Scholastic Corporation (NASDAQ:SCHL) Q3 2022 Earnings Conference Call March 17, 2022 4:30 PM ET Company Participants Paul Hukkanen - VP and CAO Peter Warwick - CEO Ken Cleary - CFO Operator Good day and thank you for standing by, and welcome to the Scholastic Fiscal 2022 Third Quarter Earnings Call. At this time, all participants are in a listen-only mode. Please be advised this call is being recorded. [Operator Instructions] I would now like to hand the conference over to your host today, Paul Hukkanen, Ch ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q Quarterly Report pursuant to section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended November 30, 2021 Commission File No. 000-19860 SCHOLASTIC CORPORATION (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) 557 Broadway, New York, New York 10012 (Address of principal executive offices) (Zip Code) Delaware 13-3385513 (IRS Employ ...

Financial Data and Key Metrics Changes - Revenues for Q2 grew to $524.2 million, up from $406.2 million in the prior year, representing a 29% increase [36] - Operating income increased to $84.3 million from $54.3 million year-over-year [36] - Net income rose to $69 million compared to $39.4 million last year [36] - Adjusted EBITDA was $113.7 million, up from $77.7 million in the previous year [36] - Earnings per diluted share increased to $1.93 from $1.15 [36] - Net cash provided by operating activities was $78 million, compared to $46.1 million in the same quarter last year [37] - Free cash flow for the quarter was $75.4 million, up from $30.9 million [37] Business Line Data and Key Metrics Changes - Book Fairs revenue reached $176.2 million, significantly up from $47.7 million in the prior period [42] - Trade revenues were $124.4 million, slightly down from $129.3 million due to the previous year's release of a high-profile title [45] - Book Clubs revenue was $51.9 million, down from $67 million, attributed to labor shortages and backlog issues [46] - Education Solutions revenues increased to $79.5 million from $67.5 million, with operating income rising to $15.6 million from $10.3 million [49] - Magazine revenue increased by $2.7 million compared to the prior year [50] Market Data and Key Metrics Changes - International segment revenues were $92.2 million, down from $94.7 million, with operating income decreasing to $9 million from $19.5 million [52] - Australia and New Zealand faced lower revenues due to recent lockdowns, while Canada showed a strong recovery [53] - Sales in Asia decreased due to COVID restrictions and new regulations in China affecting tutoring and foreign content [54] Company Strategy and Development Direction - The company aims to recover its Book Fairs business as schools reopen for in-person learning, with a focus on improving data analytics capabilities [42][44] - A formal combination of the Education and Magazine divisions is expected to streamline marketing and growth opportunities [27] - The company is enhancing its digital offerings and focusing on diverse voices in publishing [51] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future results despite ongoing cost and supply chain challenges [61] - The company has implemented cost-saving initiatives and technology investments that are expected to benefit operations moving forward [57][58] - Management noted that while labor and product costs have increased, proactive measures are being taken to address these challenges [60] Other Important Information - The company restarted its share buyback program, reacquiring over 134,000 shares for $5 million [41] - A five-year partnership with the University of Florida aims to support literacy initiatives, with potential to reach 500,000 children [29] - The company approved a regular quarterly dividend of $0.15 per share [62] Q&A Session Summary Question: What is the outlook for the Book Fairs business? - Management confirmed that the Book Fairs business is recovering, with revenues exceeding expectations, although still below pre-pandemic levels [11][42] Question: How is the company addressing labor shortages? - The company is increasing wages and incentives at its distribution facilities to attract more staff and reduce backlogs [46][60]

Financial Performance - Revenues increased by 29% to $5242 million in Q2 FY22[8] - Operating income improved by approximately $30 million[8] - Adjusted EBITDA for the three months ended November 30, 2021, was $1137 million, compared to $777 million for the same period in 2020[26] - Free cash flow for the three months ended November 30, 2021, was $754 million, compared to $309 million for the same period in 2020[29] - Total debt decreased significantly to $143 million from $1948 million[29] Business Segment Performance - Children's Book Publishing & Distribution saw significant recovery in book fairs, moving towards pre-pandemic levels[10] - Book Fairs revenue increased significantly, contributing to a 44% increase in total Children's Book Publishing and Distribution revenue[33, 33] - Book Clubs experienced increased demand but faced industry-wide labor shortages[10] - Education Solutions revenue increased by 18%[33] - International business experienced disruptions in Asia, leading to a decrease in demand[13] Key Initiatives and Outlook - The company is focused on increasing the number of book fairs held and recovering from operational difficulties in book clubs[14] - New revenue channels in Education Solutions, such as PreK On My Way™, Scholastic Literacy Pro®, and Scholastic FIRS.T.®, are gaining traction[12] - Scholastic is a partner in the State of Florida's New Worlds Reading Initiative[16]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q Quarterly Report pursuant to section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended August 31, 2021 Commission File No. 000-19860 (State or other jurisdiction of incorporation or organization) 557 Broadway, New York, New York 10012 (Address of principal executive offices) (Zip Code) SCHOLASTIC CORPORATION (Exact name of Registrant as specified in its charter) Delaware 13-3385513 (IRS Employer ...

