UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q For the quarterly period ended January 31, 2026 x QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from_____ to _____ Commission File No. 001-11507 JOHN WILEY & SONS, INC. (Exact name of Registrant as specified in its charter) OR o TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (Address of principal executive offices) Zip ...

Core Insights - The company reported fiscal third-quarter results that met expectations, with revenue growth of 1% on a reported basis and flat at constant currency, while emphasizing profit and margin gains despite revenue softness [2][4][7] Financial Performance - Adjusted operating income increased by 22%, adjusted EPS rose by 19%, and adjusted EBITDA grew by 12%, with adjusted operating margin improving by 280 basis points and adjusted EBITDA margin up by 250 basis points [1][7] - Operating cash flow nearly doubled to $103 million, and the company is on track for approximately $200 million of free cash flow for the year [19] Segment Performance - The Research segment showed momentum with publishing revenue up over 4% excluding prior-year AI revenue, strong renewals, and an Advanced portfolio expected to exceed $70 million in FY26 [5][8][11] - The Learning segment faced challenges, with total learning revenue down approximately 2% and professional learning down about 5% due to macroeconomic pressures [5][15] AI and Data Services - The company generated $42 million in AI revenue year-to-date, with guidance of $45–50 million for the year, and anticipates recurring AI revenue to triple next year [6][14][15] - Wiley has migrated over 80% of journals to its Research Exchange platform, enhancing its content for AI applications [10][12] Strategic Initiatives - The company appointed a Chief AI and Data Services Officer to focus on monetizing content through high-margin data services and AI-driven offerings [16] - Wiley has established partnerships, including a multimillion-dollar licensing agreement with OpenEvidence and a managed services partnership with Virtusa valued at approximately $150 million over five years [18][19] Geographic Trends - Growth was broad-based across major research markets, including China, India, North America, and Europe, with Japan showing signs of recovery [12]

