Scholastic Corporation · NASDAQ:SCHL
Scholastic — Stifel Nicolaus Investor Meeting (February 2020)
20 slides from Scholastic's conference presentation, Feb 5, 2020
Slide 1: Stifel Nicolaus Investor Meeting
Confidential ADD COVER IMAGE HERE Stifel Nicolaus Investor Meeting Wednesday, February 5, 2020 Art © Dav Pilkey. DOG MAN ™/® Dav Pilkey
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains certain forward-looking statements. Such forward-looking statements are subject to various risks and uncertainties, including the conditions of the children’s book and educational materials markets and acceptance of the Company’s products in thos
Slide 3: Investment Thesis
Investment Thesis Scholastic is the top children’s book publisher and distributor in the world. Children’s books seen as most stable and growing part of the market. Proprietary distribution channels to schools with clubs and fairs. New Scholastic Literacy comprehensive curriculum and compone
Slide 4: Investment Thesis
Investment Thesis Strong balance sheet with ≈ $250 million in cash and trivial amounts of debt outside the U.S. Valuable company‐owned real estate unencumbered by liens or other collateral arrangements. Scholastic 2020 process improvement and cost savings initiatives gaining traction. New en
Slide 5: Technology Transformation
Technology Transformation We are approaching five years since the start of our technology transformation program. Initial focus on front‐end and data systems, and then expanded to include digital education, Salesforce.com (CRM) and an ERP transformation program (International and North America).
Slide 6: Scholastic 2020 Operation Updates
Scholastic 2020 Operation Updates Overarching goal of driving sustainable operational efficiencies within Scholastic’s supply chain while improving service to the customer. Our shared services organization (NSO), book fairs operations, logistics and manufacturing have created a defined process t
Slide 7: Real Estate Review
Real Estate Review Multi‐year remodel and upgrade of NYC 555/557 Broadway headquarters is complete, effectively adding 17,500 sq. ft. of high value retail on the first floor and 23,000 sq. ft. of multi‐purpose / mixed use space on the second floor. Also added additional capacity (density) in the
Slide 8: Scholastic Trade Publishing Success
Scholastic Trade Publishing Success Very successful campaigns for key series and bestselling authors and continue to focus on top franchises including Dog Man, Captain Underpants, Wings of Fire, and I Survived, along with significant authors such as Raina Telgemeier, Alan Gratz and Pam Muñoz Ryan.
Slide 9: Hunger Games
Hunger Games The Ballad of Songbirds and Snakes will be published simultaneously in print, digital and audio formats by Scholastic in the US, Canada, the UK and Ireland, Australia, and New Zealand. Will be published May 19, 2020, with an announced World English first printing of 2.5 million copi
Slide 10: Scholastic Entertainment Strategy
Scholastic Entertainment Strategy Expanding our relationships with key studios in both live action and animation in an attempt to leverage our rich content, characters and other intellectual properties, especially through production studios in countries (e.g. Canada, Ireland) offering production t
Slide 11: Scholastic Book Fairs
Scholastic Book Fairs Sasha Quinton has been named Executive Vice President, Scholastic Corporation, and President, Scholastic Book Fairs effective January 1, 2020. The undisputed leader in its category, Scholastic Book Fairs distributes many millions of books to children and their families each
Slide 12: Scholastic Literacy Launch
Scholastic Literacy Launch Our Scholastic Literacy instructional methodology is built upon 10 core beliefs for student success – the Importance of Choice and Access to Authentic Texts; Reading and Writing Connections; Foundational Skills, Social‐Emotional Learning, Critical Thinking, Standards‐Ali
Slide 13: Scholastic Literacy
Scholastic Literacy Where it Comes Together in the Classroom ADD IMAGE HERE; FULL WIDTH AND HEIGHT OF GREY BOX
Slide 14: Classroom Magazines Validation
Classroom Magazines Validation Scholastic Classroom Magazines are currently used in over 80,000 school buildings, representing nearly 67% of schools in the United States. The magazines are powerful resources for teachers. Each issue features engaging articles and stories, online tools, and instr
Slide 15: Bolt-On Niche Acquisitions and Investments
Bolt-On Niche Acquisitions and Investments In December 2019, we purchased the operating assets and intangibles, including customer lists, of Mrs. Nelson’s Book Fairs, Inc. (CA), a distinctive brand of premium book fairs in the the Southern California region. In April 2019, we made an investment
Slide 16: Fiscal 2020 Outlook
Fiscal 2020 Outlook We remain on track to deliver revenues and Adjusted EBITDA, as defined, within our guidance ranges and have more closely tied senior management incentive compensation to the achievement of these Adjusted EBITDA targets. 1. Adjusted EBITDA is defined by the Company as earnings (
Slide 17: 100th Anniversary
100th Anniversary Over the course of the last 100 years, we have always believed it’s possible to find that one special thing that can awaken a child to new possibilities. We were doing the same thing in 1920 as we’re doing in 2020 – trying to understand what is happening right now in a child’s li
Slide 18: About Scholastic
About Scholastic Scholastic Corporation (NASDAQ: SCHL) is the world's largest publisher and distributor of children's books, a leading provider of literacy curriculum, professional services and classroom magazines, and a producer of educational and entertaining children's media. The Company create
Slide 19: Question & Answer
Question & Answer Ken Cleary, Chief Financial Officer Ellie Berger, Executive Vice President and President, Trade Publishing Sasha Quinton, Executive Vice President and President, Scholastic Book Fairs Gil Dickoff, Senior Vice President and Treasurer 19
Slide 20: RBASCHOLASTIC
RBASCHOLASTIC
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