• Like Marriott, but for universities: a global network of owned and operated higher education institutions.
• The international equivalent of a large for-profit university system, similar to the University of Phoenix.
• A global chain of private colleges, similar to how Starbucks operates coffee shops worldwide.

• Higher Education Degree Programs: Laureate Education provides a broad range of undergraduate and postgraduate degree programs across various disciplines, primarily through a network of universities in Latin America.
• Online and Hybrid Learning Solutions: The company offers flexible learning options, delivering many of its degree programs through fully online or hybrid (blended) learning models to enhance accessibility.

Laureate Education (symbol: LAUR) primarily sells its educational services to individuals.

The company serves the following categories of customers:

• Undergraduate Students: Individuals pursuing their first higher education degree (e.g., Bachelor's degrees) across various disciplines offered by Laureate's network institutions.
• Graduate Students: Individuals seeking advanced degrees (e.g., Master's degrees, Ph.D.s) or specialized postgraduate certifications to further their academic or professional careers.
• Adult Learners and Working Professionals: Individuals often seeking part-time, online, or executive education programs to enhance their skills, career prospects, or pursue professional development while balancing existing commitments.

The key risks to Laureate Education's business include:

1. Regulatory and Political/Economic Risks: Laureate Education operates in international markets, primarily Mexico and Peru, making it highly susceptible to complex and varying local laws and regulations. Changes in government policies, such as those impacting higher education, accreditation requirements, or tax laws, could materially affect its operations and financial results. Additionally, political and economic instability, including potential currency devaluations or price controls in the countries where it operates, pose significant threats to the business. Past instances of scrutiny for potential Foreign Corrupt Practices Act (FCPA) violations highlight the ongoing risk of operating in diverse regulatory environments.
2. Foreign Currency Exchange Rate Fluctuations: Laureate Education reports its revenues, costs, and earnings in US dollars, but its institutions collect tuition in local currencies, primarily the Mexican Peso and Peruvian Sol. Fluctuations in foreign currency exchange rates can have a material impact on the company's reported financial results. Recent performance has shown that currency headwinds can significantly dampen revenue outlooks, despite underlying growth in enrollments and profitability when measured in local currencies.
3. Competition and Enrollment Challenges: The higher education sector is intensely competitive in Laureate Education's operating markets. The company faces competition from traditional public and private universities, as well as other institutions, including those offering online programs. While Laureate has recently demonstrated strong enrollment growth, there is a continuous risk of increasing competition eroding market share and putting pressure on tuition rates. Furthermore, economic pressures on potential students could lead to lower enrollment rates or underutilized assets, impacting the company's profitability.

The clear emerging threat to Laureate Education is the accelerating market shift towards alternative credentials, skills-based training, and micro-credentials. These programs, offered by a variety of providers including tech companies (e.g., Google, IBM with professional certificates), specialized bootcamps, and online learning platforms, offer faster, often cheaper, and highly focused pathways to employment. As employers increasingly prioritize specific skills over traditional degrees for certain roles, and as learners seek more flexible and cost-effective education options, these alternatives pose a direct challenge to the value proposition of Laureate's multi-year degree programs, potentially diverting a significant portion of their target student demographic.

Laureate Education, Inc. (LAUR) primarily offers undergraduate and graduate degree programs through campus-based, online, and hybrid models, with its main operations focused on Mexico and Peru.

The addressable markets for Laureate Education's services can be understood in terms of the broader global higher education and online education markets, as well as the regional Latin American higher education market where they have a significant presence.

Global Higher Education Market

The global higher education market was valued at approximately USD 724.3 billion in 2023 and is projected to reach nearly USD 1,669.44 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 12.66% from 2024 to 2030. Another estimate places the global higher education market size at USD 736.80 billion in 2023, with a projection to reach USD 1,569.37 billion by 2030 at a CAGR of 12.1% from 2024 to 2030. In 2025, the global higher education market size is calculated at USD 1,042.31 billion and is predicted to increase to approximately USD 2,557.93 billion by 2034, expanding at a CAGR of 11.62% from 2025 to 2034.

