Overview
- The company completed a sale-leaseback of its New York City headquarters and Jefferson City facility, generating over $400 million in net proceeds.
- A new $300 million repurchase program includes a $200 million modified Dutch auction at $36 to $40 per share after buying back 4.4 million shares under the prior $150 million authorization at an average $33.30.
- Scholastic repaid its unsecured revolver and ended the quarter with a net cash position of $90.6 million.
- Management maintained fiscal 2026 adjusted EBITDA guidance of $146 million to $156 million, with the sale-leaseback expected to reduce EBITDA by about $14 million this year and with roughly $10 million in tariff costs under watch.
- Operationally, Education’s shift toward science-of-reading channels is slowing declines with growth targeted in fiscal 2027, Book Fairs remain robust with strong eWallet adoption, and Scholastic Entertainment reported YouTube views up over 200% year over year.