Global publishing and learning firm Houghton Mifflin Harcourt (HMH) has reported a net loss of $38.1million for the second quarter of 2020, compared to a net loss of $40.6 million reported for Q2 2019.
Its net sales figure for the quarter was $251.2 million, down from $389 million reported for the second quarter last year.
The Boston, Massachusetts-based company also reported results for the first six months of 2020. Its net loss for the period was $384.1 million, compared to a net loss of $158 million reported for the first six months of 2019. The net sales figure for the period was $441.1 million, down from $583.5 million reported for the first six months of 2019.
HMH president and chief executive Jack Lynch said: “While our billings for the second quarter continued to see the impact of the Covid-19 pandemic in April and early May, customer demand increased through the latter half of the quarter, and we experienced a more normal environment in the month of June. As we focus on the acceleration of our digital first, connected strategy, we are partnering with and supporting customers nationwide in this unique back-to-school season, whether in person, fully remote or hybrid.”
Joe Abbott, chief financial officer of HMH, added: “We managed our expenses with discipline, and as a result, were able to deliver adjusted EBITDA margins on par with the prior year despite net sales and billings declines. Our year-to-date performance and current liquidity position gave us the confidence to fully repay our revolving credit facility in July.”
Lynch concluded: “Districts are investing in remote learning solutions, and our growth in SaaS billings reflects the strength of our digital learning solutions. HMH remains positioned to continue to lead this market shift with a digital-first offering for connected teaching and learning.”
Date published: 6 August 2020