- John Wiley & Sons (JW.A) has traded lower all day and is slipping into the close, -2.4% after fiscal Q3 revenues missed expectations by about 2.5%.
- Adjusted EPS grew 6% (9% in constant currency), boosted by higher margins.
- Revenue by segment: Research, $246.5M (-1%); Professional Development, $108.6M (+15%); Education, $110.9M (+4%).
- Declines in book sales were offset by growth in research journals (up 5%) and Education Services-Deltak (up 20%). Revenue was boosted by 2014 acquisitions; organic revenue, excluding contributions from CrossKnowledge and Profiles International, was flat Y/Y.
- Free cash flow through the first nine months was $80M vs. $84.6M the prior year. After buying 350K shares in Q3 ($20.4M), Wiley has 2.2M shares left in its buyback authorization.
- With President and CEO Stephen Smith on medical leave, the executive team will report to new COO Mark Allin.
- The company reaffirmed its 2015 guidance for mid-single-digit revenue growth and adjusted EPS of $3.25-$3.35, in line with expectations.
- Press release