Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jul. 31, 2023 | Aug. 31, 2023 | |
Entity Listings [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jul. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-11507 | |
Entity Registrant Name | JOHN WILEY & SONS, INC. | |
Entity Incorporation, State or Country Code | NY | |
Entity Tax Identification Number | 13-5593032 | |
Entity Address, Address Line One | 111 River Street | |
Entity Address, City or Town | Hoboken | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07030 | |
City Area Code | 201 | |
Local Phone Number | 748-6000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Current Fiscal Year End Date | --04-30 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0000107140 | |
Amendment Flag | false | |
Common Stock Class A | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | Class A Common Stock, par value $1.00 per share | |
Trading Symbol | WLY | |
Security Exchange Name | NYSE | |
Entity Common Stock, Shares Outstanding | 46,185,560 | |
Common Stock Class B | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | Class B Common Stock, par value $1.00 per share | |
Trading Symbol | WLYB | |
Security Exchange Name | NYSE | |
Entity Common Stock, Shares Outstanding | 9,023,066 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - UNAUDITED - USD ($) $ in Thousands | Jul. 31, 2023 | Apr. 30, 2023 |
Current assets | ||
Cash and cash equivalents | $ 75,144 | $ 106,714 |
Accounts receivable, net of allowance for credit losses of $14.5 million and $18.7 million, respectively | 153,392 | 310,121 |
Inventories, net | 30,289 | 30,733 |
Prepaid expenses and other current assets | 79,703 | 93,711 |
Current assets held-for-sale | 139,250 | 0 |
Total current assets | 477,778 | 541,279 |
Technology, property and equipment, net | 223,534 | 247,149 |
Intangible assets, net | 657,093 | 854,794 |
Goodwill | 1,102,499 | 1,204,050 |
Operating lease right-of-use assets | 82,415 | 91,197 |
Other non-current assets | 141,159 | 170,341 |
Non-current assets held-for-sale | 241,483 | 0 |
Total assets | 2,925,961 | 3,108,810 |
Current liabilities | ||
Accounts payable | 43,713 | 84,325 |
Accrued royalties | 98,690 | 113,423 |
Short-term portion of long-term debt | 5,000 | 5,000 |
Contract liabilities | 369,562 | 504,695 |
Accrued employment costs | 52,307 | 80,458 |
Short-term portion of operating lease liabilities | 17,869 | 19,673 |
Other accrued liabilities | 68,541 | 87,979 |
Total current liabilities held-for-sale | 50,257 | 0 |
Total current liabilities | 705,939 | 895,553 |
Long-term debt | 890,917 | 743,292 |
Accrued pension liability | 81,367 | 86,304 |
Deferred income tax liabilities | 109,916 | 144,042 |
Operating lease liabilities | 106,652 | 115,540 |
Other long-term liabilities | 78,838 | 79,052 |
Long-term liabilities held-for-sale | 15,126 | 0 |
Total liabilities | 1,988,755 | 2,063,783 |
Commitments and contingencies | ||
Shareholders’ equity | ||
Preferred stock, $1 par value per share: Authorized shares – 2 million, Issued shares - 0 | 0 | 0 |
Additional paid-in-capital | 465,278 | 469,802 |
Retained earnings | 1,749,169 | 1,860,872 |
Accumulated other comprehensive loss, net of tax | (517,045) | (528,902) |
Less treasury shares at cost (Class A – 24,049 and 23,983 as of July 31, 2023 and April 30, 2023, respectively; Class B – 3,925 and 3,925 as of July 31, 2023 and April 30, 2023, respectively) | (843,378) | (839,927) |
Total shareholders’ equity | 937,206 | 1,045,027 |
Total liabilities and shareholders' equity | 2,925,961 | 3,108,810 |
Class A common stock | ||
Shareholders’ equity | ||
Common stock | 70,231 | 70,231 |
Class B common stock | ||
Shareholders’ equity | ||
Common stock | $ 12,951 | $ 12,951 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - UNAUDITED (Parenthetical) - USD ($) shares in Thousands, $ in Millions | Jul. 31, 2023 | Apr. 30, 2023 |
Current assets | ||
Allowance for credit losses | $ 14.5 | $ 18.7 |
Shareholders’ equity | ||
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 2,000 | 2,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Class A common stock | ||
Shareholders’ equity | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 180,000 | 180,000 |
Common stock, shares issued (in shares) | 70,231 | 70,231 |
Treasury stock (in shares) | 24,049 | 23,983 |
Class B common stock | ||
Shareholders’ equity | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 72,000 | 72,000 |
Common stock, shares issued (in shares) | 12,951 | 12,951 |
Treasury stock (in shares) | 3,925 | 3,925 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF NET LOSS - UNAUDITED - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Income Statement [Abstract] | ||
Revenue, net | $ 451,013 | $ 487,569 |
Costs and expenses: | ||
Cost of sales | 157,101 | 174,031 |
Operating and administrative expenses | 255,801 | 282,751 |
Impairment of goodwill | 26,695 | 0 |
Restructuring and related charges | 12,123 | 22,441 |
Amortization of intangible assets | 15,648 | 25,311 |
Total costs and expenses | 467,368 | 504,534 |
Operating loss | (16,355) | (16,965) |
Interest expense | (11,334) | (6,332) |
Foreign exchange transaction losses | (1,620) | (616) |
Impairment charge related to assets held-for-sale and loss on sale of a business | (75,929) | 0 |
Other (expense) income, net | (1,485) | 526 |
Loss before taxes | (106,723) | (23,387) |
Benefit for income taxes | (14,459) | (5,552) |
Net loss | $ (92,264) | $ (17,835) |
Loss per share | ||
Basic (in dollars per share) | $ (1.67) | $ (0.32) |
Diluted (in dollars per share) | $ (1.67) | $ (0.32) |
Weighted average number of common shares outstanding | ||
Basic (in shares) | 55,270 | 55,736 |
Diluted (in shares) | 55,270 | 55,736 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - UNAUDITED - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Statement of Comprehensive Income [Abstract] | ||
Net loss | $ (92,264) | $ (17,835) |
Other comprehensive income (loss): | ||
Foreign currency translation adjustment | 11,174 | (19,780) |
Unamortized retirement (costs) credits, net of tax benefit (expense) of $384 and $(1,480), respectively | (1,837) | 5,081 |
Unrealized gains (loss) on interest rate swaps, net of tax (expense) benefit of $(863) and $61, respectively | 2,520 | (444) |
Total other comprehensive income (loss) | 11,857 | (15,143) |
Comprehensive loss | $ (80,407) | $ (32,978) |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - UNAUDITED (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Other comprehensive income (loss): | ||
Unamortized retirement credits (costs), tax (expense) benefit | $ 384 | $ (1,480) |
Unrealized gain on interest rate swaps, tax (expense) benefit | $ (863) | $ 61 |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED - USD ($) $ in Thousands | 3 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | ||
Operating activities | |||
Net loss | $ (92,264) | $ (17,835) | |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Impairment of goodwill | 26,695 | 0 | |
Amortization of intangible assets | 15,648 | 25,311 | |
Impairment charge related to assets held-for-sale and loss on sale of a business | 75,929 | 0 | |
Amortization of product development assets | 6,687 | 8,288 | |
Depreciation and amortization of technology, property and equipment | 21,393 | 24,680 | |
Restructuring and related charges | 12,123 | 22,441 | |
Stock-based compensation expense | 6,286 | 7,123 | |
Employee retirement plan expense | 9,244 | 8,325 | |
Foreign exchange transaction losses | 1,620 | 616 | |
Other noncash credits | (20,520) | (10,791) | |
Net change in operating assets and liabilities | (145,176) | (158,097) | |
Net cash used in operating activities | (82,335) | (89,939) | |
Investing activities | |||
Product development spending | (3,747) | (5,825) | |
Additions to technology, property and equipment | (20,086) | (17,923) | |
Businesses acquired in purchase transactions, net of cash acquired | (1,500) | (96) | |
Proceeds related to the sale of a business | 457 | 0 | |
Acquisitions of publication rights and other | (866) | 2,038 | |
Net cash used in investing activities | (25,742) | (21,806) | |
Financing activities | |||
Repayments of long-term debt | (196,405) | (111,800) | |
Borrowings of long-term debt | 341,878 | 268,673 | |
Purchases of treasury shares | (10,000) | (10,000) | |
Change in book overdrafts | (5,947) | (4,694) | |
Cash dividends | (19,382) | (19,468) | |
Impact of tax withholding on stock-based compensation and other | (4,330) | (4,722) | |
Net cash provided by financing activities | 105,814 | 117,989 | |
Effects of exchange rate changes on cash, cash equivalents, and restricted cash | 2,257 | (1,985) | |
Cash reconciliation: | |||
Cash and cash equivalents | 106,714 | 100,397 | |
Restricted cash included in Prepaid expenses and other current assets | 548 | 330 | |
Balance at beginning of period | 107,262 | 100,727 | |
Increase/(decrease) for the period | (6) | 4,259 | |
Cash and cash equivalents | 107,152 | 104,495 | |
Restricted cash included in Prepaid expenses and other current assets | 104 | 491 | |
Balance at end of period | [1] | 107,256 | 104,986 |
Cash paid during the period for: | |||
Interest | 10,657 | 5,511 | |
Income taxes, net of refunds | $ 12,374 | $ 14,075 | |
[1]The balance as of July 31, 2023 includes held-for-sale cash, cash equivalents and restricted cash. See Note 3, "Acquisitions and Divestitures" for further details. |
CONDENSED CONSOLIDATED STATEM_7
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - UNAUDITED - USD ($) $ in Thousands | Total | Class A common stock | Class B common stock | Common Stock Class A common stock | Common Stock Class B common stock | Additional paid-in capital | Retained earnings | Retained earnings Class A common stock | Retained earnings Class B common stock | Accumulated other comprehensive loss, net of tax | Treasury stock |
Beginning balance at Apr. 30, 2022 | $ 1,142,269 | $ 70,226 | $ 12,956 | $ 459,297 | $ 1,921,160 | $ (508,146) | $ (813,224) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Restricted shares issued under stock-based compensation plans | 87 | (7,857) | 7,944 | ||||||||
Impact of tax withholding on stock-based compensation and other | (4,722) | (4,722) | |||||||||
Stock-based compensation expense | 7,138 | 7,138 | |||||||||
Purchases of treasury shares | (10,000) | (10,000) | |||||||||
Common stock dividends | $ (16,330) | $ (3,138) | $ (16,330) | $ (3,138) | |||||||
Comprehensive loss, net of tax | (32,978) | (17,835) | (15,143) | ||||||||
Ending balance at Jul. 31, 2022 | 1,082,326 | 70,226 | 12,956 | 458,578 | 1,883,857 | (523,289) | (820,002) | ||||
Beginning balance at Apr. 30, 2023 | 1,045,027 | 70,231 | 12,951 | 469,802 | 1,860,872 | (528,902) | (839,927) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Restricted shares issued under stock-based compensation plans | 75 | (10,805) | 1 | 10,879 | |||||||
Impact of tax withholding on stock-based compensation and other | (4,330) | (4,330) | |||||||||
Stock-based compensation expense | 6,281 | 6,281 | |||||||||
Purchases of treasury shares | (10,000) | (10,000) | |||||||||
Common stock dividends | $ (16,281) | $ (3,159) | $ (16,281) | $ (3,159) | |||||||
Comprehensive loss, net of tax | (80,407) | (92,264) | 11,857 | ||||||||
Ending balance at Jul. 31, 2023 | $ 937,206 | $ 70,231 | $ 12,951 | $ 465,278 | $ 1,749,169 | $ (517,045) | $ (843,378) |
CONDENSED CONSOLIDATED STATEM_8
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Class A common stock | ||
Common stock dividend (in dollars per share) | $ 0.3500 | $ 0.3475 |
Class B common stock | ||
Common stock dividend (in dollars per share) | $ 0.3500 | $ 0.3475 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Jul. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation Throughout this report, when we refer to “Wiley,” the “Company,” “we,” “our,” or “us,” we are referring to John Wiley & Sons, Inc. and all our subsidiaries, except where the context indicates otherwise. Our Unaudited Condensed Consolidated Financial Statements include all the accounts of the Company and our subsidiaries. We have eliminated all intercompany transactions and balances in consolidation. In the opinion of management, the accompanying Unaudited Condensed Consolidated Financial Statements contain all adjustments, consisting only of normal recurring adjustments, necessary to state fairly the Unaudited Condensed Consolidated Financial Condition, Results of Operations, Comprehensive Loss and Cash Flows for the periods presented. Operating results for the interim period are not necessarily indicative of the results expected for the full year. All amounts are in thousands, except per share amounts, and approximate due to rounding. These financial statements should be read in conjunction with the most recent audited consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended April 30, 2023 as filed with the SEC on June 26, 2023 (2023 Form 10-K). |
Recent Accounting Standards
Recent Accounting Standards | 3 Months Ended |
Jul. 31, 2023 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
Recent Accounting Standards | Recent Accounting Standards Recently Adopted Accounting Standards Accounting for Contract Assets and Contract Liabilities from Contracts with Customers In October 2021, the FASB issued ASU 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers.” This ASU requires that an acquirer recognize, and measure contract assets and contract liabilities acquired in a business combination in accordance with ASC 606 “Revenue from Contracts with Customers” (Topic 606) as if it had originated the contracts. Generally, this would result in an acquirer recognizing and measuring the acquired contract assets and contract liabilities consistent with how they were recognized and measured in the acquiree’s financial statements if the acquiree prepared financial statements in accordance with US GAAP. We adopted ASU 2021-08 on May 1, 2023. The standard is applied prospectively to business combinations occurring on or after the effective date of the amendments. The impact will be based on future business combinations after we adopt the standard. |
Acquisitions and Divestitures
Acquisitions and Divestitures | 3 Months Ended |
