Company: LGCY
Filing Date: 2025-09-25
Form Type: 10-K
Source: 0001493152-25-014945
Chunk: 688

Company: Legacy Education Inc.
Filing Date: 2025-09-25
Form: 10-K
Item: Item 3
Chunk 688
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 highly susceptible to factors outside of the Company’s influence. Accordingly, no variable consideration has been included in
the transaction price or recognized as income until the constraint has been eliminated. Revenue is allocated to each performance obligation
based on its standalone selling price. Any discounts within the contract are allocated across all performance obligations unless observable
evidence exists that the discount relates to a specific performance obligation or obligations in the contract. The Company generally
determines standalone selling prices based on prices charged to students.

The
Company excludes from revenue taxes assessed by a governmental authority as these are agency transactions collected on their behalf from
the customer. Significant judgments include the allocation of the contract price across performance obligations, the methodology for
earning tuition ratably over the instruction period, estimates for the amount of variable consideration included in the transaction price
as well as the determination of the impact of the constraints preventing the variable consideration from being recognized in revenue.

Disaggregation
of Revenue

The
tuition and related revenue consist of the following during the years ended June 30, 2025 and 2024:

Schedule of Disaggregation
of Revenue

    2025  
    2024 
  
    Tuition and lab fees (recognized over time) 
    $56,906,769  
    $41,200,761 
  
    Books, registration and other fees (recognized at a point in time) 
     7,261,256  
     4,799,555 
  
    Total revenue 
    $64,168,025  
    $46,000,316 

Segment
Reporting

The
Company operates one reportable business segment offering career-focused, post-secondary education services to students at all stages
of adult life, from recent high school graduates to working parents, through its accredited academic institutions. The Company’s
primary revenue source is derived from educational programs and services provided at its colleges through tuition and lab fees as well
as fees for supporting educational programs such as books and registration costs.

Operating
as a cohesive educational services company, the Company offers its products and services in the State of California at a series of institutions,
using a centralized management approach for all educational services and support functions.

The
Chief Executive Officer (“CEO”) serves as the Chief Operating Decision Maker (“CODM”). The CODM evaluates the
Company’s performance based on consolidated net income. This measure aligns with the Company’s consolidated financial statements
and serves as the basis for resource allocation and performance assessment. The measure