Company: LGCY
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010844
Chunk: 181

Company: Legacy Education Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 2
Chunk 181
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 $0.4 million for the nine months ended March 31, 2025 and 2024, respectively.

Title
IV and other government funding

A
significant portion of our revenue is derived from student tuition payments funded by the Title IV Programs. As such, the timing of disbursements
under the Title IV Programs is based on federal regulations and our ability to successfully and timely arrange financial aid for our
students. Title IV Program funds are generally provided in multiple disbursements before we earn a significant portion of tuition and
fees and incur related expenses over the period of instruction. Students must apply for new Title IV Program loans and grants each academic
year. These factors, together with the timing of our students beginning their programs, affect our operating cash flow.

Financial
responsibility

Based
on the most recent fiscal year-end financial statements, we satisfied the composite score requirement of the financial responsibility
test which institutions must satisfy in order to participate in the Title IV Programs.

Cash
Flow Activities for the Nine Months Ended March 31, 2025 and 2024

Operating
activities

Net
cash provided by operating activities was approximately $4.8 million and $2.7 million for the nine months ended March 31, 2025, and 2024,
respectively. The increase of approximately $2.1 million is primarily attributable to an increase in earnings.

Investing
activities

Net
cash used in investing activities was approximately $6.9 million for the nine months ended March 31, 2025, and approximately $0.4 million
for the nine months ended March 31, 2024, an increase of approximately $6.5 million primarily attributed to the acquisition of CCMCC
of $6.1 million.

Financing
activities

Net
cash provided by financing activities was approximately $9.1 million for the nine months ended March 31, 2025, and net cash used of approximately
$0.2 million for the nine months ended March 31, 2024, an increase of approximately $8.9 million due to the net proceeds of $9.2 million
from our initial public offering (“IPO”), offset by certain debt repayments.

Financings

    ●
    From
    July 2021 to September 2021, the Company issued 108,333 shares of common stock to investors at a purchase price of $3.00 per share
    for total proceeds of $325,000