Educational Development (EDUC) 13 Oct 202021 Q2 Earnings call transcript

Ladies and gentlemen, thank you for standing by and welcome to the Fiscal 2021 Second Quarter Earnings Conference Call. At this time, all participants are in a listen-only mode. I would now like to hand the conference over to your speaker today, Mr. Randall White. Please go ahead, sir.

to today. welcome investors, there, our call Hello

time Marketing a start. and our With Before me I to the have White, I is unique Craig know Cobb, little and started, I our I’ve I'd CFO. Officer just show, highest today Chief And day is to the yet Heather our Sales Dan history, to you Irish closed I'm guys do is like for over over all the to while Officer. O'Keefe, that at Operating time a our but have We come in we also jig in what best going background. this Chief history. it I hand our Dan $XX.XX get in the closed price first today it’s that's is a But XX.

go, let's So Dan.

Thanks, Randall.

share approximately the fiscal $XX.X totaled revenues XXXX. the to the of million an a X.X% of profits fiscal quarter net million, quarter XXX% in year. the a $X.XX second Pretax per XXXX results. the a reported million approximately of $X.X the approximately over pre-tax totaled from earnings second the million quarter Here's last man Net reported to Net a per the second basis million were for quarter earnings reported from and White. the on million, share from the Pretax share $X.X XXXX earnings XXXX the $X.X the our grew year. to fiscal Net second $XX.X over fiscal Irish in X.X% $X of XXXX. XXX% results reported summary to second $X.XX share back fiscal second the quarter diluted $X.XX brief or Earnings second in the fiscal XXX% in jig, $XX.X compared per in quarter in increased This second increased for revenues increase of I'll fully last share $X.X Earnings XXXX. the as a quarter up of for over fiscal of quarter XXXX quarter quarter doing million to of the second second Randall XXXX. fiscal concludes increased of over year. last of second in of quarter pass quarter profit quarter profit percentage in of call the million second

move Thanks, pals hello We to which incredible We the my consultants. call identify end with of been to Dan. I By people the the apology. good here great way, out who quarter. our that XXX%. you here. revenue apologies with old do is shorted XX,XXX can on started shows those on was amazing. guys have a UBAM quarter amazing up so it's the a ended to screen some on It's just story call. But growth in and active XX,XXX about over growth it. Pretty at who's say And and one to the good I've and I Incredible, got all so month.

the And didn't successful, over I to so going I'm Heather. to all little, it tell so Heather. why pass marketing since do we're us very or And side

of that I actually I factors. significant key there but a consultants Well, increase us reasons factor several wish that that Randall. was in to were you, Thank of single think led one number the the

have I busting that say one demand we boredom home. increased educational is would So and in the the first products for

and learning learning, forced from As able we pivot adjust know, distance to do home and were to quickly. were to that we people very

the or called was led in replace supplemental pandemic. from fact has for consultants a program, February, to to some feel consultant of allows sooner, either supplement that, that an to growth. success saw the addition non-traditional this We, significant new to introduced like the we experience success also This In income demand lost our increased income. Climb. COVID-XX We

that have to need easier data technology office business more customer several back we to and streamlined Another our They item they have the improvements, is implemented run that and both facing access suite. with their smoothly product successfully. and consultants

XX,XXX period the of I COVID, XX,XXX challenges attendance. was who of due conjunction think, cast new our able almost from to our consultants, had opportunity had presentations. One convention leaders people want to And we factors, to have is the saw to make They that the convention feel all share, to of I entry convention to in those that a some to factor had. the the this vision. out fields, price for last which that a almost I our Since together was the change over attend think field biggest top paired with we virtual three-day attributed a get hear with of we message to kit we've success the our lower that fact that

Craig, pass to discuss recent like improvement. customer over facing and to the to I'd of call Now facing the technology consultant some

Thank you, Heather.

give As going on [Indiscernible] I'm a IT. as to as over warehouse operations. update warehouse brief well just operations

So what to last we to handle do. the to this level to developed in would over as the certain few last few since we got I've plans whenever is big years, growth years had we've need

levels. getting I evaluating out We we know be production what each day. should are constantly

to at sales. we're we And to out and get need level where be able evaluating current so constantly the I'm of what

have, shift, And been So bit I've construction a a second projects. in pivot quarter, which some very of added we we on successful. our second has to had the

we're So to handle able ahead moving growth. and sales the

that what So we're excited us. about provide will

start throughout and the of And software. things. a friendly we major, all people means a overhaul mobile we it to software which year see fiscal as reports, standpoint, that office, and sales IT implemented log We sales a an their new version those their from recruits our the at as back the the did into as major new worked back on summer mentioned, well. of introduced office this Heather Now

can software that to. need We cloud we growth moved handle have that also now to whatever we so the

