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Pearson PLC
XMUN:PES

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Pearson PLC
XMUN:PES
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Price: 12.57 EUR -0.24%
Market Cap: €5.5B

Pearson PLC
Investor Relations

Pearson PLC makes educational content, testing services, and digital learning tools. It sells textbooks, online courses, assessment platforms, and exam services that help people learn, qualify, and prove their skills. Its main customers are schools, universities, teachers, students, employers, and professional bodies that need trusted learning and testing programs. The company earns money when institutions and learners buy its materials, license its software, or pay to take its tests and certifications. A lot of Pearson’s business now comes from digital subscriptions and online assessment rather than only printed books. That gives it a recurring, service-based revenue model tied to the education and training cycle. Pearson sits in a useful middle position in education: it does not just publish content, it also designs the systems that deliver learning and measure results. That makes it important to schools and employers that want one provider for course material, practice, and assessment. Its business is built around long-term use of branded content, trusted exams, and software that is hard for institutions to replace quickly.

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Last Earnings Call
Fiscal Period
Q2 2024
Call Date
Jul 29, 2024
AI Summary
Q2 2024

Sales & Profit: Pearson reported underlying sales excluding OPM up 2% and operating profit up 4% to GBP 250 million in the first half.

Cash Flow: Free cash flow rose by GBP 77 million, reflecting strong operating fundamentals and lower reorganization costs.

Dividends: Interim dividend increased by 6% to 7.4p, signaling confidence in full-year performance.

Guidance: Management confirmed that full-year sales, profit, tax, and interest guidance remains on track.

AI & Strategy: The company is ramping up investment in AI and digital products, with significant new features launching for the back-to-school season and a focus on higher-growth markets.

Segment Performance: English Language Learning grew 11%, Workforce Skills grew 6%, while Virtual Schools and Higher Ed declined but are expected to return to growth.

Market Focus: Pearson is prioritizing faster-growing segments worth $80 billion (with 5%+ growth) and expects mid-single-digit sales CAGR and at least 40 bps margin expansion per year beyond 2025.

Key Financials
Underlying Sales (excl. OPM)
up 2%
Operating Profit
GBP 250 million
Earnings Per Share
25.6p
Free Cash Flow
up GBP 77 million
Net Debt (June 2024)
GBP 1.2 billion
Interim Dividend
7.4p
Assessments and Qualifications Sales
up 2%
Virtual Learning Sales
down 8%
Virtual Schools
down 1%
Higher Education Sales
down 2%
Core Text Units (Higher Ed)
up 3%
US Digital Subscriptions (Higher Ed)
up 2%
Inclusive Access (Higher Ed)
up 25%
K-12 Growth (Higher Ed)
up 12%
Pearson Plus Registered Users
5 million
Pearson Plus Paid Subscriptions
1.1 million
English Language Learning Sales
up 11%
Workforce Skills Sales
up 6%
Earnings Call Recording
Other Earnings Calls

Management

Ms. Sally Kate Miranda Johnson
CFO & Executive Director
No Bio Available
Mr. Omar Paul Abbosh
CEO & Executive Director
No Bio Available
Mr. Dave Treat
Chief Technology Officer
No Bio Available
Ms. Marykay Wells
Chief Information Officer
No Bio Available
Ms. Joanne Russell
Senior Vice President of Investor Relations, Financial Communications & ESG
No Bio Available
Ms. Cinthia Nespoli
General Counsel
No Bio Available
Ms. Ginny Cartwright Ziegler
Chief Marketing Officer
No Bio Available
Ms. Allison P. Bebo
Chief Human Resources Officer
No Bio Available
Mr. Tim Bozik
President of Higher Education, Interim Chief Product Officer & Co-President of Direct to Consumer
No Bio Available
Mr. Albert Roger Hitchcock
Head of Telecom & Technology Partnerships
No Bio Available

Contacts

Address
London
Shell Mex House, 80 Strand
Contacts
+442070102000.0
www.pearson.com
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