SCHOLASTIC CORP 8K

Scholastic reported lower fiscal 2026 revenue but stronger adjusted profitability, materially reshaped its balance sheet via sale‑leaseback transactions and large shareholder returns, and issued fiscal 2027 guidance for a return to modest revenue growth and higher adjusted EBITDA on a comparable basis.

Scholastic Corporation reported its fiscal fourth quarter and full-year 2026 results, showing a 3% decline in annual revenue to $1.58 billion but modestly lower GAAP operating income of $15.2 million and improved profitability on an adjusted basis, with adjusted operating income rising to $47.1 million and adjusted EBITDA to $151.5 million, up 4% and 15% respectively on a comparable sale‑leaseback-adjusted basis. The company highlighted strong performance in Book Fairs and Entertainment offset by weakness in Education and Trade, the impact of December 2025 sale‑leaseback transactions which generated over $400 million in proceeds and shifted the company from $136.6 million in net debt to $48.9 million in net cash, and the return of approximately $288.6 million to shareholders via repurchases and dividends in fiscal 2026. Management provided fiscal 2027 guidance targeting 2%–4% revenue growth, adjusted EBITDA of $135–$145 million on a basis comparable for sale‑leaseback effects, and free cash flow of $35–$40 million, emphasizing ongoing cost discipline, a more focused Education strategy, and continued capital returns within a new long-term leverage framework.

Filing Facts

CIK

866729

Ticker

-

Form

8K

Source Type

sec

Accession

0000866729-26-000015

Alert Tier

7