Barnes & Noble Education Reports Third Quarter Fiscal Year 2025 Financial Results
Barnes & Noble Education (NYSE: BNED) reported strong Q3 FY2025 financial results, with total revenue increasing 2.1% to $466.3 million. The company's BNC First Day® program showed significant growth, with revenues up 20.8% year-over-year to $222 million. Gross comparable store sales grew 6.6%.
The company reported net income of $7.1 million ($0.23 per share), compared to a loss of $(9.9) million in the previous year. Adjusted EBITDA improved by 29.8% to $27.4 million. First Day® Complete expanded to 191 campus stores, serving approximately 957,000 students, an 18.9% increase from the prior year.
The company strengthened its balance sheet through two $40 million At-the-Market equity offerings, reducing total debt to $141.2 million from $254.3 million year-over-year. Net working capital improved to positive $223.3 million from $(86.0) million last year.
Barnes & Noble Education (NYSE: BNED) ha riportato risultati finanziari solidi per il terzo trimestre dell'anno fiscale 2025, con un aumento del fatturato totale del 2,1% a 466,3 milioni di dollari. Il programma BNC First Day® ha mostrato una crescita significativa, con ricavi in aumento del 20,8% rispetto all'anno precedente, raggiungendo i 222 milioni di dollari. Le vendite lorde comparabili nei negozi sono cresciute del 6,6%.
L'azienda ha riportato un utile netto di 7,1 milioni di dollari (0,23 dollari per azione), rispetto a una perdita di 9,9 milioni di dollari nell'anno precedente. L'EBITDA rettificato è migliorato del 29,8% a 27,4 milioni di dollari. Il programma First Day® Complete si è espanso a 191 negozi universitari, servendo circa 957.000 studenti, un aumento del 18,9% rispetto all'anno scorso.
L'azienda ha rafforzato il suo bilancio attraverso due offerte di equity At-the-Market da 40 milioni di dollari, riducendo il debito totale a 141,2 milioni di dollari rispetto ai 254,3 milioni di dollari dell'anno precedente. Il capitale circolante netto è migliorato a 223,3 milioni di dollari positivi rispetto ai 86,0 milioni di dollari negativi dell'anno scorso.
Barnes & Noble Education (NYSE: BNED) reportó resultados financieros sólidos para el tercer trimestre del año fiscal 2025, con un aumento del 2,1% en los ingresos totales, alcanzando los 466,3 millones de dólares. El programa BNC First Day® mostró un crecimiento significativo, con ingresos que aumentaron un 20,8% en comparación con el año anterior, alcanzando los 222 millones de dólares. Las ventas brutas comparables en las tiendas crecieron un 6,6%.
La compañía reportó una ganancia neta de 7,1 millones de dólares (0,23 dólares por acción), en comparación con una pérdida de 9,9 millones de dólares en el año anterior. El EBITDA ajustado mejoró en un 29,8% a 27,4 millones de dólares. El programa First Day® Complete se expandió a 191 tiendas en campus, atendiendo a aproximadamente 957,000 estudiantes, un aumento del 18,9% respecto al año anterior.
La empresa fortaleció su balance a través de dos ofertas de capital social At-the-Market de 40 millones de dólares, reduciendo la deuda total a 141,2 millones de dólares desde 254,3 millones de dólares en comparación con el año anterior. El capital de trabajo neto mejoró a 223,3 millones de dólares positivos desde 86,0 millones de dólares negativos el año pasado.
반스 앤 노블 교육 (NYSE: BNED)는 2025 회계연도 3분기 재무 결과를 발표했으며, 총 수익이 2.1% 증가하여 4억 6,630만 달러에 달했습니다. 회사의 BNC First Day® 프로그램은 연간 20.8% 증가하여 2억 2,200만 달러의 수익을 기록하며 상당한 성장을 보였습니다. 매장 비교 매출은 6.6% 증가했습니다.
회사는 710만 달러(주당 0.23달러)의 순이익을 보고했으며, 이는 전년 대비 990만 달러의 손실에서 개선된 수치입니다. 조정된 EBITDA는 29.8% 개선되어 2,740만 달러에 달했습니다. First Day® Complete는 191개의 캠퍼스 매장으로 확대되어 약 957,000명의 학생에게 서비스를 제공하며, 이는 전년 대비 18.9% 증가한 수치입니다.
회사는 두 차례의 4천만 달러 규모의 At-the-Market 자본 공모를 통해 재무 상태를 강화하며, 총 부채를 2억 8,500만 달러에서 1억 4,120만 달러로 줄였습니다. 순운전 자본은 지난해의 -8,600만 달러에서 2억 2,330만 달러로 개선되었습니다.
