NEW YORK, Sept. 12, 2024 /PRNewswire/ -- Scholastic Corporation (NASDAQ:SCHL) today announced the following schedule and conference call information for its first quarter fiscal year 2025 earnings announcement: Earnings Release: Thursday, September 26, 2024, at 4:00 PM ET and posted on the Company's investor relations website, investor.scholastic.com. Conference Call: Thursday, September 26, 2024, at 4:30 PM ET hosted by Peter Warwick, President and CEO, and Haji Glover, CFO and Executive Vice President. A ...

NEW YORK, Sept. 10, 2024 /PRNewswire/ -- Scholastic (NASDAQ: SCHL), the global children's publishing education and media company, today announced that Stacey Jaffe has been named Scholastic's Chief Digital Officer, effective immediately. Ms. Jaffe will drive Scholastic's data initiatives and digital practice with the core approach of bringing customer insights to life as strategies and digital solutions that directly serve customers' needs. A new role for the Company and based in New York, the Chief Digital ...

Part I [Item 1. Business](index=4&type=section&id=Item%201.%20Business) Scholastic is the world's largest children's book publisher and distributor, operating through publishing, education, and international segments, with a new Entertainment segment forming in fiscal 2025 Revenues by Reportable Segment (Millions USD) | Segment | FY 2024 (Millions USD) | FY 2023 (Millions USD) | FY 2022 (Millions USD) | | :--- | :--- | :--- | :--- | | Children’s Book Publishing and Distribution | $955.2 | $1,038.0 | $946.5 | | Education Solutions | $351.2 | $386.6 | $393.6 | | International | $273.6 | $279.4 | $302.8 | | **Total** | **$1,580.0** | **$1,704.0** | **$1,642.9** | - The company's business is highly seasonal, with revenues in the first and third fiscal quarters generally being lower than in the other two quarters due to the school-year basis of its operations[231](index=231&type=chunk) - On June 20, 2024, the company acquired 9 Story Media Group Inc. The operations of 9 Story, along with Scholastic Entertainment Inc. (SEI), will be reported in a new Entertainment segment beginning in fiscal 2025[183](index=183&type=chunk)[190](index=190&type=chunk) - As of May 31, 2024, the company had approximately **6,660 employees**, with **5,020** in the United States and **1,640** internationally, comprising about **72%** full-time, **18%** part-time, and **10%** seasonal staff[237](index=237&type=chunk)[238](index=238&type=chunk) [Item 1A. Risk Factors](index=13&type=section&id=Item%201A.%20Risk%20Factors) The company faces operational, competitive, technological, and governance risks, including supply chain, market shifts, cybersecurity, and concentrated voting control - Business is affected by changes in customer purchasing patterns, educational funding, and policies, with content potentially becoming controversial in a politicized environment, impacting sales[219](index=219&type=chunk) - The company is subject to inflationary pressures on printing, paper, transportation, and labor costs, where significant disruptions or cost increases beyond current management strategies could adversely affect results[220](index=220&type=chunk)[248](index=248&type=chunk) - The company faces significant competition from larger entities in publishing, media, and distribution, where failure to meet competitive challenges could adversely affect revenues and profitability[225](index=225&type=chunk) - The voting power of the corporation's capital stock is vested exclusively in the holders of Class A Stock, with the Estate of M. Richard Robinson, Jr. beneficially owning a majority, controlling the election of up to four-fifths of the Board[269](index=269&type=chunk) [Item 1C. Cybersecurity](index=19&type=section&id=Item%201C.%20Cybersecurity) Scholastic manages cybersecurity risks via a NIST-CSF program overseen by the Board, employing defense-in-depth, with no material incidents reported to date - The company's cybersecurity program is based on the NIST-CSF framework, established in 2018, to guide processes for identifying, assessing, and managing cyber risks[302](index=302&type=chunk) - The Board of Directors has delegated oversight of cybersecurity risks to the Technology, Data and Supply Chain Committee, which receives quarterly updates from the CIO and CISO[328](index=328&type=chunk) - The company has not experienced any cybersecurity incidents that have materially affected or are reasonably likely to materially affect its business strategy, results of operations, or financial condition[739](index=739&type=chunk) [Item 2. Properties](index=20&type=section&id=Item%202.%20Properties) Scholastic owns its NYC headquarters and MO distribution facility, leases numerous warehouses, and reduced leased office space in fiscal 2024 - The company owns its headquarters in Soho, NYC, and its primary warehouse in Jefferson City, MO, and leases approximately **2.3 million square feet** for book fair warehouses in various U.S. locations[331](index=331&type=chunk) - In fiscal 2024, the company recognized **$9.7 million** in rental income from its headquarters building, with annualized straight-line rental income from current tenants expected to be approximately **$11.1 million**[332](index=332&type=chunk) - During fiscal 2024, the company ceased use of certain leased office spaces in the U.S. and Canada as part of its efforts to rightsize its real estate footprint and reduce costs[306](index=306&type=chunk) [Item 3. Legal Proceedings](index=21&type=section&id=Item%203.