Revenue Performance - Third quarter reported revenue was $405 million, down from $461 million due to divested businesses; Adjusted Revenue (excluding divestitures) increased by 1.2% at constant currency[5]. - Year-to-date reported revenue reached $1,235 million, compared to $1,405 million; Adjusted Revenue (excluding divestitures) rose by 3.5% at constant currency[5]. - Research revenue for the third quarter was $268 million, up 4% as reported and 5% at constant currency, driven by growth in open access, solutions, and AI licensing[6]. - Total revenue for the three months ended January 31, 2025, was $404.626 million, a decrease of 12% compared to $460.705 million in the same period of 2024[39]. - Research Publishing revenue for the three months ended January 31, 2025, was $225.874 million, up 4% from $216.586 million in 2024[39]. - Learning segment revenue for the nine months ended January 31, 2025, was $422.910 million, reflecting a 5% increase from $404.594 million in 2024[43]. Profitability Metrics - Adjusted EBITDA for the third quarter was $88 million, an increase of 11% as reported and 12% at constant currency, with a margin rise to 32.7%[6]. - Adjusted EPS for the third quarter was $0.84, up 39% at constant currency due to higher adjusted operating income and a lower effective tax rate[11]. - Non-GAAP Adjusted EBITDA for the nine months ended January 31, 2025, was $272.031 million, an increase of 12% from $243.598 million in the same period of 2024[43]. - Non-GAAP Adjusted Operating Income for the three months ended January 31, 2025, was $57.405 million, a 25% increase from $46.033 million in the same period of 2024[39]. - Adjusted EBITDA margin for the three months ended January 31, 2025, improved to 23.2%, compared to 22.7% in the same period of 2024[39]. Cash Flow and Operations - Cash from Operations increased by 115% to $52 million year-to-date, with Free Cash Flow up $44 million to a use of $1 million[11]. - Net cash provided by operating activities increased to $52,250, up from $24,352 year-over-year, marking a growth of approximately 114%[48]. - Free cash flow less product development spending was $(1,151) for the nine months ended January 31, 2025, compared to $(45,247) in 2024, indicating a substantial improvement[49]. - The company reported a net cash used in investing activities of $(69,694), compared to $(78,493) in the previous year, showing a decrease of about 11%[48]. Debt and Financial Position - Net Debt-to-EBITDA ratio was 2.0, compared to 1.9 in the prior year period[11]. - Long-term debt increased to $877,205 from $767,096, reflecting a rise of approximately 14.4%[45]. - As of January 31, 2025, total assets decreased to $2,599,852, down from $2,725,495 as of April 30, 2024, representing a decline of approximately 4.6%[45]. - Current liabilities decreased to $717,258 from $873,282, a reduction of about 18%[45]. - Total current assets decreased to $394,764 from $454,042, a decline of about 13%[45]. - Cash and cash equivalents at the end of the period were $104,560, slightly down from $108,907[48]. Losses and Impairments - The company recognized a net loss of $15.6 million for Wiley Edge in the three months ended January 31, 2025, primarily due to changes in fair value[20]. - In fiscal year 2024, the company recorded pretax noncash goodwill impairments totaling $108.4 million, including $81.7 million related to Wiley Edge[22]. - For the three months ended January 31, 2025, John Wiley & Sons reported a net loss of $22.954 million, compared to a net loss of $113.875 million for the same period in 2024[35]. - The net pretax loss on the sale of businesses, assets, and impairment charges related to assets held-for-sale for the three months ended January 31, 2025, was $15.9 million[32]. Future Outlook - The company reaffirmed its Fiscal 2025 outlook for Adjusted Revenue between $1,650 million and $1,690 million, and Adjusted EBITDA between $385 million and $410 million[7]. - Fiscal 2026 margin target has been raised to over 25% from a previous range of 24-25%[12]. - The company has not provided a 2025 outlook for the most directly comparable US GAAP financial measures due to high variability and complexity[56]. Restructuring and Charges - The company reported restructuring and related charges of $5.6 million for the three months ended January 31, 2025[26]. - The company incurred restructuring charges of $5.574 million for the three months ended January 31, 2025, down 62% from $14.808 million in the same period of 2024[39].
John Wiley & Sons(WLYB) - 2025 Q3 - Quarterly Results