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Jan 31

Wiley Q3 2025 Earnings Report

Wiley reported a decline in revenue but improved profitability in Q3 2025.

Key Takeaways

Wiley reported Q3 2025 revenue of $405 million, down from $461 million in the prior year due to divested businesses. However, adjusted revenue increased by 1.2% at constant currency. Operating income rebounded to $52 million from a loss of $46 million in Q3 2024. Adjusted EPS rose 39% to $0.84, driven by higher adjusted operating income and a lower tax rate.

Revenue declined to $405 million from $461 million due to divested businesses.

Adjusted EPS rose 39% to $0.84, driven by strong profit improvement.

Operating income turned positive at $52 million from a loss of $46 million in Q3 2024.

Research revenue grew by 5% at constant currency, supported by open access and AI licensing.

Total Revenue
$405M
Previous year: $461M
-12.1%
EPS
$0.84
Previous year: $0.59
+42.4%
Adjusted EBITDA margin
23.2%
Previous year: 22.7%
+2.2%
Cash and Equivalents
$105M
Previous year: $93.1M
+12.3%
Total Assets
$2.6B
Previous year: $2.71B
-4.0%

Wiley

Wiley

Forward Guidance

Wiley expects moderate revenue growth and profitability improvements in FY 2025, driven by research expansion and AI licensing.

Positive Outlook

  • Revenue expected to grow around 3%, led by Research and AI licensing.
  • Adjusted EPS forecasted at the high end of $3.25 to $3.60 range.
  • Free cash flow projected at $125 million, up 10% from prior year.
  • Adjusted EBITDA margin expected to reach 23-24%.
  • Continued focus on cost savings and efficiency improvements.

Challenges Ahead

  • Divestitures continue to impact reported revenue growth.
  • Softness in academic learning segment affecting segment revenue.
  • Higher corporate expenses due to modernization and restructuring costs.
  • Foreign exchange fluctuations may impact earnings visibility.
  • Uncertainty around AI licensing revenue sustainability.