Barnes & Noble Education (NYSE: BNED) a annoncé des résultats financiers solides pour le troisième trimestre de l'exercice 2025, avec une augmentation des revenus totaux de 2,1 % à 466,3 millions de dollars. Le programme BNC First Day® a montré une croissance significative, avec des revenus en hausse de 20,8 % par rapport à l'année précédente, atteignant 222 millions de dollars. Les ventes brutes comparables en magasin ont augmenté de 6,6 %.
L'entreprise a annoncé un bénéfice net de 7,1 millions de dollars (0,23 dollar par action), contre une perte de 9,9 millions de dollars l'année précédente. L'EBITDA ajusté a augmenté de 29,8 % pour atteindre 27,4 millions de dollars. Le programme First Day® Complete s'est étendu à 191 magasins de campus, servant environ 957 000 étudiants, soit une augmentation de 18,9 % par rapport à l'année précédente.
L'entreprise a renforcé son bilan grâce à deux offres de capitaux propres At-the-Market de 40 millions de dollars, réduisant la dette totale à 141,2 millions de dollars contre 254,3 millions de dollars l'année précédente. Le fonds de roulement net s'est amélioré pour atteindre 223,3 millions de dollars positifs, contre -86,0 millions de dollars l'année dernière.
Barnes & Noble Education (NYSE: BNED) hat starke Finanzzahlen für das dritte Quartal des Geschäftsjahres 2025 gemeldet, mit einem Anstieg des Gesamtumsatzes um 2,1% auf 466,3 Millionen Dollar. Das BNC First Day® Programm zeigte ein signifikantes Wachstum, wobei die Einnahmen im Jahresvergleich um 20,8% auf 222 Millionen Dollar stiegen. Die Bruttoumsätze in vergleichbaren Geschäften wuchsen um 6,6%.
Das Unternehmen berichtete von einem Nettogewinn von 7,1 Millionen Dollar (0,23 Dollar pro Aktie), verglichen mit einem Verlust von 9,9 Millionen Dollar im Vorjahr. Das bereinigte EBITDA verbesserte sich um 29,8% auf 27,4 Millionen Dollar. First Day® Complete erweiterte sich auf 191 Campusgeschäfte und bediente etwa 957.000 Studenten, was einem Anstieg von 18,9% im Vergleich zum Vorjahr entspricht.
Das Unternehmen stärkte seine Bilanz durch zwei At-the-Market Aktienangebote über 40 Millionen Dollar und reduzierte die Gesamtschulden von 254,3 Millionen Dollar auf 141,2 Millionen Dollar im Jahresvergleich. Das Nettoumlaufvermögen verbesserte sich von -86,0 Millionen Dollar im letzten Jahr auf positive 223,3 Millionen Dollar.
- Revenue increased 2.1% to $466.3 million in Q3
- BNC First Day® program revenues grew 20.8% YOY
- Net income improved by $17 million to $7.1 million
- Adjusted EBITDA increased 29.8% to $27.4 million
- Gross comparable store sales grew 6.6%
- Total debt reduced by $113.1 million year-over-year
- Net working capital improved to positive $223.3 million from $(86.0) million
- Year-to-date net loss increased to $(42.6) million from $(35.0) million
- One-time non-cash tax provision of $10.7 million due to accounting change
- Year-to-date revenue remained flat at $1.3 billion
Insights
Barnes & Noble Education's Q3 FY2025 results demonstrate significant financial improvement across key metrics. The company reported $466.3 million in quarterly revenue, up 2.1% year-over-year, with comparable store sales increasing 6.6%. The standout performance came from the BNC First Day® program, which grew 20.8% to $222 million and now serves 957,000 students across 191 campus stores.
The company's profitability metrics showed substantial improvement, with Q3 net income of $7.1 million ($0.23 per share) compared to a $9.9 million loss in the prior year. Adjusted EBITDA increased 29.8% to $27.4 million, reflecting enhanced operational efficiency through cost-saving initiatives and store optimization. The quarter's results included a one-time $7.6 million restructuring gain and a one-time $10.7 million tax provision.
The most dramatic improvement appears on the balance sheet, where BNED has reduced total debt from $254.3 million to $141.2 million year-over-year while transforming working capital from negative $86 million to positive $223.3 million. This financial restructuring was bolstered by two completed $40 million At-the-Market offerings, raising a total of $80 million.
While year-to-date results show a net loss of $42.6 million (compared to $35.0 million last year), this includes a $55.2 million non-cash loss related to debt extinguishment - essentially the accounting cost of improving the balance sheet. Year-to-date Adjusted EBITDA has improved 57.0% to $72.7 million, suggesting stronger underlying operational performance.
