Ed tech company Cengage has announced net income of $21.6 million for the second quarter of its 2021 fiscal year ending 30 September 2020, up from $11.5 million reported for Q2 2020.
Revenue for the quarter was $380.1 million, down from $410.4 million reported for the second quarter of fiscal year 2020.
The Boston-based higher education company also reported results for the first six months of its 2021 fiscal year ending 30 September 2020. Its net loss for the period was $39.5 million, compared to a net loss of $54.3 million reported for the first six months of fiscal year 2020. Revenue for the six-month period was $618.3 million, down from $693 million reported for the first half of fiscal year 2020.
Cengage emphasised that digital revenues now account for 68% of its total adjusted cash revenues.
Cengage chief executive Michael E Hansen said: “We have outperformed the competition, and driven revenue growth despite substantial market headwinds.
“The Covid-19 pandemic has created a great deal of uncertainty and turbulence for the education system worldwide in recent months. Despite this turbulence, Cengage was able to quickly pivot to support educators and learners, leaning on our strong foundation of quality, digital learning offerings.
“And in US higher ed, we were able to pass a critical inflection point, where digital acceleration drove strong sales growth despite a decline in student enrolments of about 4%.”
Date published: 16 November 2020