NYSE$FC
Franklin Covey Co · Q2 2021 earnings
Q2 2021 earnings · · Investor relations
Briefing
FranklinCovey's operating income and Adjusted EBITDA exceeded expectations as Adjusted EBITDA increased by 26%.
FranklinCovey reported strong second quarter fiscal 2021 results driven by the continued success of its All Access Pass subscription model and the strength of its subscription business overall. The company's operating income and Adjusted EBITDA exceeded expectations, with Adjusted EBITDA increasing 26% to $5.1 million. Cash flows from operating activities increased 26% to $21.9 million in the first two quarters of fiscal 2021, and the company ended the quarter with $40.3 million in cash.
- All Access Pass sales increased 13% in the second quarter of fiscal 2021.
- Sales of All Access Pass related services in the second quarter were higher than add-on sales in the pre-pandemic second quarter.
- Sales in international direct offices and international licensee partners continued to strengthen.
- Booking trends in the Education Division strengthened in the quarter, even compared to last year’s second quarter.
Headline financials
Revenue & EPS history
FranklinCovey · Revenue · Quarterly
$48.2M
Revenue by segment
FranklinCovey · $93.5M total across 2 segments · Q2 2021
- Enterprise Division$77.5M+90.6%82.9%
- Education Division$16M+46.9%17.1%
Forward guidance
The Company affirms its previously announced guidance and continues to expect Adjusted EBITDA to total between $20 million to $22 million in fiscal 2021.
Tailwinds
- Strength of the All Access Pass and Leader in Me membership.
- Expected accelerated growth during fiscal 2021 and in the future.
- Company expects its results to continue to be strong throughout the remainder of the fiscal year.
- Company expects to generate significant growth in Adjusted EBITDA during the second half of fiscal 2021, and in future years.
- Company expects to generate significant growth in cash flow during the second half of fiscal 2021, and in future years.
Headwinds
- General economic conditions.
- The severity and duration of global business disruptions from the COVID-19 outbreak.
- The ability of the Company to operate effectively during and in the aftermath of the COVID-19 pandemic.
- Expectations regarding the economic recovery from the pandemic.
- Market acceptance of new products or services, including new AAP portal upgrades.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 18 quarterly earnings reports · overlaid with Q2 2021
+1.3%
Avg return
Earnings day
+3.2%
Avg return
5 days after
+5.4%
Avg return
30 days after
55%
36 / 65 earnings
Positive
+44.5%
Q2 2026
Best reaction
-26.5%
Q2 2025
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q3 2026 | — | — | — | |
| Q2 2026 | +44.5% | +1.2% | — | |
| Q1 2026 | +1.0% | +11.1% | +3.4% | |
| Q4 2025 | -10.7% | -13.0% | -10.1% | |
| Q3 2025 | +2.0% | +0.1% | -1.6% | |
| Q2 2025 | -26.5% | -29.3% | -24.0% | |
| Q1 2025 | -11.3% | -13.8% | +7.2% | |
| Q4 2024 | -8.3% | -4.3% | -11.6% | |
| Q3 2024 | +6.5% | +6.9% | +24.0% | |
| Q2 2024 | +0.7% | -3.6% | +1.4% | |
| Q1 2024 | +1.9% | -1.8% | +2.0% | |
| Q4 2023 | -11.0% | -11.3% | -0.3% | |
| Q3 2023 | +28.7% | +26.2% | +32.5% | |
| Q2 2023 | -17.7% | -12.3% | -16.6% | |
| Q1 2023 | -8.4% | -7.7% | +1.0% | |
| Q4 2022 | -0.6% | -5.8% | -0.3% | |
| Q3 2022 | +19.0% | +21.4% | +34.8% | |
| Q2 2022 | -6.8% | -3.8% | -17.4% | |
| Q1 2022 | +10.9% | +12.1% | +2.0% | |
| Q4 2021 | +5.6% | +13.3% | +2.9% | |
| Q3 2021 | +11.6% | +6.3% | +13.5% | |
| Q2 2021 | +6.6% | +7.1% | +8.0% | |
| Q1 2021 | +4.8% | +3.1% | +15.8% | |
| Q4 2020 | +16.4% | +36.7% | +26.0% | |
| Q3 2020 | -8.3% | -7.1% | -0.2% | |
| Q2 2020 | +15.4% | +29.6% | +35.8% | |
| Q1 2020 | -3.6% | -2.3% | -3.2% | |
| Q4 2019 | +3.5% | +1.0% | -2.8% | |
| Q3 2019 | +8.2% | +8.8% | +17.0% | |
| Q2 2019 | +8.4% | +5.0% | +13.0% | |
| Q1 2019 | +3.7% | +4.3% | +5.4% | |
| Q4 2018 | +3.5% | +0.6% | +3.0% | |
| Q3 2018 | -6.8% | -8.9% | -11.4% | |
| Q2 2018 | +9.0% | -1.9% | -4.1% | |
| Q1 2018 | +14.5% | +36.5% | +26.6% | |
| Q4 2017 | +11.0% | +2.9% | +2.9% | |
| Q3 2017 | -7.9% | -6.2% | -12.9% | |
| Q2 2017 | +26.6% | +29.2% | +33.2% | |
| Q1 2017 | -6.4% | -6.9% | -13.0% | |
| Q4 2016 | -1.6% | +4.4% | +14.8% | |
| Q3 2016 | -4.3% | -1.7% | +13.4% | |
| Q2 2016 | -9.8% | — | — | |
| Q1 2016 | +1.5% | — | — | |
| Q4 2015 | -13.3% | — | — | |
| Q3 2015 | -13.0% | — | — | |
| Q2 2015 | -2.2% | — | — | |
| Q1 2015 | -0.5% | — | — | |
| Q4 2014 | +0.5% | — | — | |
| Q3 2014 | +0.3% | — | — | |
| Q2 2014 | +1.1% | — | — | |
| Q1 2014 | +0.7% | — | — | |
| Q4 2013 | +5.3% | — | — | |
| Q3 2013 | +3.8% | — | — | |
| Q2 2013 | -0.7% | — | — | |
| Q1 2013 | +0.9% | — | — | |
| Q4 2010 | -7.0% | — | — | |
| Q4 2012 | -7.0% | — | — | |
| Q3 2011 | +0.6% | — | — | |
| Q3 2012 | +6.2% | — | — | |
| Q2 2012 | -2.2% | — | — | |
| Q2 2011 | -2.2% | — | — | |
| Q4 2011 | -0.6% | — | — | |
| Q1 2012 | -0.6% | — | — | |
| Q1 2011 | -5.0% | — | — | |
| Q3 2010 | +4.1% | — | — | |
| Q2 2010 | +0.9% | — | — |
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