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Pearson PLC (GB:PSON)
LSE:PSON
Earnings Data
Report Date
Aug 04, 2025TBA Not Confirmed
Period Ending
2025 (Q2)Consensus EPS Forecast
0.26Last Year’s EPS
0.25Same Quarter Last Year
Moderate Buy
Based on 7 Analysts Ratings
Earnings Call Summary
Earnings Call Date:Feb 28, 2025
|% Change Since: -8.05%
|Next Earnings Date:Aug 04, 2025
Earnings Call Sentiment|Positive
The earnings call highlighted Pearson's strong financial performance, strategic partnerships, and successful application of AI across its products. While there were challenges in Virtual Schools and a projected moderation in English Language Learning growth, the overall outlook remains positive with significant strategic initiatives and shareholder returns.Company Guidance
In the call, Pearson provided a guidance indicating a 3% increase in sales and a 10% rise in profits for the fiscal year 2024, resulting in an EBIT margin of 16.9%. The company highlighted its success in retaining key contracts and expanding internationally in its Assessments and Qualifications division, achieving a customer retention rate of 99% at Pearson VUE. It also reported strong free cash flow conversion at 117% and announced a share buyback of £350 million. Looking ahead to 2025, Pearson expects mid-single-digit growth across its divisions, driven by continued innovation, particularly in AI applications and strategic partnerships with companies like AWS and Microsoft, which are poised to support Pearson's enterprise learning expansion. The company remains confident in achieving sustained margin improvement, with an average increase of 40 basis points per annum beyond 2025.Financial Performance Exceeds Expectations
Pearson delivered a financial performance in line with market expectations, growing sales by 3% and profits by 10%, with an EBIT margin of 16.9% and strong free cash flow generation.
Strategic Partnerships with AWS and Microsoft
Pearson announced a partnership with AWS, following a similar strategic partnership with Microsoft, to enhance tech transformation and expand business relations in Enterprise Learning and Skills.
AI Integration Across Products
Pearson scaled the application of AI across a wide range of products and services, enhancing their educational offerings and operational efficiencies.
English Language Learning Growth
Despite a challenging market, Pearson's PTE sales grew, and new AI-powered products for English students and teachers were launched, providing a strong basis for future growth.
Successful Contract Renewals and Expansions
Pearson VUE achieved a customer retention rate of 99%, successfully renewing key contracts in U.S. student assessments and scaling their qualifications business internationally.
Strong Free Cash Flow and Shareholder Returns
Operating cash conversion was 110%, and free cash flow conversion was 117%, enabling a 6% increase in dividends and a new £350 million share buyback.
GB:PSON Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
GB:PSON Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 28, 2025 | 1318.04p | 1343.70p | +1.95% |
Jul 29, 2024 | 1029.91p | 1024.03p | -0.57% |
Mar 01, 2024 | 926.68p | 978.20p | +5.56% |
Jul 31, 2023 | 831.97p | 827.18p | -0.58% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Pearson PLC (GB:PSON) report earnings?
Pearson PLC (GB:PSON) is schdueled to report earning on Aug 04, 2025, TBA Not Confirmed.
What is Pearson PLC (GB:PSON) earnings time?
Pearson PLC (GB:PSON) earnings time is at Aug 04, 2025, TBA Not Confirmed.
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is the P/E ratio of Pearson PLC stock?
The P/E ratio of Pearson is N/A.
What is GB:PSON EPS forecast?
GB:PSON EPS forecast for the fiscal quarter 2025 (Q2) is 0.26.