Mon, Jul 8, 7:25 PM (61 days ago)
Franklin Covey Co. reported a slight revenue increase to $73.4 million for Q3 FY2024, up from $71.4 million in Q3 FY2023. The Enterprise Division saw a slight decline in revenue to $52.0 million, while the Education Division experienced an 18% increase to $20.1 million. The company's gross profit rose to $56.2 million with a gross margin of 76.6%. Operating expenses saw a minor increase due to restructuring costs. Net income improved by 25% to $5.7 million, and Adjusted EBITDA rose by 17% to $13.9 million. Cash flows from operating activities surged to $38.4 million, driven by strong collections and lower payments. The company also repurchased $25.8 million in common stock. Liquidity remains strong with nearly $100 million available, including $36.6 million in cash and an undrawn $62.5 million line of credit. Future growth is expected to be supported by robust subscription revenue and deferred subscription revenue balances.