2U (TWOUQ) 10-Q 30 Apr 20 2020 Q1 Quarterly report Financial data

Cover Page

Cover Page - shares	3 Months Ended
	Mar. 31, 2020	Apr. 28, 2020
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2020
Document Transition Report	false
Entity File Number	001-36376
Entity Registrant Name	2U, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	26-2335939
Entity Address, Address Line One	7900 Harkins Road
Entity Address, City or Town	Lanham,
Entity Address, State or Province	MD
Entity Address, Postal Zip Code	20706
City Area Code	301
Local Phone Number	892-4350
Title of 12(b) Security	Common stock, $0.001 par value per share
Trading Symbol	TWOU
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		63,958,768
Entity Central Index Key	0001459417
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q1

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Current assets
Cash and cash equivalents	$ 138,200	$ 170,593
Restricted cash	19,286	19,276
Accounts receivable, net	75,411	33,655
Prepaid expenses and other assets	42,103	37,424
Total current assets	275,000	260,948
Property and equipment, net	56,015	57,643
Right-of-use assets	48,675	43,401
Goodwill	404,733	418,350
Amortizable intangible assets, net	324,976	333,075
University payments and other assets, non-current	72,562	73,413
Total assets	1,181,961	1,186,830
Current liabilities
Accounts payable and accrued expenses	89,198	65,381
Accrued compensation and related benefits	24,167	21,885
Deferred revenue	69,822	48,833
Lease liability	7,858	7,320
Other current liabilities	12,414	12,535
Total current liabilities	203,459	155,954
Long-term debt	244,574	246,620
Deferred tax liabilities, net	3,118	5,133
Lease liability, non-current	73,541	66,974
Other liabilities, non-current	986	899
Total liabilities	525,678	475,580
Commitments and contingencies
Stockholders’ equity
Preferred stock, $0.001 par value, 5,000,000 shares authorized, none issued	0	0
Common stock, $0.001 par value, 200,000,000 shares authorized, 63,703,067 shares issued and outstanding as of March 31, 2020; 63,569,109 shares issued and outstanding as of December 31, 2019	64	63
Additional paid-in capital	1,218,632	1,197,379
Accumulated deficit	(539,494)	(479,388)
Accumulated other comprehensive loss	(22,919)	(6,804)
Total stockholders’ equity	656,283	711,250
Total liabilities and stockholders’ equity	$ 1,181,961	$ 1,186,830

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, authorized (in shares)	5,000,000	5,000,000
Preferred stock, issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized (in shares)	200,000,000	200,000,000
Common stock, issued (in shares)	63,703,067	63,569,109
Common stock, outstanding (in shares)	63,703,067	63,569,109

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Income Statement [Abstract]
Revenue	$ 175,479	$ 122,234
Costs and expenses
Curriculum and teaching	20,478	6,701
Servicing and support	30,533	20,174
Technology and content development	35,510	19,794
Marketing and sales	99,215	76,961
General and administrative	43,653	23,023
Total costs and expenses	229,389	146,653
Loss from operations	(53,910)	(24,419)
Interest income	513	2,349
Interest expense	(5,493)	(55)
Other expense, net	(2,271)	(370)
Loss before income taxes	(61,161)	(22,495)
Income tax benefit	1,055	941
Net loss	$ (60,106)	$ (21,554)
Net loss per share, basic and diluted (in dollars per share)	$ (0.94)	$ (0.37)
Weighted-average shares of common stock outstanding, basic and diluted (in shares)	63,626,333	58,138,692
Other comprehensive loss
Foreign currency translation adjustments, net of tax of $0 for all periods presented	$ (16,115)	$ (372)
Comprehensive loss	$ (76,221)	$ (21,926)

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Operations and Comprehensive Loss (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Other comprehensive loss
Foreign currency translation adjustments, tax	$ 0	$ 0

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Accumulated Other Comprehensive Income (Loss)
Beginning balance (in shares) at Dec. 31, 2018		57,968,493
Beginning balance at Dec. 31, 2018	$ 705,009	$ 58	$ 957,631	$ (244,166)	$ (8,514)
Increase (Decrease) in Stockholders' Equity
Issuance of common stock in connection with settlement of restricted stock units, net of withholdings (in shares)		9,319
Issuance of common stock in connection with settlement of restricted stock units, net of withholdings	0		0
Exercise of stock options (in shares)		211,506
Exercise of stock options	1,928		1,928
Stock-based compensation expense	9,584		9,584
Net loss	(21,554)			(21,554)
Foreign currency translation adjustment	(372)				(372)
Ending balance (in shares) at Mar. 31, 2019		58,189,318
Ending balance at Mar. 31, 2019	$ 694,595	$ 58	969,143	(265,720)	(8,886)
Beginning balance (in shares) at Dec. 31, 2019	63,569,109	63,569,109
Beginning balance at Dec. 31, 2019	$ 711,250	$ 63	1,197,379	(479,388)	(6,804)
Increase (Decrease) in Stockholders' Equity
Issuance of common stock in connection with settlement of restricted stock units, net of withholdings (in shares)		96,683
Issuance of common stock in connection with settlement of restricted stock units, net of withholdings	0	$ 1	(1)
Exercise of stock options (in shares)		37,275
Exercise of stock options	384		384
Stock-based compensation expense	20,870		20,870
Net loss	(60,106)			(60,106)
Foreign currency translation adjustment	$ (16,115)				(16,115)
Ending balance (in shares) at Mar. 31, 2020	63,703,067	63,703,067
Ending balance at Mar. 31, 2020	$ 656,283	$ 64	$ 1,218,632	$ (539,494)	$ (22,919)

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Cash flows from operating activities
Net loss	$ (60,106)	$ (21,554)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization expense	23,485	9,698
Stock-based compensation expense	20,870	9,584
Non-cash lease expense	3,620	2,634
Provision for credit losses	629	0
Changes in operating assets and liabilities:
Accounts receivable, net	(42,744)	(37,522)
Payments to university clients	2,739	(10,595)
Prepaid expenses and other assets	(5,273)	(10,489)
Accounts payable and accrued expenses	23,390	17,536
Accrued compensation and related benefits	3,033	(6,768)
Deferred revenue	21,650	16,215
Other liabilities, net	(3,920)	(1,640)
Other	2,764	373
Net cash used in operating activities	(9,863)	(32,528)
Cash flows from investing activities
Purchase of a business, net of cash acquired	(958)	0
Additions of amortizable intangible assets	(15,808)	(13,570)
Purchases of property and equipment	(2,436)	(3,164)
Purchase of investments	0	(2,500)
Proceeds from maturities of investments	0	25,000
Advances repaid by university clients	100	200
Net cash (used in) provided by investing activities	(19,102)	5,966
Cash flows from financing activities
Payments on debt	(358)	0
Payment of debt issuance costs	(2,500)	0
Proceeds from exercise of stock options	384	1,928
Payments for acquisition of amortizable intangible assets	0	(1,283)
Net cash (used in) provided by financing activities	(2,474)	645
Effect of exchange rate changes on cash	(944)	(249)
Net decrease in cash, cash equivalents and restricted cash	(32,383)	(26,166)
Cash, cash equivalents and restricted cash, beginning of period	189,869	449,772
Cash, cash equivalents and restricted cash, end of period	157,486	423,606
Supplemental Cash Flow Information [Abstract]
Cash paid for interest, net of amounts capitalized	4,918	27
Capital Expenditures Incurred but Not yet Paid	$ 1,700	$ 3,200

Organization

Organization	3 Months Ended
	Mar. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization	Organization 2U, Inc. (together with its subsidiaries, the “Company”) is a leading provider of education technology for nonprofit colleges and universities. The Company builds, delivers, and supports more than 400 digital and in-person educational offerings, including graduate degrees, undergraduate degrees, professional certificates, boot camps, and short courses, across the Career Curriculum Continuum. The Company has two reportable segments: the Graduate Program Segment and the Alternative Credential Segment. The Company’s Graduate Program Segment includes the technology and services provided to nonprofit colleges and universities to enable the online delivery of degree programs. Students enrolled in these programs are generally seeking an undergraduate or graduate degree of the same quality they would receive on campus. The Company’s Alternative Credential Segment includes the premium online short courses and technical, skills-based boot camps provided through relationships with nonprofit colleges and universities. Students enrolled in these offerings are generally working professionals seeking career advancement through skills attainment. In December 2019, a novel coronavirus disease (“COVID-19”) was reported and in January 2020, the World Health Organization (“WHO”) declared it a Public Health Emergency of International Concern. On February 28, 2020, the WHO raised its assessment of the COVID-19 threat from high to very high at a global level due to the continued increase in the number of cases and affected countries, and on March 11, 2020, the WHO characterized COVID-19 as a pandemic. While the Company did not incur significant disruptions to its operations during the first quarter of 2020 from COVID-19, it is difficult at this time to predict the impact that COVID-19 will have on its business, financial position and operating results in future periods due to numerous uncertainties and is closely monitoring the impact of the pandemic on all aspects of its business.