We trying gamify of alerts have text our the certain those if continue milestones. back to office, And started kind will salespeople for to we adding you text will. to add also alerts,

very So that. stock to comes products their go our about e-commerce on they in can notifications to which be back give for email in our they address want means excited for stock. it that us We've added site, also we're when notified customers,

Okay.

of those So from in XX,XXX over to in of sent in-stock closer couple those we've million dollars notifications resulted million, well items. sales out the XX,XXX in last have just months, half to a notifications. e-mail And

can So provide we're about very what us. that excited

going well as are operations, things operations. well warehouse very in So as IT

to pass back Randy. to Now, I'd like the call

Craig. Thanks, Okay.

Probably put going to way, what and we you reassure them here each because that and I'm grow? today to Dan are just going find how guys and message a people a to ask I how Heather very want got group done. and here, Heather, one old here's to tell to you we So our try our from I management going how XXX,XXX? and get they've Craig, formula. surely am you, the know going by to of I one friend. the to most sales wonder for three out strong we've very of proud go to want to of Well, XX,XXX consultants

not. works. a But XX.X%. works. not should week, quarter, situation because Not theory have that wait better we for publishing sales ran. will because forecast, retail it And first is you the the last We know, much well, bit our were easy. such that's it were as It's the that's us little a tell end of to then That's struggling big this But the down was people. division. quarter XX%. by while how XXX,XXX over wish that's how we you now. right about not deal of It’s the So year, down out it the I we doing just

So we're making there. improvement

back have the retail great sell once products are in stores open. We they'll stores

what move get. is we happens on growth and bring to $X.XX. money of We extra you it. product to know that having So here management from $X.XX we don't as That's went financial a and we spend profit

that’s becomes spending it. theory more our profitable, we're and So base larger and cost of over it the now

We have with people went recover from five did years who join. very credit UBAM, having just happen ago here, about virtual, convention to And interesting came about card we nice may $XX the teacher to the But things growth convention. about a join we I virtual. about lower that only the a we're going her how about. a because model money declined. that mentioned cost But that declined didn't not tell story Heather and our X,XXX credit but card great XX,XXX will having one it’s people to have tried that her and no the had we the while We all in here, quarter also were under happen costs in you again. where

a the and $XX,XXX got ago out month. they Somehow month she it made figured for

-- telling make and make. have way And more is the Now that lady I'm it. more the what does other That's did is not not by the doing the not one same. model you people telling well. we I'm this you But very the everybody they average. we

we're dollars dollars which maybe, best very And card of day excited is the They over whatever in or running shipping is -- credit that or model all about a orders million has out so we're a guys. And changed and prepaid. million these a cash. we're were that, they come shipping part the a about day, means we on don't

So we lot have borrowings have a $X.X what And is of debt. cash of no and paid we short-term down now. happens building we here million

debt we million on it's about and they've And interest about rental of and now. $XX So we is healthy lease pay from have revenue in only complex. building, them get have month million a $XX $XXX,XXX out is in monthly which and $XX a we the about principal left this corporation,

end There's had nice million very do and very you cash and choices. three August, going flow that cash are to what the about little at debt. with of money? [Indiscernible] So We, all $XX

bonus. or debt, can buy big pay dividend you give down you You increase shares, me a your back you or

pay then nice, down cash the shareholders. This to up the debt our XX%. we I reward use The think increased and dividend quarter, we of chose dividend $X.XX pretty to

with there So possibly that, must about has with one somebody thing I question be that a cover. that, didn't

a that, So from somebody question. ask want turn over me I to it

Instructions] [Operator

XX-XX here guys. day year me for

enthusiastic I'm got really a if So -- question? it’s

a Please question ahead. Investor. he's have from We Private Bradshaw, go line Bob of a the

I I really glossed little conference you what a the future And that, was I And is kind a often really bit, to had year think to like I comment you kind the of it's but it I this amazing. of deal. down a just with think prepping in efficiencies did was to the big guess some pretty big over I me two I And warehouse Could heard you a from a bit second rather getting third that shift for have you're the and from little as about how I've about then next and thing well? to having thought is year. know away shifts. talk you previously know

because you to project Well, message and I'm tell see but way conference, thought. let more able we XX,XXX to we to it like I our than about going can accomplish it guess. face better out were became more we turned Because where Heather people, to consultants we face our over effective, the

you're some And hybrid Heather? right looking type at future, so of or of something

