Publishing financial results were a mixed bag in 2023, with some publishers “flying high” (Simon & Schuster, Bloomsbury) and some falling (Hachette, Scholastic), while others saw a bit of both (Harper Collins). According to the AAP, trade book sales faltered slightly in the first three quarters, and while some publishers have reported lower overall book sales and continued supply chain pressures, others are reaping the benefits of increased interest in commercial and genre fiction. Penguin Random House Bertelsmann expects full-year sales to be “moderately” over last year, with a flat operating profit and a slight decline in EBITDA. As yet, […]
Earnings Reports
Scholastic Adjusts Outlook After Lower Sales in Q2
Scholastic released its second quarter earnings report for the period ended November 30, with results lower than expected for a historically strong quarter at the beginning of the school year. Sales were down 4 percent to $562.6 million, due to “reduced, more targeted promotional spending and the elimination of unprofitable orders in Book Clubs, as the channel is repositioned to a smaller, more profitable core.” Adjusted EBITDA was $124 million, up from $122.3 million, again due to lower promotional spending, as well as better supply chain costs. Operating income was just about flat at $101.3 million. Trade book sales were […]
Bloomsbury Says It’s Outperforming Expectations
In a brief trading update, Bloomsbury reported that sales are “comfortably ahead” of analysts’ expectations for their fiscal year, ending February 29, and profits are running “materially ahead” of projections. Chief executive Nigel Newton says those results are being “driven by the continued phenomenal demand for fantasy fiction,” and in particular by Sarah J. Maas’s 15 titles. The company compares its results to expectations of sales for the full year of £274 million and profit before taxation and highlighted items of £32.9 million. Last year set records for the company in both sales and earnings, with revenue of £264 million […]
Barnes & Noble Education Ekes Out Gains
The company’s fiscal second quarter report oozes with high fives as the company celebrates what they term an increase in sales, up by what we technically call a “smidgen,” at $610.4 million, compared to adjusted sales of $608.6 million a year ago. (Their actual sales a year ago were $617.1 million — which includes $8.5 million from their Digital Student Solutions segment, which was sold in May.) Net income did rise, at $24.2 million, up $2 million from a year ago (with income from continuing operations up less, gaining about $700,000). Comparable store course material sales rose by 5.8 percent, […]
Sales and Earnings Fall at Wiley As It Reorganizes
On Wednesday morning Wiley reported fiscal second quarter results, showing declines in sales and earnings, in line with their previously announced reorganization plans. Sales of $493 million were down 4 percent from $515 million a year, and operating income of $46 million was down 19 percent from $57 million. They took impairment charges of $52 million against the various businesses that have been up for sale, and recording restructuring charges against layoffs. PL had reported a New Jersey WARN notice regarding the termination of 103 people between mid-November and mid-January, and a spokesperson confirmed that was just part of “a […]
Harper’s Rebound Begins
After what HarperCollins CEO Brian Murray had called “a tough quarter, and a tough year,” the publisher has begun a turnaround in results. Fiscal first quarter sales were $525 million, up $38 million from $487 million a year ago (but still behind the $546 million they recorded in 2021). Margins rebounded as well, with EBITDA of $65 million — similarly up from $39 million a year ago, but still behind $85 million in 2021. The company cited “lower manufacturing costs, primarily due to product mix, and lower freight and distribution costs as supply chain challenges and inventory and inflationary pressures […]