%20Legal%20Proceedings) The company is involved in routine legal proceedings, with management not expecting a material adverse effect on financial position or operations - The company does not expect that reasonably possible losses from pending claims and lawsuits would have a material adverse effect on its consolidated financial position or results of operations[334](index=334&type=chunk) Part II [Item 5. Market for the Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=22&type=section&id=Item%205.%20Market%20for%20the%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Scholastic's common stock trades on NASDAQ, with a declared dividend and significant share repurchases in fiscal 2024, with remaining authorization - On July 17, 2024, the Board declared a regular quarterly cash dividend of **$0.20 per share** for the first quarter of fiscal 2025, payable on September 16, 2024[311](index=311&type=chunk) - During fiscal 2024, the company repurchased **3,993,576 common shares** at an average price of **$39.00 per share**, for a total cost of approximately **$156.8 million**[338](index=338&type=chunk) - As of May 31, 2024, approximately **$86.6 million** remains available for future share repurchases under the current Board authorizations[338](index=338&type=chunk)[21](index=21&type=chunk) Issuer Purchases of Equity Securities (Q4 FY2024) | Period | Total Shares Purchased | Average Price Paid per Share (USD) | Remaining Authorization (Millions USD) | | :--- | :--- | :--- | :--- | | March 2024 | 15,156 | $39.57 | $100.0 | | April 2024 | 400,000 | $33.51 | $86.6 | | May 2024 | — | — | $86.6 | | **Total** | **415,156** | | **$86.6** | [Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=24&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Fiscal 2024 saw revenue and operating income decline due to business repositioning and segment weakness, offset by trade publishing, with strong operating cash flow but reduced cash balance post-acquisition funding [Item 7A. Quantitative and Qualitative Disclosures about Market Risk](index=35&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company faces market risks from interest rate fluctuations on variable-rate debt, heightened by recent borrowing, and foreign currency exposure, managed with forward contracts - The company is subject to risk from rising market interest rates, which would increase the cost of its variable-rate debt, a risk heightened by the **$200.0 million** borrowing in fiscal 2025[436](index=436&type=chunk)[411](index=411&type=chunk) - The company's earnings and cash flows are subject to fluctuations from changes in foreign currency exchange rates due to its business in various foreign countries[412](index=412&type=chunk) - The company uses short-term forward exchange contracts to manage foreign currency exposure, with the notional value of these contracts being **$22.8 million** as of May 31, 2024[674](index=674&type=chunk) [Item 8. Consolidated Financial Statements and Supplementary Data](index=36&type=section&id=Item%208.%20Consolidated%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the company's audited consolidated financial statements, including notes, the independent auditor's unqualified opinion, and supplementary quarterly data [Item 9A. Controls and Procedures](index=83&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management, including CEO and CFO, concluded that disclosure controls and internal control over financial reporting were effective as of May 31, 2024 - The CEO and CFO concluded that the corporation's disclosure controls and procedures were effective as of May 31, 2024[39](index=39&type=chunk) - Management concluded that the corporation's internal control over financial reporting was effective as of May 31, 2024, based on the COSO 2013 framework[67](index=67&type=chunk) Part III [Items 10-14](index=84&type=section&id=Item%2010%2C%2011%2C%2012%2C%2013%2C%2014) Information for Items 10-14, covering governance, compensation, ownership, and related transactions, is incorporated by reference from the definitive proxy statement - Information required for Items 10, 11, 12, 13, and 14 is incorporated by reference from the registrant's definitive proxy statement for the upcoming Annual Meeting of Stockholders[693](index=693&type=chunk)[694](index=694&type=chunk)[723](index=723&type=chunk) Part IV [Item 15. Exhibits, Financial Statement Schedules](index=85&type=section&id=Item%2015.%20Exhibits%2C%20Financial%20Statement%20Schedules) This section details financial statements, schedules, and exhibits filed with the Form 10-K, including credit agreements, compensation plans, and CEO/CFO certifications - This section lists all financial statements and schedules included in the report, such as the Consolidated Financial Statements and Schedule II-Valuation and Qualifying Accounts and Reserves[44](index=44&type=chunk)[45](index=45&type=chunk) - Numerous exhibits are filed with the report, including credit agreements, stock incentive plans, and executive employment agreements, many of which are incorporated by reference from previous filings[46](index=46&type=chunk)[75](index=75&type=chunk)[76](index=76&type=chunk) - Certifications from the CEO and CFO pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act of 2002 are included as exhibits[700](index=700&type=chunk)[77](index=77&type=chunk)[731](index=731&type=chunk)

