Overview

* Franklin Covey ( FC ) Q3 fiscal 2025 revenue misses analyst expectations, per LSEG data

* Adjusted EBITDA for Q3 fiscal 2025 beats guidance, per LSEG data

* Company repurchased $8.3 mln worth of its common stock, maintaining strong liquidity

Outlook

* Franklin Covey ( FC ) updates fiscal 2025 revenue guidance to $265 mln-$275 mln on a constant currency basis

* Company sees fiscal 2025 adjusted EBITDA at $28 mln-$33 mln on a constant currency basis

* Uncertainty impacting clients' decision-making and timing risk for services

* Franklin Covey ( FC ) expects significant growth in fiscal 2026 adjusted EBITDA

Result Drivers

* MACROECONOMIC UNCERTAINTIES - Revenue decline in Enterprise Division attributed to macroeconomic uncertainties and geopolitical trade tensions

* EDUCATION MATERIALS - Decrease in Education Division revenue due to lower materials sales compared to a strong prior year

* RESTRUCTURING COSTS - Net loss includes $4.7 million in restructuring charges as part of go-to-market transformation

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Sales Miss $67.12 $67.50

mln mln (4

Analysts

)

Q3 Net -$1.41

Income mln

Q3 Beat $7.31 $4.52

Adjusted mln mln (4

EBITDA Analysts

)

Q3 Miss -$2.13 -$603,00

Pretax mln 0 (3

Profit Analysts

)

Q3 Gross $51.32

Profit mln

Q3 -$2.20

Income mln

From

Operatio

ns

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the professional & business education peer group is "buy"

* Wall Street's median 12-month price target for Franklin Covey Co ( FC ) is $35.00

* The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 23 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)