Jul. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions and Divestitures | Acquisitions and Divestitures Acquisitions Pro forma financial information related to these acquisitions has not been provided as it is not material to our condensed consolidated results of operations. Fiscal Year 2023 On November 1, 2022, we completed the acquisition of an immaterial business included in our Learning segment. The fair value of consideration transferred was $6.1 million, which included $5.2 million of cash at the acquisition date and $0.9 million to be paid after the acquisition date. The acquisition was accounted for using the acquisition method of accounting. We recorded the preliminary aggregate excess purchase price over identifiable net tangible and intangible assets acquired and liabilities assumed, which included a preliminary allocation of $3.9 million of goodwill allocated to the Learning segment and $3.7 million of intangible assets subject to amortization. The allocation of the total consideration transferred to the assets acquired, including intangible assets and goodwill, and the liabilities assumed could be revised as a result of additional information obtained due to tax related matters and contingencies and certain assets and liabilities, including receivables and payables, but such amounts will be finalized within the measurement period, which will not exceed one year from the acquisition date. Divestitures As part of our ongoing initiatives to simplify our portfolio to drive sustained performance improvement, we have completed one disposition as of July 31, 2023 and have committed to a plan to divest of additional businesses within the next 12 months. Fiscal Year 2024 Completed Divestitures On May 31, 2023, we completed the sale of our tuition manager business (Tuition Manager), which was included in our Held for Sale or Sold segment. The divestiture did not represent a strategic shift that would have a major effect on our consolidated results of operations, and t herefore its results of operations were not reported as discontinued operations. The cash received net of transaction costs at the date of sale was $0.5 million. The pretax loss on sale was $2.0 million, after accounting for the assets sold, liabilities transferred upon sale and transaction costs, is included in Impairment charge related to assets held-for-sale and loss on sale of a business in our Unaudited Condensed Consolidated Statement of Net Loss for the three months ended July 31, 2023. The carrying value of the net assets included in the pretax loss on sale was $2.5 million, including intangible assets of $1.0 million and no goodwill. Assets and Liabilities Held-for-Sale On June 1, 2023, Wiley’s Board of Directors approved a plan to divest certain businesses that we determined are non-core businesses. Those businesses are University Services, Wiley Edge, and CrossKnowledge. These dispositions are expected to be completed during fiscal year 2024. As a result, we reorganized our segments and our new structure consists of three reportable segments which includes Research (no change), Learning, and Held for Sale or Sold, as well as a Corporate expense category (no change). The operations of University Services, Wiley Edge, and CrossKnowledge are reported in the Held for Sale or Sold segment. See Note 10, “Segment Information” for more details regarding our reportable segments. See Note 12, "Goodwill and Intangible Assets" for more details on the interim goodwill impairment test and the impairment charges. In accordance with FASB Accounting Standards Codification (ASC) Topic 205, "Presentation of Financial Statements," we determined that the planned divestitures of University Services, Wiley Edge, and CrossKnowledge each do not represent a strategic shift that will have a major effect on our consolidated results of operations, and therefore their results of operations were not reported as discontinued operations. We applied the criteria in ASC 360-10-45-9, "Property, Plant and Equipment - Long-Lived Assets Classified as Held for Sale," to determine whether any of the aforementioned long-lived asset groups would be classified as held-for-sale. Criteria include management commitment to sell the disposal group in its present condition and the sale being deemed probable of being completed within one year. We concluded that all three businesses met all the requisite criteria as of June 1, 2023 and, therefore, have reclassified the related assets and liabilities as held-for-sale on the Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023. We measured each disposal group at the lower of carrying value or fair value less cost to sell. In the three months ended July 31, 2023, we recorded a held-for-sale pretax impairment of $73.9 million which includes $40.6 million for University Services and $33.3 million for CrossKnowledge. This pretax impairment is reflected in Impairment charge related to assets held-for-sale and loss on sale of a business on the Unaudited Condensed Consolidated Statements of Net Loss. The impairments are included as a valuation allowance or contra-asset account within Non-current assets held-for-sale on the Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023. The major categories of assets and liabilities that have been classified as held-for-sale on the Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023 were as follows: University Services Cross Knowledge Wiley Edge Total Assets held-for-sale: Current assets Cash and cash equivalents (1) $ 12 $ 17,254 $ 14,742 $ 32,008 Accounts receivable, net 64,830 7,777 20,891 93,498 Prepaid expenses and other current assets (1) 2,726 4,181 6,837 13,744 Total current assets held-for-sale $ 67,568 $ 29,212 $ 42,470 $ 139,250 Technology, property and equipment, net 13,045 3,696 1,815 18,556 Intangible assets, net 133,413 18,305 34,891 186,609 Goodwill — — 81,940 81,940 Operating lease right-of-use assets 2,989 514 1,015 4,518 Other non-current assets 7,906 15,616 77 23,599 Valuation allowance (40,659) (33,080) — (73,739) Total non-current assets held-for-sale $ 116,694 $ 5,051 $ 119,738 $ 241,483 Liabilities held-for-sale: Current liabilities Accounts payable $ 1,414 $ 750 $ 244 $ 2,408 Accrued royalties — 454 — 454 Contract liabilities 719 17,883 3 18,605 Accrued employment costs 3,224 7,368 3,654 14,246 Short-term portion of operating lease liabilities 1,058 375 474 1,907 Other accrued liabilities 6,872 1,707 4,058 12,637 Total current liabilities held-for-sale $ 13,287 $ 28,537 $ 8,433 $ 50,257 Accrued pension liability — 658 — 658 Deferred income tax liabilities — 4,291 4,110 8,401 Operating lease liabilities 3,829 48 500 4,377 Other long-term liabilities 355 1,113 222 1,690 Total long-term liabilities held-for-sale $ 4,184 $ 6,110 $ 4,832 $ 15,126 (1) The following table shows a reconciliation of our cash, cash equivalents, and restricted cash included in current assets held-for-sale and in our Unaudited Condensed Consolidated Statement of Financial Position to our Unaudited Condensed Consolidated Statement of Cash Flows for the three months ended July 31, 2023: Cash and cash equivalents $ 75,144 Restricted cash included in Prepaid expenses and other current assets 50 Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023 75,194 Cash and cash equivalents held-for-sale 32,008 Restricted cash held-for-sale included in Prepaid expenses and other current assets 54 Total cash, cash equivalents, and restricted cash held-for-sale as of July 31, 2023 32,062 Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Cash Flows for the three months ended July 31, 2023 $ 107,256 |
Revenue Recognition, Contracts
Revenue Recognition, Contracts with Customers | 3 Months Ended |
Jul. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition, Contracts with Customers | Revenue Recognition, Contracts with Customers Disaggregation of Revenue We have reorganized our segments. Our new segment structure will consist of three reportable segments which includes (1) Research (no change), (2) Learning, (3) Held For Sale or Sold, as well as a Corporate expense category (no change), which includes certain costs that are not allocated to the reportable segments. Research includes reporting lines of Research Publishing and Research Solutions. Learning includes reporting lines of Academic and Professional. Held for Sale or Sold includes those non-core businesses which we have sold or announced we are divesting and include University Services, Wiley Edge, and CrossKnowledge . Prior period segment results have been revised to the new segment presentation. There were no changes to our consolidated financial results. See Note 10, “Segment Information,” for more details. The following table presents our revenue from contracts with customers disaggregated by segment and product type. Three Months Ended 2023 2022 Research: Research Publishing $ 223,000 $ 239,523 Research Solutions 34,804 35,390 Total Research 257,804 274,913 Learning: Academic 48,292 58,748 Professional 61,028 60,899 Total Learning 109,320 119,647 Held for Sale or Sold 83,889 93,009 Total Revenue $ 451,013 $ 487,569 The following information describes our disaggregation of revenue by segment and product type. Overall, the majority of our revenue is recognized over time. Research Research customers include academic, corporate, government, and public libraries, funders of research, researchers, scientists, clinicians, engineers and technologists, scholarly and professional societies, and students and professors. Research products are sold and distributed globally through multiple channels, including research libraries and library consortia, independent subscription agents, direct sales to researchers and professional society members, and other customers. Publishing centers include Australia, China, Germany, India, the United Kingdom (UK), and the United States (US). The majority of revenue generated from Research products is recognized over time. Total Research revenue was $257.8 million in the three months ended July 31, 2023. We disaggregated revenue by Research Publishing & Research Solutions to reflect the different type of products and services provided. Research Publishing Products Research Publishing products provide scientific, technical, medical, and scholarly journals, as well as related content and services, to academic, corporate, and government libraries, learned societies, and individual researchers and other professionals. Research Publishing revenue was $223.0 million in the three months ended July 31, 2023, and the majority is recognized over time. In the three months ended July 31, 2023, Research Publishing products generated approximately 87% of their revenue from contracts with their customers from Journal Subscriptions (pay to read), Open Access (pay to publish) and Transformational Agreements (read and publish) and the remainder from Licensing, Backfiles, and Other. Research Solutions Products and Services Research Solutions services include corporate and society service offerings such as advertising, spectroscopy software and spectral databases, job board software and career center services, publishing services such as editorial operations, production, copyediting, system support and consulting, and a journal submission and peer-review management system. In addition, Research Solutions includes Atypon platforms and services. Atypon is a publishing software and service provider that enables scholarly and professional societies and publishers to deliver, host, enhance, market, and manage their content on the web through the Literatum TM platform. Research Solutions revenue was $34.8 million in the three months ended July 31, 2023, and the majority is recognized over time. In the three months ended July 31, 2023, Research Solutions products and services generated approximately 65% of their revenue from contracts with their customers from corporate and society offerings and 35% from Atypon platforms and services. Learning Learning customers include chain and online booksellers, libraries, colleges and universities, corporations, direct to consumer, web sites, and other online applications. Total Learning revenue was $109.3 million in the three months ended July 31, 2023. We disaggregated revenue by type of products provided. Learning products are Academic and Professional. Academic Academic products revenue was $48.3 million in the three months ended July 31, 2023. Academic products and services including scientific, professional, and education print and digital books, and digital courseware to libraries, corporations, students, professionals, and researchers. Communities served include business, finance, accounting, management, leadership, technology, behavioral health, engineering/architecture, science and medicine, and education. Products are developed for worldwide distribution through multiple channels, including chain and online booksellers, libraries, colleges and universities, corporations, direct to consumer, websites, distributor networks and other online applications. In the three months ended July 31, 2023, Academic products generated approximately 76% of their revenue from contracts with their customers for print and digital publishing, which is recognized at a point in time. Digital Courseware products generate approximately 14% of their revenue from contracts with their customers which is recognized over time. The remainder of their revenues were from Licensing and Other, which has a mix of revenue recognized at a point in time and over time. Professional Professional products revenue was $61.0 million in the three months ended July 31, 2023. Professional provides learning, development, publishing, and assessment services for businesses and professionals. Our trade publishing produces professional books, which includes business and finance, technology, professional development for educators, test preparation books and other professional categories, as well as the For Dummies ® brand. Products are sold to brick-and-mortar and online retailers, wholesalers who supply such bookstores, college bookstores, individual practitioners, corporations, and government agencies. Our assessments offering includes high-demand soft-skills training solutions that are delivered to organizational clients through online digital delivery platforms, either directly or through an authorized distributor network of independent consultants, trainers, and coaches. In the three months ended July 31, 2023, Professional products generated approximately 59% of their revenue from contracts with their customers for trade print and digital publishing, which is recognized at a point in time. Our assessments offering generates approximately 31% of their revenue from contracts with their customers which has a mix of revenue recognized at a point in time and over time. The remainder of their revenues were from Licensing and Other, which has a mix of revenue recognized at a point in time and over time. Held for Sale or Sold Held for Sale or Sold revenue was $83.9 million in the three months ended July 31, 2023. Offerings include University Services, Wiley Edge, and CrossKnowledge. Our University Services business offers institutions and their students a rich portfolio of education technology and student and faculty support services, allowing the institutions to reach more students online with their own quality academic programs. University Services revenue is mainly recognized over time. Wiley Edge sources, trains, and prepares aspiring students and professionals to meet the skill needs of today’s technology careers, and then places them with some of the world's largest financial institutions, technology companies, and government agencies. Wiley Edge also works with its clients to retrain and retain existing employees so they can continue to meet the changing demands of today’s technology landscape. Wiley Edge revenue is recognized at the point in time the services are provided to its customers. CrossKnowledge services includes corporate learning online learning and training solutions for global corporations, universities, and small and medium-sized enterprises sold on a subscription or fee basis. CrossKnowledge revenue is recognized over time. Held for Sale or Sold also includes the revenue associated with those businesses which have been sold which includes Wiley's Efficient Learning test prep portfolio business, and our advancement courses business which were both sold in fiscal year 2023, and our Tuition Manager business which was sold in the three months ended July 31, 2023. Accounts Receivable, net and Contract Liability Balances When consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of a contract, a contract liability is recorded. Contract liabilities are recognized as revenue when, or as, control of the products or services are transferred to the customer and all revenue recognition criteria have been met. The following table provides information about accounts receivable, net and contract liabilities from contracts with customers. July 31, 2023 April 30, 2023 Increase/ Balances from contracts with customers: Accounts receivable, net $ 153,392 $ 310,121 $ (156,729) Contract liabilities (1) 369,562 504,695 (135,133) Contract liabilities (included in Other long-term liabilities) $ 19,038 $ 17,426 $ 1,612 (1) The sales return reserve recorded in Contract liabilities is $26.0 million and $24.6 million, as of July 31, 2023 and April 30, 2023, respectively. For the three months ended July 31, 2023, we estimate that we recognized revenue of approximately 40% that was included in the current contract liability balance at April 30, 2023. For the three months ended July 31, 2022, we estimate that 43% of revenue recognized was included in the current contract liability at April 30, 2022. The decrease in contract liabilities excluding the sales return reserve, was primarily driven by revenue earned on journal subscription agreements, transformational agreements, and open access, partially offset by renewals of journal subscription agreements, transformational agreements, and open access. In addition, contract liabilities decreased due to the reclassification of the held-for-sale amounts to Current liabilities held-for-sale on the Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023. Remaining Performance Obligations included in Contract Liability As of July 31, 2023, the aggregate amount of the transaction price allocated to the remaining performance obligations is approximately $388.6 million, which included the sales return reserve of $26.0 million. Excluding the sales return reserve, we expect that approximately $343.6 million will be recognized in the next twelve months with the remaining $19.0 million to be recognized thereafter. Assets Recognized for the Costs to Fulfill a Contract Costs to fulfill a contract are directly related to a contract that will be used to satisfy a performance obligation in the future and are expected to be recovered. These costs are amortized on a systematic basis that is consistent with the transfer to the customer of the goods or services to which the asset relates. These types of costs are incurred in the following product types, (1) Research Solutions services, which includes customer specific implementation costs per the terms of the contract and (2) University Services, which is included in the Held for Sale or Sold segment and includes customer specific costs to develop courses per the terms of the contract. Our assets associated with incremental costs to fulfill a contract, were and $10.6 million at July 31, 2023 and April 30, 2023, respectively, and are included within Other non-current assets at April 30, 2023 and in both Other non-current assets and Non-current assets held-for-sale at July 31, 2023 on our Unaudited Condensed Consolidated Statements of Financial Position. We recorded amortization expense of $1.7 million and $1.2 million in the three months ended July 31, 2023 and 2022 respectively, related to these assets within Cost of sales on our Unaudited Condensed Consolidated Statements of Net Loss. |
