John Wiley & Sons(WLY)2024-12-05 18:48Financial Data and Key Metrics Changes - Revenue increased by 3%, driven by a 7% growth in Learning and a 1% growth in Research [22][61] - Adjusted EBITDA rose by 14% to 21 million rights project realized year-to-date and a healthy pipeline for pharma and R&D-centric companies [19][34] - Investments are being made to drive growth in Research and improve publishing efficiency, with a goal to exceed market growth of 3% to 4% [38][39] - The company is committed to continuous improvement and margin expansion, with a target adjusted EBITDA margin of 23% to 24% for the current fiscal year [64][71] Management's Comments on Operating Environment and Future Outlook - Management remains confident in the full-year trajectory despite potential political impacts in the U.S. [8][9] - The company anticipates an uneven second half, with Q3 expected to be challenged and Q4 elevated due to strong momentum in Publishing and Solutions [58][61] - Full-year revenue is projected to be between 1.69 billion, with adjusted EBITDA expected to be in the range of 410 million [61][64] Other Important Information - Leadership changes include the appointment of Chris Caridi as Interim CFO and the elimination of the CTO position, combining technology and operations under one leader [25][26] - The company has completed all divestitures and is focusing on optimizing cost structures and improving capital efficiency [24][66] Q&A Session Summary Question: Momentum in the learning business - Management expressed optimism about achieving guidance, driven by performance in learning, particularly in zyBooks and new content acquisition [76][80] Question: Trends in article submissions and the India agreement - Management highlighted the potential impact of the One Nation, One Subscription agreement in India and noted growth in article submissions, especially in Asia [81][84][87] Question: Cost reduction opportunities - Management sees opportunities across the board, particularly in technology and shared services, with a focus on continuous margin improvement [89][92] Question: Update on collections from divested businesses - Management anticipates receiving funds owed from divested businesses but does not have a specific timeline [94][96] Question: Capital allocation priorities - Management plans to maintain a balanced approach to capital allocation, focusing on debt reduction and future growth investments [98][99] Question: Plans for Investor Relations outreach - Management is evaluating the timing for an Investor Day to share updates on the new leadership team and ongoing initiatives [100][101]