Beacon Academy

Beacon Academy is burning the cushion faster than the 3-month buffer suggests. Expenses are outpacing revenue 5.6% vs -1.1% per year over three years, and the latest operating margin is -7.8% on a 82% tuition-dependent revenue mix. Covering the deficit at today's rate, reserves would last roughly 2.8 more years — the full budget, by contrast, is covered for about 3 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: -1.6 / 10, distressed.

Beacon Academy holds only 3 months of operating expense in reserve — a thin runway that warrants understanding before walking into a campus visit.

Beacon Academy reported $7.3M in revenue against $7.8M in expenses in fiscal year 2023, the most recent filing on record. Net assets stood at $1.7M — about 0.22x annual operating expense.

Operating margin landed at -7.8%, with 81.9% of revenue coming from tuition. Among same-size peers, that puts Beacon Academy at the p30 on operating margin.