Financial Performance - Q3 2026 revenue of $410 million, up 1% year-over-year; operating income increased by 21% to $63 million; diluted EPS of $0.56 compared to a loss of ($0.43) in the prior year [4] - Adjusted operating income of $70 million, up 22%, with an adjusted operating margin of 17%, reflecting a 280 basis point improvement [4] - Adjusted EBITDA for Q3 was $91 million, up 4% as reported, with an adjusted EBITDA margin of 33.1% [11] - Non-GAAP Adjusted EPS for the three months ended January 31, 2026, was $0.97, up from $0.84 in the prior year, indicating a year-over-year increase of 15.5% [24] - US GAAP Income Before Taxes for the three months ended January 31, 2026, was $44.4 million, compared to $18.7 million in the same period of 2025, representing an increase of 137.5% [25] - Non-GAAP Adjusted Income Before Taxes for the three months ended January 31, 2026, was $68.4 million, up from $58.5 million in the prior year, marking a 17.0% increase [25] - Non-GAAP EBITDA for the three months ended January 31, 2026, was $91.5 million, compared to $69.2 million in the same period of 2025, reflecting a growth of 32.3% [30] - Non-GAAP Adjusted EBITDA for the three months ended January 31, 2026, was $105.4 million, an increase from $93.9 million in the prior year, indicating a 12.2% rise [30] - The Adjusted EBITDA Margin for the three months ended January 31, 2026, was 25.7%, compared to 23.2% in the same period of 2025, showing an improvement of 2.5 percentage points [30] - Total revenue for the three months ended January 31, 2026, was $410,036,000, representing a 1% increase compared to $404,626,000 in the same period of 2025 [33] - Non-GAAP adjusted operating income for the three months ended January 31, 2026, increased by 22% to $69,815,000 from $57,405,000 in the prior year [33] - Total revenue for the nine months ended January 31, 2026, was $1,228,587,000, a slight decrease of 1% from $1,235,030,000 in the same period of 2025 [37] - Non-GAAP adjusted EBITDA for the nine months ended January 31, 2026, increased by 7% to $290,919,000 from $272,031,000 in the prior year [37] Cash Flow and Investments - Operating cash flow increased by $51 million to $103 million, with free cash flow of $56 million, up from a use of ($1 million) in the prior year [4] - Cash and cash equivalents increased to $95,115,000 as of January 31, 2026, from $85,882,000 as of April 30, 2025 [39] - The company reported a net cash provided by investing activities of $45,606, contrasting with a net cash used of $69,694 in the prior year, highlighting a positive shift in investment strategy [42] - Free cash flow less product development spending reached $55,543, a substantial recovery from a negative $1,151 in the previous year [43] - The company incurred $56,303 in cash dividends and $69,963 in treasury share purchases, reflecting a commitment to returning value to shareholders [42] Revenue Breakdown - Research Publishing revenue grew by 3% as reported, with a 4% increase at constant currency, driven by recurring revenue and open access models [4] - Year-to-date research revenue increased by 5% as reported and 4% at constant currency, with article submissions and output rising by 26% and 11% respectively [11] - Research Publishing revenue for the three months ended January 31, 2026, was $233,435,000, a 3% increase from $225,874,000 in the same period of 2025 [33] - Research Solutions revenue decreased by 2% to $40,684,000 for the three months ended January 31, 2026, compared to $41,670,000 in the prior year [33] - AI revenue reached $7 million for the quarter and approximately $42 million year-to-date, with a strategic partnership established for AI clinical decision support [4] Corporate Expenses and Restructuring - Corporate expenses reduced by 21% at constant currency due to restructuring savings and expense management [8] - Corporate expenses decreased by 21% to $(36,186,000) for the three months ended January 31, 2026, from $(46,028,000) in the same period of 2025 [33] - Total restructuring and related charges for the three months ended January 31, 2026, amounted to $7.1 million, compared to $5.6 million in the same period of 2025, indicating an increase of 27.0% [30] Outlook and Guidance - Fiscal 2026 outlook includes guidance for high end of range for adjusted EBITDA margin and adjusted EPS, reaffirming revenue and free cash flow outlook [4] Taxation - The US GAAP Effective Tax Rate for the three months ended January 31, 2026, was 33.1%, while the Non-GAAP Adjusted Effective Tax Rate was 25.1% [26] Net Income - The company reported a net income of $29.7 million for the three months ended January 31, 2026, compared to a net loss of $22.9 million in the same period of 2025 [30] - Net income for the nine months ended January 31, 2026, was $86,270, compared to $16,068 for the same period in 2025, representing a significant increase [42] Assets and Liabilities - Total assets decreased to $2,561,328,000 as of January 31, 2026, from $2,691,466,000 as of April 30, 2025 [39] - The net change in operating assets and liabilities was a negative $168,466, which may impact liquidity and operational flexibility [42] Non-GAAP Measures - The company emphasizes the use of non-GAAP performance measures to provide investors with a clearer view of operational trends and financial performance [46]

John Wiley & Sons (NYSE:WLY) Q3 2026 Earnings call March 05, 2026 10:00 AM ET Company ParticipantsArmughan Rafat - Chief AI and Data Services OfficerBrian Campbell - VP of Investor RelationsCraig Albright - EVP and CFODaniel Moore - Director of ResearchJay Flynn - EVP and General Manager of Research and LearningMatthew Kissner - Interim President and CEOOperatorGood morning, welcome to Wiley's Third Quarter and Fiscal 2026 Earnings Call. As a reminder, this conference is being recorded. After the speaker's ...

