NYSE$WLY

John Wiley & Sons Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Wiley's fourth quarter results reflected revenue growth and increased operating income.

Wiley's Q4 2022 results showed a revenue increase of 2% to $546 million and a 14% rise in operating income to $58 million. EPS also increased by 4% to $0.76. Adjusted EPS decreased by 6% to $1.08.

  • Revenue increased by 2% to $546 million.
  • Operating Income increased 14% to $58 million.
  • EPS increased by 4% to $0.76.
  • Adjusted EPS decreased by 6% to $1.08.

Headline financials

Total Revenue

$546M

Previous: $536M+1.8%
EPS (adj)

$1.08

Previous: $0.84+28.6%
Adjusted EBITDA Margin

20.3%

Previous: 21.0%-3.3%
Capital Expenditures

$28.2M

Previous: $19.2M+46.5%
Free Cash Flow

$152M

Previous: $257M-40.6%
Net Income

$43.1M

Previous: $41.3M+4.4%
Operating Income

$58.4M

Previous: $51.2M+14.0%
Gross Profit

$359M

Previous: $1.32B-72.8%
Cash & Equivalents

$100M

Previous: $93.8M+7.0%
Total Assets

$3.36B

Previous: $3.45B-2.5%
Stock-Based Comp

$6.34M

Previous: $7.24M-12.4%

Revenue & EPS history

Wiley · Revenue · Quarterly

$546M

Q4 2022+1.8%vs Q4 2021
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Wiley · $458M total across 2 segments · Q4 2022

  • Research
    $298M+5.2%
  • Learning
    $160M-7.2%

Forward guidance

Wiley provided its Fiscal Year 2023 outlook, anticipating mid-single digit revenue growth at constant currency driven by Research and Education Services. Earnings gains from revenue growth are expected to be offset by wage inflation and growth investments. Adjusted EPS performance is expected to be adversely impacted by non-operational items.

Tailwinds

  • Revenue: The Company anticipates mid-single digit revenue growth at constant currency driven by Research and Education Services.
  • Wiley expects positive cash earnings
  • Wiley expects lower incentive payouts for Fiscal 2022 performance compared to prior year
  • Wiley expects gains from revenue growth to be offset by wage inflation and growth investments in Research and Corporate Talent Development.
  • Wiley’s adjusted effective tax rate is expected to be 22-23% in Fiscal 2023, up from 20% in Fiscal 2022.

Headwinds

  • Earnings: Wiley expects gains from revenue growth to be offset by wage inflation and growth investments in Research and Corporate Talent Development.
  • Adjusted EPS performance is expected to be adversely impacted by 35-cents of non-operational items such as higher interest expense, higher tax expense, and lower pension income.
  • Wiley’s adjusted effective tax rate is expected to be 22-23% in Fiscal 2023, up from 20% in Fiscal 2022. This is primarily due to an anticipated less favorable mix of earnings by country and an increase in the UK statutory rate. Fiscal 2022 also benefitted from certain non-recurring tax benefits.
  • Free Cash Flow: Wiley expects positive cash earnings and lower incentive payouts for Fiscal 2022 performance compared to prior year to be offset by higher cash taxes, interest and capex ($115 to $125 million vs. $116 million in Fiscal 2022).
  • Foreign Exchange Impact: With Wiley generating 47% of its revenue from outside the US, the Company’s reported results are adversely impacted by a strengthening US dollar, particularly in relation to the Euro and the British pound.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2022

Historical avgQ4 2022

-1.0%

Avg return

Earnings day

+0.6%

Avg return

5 days after

+0.7%

Avg return

30 days after

44%

18 / 41 earnings

Positive

+15.1%

Q3 2025

Best reaction

-17.4%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+4.1%+7.8%
Q3 2026+13.9%+20.2%+28.2%
Q2 2026-9.4%-18.6%-22.1%
Q1 2026-4.1%+5.2%+0.5%
Q4 2025+0.0%+12.7%+12.4%
Q3 2025+15.1%+23.3%+10.8%
Q2 2025-7.5%-7.1%-13.2%
Q1 2025-9.3%-9.8%+5.6%
Q4 2024+11.4%+9.3%+26.5%
Q3 2024+11.5%+12.8%+15.9%
Q2 2024-0.3%+1.2%+2.3%
Q1 2024+1.5%+2.3%-2.1%
Q4 2023-11.4%-10.8%-5.7%
Q3 2023-17.4%-18.6%-12.8%
Q2 2023-5.2%-7.8%-6.4%
Q1 2023-9.8%+0.8%-19.4%
Q4 2022+0.4%+7.2%+10.5%
Q3 2022-0.7%+3.6%+4.6%
Q2 2022+0.1%+0.3%+1.8%
Q1 2022-1.1%+2.0%-9.1%
Q4 2021-4.9%-12.0%-8.3%
Q3 2021-0.5%+7.5%+8.4%
Q2 2021+13.8%+18.8%+31.4%
Q1 2021+5.1%+3.6%+4.1%
Q4 2020-11.5%-0.3%-12.7%
Q3 2020+5.4%+2.1%-2.2%
Q2 2020+1.8%+2.3%+1.7%
Q1 2020-4.6%-1.3%-3.6%
Q4 2019+5.1%+5.8%+4.0%
Q3 2019-16.4%-13.6%-13.5%
Q2 2019+0.0%-6.0%-10.3%
Q1 2019-11.0%-11.8%-5.1%
Q4 2018+2.8%-1.5%-4.4%
Q3 2018+0.7%+0.0%-0.8%
Q2 2018+2.7%+7.2%+13.1%
Q1 2018-2.7%-2.1%-1.2%
Q4 2017+4.6%+2.3%+1.3%
Q3 2017-1.1%+1.1%+0.6%
Q2 2017+2.7%+3.2%+0.9%
Q1 2017-6.8%-14.4%-12.2%
Q4 2016-6.4%-3.5%+6.8%
Q3 2016
Q2 2016
Q1 2016
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013
Q4 2012
Q2 2012
Q3 2012
Q4 2011
Q1 2012
Q4 2009
Q3 2011
Q3 2010
Q2 2011
Q1 2010
Q2 2010
Q4 2010
Q1 2011

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