Rocketship Education
Rocketship Education shows consistent revenue growth and strong program spending, with significant asset expansion in recent years.
EIN: 204040597 · Redwood City, CA · NTEE: B29 · Updated: 2026-03-28
Is Rocketship Education Legit?
Some Concerns
Assessment based on IRS 990 filings, spending patterns, and AI analysis. Not a guarantee of legitimacy. Full charity check →
Rocketship Education directs 85% of its spending to programs. This exceeds the industry benchmark of 65%, indicating strong mission focus.
About Rocketship Education
Rocketship Education (EIN: 204040597) is a nonprofit organization based in Redwood City, CA, classified under NTEE code B29. The organization reported total revenue of $187.0M and total assets of $271.4M according to its most recent IRS 990 filing. This transparency report provides an AI-powered analysis of Rocketship Education's financial health, spending patterns, executive compensation, and overall mission effectiveness based on publicly available IRS data.
Organization Overview
Rocketship Education is a major nonprofit that has been operating for 20 years, with 13 years of IRS 990 filings on record (2011–2023). Revenue has grown at a compound annual rate of 24.2%.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
| Total Revenue | $173.9M |
| Total Expenses | $158.6M |
| Surplus / Deficit | +$15.3M |
| Total Assets | $251.2M |
| Total Liabilities | $183.0M |
| Net Assets | $68.2M |
| Operating Margin | 8.8% |
| Debt-to-Asset Ratio | 72.8% |
| Months of Reserves | 19.0 months |
Financial Health Grade: A
In 2023, Rocketship Education reported a surplus of $15.3M with revenue exceeding expenses, holds 19.0 months of operating reserves (strong position), has a debt-to-asset ratio of 72.8% (high leverage).
Financial Trends
Over 13 years of filings (2011–2023), Rocketship Education's revenue has grown at a compound annual growth rate (CAGR) of 24.2%.
| Year | Revenue Change | Expense Change | Asset Change |
|---|---|---|---|
| 2023 | +25.2% | +15.8% | +235.0% |
| 2022 | +15.1% | +26.4% | +0.2% |
| 2021 | +8.4% | +0.3% | +32.1% |
| 2020 | +2.1% | +5.1% | +10.2% |
| 2019 | +10.4% | +8.8% | +19.5% |
IRS Tax-Exempt Classification
| IRS Classification Codes | 1000 |
| IRS Ruling Date | 2006 |
Classification data from ProPublica Nonprofit Explorer. Additional BMF data may be available after enrichment.
AI Transparency Report
Mission Effectiveness Score
NonprofitSpending's AI analysis rates Rocketship Education with a Mission Score of 90 out of 100 (Excellent). This score reflects the organization's overall financial transparency, program spending efficiency, and governance indicators derived from IRS 990 public filings.
Spending Breakdown
- admin: 10%
- programs: 85%
- fundraising: 5%
According to IRS 990 filings, Rocketship Education allocates its expenses as follows: admin: 10%, programs: 85%, fundraising: 5%. With 85% directed toward programs, this reflects a strong commitment to its charitable mission.
Key Financial Metrics (2023)
From the most recent IRS 990 filing on record:
- The organization reported a surplus of $15.3M, with revenue exceeding expenses.
- Debt-to-asset ratio: 72.8%.
Executive Compensation Analysis
The IRS 990 filings consistently report 0% officer compensation, which is highly unusual for an organization of this size with revenues exceeding $170 million. This either indicates that executive compensation is reported elsewhere, is exceptionally low, or is not paid to officers in a way that triggers this reporting field, warranting further investigation for full transparency.
Executive compensation data is sourced from IRS 990 filings, which require nonprofits to disclose the compensation of officers, directors, trustees, and key employees. NonprofitSpending analyzes this data relative to the organization's total revenue and sector benchmarks to assess whether executive pay is reasonable.
Red Flags
The following concerns were identified during AI analysis of Rocketship Education's IRS 990 filings:
- Unusually low/0% reported officer compensation for a large organization, potentially obscuring full executive pay details.
Strengths
The following positive indicators were identified for Rocketship Education:
- Consistent and strong revenue growth over the past decade, from $51.6M in 2014 to $173.8M in 2023.
- High proportion of expenses directed towards program services, indicating efficient use of funds for its mission.
- Significant asset growth, particularly in 2023, suggesting strong investment in organizational capacity and future operations.
- Positive net assets, with assets consistently exceeding liabilities, indicating financial solvency.
Frequently Asked Questions about Rocketship Education
Is Rocketship Education a legitimate charity?
Based on AI analysis of IRS 990 filings, Rocketship Education (EIN: 204040597) some concerns. Mission Score: 90/100. 1 red flag identified, 4 strengths noted.
How does Rocketship Education spend its money?
Rocketship Education directs 85% of its spending to programs and services. The remaining budget covers administration and fundraising costs.
Are donations to Rocketship Education tax-deductible?
Rocketship Education is registered as a tax-exempt nonprofit (EIN: 204040597). Donations to most 501(c)(3) organizations are tax-deductible. Consult a tax professional for your specific situation.
How does Rocketship Education manage to report 0% officer compensation despite its large scale?
The consistent reporting of 0% officer compensation across all available filings for an organization with over $170 million in revenue is highly unusual. It suggests that executive compensation might be structured in a way that it's not reported under 'Officer Comp' on the 990, or that key leadership roles are filled by individuals not classified as officers for compensation purposes, or that compensation is exceptionally low. Further detail from the full 990 would be needed to understand this.