Significant Accounting Policies

Significant Accounting Policies	3 Months Ended
	Mar. 31, 2020
Accounting Policies [Abstract]
Significant Accounting Policies	Significant Accounting Policies Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements, which include the assets, liabilities, results of operations and cash flows of the Company have been prepared in accordance with: (i) generally accepted accounting principles in the United States (“U.S. GAAP”) for interim financial information; (ii) the instructions to Form 10-Q; and (iii) the guidance of Rule 10-01 of Regulation S-X under the Securities Exchange Act of 1934, as amended, for financial statements required to be filed with the Securities and Exchange Commission (“SEC”). As permitted under such rules, certain notes and other financial information normally required by U.S. GAAP have been condensed or omitted. The Company believes the condensed consolidated financial statements reflect all normal and recurring adjustments necessary for a fair statement of the Company’s financial position, results of operations, and cash flows as of and for the periods presented herein. The Company’s results of operations for the three months ended March 31, 2020 and 2019 may not be indicative of the Company’s future results. These condensed consolidated financial statements are unaudited and should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019 . All significant intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated balance sheet data as of December 31, 2019 was derived from the audited financial statements, but does not include all disclosures required by U.S. GAAP on an annual reporting basis. Use of Estimates The preparation of condensed consolidated financial statements in accordance with U.S. GAAP requires management to make certain estimates and assumptions that affect the amounts reported herein. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances. Significant estimates and assumptions are inherent in the analysis and the measurement of acquired intangible assets, the recoverability of goodwill and deferred tax assets. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods may be affected by changes in those estimates. The Company evaluates its estimates and assumptions on an ongoing basis. Accounts Receivable, Contract Assets and Liabilities Balance sheet items related to contracts consist of accounts receivable, net and deferred revenue on the Company’s condensed consolidated balance sheets. Included in accounts receivable, net are trade accounts receivable, which are comprised of billed and unbilled revenue. Accounts receivable, net is stated at amortized cost net of provision for credit losses. The Company’s methodology to measure the provision for credit losses requires an estimation of loss rates based upon historical loss experience adjusted for factors that are relevant to determining the expected collectability of accounts receivable. Some of these factors include current market conditions, delinquency trends, aging behavior of receivables and credit and liquidity quality indicators for industry groups, customer classes or individual customers. The Company’s estimates are reviewed and revised periodically based on the ongoing evaluation of credit quality indicators. Historically, actual write-offs for uncollectible accounts have not significantly differed from prior estimates. The Company recognizes unbilled revenue when revenue recognition occurs in advance of billings. Unbilled revenue is recognized in the Graduate Program Segment because billings to university clients do not occur until after the academic term has commenced and final enrollment information is available. Unbilled accounts receivable is recognized in the Alternative Credential Segment once the presentation period commences for amounts to be invoiced to students under installment plans that are paid over the same presentation period.The Company’s unbilled revenue represents contract assets. Deferred revenue represents the excess of amounts billed or received as compared to amounts recognized in revenue on the condensed consolidated statements of operations and comprehensive loss as of the end of the reporting period, and such amounts are reflected as a current liability on the Company’s condensed consolidated balance sheets. The Company generally receives payments for its share of tuition and fees from degree program university clients early in each academic term and from short course and boot camp students, either in full upon registration for the course or in full before the end of the course based on a payment plan, prior to completion of the service period. These payments are recorded as deferred revenue until the services are delivered or until the Company’s obligations are otherwise met, at which time revenue is recognized. The following table presents the change in provision for credit losses within the Company’s consolidated balance sheets for the period indicated: Provision for Credit Losses (in thousands) Balance as of January 1, 2020 $ 1,330 Current period provision 629 Amounts written off (28 ) Balance as of March 31, 2020 $ 1,931 Recent Accounting Pronouncements In March 2020, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This ASU is intended to provide optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, to ease the potential accounting and financial reporting burden associated with the expected market transition from the London Interbank Offered Rate (LIBOR) and other interbank offered rates to alternative reference rates. This ASU may be applied as of the beginning of any interim period that includes its effective date (i.e., March 12, 2020) through December 31, 2022. The Company is evaluating the impact that this ASU will have on its condensed consolidated financial statements and related disclosures. In January 2020, the FASB issued ASU No. 2020-01, Investments—Equity Securities (Topic 321), Investments—Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 . ASU 2020-01 was issued to clarify the interaction of the accounting for equity securities under ASC 321 and investments accounted for under the equity method of accounting in ASC 323 and the accounting for certain forward contracts and purchased options accounted for under ASC 815. With respect to the interactions between ASC 321 and ASC 323, the amendments clarify that an entity should consider observable transactions that require it to either apply or discontinue the equity method of accounting when applying the measurement alternative in ASC 321, immediately before applying or discontinuing the equity method of accounting. The update regarding forward contracts and purchased options is not applicable as the Company does not have any forward contracts or purchased options. The amendments in this ASU are effective for interim and annual reporting periods beginning after December 15, 2020. Early adoption is permitted, including adoption in any interim period. The Company is evaluating the impact that this ASU will have on its condensed consolidated financial statements and related disclosures. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , as part of its initiative to reduce complexity in the accounting standards. The amendments in the ASU include removal of certain exceptions to the general principles in Topic 740 related to recognizing deferred taxes for investments, performing intraperiod tax allocation and calculating income taxes in an interim period. The ASU also clarifies and simplifies other aspects of the accounting for income taxes, including the recognition of deferred tax liabilities for outside basis differences. The amendments in this ASU are effective for annual and interim periods in fiscal years beginning after December 15, 2020, with early adoption permitted. The Company is evaluating the impact that this ASU will have on its condensed consolidated financial statements and related disclosures. In April 2019, the FASB issued ASU No. 2019-04, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments. ASU No. 2019-04 provides corrections, updates and clarifications to the previously issued updates of ASU No. 2016-01, ASU No. 2016-13 and ASU No. 2017-12. Various areas of the Accounting Standards Codification were impacted by the update. This standard follows the effective dates of the previously issued ASUs, unless an entity has already early adopted the previous ASUs, in which case the effective date will vary according to each specific ASU adoption. The Company adopted the amendments related to ASU Nos. 2016-01 and 2016-13 on January 1, 2020 under the modified retrospective transition method, with the exception of the amendments related to equity securities without readily determinable fair values for which an entity elects the measurement alternative, which have been adopted prospectively. Adoption of these amendments did not have a material impact on the Company’s condensed consolidated financial statements or related disclosures. Refer below for further discussion of ASU No. 2016-13. The amendments to ASU No. 2017-12 are not applicable to the Company. In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract , which requires customers in cloud computing arrangements that are service contracts to follow the internal-use software guidance in ASC 350-40 to determine which implementation costs to capitalize as assets or expense as incurred. The amendments in this ASU are effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company early adopted this ASU on July 1, 2018 under the prospective method. As a result of adopting this standard, as of March 31, 2020 and December 31, 2019 , the Company had balances of $3.6 million and $3.1 million , respectively, of capitalized implementation costs incurred to integrate the software associated with its cloud computing arrangements, within university payments and other assets, non-current on the condensed consolidated balance sheets. Such capitalized costs are subject to amortization over the remaining contractual term of the associated cloud computing arrangement, with a useful life of between three to five years . The Company did not incur a material amount of amortization for the three months ended March 31, 2020 and March 31, 2019 . In January 2017, the FASB issued ASU No. 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment , which eliminates step two from the goodwill impairment test and requires an entity to recognize an impairment charge for the amount by which the carrying amount of a reporting unit exceeds its fair value, up to the amount of goodwill allocated to that reporting unit. The amendments in this ASU are effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company early adopted this ASU on January 1, 2019. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . Subsequently, the FASB has issued the following standards related to ASU No. 2016-13: ASU No. 2019-11, Codification Improvements to Topic 326, Financial Instruments—Credit Losses , ASU No. 2019-05, Financial Instruments—Credit Losses (Topic 326): Targeted Transition Relief ; ASU No. 2019-04, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments ; and ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments—Credit Losses . ASU No. 2016-13 requires entities to measure all expected credit losses for most financial assets held at the reporting date based on an expected loss model, which includes historical experience, current conditions, and reasonable and supportable forecasts. Entities will now use forward-looking information to better form their credit loss estimates. ASU No. 2016-13 also requires enhanced disclosures to help financial statement users better understand assumptions used in estimating expected credit losses. The Company adopted this ASU and the related amendments on January 1, 2020 under the modified retrospective transition method, which resulted in no cumulative-effect adjustment to retained earnings. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) , which supersedes ASC 840, Leases (Topic 840) . The ASU introduces a model for lessees requiring most leases to be reported on the balance sheet. The Company adopted this ASU and the related amendments on January 1, 2019 under the modified retrospective transition method, which resulted in no cumulative-effect adjustment to retained earnings. The Company’s financial results for periods ending after January 1, 2019 are presented in accordance with the requirements of Topic 842, while prior period amounts are not adjusted and continue to be reported in accordance with Topic 840. Upon adoption, the Company elected to not recognize ROU assets or lease liabilities for leases with a term of 12 months or less, as permitted by the short-term lease practical expedient. In transition, the Company also applied the package of practical expedients that permit entities to not reassess (i) whether expired or existing contracts contain a lease under the new standard, (ii) the lease classification for expired or existing leases, or (iii) whether previously capitalized initial direct costs would qualify for capitalization under the new standard. The Company also applied the practical expedient that permits a lessee to account for lease and non-lease components in a contract as a single lease component. In addition, the Company did not use hindsight during transition. Upon adoption, the Company recorded ROU assets of approximately $34 million , which have been reduced for accrued rent, and the remaining balance of any lease incentives upon transition, and also recorded corresponding current and non-current lease liabilities for its operating leases of approximately $5 million and $58 million , respectively, on the condensed consolidated balance sheets. Adoption of this standard did not have a material impact on the Company’s condensed consolidated statements of operations and comprehensive loss, the condensed consolidated statements of changes in stockholders’ equity or the condensed consolidated statements of cash flows. Refer to Note 7 for more information about the Company’s lease-related obligations.

Business Combination

Business Combination	3 Months Ended
	Mar. 31, 2020
Business Combinations [Abstract]
Business Combination	Business Combination On May 22, 2019, the Company completed its acquisition of Trilogy pursuant to an Agreement and Plan of Merger and Reorganization, dated as of April 7, 2019 (the “Merger Agreement”), for a net purchase price of $608.6 million in cash and stock consideration, subject to final adjustments related to working capital and indebtedness. These final adjustments to the purchase price were paid in the first quarter of 2020. Under the terms of the Merger Agreement, the Company has issued restricted stock units for shares of its common stock, par value $0.001 per share, to certain employees and officers of Trilogy. These awards were issued pursuant to the Company’s 2014 Equity Incentive Plan, are subject to future service requirements and will primarily vest over an 18-month period. In addition, a portion of the purchase price held in escrow was recognized as compensation expense in the third quarter of 2019 as the service requirements of certain key employees was determined to be fulfilled. The net assets and results of operations of Trilogy are included in the Company’s condensed consolidated financial statements within the Alternative Credential Segment as of May 22, 2019. The unaudited pro forma combined financial information below is presented for illustrative purposes and does not purport to represent what the results of operations would actually have been if the business combination occurred as of the date indicated or what the results would be for any future periods. The following table presents the Company’s unaudited pro forma combined revenue, pro forma combined net loss and pro forma combined net loss per share for the three months ended March 31, 2019 , as if the acquisition of Trilogy had occurred on January 1, 2019: Three Months Ended (in thousands, except per share amounts) Pro forma revenue $ 153,310 Pro forma net loss (39,795 ) Pro forma net loss per share, basic and diluted $ (0.68 )

Goodwill and Amortizable Intang

Goodwill and Amortizable Intangible Assets	3 Months Ended
	Mar. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Amortizable Intangible Assets	Goodwill and Amortizable Intangible Assets The following table presents the changes in the carrying amount of goodwill by reportable segment within the Company’s condensed consolidated balance sheets for the period indicated. Graduate Alternative Credential Segment Total (in thousands) Balance as of December 31, 2019 $ — $ 418,350 $ 418,350 Foreign currency translation adjustments — (13,617 ) (13,617 ) Balance as of March 31, 2020 $ — $ 404,733 $ 404,733 The carrying amount of goodwill in the Alternative Credential Segment included accumulated impairment charges of $70.4 million each as of March 31, 2020 and December 31, 2019 . The following table presents the components of amortizable intangible assets, net within the Company’s condensed consolidated balance sheets for each of the periods indicated. March 31, 2020 December 31, 2019 Estimated Average Useful Life (in years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (in thousands) Capitalized technology 3-5 $ 147,910 $ (48,972 ) $ 98,938 $ 142,712 $ (41,106 ) $ 101,606 Capitalized content development 4-5 178,014 (62,020 ) 115,994 167,758 (54,736 ) 113,022 University client relationships 9-10 105,203 (13,679 ) 91,524 110,344 (12,419 ) 97,925 Trade names and domain names 5-10 24,918 (6,398 ) 18,520 26,462 (5,940 ) 20,522 Total amortizable intangible assets, net $ 456,045 $ (131,069 ) $ 324,976 $ 447,276 $ (114,201 ) $ 333,075 The amounts presented in the table above include $26.5 million and $30.7 million of in process capitalized technology and content development as of March 31, 2020 and December 31, 2019 , respectively. Amortizable intangible assets recognized in connection with the acquisition of Trilogy consisted of developed technology of $48.1 million , developed content of $48.1 million , university client relationships of $84.2 million and trade names and domain names of $7.1 million , and are included in the balances presented in the table above as of March 31, 2020 . The Company recorded amortization expense related to amortizable intangible assets of $20.2 million and $7.0 million for the three months ended March 31, 2020 and 2019 , respectively. The following table presents the estimated future amortization expense of the Company’s amortizable intangible assets placed in service as of March 31, 2020 . Future Amortization Expense (in thousands) 2021 $ 60,365 2022 73,532 2023 57,564 2024 41,214 2025 22,536 Thereafter 43,224 Total $ 298,435

Accrued Expenses

Accrued Expenses	3 Months Ended
	Mar. 31, 2020
Payables and Accruals [Abstract]
Accrued Expenses	Accrued Expenses The following table presents the components of accounts payable and accrued expenses within the Company’s condensed consolidated balance sheets for each of the periods indicated. March 31, 2020 December 31, 2019 (in thousands) Accrued university and head tutor compensation $ 21,174 $ 23,419 Accrued marketing costs 27,694 22,055 Accrued transaction, integration and restructuring-related costs* 2,331 4,459 Accounts payable and other accrued expenses 37,999 15,448 Total accounts payable and accrued expenses $ 89,198 $ 65,381 * Accrued transaction, integration and restructuring-related costs included $0.1 million and $0.5 million , which related to an employee termination benefits reserve for organizational restructuring as of March 31, 2020 and December 31, 2019 , respectively. For the three months ended March 31, 2020 and 2019

