John Wiley & Sons 8K Regulation FD Disclosure | WLY 1 Sep 23

JOHN WILEY & SONS, INC.

REVISED SEGMENT RESULTS (1)

(in thousands)

(unaudited)


	Q123		Q223		Q323		Q423		FY23		FY22
Research:
Revenue, net
Research Publishing	$	239,523	$	232,641	$	213,720	$	240,889	$	926,773	$	963,715
Research Solutions	35,390		38,718		39,880		39,550		153,538		147,628
Total Revenue, net	$	274,913	$	271,359	$	253,600	$	280,439	$	1,080,311	$	1,111,343

Contribution to Profit	$	69,023	$	73,279	$	56,860	$	82,640	$	281,802	$	294,989
Adjustments:
Restructuring charges	81		1,179		317		605		2,182		238
Non-GAAP Adjusted Contribution to Profit	$	69,104	$	74,458	$	57,177	$	83,245	$	283,984	$	295,227
Depreciation and amortization	23,801		23,384		23,123		22,700		93,008		94,899
Non-GAAP Adjusted EBITDA	$	92,905	$	97,842	$	80,300	$	105,945	$	376,992	$	390,126

Learning:
Revenue, net
Academic	$	58,748	$	82,256	$	82,822	$	80,807	$	304,633	$	331,931
Professional	60,899		57,393		60,421		63,049		241,762		249,277
Total Revenue, net	$	119,647	$	139,649	$	143,243	$	143,856	$	546,395	$	581,208

Contribution to Profit	$	610	$	29,912	$	28,453	$	33,387	$	92,362	$	111,530
Adjustments:
Restructuring charges (credits)	3,131		3,664		1,415		(472)		7,738		(418)
Non-GAAP Adjusted Contribution to Profit	$	3,741	$	33,576	$	29,868	$	32,915	$	100,100	$	111,112
Depreciation and amortization	14,055		13,900		14,490		15,253		57,698		58,691
Non-GAAP Adjusted EBITDA	$	17,796	$	47,476	$	44,358	$	48,168	$	157,798	$	169,803

Held for Sale or Sold:
Total Revenue, net	$	93,009	$	103,828	$	94,525	$	101,832	$	393,194	$	390,377

Contribution to Profit	$	(22,194)	$	6,581	$	(103,873)	$	10,641	$	(108,845)	$	4,123
Adjustments:
Restructuring charges (credits)	3,492		281		508		1,356		5,637		(29)
Impairment of goodwill	—		—		99,800		—		99,800		—
Accelerated amortization of an intangible asset	4,594		—		—		—		4,594		—
Non-GAAP Adjusted Contribution to Profit	$	(14,108)	$	6,862	$	(3,565)	$	11,997	$	1,186	$	4,094
Depreciation and amortization	11,673		11,227		10,890		7,701		41,491		45,027
Non-GAAP Adjusted EBITDA	$	(2,435)	$	18,089	$	7,325	$	19,698	$	42,677	$	49,121

Corporate Expenses:	$	(64,404)	$	(52,333)	$	(48,496)	$	(44,196)	$	(209,429)	$	(191,366)
Adjustments:
Restructuring charges (credits)	15,737		8,832		6,567		2,696		33,832		(1,218)
Legal settlement	—		—		3,671		—		3,671		—
Non-GAAP Adjusted Contribution to Profit	$	(48,667)	$	(43,501)	$	(38,258)	$	(41,500)	$	(171,926)	$	(192,584)
Depreciation and amortization	4,156		3,910		3,939		4,457		16,462		16,553
Non-GAAP Adjusted EBITDA	$	(44,511)	$	(39,591)	$	(34,319)	$	(37,043)	$	(155,464)	$	(176,031)

Consolidated Results:
Revenue, net	$	487,569	$	514,836	$	491,368	$	526,127	$	2,019,900	$	2,082,928
Less: Held for Sale or Sold Segment	(93,009)		(103,828)		(94,525)		(101,832)		(393,194)		(390,377)
Adjusted Revenue	$	394,560	$	411,008	$	396,843	$	424,295	$	1,626,706	$	1,692,551

Operating (Loss) Income	$	(16,965)	$	57,439	$	(67,056)	$	82,472	$	55,890	$	219,276
Adjustments:
Restructuring charges (credits)	22,441		13,956		8,807		4,185		49,389		(1,427)
Impairment of goodwill	—		—		99,800		—		99,800		—
Legal settlement	—		—		3,671		—		3,671		—
Accelerated amortization of an intangible asset	4,594		—		—		—		4,594		—
Held for Sale or Sold Segment Adjusted Contribution to Profit	14,108		(6,862)		3,565		(11,997)		(1,186)		(4,094)
Non-GAAP Adjusted Operating Income	$	24,178	$	64,533	$	48,787	$	74,660	$	212,158	$	213,755
Depreciation and amortization	53,685		52,421		52,442		50,111		208,659		215,170
Less: Held for Sale or Sold Segment depreciation and amortization	(11,673)		(11,227)		(10,890)		(7,701)		(41,491)		(45,027)
Non-GAAP Adjusted EBITDA	$	66,190	$	105,727	$	90,339	$	117,070	$	379,326	$	383,898

Reconciliation of US GAAP EPS to Non-GAAP Adjusted EPS

US GAAP (Loss) Earnings Per Share - Diluted	$	(0.32)	$	0.68	$	(1.29)	$	1.22	$	0.31	$	2.62
Adjustments:
Impairment of goodwill	—		—		1.69		0.09		1.77		—
Legal settlement	—		—		0.05		—		0.05		—
Pension income related to the wind up of the Russia plan	—		—		—		(0.02)		(0.02)		—
Restructuring and related charges (credits)	0.30		0.19		0.12		0.06		0.66		(0.02)
Foreign exchange losses (gains) on intercompany transactions, including the write off of certain cumulative translation adjustments	0.01		0.03		(0.03)		(0.01)		0.01		0.02
Amortization of acquired intangible assets	0.36		0.30		0.29		0.26		1.21		1.21
Gain on sale of businesses and certain assets	—		—		—		(0.11)		(0.11)		(0.05)
Income tax adjustments	—		—		—		(0.04)		(0.04)		0.38
Held for Sale or Sold segment Adjusted Net Loss (Income) (2)	0.10		(0.18)		(0.04)		(0.26)		(0.36)		(0.41)
EPS impact of using weighted-average dilutive shares for adjusted EPS calculation	0.01		—		0.02		—		—		—
Non-GAAP Adjusted Earnings Per Share - Diluted	$	0.46	$	1.02	$	0.81	$	1.19	$	3.48	$	3.75


Notes:
(1) All amounts are approximate due to rounding.
(2) Our Adjusted EPS excludes the Adjusted Net Loss (Income) of our Held for Sale or Sold segment.

John Wiley & Sons (WLY) 8-KRegulation FD Disclosure