Financial Data and Key Metrics Changes - Revenue performance for the third quarter was impacted by unfavorable comparables in research and soft market conditions in learning, with overall revenue up 1% on a reported basis and flat at constant currency [26] - Adjusted Operating Income, Adjusted EPS, and Adjusted EBITDA were all up double digits, with growth rates of 22%, 19%, and 12% respectively [26] - Adjusted Operating Margin improved by 280 basis points and Adjusted EBITDA margin by 250 basis points [26][29] - Operating cash flow nearly doubled to $103 million [6] Business Line Data and Key Metrics Changes - Research publishing revenue was up 4% at constant currency, driven by record submissions and solid growth in recurring revenue models [27] - AI revenue reached $7 million in the quarter, with year-to-date AI revenue at $42 million, surpassing last year's total of $40 million [5][18] - Learning revenue was down 2% in the quarter, with a 5% decline in professional offsetting 1% growth in academic [28] Market Data and Key Metrics Changes - Research publishing continues to outpace the market, with global output up 11% [5] - Strong demand was evident across all regions, with significant growth in submissions from China and India, and a rebound in European markets [51][53] - The research publishing market is expected to grow at 3%-4%, with the company aiming to deliver at the top end of that range [10] Company Strategy and Development Direction - The company is focused on leading in research, delivering new growth in AI and adjacent markets, and driving operational excellence [9][10] - A multi-year managed services partnership with Virtusa was announced to accelerate technology transformation and operational efficiencies [30] - The company is expanding its journal portfolio and modernizing its publishing platform to benefit from AI-driven volume acceleration [14][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of U.S. research funding, with federal investment in scientific research remaining robust [11] - The company anticipates another significant year for AI revenue, expecting to deliver between $45 million and $50 million this year [18] - Management highlighted the importance of partnerships with IQVIA and OpenEvidence as blueprints for future growth opportunities in AI [42] Other Important Information - The company has returned $126 million in dividends and share repurchases year-to-date, a 37% increase over the prior year [7] - The company is actively managing its portfolio for profitability and strategic fit, having divested a small business in research solutions earlier this year [33] Q&A Session Summary Question: What can you tell us about the momentum and direction of AI-related revenue? - Management noted that AI-related revenue has doubled from $23 million to $40 million, with expectations to reach $45 million-$50 million, indicating a strong market evolution [41][42] Question: Can you elaborate on the partnership with Virtusa and its implications for EBITDA margins? - The partnership is expected to generate productivity and agility, contributing to margin expansion objectives and propelling the company into AI-first technology infrastructure [49][50] Question: Are there any fast-growing regions outside of China and India? - Growth is being observed across various regions, including North America and Europe, with strong performance in the Middle East as well [53][54] Question: How does the professional side of the business fit into the overall strategy? - Management indicated that while the professional side produces strong earnings, it is not a growth franchise, and capital allocation will be evaluated continuously [56] Question: What other strategies are in place to unlock shareholder value? - Management emphasized organic growth investments, portfolio management, and returning capital to shareholders through share buybacks and dividends [61][62]

Financial Data and Key Metrics Changes - Revenue performance for Q3 2026 was up 1% on a reported basis and flat at constant currency, with adjusted operating income, adjusted EPS, and adjusted EBITDA all increasing by double digits: 22%, 19%, and 12% respectively [26][27] - Adjusted operating margin improved by 280 basis points and adjusted EBITDA margin by 250 basis points [27] - Operating cash flow nearly doubled to $103 million, with free cash flow up $57 million year-to-date [6][30] Business Line Data and Key Metrics Changes - Research publishing revenue was up 4% at constant currency, with adjusted EBITDA up 6% [6][28] - Research solutions declined by 3% due to lower corporate spending on recruiting and database revenue [28] - Learning revenue was down 2%, with a 5% decline in professional offsetting 1% growth in academic [29] Market Data and Key Metrics Changes - Global research publishing output increased by 11%, with revenue growth of 4% excluding AI revenue [5] - AI revenue reached a record $42 million year-to-date, surpassing last year's total of $40 million [8][19] - Strong demand was noted across all regions, with significant growth in submissions and output, particularly in China and India [33][54] Company Strategy and Development Direction - The company aims to lead in research publishing, with a focus on expanding its journal portfolio and enhancing its AI and data services [10][12] - A multi-year managed services partnership with Virtusa was announced to accelerate technology transformation and operational efficiencies [31][32] - The company is strategically investing in high-return growth opportunities, particularly in emerging markets like China and India [34] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of U.S. research funding and its importance for economic growth and competitiveness [11] - The company anticipates continued strong growth in research publishing and AI revenue, with expectations for margin expansion and cash flow growth [36][39] - Management highlighted the importance of adapting to customer needs in the evolving AI landscape [45] Other Important Information - The company has returned $126 million in dividends and share repurchases year-to-date, a 37% increase over the prior year [6] - The Advanced Journal brand, particularly Advanced Science, is expected to exceed $70 million in revenue in fiscal 2026, growing at strong double digits [13] - The company is actively managing its portfolio for profitability and strategic fit, including recent divestitures and acquisitions [34][35] Q&A Session Summary Question: What can you tell us about the momentum and direction of AI-related revenue? - Management noted that AI-related revenue is expected to triple next year, with a focus on recurring revenue models [44][46] Question: Can you elaborate on the partnership with Virtusa and its implications for EBITDA margins? - The partnership is expected to generate productivity and agility, contributing to margin expansion objectives [49][50] Question: Are there any fast-growing regions outside of China and India? - Growth is being observed across major global research markets, including North America and Europe, with a rebound in Japan [53][54] Question: How does the professional side of the business fit into the overall strategy? - The professional side produces strong earnings and cash flow, but the company is continuously evaluating its strategic fit [56] Question: What other strategies are in place to unlock shareholder value? - The company is focused on organic growth investments and disciplined capital allocation, with a strong emphasis on returning capital to shareholders [62]