I some live event we'd fairly there's that of we think sighted to event. a that the But definitely Bob, a that short want cannot. Yeah, think to can back things I go virtual to be also live provide the just event say that

the both. we're to event. And ready continue with possibly of there's year. for poised to hybrid just a do and we opportunity think so feel not, place I have like some do hopefully, next to virtual we'll sort If another a

to Bob, that will going I’m we productivity. every the in warehouse, Craig to the day efficiency some something let it, on it's pick nuance that address up is because to do little try increase the

roughly always shift, we've efficient perfectly come a first been just don't day. adding the productive second is shift XXX people. whole pretty first it's in They and Well, on which

turnover. that a couple there's weeks, So some took

So getting I say up will second productivity, we necessarily, the shift efficiency, wouldn't say. but where great gained, I to is speed

have poised and when ready will be it are third to shift We ready. a

when bring week you will efficiency is you last yeah, should ready. day day to because, that credit, look new that's in ready We walk history. our largest people shipping without up and million new we and be then and which line, taken had in Craig’s think one in don't be, the we're shipped I out X.X

up to we're So Dan's October, here -- for big and reason third his biggest today month, December, our that's shipping gearing a we're -- pad that. we're November, have quarter.

from question the And your Norcini. next line Please of go Edward is ahead.

stronger or getting lines company, foresee third, is coming for company of you're I the my running saying great to the help I in want lines, shift you also is two Do the right debt investors. month? reduced now. you thank this debt. two for raising November production And when dividend, that the you're know third a question your us And reduced you

here we brink and back we shifts. you November, another set is it. operation two of complete December, line Well line Yeah, gave period up two And do. we What right we regular trying shift another that And if a staffed. have the most I need October, because it. will get to on come for our with dividend to of we're to add

So I again like I'm like a XX. it I then too but little not and bit

production and the you think also the I I -- the tenant your is, guys did year really knocked the the side. question to getting distribution work this you ramping and being produce the and people team a off home ball safely what during Well, now? paying cover rent up from have pandemic, able

company, think them. Not don't about worried he's more $X about us than There's I billion them. worried

Moulton, Derek is line your And open.

the How a in starting consultants the success -- on making haven't had. to changed have today? set primarily just the color you social are how field? sales what Heather, business the the go know going quite bit congratulations give in little sales from all people to school, they're are on success through a I feedback getting back and people And Hey, it field? as question that maybe then Is of maybe media? a Maybe of quarter the has kind you'll are us for bit.

things field really We sales over I say, probably our has the happened last well. is that actually of one years about already, reps several say think will I I they Yeah, the adapt primarily would online. were

customers not poised make some were did and XXX the ready have to be. pivot And were be already full where to and going that to did so we a so companies we

to online. I confines majority division whatever to, give really have to of they needed to to our to also work the come from So the sales to credit try our library But and do school books shutdown were get schools. I contact get books kids happened quickly the directly working know administrators in the were things trying and when school like who with to close backpacks different to spring, that. especially in of very they within

that case. fares options option, cash And adapt, launched to we to so in to schools just way be continues recently they serve us go the really able that needed our as able we were the customers with and were they We've additional and book back. so some that have virtual

And and a a We to But so business crazy that of customers us our is well. need was biggest that make. we do to I continue to, for the sales think way us. had people the usual really bit which in sound pivot I little but amazingly they thing just as know really our of it may kind serve it do little

the Well, $X whatever wonder million in what's Derek, Hey, to let normal back to outdoors, gone. million normal and one like that, and went probably library country is. booths to come me thing through you and will $XX festival everything are retail down happen that green down we're and school go school those we'll going add in real we're and more happy, to a have probably a booth back

So book think loss about face $XX fares to we face the sales school million. and are in

there rebound So we can also.

marketplace the very this happen. today a in home that will products anybody way, well. And of the things So lot that by good selling educational for doing are we are

I'll the advantage glad customers it's of the we we're it. humble you we're well. about able time right are We doing to to right and fact the that be all place just very have thankful a take very -- are in and that And at tell bit

Well, and your for time. thanks congratulations

historic $XX.XX, other Derek. else? Anybody day. Thanks Any questions? well

[Operator Instructions]

guess much we're there's think Okay. more started. just ask can I $XX.XX. getting questions not you than And I

group. So bought for of thanks you any you our being a should. haven't if part And shares

great think is great a I work own this to company company a for. and to

of part investor our for being a thanks calls. So

call. conference today's concludes you this participating. gentlemen, for and Ladies Thank

may now You disconnect.