Scholastic ( (SCHL) ) has released its Q4 earnings. Here is a breakdown of the information Scholastic presented to its investors.
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Scholastic Corporation, a global leader in children’s publishing, education, and media, reported its financial results for the fiscal year 2025, showcasing its strong market presence and strategic initiatives. The company achieved a solid performance in the fourth quarter, with revenues increasing by 7% to $508.3 million, driven by the success of its Children’s Book Publishing and Distribution segment and the integration of 9 Story Media Group into its Entertainment division. Despite challenges in the Education Solutions segment, Scholastic maintained its profitability through disciplined cost management and strategic reorganization.
The fiscal year 2025 saw Scholastic’s revenues rise by 2% to $1,625.5 million, with notable contributions from new releases in Trade Publishing and the successful global launch of ‘Sunrise on the Reaping,’ the latest in the Hunger Games series. The company’s operating income increased by 9%, reflecting strong performance in key segments and the benefits of strategic acquisitions. However, the Education Solutions segment faced a 7% decline in revenues due to ongoing challenges in the supplemental curriculum market.
Scholastic’s strategic initiatives, including the combination of its Trade Publishing and School Reading Events divisions, aim to enhance engagement with children and families. The company also plans to optimize its real estate assets to bolster liquidity and shareholder value. Looking ahead, Scholastic targets significant growth in fiscal 2026, with Adjusted EBITDA expected to reach $160 million to $170 million, driven by core business strength and cost-saving measures.
In conclusion, Scholastic enters fiscal 2026 with a robust foundation, focusing on delivering strong earnings growth and expanding its impact on children’s literacy and education globally. The company’s strategic and operational initiatives position it well to capitalize on future opportunities and enhance shareholder value.