Operating Leases
Operating Leases | 3 Months Ended |
Jul. 31, 2023 | |
Leases [Abstract] | |
Operating Leases | Operating Leases We have contractual obligations as a lessee with respect to offices, warehouses and distribution centers, automobiles, and office equipment. We determine if an arrangement is a lease at inception of the contract in accordance with guidance detailed in the lease standard and we perform the lease classification test as of the lease commencement date. Right-of-use (ROU) assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. The present value of the lease payments is calculated using an incremental borrowing rate, which was determined based on the rate of interest that we would have to pay to borrow an amount equal to the lease payments on a collateralized basis over a similar term. We use an unsecured borrowing rate and risk-adjust that rate to approximate a collateralized rate. We recognize operating lease expense on a straight-line basis over the term of the lease. Lease payments may be fixed or variable. Only lease payments that are fixed, in-substance fixed or depend on a rate or index are included in determining the lease liability. Variable lease payments include payments made to the lessor for taxes, insurance and maintenance of the leased asset and are recognized as operating costs as incurred. We apply certain practical expedients allowed by ASC 842, "Leases." Leases that are more than one year in duration are capitalized and recorded on our Unaudited Condensed Consolidated Statements of Financial Position. Leases with an initial term of 12 months or less are recognized as short term lease operating costs on a straight-line basis over the term. We have also elected to account for the lease and non-lease components as a single component. Some of our leases offer an option to extend the term of such leases. We utilize the reasonably certain threshold criteria in determining which options we will exercise. For operating leases, the ROU assets and liabilities are presented on our Unaudited Condensed Consolidated Statement of Financial Position as follows: July 31, 2023 April 30, 2023 Operating lease ROU assets $ 82,415 $ 91,197 Short-term portion of operating lease liabilities 17,869 19,673 Operating lease liabilities, non-current $ 106,652 $ 115,540 During the three months ended July 31, 2023, we added $0.2 million to the ROU assets and $0.2 million to the operating lease liabilities due to modifications to our existing operating leases. As a result of the Global Restructuring Program, which included the exit of certain leased office space, we recorded restructuring and related charges. These charges included severance, impairment charges and acceleration of expense associated with certain operating lease ROU assets. See Note 9 , “Restructuring and Related Charges” for more information on this program and the charges incurred. Our total net lease costs are as follows: Three Months Ended 2023 2022 Operating lease cost $ 4,083 $ 5,182 Variable lease cost 285 278 Short-term lease cost 278 115 Sublease income (203) (198) Total net lease cost (1) $ 4,443 $ 5,377 (1) Total net lease cost does not include those costs and sublease income included in Restructuring and related charges on our Unaudited Condensed Consolidated Statements of Net Loss. This includes those operating leases we had identified as part of our restructuring programs that would be subleased. See Note 9, “Restructuring and Related Charges” for more information on this program. Other supplemental information includes the following: Three Months Ended 2023 2022 Weighted-average remaining contractual lease term (years) 8 8 Weighted-average discount rate 5.97 % 5.87 % Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 6,736 $ 7,341 The table below reconciles the undiscounted cash flows for the first five years and total of the remaining years to the operating lease liabilities recorded in our Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023: Fiscal Year Operating Lease 2024 (remaining 9 months) $ 18,261 2025 23,544 2026 21,782 2027 17,159 2028 13,282 Thereafter 64,185 Total future undiscounted minimum lease payments 158,213 Less: Imputed interest 33,692 Present value of minimum lease payments 124,521 Less: Current portion 17,869 Noncurrent portion $ 106,652 |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Jul. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation We have stock-based compensation plans under which employees may be granted performance-based stock awards, other restricted stock awards and options. We recognize the grant date fair value of stock-based compensation in net income on a straight-line basis, net of estimated forfeitures over the requisite service period. The measurement of performance for performance-based stock awards is based on actual financial results for targets established up to three years in advance, or less. For the three months ended July 31, 2023 and 2022, we recognized stock-based compensation expense, on a pretax basis, of $6.3 million and $7.1 million, respectively. Under the terms of our long-term incentive plans, performance-based restricted unit awards are payable in restricted shares of our Class A Common Stock upon the achievement of certain three-year or less financial performance-based targets. During each three-year period or less, we adjust compensation expense based upon our best estimate of expected performance. We may also grant individual restricted unit awards payable in restricted shares of our Class A Common Stock to key employees in connection with their employment. The following table summarizes awards we granted to employees (shares in thousands): Three Months Ended 2023 2022 Restricted Stock: Awards granted (shares) 789 494 Weighted average fair value of grant $ 31.54 $ 45.99 Stock Option Activity We granted 10,000 stock option awards during both the three months ended July 31, 2023 and 2022. Options are exercisable over a maximum period of ten years from the date of grant. These options generally vest 10%, 20%, 30%, and 40% on April 30, or on each anniversary date after the award is granted. The following table provides the estimated weighted average fair value for options granted during the three months ended July 31, 2023 and 2022 using the Black-Scholes option-pricing model, and the significant weighted average assumptions used in their determination. Three Months Ended 2023 2022 Weighted average fair value of options on grant date $ 7.94 $ 9.42 Weighted average assumptions: Expected life of options (years) 6.3 5.9 Risk-free interest rate 3.9 % 0.5 % Expected volatility 33.5 % 31.2 % Expected dividend yield 4.3 % 3.0 % Fair value of common stock on grant date $ 32.68 $ 45.99 Exercise price of stock option grant $ 32.68 $ 45.99 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Jul. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss Changes in Accumulated other comprehensive loss by component, net of tax, for the three months ended July 31, 2023 and 2022 were as follows: Foreign Currency Translation Unamortized Retirement Costs Interest Rate Swaps Total Balance at April 30, 2023 $ (326,346) $ (206,806) $ 4,250 $ (528,902) Other comprehensive income (loss) before reclassifications 11,174 (3,324) 4,697 12,547 Amounts reclassified from accumulated other comprehensive loss — 1,487 (2,177) (690) Total other comprehensive income (loss) 11,174 (1,837) 2,520 11,857 Balance at July 31, 2023 $ (315,172) $ (208,643) $ 6,770 $ (517,045) Balance at April 30, 2022 $ (329,566) $ (182,226) $ 3,646 $ (508,146) Other comprehensive (loss) income before reclassifications (19,780) 3,979 (737) (16,538) Amounts reclassified from accumulated other comprehensive loss — 1,102 293 1,395 Total other comprehensive (loss) income (19,780) 5,081 (444) (15,143) Balance at July 31, 2022 $ (349,346) $ (177,145) $ 3,202 $ (523,289) During the three months ended July 31, 2023 and 2022, pretax actuarial losses included in Unamortized Retirement Costs of approximately $2.0 million and $1.5 million, respectively, were amortized from Accumulated other comprehensive loss and recognized as pension and post-retirement benefit expense primarily in Operating and administrative expenses and Other (expense) income, net on our Unaudited Condensed Consolidated Statements of Net Loss. Our policy for releasing the income tax effects from accumulated other comprehensive (loss) income is to release when the corresponding pretax accumulated other comprehensive (loss) income items are reclassified to earnings. |
Reconciliation of Weighted Aver
Reconciliation of Weighted Average Shares Outstanding | 3 Months Ended |
Jul. 31, 2023 | |
Earnings Per Share [Abstract] | |
Reconciliation of Weighted Average Shares Outstanding | Reconciliation of Weighted Average Shares Outstanding A reconciliation of the shares used in the computation of loss per share follows (shares in thousands): Three Months Ended 2023 2022 Weighted average shares outstanding 55,270 55,736 Shares used for basic loss per share 55,270 55,736 Dilutive effect of unvested restricted stock units and other stock awards — — Shares used for diluted loss per share 55,270 55,736 Antidilutive options to purchase Class A common shares, restricted shares, and contingently issuable restricted stock which are excluded from the table above 999 1,211 In calculating diluted net loss per common share for the three months ended July 31, 2023 and 2022 our diluted weighted average number of common shares outstanding excludes the effect of unvested restricted stock units and other stock awards as the effect was anti-dilutive. This occurs when a net loss is reported and the effect of using dilutive shares is antidilutive. The shares associated with performance-based stock awards (PSU) are considered contingently issuable shares and will be included in the diluted weighted average number of common shares outstanding when they have met the performance conditions, and when their effect is dilutive. |
Restructuring and Related Charg
Restructuring and Related Charges | 3 Months Ended |
Jul. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Charges | Restructuring and Related Charges Global Restructuring Program In May 2022, the Company initiated a global program (Global Restructuring Program) to restructure and align our cost base with current and anticipated future market conditions, which was previously referred to as the Fiscal Year 2023 Restructuring Program. This program included severance related charges for the elimination of certain positions, the exit of certain leased office space, and the reduction of our occupancy at other facilities. Under this program, we reduced our real estate square footage occupancy by approximately 22%. In the three months ended July 31, 2023, we expanded the scope of the program to include those actions that will focus Wiley on its leading global position in the development and application of new knowledge and drive greater profitability, growth, and cash flow. We will focus on our strongest and most profitable businesses and large market opportunities in Research and Learning, as well as streamline our organization and rightsize our cost structure to reflect these portfolio actions. As part of the Global Restructuring Program, we are further reducing our real estate square footage occupancy by approximately 6% due to actions taken in the three months ended July 31, 2023. The following tables summarize the pretax restructuring and related charges related to the Global Restructuring Program: Three Months Ended Total Charges 2023 2022 Charges by Segment: Research $ 1,947 $ 81 $ 4,360 Learning 218 3,131 8,022 Held for Sale or Sold 2,623 3,613 8,409 Corporate Expenses 6,992 14,916 39,871 Total Restructuring and Related Charges $ 11,780 $ 21,741 $ 60,662 Charges by Activity: Severance and termination benefits $ 5,944 $ 12,097 $ 31,771 Impairment of operating lease ROU assets and property and equipment 1,575 6,106 14,271 Acceleration of expense related to operating lease ROU assets and property and equipment 364 1,840 2,504 Facility related charges, net 829 1,698 4,979 Consulting costs 1,823 — 4,108 Other activities 1,245 — 3,029 Total Restructuring and Related Charges $ 11,780 $ 21,741 $ 60,662 The impairment charges of $1.6 million and $6.1 million for the three months ended July 31, 2023 and 2022, respectively, included the impairment of operating lease ROU assets of $1.2 million and $2.9 million, respectively, related to certain leases that will be subleased, and the related property and equipment of $0.4 million and $3.2 million, respectively described further below. In the three months ended July 31, 2023 , these charges were recorded in the Research segment and in the three months ended July 31, 2022, these charges were recorded in Corporate Expenses. The acceleration of expense of $0.4 million and $1.8 million for the three months ended July 31, 2023 and 2022, respectively, included the acceleration of rent expense associated with operating lease ROU assets of $0.3 million and $0.9 million, respectively, related to certain leases that will be abandoned or terminated, and the related depreciation and amortization of property and equipment of $0.1 million and $0.9 million, respectively. Due to the actions taken above, we tested the operating lease ROU assets and the related property and equipment for those being subleased for recoverability by comparing the carrying value of the asset group to an estimate of the future undiscounted cash flows expected to result from the use and eventual disposition of the asset group. Based on the results of the recoverability test, we determined that the undiscounted cash flows of the asset groups were below the carrying values. Therefore, there was an indication of impairment. We then determined the fair value of the asset groups by utilizing the present value of the estimated future cash flows attributable to the assets. The fair value of these operating lease ROU assets and the property and equipment immediately subsequent to the impairment was $0.9 million in the three months ended July 31, 2023, and $2.4 million in the three months ended July 31, 2022, and were categorized as Level 3 within the FASB ASC Topic 820 , “Fair Value Measurements” fair value hierarchy. In addition, we also incurred ongoing facility-related costs associated with certain properties that resulted in additional restructuring charges of $0.8 million and $1.7 million in the three months ended July 31, 2023 and 2022, respectively. We also incurred consulting costs of $1.8 million and other activities, which includes relocation and other charges, of $1.2 million in the three months ended July 31, 2023, respectively. The following table summarizes the activity for the Global Restructuring Program liability for the three months ended July 31, 2023: April 30, 2023 Charges Payments Foreign Translation & Other Adjustments July 31, 2023 Severance and termination benefits $ 4,572 $ 5,944 $ (3,271) $ 24 $ 7,269 Consulting costs — 1,823 (1,425) — 398 Other activities 9 1,245 (595) (1) 658 Total $ 4,581 $ 9,012 $ (5,291) $ 23 $ 8,325 Approximately $6.8 million of the restructuring liability for accrued severance and termination benefits is reflected in Accrued employment costs and approximately $0.5 million is reflected in Other long-term liabilities on our Unaudited Condensed Consolidated Statement of Financial Position. The liabilities for Consulting costs and Other activities are reflected in Other accrued liabilities on our Unaudited Condensed Consolidated Statement of Financial Position . |
