Scholastic Corp
NASDAQ:SCHL
Scholastic Corp
Scholastic Corp. engages in the publication and distribution of children's books, magazines, and teaching materials. The company is headquartered in New York City, New York and currently employs 6,800 full-time employees. The firm operates through three segments: Children’s Book Publishing and Distribution, Education Solutions and International. Children’s Book Publishing and Distribution segment operates as an integrated business, which includes the publication and distribution of children’s books, e-books, media and interactive products in the United States through its book clubs and book fairs in its school channels and through the trade channel. Education Solutions segment includes the publication and distribution to schools and libraries of children’s books, classroom magazines, print and digital supplemental and core classroom materials and related support services, and print and on-line reference and non-fiction products for grades pre-kindergarten to 12 in the United States. International segment includes the publication and distribution of products and services outside the United States.
Scholastic Corp. engages in the publication and distribution of children's books, magazines, and teaching materials. The company is headquartered in New York City, New York and currently employs 6,800 full-time employees. The firm operates through three segments: Children’s Book Publishing and Distribution, Education Solutions and International. Children’s Book Publishing and Distribution segment operates as an integrated business, which includes the publication and distribution of children’s books, e-books, media and interactive products in the United States through its book clubs and book fairs in its school channels and through the trade channel. Education Solutions segment includes the publication and distribution to schools and libraries of children’s books, classroom magazines, print and digital supplemental and core classroom materials and related support services, and print and on-line reference and non-fiction products for grades pre-kindergarten to 12 in the United States. International segment includes the publication and distribution of products and services outside the United States.
Strong Quarter: Scholastic delivered a solid Q2 with 13% adjusted EBITDA growth and strong results in key business segments, especially Book Fairs and Trade Publishing.
Guidance Affirmed: Fiscal 2026 earnings guidance was affirmed, with updated figures to reflect the recent sale leaseback transactions.
Capital Return: The company closed two major sale leasebacks, generating over $400 million in proceeds, and increased its share repurchase authorization to $150 million.
Education Headwinds: The Education segment continued to face funding challenges, but management is optimistic for improvement in the second half due to an improving sales pipeline and expected federal fund disbursements.
Book Fairs Growth: Book Fairs performed strongly, with growth in fair count, revenue per fair, and lower cancellations, trends expected to continue into the spring.
Cost Discipline: Company-wide cost reductions and operational efficiencies drove margin improvements and higher profitability.
Shareholder Focus: Management emphasized disciplined capital allocation, prioritizing share repurchases and returning cash to shareholders.