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Legal Contingencies The Company is involved in various claims and legal proceedings arising in the ordinary course of business. The Company accrues a liability when a loss is considered probable and the amount can be reasonably estimated. While the Company does not expect that the ultimate resolution of any existing claims and proceedings (other than the specific matter described below, if decided adversely), individually or in the aggregate, will have a material adverse effect on its financial position, an unfavorable outcome in some or all of these proceedings could have a material adverse impact on the results of operations or cash flows for a particular period. This assessment is based on the Company’s current understanding of relevant facts and circumstances. With respect to current legal proceedings, the Company does not believe it is probable a material loss exceeding amounts already recognized has been incurred as of the date of the balance sheets presented herein. As such, the Company’s view of these matters is subject to inherent uncertainties and may change in the future. In re 2U, Inc., Securities Class Action On August 7 and 9, 2019, Aaron Harper and Anne M. Chinn filed putative class action complaints against the Company, Christopher J. Paucek, the Company’s CEO, and Catherine A. Graham, the Company’s former CFO, in the United States District Court for the Southern District of New York. The district court transferred the cases to the United States District Court for the District of Maryland, and the docket numbers are now 8:19-cv-3455 (D. MD) and 8:20-cv-1006 (D. MD). The complaints allege violations of Section 10(b) and 20(a) of the Securities Exchange Act of 1934, and SEC Rule 10b-5 promulgated thereunder, based upon allegedly false and misleading statements regarding the Company’s business prospects and financial projections. The proposed class consists of all persons who acquired the Company’s securities between February 26, 2018 and July 30, 2019. The Company believes that the claims are without merit and it intends to vigorously defend against these claims. However, due to the complex nature of the legal and factual issues involved, the outcome of this matter is not presently determinable. Stockholder Derivative Suit On April 30, 2020, Richard Theis filed a stockholder derivative complaint purportedly on behalf of the Company and against Christopher J. Paucek, the Company’s CEO, Catherine A. Graham, the Company’s former CFO, and the Company’s board of directors in the United States District Court for the Southern District of New York, with docket number 20-cv-3360. The complaint alleges claims for breaches of fiduciary duty, insider sales and misappropriation of information, unjust enrichment, and violations of Section 14(a) of the Securities Exchange Act of 1934 based upon allegedly false and misleading statements regarding the Company’s business prospects and financial projections. Due to the complex nature of the legal and factual issues involved, the outcome of this matter is not presently determinable. Marketing and Sales Commitments Certain of the agreements entered into between the Company and its university clients in the Graduate Program Segment require the Company to commit to meet certain staffing and spending investment thresholds related to marketing and sales activities. In addition, certain of the agreements in the Graduate Program Segment require the Company to invest up to agreed-upon levels in marketing the programs to achieve specified program performance. The Company believes it is currently in compliance with all such commitments. Future Minimum Payments to University Clients Pursuant to certain of the Company’s contracts in the Graduate Program Segment, the Company has made, or is obligated to make, payments to university clients in exchange for contract extensions and various marketing and other rights. As of March 31, 2020 , the future minimum payments due to university clients has not materially changed relative to the amounts provided in the notes to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019 . Contingent Payments The Company has entered into agreements with certain of its university clients in the Graduate Program Segment under which the Company would be obligated to make future minimum payments in the event that certain program metrics are not achieved on an annual basis. The Company recognizes any estimated contingent payments under these agreements as contra revenue over the period in which they relate, and records a liability in other current liabilities on the condensed consolidated balance sheets. As of March 31, 2020 , the Company had an obligation to make an additional investment in an education technology company of up to $5.0 million , upon demand by the investee.

Leases

Leases	3 Months Ended
	Mar. 31, 2020
Leases [Abstract]
Leases	Leases The Company leases facilities under non-cancellable operating leases primarily in the United States, South Africa, the United Kingdom and Canada. The Company’s operating leases have remaining lease terms of between one to 11 years , some of which include options to extend the leases for up to five years , and some of which include options to terminate the leases within one year . These options to extend the terms of the Company’s operating leases were not deemed to be reasonably certain of exercise as of lease commencement and are therefore not included in the determination of their respective non-cancellable lease terms. The future lease payments due under non-cancellable operating lease arrangements contain fixed rent increases over the term of the lease. The Company also leases office equipment under non-cancellable leases. The Company did not have any subleases as of March 31, 2020 . The following table presents the components of lease expense within the Company’s condensed consolidated statements of operations and comprehensive loss for each of the periods indicated. Three Months Ended 2020 2019 (in thousands) Operating lease expense $ 3,620 $ 2,622 Short-term lease expense 113 236 Variable lease expense 1,460 914 Total lease expense $ 5,193 $ 3,772 As of March 31, 2020 , for the Company’s operating leases, the weighted-average remaining lease term was 7.8 years and the weighted-average discount rate was 11.9% . For the three months ended March 31, 2020 , cash paid for amounts included in the measurement of operating lease liabilities was $4.1 million . The following table presents the maturities of the Company’s operating lease liabilities as of the period indicated. March 31, 2020 (in thousands) Remainder of 2020 $ 12,675 2021 16,416 2022 15,673 2023 15,364 2024 14,946 Thereafter 52,166 Total lease payments 127,240 Less: imputed interest (45,841 ) Total lease liability $ 81,399 As of March 31, 2020 , the Company has additional operating leases for facilities that have not yet commenced with future minimum lease payments of approximately $67.9 million . These operating leases will commence during fiscal years 2020 through 2021, with lease terms of between four to twelve years .

Debt

Debt	3 Months Ended
	Mar. 31, 2020
Debt Disclosure [Abstract]
Debt	Debt The following table presents the components of outstanding long-term debt within the Company’s condensed consolidated balance sheets for each of the periods indicated. March 31, 2020 December 31, 2019 (in thousands) Senior secured term loan facility $ 250,000 $ 250,000 Deferred government grant obligations 3,500 3,500 Less: unamortized debt issuance costs (9,284 ) (7,238 ) Other 358 358 Long-term debt $ 244,574 $ 246,620 The Company believes the carrying value of its long-term debt approximates the fair value of the debt as the terms and interest rates approximate the market rates. As of March 31, 2020 and December 31, 2019 , each of the Company’s long-term debt instruments were classified as Level 2 within the fair value hierarchy. As of March 31, 2020 and December 31, 2019 , the Company had current portion of long-term debt balances of $0.3 million and $0.6 million , respectively, related to other borrowings. Credit Agreement The Company has a credit agreement with Owl Rock Capital Corporation, as administrative agent and collateral agent, and certain other lenders party thereto that provides for a $250 million senior secured term loan facility (the “Term Loan”). On February 25, 2020 (the “First Amendment Effective Date”), the Company amended this credit agreement (as amended, the “Credit Agreement”) to modify the Minimum Graduate LQAR (as defined below) and Minimum Alternative Credential LTMR (as defined below) required for the fiscal quarters ending June 30, 2020, September 30, 2020 and December 31, 2020. In addition, the amendment increases the applicable interest rate margins and extends the prepayment premium applicable to certain voluntary prepayments and mandatory prepayments. In connection with the amendment, the Company incurred incremental issuance costs of $2.5 million , which will be amortized as a component of interest expense over the remaining term of the Credit Agreement. The Credit Agreement governing the Term Loan requires the Company to comply with several customary financial and other restrictive covenants, such as maintaining leverage ratios in certain situations, maintaining insurance coverage, and restricting the Company’s ability to make certain investments. The Company is also required to maintain liquidity of $25.0 million of unrestricted cash as of the last day of each fiscal quarter. The Credit Agreement also includes covenants that require the Company to maintain minimum: (i) annualized last quarter Graduate Program Segment revenue (“Minimum Graduate LQAR”) and (ii) Alternative Credential Segment revenue for the last four consecutive fiscal quarters (“Minimum Alternative Credential LTMR”). For the quarter and four consecutive fiscal quarters ended March 31, 2020 , the Company exceeded the Minimum Graduate LQAR and Minimum Alternative Credential LTMR. The Term Loan matures on May 22, 2024 and currently bears interest, at the Company’s option, at variable rates based on (i) a customary alternative base rate (with a floor of 2.00% ) plus an applicable margin of 5.75% or (ii) an adjusted LIBOR rate (with a floor of 1.00% ) for the interest period relevant to such borrowing plus an applicable margin of 6.75% . The effective interest rate of the Term Loan for the three months ended March 31, 2020 was 8.9% . Voluntary prepayments and mandatory prepayments following or in connection with any asset sales, debt issuance or casualty events or following any acceleration of the Term Loan are subject to a 2% prepayment premium if made prior to the first anniversary of the First Amendment Effective Date, and a 1% prepayment premium if made on or after the first anniversary of the First Amendment Effective Date, but prior to the second anniversary of the First Amendment Effective Date; provided, that a 1% prepayment penalty shall apply to the extent the prepayment is made prior to the first anniversary of the First Amendment Effective Date with the proceeds from the sale of equity securities, equity-linked securities and/or derivative securities settled in, or convertible into, equity securities. During the three months ended March 31, 2020 , the Company incurred interest expense of $5.4 million in connection with the Credit Agreement. As of March 31, 2020 , the Company’s accrued interest balance associated with the Credit Agreement was $0.1 million . On April 23, 2020, the Company repaid its $250 million Term Loan in full (including interest and prepayment premium) and terminated the credit agreement with Owl Rock Capital Corporation. Refer to Note 14 for more information. Deferred Government Grant Obligations The Company has a total of two outstanding conditional loan agreements with Prince George’s County, Maryland and the State of Maryland for an aggregate amount of $3.5 million , each bearing an interest rate of 3% per annum. These agreements are conditional loan obligations that may be forgiven provided that the Company attains certain conditions related to employment levels at 2U’s Lanham, Maryland headquarters. The conditional loan with the State of Maryland has a maturity date of December 31, 2026, and the conditional loan with Prince George’s County, Maryland has a maturity date of June 22, 2027. As of December 31, 2019, the Company did not meet the employment level threshold set forth in the conditional loan agreement with Prince George’s County, Maryland and a portion of the principal balance and accrued interest as of that date were no longer subject to forgiveness and became payable upon demand. The Company is currently in discussions with Prince George’s County, Maryland to amend the employment conditions under this conditional loan agreement. The Company is currently in compliance with the terms of its conditional loan agreement with the State of Maryland. The interest expense related to these loans for the three months ended March 31, 2020 and 2019 was immaterial. As of March 31, 2020 and December 31, 2019 , the Company’s combined accrued interest balance associated with the deferred government grant obligations was $0.3 million and $0.3 million , respectively.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2020
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company’s income tax provisions for all periods consist of federal, state and foreign income taxes. The income tax provisions for the three months ended March 31, 2020 and 2019 were based on estimated full-year effective tax rates, including the mix of income for the period between higher-taxed and lower-taxed jurisdictions, after giving effect to significant items related specifically to the interim periods, and loss-making entities for which it is not more likely than not that a tax benefit will be realized. The Company’s effective tax rate was approximately 2% and 4% for the three months ended March 31, 2020 and 2019 , respectively. The Company’s tax benefit of $1.1 million for the three months ended March 31, 2020 related to losses generated by operations and the amortization of acquired intangibles in the Alternative Credential Segment that are expected to be realized through future reversing taxable temporary differences. The Company expects to continue to recognize a tax benefit in the future for the Alternative Credential Segment to the extent that this segment continues to generate pre-tax losses while carrying deferred tax liabilities that are in excess of deferred tax assets. To date, the Company has not been required to pay U.S. federal income taxes because of current and accumulated net operating losses.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2020
Stockholders' Equity Note [Abstract]
Stockholders' Equity	Stockholders’ Equity As of March 31, 2020 , the Company was authorized to issue 205,000,000 total shares of capital stock, consisting of 200,000,000 shares of common stock and 5,000,000 shares of preferred stock. As of March 31, 2020 , the Company had reserved a total of 17,201,657 of its authorized shares of common stock for future issuance as follows: Shares Reserved for Future Issuance Outstanding stock options 4,310,566 Possible future issuance under 2014 Equity Incentive Plan 6,371,081 Outstanding restricted stock units 5,707,046 Available for future issuance under 2017 Employee Stock Purchase Plan 812,964 Total shares of common stock reserved for future issuance 17,201,657 The shares available for future issuance increased by 3,175,011 and 2,896,365 on January 1, 2020 and 2019 , respectively, pursuant to the automatic share reserve increase provision under the Amended and Restated 2014 Equity Incentive Plan (the “2014 Plan”). The Company has not declared or paid cash dividends on its common stock to date.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2020
Share-based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation Stock-Based Compensation Expense The following table presents stock-based compensation expense related to stock-based awards, as well as the 2017 Employee Stock Purchase Plan (the “ESPP”), contained within the following line items of the Company’s condensed consolidated statements of operations and comprehensive loss for each of the periods indicated. Three Months Ended 2020 2019 (in thousands) Curriculum and teaching $ 133 $ 3 Servicing and support 3,928 1,669 Technology and content development 3,169 1,856 Marketing and sales 3,233 1,256 General and administrative 10,407 4,800 Total stock-based compensation expense $ 20,870 $ 9,584 Stock Options The following table presents a summary of the Company’s stock option activity for the period indicated. Number of Options Weighted-Average Exercise Price per Share Outstanding balance as of December 31, 2019 4,373,895 $ 34.24 Granted 8,597 19.61 Exercised (37,275 ) 10.30 Forfeited (7,252 ) 66.61 Expired (27,399 ) 38.73 Outstanding balance as of March 31, 2020 4,310,566 34.34 Exercisable as of March 31, 2020 3,079,102 $ 21.82 * As of March 31, 2020 , the aggregate intrinsic value of options exercisable was $22.7 million and such shares had a weighted-average remaining contractual term of 2.77 years . Restricted Stock Units In January 2020, the Company issued its annual grants to certain employees consisting of restricted stock units (“RSUs”) and performance restricted stock units (“PRSUs”). In connection with this, the Company granted 1.7 million RSUs with an aggregate grant date fair value of $34.1 million . Also in connection with this, the Company awarded 1.9 million PRSUs, of which 0.6 million PRSUs were granted with an aggregate grant date fair value of approximately $12.8 million . The RSU awards vest over a period of three years while the PRSU awards vest over a one-year period. The quantity of PRSU awards that will vest is based on the Company’s stock price achieving pre-determined total shareholder return targets relative to that of companies comprising the Russell 3000 Index during each performance period. The PRSU award agreements provide that the quantity of units subject to vesting may range from 200% to 0% of the granted quantities for the first performance period, depending on the achievement of market-based targets. Achievement percentages applicable to the second and third performance periods will be determined in advance of the beginning of the second and third performance periods, by the Company’s compensation committee. The expense recognized each period is determined at the time of grant and not subject to fluctuation due to the achievement of market-based targets. The following table presents a summary of the Company’s RSU and PRSU activity for the period indicated. Number of Units Weighted- Average Grant Date Fair Value per Share Outstanding balance as of December 31, 2019 3,694,915 $ 35.76 Granted 2,369,093 20.42 Vested (96,683 ) 52.64 Forfeited (260,279 ) 53.31 Outstanding balance as of March 31, 2020 5,707,046 $ 28.30

