Revenue growth remains highly cyclical, with quarterly performance swinging between a 10.1% decline and a 7.0% increase, while operating margins frequently dip into negative territory, reaching -40.6% in 2026Q1.
| Metric | TTM | May'25 | May'24 | May'23 | May'22 | May'21 | May'20 | May'19 | May'18 | May'17 | May'16 | May'15 | May'14 | May'13 | May'12 | May'11 | May'10 | May'09 | May'08 | May'07 | May'06 | May'05 | May'04 | May'03 | May'02 | May'01 | May'00 | May'99 | May'98 | May'97 | May'96 |
|---|
| Sales/Revenue | 1.61B | 1.63B | 1.59B | 1.7B | 1.64B | 1.3B | 1.49B | 1.65B | 1.63B | 1.74B | 1.67B | 1.64B | 1.82B | 1.79B | 2.15B | 1.91B | 1.91B | 1.85B | 2.21B | 1.92B | 2.28B | 2.08B | 2.23B | 1.96B | 1.92B | 1.96B | 1.4B | 1.15B | 1.06B | 966.3M | 928.6M |
| Revenue Growth % | 1.38% | 2.25% | -6.71% | 3.72% | 26.35% | -12.56% | -10.09% | 1.57% | -6.5% | 4.11% | 2.26% | -10.23% | 1.67% | -16.59% | 12.73% | -0.36% | 3.44% | -16.15% | 14.76% | -15.85% | 9.8% | -6.89% | 14.07% | 2.15% | -2.31% | 39.91% | 21.46% | 9.1% | 9.53% | 4.06% | 23.83% |
| Cost of Goods Sold | 769.6M | 784.5M | 762.2M | 841.1M | 822.3M | 727M | 812.5M | 836M | 786M | 853.2M | 801.2M | 806.4M | 907.4M | 896.1M | 1.06B | 946M | 919.3M | 929.5M | 1.12B | 956.9M | 1.17B | 1.03B | 1.09B | 882.1M | 852.1M | 938.1M | 631M | 509.9M | 493.6M | 490.6M | 436.6M |
| COGS % of Revenue | - | 48.26% | 47.95% | 49.36% | 50.05% | 55.91% | 54.64% | 50.55% | 48.27% | 48.99% | 47.9% | 49.3% | 49.79% | 49.99% | 49.24% | 49.63% | 48.06% | 50.26% | 50.7% | 49.79% | 51.04% | 49.69% | 48.65% | 45.04% | 44.45% | 47.81% | 44.99% | 44.16% | 46.64% | 50.77% | 47.02% |
| Gross Profit | 844.5M | 841M | 827.5M | 862.9M | 820.6M | 573.3M | 674.6M | 817.9M | 842.4M | 888.4M | 871.6M | 829.4M | 914.9M | 896.3M | 1.09B | 960.1M | 993.6M | 919.8M | 1.09B | 965M | 1.12B | 1.05B | 1.15B | 1.08B | 1.06B | 1.02B | 771.5M | 644.8M | 564.8M | 475.7M | 492M |
| Gross Margin % | 52.32% | 51.74% | 52.05% | 50.64% | 49.95% | 44.09% | 45.36% | 49.45% | 51.73% | 51.01% | 52.1% | 50.7% | 50.21% | 50.01% | 50.76% | 50.37% | 51.94% | 49.74% | 49.3% | 50.21% | 48.96% | 50.31% | 51.35% | 54.96% | 55.55% | 52.19% | 55.01% | 55.84% | 53.36% | 49.23% | 52.98% |
| Gross Profit Growth % | - | 1.63% | -4.1% | 5.15% | 43.14% | -15.02% | -17.52% | -2.91% | -5.18% | 1.93% | 5.09% | -9.35% | 2.08% | -17.83% | 13.61% | -3.37% | 8.02% | -15.41% | 12.67% | -13.69% | 6.86% | -8.78% | 6.58% | 1.06% | 3.97% | 32.75% | 19.65% | 14.16% | 18.73% | -3.31% | 18.7% |
| Operating Expenses | 814.1M | 819.7M | 794M | 757M | 712.1M | 539.9M | 709.1M | 779.5M | 770.9M | 798.8M | 779.2M | 773.4M | 812.5M | 811.5M | 882.6M | 844.9M | 812.9M | 805.9M | 880.6M | 819.4M | 972.7M | 907.6M | 1.03B | 957.5M | 880.2M | 925.5M | 664M | 566.9M | 505.2M | 458M | 409.9M |
| OpEx % of Revenue | - | 50.43% | 49.95% | 44.42% | 43.34% | 41.52% | 47.68% | 47.13% | 47.34% | 45.87% | 46.58% | 47.28% | 44.59% | 45.27% | 41.07% | 44.33% | 42.5% | 43.58% | 39.93% | 42.63% | 42.59% | 43.64% | 46.2% | 48.89% | 45.92% | 47.16% | 47.34% | 49.09% | 47.73% | 47.4% | 44.14% |
