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Wiley reported fourth quarter revenue growth of 8% to $436m, leading to full year growth of 5% to $1.7bn. The company also announced that it had signed an ebook agreement with Apple, and that it had full-year ebook sales of $7m, up 93% on last year.
William Pesce, president and c.e.o., said: "In a challenging environment, we gained market share; increased earnings; generated strong free cash flow; and reduced net debt by $224 million." He added: "While we are mindful of the volatility in markets around the world, we believe the ongoing shift to knowledge-based economies, the robust demand for outcomes-based learning, and investments in research and development bode well for Wiley."
Wiley's Professional/Trade division recorded full year revenue of $430m, up 7% on last year, or 6% on a currency neutral basis. North America exhibited the most growth followed by Europe, Middle East and Asia. Direct contribution to profit was up 12% to $100m, or 11% on a currency neutral basis. Business books advanced 20% in the quarter and 4% for the year, led by social media and quick-to-market books. Consumer book sales grew 17% in the quarter and 15% for the year.
Full year Scientific Technical Medical and Scholarly (STMS) revenue advanced 2% to $987m, but was essentially flat on a currency neutral basis. Excluding a transfer to Higher Education of books with sales of $4m, STMS book revenue increased 2% over prior year. Adjusted direct contribution to profit for the full year rose 5%, but was flat on a currency neutral basis. The adjusted number excludes $15m in restructuring and impairment charges, mostly due to the second quarter write-down related to GIT Verlag, a B2B German-language controlled circulation magazine business.
HE revenue was up 18% compared to prior year, or 15% on a currency neutral basis. Double-digit growth was experienced in all regions and in nearly every category. Direct contribution to profit in the full year increased 29%, or 25% on a currency neutral basis, primarily due to top-line growth and gross margin improvement.