Net Loss per Share

Net Loss per Share	3 Months Ended
	Mar. 31, 2020
Earnings Per Share [Abstract]
Net Loss per Share	Net Loss per Share Diluted net loss per share is the same as basic net loss per share for all periods presented because the effects of potentially dilutive items were antidilutive, given the Company’s net loss. The following table presents a summary of the securities that have been excluded from the calculation of weighted-average shares of common stock outstanding because the effect is antidilutive for each of the periods indicated. Three Months Ended 2020 2019 Stock options 4,310,566 3,847,116 Restricted stock units 5,707,046 1,368,636 The following table presents the calculation of the Company’s basic and diluted net loss per share for each of the periods indicated. Three Months Ended 2020 2019 Numerator (in thousands): Net loss $ (60,106 ) $ (21,554 ) Denominator: Weighted-average shares of common stock outstanding, basic and diluted 63,626,333 58,138,692 Net loss per share, basic and diluted $ (0.94 ) $ (0.37 )

Segment and Geographic Informat

Segment and Geographic Information	3 Months Ended
	Mar. 31, 2020
Segment Reporting [Abstract]
Segment and Geographic Information	Segment and Geographic Information The Company has two reportable segments: the Graduate Program Segment and the Alternative Credential Segment (formerly known as the Short Course Segment). The Company’s reportable segments are determined based on (i) financial information reviewed by the chief operating decision maker, the Chief Executive Officer (“CEO”), (ii) internal management and related reporting structure, and (iii) the basis upon which the CEO makes resource allocation decisions. The Company’s Graduate Program Segment includes the technology and services provided to nonprofit colleges and universities to enable the online delivery of degree programs. The Company’s Alternative Credential Segment includes the premium online short courses and technical skills-based boot camps provided through relationships with nonprofit colleges and universities. Graduate Program Segment For the three months ended March 31, 2020 , one university client accounted for 10% or more of the Company’s consolidated revenue, with $17.5 million , or approximately 10% of the Company’s consolidated revenue. For the three months ended March 31, 2019 , three university clients each accounted for 10% or more of the Company’s consolidated revenue, as follows: $22.6 million , $12.9 million and $12.7 million , or approximately 18% , 11% and 10% of the Company’s consolidated revenue, respectively. As of March 31, 2020 , one university client accounted for 10% or more of the Company’s consolidated accounts receivable, net balance, with $8.7 million , or approximately 11% of the Company’s consolidated accounts receivable, net balance. As of December 31, 2019 , two university clients each accounted for 10% or more of the Company’s consolidated accounts receivable, net balance, as follows: $6.1 million and $4.9 million , or approximately 18% and 15% of the Company’s consolidated accounts receivable, net balance, respectively. Alternative Credential Segment For the three months ended March 31, 2020 and 2019 , there were no customers or individual university clients that had associated offerings that accounted for 10% or more of the Company’s consolidated revenue. In addition, as of March 31, 2020 and December 31, 2019 , no customers had accounts receivable, net balances that accounted for 10% or more of the Company’s consolidated accounts receivable, net balance, as customers are individual students or third parties paying on their behalf, rather than university clients. For the three months ended March 31, 2020 , offerings associated with one university client accounted for 10% or more of the segment’s revenue, with $7.9 million , or approximately 14% of the segment’s revenue. For the three months ended March 31, 2019 , offerings associated with four university clients each accounted for 10% or more of the segment’s revenue, and when combined, accounted for approximately 88% of the segment’s revenue. Segment Performance The following table presents financial information regarding each of the Company’s reportable segment’s results of operations for each of the periods indicated. Three Months Ended 2020 2019 (dollars in thousands) Revenue by segment* Graduate Program Segment $ 118,457 $ 104,174 Alternative Credential Segment 57,022 18,060 Total revenue $ 175,479 $ 122,234 Segment profitability** Graduate Program Segment $ 6,460 $ 710 Alternative Credential Segment (10,764 ) (3,916 ) Total segment profitability $ (4,304 ) $ (3,206 ) Segment profitability margin*** Graduate Program Segment 5.5 % 0.7 % Alternative Credential Segment (18.9 ) (21.7 ) Total segment profitability margin (2.5 )% (2.6 )% * The Company has excluded immaterial amounts of intersegment revenues from the three -month periods ended March 31, 2020 and 2019 . ** The Company defines segment profitability as net income or net loss, as applicable, before net interest income (expense), taxes, depreciation and amortization expense, foreign currency gains or losses, deferred revenue fair value adjustments, transaction costs, integration costs, restructuring-related costs, stockholder activism costs, impairment charges, and stock-based compensation expense. Some or all of these items may not be applicable in any given reporting period. *** The Company defines segment profitability margin as segment profitability as a percentage of the respective segment’s revenue. The following table presents a reconciliation of the Company’s net loss to total segment profitability for each of the periods indicated. Three Months Ended 2020 2019 (in thousands) Net loss $ (60,106 ) $ (21,554 ) Adjustments: Interest expense (income), net 4,980 (2,294 ) Foreign currency loss 2,271 370 Income tax benefit (1,055 ) (941 ) Depreciation and amortization expense 23,485 9,698 Transaction and integration costs 724 1,931 Restructuring-related costs 288 — Stockholder activism costs 4,239 — Stock-based compensation expense 20,870 9,584 Total adjustments 55,802 18,348 Total segment profitability $ (4,304 ) $ (3,206 ) The following table presents the Company’s total assets by segment for each of the periods indicated. March 31, December 31, (in thousands) Total assets Graduate Program Segment $ 516,021 $ 507,187 Alternative Credential Segment 665,940 679,643 Total assets $ 1,181,961 $ 1,186,830 Trade Accounts Receivable and Contract Liabilities The following table presents the Company’s trade accounts receivable and contract liabilities in each segment for each of the periods indicated. March 31, December 31, (in thousands) Trade accounts receivable Graduate Program Segment accounts receivable $ 28,161 $ 3,454 Graduate Program Segment unbilled revenue* 25,035 12,123 Alternative Credential Segment accounts receivable 24,146 19,408 Provision for credit losses (1,931 ) (1,330 ) Total trade accounts receivable $ 75,411 $ 33,655 Contract liabilities Graduate Program Segment deferred revenue $ 16,839 $ 2,210 Alternative Credential Segment deferred revenue 52,983 46,623 Total contract liabilities $ 69,822 $ 48,833 * Unbilled revenue represents contract assets. For the Graduate Program Segment, revenue recognized during the three months ended March 31, 2020 and 2019 that was included in the deferred revenue balance at the beginning of each year was $2.2 million and $2.4 million , respectively. For the Alternative Credential Segment, revenue recognized during the three months ended March 31, 2020 and 2019 that was included in the deferred revenue balance at the beginning of each year was $34.4 million and $5.4 million , respectively. Contract Acquisition Costs The Graduate Program Segment had $0.5 million and $0.5 million of net capitalized contract acquisition costs recorded primarily within university payments and other assets, non-current on the condensed consolidated balance sheets as of March 31, 2020 and December 31, 2019 , respectively. Geographical Information The Company’s non-U.S. revenue is based on the currency of the country in which the university client primarily operates. The Company’s non-U.S. revenue was $11.3 million and $7.7 million , for the three months ended March 31, 2020 and 2019 , respectively, substantially all of which was sourced from the Alternative Credential Segment’s operations outside of the U.S. The Company’s long-lived tangible assets in non-U.S. countries as of March 31, 2020 and December 31, 2019 totaled $2.0 million and $2.7 million , respectively.