Segment Information
Segment Information | 3 Months Ended |
Jul. 31, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information On June 1, 2023, Wiley’s Board of Directors approved a plan to divest certain businesses that we determined are non-core businesses. Those businesses are University Services, Wiley Edge, and CrossKnowledge. These dispositions are expected to be completed during fiscal year 2024. As a result, we reorganized our segments and our new structure consists of three reportable segments which includes Research (no change), Learning, and Held for Sale or Sold, as well as a Corporate expense category (no change). The operations of University Services, Wiley Edge, and CrossKnowledge are reported in the Held for Sale or Sold segment. Prior period segment results have been revised to the new segment presentation. There were no changes to our consolidated financial results. • Research is unchanged and includes the reporting lines of Research Publishing and Research Solutions; • Learning includes the Academic and Professional reporting lines and consists of publishing and related knowledge solutions; • Held for Sale or Sold includes businesses held-for-sale including University Services, Wiley Edge, and CrossKnowledge, as well as those sold in fiscal year 2024 which includes Tuition Manager, and in fiscal year 2023 Test Prep and Advancement Courses. We report our segment information in accordance with the provisions of ASC Topic 280, “Segment Reporting.” These segments reflect the way our chief operating decision maker evaluates our business performance and manages the operations. The performance metric used by our chief operating decision maker to evaluate performance of our reportable segments is Adjusted Contribution to Profit. Segment information is as follows: Three Months Ended 2023 2022 Revenue : Research $ 257,804 $ 274,913 Learning 109,320 119,647 Held for Sale or Sold 83,889 93,009 Total revenue $ 451,013 $ 487,569 Adjusted Contribution to Profit: Research $ 53,527 $ 69,104 Learning 7,626 3,741 Held for Sale or Sold 3,084 (14,108) Total adjusted contribution to profit 64,237 58,737 Adjusted corporate contribution to profit (41,774) (48,667) Less: Held for Sale or Sold Segment Adjusted Contribution to Profit (1) (3,084) 14,108 Total adjusted operating income $ 19,379 $ 24,178 Depreciation and Amortization: Research $ 23,212 $ 23,801 Learning 13,552 14,055 Held for Sale or Sold (2) 3,437 16,267 Total depreciation and amortization 40,201 54,123 Corporate depreciation and amortization 3,527 4,156 Total depreciation and amortization $ 43,728 $ 58,279 (1) Our Adjusted Operating Income excludes the impact of our Held for Sale or Sold Segment Adjusted Operating Income results. (2) In the three months ended July 31, 2023, we ceased to record depreciation and amortization of long-lived assets for these businesses as of the date the assets were classified as held-for-sale. On January 1, 2020, Wiley acquired mthree, a talent placement provider that addresses the IT skills gap by finding, training, and placing job-ready technology talent in roles with leading corporations worldwide. Its results of operations are included in our Held for Sale or Sold segment. In late May 2022, Wiley renamed the mthree talent development solution to Wiley Edge and discontinued use of the mthree trademark during the three months ended July 31, 2022. As a result of these actions, we determined that a revision of the useful life was warranted and the intangible asset was fully amortized over its remaining useful life resulting in accelerated amortization expense of $4.6 million in the three months ended July 31, 2022. This amortization expense was an adjustment to the Held for Sale or Sold Adjusted contribution to profit. In addition, it was included in Depreciation and amortization in the table above for segment reporting. The following table shows a reconciliation of our consolidated US GAAP Operating Loss to Non-GAAP Adjusted Operating Income: Three Months Ended 2023 2022 US GAAP Operating Loss $ (16,355) $ (16,965) Adjustments: Restructuring and related charges (1) 12,123 22,441 Impairment of goodwill (1) 26,695 — Accelerated amortization of an intangible asset (2) — 4,594 Held for Sale or Sold segment Adjusted Contribution to Profit (3) (3,084) 14,108 Non-GAAP Adjusted Operating Income $ 19,379 $ 24,178 (1) See Note 9, “Restructuring and Related Charges” and Note 12, “Goodwill and Intangible Assets” for these charges by segment. (2) As described above, this accelerated amortization relates to the mthree trademark. (3) Our Adjusted Operating Income excludes the impact of our Held for Sale or Sold segment Adjusted Operating Income results. See Note 4, “Revenue Recognition, Contracts with Customers,” for revenue from contracts with customers disaggregated by segment and product type for the three months ended July 31, 2023 and 2022. |
Inventories
Inventories | 3 Months Ended |
Jul. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories, net consisted of the following: July 31, 2023 April 30, 2023 Finished goods $ 28,178 $ 29,339 Work-in-process 991 1,031 Paper and other materials 300 248 Total inventories before estimated sales returns and LIFO reserve $ 29,469 $ 30,618 Inventory value of estimated sales returns 7,628 6,923 LIFO reserve (6,808) (6,808) Inventories, net $ 30,289 $ 30,733 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 3 Months Ended |
Jul. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill The following table summarizes the activity in goodwill by segment as of July 31, 2023: April 30, 2023 (1)(2) Impairment Foreign Translation Adjustment July 31, 2023 Research $ 609,729 $ — $ 9,393 $ 619,122 Learning 486,025 — (2,648) 483,377 Total excluding Held for Sale or Sold segment 1,095,754 — 6,745 1,102,499 Held for Sale or Sold 108,296 (26,695) 339 81,940 Total including Held for Sale or Sold segment $ 1,204,050 $ (26,695) $ 7,084 $ 1,184,439 (1) The Held for Sale or Sold goodwill balance as of April 30, 2023 includes a cumulative pretax noncash goodwill impairment of $209.8 million. (2) In the three months ended July 31, 2023, we have reorganized our segments and due to this realignment have reallocated goodwill. Change in Segment Reporting Structure and New Reporting Units We have reorganized our segments. Our new segment reporting structure will consist of three reportable segments which includes Research (no changes), Learning, and Held for Sale or Sold, as well as a Corporate expense category (no change), which includes certain costs that are not allocated to the reportable segments. See Note 10, “Segment Information,” for more details. The Learning reportable segment includes two reporting units, Academic and Professional. The Held for Sale or Sold reportable segment includes three reporting units, University Services, Wiley Edge and CrossKnowledge. No changes were made to the Research reportable segment. Due to this realignment, we have reallocated goodwill to our reporting units on a relative fair value basis. As a result of this realignment, we are required to test goodwill for impairment immediately before and after the realignment. Since there were no changes to the Research reportable segment, no impairment test of the Research segment goodwill was required. We estimated the fair value of the reporting units using a weighting of fair values derived from an income and a market approach. Under the income approach, we determined the fair value of a reporting unit based on the present value of estimated future cash flows. Cash flow projections are based on our best estimates of forecasted economic and market conditions over the period including growth rates, expected changes in operating cash flows and cash expenditures. The discount rate used is based on a weighted average cost of capital adjusted for the relevant risk associated with the characteristics of the business and the projected cash flows. The market approach estimates fair value based on market multiples of current and forward 12-month revenue or EBITDA, as applicable, derived from comparable publicly traded companies with similar operating and investment characteristics as the reporting unit. Goodwill Impairment Before Realignment Prior to the realignment, we concluded that the fair value of the Academic Publishing, Talent Development (which includes Wiley Edge) and Professional Learning reporting units were above their carrying values. Therefore, there was no indication of impairment. The carrying value of the University Services reporting unit was above its fair value which resulted in a pretax non-cash goodwill impairment of $11.4 million. Such impairment reduced the goodwill of the University Services reporting unit to zero. This charge is reflected in Impairment of goodwill in the Unaudited Condensed Consolidated Statements of Net Loss. University Services was adversely impacted by market conditions and headwinds for online degree programs, which lead to a decline in projected enrollments from existing partners, pricing pressures and revenue share concessions, and a decline in new partner additions over both the short-term and long-term which adversely impacted forecasted revenue growth and operating cash flows. Prior to performing the goodwill impairment test for University Services, we also evaluated the recoverability of long-lived assets of the reporting unit. The carrying value of the long-lived assets that were tested for impairment was approximately $231.0 million. When indicators of impairment are present, we test definite lived and long-lived assets for recoverability by comparing the carrying value of an asset group to an estimate of the future undiscounted cash flows expected to result from the use and eventual disposition of the asset group. We considered the lower-than-expected revenue and forecasted operating cash flows over a sustained period of time, and downward revisions to our cash flow forecasts for this reporting unit to be indicators of impairment for their long-lived assets. Based on the results of the recoverability test, we determined that the undiscounted cash flows of the asset group of the University Services reporting unit exceeded the carrying value. Therefore, there was no impairment. Goodwill Impairment After Realignment After the realignment, we concluded that the fair value of the Academic, Professional, and Wiley Edge reporting units were above their carrying values. Therefore, there was no indication of impairment. As noted above, the goodwill of the University Services reporting unit was zero and no further testing of goodwill for impairment was required. The carrying value of the CrossKnowledge reporting unit was above its fair value which resulted in a pretax non-cash goodwill impairment of $15.3 million. This charge is reflected in Impairment of goodwill in the Unaudited Condensed Consolidated Statements of Net Loss. CrossKnowledge was adversely impacted by a decline in the demand for its offerings, which have resulted in lower sales and a decline in average contract value, that adversely impacted forecasted revenue growth and operating cash flows. Prior to performing the goodwill impairment test for CrossKnowledge, we also evaluated the recoverability of long-lived assets of the reporting unit. The carrying value of the long-lived assets that were tested for impairment was approximately $50.2 million. When indicators of impairment are present, we test definite lived and long-lived assets for recoverability by comparing the carrying value of an asset group to an estimate of the future undiscounted cash flows expected to result from the use and eventual disposition of the asset group. We considered the lower-than-expected revenue and forecasted operating cash flows over a sustained period of time, and downward revisions to our cash flow forecasts for this reporting unit to be indicators of impairment for their long-lived assets. Based on the results of the recoverability test, we determined that the undiscounted cash flows of the asset group of the CrossKnowledge reporting unit exceeded the carrying value. Therefore, there was no impairment. Intangible Assets Intangible assets, net were as follows: July 31, 2023 April 30, 2023 ⁽¹⁾ Intangible assets with definite lives, net: Content and publishing rights $ 457,827 $ 462,463 Customer relationships 46,185 217,346 Developed technology 24,625 45,500 Brands and trademarks 6,513 7,281 Covenants not to compete 56 300 Total intangible assets with definite lives, net 535,206 732,890 Intangible assets with indefinite lives: Brands and trademarks 37,000 37,000 Publishing rights 84,887 84,904 Total intangible assets with indefinite lives 121,887 121,904 Total intangible assets, net $ 657,093 $ 854,794 (1) The developed technology balance as of April 30, 2023 is presented net of accumulated impairments and write-offs of $2.8 million. The indefinite-lived brands and trademarks balance as of April 30, 2023 is net of accumulated impairments of $93.1 million. |
Income Taxes
Income Taxes | 3 Months Ended |
Jul. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Our effective tax rate fluctuates based on, among other factors, where income is earned and the level of income relative to tax attributes. The effective tax rate for the three months ended July 31, 2023, was 13.5%, compared with 23.7% for the three months ended July 31, 2022. The effective tax rate for the three months ended July 31, 2023, was lower than the US statutory rate primarily due to the impairment of goodwill resulting from the segment realignment described in Note 12, " Goodwill and Intangible Assets ," as well as the held-for-sale impairment described in Note 3, "Acquisitions and Divestitures", which resulted in a deferred tax benefit, the impact of US state taxes, and other discrete items offset by the mix of non-US income. The effective tax rate for the three months ended July 31, 2023, was lower than the effective tax rate for the three months ended July 31, 2022, primarily due to the same factors described above. The impairment of goodwill resulting from the segment realignment described in Note 12, " Goodwill and Intangible Assets ," results in a tax benefit of $2.7 million and the held-for-sale and impairment described in Note 3, "Acquisitions and Divestitures" results in a tax benefit of $10.7 million. Each year we file many tax returns given the number of national, state, and local tax jurisdictions in which we operate. These tax returns are subject to examination by the tax authorities. As a result, there is an uncertainty in income taxes recognized in our financial statements in accordance with accounting for income taxes and accounting for uncertainty in income taxes. The ultimate resolution of such uncertainties is not expected to have a material impact on the results of our operations. |
Retirement Plans
Retirement Plans | 3 Months Ended |
Jul. 31, 2023 | |
Retirement Benefits [Abstract] | |
