and experience, leveraging its national footprint, and focusing on marketing and enrollment for post-licensure programs.
• Walden Segment:
  • Revenue: Increased by 4.6% to $186.6 million for the three months and by 16.2% to $594.1 million for the nine months ended March 31, 2026. The three-month revenue was impacted by an academic week shift, recognizing $18.0 million in the prior quarter.
  • Student Enrollment: Total student enrollment increased by 12.3% as of March 31, 2026, compared to March 31, 2025.
  • Adjusted Operating Income: Decreased by 11.7% to $42.4 million for the three months, but increased by 29.3% to $176.9 million for the nine months ended March 31, 2026.
  • Strategic Focus: Improved enrollment driven by investments in student experience and brand, and providing flexibility through part-time and competency-based programs.
• Medical and Veterinary Segment:
  • Revenue: Increased by 8.9% to $103.5 million for the three months and by 7.2% to $298.6 million for the nine months ended March 31, 2026.
  • Student Enrollment: Total student enrollment for the January 2026 semester increased by 4.1% compared to the prior year.
  • Adjusted Operating Income: Increased by 20.0% to $21.5 million for the three months and by 16.9% to $63.3 million for the nine months ended March 31, 2026.
  • Strategic Focus: Management continues to focus on increasing enrollment and driving operational effectiveness, particularly in academic support and the enrollment experience.

Future Outlook and Strategy

Covista Inc. expects sufficient liquidity for the next twelve months and several years from its operations, existing cash, credit facility, and access to debt markets. The company is evaluating strategic alternatives to optimize its capital structure, which may include issuing debt, equity, or new credit facilities. Management is also reviewing new Gainful Employment (GE) and Do No Harm regulations to determine their potential impact on programs, with ED’s initial proposal for GE rules including the elimination of the debt-to-earnings metric.