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2020
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events On April 23, 2020 (the “Closing Date”), the Company issued convertible senior notes due 2025 (the “Notes”) in an aggregate principal amount of $330 million in a private placement to qualified institutional buyers under Rule 144A of the Securities Act of 1933 (the “Base Notes”). The Company also granted the initial purchasers an option to purchase up to an additional $50 million aggregate principal amount of the Notes. The net proceeds from the offering of the Base Notes were approximately $321.8 million after deducting the initial purchasers’ discounts and commissions. The Notes are governed by an indenture (the “Indenture”) between the Company and Wilmington Trust, National Association, as trustee. The Notes bear interest at a rate of 2.25% per year, payable semi-annually in arrears on May 1 and November 1 of each year, beginning on November 1, 2020. The Notes will mature on May 1, 2025, unless earlier repurchased, redeemed or converted. The Notes are the senior, unsecured obligations of the Company and are equal in right of payment with the Company’s senior unsecured indebtedness, senior in right of payment to the Company’s indebtedness that is expressly subordinated to the notes, effectively subordinated to the Company’s senior secured indebtedness, to the extent of the value of the collateral securing that indebtedness, and structurally subordinated to all indebtedness and other liabilities, including trade payables, and (to the extent the Company is not a holder thereof) preferred equity, if any, of the Company’s subsidiaries. Holders may convert their Notes at their option in the following circumstances: • during any calendar quarter commencing after the calendar quarter ending on September 30, 2020 (and only during such calendar quarter), if the last reported sale price per share of the Company’s common stock, $0.001 par value per share (“common stock”), exceeds 130% of the conversion price for each of at least 20 trading days, whether or not consecutive, during the 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding calendar quarter; • during the five consecutive business days immediately after any ten consecutive trading day period (such ten consecutive trading day period, the “measurement period”) in which the trading price per $1,000 principal amount of notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price per share of the Company’s common stock on such trading day and the conversion rate on such trading day; • upon the occurrence of certain corporate events or distributions on the Company’s common stock, as provided in the Indenture; • if the Company calls such notes for redemption; and • at any time from, and including, November 1, 2024 until the close of business on the second scheduled trading day immediately before the maturity date. The initial conversion rate for the Notes will be 35.3773 shares of the Company’s common stock per $1,000 principal amount of Notes, which represents an initial conversion price of approximately $28.27 per share of the Company’s common stock, and is subject to adjustment upon the occurrence of certain specified events as set forth in the Indenture. Upon conversion, the Company will pay or deliver, as applicable, cash, shares of the Company’s common stock or a combination of cash and shares of the Company’s common stock, at the Company’s election. Upon the occurrence of a “make-whole fundamental change” (as defined in the Indenture), the Company will in certain circumstances increase the conversion rate for a specified period of time. In addition, upon the occurrence of a “fundamental change” (as defined in the Indenture), holders of the Notes may require the Company to repurchase their Notes at a cash repurchase price equal to the principal amount of the notes to be repurchased, plus accrued and unpaid interest, if any. The Notes will be redeemable, in whole or in part, at the Company’s option at any time, and from time to time, on or after May 5, 2023 and on or before the 40th scheduled trading day immediately before the maturity date, at a cash redemption price equal to the principal amount of the Notes to be redeemed, plus accrued and unpaid interest, if any, but only if the last reported sale price per share of the Company’s common stock exceeds 130% of the conversion price on (i) each of at least 20 trading days, whether or not consecutive, during the 30 consecutive trading days ending on, and including, the trading day immediately before the date we send the related redemption notice, and (ii) the trading day immediately before the date we send such notice. In addition, calling any Note for redemption will constitute a “make-whole fundamental change” with respect to that Note, in which case the conversion rate applicable to the conversion of that Note will be increased in certain circumstances if such Note is converted after it is called for redemption. No sinking fund is provided for the Notes. In connection with the Base Notes, the Company entered into privately negotiated capped call transactions (the “Capped Call Transaction”) with certain counterparties. The Capped Call Transactions are expected to reduce potential dilution to the Company’s common stock upon any conversion of Base Notes and/or offset any cash payments the Company is required to make in excess of the principal amount of converted Base Notes, as the case may be, with such reduction and/or offset subject to a cap, based on the cap price of the Capped Call Transactions. The cap price of the Capped Call Transactions is initially $44.34 per share. The cost of the Capped Call Transactions was approximately $43.9 million . The Company expects to use a portion of the net proceeds from the sale of the additional notes pursuant to the overallotment option to enter into additional capped call transactions. On the Closing Date, the Company used a portion of the proceeds from the sale of the Base Notes to repay in full all amounts outstanding, and discharge all obligations in respect of, the Term Loan. In connection with the extinguishment of the Term Loan, the Company expects to recognize a charge of approximately $12 million in the second quarter of 2020. The Company intends to use the remaining net proceeds from the sale of the Base Notes for working capital or other general corporate purposes, which may include capital expenditures, potential acquisitions and strategic transactions. On April 29, 2020, the initial purchasers exercised, in full , their option to purchase up to an additional $50.0 million aggregate principal amount of the notes. The closing of the sale of additional notes is expected to occur on May 1, 2020. The Company estimates net proceeds from the exercise of the overallotment option of approximately $48.8 million , after deducting the initial purchasers’ discounts and commissions and estimated offering expenses payable by the Company. The Company expects to use a portion of the net proceeds from the sale of additional notes to enter into additional capped call transactions and the remaining net proceeds for working capital or other general corporate purposes, which may include capital expenditures, potential acquisitions and strategic transactions.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2020
Accounting Policies [Abstract]
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements, which include the assets, liabilities, results of operations and cash flows of the Company have been prepared in accordance with: (i) generally accepted accounting principles in the United States (“U.S. GAAP”) for interim financial information; (ii) the instructions to Form 10-Q; and (iii) the guidance of Rule 10-01 of Regulation S-X under the Securities Exchange Act of 1934, as amended, for financial statements required to be filed with the Securities and Exchange Commission (“SEC”). As permitted under such rules, certain notes and other financial information normally required by U.S. GAAP have been condensed or omitted. The Company believes the condensed consolidated financial statements reflect all normal and recurring adjustments necessary for a fair statement of the Company’s financial position, results of operations, and cash flows as of and for the periods presented herein. The Company’s results of operations for the three months ended March 31, 2020 and 2019 may not be indicative of the Company’s future results. These condensed consolidated financial statements are unaudited and should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2019 . All significant intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated balance sheet data as of December 31, 2019 was derived from the audited financial statements, but does not include all disclosures required by U.S. GAAP on an annual reporting basis.
Use of Estimates	Use of Estimates The preparation of condensed consolidated financial statements in accordance with U.S. GAAP requires management to make certain estimates and assumptions that affect the amounts reported herein. The Company bases its estimates and assumptions on historical experience and on various other factors that it believes to be reasonable under the circumstances. Significant estimates and assumptions are inherent in the analysis and the measurement of acquired intangible assets, the recoverability of goodwill and deferred tax assets. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods may be affected by changes in those estimates. The Company evaluates its estimates and assumptions on an ongoing basis.
Accounts Receivable, Contract Assets and Liabilities	Accounts Receivable, Contract Assets and Liabilities Balance sheet items related to contracts consist of accounts receivable, net and deferred revenue on the Company’s condensed consolidated balance sheets. Included in accounts receivable, net are trade accounts receivable, which are comprised of billed and unbilled revenue. Accounts receivable, net is stated at amortized cost net of provision for credit losses. The Company’s methodology to measure the provision for credit losses requires an estimation of loss rates based upon historical loss experience adjusted for factors that are relevant to determining the expected collectability of accounts receivable. Some of these factors include current market conditions, delinquency trends, aging behavior of receivables and credit and liquidity quality indicators for industry groups, customer classes or individual customers. The Company’s estimates are reviewed and revised periodically based on the ongoing evaluation of credit quality indicators. Historically, actual write-offs for uncollectible accounts have not significantly differed from prior estimates. The Company recognizes unbilled revenue when revenue recognition occurs in advance of billings. Unbilled revenue is recognized in the Graduate Program Segment because billings to university clients do not occur until after the academic term has commenced and final enrollment information is available. Unbilled accounts receivable is recognized in the Alternative Credential Segment once the presentation period commences for amounts to be invoiced to students under installment plans that are paid over the same presentation period.The Company’s unbilled revenue represents contract assets. Deferred revenue represents the excess of amounts billed or received as compared to amounts recognized in revenue on the condensed consolidated statements of operations and comprehensive loss as of the end of the reporting period, and such amounts are reflected as a current liability on the Company’s condensed consolidated balance sheets. The Company generally receives payments for its share of tuition and fees from degree program university clients early in each academic term and from short course and boot camp students, either in full upon registration for the course or in full before the end of the course based on a payment plan, prior to completion of the service period. These payments are recorded as deferred revenue until the services are delivered or until the Company’s obligations are otherwise met, at which time revenue is recognized.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In March 2020, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This ASU is intended to provide optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, to ease the potential accounting and financial reporting burden associated with the expected market transition from the London Interbank Offered Rate (LIBOR) and other interbank offered rates to alternative reference rates. This ASU may be applied as of the beginning of any interim period that includes its effective date (i.e., March 12, 2020) through December 31, 2022. The Company is evaluating the impact that this ASU will have on its condensed consolidated financial statements and related disclosures. In January 2020, the FASB issued ASU No. 2020-01, Investments—Equity Securities (Topic 321), Investments—Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815): Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 . ASU 2020-01 was issued to clarify the interaction of the accounting for equity securities under ASC 321 and investments accounted for under the equity method of accounting in ASC 323 and the accounting for certain forward contracts and purchased options accounted for under ASC 815. With respect to the interactions between ASC 321 and ASC 323, the amendments clarify that an entity should consider observable transactions that require it to either apply or discontinue the equity method of accounting when applying the measurement alternative in ASC 321, immediately before applying or discontinuing the equity method of accounting. The update regarding forward contracts and purchased options is not applicable as the Company does not have any forward contracts or purchased options. The amendments in this ASU are effective for interim and annual reporting periods beginning after December 15, 2020. Early adoption is permitted, including adoption in any interim period. The Company is evaluating the impact that this ASU will have on its condensed consolidated financial statements and related disclosures. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , as part of its initiative to reduce complexity in the accounting standards. The amendments in the ASU include removal of certain exceptions to the general principles in Topic 740 related to recognizing deferred taxes for investments, performing intraperiod tax allocation and calculating income taxes in an interim period. The ASU also clarifies and simplifies other aspects of the accounting for income taxes, including the recognition of deferred tax liabilities for outside basis differences. The amendments in this ASU are effective for annual and interim periods in fiscal years beginning after December 15, 2020, with early adoption permitted. The Company is evaluating the impact that this ASU will have on its condensed consolidated financial statements and related disclosures. In April 2019, the FASB issued ASU No. 2019-04, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments. ASU No. 2019-04 provides corrections, updates and clarifications to the previously issued updates of ASU No. 2016-01, ASU No. 2016-13 and ASU No. 2017-12. Various areas of the Accounting Standards Codification were impacted by the update. This standard follows the effective dates of the previously issued ASUs, unless an entity has already early adopted the previous ASUs, in which case the effective date will vary according to each specific ASU adoption. The Company adopted the amendments related to ASU Nos. 2016-01 and 2016-13 on January 1, 2020 under the modified retrospective transition method, with the exception of the amendments related to equity securities without readily determinable fair values for which an entity elects the measurement alternative, which have been adopted prospectively. Adoption of these amendments did not have a material impact on the Company’s condensed consolidated financial statements or related disclosures. Refer below for further discussion of ASU No. 2016-13. The amendments to ASU No. 2017-12 are not applicable to the Company. In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract , which requires customers in cloud computing arrangements that are service contracts to follow the internal-use software guidance in ASC 350-40 to determine which implementation costs to capitalize as assets or expense as incurred. The amendments in this ASU are effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company early adopted this ASU on July 1, 2018 under the prospective method. As a result of adopting this standard, as of March 31, 2020 and December 31, 2019 , the Company had balances of $3.6 million and $3.1 million , respectively, of capitalized implementation costs incurred to integrate the software associated with its cloud computing arrangements, within university payments and other assets, non-current on the condensed consolidated balance sheets. Such capitalized costs are subject to amortization over the remaining contractual term of the associated cloud computing arrangement, with a useful life of between three to five years . The Company did not incur a material amount of amortization for the three months ended March 31, 2020 and March 31, 2019 . In January 2017, the FASB issued ASU No. 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment , which eliminates step two from the goodwill impairment test and requires an entity to recognize an impairment charge for the amount by which the carrying amount of a reporting unit exceeds its fair value, up to the amount of goodwill allocated to that reporting unit. The amendments in this ASU are effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company early adopted this ASU on January 1, 2019. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . Subsequently, the FASB has issued the following standards related to ASU No. 2016-13: ASU No. 2019-11, Codification Improvements to Topic 326, Financial Instruments—Credit Losses , ASU No. 2019-05, Financial Instruments—Credit Losses (Topic 326): Targeted Transition Relief ; ASU No. 2019-04, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments ; and ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments—Credit Losses . ASU No. 2016-13 requires entities to measure all expected credit losses for most financial assets held at the reporting date based on an expected loss model, which includes historical experience, current conditions, and reasonable and supportable forecasts. Entities will now use forward-looking information to better form their credit loss estimates. ASU No. 2016-13 also requires enhanced disclosures to help financial statement users better understand assumptions used in estimating expected credit losses. The Company adopted this ASU and the related amendments on January 1, 2020 under the modified retrospective transition method, which resulted in no cumulative-effect adjustment to retained earnings. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) , which supersedes ASC 840, Leases (Topic 840) . The ASU introduces a model for lessees requiring most leases to be reported on the balance sheet. The Company adopted this ASU and the related amendments on January 1, 2019 under the modified retrospective transition method, which resulted in no cumulative-effect adjustment to retained earnings. The Company’s financial results for periods ending after January 1, 2019 are presented in accordance with the requirements of Topic 842, while prior period amounts are not adjusted and continue to be reported in accordance with Topic 840. Upon adoption, the Company elected to not recognize ROU assets or lease liabilities for leases with a term of 12 months or less, as permitted by the short-term lease practical expedient. In transition, the Company also applied the package of practical expedients that permit entities to not reassess (i) whether expired or existing contracts contain a lease under the new standard, (ii) the lease classification for expired or existing leases, or (iii) whether previously capitalized initial direct costs would qualify for capitalization under the new standard. The Company also applied the practical expedient that permits a lessee to account for lease and non-lease components in a contract as a single lease component. In addition, the Company did not use hindsight during transition. Upon adoption, the Company recorded ROU assets of approximately $34 million , which have been reduced for accrued rent, and the remaining balance of any lease incentives upon transition, and also recorded corresponding current and non-current lease liabilities for its operating leases of approximately $5 million and $58 million , respectively, on the condensed consolidated balance sheets. Adoption of this standard did not have a material impact on the Company’s condensed consolidated statements of operations and comprehensive loss, the condensed consolidated statements of changes in stockholders’ equity or the condensed consolidated statements of cash flows. Refer to Note 7 for more information about the Company’s lease-related obligations.