Retirement Plans | Retirement Plans The components of net pension expense (income) for our defined benefit plans were as follows: Three Months Ended 2023 2022 Service cost $ 134 $ 200 Interest cost 6,947 6,189 Expected return on plan assets (7,491) (8,384) Amortization of prior service cost (23) (23) Amortization of net actuarial loss 2,026 1,524 Net pension expense (income) $ 1,593 $ (494) The service cost component of net pension expense (income) is reflected in Operating and administrative expenses on our Unaudited Condensed Consolidated Statements of Net Loss. The other components of net pension expense (income) are reported separately from the service cost component and below Operating loss. Such amounts are reflected in Other (expense) income, net on our Unaudited Condensed Consolidated Statements of Net Loss. Employer defined benefit pension plan contributions were $4.1 million and $3.9 million for the three months ended July 31, 2023 and 2022, respectively. Defined Contribution Savings Plans The expense for employer defined contribution savings plans was $7.7 million and $8.8 million for the three months ended July 31, 2023 and 2022, respectively. |
Debt and Available Credit Facil
Debt and Available Credit Facilities | 3 Months Ended |
Jul. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt and Available Credit Facilities | Debt and Available Credit Facilities Our total debt outstanding consisted of the amounts set forth in the following table: July 31, 2023 April 30, 2023 Short-term portion of long-term debt (1) $ 5,000 $ 5,000 Term loan A - Amended and Restated CA (2) 190,547 191,757 Revolving credit facility - Amended and Restated CA 700,370 551,535 Total long-term debt, less current portion 890,917 743,292 Total debt $ 895,917 $ 748,292 (1) Relates to our term loan A under the Amended and Restated CA. (2) Amounts are shown net of unamortized issuance costs of $0.7 million as of July 31, 2023 and $0.7 million as of April 30, 2023. Amended and Restated CA On November 30, 2022, we entered into the second amendment to the Third Amended and Restated Credit Agreement (collectively, the Amended and Restated CA). The Amended and Restated CA as of November 30, 2022 provided for senior unsecured credit facilities comprised of a (i) five-year revolving credit facility in an aggregate principal amount up to $1.115 billion, which matures November 2027, (ii) a five-year term loan A facility consisting of $200 million, which matures November 2027, and (iii) $185 million aggregate principal amount revolving credit facility through May 2024. Under the terms of the Amended and Restated CA, which can be drawn in multiple currencies, we have the option of borrowing at the following floating interest rates depending on the currency borrowed: (i) at a rate based on the US Secured Overnight Financing Rate (SOFR), the Sterling Overnight Index Average Rate (SONIA) or a EURIBOR-based rate, each rate plus an applicable margin ranging from 0.98% to 1.50%, depending on our consolidated net leverage ratio, as defined, or (ii) at the lender’s base rate plus an applicable margin ranging from zero to 0.50%, depending on our consolidated net leverage ratio. With respect to SOFR loans, there is a SOFR adjustment of between 0.10% and 0.25% depending on the duration of the loan. The lender’s base rate is defined as the highest of (i) the US federal funds effective rate plus a 0.50% margin, (ii) the Daily SOFR rate, as defined, plus a 1.00% margin, or (iii) the Bank of America prime lending rate. In addition, we pay a facility fee for the Amended and Restated CA ranging from 0.15% to 0.25% depending on our consolidated net leverage ratio. We also have the option to request an increase in the revolving credit facility by an amount not to exceed $500 million, in minimum increments of $50 million, subject to the approval of the lenders. The Amended and Restated CA contains certain customary affirmative and negative covenants, including a financial covenant in the form of a consolidated net leverage ratio and consolidated interest coverage ratio, which we were in compliance with as of July 31, 2023. In the three months ended January 31, 2023, we incurred $4.5 million of costs related to the second amendment of the Amended and Restated CA which resulted in total costs capitalized of $5.8 million for the Amended and Restated CA. The amount related to the term loan A facility was $0.8 million, consisting of lender fees of $0.8 million recorded as a reduction to Long-term debt and non-lender fees of less than $0.1 million included in Other non-current assets on our Unaudited Condensed Consolidated Statement of Financial Position. The amount related to the revolving credit facility of which a portion matures in May 2024 and in November 2027 was $0.2 million and $4.8 million, respectively, all of which is included in Other non-current assets on our Unaudited Condensed Consolidated Statement of Financial Position. We incurred a loss of $(0.2) million on the write-off of unamortized deferred costs in connection with the second amendment of the Amended and Restated CA which is reflected in Other income, net on our Unaudited Condensed Consolidated Statements of Net Loss for the three months ended January 31, 2023. The amortization expense of the costs incurred related to the Amended and Restated CA related to the lender and non-lender fees is recognized over a five-year term for credit commitments that mature in November 2027 and an 18-month term for credit commitments that mature in May 2024. Total amortization expense was $0.3 million and $0.3 million for the three months ended July 31, 2023 and 2022, respectively and is included in Interest expense on our Unaudited Condensed Consolidated Statements of Net Loss. As of July 31, 2023, we had approximately $600.6 million of unused borrowing capacity under our Amended and Restated CA and other facilities. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 3 Months Ended |
Jul. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities From time-to-time, we enter into forward exchange and interest rate swap contracts as a hedge against foreign currency asset and liability commitments, changes in interest rates and anticipated transaction exposures, including intercompany sales and purchases. All derivatives are recognized as assets or liabilities and measured at fair value. Derivatives that are not determined to be effective hedges are adjusted to fair value with a corresponding adjustment to earnings. We do not use financial instruments for trading or speculative purposes. Interest Rate Contracts As of July 31, 2023, we had total debt outstanding of $895.9 million, net of unamortized issuance costs of $0.7 million of which $896.6 million are variable rate loans outstanding under the Amended and Restated CA, which approximated fair value. The following table summarizes our interest rate swaps designated as cash flow hedges: Notional Amount Hedged Item (1) Date entered into Nature of Swap July 31, 2023 April 30, 2023 Fixed Interest Rate Variable Interest Rate Amended and Restated CA March 15, 2023 Pay fixed/receive variable $ 50,000 $ 50,000 3.565 % 1-month SOFR reset every month for a 3-year period ending April 15, 2026 Amended and Restated CA March 14, 2023 Pay fixed/receive variable 50,000 50,000 4.053 % 1-month SOFR reset every month for a 3-year period ending March 15, 2026 Amended and Restated CA March 13, 2023 Pay fixed/receive variable 50,000 50,000 3.720 % 1-month SOFR reset every month for a 3-year period ending March 15, 2026 Amended and Restated CA December 13, 2022 Pay fixed/receive variable 50,000 50,000 3.772 % 1-month SOFR reset every month for a 3-year period ending December 15, 2025 Amended and Restated CA June 16, 2022 Pay fixed/receive variable 100,000 100,000 3.467 % 1-month SOFR reset every month for a 2-year period ending May 15, 2024 Amended and Restated CA April 6, 2022 Pay fixed/receive variable 100,000 100,000 2.588 % 1-month SOFR reset every month for a 2-year period ending April 15, 2024 Amended and Restated CA April 12, 2021 Pay fixed/receive variable 100,000 100,000 0.465 % 1-month SOFR reset every month for a 3-year period ending April 15, 2024 $ 500,000 $ 500,000 (1) On November 30, 2022, we entered into the Second Amendment to our Amended and Restated CA. Refer to Note 15, "Debt and Available Credit Facilities" for more information related to our Amended and Restated CA. We record the fair value of our interest rate swaps on a recurring basis using Level 2 inputs of quoted prices for similar assets or liabilities in active markets. The fair value of the interest rate swaps as of July 31, 2023 was a deferred gain of $10.6 million. Based on the maturity dates of the contracts, $7.2 million of the deferred gain as of July 31, 2023 was recorded within Prepaid expenses and other current assets, and $3.4 million of the deferred gain was recorded within Other non-current assets. The fair value of the interest rate swaps as of April 30, 2023 was a deferred loss of $(0.6) million and a deferred gain of $7.8 million. Based on the maturity dates of the contracts, the entire deferred loss as of April 30, 2023 was recorded within Other long-term liabilities, $6.4 million of the deferred gain was recorded within Prepaid expenses and other current assets, and $1.4 million was recorded within Other non-current assets. The pretax gains (losses) that were reclassified from Accumulated other comprehensive loss into Interest expense for the three months ended July 31, 2023 and 2022 were $2.9 million and $(0.4) million, respectively. Foreign Currency Contracts We may enter into forward exchange contracts to manage our exposure on certain foreign currency denominated assets and liabilities. The forward exchange contracts are marked to market through Foreign exchange transaction losses on our Unaudited Condensed Consolidated Statements of Net Loss and carried at fair value on our Unaudited Condensed Consolidated Statements of Financial Position. Foreign currency denominated assets and liabilities are remeasured at spot rates in effect on the balance sheet date, with the effects of changes in spot rates reported in Foreign exchange transaction losses on our Unaudited Condensed Consolidated Statements of Net Loss. As of July 31, 2023, and April 30, 2023, we did not maintain any open forward exchange contracts. In addition, we did not maintain any open forward contracts during the three months ended July 31, 2023 and 2022. |
Capital Stock and Changes in Ca
Capital Stock and Changes in Capital Accounts | 3 Months Ended |
Jul. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Capital Stock and Changes in Capital Accounts | Capital Stock and Changes in Capital Accounts Share Repurchases The following table summarizes the share repurchases of Class A and Class B Common Stock (shares in thousands): Three Months Ended 2023 2022 Shares repurchased - Class A 301 212 Shares repurchased - Class B — — Average Price - Class A and Class B $ 33.25 $ 47.12 Dividends The following table summarizes the cash dividends paid during the three months ended July 31, 2023: Date of Declaration by Quarterly Cash Dividend Total Dividend Class of Common Stock Dividend Paid Date Shareholders of June 26, 2023 $0.3500 per common share $19.4 million Class A and Class B July 20, 2023 July 6, 2023 Changes in Common Stock The following is a summary of changes during the three months ended July 31, in shares of our common stock and common stock in treasury (shares in thousands): Changes in Common Stock A: 2023 2022 Number of shares issued, beginning of year 70,231 70,226 Number of shares issued, end of period 70,231 70,226 Changes in Common Stock A in treasury: Number of shares held, beginning of year 23,983 23,515 Purchases of treasury shares 301 212 Restricted shares issued under stock-based compensation plans – non-PSU Awards (128) (119) Restricted shares issued under stock-based compensation plans – PSU Awards (233) (149) Shares withheld for taxes 126 98 Number of shares held, end of period 24,049 23,557 Number of Common Stock A outstanding, end of period 46,182 46,669 Changes in Common Stock B: 2023 2022 Number of shares issued, beginning of year 12,951 12,956 Number of shares issued, end of period 12,951 12,956 Changes in Common Stock B in treasury: Number of shares held, beginning of year 3,925 3,924 Number of shares held, end of period 3,925 3,924 Number of Common Stock B outstanding, end of period 9,026 9,032 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Jul. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Legal Proceedings We are involved in routine litigation in the ordinary course of our business. A provision for litigation is accrued when information available to us indicates that it is probable a liability has been incurred and the amount of loss can be reasonably estimated. Significant judgment may be required to determine both the probability and estimates of loss. When the amount of the loss can only be estimated within a range, the most likely outcome within that range is accrued. If no amount within the range is a better estimate than any other amount, the minimum amount within the range is accrued. When uncertainties exist related to the probable outcome of litigation and/or the amount or range of loss, we do not record a liability, but disclose facts related to the nature of the contingency and possible losses if management considers the information to be material. Reserves for legal defense costs are recognized when incurred. The accruals for loss contingencies and legal costs are reviewed regularly and may be adjusted to reflect updated information on the status of litigation and advice of legal counsel. In the opinion of management, the ultimate resolution of all pending litigation as of July 31, 2023, will not have a material effect on our consolidated financial condition or results of operations. Non-Income Tax Matters We conduct operations in many tax jurisdictions, and non-income-based taxes, such as sales, use, value-added, goods and services, and other taxes, are assessed on our operations in many jurisdictions. Although we are diligent in collecting and remitting such taxes, there is uncertainty as to the appropriate tax treatment of digital goods and services in many jurisdictions. No assessment has been made, and we have received no indication that an assessment will be made, with respect to such taxes. Therefore, no provisions have been recorded for uncertainties in sales, use, value-added, goods and services, or other indirect tax liabilities in the accompanying consolidated financial statements. Nonetheless, changes in law or interpretation may occur in the future, which may have a material effect on the consolidated results of operations or cash flows in the period in which a new determination is made. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Pay vs Performance Disclosure | ||
Net Income (Loss) Attributable to Parent | $ (92,264) | $ (17,835) |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jul. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Recent Accounting Standards (Po
Recent Accounting Standards (Policies) | 3 Months Ended |
Jul. 31, 2023 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
Basis of Accounting | Basis of Presentation Throughout this report, when we refer to “Wiley,” the “Company,” “we,” “our,” or “us,” we are referring to John Wiley & Sons, Inc. and all our subsidiaries, except where the context indicates otherwise. Our Unaudited Condensed Consolidated Financial Statements include all the accounts of the Company and our subsidiaries. We have eliminated all intercompany transactions and balances in consolidation. In the opinion of management, the accompanying Unaudited Condensed Consolidated Financial Statements contain all adjustments, consisting only of normal recurring adjustments, necessary to state fairly the Unaudited Condensed Consolidated Financial Condition, Results of Operations, Comprehensive Loss and Cash Flows for the periods presented. Operating results for the interim period are not necessarily indicative of the results expected for the full year. All amounts are in thousands, except per share amounts, and approximate due to rounding. These financial statements should be read in conjunction with the most recent audited consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended April 30, 2023 as filed with the SEC on June 26, 2023 (2023 Form 10-K). |