ADD COVER IMAGE HERE First Quarter FY 2022 Earnings Call Presentation Thursday, September 23, 2021 Forward-Looking Statements This presentation contains certain forward-looking statements. Such forward-looking statements are subject to various risks and uncertainties, including those arising from the continuing impact of COVID-19 related measures taken by governmental authorities, school administrators, or suppliers or customers which may curtail or otherwise adversely affect certain of the Company's busine ...

Financial Data and Key Metrics Changes - Revenue for Q1 fiscal 2022 increased by 21% compared to the prior year, reaching $259.8 million, up from $215.2 million [10][32] - The operating loss improved to $36.2 million from $45 million in the prior period, reflecting a reduction of 44% [10][32] - Adjusted EBITDA loss decreased to $13 million from $15.9 million year-over-year [32] - Free cash flow turned positive at $49.1 million compared to a cash outflow of $34.9 million in the previous year [34] Business Line Data and Key Metrics Changes - Children's Book Publishing and Distribution revenue increased by 25% to $115.8 million, driven by strong sales of series publishing and backlist titles [35] - Education Solutions revenue grew by 49% to $80.1 million, benefiting from increased demand for summer learning offerings and new early childhood programs [37] - International segment revenue decreased by 8% or $5.4 million, primarily due to COVID-related disruptions in Australia and New Zealand [39] Market Data and Key Metrics Changes - Book Clubs and book fairs saw increased engagement and revenue per fair, indicating a recovery in school distribution channels [14][36] - The trade channel maintained strong performance with 19 titles on the New York Times best-seller list, indicating robust market demand [42] Company Strategy and Development Direction - The company is focused on leveraging its intellectual property and expanding its digital product offerings to meet evolving customer needs [19][23] - Strategic growth initiatives include enhancing connections with parents and educators, as well as diversifying supplier bases to mitigate supply chain challenges [43][27] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the fall season, noting strong demand from educators and schools returning to in-person learning [26][41] - The company anticipates ongoing challenges from labor shortages and supply chain issues but believes cost-saving measures will help mitigate these effects [27][51] Other Important Information - The company received a federal tax refund of $63.1 million and an insurance settlement of $6.6 million, contributing to positive cash flow [50] - A new Board member, Verdell Walker, was welcomed, bringing expertise in children's content creation [28] Q&A Session Summary Question: What are the expectations for the upcoming quarters? - Management indicated that while the second and third quarters typically see lower sales volumes for Education Solutions, strong demand is expected to continue as schools return to normal operations [48] Question: How is the company addressing supply chain challenges? - The company is diversifying its supplier base and planning manufacturing activities based on available paper supplies to meet increased demand [43] Question: What is the outlook for international markets? - The company expects ongoing effects from the pandemic in Australia and New Zealand but anticipates recovery as restrictions lift [24][49]

United States Securities and Exchange Commission Washington, D.C. 20549 Form 10-K Annual Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended May 31, 2021 Commission File No. 000-19860 Scholastic Corporation (Exact name of Registrant as specified in its charter) Delaware 13-3385513 (State or other jurisdiction of incorporation or organization) 557 Broadway New York, New York 10012 (Address of principal executive offices) (Zip Code) (IRS Employer Identificat ...

Scholastic Corporation (NASDAQ:SCHL) Q4 2021 Earnings Conference Call July 22, 2021 4:30 PM ET Company Participants Gil Dickoff - Senior Vice President, Treasurer and Head, Investor Relations James Barge - Lead Independent Director Iole Lucchese - Chairman, President and Chief Strategy Officer Ken Cleary - Chief Financial Officer Peter Warwick - President and Chief Executive Officer Operator Good day and thank you for standing by. Welcome to Scholastic Reports Q4 and Fiscal Year 2021 Results Conference Call ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q Quarterly Report pursuant to section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended February 28, 2021 Commission File No. 000-19860 SCHOLASTIC CORPORATION (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) 557 Broadway, New York, New York 10012 (Address of principal executive offices) (Zip Code) Delaware 13-3385513 (IRS Employ ...