The company's expansion continues with new campus stores at Syracuse University and North Carolina A&T, plus commitments for additional locations. Management's outlook suggests free cash flow generation beginning in the next fiscal year as the company completes what it describes as a "transitory adjustment" period focused on balance sheet strengthening.
BNC First Day® Program Revenues Increased
Total Revenue Growth of
Net Income Improves by
Adjusted EBITDA Improves by
BASKING RIDGE, N.J., March 10, 2025 (GLOBE NEWSWIRE) -- Barnes & Noble Education, Inc. (NYSE: BNED), (“Barnes & Noble Education,” “BNED,” the “Company,” “we,” “us,” “our”), a leading solutions provider for the education industry, today reported sales and earnings for the third quarter ended on January 25, 2025 (“Q3”). The following figures are GAAP results from continuing operations on a consolidated basis, unless noted otherwise. Note that Adjusted EBITDA is a non-GAAP calculation. Full quarterly financial tables and a reconciliation of non-GAAP measures to the most applicable GAAP measures can be found in Exhibit 99.2 to the Company’s Current Report on Form 8-K filed with the SEC on the date of this release.
Barnes & Noble Education’s business is highly seasonal, with the major portion of sales and operating profit realized during the second and third fiscal quarters.
Q3 and YTD FY2025 Financial Results
Third quarter revenue increased by
Revenues from BNC First Day® programs increased by
Net income for Q3 was
Year-to-date revenue was essentially flat at
Management Commentary
Barnes & Noble Education was pleased to open campus stores at Syracuse University and North Carolina Agricultural and Technical State University (N.C. A&T) during the third quarter and secure commitments to open stores at Georgia Southern University, Century College, the University of Indianapolis and Occidental College, among others.
Jonathan Shar, CEO, noted, “Our third quarter results reflect strong execution of our business transformation, with year-over-year revenue growth, improved comparable store sales, and strong growth in our BNC First Day® platform. Our improved balance sheet and focus on operational excellence have enhanced our ability to go above and beyond in serving our customers in a relevant and impactful way.
“We are pleased to see our earnings power continue to grow, reflecting expense discipline, revenue growth, and balance sheet improvements that meaningfully lower interest costs,” continued Mr. Shar. “We are also committed to strategic technology investments and continuously strengthening our unique offerings to better serve the higher education marketplace.”
Balance Sheet
The Company in Q3 completed two
Total debt at quarter end was
On January 10, 2025, the Company filed a mixed-use shelf offering for an aggregate initial offering price of up to
Outlook
Barnes & Noble Education is pleased with the significant improvements in year-to-date 2025 GAAP operating results and Adjusted EBITDA versus the prior year. As previously noted, the Company has also emphasized the reduction of its payables and current liabilities positions, which we believe further strengthens the balance sheet and strategic optionality but limits near-term operating free cash flow. Management believes that this is a transitory adjustment and is optimistic that the business is poised to generate free cash flow in its next fiscal year.
* Total undergraduate and graduate student enrollment as reported by National Center for Education Statistics (NCES) as of January 5, 2025.
Use of Non-GAAP Financial Information—Adjusted Earnings, Adjusted EBITDA, and Free Cash Flow
To supplement the Company’s condensed consolidated financial statements presented in accordance with generally accepted accounting principles (“GAAP”), the Company uses the financial measures of Adjusted Earnings, Adjusted EBITDA, and Free Cash Flow, which are non-GAAP financial measures under Securities and Exchange Commission (the “SEC”) regulations. We define Adjusted Earnings as net income (loss) from continuing operations adjusted for certain reconciling items that are subtracted from or added to net income (loss) from continuing operations. We define Adjusted EBITDA as net income (loss) from continuing operations plus (1) depreciation and amortization; (2) interest expense, net and (3) income taxes, (4) as adjusted for additional items that are subtracted from or added to net income (loss) from continuing operations. We define Free Cash Flow as Cash Flows from Operating Activities less (1) capital expenditures; (2) cash interest and (3) cash taxes.
These non-GAAP measures have been reconciled to the most comparable financial measures presented in accordance with GAAP as follows: the reconciliation of Adjusted Earnings to net income (loss); the reconciliation of consolidated Adjusted EBITDA to consolidated net income (loss); and the reconciliation of Free Cash Flow to Cash Flows from Operating Activities. All of the items included in the reconciliations are either (i) non-cash items or (ii) items that management does not consider in assessing our ongoing operating performance.
These non-GAAP financial measures are not intended as substitutes for and should not be considered superior to measures of financial performance prepared in accordance with GAAP. In addition, the Company’s use of these non-GAAP financial measures may be different from similarly named measures used by other companies, limiting their usefulness for comparison purposes.
