• Universal Technical Institute (UTI) but for a broader range of careers, including healthcare, culinary arts, and more skilled trades like HVAC and welding.
• A multi-campus vocational education system, similar to a hands-on, career-focused DeVry University.

Lincoln Educational Services (LINC) provides the following major educational services:

• Automotive Technology Education: Offers associate's degrees, diplomas, and certificates for careers in automotive repair and maintenance.
• Skilled Trades Education: Provides training in fields such as electrical, heating and air conditioning repair, welding, and computerized numerical control.
• Healthcare Professions Education: Delivers programs for roles like nursing, dental and medical assistant, and medical administrative assistant.
• Culinary & Hospitality Education: Includes training in culinary arts, therapeutic massage, cosmetology, and aesthetics.
• Information Technology Programs: Offers various educational programs focused on information technology skills and careers.

Lincoln Educational Services (LINC) primarily sells its educational services to **individuals** rather than other companies. Its major customers are students seeking post-secondary education and career training.

The company serves the following categories of individual customers:

• High School Graduates: Individuals who have recently completed high school and are seeking to acquire specific career skills or an associate's degree to enter the workforce or advance their education.
• Working Adults: Individuals already in the workforce who are looking to enhance their skills, change careers, obtain certifications, or earn a degree to advance in their current profession or transition into a new one.

Scott M. Shaw, President & Chief Executive Officer

Mr. Shaw joined Lincoln Educational Services in 2001 and currently serves as President and Chief Executive Officer. Prior to this role, he held positions including President and Chief Operating Officer, Executive Vice President and Chief Administrative Officer, and Senior Vice President of Strategic Planning and Business Development. Before joining Lincoln, Mr. Shaw was a partner at Stonington Partners, Inc. starting in 1994, where he was responsible for identifying, evaluating, acquiring, and overseeing companies, including assisting in their eventual sale. He also served as a consultant to Merrill Lynch Capital Partners Inc., a private investment firm, from 1994 through 2000.

Brian K. Meyers, Executive Vice President, Chief Financial Officer and Treasurer

Mr. Meyers joined Lincoln Educational Services in 2002 and currently serves as Executive Vice President, Chief Financial Officer and Treasurer. He brings over 25 years of accounting and financial management experience to his role. Before his tenure at Lincoln, Mr. Meyers was Vice President and Controller for Candie's Inc. He began his career in 1989 with Richard A. Eisner (now EisnerAmper LLP), a public accounting firm. Mr. Meyers is a Certified Public Accountant.

Chad D. Nyce, Executive Vice President and Chief Operating Officer

Mr. Nyce joined Lincoln Educational Services in 2020 and is currently the Executive Vice President and Chief Operating Officer. Previously, he served as Executive Vice President and Chief Innovation Officer at Lincoln. Prior to joining Lincoln, he was the Chief Operating Officer at Strayer University, LLC (a subsidiary of Strategic Education, Inc.) from 2007 to 2019, and Regional Vice President of Operations for InteliStaf Healthcare, Inc. from 2004 to 2007.

Alexandra M. Luster, Senior Vice President, General Counsel & Corporate Secretary

Ms. Luster joined Lincoln Educational Services in 1995 and serves as Senior Vice President, General Counsel & Corporate Secretary. She has over 30 years of legal experience, overseeing the Company's Legal and Regulatory & Compliance Departments.

Neal Goldstein, Senior Vice President and Chief Information Officer

Mr. Goldstein joined Lincoln Educational Services in 2025 as Senior Vice President and Chief Information Officer. Before joining Lincoln, he held the position of Chief Technology Officer at Mutual of America. He has extensive experience in various Chief Technology Officer and Chief Information Officer roles within the financial services industry.

Regulatory Compliance and Dependence on Federal Funding

Lincoln Educational Services, like other for-profit educational institutions, faces significant risks due to its heavy reliance on federal student financial aid programs, particularly Title IV funding, which constituted approximately 85% of its revenue in 2025. The for-profit education sector is subject to extensive and evolving federal and state regulations. Changes in policies related to the "90/10 Rule" (requiring at least 10% of revenue from non-federal sources), gainful employment regulations, and financial responsibility standards pose a substantial threat. Non-compliance or adverse changes in these regulations could lead to financial penalties, operational restrictions, increased oversight, or even the loss of eligibility for federal aid, which would severely impact LINC's revenue and operations.

Competition and Enrollment Trends

LINC operates in a highly competitive market, vying for students with other for-profit schools, public colleges, and online education providers. Public institutions often benefit from state appropriations, enabling them to offer lower tuition rates, which can put for-profit schools like Lincoln at a disadvantage. Declines in overall enrollment, increased competition, or shifts in labor market conditions that reduce the perceived value or demand for certain programs could negatively impact student acquisition and retention, leading to reduced revenues.

Operational Execution of Growth Strategy and Capital Intensity

Lincoln Educational Services is actively pursuing a growth strategy that involves campus expansions and relocations, which are capital-intensive undertakings. There is an inherent risk that these expansions or relocations may not proceed as planned or fail to attract sufficient enrollment to justify the investment, potentially impacting near-term margins and free cash flow, which has been negative due to these capital investments. Effective operational execution is crucial for realizing the expected returns from these strategic initiatives.

Online vocational and certificate programs, including specialized bootcamps and micro-credentialing platforms, that offer more flexible, often lower-cost, and sometimes faster pathways to acquire career-specific skills, directly competing with Lincoln Educational Services' in-person programs.