Significant Accounting Polici_3

Significant Accounting Policies Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2020
Accounting Policies [Abstract]
Accounts Receivable, Allowance for Credit Loss	The following table presents the change in provision for credit losses within the Company’s consolidated balance sheets for the period indicated: Provision for Credit Losses (in thousands) Balance as of January 1, 2020 $ 1,330 Current period provision 629 Amounts written off (28 ) Balance as of March 31, 2020 $ 1,931

Business Combination (Tables)

Business Combination (Tables)	3 Months Ended
	Mar. 31, 2020
Business Combinations [Abstract]
Schedule of unaudited pro forma combined revenue and net loss	The following table presents the Company’s unaudited pro forma combined revenue, pro forma combined net loss and pro forma combined net loss per share for the three months ended March 31, 2019 , as if the acquisition of Trilogy had occurred on January 1, 2019: Three Months Ended (in thousands, except per share amounts) Pro forma revenue $ 153,310 Pro forma net loss (39,795 ) Pro forma net loss per share, basic and diluted $ (0.68 )

Goodwill and Amortizable Inta_2

Goodwill and Amortizable Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of changes in goodwill	The following table presents the changes in the carrying amount of goodwill by reportable segment within the Company’s condensed consolidated balance sheets for the period indicated. Graduate Alternative Credential Segment Total (in thousands) Balance as of December 31, 2019 $ — $ 418,350 $ 418,350 Foreign currency translation adjustments — (13,617 ) (13,617 ) Balance as of March 31, 2020 $ — $ 404,733 $ 404,733
Schedule of amortizable intangible assets	The following table presents the components of amortizable intangible assets, net within the Company’s condensed consolidated balance sheets for each of the periods indicated. March 31, 2020 December 31, 2019 Estimated Average Useful Life (in years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (in thousands) Capitalized technology 3-5 $ 147,910 $ (48,972 ) $ 98,938 $ 142,712 $ (41,106 ) $ 101,606 Capitalized content development 4-5 178,014 (62,020 ) 115,994 167,758 (54,736 ) 113,022 University client relationships 9-10 105,203 (13,679 ) 91,524 110,344 (12,419 ) 97,925 Trade names and domain names 5-10 24,918 (6,398 ) 18,520 26,462 (5,940 ) 20,522 Total amortizable intangible assets, net $ 456,045 $ (131,069 ) $ 324,976 $ 447,276 $ (114,201 ) $ 333,075
Schedule of estimated future amortization expense for amortizable intangible assets	The following table presents the estimated future amortization expense of the Company’s amortizable intangible assets placed in service as of March 31, 2020 . Future Amortization Expense (in thousands) 2021 $ 60,365 2022 73,532 2023 57,564 2024 41,214 2025 22,536 Thereafter 43,224 Total $ 298,435

Accrued Expenses (Tables)

Accrued Expenses (Tables)	3 Months Ended
	Mar. 31, 2020
Payables and Accruals [Abstract]
Schedule of Accrued Expenses	The following table presents the components of accounts payable and accrued expenses within the Company’s condensed consolidated balance sheets for each of the periods indicated. March 31, 2020 December 31, 2019 (in thousands) Accrued university and head tutor compensation $ 21,174 $ 23,419 Accrued marketing costs 27,694 22,055 Accrued transaction, integration and restructuring-related costs* 2,331 4,459 Accounts payable and other accrued expenses 37,999 15,448 Total accounts payable and accrued expenses $ 89,198 $ 65,381 * Accrued transaction, integration and restructuring-related costs included $0.1 million and $0.5 million , which related to an employee termination benefits reserve for organizational restructuring as of March 31, 2020 and December 31, 2019 , respectively.

Leases (Tables)

Leases (Tables)	3 Months Ended
	Mar. 31, 2020
Leases [Abstract]
Schedule of lease cost	The following table presents the components of lease expense within the Company’s condensed consolidated statements of operations and comprehensive loss for each of the periods indicated. Three Months Ended 2020 2019 (in thousands) Operating lease expense $ 3,620 $ 2,622 Short-term lease expense 113 236 Variable lease expense 1,460 914 Total lease expense $ 5,193 $ 3,772
Schedule of maturities of operating lease liabilities	The following table presents the maturities of the Company’s operating lease liabilities as of the period indicated. March 31, 2020 (in thousands) Remainder of 2020 $ 12,675 2021 16,416 2022 15,673 2023 15,364 2024 14,946 Thereafter 52,166 Total lease payments 127,240 Less: imputed interest (45,841 ) Total lease liability $ 81,399

Debt (Tables)

Debt (Tables)	3 Months Ended
	Mar. 31, 2020
Debt Disclosure [Abstract]
Schedule of long-term debt	The following table presents the components of outstanding long-term debt within the Company’s condensed consolidated balance sheets for each of the periods indicated. March 31, 2020 December 31, 2019 (in thousands) Senior secured term loan facility $ 250,000 $ 250,000 Deferred government grant obligations 3,500 3,500 Less: unamortized debt issuance costs (9,284 ) (7,238 ) Other 358 358 Long-term debt $ 244,574 $ 246,620

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	3 Months Ended
	Mar. 31, 2020
Stockholders' Equity Note [Abstract]
Schedule of shares of common stock reserved for future issuance	As of March 31, 2020 , the Company had reserved a total of 17,201,657 of its authorized shares of common stock for future issuance as follows: Shares Reserved for Future Issuance Outstanding stock options 4,310,566 Possible future issuance under 2014 Equity Incentive Plan 6,371,081 Outstanding restricted stock units 5,707,046 Available for future issuance under 2017 Employee Stock Purchase Plan 812,964 Total shares of common stock reserved for future issuance 17,201,657

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2020
Share-based Payment Arrangement [Abstract]
Schedule of stock-based compensation expense included in the consolidated statements of operations and comprehensive loss	The following table presents stock-based compensation expense related to stock-based awards, as well as the 2017 Employee Stock Purchase Plan (the “ESPP”), contained within the following line items of the Company’s condensed consolidated statements of operations and comprehensive loss for each of the periods indicated. Three Months Ended 2020 2019 (in thousands) Curriculum and teaching $ 133 $ 3 Servicing and support 3,928 1,669 Technology and content development 3,169 1,856 Marketing and sales 3,233 1,256 General and administrative 10,407 4,800 Total stock-based compensation expense $ 20,870 $ 9,584
Schedule of stock option activity	The following table presents a summary of the Company’s stock option activity for the period indicated. Number of Options Weighted-Average Exercise Price per Share Outstanding balance as of December 31, 2019 4,373,895 $ 34.24 Granted 8,597 19.61 Exercised (37,275 ) 10.30 Forfeited (7,252 ) 66.61 Expired (27,399 ) 38.73 Outstanding balance as of March 31, 2020 4,310,566 34.34 Exercisable as of March 31, 2020 3,079,102 $ 21.82 * As of March 31, 2020 , the aggregate intrinsic value of options exercisable was $22.7 million and such shares had a weighted-average remaining contractual term of 2.77 years .
Schedule of restricted stock unit activity	The following table presents a summary of the Company’s RSU and PRSU activity for the period indicated. Number of Units Weighted- Average Grant Date Fair Value per Share Outstanding balance as of December 31, 2019 3,694,915 $ 35.76 Granted 2,369,093 20.42 Vested (96,683 ) 52.64 Forfeited (260,279 ) 53.31 Outstanding balance as of March 31, 2020 5,707,046 $ 28.30

Net Loss per Share (Tables)

Net Loss per Share (Tables)	3 Months Ended
	Mar. 31, 2020
Earnings Per Share [Abstract]
Schedule of potential dilutive securities that would have been anti-dilutive due to net loss	The following table presents a summary of the securities that have been excluded from the calculation of weighted-average shares of common stock outstanding because the effect is antidilutive for each of the periods indicated. Three Months Ended 2020 2019 Stock options 4,310,566 3,847,116 Restricted stock units 5,707,046 1,368,636
Schedule of calculation of basic and diluted net loss per share	The following table presents the calculation of the Company’s basic and diluted net loss per share for each of the periods indicated. Three Months Ended 2020 2019 Numerator (in thousands): Net loss $ (60,106 ) $ (21,554 ) Denominator: Weighted-average shares of common stock outstanding, basic and diluted 63,626,333 58,138,692 Net loss per share, basic and diluted $ (0.94 ) $ (0.37 )

