Company: LGCY
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010844
Chunk: 87

Company: Legacy Education Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 87
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the test is not satisfied for two consecutive years, eligibility to participate in Title IV programs is lost for at least two fiscal
years. Using ED’s cash-basis, regulatory formula under the 90/10 Rule, as in effect for its 2024 fiscal year, HDMC, CCC and Integrity
derived 87.55%,79.51% and 84.19% for its 90/10 revenue from Title IV program funds, respectively, for the fiscal year ended June 30,
2024.

Litigation

The
Company is unaware of any other pending or threatened litigation arising from services currently or formerly performed by the Company.
The Company is unaware of any possible claiming that could have a material adverse effect on the Company’s business, results of
operations or financial condition.

Note
17 – Subsequent Events

On
April 2, 2025 the Company granted a total of 479,648 stock options pursuant to the Company’s Amended and Restated 2021 Equity
Incentive Plan to certain officers and directors for exercise at 7.25 per share. The options vest over 3 years in equal monthly
installments with the first tranche vesting on grant date and expiring on April 2, 2035.

F-21

ITEM
2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

You
should read the following discussion and analysis of our financial condition and results of operations together with our financial statements
and the related notes appearing elsewhere in this Quarterly Report on Form 10-Q. In addition to historical information, this discussion
and analysis contains forward-looking statements that involve risks, uncertainties and assumptions. Our actual results may differ materially
from those discussed below. Factors that could cause or contribute to such differences include, but are not limited to, those identified
below, and those discussed in the section titled “Risk Factors” included in our Annual Report on Form 10-K for the fiscal
year ended June 30, 2024 as may be amended, supplemented or superseded from time to time by other reports we file with the SEC. All amounts
in this report are in U.S. dollars, unless otherwise noted.

Throughout
this Quarterly Report on Form 10-Q references to “we,” “our,” “us,” the “Company,” or
“Legacy,” refer to Legacy Education Inc.

Overview

We
provide career-focused, post-secondary education services to students at all stages of adult life