Companies /Communication Services

Scholastic Corp

NASDAQ: SCHL Publishing
$38.76
▼ $0.35 (−0.89%) today
Markets open · 12:05pm ET

Q4 2026 Earnings

Reported Jul 23, 2026, 4:01pm ET · SEC source
$2.19
Beat +1.39%
EPS · est. $2.16
$476.1M
Miss −7.92%
Revenue · est. $517.1M
−8.7%
Trailing market
SCHL vs S&P since report
3 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
0+4%+8%Jul 23Jul 24report 4:01pm ETearnings−0.1%−2.7%
0+4%+8%Jul 23Jul 24earnings−0.1%−2.7%
SCHL −2.7%S&P 500 −0.1%
0+4%+8%Jul 23Jul 24report 4:01pm ETearnings−1.5%−2.7%
0+4%+8%Jul 23Jul 24earnings−1.5%−2.7%
SCHL −2.7%NASDAQ −1.5%
−5%0+5%Jul 22Jul 31report 4:01pm ETearnings+1.0%−6.7%
−5%0+5%Jul 22Jul 31earnings+1.0%−6.7%
SCHL −6.7%S&P 500 +1.0%
−5%0+5%Jul 22Jul 31report 4:01pm ETearnings−1.0%−6.7%
−5%0+5%Jul 22Jul 31earnings−1.0%−6.7%
SCHL −6.7%NASDAQ −1.0%
−7.08%
Day of report
−5.54%
Next session
−5.79%
One week
−5.01%
30 days

S&P 500 over the same 30 days: +3.65%.

Did SCHL Beat Earnings? Q4 2026 Results

Scholastic Corporation delivered a mixed fiscal Q4 2026 result, narrowly beating earnings expectations while falling short on revenue as the children's media and publishing company navigated a year of sweeping structural change. Adjusted diluted EPS came in at $2.19, edging past the $2.16 consensus estimate by 1.39%, but revenue of $476.10 million trailed the $517.06 million analyst forecast by 7.92%, declining 6.3% year-over-year as tough comparisons in Trade publishing, where the prior year benefited from a Hunger Games release, weighed heavily on the top line. Education revenues also fell 13% in the quarter to $109.20 million amid school funding volatility. Book Fairs provided a rare bright spot, growing 5% to $186.60 million on higher fair counts. The company's aggressive capital return program, funded by more than $400.00 million in sale-leaseback proceeds, pushed share counts sharply lower and amplified per-share earnings; management also raised the quarterly dividend by 25%. Looking ahead, Scholastic guided for fiscal 2027 revenue growth of 2% to 4% and Adjusted EBITDA of $135.00 million to $145.00 million.

Key Takeaways
  • Book Fairs growth driven by higher fair count
  • Entertainment revenue growth from higher production services revenues
  • Challenging Trade comparison against prior-year Hunger Games release (Sunrise on the Reaping)
  • Education pressured by continued school and district funding volatility for supplemental curriculum
  • Sale-leaseback transactions generated over $400 million in net proceeds
  • Disciplined cost management across the Company
  • Reduced share count from aggressive buybacks boosted adjusted EPS

“Fiscal 2026 demonstrated the earnings power of a more focused Scholastic, as the Company made substantial progress in a multi-year transformation of its governance, organization, strategy and balance sheet. Adjusted EBITDA rose, in line with guidance, positioning the Company for growth in fiscal 2027.”

Scholastic CEO, on the earnings call

Forward Guidance & Outlook

For fiscal 2027, Scholastic expects revenue growth of approximately 2% to 4% and Adjusted EBITDA of approximately $135 million to $145 million, representing growth compared with fiscal 2026 on a comparable basis reflecting the full-year impact of sale-leaseback transactions in both periods. The company also expects free cash flow of approximately $35 million to $40 million. The outlook reflects expected growth in Children's Books, Entertainment and International, improved performance in Education, disciplined cost management and targeted investment in long-term growth opportunities.

SCHL YoY Financials

Q4 2026 vs Q4 2025 · SEC filings Q4 2025 Q4 2026
$0$200.0M$400.0M$508.3M$476.1MRevenue$283.8M$285.7MGross Profit$57.4M$51.4MOperating Income$15.4M$9.4MNet Income
$0$200.0M$400.0MRevenueGross ProfitOperating IncomeNet Income

SCHL Revenue by Segment

Children's Book Publishing and Distribution$276.3M−4.0%
School Reading Events$198.8M+4.0%
Book Fairs$186.6M+5.0%
Education Solutions$109.2M−13.0%
Consolidated Trade$77.5M−20.0%
International$69.6M−9.0%
Book Clubs$12.2M−7.0%
Entertainment$21.0M+42.0%

Figures from SEC filings and company reports. Not investment advice.