Global Online Higher Education Market

The global online higher education market was valued at approximately USD 84 billion in 2023 and is projected to reach around USD 205 billion by 2032, growing at a CAGR of 10.4%. A broader "Online Education market," which includes higher education, was valued at US$325.74 billion in 2024 and is expected to reach US$800.17 billion in 2033, expanding at a CAGR of 11.68% from 2025 to 2033.

Latin America Higher Education Market

The Latin America higher education market generated a revenue of USD 92,846.5 million (USD 92.85 billion) in 2023. It is expected to grow at a CAGR of 11.5% from 2024 to 2030, reaching a projected revenue of US$198,859.5 million (USD 198.86 billion) by 2030.

Laureate Education (LAUR) is expected to drive future revenue growth over the next 2-3 years through several key strategies:

1. Consistent Enrollment Growth: Laureate Education anticipates continued growth in its student base. The company has demonstrated strong enrollment increases, with new enrollments rising 7% year-over-year in Q3, and total year-to-date enrollments reaching 511,000 students. Total enrollments are expected to be approximately 494,000 students in 2025, reflecting a growth of about 5% versus 2024. This growth is particularly strong in Mexico and Peru.
2. Expansion of Campus Footprint: The company is strategically expanding its physical presence by opening new campuses. Two new campuses were opened recently in September (Monterrey, Mexico and Lima's Ate District, Peru), and management has indicated two more campuses are in the pipeline, expected to open by late 2026 or early 2027. This expansion aims to meet rising demand and broaden access to higher education in its key markets.
3. Growth in Digital and Online Programs: Laureate is focusing on scaling up its fully online programs, particularly those catering to working adults in Peru and Mexico. This strategy broadens the addressable market by attracting non-traditional students and is considered a critical initiative for sustaining enrollment momentum and top-line growth.
4. Strategic Tuition Pricing and Mix Management: Revenue growth is expected to be a combination of high enrollment growth and pricing increases. Improved outlook for 2025 has also been attributed to "better price/mix" in the Mexican market.
5. Favorable Macroeconomic Conditions in Key Markets: The company benefits from strengthening macroeconomic environments, particularly in Peru, which is experiencing sustained domestic demand, new mining projects, rising wages, and low inflation. These conditions create a favorable backdrop for growing student enrollment and, consequently, revenue.

Share Repurchases

• On October 30, 2025, Laureate Education's Board of Directors authorized a $150 million increase in its stock buyback authorization. This brought the total available buyback capacity to $177 million, including $27 million remaining from a prior authorization.
• In September 2024, the company announced a new stock repurchase program for up to $100 million of its common stock. This followed the completion of a similar $100 million buyback announced in February 2024.
• Laureate Education repurchased approximately $71 million of its common stock during the nine months ended September 30, 2025, and approximately $42 million during the first quarter of 2025.

Share Issuance

• The number of Laureate Education's shares outstanding has generally decreased over the last 3-5 years, driven by share repurchases. For example, shares outstanding decreased by 3.04% in 2025, 4.26% in 2024, and 2.42% in 2023.
• As of October 2025, the company had 146,122,000 shares outstanding.

Outbound Investments

• Laureate Education completed the sale of Walden University in August 2021, which resulted in a $1.29 billion cash distribution to eligible stockholders.
• The company divested its Brazilian operations in May 2021 to Anima Holding for $765 million, which included 11 institutions.
• Laureate Education has focused its operations on Mexico and Peru, indicating strategic investment in these core markets, including campus expansions and digital presence.

Capital Expenditures

• Laureate Education makes significant capital investments and operational improvements focusing on technology and human resources.
• The company invests in technology-enabled solutions to enhance the student experience and increase the penetration of its hybrid educational offerings.
• Capital expenditures are primarily directed towards ongoing expansion in high-growth Latin American markets, specifically Mexico and Peru, through new campus openings and targeted capacity investments to support enrollment growth.