Stride forecasts FY 2027 revenue of $2.530B-$2.610B as it fixes enrollment-impacting platform friction

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Enrollment declined due to negative user experiences with the technology platform, including the new Launchpad overlay, which created friction for parents, students, and teachers, impacting applications and retention.
Management is hiring a new CIO, halting non-value-add initiatives, forming a new Capital Allocation Committee, and focusing on improving platform reliability and the user experience to resolve past technology issues.
Management expects FY 2027 revenue of $2.53–$2.61 billion, adjusted operating income of $500–$530 million, capital expenditures of $70–$80 million, and a gross margin down 100–200 bps versus last fiscal year, assuming in-year enrollment growth.

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