Scholastic Q3 2023 Earnings Report
Key Takeaways
Scholastic reported a decrease in revenues to $324.9 million, reflecting softening retail demand for children’s books. The Children’s Book Publishing and Distribution segment revenues grew due to strong performance in the Book Fairs channel. Operating loss increased to $27.7 million. The company updated its fiscal year 2023 outlook, expecting Adjusted EBITDA of $175 million to $185 million and revenue growth of approximately 4%.
Revenues decreased to $324.9 million, impacted by softening retail demand.
Children’s Book Publishing and Distribution segment revenues grew, driven by Book Fairs.
Operating loss increased to $27.7 million.
Fiscal 2023 outlook updated with Adjusted EBITDA expected between $175 million and $185 million, and revenue growth of approximately 4%.
Scholastic
Scholastic
Scholastic Revenue by Segment
Scholastic Revenue by Geographic Location
Forward Guidance
The Company has updated its guidance for fiscal year 2023 and now expects Adjusted EBITDA of $175 million to $185 million (compared to a range of $195 to $205 million, previously). Full-year revenue is expected to grow approximately 4% (compared to a range of 8% to 10%, previously), as the Company takes additional steps to manage spending and preserve margins in line with its updated outlook.