UK retail chain WH Smith released a preliminary trading update for the period ended January 20, reporting overall sales up 8 percent. The upswing is driven by the company’s travel stores, which grew 13 percent. High street bookstore sales, on the other hand, fell 4 percent from last year, as expected. “We maintained good stock availability and we exited Christmas with a clean stock position,” the company said in a release. “We are on track to deliver our targeted full year cost savings of £10m.” “The Group is trading well and is in its strongest ever position as a global […]
Earnings Reports
Pearson Full Year Sales Meet Updated Guidance
In a brief trading update before their full annual sales report on March 1, Pearson’s new CEO Omar Abbosh was pleased with the company’s 2023 performance. Abbosh succeeded Andy Bird at the beginning of the year. “Pearson saw strong strategic and operational progress in 2023 leading to financial performance ahead of our initial expectations,” he said. “The group is well positioned to seize growth opportunities and deliver long-term future value for all of our stakeholders. I look forward to leading the next phase in Pearson’s ongoing evolution.” For the full year, sales excluding OPM (Online Program Management, or virtual learning, […]
The Year in Finance
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, […]
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, […]