Segment and Geographic Inform_2

Segment and Geographic Information (Tables)	3 Months Ended
	Mar. 31, 2020
Segment Reporting [Abstract]
Schedule of revenue, segment profitability and segment profitability margin by segment	The following table presents financial information regarding each of the Company’s reportable segment’s results of operations for each of the periods indicated. Three Months Ended 2020 2019 (dollars in thousands) Revenue by segment* Graduate Program Segment $ 118,457 $ 104,174 Alternative Credential Segment 57,022 18,060 Total revenue $ 175,479 $ 122,234 Segment profitability** Graduate Program Segment $ 6,460 $ 710 Alternative Credential Segment (10,764 ) (3,916 ) Total segment profitability $ (4,304 ) $ (3,206 ) Segment profitability margin*** Graduate Program Segment 5.5 % 0.7 % Alternative Credential Segment (18.9 ) (21.7 ) Total segment profitability margin (2.5 )% (2.6 )% * The Company has excluded immaterial amounts of intersegment revenues from the three -month periods ended March 31, 2020 and 2019 . ** The Company defines segment profitability as net income or net loss, as applicable, before net interest income (expense), taxes, depreciation and amortization expense, foreign currency gains or losses, deferred revenue fair value adjustments, transaction costs, integration costs, restructuring-related costs, stockholder activism costs, impairment charges, and stock-based compensation expense. Some or all of these items may not be applicable in any given reporting period. *** The Company defines segment profitability margin as segment profitability as a percentage of the respective segment’s revenue.
Schedule of reconciliation of net loss to total segment profitability	The following table presents a reconciliation of the Company’s net loss to total segment profitability for each of the periods indicated. Three Months Ended 2020 2019 (in thousands) Net loss $ (60,106 ) $ (21,554 ) Adjustments: Interest expense (income), net 4,980 (2,294 ) Foreign currency loss 2,271 370 Income tax benefit (1,055 ) (941 ) Depreciation and amortization expense 23,485 9,698 Transaction and integration costs 724 1,931 Restructuring-related costs 288 — Stockholder activism costs 4,239 — Stock-based compensation expense 20,870 9,584 Total adjustments 55,802 18,348 Total segment profitability $ (4,304 ) $ (3,206 )
Schedule of total assets by segment	The following table presents the Company’s total assets by segment for each of the periods indicated. March 31, December 31, (in thousands) Total assets Graduate Program Segment $ 516,021 $ 507,187 Alternative Credential Segment 665,940 679,643 Total assets $ 1,181,961 $ 1,186,830
Schedule of contract assets and liabilities	The following table presents the Company’s trade accounts receivable and contract liabilities in each segment for each of the periods indicated. March 31, December 31, (in thousands) Trade accounts receivable Graduate Program Segment accounts receivable $ 28,161 $ 3,454 Graduate Program Segment unbilled revenue* 25,035 12,123 Alternative Credential Segment accounts receivable 24,146 19,408 Provision for credit losses (1,931 ) (1,330 ) Total trade accounts receivable $ 75,411 $ 33,655 Contract liabilities Graduate Program Segment deferred revenue $ 16,839 $ 2,210 Alternative Credential Segment deferred revenue 52,983 46,623 Total contract liabilities $ 69,822 $ 48,833 * Unbilled revenue represents contract assets.

Organization (Details)

Organization (Details)	3 Months Ended
	Mar. 31, 2020segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of reportable segments (in segments)	2

Significant Accounting Polici_4

Significant Accounting Policies - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019	Jan. 01, 2019
Capitalized Computer Software, Net [Abstract]
Capitalized implementation costs, software	$ 3,600		$ 3,100
Useful life		5 years
Leases [Abstract]
Right-of-use assets	48,675		43,401
Lease liability, current	7,858		7,320
Lease liability, non-current	$ 73,541		$ 66,974
Accounting Standards Update 2016-02
Leases [Abstract]
Right-of-use assets				$ 34,000
Lease liability, current				5,000
Lease liability, non-current				$ 58,000
Minimum
Capitalized Computer Software, Net [Abstract]
Useful life	3 years

Significant Accounting Polici_5

Significant Accounting Policies - Change in Provision for Credit Losses (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Balance as of January 1, 2020	$ 1,330
Current period provision	629	$ 0
Amounts written off	(28)
Balance as of March 31, 2020	$ 1,931

Business Combination - Addition

Business Combination - Additional Information (Details) $ / shares in Units, $ in Millions	May 22, 2019USD ($)$ / shares
Acquisition
Consideration transferred | $	$ 608.6
Trilogy Education Services, Inc.
Acquisition
Par value (in usd per share) | $ / shares	$ 0.001

Business Combination - Pro Form

Business Combination - Pro Forma Information (Details) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2019USD ($)$ / shares
Business Combinations [Abstract]
Pro forma revenue	$ 153,310
Pro forma net loss	$ (39,795)
Pro forma net loss per share, basic and diluted (in dollars per share) | $ / shares	$ (0.68)

Goodwill and Amortizable Inta_3

Goodwill and Amortizable Intangible Assets - Amortizable Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019
Goodwill [Roll Forward]
Beginning balance	$ 418,350
Foreign currency translation adjustments	(13,617)
Ending balance	404,733
Estimated Average Useful Life (in years)		5 years
Gross Carrying Amount	456,045		$ 447,276
Accumulated Amortization	(131,069)		(114,201)
Net Carrying Amount	$ 324,976		333,075
Minimum
Goodwill [Roll Forward]
Estimated Average Useful Life (in years)	3 years
Graduate Program Segment
Goodwill [Roll Forward]
Beginning balance	$ 0
Foreign currency translation adjustments	0
Ending balance	0
Alternative Credit Segment
Goodwill [Roll Forward]
Beginning balance	418,350
Foreign currency translation adjustments	(13,617)
Ending balance	404,733
Capitalized technology
Goodwill [Roll Forward]
Gross Carrying Amount	147,910		142,712
Accumulated Amortization	(48,972)		(41,106)
Net Carrying Amount	$ 98,938		101,606
Capitalized technology | Minimum
Goodwill [Roll Forward]
Estimated Average Useful Life (in years)	3 years
Capitalized technology | Maximum
Goodwill [Roll Forward]
Estimated Average Useful Life (in years)	5 years
Capitalized content development
Goodwill [Roll Forward]
Gross Carrying Amount	$ 178,014		167,758
Accumulated Amortization	(62,020)		(54,736)
Net Carrying Amount	$ 115,994		113,022
Capitalized content development | Minimum
Goodwill [Roll Forward]
Estimated Average Useful Life (in years)	4 years
Capitalized content development | Maximum
Goodwill [Roll Forward]
Estimated Average Useful Life (in years)	5 years
University client relationships
Goodwill [Roll Forward]
Gross Carrying Amount	$ 105,203		110,344
Accumulated Amortization	(13,679)		(12,419)
Net Carrying Amount	$ 91,524		97,925
University client relationships | Minimum
Goodwill [Roll Forward]
Estimated Average Useful Life (in years)	9 years
University client relationships | Maximum
Goodwill [Roll Forward]
Estimated Average Useful Life (in years)	10 years
Trade names and domain names
Goodwill [Roll Forward]
Gross Carrying Amount	$ 24,918		26,462
Accumulated Amortization	(6,398)		(5,940)
Net Carrying Amount	$ 18,520		20,522
Trade names and domain names | Minimum
Goodwill [Roll Forward]
Estimated Average Useful Life (in years)	5 years
Trade names and domain names | Maximum
Goodwill [Roll Forward]
Estimated Average Useful Life (in years)	10 years
In Process Capitalized Technology And Content Development
Goodwill [Roll Forward]
Net Carrying Amount	$ 26,500		$ 30,700

Goodwill and Amortizable Inta_4

Goodwill and Amortizable Intangible Assets - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019	May 22, 2019
Finite-Lived Intangible Assets [Line Items]
Net carrying amount	$ 324,976		$ 333,075
Amortization expense	20,200	$ 7,000
Capitalized technology
Finite-Lived Intangible Assets [Line Items]
Net carrying amount	98,938		101,606
Trade names and domain names
Finite-Lived Intangible Assets [Line Items]
Net carrying amount	18,520		20,522
Trilogy Education Services, Inc. | Developed technology
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets:				$ 48,100
Trilogy Education Services, Inc. | Developed content
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets:				48,100
Trilogy Education Services, Inc. | University client relationships
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets:				84,200
Trilogy Education Services, Inc. | Trade names and domain names
Finite-Lived Intangible Assets [Line Items]
Amortizable intangible assets:				$ 7,100
Alternative Credit Segment
Finite-Lived Intangible Assets [Line Items]
Goodwill, accumulated impairment loss	$ 70,400		$ 70,400

Goodwill and Amortizable Inta_5

Goodwill and Amortizable Intangible Assets - Estimated Future Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019
Finite-Lived Intangible Assets [Line Items]
Amortization expense	$ 20,200	$ 7,000
Future amortization expense
Net Carrying Amount	324,976		$ 333,075
Excluding in process capitalized technology and content development
Future amortization expense
2021	60,365
2022	73,532
2023	57,564
2024	41,214
2025	22,536
Thereafter	43,224
Net Carrying Amount	$ 298,435

Accrued Expenses (Details)

Accrued Expenses (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Payables and Accruals [Abstract]
Accrued university and head tutor compensation	$ 21,174	$ 23,419
Accrued marketing costs	27,694	22,055
Accrued transaction, integration and restructuring-related costs	2,331	4,459
Accounts payable and other accrued expenses	37,999	15,448
Total accounts payable and accrued expenses	89,198	65,381
Employee termination benefits reserve	$ 100	$ 500

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Millions	Mar. 31, 2020USD ($)
Commitments and Contingencies Disclosure [Abstract]
Additional investment in educational technology, contingent payment	$ 5

Leases - Additional Information

Leases - Additional Information (Details) $ in Millions	3 Months Ended
	Mar. 31, 2020USD ($)
Lessee, Lease, Description [Line Items]
Renewal term (in years)	5 years
Option to terminate, term (in years)	1 year
Weighted average remaining lease term (in years)	7 years 9 months 18 days
Weighted average discount rate	11.90%
Operating Lease, Payments	$ 4.1
Lease liability, leases not yet commenced	$ 67.9
Minimum
Lessee, Lease, Description [Line Items]
Contract term (in years)	1 year
Contract term, leases not yet commenced (in years)	4 years
Maximum
Lessee, Lease, Description [Line Items]
Contract term (in years)	11 years
Contract term, leases not yet commenced (in years)	12 years

Leases - Lease Cost (Details)

Leases - Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Leases [Abstract]
Operating lease expense	$ 3,620	$ 2,622
Short-term lease expense	113	236
Variable lease expense	1,460	914
Total lease expense	$ 5,193	$ 3,772

Leases - Operating Lease Liabil

Leases - Operating Lease Liabilities Due (Details) $ in Thousands	Mar. 31, 2020USD ($)
Leases [Abstract]
Remainder of 2020	$ 12,675
2021	16,416
2022	15,673
2023	15,364
2024	14,946
Thereafter	52,166
Total lease payments	127,240
Less: imputed interest	(45,841)
Total lease liability	$ 81,399

Debt - Long-Term Debt (Details)

Debt - Long-Term Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2020	Dec. 31, 2019
Debt Disclosure [Abstract]
Senior secured term loan facility	$ 250,000	$ 250,000
Deferred government grant obligations	3,500	3,500
Less: unamortized debt issuance costs	(9,284)	(7,238)
Other	358	358
Long-term debt	$ 244,574	$ 246,620

- Additional Information (Detai

- Additional Information (Details)	Apr. 23, 2020USD ($)	May 22, 2019USD ($)	Mar. 31, 2020USD ($)agreement	Mar. 31, 2019USD ($)	Feb. 25, 2020USD ($)	Dec. 31, 2019USD ($)
Debt Instrument [Line Items]
Long-term debt, current maturities			$ 300,000			$ 600,000
Debt issuance costs, net			9,284,000			7,238,000
Debt instrument, minimum unrestricted cash			25,000,000
Interest expense			$ 5,493,000	$ 55,000
Number of contracts (in contracts) | agreement			2
Deferred government grant obligations			$ 3,500,000			3,500,000
Prince George's County, Maryland
Debt Instrument [Line Items]
Interest rate			3.00%
Deferred Government Grant Obligations
Debt Instrument [Line Items]
Interest payable			$ 300,000			$ 300,000
Credit Agreement | Letter of Credit
Debt Instrument [Line Items]
Term loan		$ 250,000,000
Debt issuance costs, net					$ 2,500,000
Interest rate during period			8.90%
Interest expense			$ 5,400,000
Interest payable			$ 100,000
Base Rate | Credit Agreement | Letter of Credit
Debt Instrument [Line Items]
Variable rate, applicable margin		5.75%
Base Rate | Credit Agreement | Letter of Credit | Minimum
Debt Instrument [Line Items]
Variable rate, applicable margin		2.00%
LIBOR | Credit Agreement | Letter of Credit
Debt Instrument [Line Items]
Variable rate, applicable margin		6.75%
LIBOR | Credit Agreement | Letter of Credit | Minimum
Debt Instrument [Line Items]
Variable rate, applicable margin		1.00%
Prior To First Anniversary of First Amendment Effective Date | Credit Agreement | Letter of Credit
Debt Instrument [Line Items]
Debt instrument, prepayment premium		2.00%
Debt instrument, prepayment penalty		1.00%
On Or After First Anniversary of First Amendment Effective Date | Credit Agreement | Letter of Credit
Debt Instrument [Line Items]
Debt instrument, prepayment premium		1.00%
Subsequent Event | Credit Agreement | Letter of Credit
Debt Instrument [Line Items]
Repayments of Debt	$ 250,000,000

