Wiley sees flat revenue, profit dip in 2019 fiscal year

Wiley sees flat revenue, profit dip in 2019 fiscal year

Wiley has recorded revenue of $1.8bn (£1.42bn) for the 12 months to end April 2019, a 0.2% lift on last year’s figures. Operating income was down 3% at $224m (£176.2m).  

Adjusted results excluding the impact of Foreign Exchange and the impact from Wiley’s acquisition of education services company Learning House put revenue up 0.4% while operating income fell by 6%.

Taking the fourth quarter on its own, revenue rose 3% to $491m (£386.3m), with operating income up 10% to $80m (£62.9m).  

The company said its cash flow had been affected by timing-related changes in working capital performance, including journal subscription delays, but predicted revenue growth accelerating in the 2020, 2021 and 2023 fiscal years.

President and c.e.o. Brian Napack commented: “We achieved our targets for revenue and earnings and are seeing good growth in strategic areas such as Research Open Access publishing, Education Services, Test Preparation and Certification, and corporate training.”

Wiley said its transformation to digital continued during the year, with digital products and tech-enabled services now accounting for 75% of its total revenue. The acquisition of Learning House “strengthens Wiley’s leadership position in the rapidly-growing education services market for universities and corporations,” it said.

Segment figures for the year show Publishing revenue down 7% (6% at constant currency) to £574.2m (£451.8m), with Education the highest faller at 16%; Research revenue, including journal subscriptions, Open Access, and Licensing and Publishing Technology Services (Atypon), flat at 0% (up 3% at constant currency), on $937.3m (£737.2m), with a 2% fall in journal subscription revenue partly offset by a 30% rise from revenue in Open Access; and the Solutions division, including Education Services and Professional Assessment, up 18% (19% at constant currency) to $288.6m (£227m).

Napack said Research had delivered good growth and momentum, with Wiley "leading the industry" with innovative 'pay to publish' partnerships, and rapid growth in Open Access.