2U Annual Report


We believe there is direct correlation between our long-term financial success and positive outcomes for our university clients and their students.

Student Outcomes

Students around the world are enrolled in 2U-enabled programs, and they are realizing their dreams by becoming Trojans, Hoyas and Tar Heels.

These students participate in weekly, live, faculty-led classes, which in 2014 averaged only 10.5 students per class. They also engage in real-world learning experiences, such as immersions and field placements. As of December 31, 2014, more than 4,000 students had graduated from 2U-enabled programs, and each graduate had the opportunity to walk in a university-wide graduation ceremony with his or her online classmates.

This immersive, engaging education prepares students with the skills and knowledge they need to advance their careers and reach their highest potential.

More than12,300

Student Enrollments


of students who have enrolled in 2U-powered programs are either graduated or still enrolled Inception to date, as of 12/31/14

For more details on the impact our programs are having, see our 2015 Impact Report

Visit the 2015 Impact Report

University Outcomes

Universities worldwide face unprecedented challenges growing their student populations while maintaining high academic standards and remaining cost effective.

By collaborating with 2U, top-tier universities can expand their reach beyond the geographic limits of physical campuses, attracting and enrolling a previously unreachable group of qualified students and faculty, and delivering an educational experience that matches and often exceeds the rigor and quality of the on-campus modality.

Clients [1]
This grid includes a list of 2U's clients and their programs for whom the first day of classes have been held as of the launch date of this report. It includes the following clients: American University School of International Service, Berkeley School of Information, The George Washington University Milken School of Public Health, Georgetown University School of Nursing and Health Studies, The Family Institute at Northwestern University, Simmons School of Nursing and Health Sciences, Simmons School of Social Work, SMU, Technologico de Monterrey, University of North Carolina Kenan Flagler School of Business, University of North Carolina School of Government, University of Southern California Rossier School of Education, University of Southern California School of Social Work, Washington University in St. Louis School of Law, and Syracuse University Whitman School of Management
[1] Clients for whom the first day of classes have been held as of the launch date of this report

These outcomes have been instrumental in positioning 2U to attract a rapidly growing portfolio of prestigious universities and their degree programs and program verticals. 2U’s agreements with these universities establish deep and long-term partnerships through a shared revenue model that has created an expected $698 million in attrition-adjusted tuition bookings for our university clients since inception.

Financial Outcomes

2U’s strong revenue growth in 2014 reflected increasing student enrollment levels across the portfolio of degree programs we enable, as well as the launch of additional programs offered by new and existing university clients.

We again improved our Adjusted EBITDA loss margin and, for the first time, showed decelerating year-over-year losses throughout 2014, placing us firmly on a path to profitability.

Our attractive long-term business model incorporating a highly predictable revenue stream, controllable expense levels and compelling portfolio economics provides a strong foundation for driving shareholder value and outcomes.

This chart graphs 2U's yearly revenue since 2011. Revenue has grown every year, from $29.7 million in 2011, to $55.9 million in 2012, to $83.1 million in 2013, and finally to $110.2 million in 2014. The chart graphs 2U's Adjusted EBITDA Loss and Adjusted EBITDA Loss Margin since 2011. Adjusted EBITDA Loss was $-22.5 million in 2011, -$18.8 million in 2012, -$21.2 million in 2013, $-14.8 million in 2014. Adjusted EBITDA Loss Margin was -76% in 2011, -34% in 2012, -26% in 2013, -13% in 2014. This chart graphs 2U's Full Course Equivalent Enrollments since 2011. Full Course Equivalents have grown every year, from 14,099 in 2011, to 22,532 in 2012, to 31,338 in 2013, and finally 41,034 in 2014.