| Selling, General & Admin | 621.3M | 819.7M | 794M | 757M | 712.1M | 539.9M | 709.1M | 779.5M | 770.9M | 798.8M | 779.2M | 773.4M | 812.5M | 811.5M | 882.6M | 831.3M | 812.9M | 805.9M | 880.6M | 819.4M | 972.7M | 907.6M | 975.2M | 898.6M | 842.4M | 883.1M | 592.6M | 493.3M | 440.3M | 399.6M | 367.4M |
| SG&A % of Revenue | - | 50.43% | 49.95% | 44.42% | 43.34% | 41.52% | 47.68% | 47.13% | 47.34% | 45.87% | 46.58% | 47.28% | 44.59% | 45.27% | 41.07% | 43.61% | 42.5% | 43.58% | 39.93% | 42.63% | 42.59% | 43.64% | 43.66% | 45.89% | 43.94% | 45% | 42.25% | 42.72% | 41.6% | 41.35% | 39.56% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 4.6M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | 0.28% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 1000K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -13.6M | 0 | 0 | 0 | 0 | 0 | 0 | 56.8M | 58.9M | 37.8M | 42.4M | 71.4M | 73.6M | 64.9M | 58.4M | 42.5M |
| Operating Income | 30.4M | 21.3M | 14.5M | 105.9M | 108.5M | 33.4M | -34.5M | 38.4M | 71.5M | 89.6M | 92.4M | 56M | 102.4M | 84.8M | 208.2M | 115.2M | 180.7M | 113.9M | 206.7M | 145.6M | 145.4M | 138.7M | 115M | 118.7M | 184.7M | 98.7M | 107.5M | 77.9M | 59.6M | 17.7M | 82.1M |
| Operating Margin % | 1.88% | 1.31% | 0.91% | 6.21% | 6.6% | 2.57% | -2.32% | 2.32% | 4.39% | 5.14% | 5.52% | 3.42% | 5.62% | 4.73% | 9.69% | 6.04% | 9.45% | 6.16% | 9.37% | 7.58% | 6.37% | 6.67% | 5.15% | 6.06% | 9.63% | 5.03% | 7.66% | 6.75% | 5.63% | 1.83% | 8.84% |
| Operating Income Growth % | - | 46.9% | -86.31% | -2.4% | 224.85% | 196.81% | -189.84% | -46.29% | -20.2% | -3.03% | 65% | -45.31% | 20.75% | -59.27% | 80.73% | -36.25% | 58.65% | -44.9% | 41.96% | 0.14% | 4.83% | 20.61% | -3.12% | -35.73% | 87.13% | -8.19% | 38% | 30.7% | 236.72% | -78.44% | 21.27% |
| EBITDA | 110.8M | 131.6M | 107.7M | 195.6M | 191.7M | 119.3M | 55.7M | 120.1M | 137.5M | 151.6M | 157.7M | 133.9M | 225M | 203M | 333.1M | 226.4M | 291.2M | 219.4M | 317.5M | 266M | 279M | 269.5M | 247.6M | 225.8M | 271.5M | 209.9M | 178.9M | 151.5M | 124.5M | 76.1M | 124.6M |
| EBITDA Margin % | 6.86% | 8.1% | 6.77% | 11.48% | 11.67% | 9.17% | 3.75% | 7.26% | 8.44% | 8.7% | 9.43% | 8.19% | 12.35% | 11.33% | 15.5% | 11.88% | 15.22% | 11.86% | 14.4% | 13.84% | 12.22% | 12.96% | 11.08% | 11.53% | 14.16% | 10.7% | 12.76% | 13.12% | 11.76% | 7.88% | 13.42% |
| EBITDA Growth % | 1.47% | 22.19% | -44.94% | 2.03% | 60.69% | 114.18% | -53.62% | -12.65% | -9.3% | -3.87% | 17.77% | -40.49% | 10.84% | -39.06% | 47.13% | -22.25% | 32.73% | -30.9% | 19.36% | -4.66% | 3.52% | 8.84% | 9.65% | -16.83% | 29.35% | 17.33% | 18.09% | 21.69% | 63.6% | -38.92% | 35.88% |
| D&A (Non-Cash Add-back) | 80.4M | 110.3M | 93.2M | 89.7M | 83.2M | 85.9M | 90.2M | 81.7M | 66M | 62M | 65.3M | 77.9M | 122.6M | 118.2M | 124.9M | 111.2M | 110.5M | 105.5M | 110.8M | 120.4M | 133.6M | 130.8M | 132.6M | 107.1M | 86.8M | 111.2M | 71.4M | 73.6M | 64.9M | 58.4M | 42.5M |