Recently Adopted and Issued Accounting Standards | Recently Adopted Accounting Standards Accounting for Contract Assets and Contract Liabilities from Contracts with Customers In October 2021, the FASB issued ASU 2021-08, “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers.” This ASU requires that an acquirer recognize, and measure contract assets and contract liabilities acquired in a business combination in accordance with ASC 606 “Revenue from Contracts with Customers” (Topic 606) as if it had originated the contracts. Generally, this would result in an acquirer recognizing and measuring the acquired contract assets and contract liabilities consistent with how they were recognized and measured in the acquiree’s financial statements if the acquiree prepared financial statements in accordance with US GAAP. We adopted ASU 2021-08 on May 1, 2023. The standard is applied prospectively to business combinations occurring on or after the effective date of the amendments. The impact will be based on future business combinations after we adopt the standard. |
Revenue from Contract with Customer | Research Research customers include academic, corporate, government, and public libraries, funders of research, researchers, scientists, clinicians, engineers and technologists, scholarly and professional societies, and students and professors. Research products are sold and distributed globally through multiple channels, including research libraries and library consortia, independent subscription agents, direct sales to researchers and professional society members, and other customers. Publishing centers include Australia, China, Germany, India, the United Kingdom (UK), and the United States (US). The majority of revenue generated from Research products is recognized over time. Total Research revenue was $257.8 million in the three months ended July 31, 2023. We disaggregated revenue by Research Publishing & Research Solutions to reflect the different type of products and services provided. Research Publishing Products Research Publishing products provide scientific, technical, medical, and scholarly journals, as well as related content and services, to academic, corporate, and government libraries, learned societies, and individual researchers and other professionals. Research Publishing revenue was $223.0 million in the three months ended July 31, 2023, and the majority is recognized over time. In the three months ended July 31, 2023, Research Publishing products generated approximately 87% of their revenue from contracts with their customers from Journal Subscriptions (pay to read), Open Access (pay to publish) and Transformational Agreements (read and publish) and the remainder from Licensing, Backfiles, and Other. Research Solutions Products and Services Research Solutions services include corporate and society service offerings such as advertising, spectroscopy software and spectral databases, job board software and career center services, publishing services such as editorial operations, production, copyediting, system support and consulting, and a journal submission and peer-review management system. In addition, Research Solutions includes Atypon platforms and services. Atypon is a publishing software and service provider that enables scholarly and professional societies and publishers to deliver, host, enhance, market, and manage their content on the web through the Literatum TM platform. Research Solutions revenue was $34.8 million in the three months ended July 31, 2023, and the majority is recognized over time. In the three months ended July 31, 2023, Research Solutions products and services generated approximately 65% of their revenue from contracts with their customers from corporate and society offerings and 35% from Atypon platforms and services. Learning Learning customers include chain and online booksellers, libraries, colleges and universities, corporations, direct to consumer, web sites, and other online applications. Total Learning revenue was $109.3 million in the three months ended July 31, 2023. We disaggregated revenue by type of products provided. Learning products are Academic and Professional. Academic Academic products revenue was $48.3 million in the three months ended July 31, 2023. Academic products and services including scientific, professional, and education print and digital books, and digital courseware to libraries, corporations, students, professionals, and researchers. Communities served include business, finance, accounting, management, leadership, technology, behavioral health, engineering/architecture, science and medicine, and education. Products are developed for worldwide distribution through multiple channels, including chain and online booksellers, libraries, colleges and universities, corporations, direct to consumer, websites, distributor networks and other online applications. In the three months ended July 31, 2023, Academic products generated approximately 76% of their revenue from contracts with their customers for print and digital publishing, which is recognized at a point in time. Digital Courseware products generate approximately 14% of their revenue from contracts with their customers which is recognized over time. The remainder of their revenues were from Licensing and Other, which has a mix of revenue recognized at a point in time and over time. Professional Professional products revenue was $61.0 million in the three months ended July 31, 2023. Professional provides learning, development, publishing, and assessment services for businesses and professionals. Our trade publishing produces professional books, which includes business and finance, technology, professional development for educators, test preparation books and other professional categories, as well as the For Dummies ® brand. Products are sold to brick-and-mortar and online retailers, wholesalers who supply such bookstores, college bookstores, individual practitioners, corporations, and government agencies. Our assessments offering includes high-demand soft-skills training solutions that are delivered to organizational clients through online digital delivery platforms, either directly or through an authorized distributor network of independent consultants, trainers, and coaches. In the three months ended July 31, 2023, Professional products generated approximately 59% of their revenue from contracts with their customers for trade print and digital publishing, which is recognized at a point in time. Our assessments offering generates approximately 31% of their revenue from contracts with their customers which has a mix of revenue recognized at a point in time and over time. The remainder of their revenues were from Licensing and Other, which has a mix of revenue recognized at a point in time and over time. Held for Sale or Sold Held for Sale or Sold revenue was $83.9 million in the three months ended July 31, 2023. Offerings include University Services, Wiley Edge, and CrossKnowledge. Our University Services business offers institutions and their students a rich portfolio of education technology and student and faculty support services, allowing the institutions to reach more students online with their own quality academic programs. University Services revenue is mainly recognized over time. Wiley Edge sources, trains, and prepares aspiring students and professionals to meet the skill needs of today’s technology careers, and then places them with some of the world's largest financial institutions, technology companies, and government agencies. Wiley Edge also works with its clients to retrain and retain existing employees so they can continue to meet the changing demands of today’s technology landscape. Wiley Edge revenue is recognized at the point in time the services are provided to its customers. CrossKnowledge services includes corporate learning online learning and training solutions for global corporations, universities, and small and medium-sized enterprises sold on a subscription or fee basis. CrossKnowledge revenue is recognized over time. Held for Sale or Sold also includes the revenue associated with those businesses which have been sold which includes Wiley's Efficient Learning test prep portfolio business, and our advancement courses business which were both sold in fiscal year 2023, and our Tuition Manager business which was sold in the three months ended July 31, 2023. Accounts Receivable, net and Contract Liability Balances When consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of a contract, a contract liability is recorded. Contract liabilities are recognized as revenue when, or as, control of the products or services are transferred to the customer and all revenue recognition criteria have been met. |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Disposal Groups, Including Discontinued Operations | The major categories of assets and liabilities that have been classified as held-for-sale on the Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023 were as follows: University Services Cross Knowledge Wiley Edge Total Assets held-for-sale: Current assets Cash and cash equivalents (1) $ 12 $ 17,254 $ 14,742 $ 32,008 Accounts receivable, net 64,830 7,777 20,891 93,498 Prepaid expenses and other current assets (1) 2,726 4,181 6,837 13,744 Total current assets held-for-sale $ 67,568 $ 29,212 $ 42,470 $ 139,250 Technology, property and equipment, net 13,045 3,696 1,815 18,556 Intangible assets, net 133,413 18,305 34,891 186,609 Goodwill — — 81,940 81,940 Operating lease right-of-use assets 2,989 514 1,015 4,518 Other non-current assets 7,906 15,616 77 23,599 Valuation allowance (40,659) (33,080) — (73,739) Total non-current assets held-for-sale $ 116,694 $ 5,051 $ 119,738 $ 241,483 Liabilities held-for-sale: Current liabilities Accounts payable $ 1,414 $ 750 $ 244 $ 2,408 Accrued royalties — 454 — 454 Contract liabilities 719 17,883 3 18,605 Accrued employment costs 3,224 7,368 3,654 14,246 Short-term portion of operating lease liabilities 1,058 375 474 1,907 Other accrued liabilities 6,872 1,707 4,058 12,637 Total current liabilities held-for-sale $ 13,287 $ 28,537 $ 8,433 $ 50,257 Accrued pension liability — 658 — 658 Deferred income tax liabilities — 4,291 4,110 8,401 Operating lease liabilities 3,829 48 500 4,377 Other long-term liabilities 355 1,113 222 1,690 Total long-term liabilities held-for-sale $ 4,184 $ 6,110 $ 4,832 $ 15,126 (1) The following table shows a reconciliation of our cash, cash equivalents, and restricted cash included in current assets held-for-sale and in our Unaudited Condensed Consolidated Statement of Financial Position to our Unaudited Condensed Consolidated Statement of Cash Flows for the three months ended July 31, 2023: Cash and cash equivalents $ 75,144 Restricted cash included in Prepaid expenses and other current assets 50 Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023 75,194 Cash and cash equivalents held-for-sale 32,008 Restricted cash held-for-sale included in Prepaid expenses and other current assets 54 Total cash, cash equivalents, and restricted cash held-for-sale as of July 31, 2023 32,062 Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Cash Flows for the three months ended July 31, 2023 $ 107,256 |
Schedule of Cash and Cash Equivalents | Cash and cash equivalents $ 75,144 Restricted cash included in Prepaid expenses and other current assets 50 Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023 75,194 Cash and cash equivalents held-for-sale 32,008 Restricted cash held-for-sale included in Prepaid expenses and other current assets 54 Total cash, cash equivalents, and restricted cash held-for-sale as of July 31, 2023 32,062 Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Cash Flows for the three months ended July 31, 2023 $ 107,256 |
Restrictions on Cash and Cash Equivalents | Cash and cash equivalents $ 75,144 Restricted cash included in Prepaid expenses and other current assets 50 Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023 75,194 Cash and cash equivalents held-for-sale 32,008 Restricted cash held-for-sale included in Prepaid expenses and other current assets 54 Total cash, cash equivalents, and restricted cash held-for-sale as of July 31, 2023 32,062 Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Cash Flows for the three months ended July 31, 2023 $ 107,256 |
Revenue Recognition, Contract_2
Revenue Recognition, Contracts with Customers (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts With Customers Disaggregated by Segment and Product Type | The following table presents our revenue from contracts with customers disaggregated by segment and product type. Three Months Ended 2023 2022 Research: Research Publishing $ 223,000 $ 239,523 Research Solutions 34,804 35,390 Total Research 257,804 274,913 Learning: Academic 48,292 58,748 Professional 61,028 60,899 Total Learning 109,320 119,647 Held for Sale or Sold 83,889 93,009 Total Revenue $ 451,013 $ 487,569 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable | The following table provides information about accounts receivable, net and contract liabilities from contracts with customers. July 31, 2023 April 30, 2023 Increase/ Balances from contracts with customers: Accounts receivable, net $ 153,392 $ 310,121 $ (156,729) Contract liabilities (1) 369,562 504,695 (135,133) Contract liabilities (included in Other long-term liabilities) $ 19,038 $ 17,426 $ 1,612 (1) The sales return reserve recorded in Contract liabilities is $26.0 million and $24.6 million, as of July 31, 2023 and April 30, 2023, respectively. |
Operating Leases (Tables)
Operating Leases (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Leases [Abstract] | |
ROU Assets and Liabilities | For operating leases, the ROU assets and liabilities are presented on our Unaudited Condensed Consolidated Statement of Financial Position as follows: July 31, 2023 April 30, 2023 Operating lease ROU assets $ 82,415 $ 91,197 Short-term portion of operating lease liabilities 17,869 19,673 Operating lease liabilities, non-current $ 106,652 $ 115,540 |
Total Net Lease Costs | Our total net lease costs are as follows: Three Months Ended 2023 2022 Operating lease cost $ 4,083 $ 5,182 Variable lease cost 285 278 Short-term lease cost 278 115 Sublease income (203) (198) Total net lease cost (1) $ 4,443 $ 5,377 (1) Total net lease cost does not include those costs and sublease income included in Restructuring and related charges on our Unaudited Condensed Consolidated Statements of Net Loss. This includes those operating leases we had identified as part of our restructuring programs that would be subleased. See Note 9, “Restructuring and Related Charges” for more information on this program. |
Other Supplemental Information for Operating Leases | Other supplemental information includes the following: Three Months Ended 2023 2022 Weighted-average remaining contractual lease term (years) 8 8 Weighted-average discount rate 5.97 % 5.87 % Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 6,736 $ 7,341 |
Reconciliation of Undiscounted Cash Flows to Operating Lease Liabilities | The table below reconciles the undiscounted cash flows for the first five years and total of the remaining years to the operating lease liabilities recorded in our Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023: Fiscal Year Operating Lease 2024 (remaining 9 months) $ 18,261 2025 23,544 2026 21,782 2027 17,159 2028 13,282 Thereafter 64,185 Total future undiscounted minimum lease payments 158,213 Less: Imputed interest 33,692 Present value of minimum lease payments 124,521 Less: Current portion 17,869 Noncurrent portion $ 106,652 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Nonvested Restricted Stock Shares Activity | The following table summarizes awards we granted to employees (shares in thousands): Three Months Ended 2023 2022 Restricted Stock: Awards granted (shares) 789 494 Weighted average fair value of grant $ 31.54 $ 45.99 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The following table provides the estimated weighted average fair value for options granted during the three months ended July 31, 2023 and 2022 using the Black-Scholes option-pricing model, and the significant weighted average assumptions used in their determination. Three Months Ended 2023 2022 Weighted average fair value of options on grant date $ 7.94 $ 9.42 Weighted average assumptions: Expected life of options (years) 6.3 5.9 Risk-free interest rate 3.9 % 0.5 % Expected volatility 33.5 % 31.2 % Expected dividend yield 4.3 % 3.0 % Fair value of common stock on grant date $ 32.68 $ 45.99 Exercise price of stock option grant $ 32.68 $ 45.99 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Changes in Accumulated Other Comprehensive Loss by Component, Net of Tax | Changes in Accumulated other comprehensive loss by component, net of tax, for the three months ended July 31, 2023 and 2022 were as follows: Foreign Currency Translation Unamortized Retirement Costs Interest Rate Swaps Total Balance at April 30, 2023 $ (326,346) $ (206,806) $ 4,250 $ (528,902) Other comprehensive income (loss) before reclassifications 11,174 (3,324) 4,697 12,547 Amounts reclassified from accumulated other comprehensive loss — 1,487 (2,177) (690) Total other comprehensive income (loss) 11,174 (1,837) 2,520 11,857 Balance at July 31, 2023 $ (315,172) $ (208,643) $ 6,770 $ (517,045) Balance at April 30, 2022 $ (329,566) $ (182,226) $ 3,646 $ (508,146) Other comprehensive (loss) income before reclassifications (19,780) 3,979 (737) (16,538) Amounts reclassified from accumulated other comprehensive loss — 1,102 293 1,395 Total other comprehensive (loss) income (19,780) 5,081 (444) (15,143) Balance at July 31, 2022 $ (349,346) $ (177,145) $ 3,202 $ (523,289) |
