Pacific Northern Academy

Pacific Northern Academy is burning the cushion faster than the balance sheet suggests. Expenses are outpacing revenue 3.8% vs -5.4% per year over three years, and the latest operating margin is -9.9% on a 88% tuition-dependent revenue mix. At the current burn rate, the cushion will be drawn down within a measurable horizon. The board conversation here is the recovery plan for the operating model and the timeline to break-even. NACUBO Composite Financial Index: -2.7 / 10, distressed.

Pacific Northern Academy reported $3.4M in revenue against $3.7M in expenses in fiscal year 2023, the most recent filing on record. Net assets stood at -$594K.

Operating margin landed at -9.9%, with 88.5% of revenue coming from tuition. Among same-size peers, that puts Pacific Northern Academy at the p14 on operating margin.