Quarto announced results for 2022, with sales of $141 million, down 7 percent from $151.5 million in 2021, attributing the loss to a downturn in consumer spending and a contraction in the book market. Even so, operating profit was up 32 percent to $21.1 million, which the company credits to “nimble publishing maximizing opportunities which arose, strong cost-control and reduced finance costs.” The company’s net debt is $0.6 million, down from $5.5 million, and long-term borrowings are $9.3 million, down from $28.5 million. They repaid a total of $15 million in loans from C.K. Lau and 1010 Printing during the […]
Earnings Reports
For 2022, HBG USA Was Lagardere’s Biggest Division
Earlier this month, Lagardere published their full annual report (478 pages long) which offers additional detail on the performance of the publishing division. Notably, due to a combination of the recent Workman acquisition, the unusual strong US dollar, and a weaker performance in France, for the first time ever Hachette Book Group USA generated more revenue for the company than Hachette Livre in France. Sales in the US and Canada reached €867 million, compared to €734 million in 2021 (though in dollars, that converts to sales of roughly $913 million in 2022, and $868 million in 2021; their acquisition of […]
PRH Grows Topline on Strong Dollar, As Profits and Organic Sales Fall
Bertelsmann announced results for the full year 2022, and while the parent company’s sales grew 8.3 percent to a record of €20.2 billion, sales at Penguin Random House rose 4.8 percent (or €193 million) to €4.223 billion—below the target for the year and “largely due to exchange rate effects,” especially the strong US dollar. Organically, sales fell 3.3 percent, while foreign exchange produced a gain of 7.3 percent during the year. Those “reduced sales levels” were “mainly due to normalization of book markets.” Operating EBITDA for PRH fell 11.8 percent to €666 million, down from €755 million in 2021, “due […]
Scholastic Lowers Guidance as Seasonally Soft Quarter Is Softer Than Expected
On Thursday Scholastic announced earnings for their fiscal third quarter ending February 28, with sales down from last year, resulting in a lowered outlook and a falling stock price. They now expect full year sales growth of 4 percent rather than the previously expected 8 to 10 percent, and adjusted EBITDA of $175 million to $185 million, down from a forecast of $195 million to $205 million. The stock fell sharply, down over 20 percent in the first hour of trading on Friday, on the reduced expectations. Sales for the quarter, which president and ceo Peter Warwick was quick to […]
Bloomsbury Expects to Finish Fiscal Year with Better Results Than Forecast
Bloomsbury released a brief trading update for the year ended February 28, with expected sales of more than £260 million, above their previous expectation of £242.6 million, and profit before taxation and highlighted items of £30 million (compared to a forecast of £26.9 million). At the six-month mark, the company had reported their highest-ever sales and profits at that point, and strong sales continued through the fiscal year. CEO Nigel Newton said, “Bloomsbury’s unique position in combining consumer and academic publishing combined with our investment in high quality content and company acquisitions has enabled us to achieve excellent trading for […]
BNED to Drop Stores That Don’t Bundle Course Materials
Barnes & Noble Education announced results for the third quarter ended January 28, with sales of $447 million, up 11 percent from $403 million last year. Net loss was $25 million, down from a loss of $36.8 million in 2022. These improvements are tempered by the fact that results are still down from pre-pandemic earnings, which were falling even then. (For comparison, sales for the same quarter in 2020 were $502 million, $550 million in 2019, and $603 million in 2018.) In a call with investors on Thursday, ceo Michael Huseby said that First Day Complete, a program that bundles […]