We review these non-GAAP financial measures as internal measures to evaluate our performance at a consolidated level to manage our operations. We believe that these measures are useful performance measures which are used by us to facilitate a comparison of our on-going operating performance on a consistent basis from period-to-period. We believe that these non-GAAP financial measures provide for a more complete understanding of factors and trends affecting our business than measures under GAAP can provide alone, as they exclude certain items that management believes do not reflect the ordinary performance of our operations in a particular period. Our Board of Directors and management also use Adjusted EBITDA at a consolidated level as one of the primary methods for planning and forecasting expected performance, for evaluating on a quarterly and annual basis actual results against such expectations, and as a measure for performance incentive plans. We believe that the inclusion of Adjusted Earnings and Adjusted EBITDA results provides investors useful and important information regarding our operating results, in a manner that is consistent with management’s evaluation of business performance. We believe that Free Cash Flow provides useful additional information concerning cash flow available to meet future debt service obligations and working capital requirements and assists investors in their understanding of our operating profitability and liquidity as we manage the business to maximize margin and cash flow.
The Company urges investors to carefully review the GAAP financial information included as part of the Company’s Form 10-K dated April 27, 2024, filed with the SEC on July 1, 2024, (as updated through our Current Report on Form 8-K filed with the SEC on December 11, 2024). The Company also urges investors to carefully review the financial information included as part of the Company’s Quarterly Reports on Form 10-Q for the period ended July 27, 2024, filed with the SEC on September 10, 2024, and for the period ended October 26, 2024, filed with the SEC on December 9, 2024. We do not provide a reconciliation of forward-looking non-GAAP financial metrics because reconciling information is not available without an unreasonable effort, such as attempting to make assumptions that cannot reasonably be made on a forward-looking basis to determine the corresponding GAAP metric.
ABOUT BARNES & NOBLE EDUCATION, INC.
Barnes & Noble Education, Inc. (NYSE: BNED) is a leading solutions provider for the education industry, driving affordability, access, and achievement at hundreds of academic institutions nationwide and ensuring millions of students are equipped for success in the classroom and beyond. Through its family of brands, BNED offers campus retail services and academic solutions, wholesale capabilities, and more. BNED is a company serving all who work to elevate their lives through education, supporting students, faculty, and institutions as they make tomorrow a better and smarter world. For more information, visit www.bned.com.
Media & Investor Contact:
Rob Fink
FNK IR
BNED@fnkir.com
646-809-4048
Forward-Looking Statements
This press release contains certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and information relating to us and our business that are based on the beliefs of our management as well as assumptions made by and information currently available to our management. When used in this communication, the words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “plan,” “may,” “should,” “will,” “forecasts,” “projections,” “continue to,” “committed to,” and similar expressions, as they relate to us or our management, identify forward-looking statements. Actual results could differ materially from those projected in the forward-looking statements, and such statements include but are not limited to those related to our capital structure, optionality, positioning, strategic and operational objectives, anticipated growth in our BNC First Day program, future capital expenditures, investments, expected trends in financial results, including those related to seasonality, as well as forward-looking Adjusted EBITDA and operating free cash flow. We caution you not to place undue reliance on these forward-looking statements. Such statements reflect our current views with respect to future events, the outcome of which is subject to certain risks, including, but not limited to: the amount of our indebtedness and ability to comply with covenants contained in our credit agreement; our ability to maintain adequate liquidity levels to support ongoing inventory purchases and related vendor payments in a timely manner; slower than anticipated pace of adoption of our BNC First Day® equitable and inclusive access course material models; our dependency on strategic service provider relationships and the potential for adverse operational and financial changes to these strategic service provider relationships; non-renewal of our managed bookstore, physical and/or online store contracts; general competitive conditions; a decline in college enrollment or decreased funding available for students; technological changes, including the adoption of artificial intelligence technologies for educational content; disruptions to our information technology systems, infrastructure, data, supplier systems, and customer ordering and payment systems due to computer malware, viruses, hacking and phishing attacks; disruption of or interference with third party service providers and our own proprietary technology; and changes in applicable domestic and international laws, rules or regulations or changes in enforcement practices, including, without limitation, U.S. tax reform, changes in tax rates, tariffs, import and export control laws and regulations, changes to consumer data privacy rights legislation, as well as related guidance. Moreover, we operate in a very competitive and rapidly changing environment and new risks may emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. For a more detailed discussion of these factors, and other factors that could cause actual results to vary materially, interested parties should review the risk factors listed in the Company’s Annual Report on Form 10-K for the year ended April 27, 2024, filed with the SEC on July 1, 2024 (as updated through our Current Report on Form 8-K filed with the SEC on December 11, 2024). Any forward-looking statements made by us in this press release speak only as of the date of this press release, and we do not intend to update these forward-looking statements after the date of this press release, except as required by law.
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