Reconciliation of Weighted Av_2
Reconciliation of Weighted Average Shares Outstanding (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Weighted Average Number of Shares | A reconciliation of the shares used in the computation of loss per share follows (shares in thousands): Three Months Ended 2023 2022 Weighted average shares outstanding 55,270 55,736 Shares used for basic loss per share 55,270 55,736 Dilutive effect of unvested restricted stock units and other stock awards — — Shares used for diluted loss per share 55,270 55,736 Antidilutive options to purchase Class A common shares, restricted shares, and contingently issuable restricted stock which are excluded from the table above 999 1,211 |
Restructuring and Related Cha_2
Restructuring and Related Charges (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs | The following tables summarize the pretax restructuring and related charges related to the Global Restructuring Program: Three Months Ended Total Charges 2023 2022 Charges by Segment: Research $ 1,947 $ 81 $ 4,360 Learning 218 3,131 8,022 Held for Sale or Sold 2,623 3,613 8,409 Corporate Expenses 6,992 14,916 39,871 Total Restructuring and Related Charges $ 11,780 $ 21,741 $ 60,662 Charges by Activity: Severance and termination benefits $ 5,944 $ 12,097 $ 31,771 Impairment of operating lease ROU assets and property and equipment 1,575 6,106 14,271 Acceleration of expense related to operating lease ROU assets and property and equipment 364 1,840 2,504 Facility related charges, net 829 1,698 4,979 Consulting costs 1,823 — 4,108 Other activities 1,245 — 3,029 Total Restructuring and Related Charges $ 11,780 $ 21,741 $ 60,662 |
Activity for Restructuring Liability | The following table summarizes the activity for the Global Restructuring Program liability for the three months ended July 31, 2023: April 30, 2023 Charges Payments Foreign Translation & Other Adjustments July 31, 2023 Severance and termination benefits $ 4,572 $ 5,944 $ (3,271) $ 24 $ 7,269 Consulting costs — 1,823 (1,425) — 398 Other activities 9 1,245 (595) (1) 658 Total $ 4,581 $ 9,012 $ (5,291) $ 23 $ 8,325 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Segment information is as follows: Three Months Ended 2023 2022 Revenue : Research $ 257,804 $ 274,913 Learning 109,320 119,647 Held for Sale or Sold 83,889 93,009 Total revenue $ 451,013 $ 487,569 Adjusted Contribution to Profit: Research $ 53,527 $ 69,104 Learning 7,626 3,741 Held for Sale or Sold 3,084 (14,108) Total adjusted contribution to profit 64,237 58,737 Adjusted corporate contribution to profit (41,774) (48,667) Less: Held for Sale or Sold Segment Adjusted Contribution to Profit (1) (3,084) 14,108 Total adjusted operating income $ 19,379 $ 24,178 Depreciation and Amortization: Research $ 23,212 $ 23,801 Learning 13,552 14,055 Held for Sale or Sold (2) 3,437 16,267 Total depreciation and amortization 40,201 54,123 Corporate depreciation and amortization 3,527 4,156 Total depreciation and amortization $ 43,728 $ 58,279 (1) Our Adjusted Operating Income excludes the impact of our Held for Sale or Sold Segment Adjusted Operating Income results. (2) In the three months ended July 31, 2023, we ceased to record depreciation and amortization of long-lived assets for these businesses as of the date the assets were classified as held-for-sale. On January 1, 2020, Wiley acquired mthree, a talent placement provider that addresses the IT skills gap by finding, training, and placing job-ready technology talent in roles with leading corporations worldwide. Its results of operations are included in our Held for Sale or Sold segment. In late May 2022, Wiley renamed the mthree talent development solution to Wiley Edge and discontinued use of the mthree trademark during the three months ended July 31, 2022. As a result of these actions, we determined that a revision of the useful life was warranted and the intangible asset was fully amortized over its remaining useful life resulting in accelerated amortization expense of $4.6 million in the three months ended July 31, 2022. This amortization expense was an adjustment to the Held for Sale or Sold Adjusted contribution to profit. In addition, it was included in Depreciation and amortization in the table above for segment reporting. |
Reconciliation of Consolidated US GAAP Operating Income to Non-GAAP Adjusted Contribution to Profit | The following table shows a reconciliation of our consolidated US GAAP Operating Loss to Non-GAAP Adjusted Operating Income: Three Months Ended 2023 2022 US GAAP Operating Loss $ (16,355) $ (16,965) Adjustments: Restructuring and related charges (1) 12,123 22,441 Impairment of goodwill (1) 26,695 — Accelerated amortization of an intangible asset (2) — 4,594 Held for Sale or Sold segment Adjusted Contribution to Profit (3) (3,084) 14,108 Non-GAAP Adjusted Operating Income $ 19,379 $ 24,178 (1) See Note 9, “Restructuring and Related Charges” and Note 12, “Goodwill and Intangible Assets” for these charges by segment. (2) As described above, this accelerated amortization relates to the mthree trademark. (3) Our Adjusted Operating Income excludes the impact of our Held for Sale or Sold segment Adjusted Operating Income results. |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current | Inventories, net consisted of the following: July 31, 2023 April 30, 2023 Finished goods $ 28,178 $ 29,339 Work-in-process 991 1,031 Paper and other materials 300 248 Total inventories before estimated sales returns and LIFO reserve $ 29,469 $ 30,618 Inventory value of estimated sales returns 7,628 6,923 LIFO reserve (6,808) (6,808) Inventories, net $ 30,289 $ 30,733 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The following table summarizes the activity in goodwill by segment as of July 31, 2023: April 30, 2023 (1)(2) Impairment Foreign Translation Adjustment July 31, 2023 Research $ 609,729 $ — $ 9,393 $ 619,122 Learning 486,025 — (2,648) 483,377 Total excluding Held for Sale or Sold segment 1,095,754 — 6,745 1,102,499 Held for Sale or Sold 108,296 (26,695) 339 81,940 Total including Held for Sale or Sold segment $ 1,204,050 $ (26,695) $ 7,084 $ 1,184,439 (1) The Held for Sale or Sold goodwill balance as of April 30, 2023 includes a cumulative pretax noncash goodwill impairment of $209.8 million. (2) In the three months ended July 31, 2023, we have reorganized our segments and due to this realignment have reallocated goodwill. |
Intangible Assets, Net | Intangible assets, net were as follows: July 31, 2023 April 30, 2023 ⁽¹⁾ Intangible assets with definite lives, net: Content and publishing rights $ 457,827 $ 462,463 Customer relationships 46,185 217,346 Developed technology 24,625 45,500 Brands and trademarks 6,513 7,281 Covenants not to compete 56 300 Total intangible assets with definite lives, net 535,206 732,890 Intangible assets with indefinite lives: Brands and trademarks 37,000 37,000 Publishing rights 84,887 84,904 Total intangible assets with indefinite lives 121,887 121,904 Total intangible assets, net $ 657,093 $ 854,794 (1) The developed technology balance as of April 30, 2023 is presented net of accumulated impairments and write-offs of $2.8 million. The indefinite-lived brands and trademarks balance as of April 30, 2023 is net of accumulated impairments of $93.1 million. |
Retirement Plans (Tables)
Retirement Plans (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Retirement Benefits [Abstract] | |
Schedule of Net Benefit Costs | The components of net pension expense (income) for our defined benefit plans were as follows: Three Months Ended 2023 2022 Service cost $ 134 $ 200 Interest cost 6,947 6,189 Expected return on plan assets (7,491) (8,384) Amortization of prior service cost (23) (23) Amortization of net actuarial loss 2,026 1,524 Net pension expense (income) $ 1,593 $ (494) |
Debt and Available Credit Fac_2
Debt and Available Credit Facilities (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Debt Disclosure [Abstract] | |
Total Debt Outstanding | Our total debt outstanding consisted of the amounts set forth in the following table: July 31, 2023 April 30, 2023 Short-term portion of long-term debt (1) $ 5,000 $ 5,000 Term loan A - Amended and Restated CA (2) 190,547 191,757 Revolving credit facility - Amended and Restated CA 700,370 551,535 Total long-term debt, less current portion 890,917 743,292 Total debt $ 895,917 $ 748,292 (1) Relates to our term loan A under the Amended and Restated CA. (2) Amounts are shown net of unamortized issuance costs of $0.7 million as of July 31, 2023 and $0.7 million as of April 30, 2023. |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | The following table summarizes our interest rate swaps designated as cash flow hedges: Notional Amount Hedged Item (1) Date entered into Nature of Swap July 31, 2023 April 30, 2023 Fixed Interest Rate Variable Interest Rate Amended and Restated CA March 15, 2023 Pay fixed/receive variable $ 50,000 $ 50,000 3.565 % 1-month SOFR reset every month for a 3-year period ending April 15, 2026 Amended and Restated CA March 14, 2023 Pay fixed/receive variable 50,000 50,000 4.053 % 1-month SOFR reset every month for a 3-year period ending March 15, 2026 Amended and Restated CA March 13, 2023 Pay fixed/receive variable 50,000 50,000 3.720 % 1-month SOFR reset every month for a 3-year period ending March 15, 2026 Amended and Restated CA December 13, 2022 Pay fixed/receive variable 50,000 50,000 3.772 % 1-month SOFR reset every month for a 3-year period ending December 15, 2025 Amended and Restated CA June 16, 2022 Pay fixed/receive variable 100,000 100,000 3.467 % 1-month SOFR reset every month for a 2-year period ending May 15, 2024 Amended and Restated CA April 6, 2022 Pay fixed/receive variable 100,000 100,000 2.588 % 1-month SOFR reset every month for a 2-year period ending April 15, 2024 Amended and Restated CA April 12, 2021 Pay fixed/receive variable 100,000 100,000 0.465 % 1-month SOFR reset every month for a 3-year period ending April 15, 2024 $ 500,000 $ 500,000 (1) On November 30, 2022, we entered into the Second Amendment to our Amended and Restated CA. Refer to Note 15, "Debt and Available Credit Facilities" for more information related to our Amended and Restated CA. |
Capital Stock and Changes in _2
Capital Stock and Changes in Capital Accounts (Tables) | 3 Months Ended |
Jul. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Summary of Shares Repurchased | The following table summarizes the share repurchases of Class A and Class B Common Stock (shares in thousands): Three Months Ended 2023 2022 Shares repurchased - Class A 301 212 Shares repurchased - Class B — — Average Price - Class A and Class B $ 33.25 $ 47.12 |
Cash Dividends Paid | The following table summarizes the cash dividends paid during the three months ended July 31, 2023: Date of Declaration by Quarterly Cash Dividend Total Dividend Class of Common Stock Dividend Paid Date Shareholders of June 26, 2023 $0.3500 per common share $19.4 million Class A and Class B July 20, 2023 July 6, 2023 |
Schedule of Stock by Class | The following is a summary of changes during the three months ended July 31, in shares of our common stock and common stock in treasury (shares in thousands): Changes in Common Stock A: 2023 2022 Number of shares issued, beginning of year 70,231 70,226 Number of shares issued, end of period 70,231 70,226 Changes in Common Stock A in treasury: Number of shares held, beginning of year 23,983 23,515 Purchases of treasury shares 301 212 Restricted shares issued under stock-based compensation plans – non-PSU Awards (128) (119) Restricted shares issued under stock-based compensation plans – PSU Awards (233) (149) Shares withheld for taxes 126 98 Number of shares held, end of period 24,049 23,557 Number of Common Stock A outstanding, end of period 46,182 46,669 Changes in Common Stock B: 2023 2022 Number of shares issued, beginning of year 12,951 12,956 Number of shares issued, end of period 12,951 12,956 Changes in Common Stock B in treasury: Number of shares held, beginning of year 3,925 3,924 Number of shares held, end of period 3,925 3,924 Number of Common Stock B outstanding, end of period 9,026 9,032 |
Acquisitions and Divestitures -
Acquisitions and Divestitures - Narrative (Details) | 3 Months Ended | ||||
May 31, 2023 USD ($) | Nov. 01, 2022 USD ($) | Jul. 31, 2023 USD ($) Segment | Jul. 31, 2022 USD ($) | Apr. 30, 2023 USD ($) | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Goodwill | $ 1,102,499,000 | $ 1,204,050,000 | |||
Proceeds related to the sale of a business | $ 457,000 | $ 0 | |||
Number of reportable segments | Segment | 3 | ||||
Learning | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Goodwill | $ 483,377,000 | $ 486,025,000 | |||
Series of Individually Immaterial Business Acquisitions | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Fair value of consideration transferred | $ 6,100,000 | ||||
Total cash consideration transferred | 5,200,000 | ||||
Cash to be paid after acquisition date | 900,000 | ||||
Intangible assets | 3,700,000 | ||||
Series of Individually Immaterial Business Acquisitions | Learning | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Goodwill | $ 3,900,000 | ||||
Held-for-Sale | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Intangible assets, net | 186,609,000 | ||||
Goodwill | 81,940,000 | ||||
Disposal group, pre-tax impairment | 73,900,000 | ||||
Tuition Manager | Disposed of by Sale | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds related to the sale of a business | $ 500,000 | ||||
Loss on disposal | 2,000,000 | ||||
Total non-current assets held-for-sale | 2,500,000 | ||||
Intangible assets, net | 1,000,000 | ||||
Goodwill | $ 0 | ||||
University Services | Held-for-Sale | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Intangible assets, net | 133,413,000 | ||||
Goodwill | 0 | ||||
Disposal group, pre-tax impairment | 40,600,000 | ||||
Cross Knowledge | Held-for-Sale | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Intangible assets, net | 18,305,000 | ||||
Goodwill | 0 | ||||
Disposal group, pre-tax impairment | $ 33,300,000 |
Acquisitions and Divestitures_2
Acquisitions and Divestitures - Categories of Assets and Liabilities Held For Sale (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Apr. 30, 2023 |
Assets held-for-sale: | ||
Cash and cash equivalents | $ 32,008 | |
Total current assets held-for-sale | 139,250 | $ 0 |
Total non-current assets held-for-sale | 241,483 | 0 |
Liabilities held-for-sale: | ||
Total current liabilities held-for-sale | 50,257 | $ 0 |
Held-for-Sale | ||
Assets held-for-sale: | ||
Cash and cash equivalents | 32,008 | |
Accounts receivable, net | 93,498 | |
Prepaid expenses and other current assets | 13,744 | |
Total current assets held-for-sale | 139,250 | |
Technology, property and equipment, net | 18,556 | |
Intangible assets, net | 186,609 | |
Goodwill | 81,940 | |
Operating lease right-of-use assets | 4,518 | |
Other non-current assets | 23,599 | |
Valuation allowance | (73,739) | |
Total non-current assets held-for-sale | 241,483 | |
Liabilities held-for-sale: | ||
Accounts payable | 2,408 | |
Accrued royalties | 454 | |
