KLC 8-K

KinderCare Learning Companies, Inc. (KLC)

8-K 2025-11-12 For: 2025-11-12

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Added on April 10, 2026

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Delaware	001-42367	87-1653366
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

5005 Meadows Road
Lake Oswego, Oregon		97035
(Address of Principal Executive Offices)		(Zip Code)


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.01 per share	KLC	New York Stock Exchange


Exhibit		Description
99.1		Press Release dated November 12, 2025
104		Cover Page Interactive Data File (embedded within the Inline XBRL document)


			KinderCare Learning Companies, Inc.

Date:	November 12, 2025	By:	/s/ Anthony Amandi
		Name: Title:	Anthony Amandi Chief Financial Officer


	September 27, 2025		December 28, 2024
Assets
Current assets:
Cash and cash equivalents	$	174,733	$	62,336
Accounts receivable, net		103,298		104,333
Prepaid expenses and other current assets		56,034		48,104
Total current assets		334,065		214,773
Property and equipment, net		430,736		418,524
Goodwill		1,137,181		1,119,714
Intangible assets, net		422,996		429,766
Operating lease right-of-use assets		1,474,746		1,373,064
Other assets		83,769		89,626
Total assets	$	3,883,493	$	3,645,467
Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable and accrued liabilities	$	198,189	$	152,660
Related party payables		—		119
Current portion of long-term debt		9,620		7,251
Operating lease liabilities—current		164,843		144,919
Deferred revenue		29,513		26,376
Other current liabilities		67,346		81,433
Total current liabilities		469,511		412,758
Long-term debt, net		921,268		918,719
Operating lease liabilities—long-term		1,421,150		1,315,587
Deferred income taxes, net		34,411		30,907
Other long-term liabilities		105,944		102,987
Total liabilities		2,952,284		2,780,958
Total shareholders' equity		931,209		864,509
Total liabilities and shareholders' equity	$	3,883,493	$	3,645,467

KLC 8-K

FORM 8-K

Item 2.02 Results of Operations and Financial Condition.

Item 9.01 Financial Statements and Exhibits.


	Three Months Ended
	September 27, 2025				September 28, 2024
Revenue	$	676,830			$	671,476
Costs and expenses:
Cost of services (excluding depreciation and impairment)		543,139		80.2%		521,093		77.6%
Depreciation and amortization		31,019		4.6%		29,641		4.4%
Selling, general, and administrative expenses		73,043		10.8%		65,110		9.7%
Impairment losses		3,309		0.5%		1,257		0.2%
Total costs and expenses		650,510		96.1%		617,101		91.9%
Income from operations		26,320		3.9%		54,375		8.1%
Interest expense		24,095		3.6%		39,459		5.9%
Interest income		(1,731	)	(0.3%)		(1,260	)	(0.2%)
Other income, net		(2,249	)	(0.3%)		(1,937	)	(0.3%)
Income before income taxes		6,205		0.9%		18,113		2.7%
Income tax expense		1,655		0.2%		4,154		0.6%
Net income	$	4,550		0.7%	$	13,959		2.1%
Net income per common share: (1)
Basic	$	0.04			$	0.15
Diluted	$	0.04			$	0.15
Weighted average number of common shares outstanding: (1)
Basic		118,353				90,366
Diluted		118,413				90,366


	Nine Months Ended
	September 27, 2025				September 28, 2024
Revenue	$	2,045,184			$	2,016,079
Costs and expenses:
Cost of services (excluding depreciation and impairment)		1,578,804		77.2%		1,518,818		75.3%
Depreciation and amortization		92,070		4.5%		87,393		4.3%
Selling, general, and administrative expenses		223,418		10.9%		234,148		11.6%
Impairment losses		7,054		0.3%		7,140		0.4%
Total costs and expenses		1,901,346		93.0%		1,847,499		91.6%
Income from operations		143,838		7.0%		168,580		8.4%
Interest expense		64,276		3.1%		119,806		5.9%
Interest income		(3,814	)	(0.2%)		(5,120	)	(0.3%)
Other income, net		(4,900	)	(0.2%)		(5,721	)	(0.3%)
Income before income taxes		88,276		4.3%		59,615		3.0%
Income tax expense		23,981		1.2%		18,872		0.9%
Net income	$	64,295		3.1%	$	40,743		2.0%
Net income per common share: (1)
Basic	$	0.54			$	0.45
Diluted	$	0.54			$	0.45
Weighted average number of common shares outstanding: (1)
Basic		118,300				90,366
Diluted		118,368				90,366


	Three Months Ended						Nine Months Ended
	September 27,			September 28,			September 27,			September 28,
	2025			2024			2025			2024
Net income	$	4,550		$	13,959		$	64,295		$	40,743
Add back:
Interest expense		24,095			39,459			64,276			119,806
Interest income		(1,731	)		(1,260	)		(3,814	)		(5,120	)
Income tax expense		1,655			4,154			23,981			18,872
EBIT	$	28,569		$	56,312		$	148,738		$	174,301
Add back:
Depreciation and amortization		31,019			29,641			92,070			87,393
EBITDA	$	59,588		$	85,953		$	240,808		$	261,694
Add back:
Impairment losses (1)		3,309			1,257			7,054			7,140
Stock-based compensation (2)		2,826			(1,402	)		10,360			(94	)
Management and advisory fee expenses (3)		—			1,216			—			3,648
Acquisition related costs (4)		—			—			—			16
Non-recurring distribution and bonus expense (5)		—			—			—			19,287
COVID-19 Related Stimulus, net (6)		—			(14,908	)		(26,713	)		(65,683	)
Other costs (7)		672			(760	)		882			6,139
Adjusted EBITDA	$	66,395		$	71,356		$	232,391		$	232,147


	Nine Months Ended
	September 27, 2025			September 28, 2024
Operating activities:
Net income	$	64,295		$	40,743
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization		92,070			87,393
Impairment losses		7,054			7,140
Change in deferred taxes		5,898			(761	)
Loss on extinguishment of long-term debt, net		5,434			895
Amortization of debt issuance costs		4,635			4,956
Stock-based compensation		10,135			22,316
Realized and unrealized gains from investments held in deferred compensation asset trusts		(3,850	)		(3,285	)
Gain on disposal of property and equipment		(82	)		(1,505	)
Changes in assets and liabilities, net of effects of acquisitions		48,693			(1,156	)
Cash provided by operating activities		234,282			156,736
Investing activities:
Purchases of property and equipment		(95,925	)		(94,614	)
Payments for acquisitions, net of cash acquired		(17,544	)		(10,497	)
Proceeds from the disposal of property and equipment		169			1,537
Investments in deferred compensation asset trusts		(4,885	)		(6,767	)
Proceeds from deferred compensation asset trust redemptions		3,762			1,639
Cash used in investing activities		(114,423	)		(108,702	)
Financing activities:
Payments of deferred offering costs		(275	)		(1,725	)
Distribution to parent		—			(320,000	)
Proceeds from issuance of long-term debt		—			264,338
Principal payments of long-term debt		(4,834	)		(7,933	)
Payments of debt issuance costs		(317	)		(230	)
Repayments of promissory notes		(250	)		(339	)
Payments of financing lease obligations		(934	)		(1,223	)
Tax payments related to net settlement of restricted stock units		(851	)		—
Cash used in financing activities		(7,461	)		(67,112	)
Net change in cash, cash equivalents, and restricted cash		112,398			(19,078	)
Cash, cash equivalents, and restricted cash at beginning of period		62,430			156,412
Cash, cash equivalents, and restricted cash at end of period	$	174,828		$	137,334