Scholastic (NASDAQ:SCHL) Releases Quarterly Earnings Results, Beats Expectations By $0.03 EPS

Posted by Ethan Ryder on Jul 24th, 2026

Scholastic (NASDAQ:SCHL – Get Free Report) announced its quarterly earnings results on Thursday. The company reported $2.19 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.16 by $0.03, FiscalAI reports. Scholastic had a net margin of 3.88% and a return on equity of 2.47%. The company had revenue of $476.10 million for the quarter, compared to analysts’ expectations of $517.06 million. During the same quarter in the previous year, the company earned $0.59 earnings per share.

Here are the key takeaways from Scholastic’s conference call:

Scholastic delivered improved profitability in fiscal 2026 despite a 3% revenue decline, with adjusted operating income rising to $47.1 million and adjusted EBITDA up 4% to $151.5 million, reflecting operating leverage and disciplined cost control.
Book Fairs remained a standout growth engine, with fiscal 2026 revenue up 5% and more than 103,000 fairs held. Management said higher fair count, better revenue per fair, stronger eWallet adoption, and improved product mix should support further growth in fiscal 2027.
Education continued to face pressure from volatile school and district funding, with revenue down 14% for the year and profitability near breakeven. The company expects improvement in fiscal 2027, but management still sees the segment as dependent on a second-half stabilization.
Capital returns accelerated materially after sale-leaseback transactions generated over $400 million of net proceeds. Scholastic returned over $285 million to shareholders in fiscal 2026 and raised its quarterly dividend by 25% for fiscal 2027.
Management is guiding to fiscal 2027 growth, including 2%-4% revenue growth and $135 million-$145 million of adjusted EBITDA, with strength expected from book fairs, trade publishing, entertainment, and improving education trends.

Scholastic Trading Down 5.0%

SCHL stock traded down $2.31 on Friday, hitting $44.13. The company had a trading volume of 127,292 shares, compared to its average volume of 459,553. Scholastic has a 12-month low of $22.68 and a 12-month high of $48.07. The stock has a market cap of $959.56 million, a price-to-earnings ratio of 17.81, a P/E/G ratio of 1.48 and a beta of 0.99. The stock’s 50-day simple moving average is $43.72 and its 200 day simple moving average is $38.88.

Scholastic Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Monday, August 31st will be issued a dividend of $0.25 per share. The ex-dividend date of this dividend is Monday, August 31st. This is a positive change from Scholastic’s previous quarterly dividend of $0.20. This represents a $1.00 annualized dividend and a dividend yield of 2.3%. Scholastic’s dividend payout ratio is presently 32.26%.

Analysts Set New Price Targets

A number of research firms have weighed in on SCHL. Weiss Ratings reiterated a “hold (c+)” rating on shares of Scholastic in a report on Thursday, June 18th. Wall Street Zen cut Scholastic from a “buy” rating to a “hold” rating in a research note on Saturday, April 25th. Zacks Research lowered shares of Scholastic from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, May 19th. Finally, B. Riley Financial boosted their price target on Scholastic from $40.00 to $42.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 8th. Three investment analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $42.00.

Read Our Latest Report on SCHL

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. Tower Research Capital LLC TRC grew its position in Scholastic by 458.1% during the second quarter. Tower Research Capital LLC TRC now owns 3,159 shares of the company’s stock valued at $66,000 after buying an additional 2,593 shares during the period. BNP Paribas Financial Markets grew its position in shares of Scholastic by 127.4% during the 3rd quarter. BNP Paribas Financial Markets now owns 5,197 shares of the company’s stock valued at $142,000 after acquiring an additional 2,912 shares during the period. Bank of Montreal Can purchased a new stake in shares of Scholastic in the 4th quarter worth $211,000. State of Wyoming raised its holdings in Scholastic by 46.3% in the 4th quarter. State of Wyoming now owns 7,321 shares of the company’s stock worth $217,000 after purchasing an additional 2,317 shares during the period. Finally, Inceptionr LLC purchased a new position in Scholastic during the third quarter valued at $221,000. Institutional investors own 82.57% of the company’s stock.

Trending Headlines about Scholastic

Here are the key news stories impacting Scholastic this week:

Positive Sentiment: Scholastic raised its quarterly dividend by 25% to $0.25 per share, a shareholder-friendly move that signals confidence in cash generation and can support the stock. Scholastic Corporation Increases Quarterly Dividend by 25%
Positive Sentiment: The company beat fiscal Q4 EPS estimates, reporting $2.19 per share versus the $2.16 consensus, and said fiscal 2026 adjusted EBITDA rose 4% to $151.5 million. Scholastic Reports Fourth Quarter and Fiscal 2026 Results
Positive Sentiment: Management said fiscal 2027 is expected to return to revenue growth and deliver higher adjusted EBITDA on a comparable basis, which may improve investor sentiment around the turnaround story. Scholastic Reports Fourth Quarter and Fiscal 2026 Results
Neutral Sentiment: Q4 revenue came in at $476.1 million, below the $517.1 million consensus, so the earnings beat was partially offset by weaker sales. Scholastic earnings release and transcript
Neutral Sentiment: The company also updated FY2027 revenue guidance to about $1.6 billion, below the roughly $1.7 billion analyst expectation, which may limit upside from the report. Scholastic Reports Fourth Quarter and Fiscal 2026 Results

Scholastic Company Profile

(Get Free Report)

Scholastic Corporation (NASDAQ: SCHL) is a global company dedicated to children’s publishing, education technology and distribution services. The company’s core business encompasses three primary segments: Children’s Book Publishing and Distribution, Education Technology, and International operations. Through its publishing arm, Scholastic produces and distributes a wide range of children’s books, novels, nonfiction titles and classroom magazines under well-known imprints such as Scholastic Press, Graphix and Chicken House.