Scholastic Corporation (SCHL) reports earnings

The report was filed on December 20, 2024

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Scholastic Corporation (SCHL-1.19%) has submitted its 10-Q filing for the quarterly period ended November 30, 2024.

The filing reports revenues of $544.6 million for the quarter, a decrease from $562.6 million in the same quarter the previous year. The decline is attributed to lower revenues in the Children's Book Publishing and Distribution and Education Solutions segments.

Net income for the quarter was $48.8 million, down from $76.9 million in the previous year. Earnings per diluted share were $1.71, compared to $2.45 in the prior year.

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The Children's Book Publishing and Distribution segment reported revenues of $367.0 million, a decrease from $392.4 million in the previous year. This was mainly due to lower trade channel revenues and shifts in book fair deliveries.

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Education Solutions revenues decreased to $71.2 million from $81.0 million, impacted by reduced spending on supplemental materials by school districts.

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The Entertainment segment, which includes the operations of 9 Story Media Group Inc., reported revenues of $16.8 million, a significant increase from $0.4 million in the previous year.

International segment revenues were $86.7 million, slightly up from $86.5 million, with favorable foreign exchange impacts offsetting local currency declines.

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Operating income for the quarter was $74.7 million, down from $101.3 million in the previous year, with the decrease attributed to lower revenues and higher operating expenses.

The company reported cash and cash equivalents of $139.6 million as of November 30, 2024. Cash provided by operating activities was $29.3 million, a decrease from $71.6 million in the prior year.

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Scholastic completed the acquisition of 9 Story Media Group Inc. on June 20, 2024, enhancing its entertainment segment capabilities.

The company amended its U.S. Credit Agreement, increasing borrowing limits to $400 million and extending the maturity date to November 2029.

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This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Scholastic Corporation quarterly 10-Q report dated December 20, 2024. To report an error, please email earnings@qz.com.