| EBIT | 14.7M | 16.9M | 18.1M | 113.8M | 92.6M | -12M | -86.7M | 28.2M | 500K | 90.3M | 70.9M | 33.7M | 57.9M | 69.1M | 187.2M | 98.2M | 129.4M | 58.8M | 212.4M | 151.2M | 146M | 135.9M | 121.2M | 125.9M | 184.7M | 98.7M | 99M | 77.9M | 59.6M | 17.7M | 82.1M |
| Net Interest Income | -14.6M | -16M | 2.7M | 5.8M | -2.4M | -5.8M | 100K | 3.4M | 1.1M | -1M | -1.1M | -3.5M | -6.9M | -14.5M | -15.5M | -15.6M | -16.2M | -23M | -29.8M | -30.9M | -31.7M | -35.2M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 2.2M | 4.6M | 7.2M | 500K | 400K | 3.1M | 5.6M | 3.1M | 1.4M | 1.1M | 300K | 600K | 1.2M | 1M | 1.5M | 1.6M | 1.2M | 3.1M | 2.6M | 3.5M | 1M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 14.6M | 18.2M | 1.9M | 1.4M | 2.9M | 6.2M | 3M | 2.2M | 2M | 2.4M | 2.2M | 3.8M | 7.5M | 15.7M | 16.5M | 17.1M | 17.8M | 24.2M | 32.9M | 33.5M | 35.2M | 36.2M | 32.5M | 31.5M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | 89.2M | -22.6M | 1.7M | 6.1M | -18.8M | 4.5M | -55.2M | -12.4M | -73M | -1.7M | -23.7M | -26.1M | -52M | -31.4M | -37.5M | -34.1M | -69.1M | -79.3M | -27.2M | -27.9M | -37.8M | -39M | -31.6M | -35.4M | -31.4M | -41.6M | -18.6M | -19M | -21.5M | -16.7M | -35.4M |
| Pretax Income | 119.6M | -1.3M | 16.2M | 112.4M | 89.7M | -18.2M | -89.7M | 26M | -1.5M | 87.9M | 68.7M | 29.9M | 50.4M | 53.4M | 170.7M | 81.1M | 111.6M | 34.6M | 179.5M | 117.7M | 107.6M | 99.7M | 90.5M | 90.1M | 153.3M | 57.1M | 80.4M | 58.9M | 38.1M | 1M | 46.7M |
| Pretax Margin % | 7.41% | -0.08% | 1.02% | 6.6% | 5.46% | -1.4% | -6.03% | 1.57% | -0.09% | 5.05% | 4.11% | 1.83% | 2.77% | 2.98% | 7.94% | 4.25% | 5.83% | 1.87% | 8.14% | 6.12% | 4.71% | 4.79% | 4.05% | 4.6% | 8% | 2.91% | 5.73% | 5.1% | 3.6% | 0.1% | 5.03% |
| Income Tax | 56.9M | 600K | 4.1M | 25.9M | 8.7M | -7.3M | -46M | 10.4M | 3.5M | 35.4M | 24.7M | 14.4M | 6.1M | 17.6M | 62M | 37.5M | 52.9M | 68.9M | 68.9M | 34.7M | 39M | 35.4M | 32.1M | 31.5M | 54.6M | 20.8M | 29M | 22.1M | 14.5M | 600K | 14.8M |
| Effective Tax Rate % | 47.58% | -46.15% | 25.31% | 23.04% | 9.7% | 40.11% | 51.28% | 40% | -233.33% | 40.27% | 35.95% | 48.16% | 12.1% | 32.96% | 36.32% | 46.24% | 47.4% | 199.13% | 38.38% | 29.48% | 36.25% | 35.51% | 35.47% | 34.96% | 35.62% | 36.43% | 36.07% | 37.52% | 38.06% | 60% | 31.69% |
| Net Income | 62.7M | -1.9M | 12.1M | 86.3M | 80.9M | -11M | -43.8M | 15.6M | -5M | 52.2M | 43.3M | 294.5M | 44.4M | 31.1M | 101.9M | 39.4M | 56.1M | -14.3M | -17.2M | 60.9M | 68.6M | 64.3M | 58.4M | 58.6M | 93.5M | 36.3M | 51.4M | 36.8M | 23.6M | 400K | 31.9M |
| Net Margin % | 3.88% | -0.12% | 0.76% | 5.06% | 4.92% | -0.85% | -2.95% | 0.94% | -0.31% | 3% | 2.59% | 18% | 2.44% | 1.74% | 4.74% | 2.07% | 2.93% | -0.77% | -0.78% | 3.17% | 3% | 3.09% | 2.61% | 2.99% | 4.88% | 1.85% | 3.66% | 3.19% | 2.23% | 0.04% | 3.44% |
