Scholastic(US:SCHL)2025-12-18 21:30Financial Performance - Scholastic achieved a 13% growth in adjusted EBITDA during the second quarter of fiscal year 2026[5] - Revenue increased by 1% to $551.1 million in Fiscal 2026 Q2, compared to $544.6 million in Fiscal 2025 Q2[9] - Operating income increased by 11% to $82.9 million in Fiscal 2026 Q2, compared to $74.7 million in Fiscal 2025 Q2[9] - Diluted earnings per share increased by 27% to $2.17 in Fiscal 2026 Q2, compared to $1.71 in Fiscal 2025 Q2[9] - Adjusted EBITDA reached $122.5 million in Fiscal 2026 Q2, compared to $108.7 million in Fiscal 2025 Q2[9] Segment Performance - Children's Book Publishing and Distribution revenue increased by 4% to $380.9 million, with operating income up 7% to $108.8 million[10] - Education Solutions revenue decreased by 13% to $62.2 million[10] - International revenue increased by 3% to $89.5 million, with operating income up 80% to $12.8 million[10] Strategic Initiatives and Capital Allocation - The company unlocked over $400 million through sale-leaseback transactions to advance capital allocation priorities[5, 6] - Nearly $500 million was returned to shareholders, reducing share count by approximately 25%[6] Fiscal Year 2026 Outlook - The company affirmed its adjusted EBITDA outlook of $146 to $156 million, including a $14 million partial-year impact from sale-leasebacks[12] - Free cash flow is expected to exceed $430 million, reflecting sale-leaseback net proceeds[12]