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Income Tax Disclosure [Abstract]
U.S. statutory federal income tax rate	2.00%	(4.00%)
Tax benefit, difference in operating losses and amortization of acquired intangibles	$ 1.1

Stockholders' Equity (Details)

Stockholders' Equity (Details) - shares	Mar. 31, 2020	Dec. 31, 2019	Jan. 01, 2019	Jan. 01, 2018
Stockholders' Equity
Authorized shares of capital stock (in shares)	205,000,000
Authorized shares of common stock (in shares)	200,000,000	200,000,000
Authorized shares of preferred stock (in shares)	5,000,000	5,000,000
Shares of common stock reserved for future issuance
Outstanding stock options (in shares)	4,310,566
Possible future issuance under 2014 Equity Incentive Plan (in shares)	6,371,081
Outstanding restricted stock units (in shares)	5,707,046
Available for future issuance under employee stock purchase plan (in shares)	812,964
Total shares of common stock reserved for future issuance (in shares)	17,201,657
Equity Incentive Plan 2014 | Stock options
Shares of common stock reserved for future issuance
Possible future issuance under 2014 Equity Incentive Plan (in shares)			3,175,011	2,896,365

Stock-Based Compensation - Expe

Stock-Based Compensation - Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Stock-based compensation expense included in the unaudited condensed consolidated statements of operations
Stock-based compensation expense	$ 20,870	$ 9,584
Curriculum and teaching
Stock-based compensation expense included in the unaudited condensed consolidated statements of operations
Stock-based compensation expense	133	3
Servicing and support
Stock-based compensation expense included in the unaudited condensed consolidated statements of operations
Stock-based compensation expense	3,928	1,669
Technology and content development
Stock-based compensation expense included in the unaudited condensed consolidated statements of operations
Stock-based compensation expense	3,169	1,856
Marketing and sales
Stock-based compensation expense included in the unaudited condensed consolidated statements of operations
Stock-based compensation expense	3,233	1,256
General and administrative
Stock-based compensation expense included in the unaudited condensed consolidated statements of operations
Stock-based compensation expense	$ 10,407	$ 4,800

Stock-Based Compensation - Opti

Stock-Based Compensation - Options (Details) $ / shares in Units, $ in Millions	3 Months Ended
	Mar. 31, 2020USD ($)$ / sharesshares
Stock options
Number of Options
Outstanding balance at the beginning of the period (in shares) | shares	4,373,895
Granted (in shares) | shares	8,597
Exercised (in shares) | shares	(37,275)
Forfeited (in shares) | shares	(7,252)
Expired (in shares) | shares	(27,399)
Outstanding balance at the end of the period (in shares) | shares	4,310,566
Exercisable at the end of the period (in shares) | shares	3,079,102
Weighted-Average Exercise Price per Share
Outstanding balance at the beginning of the period (in dollars per share) | $ / shares	$ 34.24
Granted (in dollars per share) | $ / shares	19.61
Exercised (in dollars per share) | $ / shares	10.30
Forfeited (in dollars per share) | $ / shares	66.61
Expired (in dollars per share) | $ / shares	38.73
Outstanding balance at the end of the period (in dollars per share) | $ / shares	34.34
Exercisable at the end of the period (in dollars per share) | $ / shares	$ 21.82
Intrinsic value of options exercisable at the end of the period | $	$ 22.7
Employee Stock
Weighted-Average Exercise Price per Share
Weighted-average remaining contractual term of options exercisable at the end of the period (in years)	2 years 9 months 7 days

Stock-Based Compensation - Rest

Stock-Based Compensation - Restricted Stock Units (Details) - USD ($) $ / shares in Units, $ in Millions	1 Months Ended	3 Months Ended
	Jan. 31, 2020	Mar. 31, 2020
Restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate grant date fair value	$ 34.1
Summary of restricted stock unit activity
Granted (in shares)	1,700,000
PRSU
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		1 year
Summary of restricted stock unit activity
Granted (in shares)	1,900,000
PRSU | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Quantity of units subject to vesting		0.00%
PRSU | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Quantity of units subject to vesting		200.00%
RSU and PRSU
Summary of restricted stock unit activity
Outstanding balance at the beginning of the period (in shares)	3,694,915	3,694,915
Granted (in shares)		2,369,093
Vested (in shares)		(96,683)
Forfeited (in shares)		(260,279)
Outstanding balance at the end of the period (in shares)		5,707,046
Weighted-Average Grant-Date Fair value
Outstanding at the beginning of the period (in dollars per share)	$ 35.76	$ 35.76
Granted (in dollars per share)		20.42
Vested (in dollars per share)		52.64
Forfeited (in dollars per share)		53.31
Outstanding at the end of the period (in dollars per share)		$ 28.30
RSU and PRSU | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
Tranche One | PRSU
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate grant date fair value	$ 12.8
Summary of restricted stock unit activity
Granted (in shares)	600,000

Net Loss per Share (Details)

Net Loss per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Numerator:
Net loss	$ (60,106)	$ (21,554)
Denominator:
Weighted-average shares of common stock outstanding, basic and diluted (in shares)	63,626,333	58,138,692
Net loss per share, basic and diluted (in dollars per share)	$ (0.94)	$ (0.37)
Stock options
Potential dilutive securities that would have been anti-dilutive
Potential dilutive securities that would have been anti-dilutive due to net loss (in shares)	4,310,566	3,847,116
Restricted stock units
Potential dilutive securities that would have been anti-dilutive
Potential dilutive securities that would have been anti-dilutive due to net loss (in shares)	5,707,046	1,368,636

Segment and Geographic Inform_3

Segment and Geographic Information - Concentration Risk (Details) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2020USD ($)segment	Mar. 31, 2019USD ($)	Dec. 31, 2019USD ($)
Segment Information
Number of reportable segments (in segments) | segment	2
Revenue	$ 175,479	$ 122,234
Accounts receivable, net	75,411		$ 33,655
Graduate Program Segment
Segment Information
Revenue	118,457	104,174
Alternative Credit Segment
Segment Information
Revenue	57,022	18,060
University client A | Customer concentration risk | Sales Revenue, Net | Graduate Program Segment
Segment Information
Revenue	$ 17,500	$ 22,600
Percentage of concentration of credit risk	10.00%	18.00%
University client A | Customer concentration risk | Revenue segment | Alternative Credit Segment
Segment Information
Revenue	$ 7,900
Percentage of concentration of credit risk	14.00%
University client A | Credit concentration risk | Accounts receivable, net | Graduate Program Segment
Segment Information
Percentage of concentration of credit risk	11.00%		18.00%
Accounts receivable, net	$ 8,700		$ 6,100
University client B | Customer concentration risk | Sales Revenue, Net | Graduate Program Segment
Segment Information
Revenue		$ 12,900
Percentage of concentration of credit risk		11.00%
University client B | Credit concentration risk | Accounts receivable, net | Graduate Program Segment
Segment Information
Percentage of concentration of credit risk			15.00%
Accounts receivable, net			$ 4,900
University client C | Customer concentration risk | Sales Revenue, Net | Graduate Program Segment
Segment Information
Revenue		$ 12,700
Percentage of concentration of credit risk		10.00%
Four university clients | Customer concentration risk | Revenue segment | Alternative Credit Segment
Segment Information
Percentage of concentration of credit risk		88.00%

Segment and Geographic Inform_4

Segment and Geographic Information - Revenue and Total Assets by Segment (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019
Segment Information
Revenue	$ 175,479	$ 122,234
Total segment profitability	$ (4,304)	$ (3,206)
Total segment profitability margin	(2.50%)	(2.60%)
Net loss	$ (60,106)	$ (21,554)
Adjustments
Interest expense (income), net	4,980	(2,294)
Foreign currency loss	2,271	370
Income tax benefit	(1,055)	(941)
Depreciation and amortization expense	23,485	9,698
Transaction and integration costs	724	1,931
Restructuring-related costs	288	0
Stockholder activism costs	4,239	0
Stock-based compensation expense	20,870	9,584
Total adjustments	55,802	18,348
Total assets	1,181,961		$ 1,186,830
Trade accounts receivable
Provision for credit losses	(1,931)		(1,330)
Total trade accounts receivable	75,411		33,655
Contract liabilities	69,822		48,833
Graduate Program Segment
Segment Information
Revenue	118,457	104,174
Total segment profitability	$ 6,460	$ 710
Total segment profitability margin	5.50%	0.70%
Adjustments
Total assets	$ 516,021		507,187
Trade accounts receivable
Accounts receivable, net	28,161		3,454
Graduate Program Segment unbilled revenue	25,035		12,123
Contract liabilities	16,839		2,210
Contract with customer, liability, revenue recognized	2,200	$ 2,400
Alternative Credit Segment
Segment Information
Revenue	57,022	18,060
Total segment profitability	$ (10,764)	$ (3,916)
Total segment profitability margin	(18.90%)	(21.70%)
Adjustments
Total assets	$ 665,940		679,643
Trade accounts receivable
Accounts receivable, net	24,146		19,408
Contract liabilities	52,983		$ 46,623
Contract with customer, liability, revenue recognized	$ 34,400	$ 5,400

Segment and Geographic Inform_5

Segment and Geographic Information - Contract Acquisition Costs (Details) - USD ($) $ in Millions	Mar. 31, 2020	Dec. 31, 2019
Graduate Program Segment
Segment Information
Capitalized contract cost	$ 0.5	$ 0.5

Segment and Geographic Inform_6

Segment and Geographic Information - Geographical Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019	Dec. 31, 2019
Geographical Information
Assets	$ 1,181,961		$ 1,186,830
Alternative Credit Segment
Geographical Information
Assets	665,940		679,643
Alternative Credit Segment | Non-US
Geographical Information
Revenue	11,300	$ 7,700
Assets	$ 2,000		$ 2,700

Subsequent Events (Details)

Subsequent Events (Details)	May 01, 2020USD ($)	Apr. 23, 2020USD ($)day$ / shares	Jun. 30, 2020USD ($)	Apr. 29, 2020USD ($)	Mar. 31, 2020$ / shares	Dec. 31, 2019$ / shares
Subsequent Event [Line Items]
Common stock, par value (in dollars per share) | $ / shares					$ 0.001	$ 0.001
The Notes | Convertible Debt | Subsequent Event
Subsequent Event [Line Items]
Aggregate principal amount		$ 330,000,000
Debt instrument, optional increase in face amount		50,000,000		$ 50,000,000
Proceeds from issuance of debt		$ 321,800,000
Interest rate		2.25%
Common stock, par value (in dollars per share) | $ / shares		$ 0.001
Debt instrument, convertible, threshold percentage of stock price trigger		130.00%
Debt instrument, convertible, threshold trading days | day		20
Debt instrument, convertible, threshold consecutive trading days | day		30
Debt instrument, convertible, threshold consecutive trading days, sale price per share | day		5
Debt instrument, convertible, measurement period | day		10
Debt instrument, threshold percentage of sales price per share		98.00%
Debt instrument, convertible, conversion ratio		0.0353773
Debt instrument, convertible, conversion price (in dollars per share) | $ / shares		$ 28.27
Capped call, cap price (in dollars per share) | $ / shares		$ 44.34
Cost of capped call transaction		$ 43,900,000
Forecast | The Notes | Convertible Debt
Subsequent Event [Line Items]
Proceeds from issuance of debt	$ 48,800,000
Gain (loss) on extinguishment of debt			$ (12,000,000)