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Nov 30, 2021

FranklinCovey Q1 2022 Earnings Report

FranklinCovey reported a strong start to fiscal year 2022 with a record first quarter and significant growth in key areas.

Key Takeaways

FranklinCovey's first quarter of fiscal 2022 showed strong growth, with a 27% increase in sales to a record $61.3 million. All Access Pass subscriptions and Education Division revenues also grew significantly, contributing to a 167% increase in Adjusted EBITDA to $9.9 million.

Consolidated sales increased 27% to $61.3 million, a record for the first quarter.

All Access Pass subscription and subscription services sales grew 27% to $33.1 million.

Education Division revenues increased 56% due to growth in Leader in Me subscriptions.

Adjusted EBITDA increased 167% to $9.9 million, driven by increased sales and improved margins.

Total Revenue
$61.3M
Previous year: $48.3M
+26.8%
EPS
$0.27
Previous year: -$0.06
-550.0%
Gross Profit
$47.6M
Previous year: $36.4M
+30.8%
Cash and Equivalents
$51.3M
Previous year: $34.3M
+49.6%
Free Cash Flow
$9.64M
Total Assets
$231M

FranklinCovey

FranklinCovey

FranklinCovey Revenue by Segment

Forward Guidance

The Company expects fiscal 2022 Adjusted EBITDA to total between $34.0 million and $36.0 million.

Positive Outlook

  • Strong first quarter performance
  • Momentum generated in late fiscal 2021
  • Expected Adjusted EBITDA growth of 25% compared to fiscal 2021
  • Strength of All Access Pass subscriptions
  • Strength of Leader in Me membership subscriptions

Revenue & Expenses

Visualization of income flow from segment revenue to net income