| Net Income Growth % | 237.1% | -115.7% | -85.98% | 6.67% | 835.45% | 74.89% | -380.77% | 412% | -109.58% | 20.55% | -85.3% | 563.29% | 42.77% | -69.48% | 158.63% | -29.77% | 492.31% | 16.86% | -128.24% | -11.22% | 6.69% | 10.1% | -0.34% | -37.33% | 157.58% | -29.38% | 39.67% | 55.93% | 5800% | -98.75% | -17.36% |
| Net Income (Continuing) | 62.7M | -1.9M | 12.1M | 86.5M | 81M | -10.9M | -43.7M | 15.6M | -5M | 52.5M | 44M | 15.5M | 44.3M | 35.8M | 108.7M | 43.6M | 58.7M | 13.2M | 110.6M | 75.1M | 68.6M | 64.3M | 57.8M | 58.8M | 98.7M | 36.3M | 51.4M | 36.8M | 23.6M | 400K | 31.9M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -200K | -600K | 279.1M | 100K | -4.7M | -6.3M | -4.2M | -2.6M | -27.5M | -127.8M | -14.2M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 1.6M | 1.4M | 1.5M | 1.4M | 1.3M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 2.43 | -0.07 | 0.40 | 2.49 | 2.27 | -0.32 | -1.26 | 0.44 | -0.14 | 1.47 | 1.16 | 8.80 | 1.36 | 0.95 | 3.21 | 1.16 | 1.52 | -0.44 | -0.44 | 1.42 | 1.63 | 0.08 | 1.44 | 1.46 | 2.31 | 0.94 | 1.48 | 1.10 | 0.73 | 0.01 | 0.99 |
| EPS Growth % | 291.67% | -117.2% | -83.94% | 9.69% | 809.38% | 74.6% | -386.36% | 414.29% | -109.52% | 26.72% | -86.82% | 547.06% | 43.16% | -70.41% | 176.72% | -23.68% | 445.45% | 0% | -130.99% | -12.88% | 1937.5% | -94.44% | -1.37% | -36.8% | 145.74% | -36.49% | 34.55% | 50.68% | 7200% | -98.99% | -16.81% |
| EPS (Basic) | - | -0.07 | 0.41 | 2.55 | 2.34 | -0.32 | -1.26 | 0.44 | -0.14 | 1.51 | 1.18 | 9.00 | 1.39 | 0.97 | 3.27 | 1.18 | 1.54 | -0.44 | -0.44 | 1.43 | 1.65 | 0.08 | 1.47 | 1.50 | 2.46 | 0.97 | 1.54 | 1.13 | 0.73 | 0.01 | 0.99 |
| Diluted Shares Outstanding | 25.8M | 27.63M | 30.4M | 34.7M | 35.6M | 34.3M | 34.6M | 35.8M | 35M | 35.43M | 34.9M | 33.39M | 32.53M | 32.4M | 31.7M | 33.6M | 36.8M | 39.2M | 39.2M | 43M | 42.2M | 40.8M | 40.1M | 40.27M | 40.48M | 38.62M | 34.73M | 33.45M | 32.33M | 32.8M | 32.22M |
| Basic Shares Outstanding | 25.4M | 27.63M | 29.6M | 33.8M | 34.5M | 34.3M | 34.6M | 35.2M | 35M | 34.69M | 34.09M | 32.69M | 31.98M | 31.8M | 31.2M | 33.1M | 36.5M | 38.7M | 38.7M | 42.5M | 41.6M | 40M | 39.4M | 39.2M | 38.01M | 37.42M | 33.38M | 32.71M | 32.33M | 32.8M | 32.22M |
| Dividend Payout Ratio | - | - | 204.13% | 29.66% | 25.59% | - | - | 135.26% | - | 39.85% | 47.34% | 6.69% | 40.09% | 51.13% | 12.95% | 27.41% | 19.43% | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Seasonal Revenue Volatility
According to recent financial disclosures, Scholastic's revenue trajectory remains heavily tethered to the academic calendar, with quarterly growth rates fluctuating between a 10.1% decline and a 7.0% increase, reflecting the inherent seasonality of the company's core book fair and educational distribution business model.
The revenue data highlights a persistent struggle to achieve consistent top-line expansion, as the business relies on the timing of school-based events. Investors should monitor whether the recent stabilization in fair counts can overcome the broader headwinds facing domestic educational spending.