Employer-led and industry-consortium apprenticeship programs that recruit directly from high schools and other entry points, providing on-the-job training and certifications, thereby bypassing traditional post-secondary vocational schools for skilled trades and other technical professions.

Lincoln Educational Services (LINC) operates in several career-oriented post-secondary education sectors across the United States. The addressable markets for its main products and services in the U.S. are as follows:

Transportation and Skilled Trades

• Automotive Technology: The U.S. job market for automotive technicians is experiencing a significant demand, with an estimated 67,000 positions needing to be filled annually through 2033. The U.S. Bureau of Labor Statistics also estimates that about 76,000 new automotive technicians and mechanics will be required each year for the next ten years to offset retirements and those leaving the industry. In 2023, approximately 37,616 degrees were awarded in Automobile Mechanics Technology in the U.S..
• Skilled Trades (electrical, HVAC, welding, computerized numerical control, electrical and electronic systems technology): The Trade & Technical Schools industry in the United States, which encompasses these skilled trades, has a market size of an estimated $17.5 billion in 2026. After a decline, enrollment in Skilled Trades Schools grew at a 1.2% CAGR from 2020 to 2023.

Healthcare and Other Professions

• Nursing Education: The U.S. nursing education market was valued at $9.7 billion in 2024 and is projected to grow at a CAGR of 5.3% between 2025 and 2034. Another estimate places the U.S. nursing education market at USD 9.7 billion in 2024, with expectations to grow at a 5.3% CAGR between 2025 and 2034.
• Dental Assistant Training: The U.S. dental assistant job market is projected to grow by 11% from 2022 to 2032, which is faster than the average for all occupations. This translates to about 55,000 new dental assisting job openings annually in the U.S.. Approximately 371,000 dental assistants are currently employed in the U.S..
• Medical Assistant Training: The U.S. medical assistant job market is expected to grow by 13.8% between 2022 and 2032, with an average of 114,600 job openings available annually. As of May 2023, there were 763,040 medical assistants employed in the United States.
• Other Healthcare Professions (e.g., medical administrative assistant, claim examiner): These roles fall under the broader U.S. healthcare professional training market, which was estimated at $230.6 million in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 7.6% from 2023 to 2030.

Hospitality Services

• Culinary Education: The global cooking class market was valued at an estimated $272.39 billion in 2026 and is projected to reach $497.25 billion by 2035. North America accounts for 41% of this market.
• Cosmetology and Aesthetics: The market size of Cosmetology & Beauty Schools in the U.S. was $2.4 billion in 2024 and is expected to remain $2.4 billion in 2025. The Beauty & Wellness category in trade education was valued at $2.2 billion as of 2024 in the U.S.
• Therapeutic Massage: Null

Information Technology Programs

• The United States IT Training Market was valued at $89.76 billion in 2023 and is anticipated to show robust growth with a CAGR of 6.44% through 2029.

Lincoln Educational Services (LINC) is positioned for future revenue growth over the next 2-3 years, driven by several strategic initiatives and market tailwinds:

1. Growth in Student Enrollment: The company consistently reports strong increases in student starts and overall student population. For example, in Q1 2024, student starts increased by 15.3%, contributing to a nearly 20% revenue growth. The company also saw a 17% year-over-year increase in average student population in Q4 2025, with student starts growing by 15.7%. Looking ahead, Lincoln Educational Services projects an 8-13% growth in student starts for 2026.
2. Campus Expansion and Relocations: Lincoln Educational Services is actively expanding its physical footprint to reach more students and address market demand. This includes opening new campuses, such as the East Point, Georgia campus, and planning for additional locations. Strategic relocations of existing campuses, like Nashville and Levittown, Pennsylvania, have been completed, and new campuses in Houston, Texas, and Rowlett, Texas (expected early 2027), are part of the growth strategy. The company plans to add approximately two new campus projects per year.
3. Expansion of High-Demand Programs: The company focuses on replicating and launching new programs in high-demand fields to attract more students. This strategy includes introducing new program offerings and expanding existing successful ones, such as the launch of an electrical program at its South Plainfield, NJ campus and plans for seven program replications. These program innovations enhance the company's market position and align with the demand for skilled trades training.
4. Leveraging the Lincoln 10.0 Hybrid Instructional Platform: The rollout of the Lincoln 10.0 hybrid teaching model is a key driver for efficiency and accelerated revenue recognition. This platform, which combines hands-on learning with online instruction, is expected to be used in approximately 65% of classes by the end of Q1 2024. The platform enhances flexibility for students and contributes to increased program efficiency and, in some cases, accelerated revenue recognition, particularly in evening programs.
5. Development of Corporate Partnerships: Lincoln Educational Services is expanding its revenue streams through new and existing corporate partnerships, offering training services beyond traditional student enrollment. Notable examples include a new contract with Container Maintenance Corporation, valued at approximately $6 million over five years, and expanded relationships with companies like Johnson Controls and New Jersey Transit. These partnerships demonstrate a diversification of service offerings and a source of growth.

Capital Allocation Decisions for Lincoln Educational Services (LINC)

• Share Repurchases
• Lincoln Educational Services spent $0 on share buybacks in Q3 2024.
• Capital Expenditures
• Capital expenditures for 2025 reached $88 million, predominantly focused on growth initiatives.
• These investments in 2025 were mainly allocated to major expansion projects, including relocating campuses in Nashville and Philadelphia, and opening a new campus in Houston.
• A similar level of capital investment is planned for 2026, with a primary focus on growth initiatives, campus facilities, and technology to support expansion.