Sluggish school spending trends weighed on results. Education publisher Scholastic (SCHL -18.52%) fell short of expectations in its most recent quarter. Investors are giving the results an F, sending shares down 19% as of 12:30 p.m. ET. Tepid demand from key consumer categories Scholastic is a publisher of education textbooks, related products, and other books aimed at children. The company earned $1.73 per share in its fiscal fourth quarter ending May 31 on revenue of $474.9 million, falling short of Wall ...

Scholastic Corporation (NASDAQ:SCHL) Q4 2024 Earnings Conference Call July 18, 2024 4:30 PM ET Company Participants Jeffrey Mathews - Investor Relations Peter Warwick - President & Chief Executive Officer Haji Glover - Chief Financial Officer Conference Call Participants Brendan McCarthy - Sidoti & Company Operator Thank you for standing by, and welcome to the Scholastic Reports Fourth Quarter Fiscal Year 2024 Results. At this time, all participants are in listen-only mode. After the speakers' presentation, ...

Scholastic (SCHL) came out with quarterly earnings of $1.73 per share, missing the Zacks Consensus Estimate of $2.66 per share. This compares to earnings of $2.26 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of -34.96%. A quarter ago, it was expected that this publishing, education and media company would post a loss of $0.80 per share when it actually produced a loss of $0.80, delivering no surprise. Over the last four quarte ...

Scholastic Reports Fourth Quarter and Fiscal 2024 Results Advanced Long-Term Growth Strategy and Investments, While Navigating Increased Spending Headwinds in School-Based Businesses in Fourth Quarter Returned Over $181 Million to Shareholders and Advanced 360-Degree Content Strategy with Addition of 9 Story Media Group in Fiscal 2024 Targeting Modest Growth in Fiscal 2025, With Continued Investment in Growth Initiatives and Cost Management New York – July 18, 2024 - Scholastic Corporation (NASDAQ: SCHL), t ...

Advanced Long-Term Growth Strategy and Investments, While Navigating Increased Spending Headwinds in School-Based Businesses in Fourth Quarter Returned Over $181 Million to Shareholders and Advanced 360-Degree Content Strategy with Addition of 9 Story Media Group in Fiscal 2024 Targeting Modest Growth in Fiscal 2025, With Continued Investment in Growth Initiatives and Cost Management NEW YORK, July 18, 2024 /PRNewswire/ -- Scholastic Corporation (NASDAQ: SCHL), the global children's publishing, education an ...

NEW YORK and TORONTO, June 21, 2024 /PRNewswire/ -- Scholastic (NASDAQ: SCHL), the global children's publishing, education and media company, today announced that it has closed its previously announced definitive agreement to invest in 9 Story Media Group ("9 Story"), a leading independent creator, producer and distributor of premium children's content, after receiving a satisfactory opinion from the Minister of Canadian Heritage with respect to the transaction, in addition to satisfying customary closing c ...

Research from the Scholastic Reading for Life whitepaper shows that stories are a powerful mechanism for building resilience and helping young people develop empathy and cultivate emotional intelligence. Further, the Scholastic Kids and Family Reading Report™ found evidence of a positive connection between a child's reading frequency and their feelings of well-being: frequent readers were more likely than infrequent readers to report feeling proud (62 percent vs. 32 percent) and excited (59 percent vs. 46 p ...