Scholastic reported 4th quarter and full year earnings on July 25. As the company warned when it revised guidance at the end of May, Q4 operating income dropped precipitously, to $32 million, compared to $73.9 million a year ago, mostly due to sales tax collection issues, as well as ASC 606 accounting changes and increased promotional spend at book fairs. Sales were also down in Q4, to $470.7 million, compared to $496.2 million in fiscal 2018. For the full year, sales increased 2 percent to $1.65 billion, thanks to “a great year for trade publishing globally,” according to chairman Dick […]
Archives for July 2019
Odd Battle at Barnes & Noble Education Continues; B&N Retail Supplements Disclosure
The investor dispute over Barnes & Noble Education recorded another round of dueling press releases. Agitating investor Bay Capital Finance, which says it currently has beneficial ownership of a modest 25,000 shares in BNED, announced its intention to file a preliminary proxy statement with the SEC to solicit votes for the five people they want to nominate for election to the retailer’s board at the upcoming annual meeting. The record date for eligibility to vote at the annual meeting is July 29. Earlier this month, Bay Capital filed suit in Delaware to put forward their board nominees, after the company […]
Profits Slide In First Half for Lagardere Publishing
Lagardere reported second quarter and half year results on Thursday afternoon, with book publishing sales of €584 million up €26 million from a year ago, mostly due to the strengthening US dollar, along with gains from the recently-acquired Gigamic and Worthy Publishing Group. For the first half of the year, recurring group EBIT fell €9 million however, down to €36 million. The drop in earnings was attributed to “higher launch costs for Partworks and a negative timing effect in France linked to costs incurred to prepare the curriculum reform.” Outside of recurring profits, Lagardere Publishing also incurred €7 million in […]
Briefs
Margaret Stead has been promoted to publisher of Zaffre and new literary imprint Manilla, coming at the end of the year from Bonnier Books UK. Matt Phillips becomes publisher of non-fiction imprints Blink and John Blake. Awards Romance bookstore The Ripped Bodice is launching an award for excellence in romantic fiction sponsored by Sony Pictures Television, with winners to be named on Valentine’s Day 2020. Up to 12 winners will receive a cash prize of $1,000, as well as a $100 donation in their name to the charity of their choice. Penguin Random House has offered a second round of […]
Macmillan Splits the Library eBook Baby: A Small Concession, and Broader Windowing
Macmillan is the latest big publisher to announce an adjustment of their library ebook terms, this time in a letter from ceo John Sargent to authors and agents. Their policy has a twist to balance protecting sales with “ensur[ing] that the mission of libraries is supported”: Exactly one copy of every ebook will be available to each library system for purchase upon publication for $30, which is half the current library price, and that one copy will be available in perpetuity, for unlimited one-at-a-time lends. But any additional copies of their new-release titles will be windowed for 8 weeks after […]
People, Etc.
Editorial director of All Points Books Adam Bellow will resign from St. Martin’s at the end of 2019 (after joining the publisher in fall 2016). Bellow said, “I’ve been exceptionally happy and productive at St. Martin’s. But after 30 years of honing my skills in corporate publishing I am ready to go out on my own. There is tremendous ferment in political and intellectual media and opportunities abound for entrepreneurial ventures. I’ll be making a further announcement in the fall, but for now I am very pleased to be able to transition into this new phase of my career with […]