As reported in quarterly filings, Scholastic maintains gross margins that swing significantly from 38.0% in off-peak quarters to 56.3% during peak periods, illustrating the high fixed-cost nature of its physical distribution network and the impact of seasonal volume on unit cost absorption.
The wide variance in gross margins suggests that the company's profitability is highly sensitive to the volume of books moved through its proprietary logistics network. The inability to maintain high margins during lower-volume quarters indicates that fixed logistical costs remain a significant drag on overall efficiency.
Based on the provided income statements, Scholastic's operating leverage appears limited, as evidenced by operating margins that frequently dip into negative territory during off-peak quarters, despite gross margins often exceeding 50% during the company's most active school-year periods.
The data suggests that SG&A expenses are not scaling efficiently with revenue, preventing the company from converting gross profit into meaningful operating income. This lack of operating leverage warrants further investigation into whether the current administrative overhead is sustainable given the company's seasonal revenue profile.
Analysis of recent income statements reveals that net income is frequently distorted by seasonal fluctuations and non-operating items, with EPS volatility ranging from a loss of $2.83 to a gain of $2.42, complicating the assessment of underlying core profitability.
The significant swings in net income suggest that investors should focus on normalized annual performance rather than quarterly results. The presence of stock-based compensation and potential one-time adjustments further obscures the true cash-generating capability of the business.
As indicated by the company's financial history, the persistent thinness of operating margins, which reached a low of -40.6% in 2026Q1, suggests that the business model may be vulnerable to inflationary pressures in labor and transportation that are difficult to pass on to school districts.
Short-term observers may argue that the reliance on physical book fairs is an outdated model facing long-term margin compression from digital substitution. The company's struggle to maintain positive operating margins outside of peak seasons suggests that the cost structure may require a more fundamental transformation.
Quick answers to the most common questions about buying SCHL stock.
For fiscal year 2025, Scholastic Corporation (SCHL) reported total revenue of $1.63B. This represents a 75.0% increase compared to $928.6M in 1996.
Scholastic Corporation (SCHL) reported a net loss of $1.9M for the fiscal year ending 2025.
Scholastic Corporation (SCHL) reported an operating income of $21.3M, resulting in an operating profit margin of 1.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Scholastic Corporation (SCHL) generated $841.0M in gross profit for the year, representing a gross profit margin of 51.7%. This demonstrates the company's core pricing power and production efficiency.