Third Quarter 2026 Earnings Review NYSE: WLY MARCH 05, 2026 SAFE HARBOR STATEMENT This release contains certain forward-looking statements concerning the Company's operations, performance, and financial condition. Reliance should not be placed on forward-looking statements, as actual results may differ materially from those in any forward-looking statements. Any such forward- looking statements are based upon a number of assumptions and estimates that are inherently subject to uncertainties and contingencie ...

HOBOKEN, N.J.--(BUSINESS WIRE)--Wiley (NYSE: WLY), a global leader in authoritative content and research intelligence for the advancement of scientific discovery, innovation, and learning, today reported results for the third quarter ended January 31, 2026. THIRD QUARTER SUMMARY GAAP performance vs. prior year: Revenue of $410 million up 1%; Operating Income of $63 million up 21%; and Diluted Earnings Per Share (EPS) of $0.56 compared to prior year loss of ($0.43) Adjusted Results at constant c. ...

Group 1 - John Wiley & Sons, Inc. (WLY) demonstrated reasonable performance driven by margin improvement and sales growth in research, despite facing pressures in the learning segment [2] - The company is focusing on AI as an important theme, indicating a strategic direction towards technology integration [2] - The Valkyrie Trading Society, associated with the company, emphasizes high conviction and obscure developed market ideas that are downside limited and likely to generate non-correlated and outsized returns in the current economic environment [2] Group 2 - The Value Lab, led by the Valkyrie Trading Society, targets a portfolio yield of about 4% and has performed well over the last 5 years by engaging in international markets [1] - The Value Lab offers members real-time updates, 24/7 chat support, regular global market news reports, feedback on stock ideas, new trades monthly, quarterly earnings write-ups, and daily macro opinions [2]

Core Insights - Virtusa and Wiley have formed a multi-year managed services partnership aimed at accelerating Wiley's technology transformation to enhance customer service and drive innovation, productivity, and cost efficiencies [1] - The partnership will allow Wiley to free up capital for high-return investments and enable its technology teams to focus on developing next-generation customer platforms and AI-powered solutions [1] - Virtusa will take ownership of Wiley's Sri Lanka technology operation, leveraging its established presence and expertise to provide continuity and optimize Wiley's technology foundation [1] Company Overview - Wiley is a global leader in authoritative content and research intelligence, with over 200 years of experience in the scholarly ecosystem, focusing on transforming scientific breakthroughs into real-world impact [1] - Virtusa specializes in product and platform engineering services, helping organizations grow sustainably by reimagining enterprises through domain-driven solutions [1] - Virtusa offers a broad range of services, including AI advisory, digital engineering, data analytics, and managed services across various industries such as financial services, healthcare, and technology [1]