Lake Ridge Academy

Lake Ridge Academy is burning the cushion faster than the 1-month buffer suggests. Expenses are outpacing revenue -5.6% vs -13.1% per year over three years, and the latest operating margin is -23.0% on a 88% tuition-dependent revenue mix. Covering the deficit at today's rate, reserves would last roughly 3 more months — the full budget, by contrast, is covered for about 1 months if every revenue line stopped. The board conversation here is the recovery plan for the operating model and the timeline to break-even. NACUBO Composite Financial Index: -2.0 / 10, distressed.

Lake Ridge Academy holds only 1 months of operating expense in reserve — a thin runway that warrants understanding before walking into a campus visit.

Lake Ridge Academy reported $9.5M in revenue against $11.6M in expenses in fiscal year 2023, the most recent filing on record. Net assets stood at $707K — about 0.06x annual operating expense.

Operating margin landed at -23.0%, with 88.3% of revenue coming from tuition. Among same-size peers, that puts Lake Ridge Academy at the p3 on operating margin.