What caused the significant increase in assets and liabilities between 2022 and 2023?
Between 2022 and 2023, Rocketship Education's assets increased from $74,996,773 to $251,235,558, and liabilities rose from $22,037,389 to $182,992,218. This substantial growth in both assets and liabilities strongly suggests major capital investments, likely in new school facilities, property acquisitions, or significant long-term debt financing for expansion.
Is Rocketship Education financially stable given its liabilities?
While liabilities increased significantly to $182,992,218 in 2023, the organization's assets also grew substantially to $251,235,558. The asset-to-liability ratio remains healthy (approximately 1.37:1), indicating that the organization has sufficient assets to cover its obligations. The consistent revenue growth also supports its ability to manage these liabilities.
Filing History
IRS 990 filing history for Rocketship Education showing financial trends over 13 years of public records:
Over 13 years of IRS 990 filings (2011–2023), Rocketship Education's revenue has grown by 1245.7%, moving from $12.9M to $173.9M. Total assets increased by 1971.6% over the same period, from $12.1M to $251.2M. Total functional expenses rose by 2002%, from $7.5M to $158.6M. In its most recent filing year (2023), Rocketship Education reported a surplus of $15.3M, with revenue exceeding expenses. The organization holds $183.0M in liabilities against $251.2M in assets (debt-to-asset ratio: 72.8%), resulting in net assets of $68.2M.
| Year | Revenue | Expenses | Assets | Liabilities | Officer Comp. % | |
|---|---|---|---|---|---|---|
| 2023 | $173.9M | $158.6M | $251.2M | $183.0M | — | View 990 |
| 2022 | $138.9M | $136.9M | $75.0M | $22.0M | — | View 990 |
| 2021 | $120.7M | $108.3M | $74.9M | $23.9M | — | View 990 |
| 2020 | $111.3M | $108.0M | $56.7M | $17.9M | — | View 990 |
| 2019 | $109.0M | $102.7M | $51.4M | $16.1M | — | View 990 |
| 2018 | $98.8M | $94.4M | $43.0M | $14.0M | — | View 990 |
| 2017 | $91.4M | $87.6M | $38.3M | $13.7M | — | View 990 |
| 2016 | $83.0M | $76.2M | $34.1M | $13.5M | — | View 990 |
| 2015 | $63.4M | $63.4M | $24.3M | $10.3M | — | View 990 |
| 2014 | $51.7M | $52.8M | $34.9M | $20.7M | — | View 990 |
| 2013 | $16.7M | $15.3M | $15.4M | $4.5M | — | View 990 |
| 2012 | $13.1M | $10.6M | $12.7M | $3.7M | — | View 990 |
| 2011 | $12.9M | $7.5M | $12.1M | $5.7M | — | View 990 |
Year-by-Year Financial Summary
- 2023: Revenue of $173.9M, expenses of $158.6M, and assets of $251.2M (revenue +25.2% year-over-year).
- 2022: Revenue of $138.9M, expenses of $136.9M, and assets of $75.0M (revenue +15.1% year-over-year).
- 2021: Revenue of $120.7M, expenses of $108.3M, and assets of $74.9M (revenue +8.4% year-over-year).
- 2020: Revenue of $111.3M, expenses of $108.0M, and assets of $56.7M (revenue +2.1% year-over-year).
- 2019: Revenue of $109.0M, expenses of $102.7M, and assets of $51.4M (revenue +10.4% year-over-year).
- 2018: Revenue of $98.8M, expenses of $94.4M, and assets of $43.0M (revenue +8.0% year-over-year).
- 2017: Revenue of $91.4M, expenses of $87.6M, and assets of $38.3M (revenue +10.2% year-over-year).
- 2016: Revenue of $83.0M, expenses of $76.2M, and assets of $34.1M (revenue +30.9% year-over-year).
- 2015: Revenue of $63.4M, expenses of $63.4M, and assets of $24.3M (revenue +22.6% year-over-year).
- 2014: Revenue of $51.7M, expenses of $52.8M, and assets of $34.9M (revenue +210.2% year-over-year).
- 2013: Revenue of $16.7M, expenses of $15.3M, and assets of $15.4M (revenue +27.2% year-over-year).
- 2012: Revenue of $13.1M, expenses of $10.6M, and assets of $12.7M (revenue +1.3% year-over-year).
- 2011: Revenue of $12.9M, expenses of $7.5M, and assets of $12.1M.
View Individual Filing Years
Explore detailed financial data from each IRS 990 filing year for Rocketship Education:
Data Sources and Methodology
This transparency report for Rocketship Education is generated by NonprofitSpending's AI analysis engine. The data is sourced from publicly available IRS 990 filings accessed through the ProPublica Nonprofit Explorer API and IRS electronic filing records. The Mission Score, spending breakdown, and other analytical insights are produced by artificial intelligence and should be used as one of multiple factors when evaluating a nonprofit organization.
IRS 990 forms are annual information returns that most tax-exempt organizations must file with the IRS. These forms provide detailed financial information including revenue, expenses, assets, liabilities, and compensation of officers. NonprofitSpending processes this data to provide accessible transparency reports for donors, researchers, and the general public.
Disclaimer
AI-generated analysis based on IRS public records. Not financial or legal advice. Verify information directly with the organization.