Cengage, which provides educational content, technology, and services for the higher education, K12, professional, and library markets, has announced a net loss of $23 million for the first quarter of its 2022 fiscal year ending 30 June 2020, compered to a net loss of $63.3 million reported for Q1 in fiscal year 2021.
Revenue for the Boston-based higher education company for the quarter was $301.6 million, up from $238 million reported for the first quarter of fiscal year 2021.
Cengage chief executive Michael E Hansen said: Our first quarter results, demonstrate continued consistent growth in our US higher ed and workforce skills businesses, and as we expected rebounding in our other businesses. Given the seasonality of our business, quarter-over-quarter observations provide limited insight. This year, the uneven Covid recovery, further exacerbates this fact. That said, Q1 adjusted cash revenue exceeded pre-pandemic fiscal year ’20 levels, demonstrating the strength of our digital transformation, as we remain on track to deliver on our guidance of mid-single-digit growth and improved margins. Our confidence in the sustainability and predictability of our results is based on the proven track record of our longer-term strategies and clear understanding of our core business drivers. Specifically, digital usage, gaining momentum for many years, accelerated during the Covid pandemic, driving further monetisation of each classroom, recurring revenue and margin expansion.
Date published: 24 August 2021