NYSE$WLY

John Wiley & Sons Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Wiley reported mixed results with revenue declining but operating income and EPS increasing. Strategic actions were announced to focus on core businesses and maximize value creation.

Wiley reported a decrease in revenue but an increase in operating income and EPS for the fourth quarter of fiscal year 2023. The company announced strategic actions to focus on its strongest businesses and drive greater profitability.

  • Revenue decreased by 4% to $526 million, but was down 2% at constant currency.
  • Operating income increased by 41% to $82 million.
  • EPS increased by $0.46 to $1.22.
  • Adjusted EBITDA increased by 23% to $137 million at constant currency.

Headline financials

Total Revenue

$526M

Previous: $546M-3.6%
EPS (adj)

$1.45

Previous: $1.08+34.3%
Adjusted EBITDA Margin

26.0%

Previous: 20.3%+28.1%
Capital Expenditures

$23.5M

Previous: $28.2M-16.5%
Free Cash Flow

$173M

Previous: $152M+13.5%
Net Income

$68.3M

Previous: $43.1M+58.4%
Operating Income

$82.5M

Previous: $58.4M+41.2%
Gross Profit

$352M

Previous: $359M-1.9%
Cash & Equivalents

$107M

Previous: $100M+6.3%
Total Assets

$3.11B

Previous: $3.36B-7.5%
Stock-Based Comp

$5.89M

Previous: $6.34M-7.1%

Revenue & EPS history

Wiley · Revenue · Quarterly

$526M

Q4 2023-3.6%vs Q4 2022
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Wiley · $280M total across 1 segment · Q4 2023

  • Research
    $280M-6.1%

Forward guidance

Wiley's Fiscal 2024 outlook excludes businesses held for sale. Adjusted Revenue is expected to be primarily impacted by the Hindawi special issues publishing pause and continued softness in consumer and corporate spending. Adjusted EBITDA is expected to be primarily impacted by projected revenue performance, notably Hindawi, and higher employee costs. Adjusted EPS is further impacted by $0.42 of non-operational items including a higher tax rate, pension expense, and interest expense.

Tailwinds

  • Focus on core Research and Learning businesses.
  • Portfolio actions to divest non-core education businesses.
  • Streamlining organization and rightsizing cost structure.
  • Material performance and margin improvement expected in Fiscal 2025 and Fiscal 2026.
  • Company expects material performance and margin improvement in Fiscal 2025 and Fiscal 2026 from portfolio and restructuring actions.

Headwinds

  • Hindawi special issues publishing pause.
  • Continued softness in consumer and corporate spending.
  • Higher employee costs from incentive compensation reset and wage inflation.
  • Higher tax rate due to a less favorable mix of earnings by country and an increase in the UK statutory rate.
  • Uncertainty around the timing of divestitures and the size and scope of restructuring payments.

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 2023

Historical avgQ4 2023

-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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