•
Jul 31, 2023

Wiley Q1 2024 Earnings Report

Wiley's first quarter performance aligned with expectations as the company continued to execute its plans and position itself for the future. The company realigned its organization to focus on its core strengths and improve profitability.

Key Takeaways

Wiley reported a decrease in revenue and earnings for the first quarter of 2024. GAAP revenue was $451 million, down 7%. The operating loss was $16 million, and the EPS loss was $1.67. Adjusted revenue was $367 million, down 8%, with an adjusted EPS of $0.27, down 37%. The company is reaffirming its Fiscal Year 2024 outlook.

GAAP Revenue of $451 million was down 7%.

Operating loss of $16 million, increase of 4%.

GAAP EPS loss of $1.67, decrease of $1.35.

Adjusted EPS of $0.27, a decrease of 37%.

Total Revenue
$451M
Previous year: $488M
-7.5%
EPS
$0.27
Previous year: $0.36
-25.0%
Adjusted EBITDA Margin
16.3%
Previous year: 13.1%
+24.4%
Gross Profit
$294M
Previous year: $314M
-6.3%
Cash and Equivalents
$75.1M
Previous year: $104M
-28.1%
Free Cash Flow
-$102M
Previous year: -$114M
-9.9%
Total Assets
$2.93B
Previous year: $3.23B
-9.4%

Wiley

Wiley

Wiley Revenue by Segment

Forward Guidance

Wiley is reaffirming its Fiscal 2024 outlook, excluding businesses held for sale or sold.

Positive Outlook

  • Adjusted Revenue: $1.580 to $1.630 million
  • Research: Flat (+3% ex-Hindawi)
  • Learning: Down low single digits

Challenges Ahead

  • Adjusted Revenue - primarily due to the Hindawi special issues publishing pause and lower print demand in Academic.
  • Adjusted EBITDA - primarily due to projected revenue performance, notably Hindawi, and higher employee costs from the combination of an incentive compensation reset and wage inflation.
  • Adjusted EPS - further impacted by $0.42 of non-operational items including a higher tax rate (-$0.21/share), pension expense (-$0.11/share), and interest expense (-$0.10/share).

Revenue & Expenses

Visualization of income flow from segment revenue to net income