Contract liabilities | 18,605 | |
Accrued employment costs | 14,246 | |
Short-term portion of operating lease liabilities | 1,907 | |
Other accrued liabilities | 12,637 | |
Total current liabilities held-for-sale | 50,257 | |
Accrued pension liability | 658 | |
Deferred income tax liabilities | 8,401 | |
Operating lease liabilities | 4,377 | |
Other long-term liabilities | 1,690 | |
Total long-term liabilities held-for-sale | 15,126 | |
University Services | Held-for-Sale | ||
Assets held-for-sale: | ||
Cash and cash equivalents | 12 | |
Accounts receivable, net | 64,830 | |
Prepaid expenses and other current assets | 2,726 | |
Total current assets held-for-sale | 67,568 | |
Technology, property and equipment, net | 13,045 | |
Intangible assets, net | 133,413 | |
Goodwill | 0 | |
Operating lease right-of-use assets | 2,989 | |
Other non-current assets | 7,906 | |
Valuation allowance | (40,659) | |
Total non-current assets held-for-sale | 116,694 | |
Liabilities held-for-sale: | ||
Accounts payable | 1,414 | |
Accrued royalties | 0 | |
Contract liabilities | 719 | |
Accrued employment costs | 3,224 | |
Short-term portion of operating lease liabilities | 1,058 | |
Other accrued liabilities | 6,872 | |
Total current liabilities held-for-sale | 13,287 | |
Accrued pension liability | 0 | |
Deferred income tax liabilities | 0 | |
Operating lease liabilities | 3,829 | |
Other long-term liabilities | 355 | |
Total long-term liabilities held-for-sale | 4,184 | |
Cross Knowledge | Held-for-Sale | ||
Assets held-for-sale: | ||
Cash and cash equivalents | 17,254 | |
Accounts receivable, net | 7,777 | |
Prepaid expenses and other current assets | 4,181 | |
Total current assets held-for-sale | 29,212 | |
Technology, property and equipment, net | 3,696 | |
Intangible assets, net | 18,305 | |
Goodwill | 0 | |
Operating lease right-of-use assets | 514 | |
Other non-current assets | 15,616 | |
Valuation allowance | (33,080) | |
Total non-current assets held-for-sale | 5,051 | |
Liabilities held-for-sale: | ||
Accounts payable | 750 | |
Accrued royalties | 454 | |
Contract liabilities | 17,883 | |
Accrued employment costs | 7,368 | |
Short-term portion of operating lease liabilities | 375 | |
Other accrued liabilities | 1,707 | |
Total current liabilities held-for-sale | 28,537 | |
Accrued pension liability | 658 | |
Deferred income tax liabilities | 4,291 | |
Operating lease liabilities | 48 | |
Other long-term liabilities | 1,113 | |
Total long-term liabilities held-for-sale | 6,110 | |
Wiley Edge | Held-for-Sale | ||
Assets held-for-sale: | ||
Cash and cash equivalents | 14,742 | |
Accounts receivable, net | 20,891 | |
Prepaid expenses and other current assets | 6,837 | |
Total current assets held-for-sale | 42,470 | |
Technology, property and equipment, net | 1,815 | |
Intangible assets, net | 34,891 | |
Goodwill | 81,940 | |
Operating lease right-of-use assets | 1,015 | |
Other non-current assets | 77 | |
Valuation allowance | 0 | |
Total non-current assets held-for-sale | 119,738 | |
Liabilities held-for-sale: | ||
Accounts payable | 244 | |
Accrued royalties | 0 | |
Contract liabilities | 3 | |
Accrued employment costs | 3,654 | |
Short-term portion of operating lease liabilities | 474 | |
Other accrued liabilities | 4,058 | |
Total current liabilities held-for-sale | 8,433 | |
Accrued pension liability | 0 | |
Deferred income tax liabilities | 4,110 | |
Operating lease liabilities | 500 | |
Other long-term liabilities | 222 | |
Total long-term liabilities held-for-sale | $ 4,832 |
Acquisitions and Divestitures_3
Acquisitions and Divestitures - Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Apr. 30, 2023 | Jul. 31, 2022 | [1] | Apr. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | ||||||
Cash and cash equivalents | $ 75,144 | $ 106,714 | ||||
Restricted cash included in Prepaid expenses and other current assets | 50 | |||||
Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Financial Position as of July 31, 2023 | 75,194 | |||||
Cash and cash equivalents held-for-sale | 32,008 | |||||
Restricted cash held-for-sale included in Prepaid expenses and other current assets | 54 | |||||
Total cash, cash equivalents, and restricted cash held-for-sale as of July 31, 2023 | 32,062 | |||||
Total cash, cash equivalents, and restricted cash per Unaudited Condensed Consolidated Statement of Cash Flows for the three months ended July 31, 2023 | $ 107,256 | [1] | $ 107,262 | $ 104,986 | $ 100,727 | |
[1]The balance as of July 31, 2023 includes held-for-sale cash, cash equivalents and restricted cash. See Note 3, "Acquisitions and Divestitures" for further details. |
Revenue Recognition, Contract_3
Revenue Recognition, Contracts with Customers - Disaggregation of Revenue (Details) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 USD ($) Segment | Jul. 31, 2022 USD ($) | |
Disaggregation of Revenue [Line Items] | ||
Revenue, net | $ 451,013 | $ 487,569 |
Number of reportable segments | Segment | 3 | |
Disposal Group, Held-for-Sale or Disposed of by Sale, Not Discontinued Operations | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from disposal group | $ 83,900 | |
Research | Research Publishing | Journal Subscriptions, Open Access and Comprehensive Agreements | Product Concentration Risk | Revenue from Contract with Customers | ||
Disaggregation of Revenue [Line Items] | ||
Revenue percentage | 87% | |
Research | Research Solutions | Corporate And Society Offerings | Product Concentration Risk | Revenue from Contract with Customers | ||
Disaggregation of Revenue [Line Items] | ||
Revenue percentage | 65% | |
Research | Research Solutions | Atypon Platform and Services | Product Concentration Risk | Revenue from Contract with Customers | ||
Disaggregation of Revenue [Line Items] | ||
Revenue percentage | 35% | |
Learning | Academic | Print and Digital | Transferred at Point in Time | Product Concentration Risk | Revenue from Contract with Customers | ||
Disaggregation of Revenue [Line Items] | ||
Revenue percentage | 76% | |
Learning | Academic | Digital Courseware | Transferred over Time | Product Concentration Risk | Revenue from Contract with Customers | ||
Disaggregation of Revenue [Line Items] | ||
Revenue percentage | 14% | |
Learning | Professional | Print and Digital | Transferred at Point in Time | Product Concentration Risk | Revenue from Contract with Customers | ||
Disaggregation of Revenue [Line Items] | ||
Revenue percentage | 59% | |
Learning | Professional | Print and Digital | Transferred over Time | Product Concentration Risk | Revenue from Contract with Customers | ||
Disaggregation of Revenue [Line Items] | ||
Revenue percentage | 31% | |
Operating Segments | Research | ||
Disaggregation of Revenue [Line Items] | ||
Revenue, net | $ 257,804 | 274,913 |
Operating Segments | Research | Research Publishing | ||
Disaggregation of Revenue [Line Items] | ||
Revenue, net | 223,000 | 239,523 |
Operating Segments | Research | Research Solutions | ||
Disaggregation of Revenue [Line Items] | ||
Revenue, net | 34,804 | 35,390 |
Operating Segments | Learning | ||
Disaggregation of Revenue [Line Items] | ||
Revenue, net | 109,320 | 119,647 |
Operating Segments | Learning | Academic | ||
Disaggregation of Revenue [Line Items] | ||
Revenue, net | 48,292 | 58,748 |
Operating Segments | Learning | Professional | ||
Disaggregation of Revenue [Line Items] | ||
Revenue, net | 61,028 | 60,899 |
Operating Segments | Held for Sale or Sold | ||
Disaggregation of Revenue [Line Items] | ||
Revenue, net | $ 83,889 | $ 93,009 |
Revenue Recognition, Contract_4
Revenue Recognition, Contracts with Customers - Accounts Receivable, net and Contract Liability Balances (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Apr. 30, 2023 | |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract] | |||
Accounts receivable, net | $ 153,392 | $ 310,121 | |
Contract liabilities | 369,562 | 504,695 | |
Contract liabilities (included in Other long-term liabilities) | 19,038 | 17,426 | |
Increase/(decrease) [Abstract] | |||
Accounts receivable, net | (156,729) | ||
Contract liabilities | (135,133) | ||
Contract liabilities (included in Other long-term liabilities) | 1,612 | ||
Sales return reserve recorded in contract liability | $ 26,000 | $ 24,600 | |
Revenue recognized from beginning contract liability, percentage | 40% | 43% |
Revenue Recognition, Contract_5
Revenue Recognition, Contracts with Customers - Remaining Performance Obligations included in Contract Liability (Details) - USD ($) $ in Millions | Jul. 31, 2023 | Apr. 30, 2023 |
Revenue, Performance Obligation Satisfied over Time [Abstract] | ||
Remaining performance obligation to be recognized | $ 388.6 | |
Sales return reserve recorded in contract liability | 26 | $ 24.6 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-08-01 | ||
Revenue, Performance Obligation Satisfied over Time [Abstract] | ||
Remaining performance obligations excluding sales return reserve | $ 343.6 | |
Remaining performance obligation, expected timing of satisfaction | 12 months | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-08-01 | ||
Revenue, Performance Obligation Satisfied over Time [Abstract] | ||
Remaining performance obligation to be recognized | $ 19 | |
Remaining performance obligation, expected timing of satisfaction |
Revenue Recognition, Contract_6
Revenue Recognition, Contracts with Customers - Assets Recognized for the Costs to Fulfill a Contract (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Apr. 30, 2023 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Costs capitalized | $ 10,600 | $ 10,600 | |
Amortization of capitalized contract cost | 1,700 | $ 1,200 | |
Operating and administrative expenses | 255,801 | 282,751 | |
Shipping and Handling | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Operating and administrative expenses | $ 6,700 | $ 6,500 |
Operating Leases (Details)
Operating Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Apr. 30, 2023 | |
Leases [Abstract] | ||
Operating lease ROU assets | $ 82,415 | $ 91,197 |
Short-term portion of operating lease liabilities | 17,869 | 19,673 |
Operating lease liabilities, non-current | 106,652 | $ 115,540 |
Increase (decrease) in ROU assets due to new leases as well as modifications and remeasurements to existing operating leases | 200 | |
Increase (decrease) in operating lease liabilities due to new leases as well as modifications and remeasurements to existing operating leases | $ 200 |
Operating Leases - Total Net Le
Operating Leases - Total Net Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Leases [Abstract] | ||
Operating lease cost | $ 4,083 | $ 5,182 |
Variable lease cost | 285 | 278 |
Short-term lease cost | 278 | 115 |
Sublease income | (203) | (198) |
Total net lease cost | $ 4,443 | $ 5,377 |
Operating Leases - Other Supple
Operating Leases - Other Supplemental Information for Operating Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Leases [Abstract] | ||
Weighted-average remaining contractual lease term (in years) | 8 years | 8 years |
Weighted-average discount rate | 5.97% | 5.87% |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows from operating leases | $ 6,736 | $ 7,341 |
Operating Leases - Reconciliati
Operating Leases - Reconciliation of Undiscounted Cash Flows to Operating Lease Liabilities (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Apr. 30, 2023 |
Operating Lease Liabilities | ||
2024 (remaining 9 months) | $ 18,261 | |
2025 | 23,544 | |
2026 | 21,782 | |
2027 | 17,159 | |
2028 | 13,282 | |
Thereafter | 64,185 | |
Total future undiscounted minimum lease payments | 158,213 | |
Less: Imputed interest | 33,692 | |
Present value of minimum lease payments | 124,521 | |
Less: Current portion | 17,869 | $ 19,673 |
Operating lease liabilities, non-current | $ 106,652 | $ 115,540 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation expense | $ 6,286 | $ 7,123 |
Performance Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Period for achievement of performance-based targets (in years) | 3 years |
Stock-Based Compensation - Perf
Stock-Based Compensation - Performance-Based and Other Restricted Stock Activity (Details) - Restricted Stock - $ / shares shares in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Awards granted (in shares) | 789 | 494 |
Weighted average fair value of grant (in dollars per share) | $ 31.54 | $ 45.99 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Option Activity (Details) - Share-based Payment Arrangement, Option - $ / shares | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract] | ||
Grants in period, stock option awards (in shares) | 10,000 | 10,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||
Weighted average fair value of options on grant date (in dollars per share) | $ 7.94 | $ 9.42 |
Weighted average assumptions: | ||
Expected life of options (years) | 6 years 3 months 18 days | 5 years 10 months 24 days |
Risk-free interest rate | 3.90% | 0.50% |
Expected volatility | 33.50% | 31.20% |
Expected dividend yield | 4.30% | 3% |
Fair value of common stock on grant date (in dollars per share) | $ 32.68 | $ 45.99 |
Exercise price of stock option grant (in dollars per share) | $ 32.68 | $ 45.99 |
Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract] | ||
Exercisable period | 10 years | |
First Anniversary | ||
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract] | ||
Options generally vesting, as a percent | 10% | |
Second Anniversary | ||
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract] | ||
Options generally vesting, as a percent | 20% | |
Third Anniversary | ||
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract] | ||
Options generally vesting, as a percent | 30% | |
Fourth Anniversary | ||
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract] | ||
Options generally vesting, as a percent | 40% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | $ 1,045,027 | $ 1,142,269 |
Other comprehensive income (loss) before reclassifications | 12,547 | (16,538) |
Amounts reclassified from accumulated other comprehensive loss | (690) | 1,395 |
Total other comprehensive income (loss) | 11,857 | (15,143) |
Ending balance | 937,206 | 1,082,326 |
Accumulated other comprehensive loss, net of tax | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (528,902) | (508,146) |
Ending balance | (517,045) | (523,289) |
Foreign Currency Translation | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (326,346) | (329,566) |
Other comprehensive income (loss) before reclassifications | 11,174 | (19,780) |
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 |
Total other comprehensive income (loss) | 11,174 | (19,780) |
Ending balance | (315,172) | (349,346) |
Unamortized Retirement Costs | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | (206,806) | (182,226) |
Other comprehensive income (loss) before reclassifications | (3,324) | 3,979 |
Amounts reclassified from accumulated other comprehensive loss | 1,487 | 1,102 |
Total other comprehensive income (loss) | (1,837) | 5,081 |
Ending balance | (208,643) | (177,145) |
Interest Rate Swaps | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 4,250 | 3,646 |
Other comprehensive income (loss) before reclassifications | 4,697 | (737) |
Amounts reclassified from accumulated other comprehensive loss | (2,177) | 293 |
Total other comprehensive income (loss) | 2,520 | (444) |
Ending balance | $ 6,770 | $ 3,202 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Reclassification out of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Pension expense | $ 1,593 | $ (494) |
Reclassification out of Accumulated Other Comprehensive Loss | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Pension expense | $ 2,000 | $ 1,500 |
Reconciliation of Weighted Av_3
Reconciliation of Weighted Average Shares Outstanding (Details) - shares shares in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Earnings Per Share [Abstract] | ||
Weighted average shares outstanding, basic (in shares) | 55,270 | 55,736 |
Shares used for basic loss per share (in shares) | 55,270 | 55,736 |
Dilutive effect of unvested restricted stock units and other stock awards (in shares) | 0 | 0 |
Shares used for diluted loss per shares (in shares) | 55,270 | 55,736 |
Antidilutive options to purchase Class A common shares, restricted shares, warrants to purchase Class A common shares, and contingently issuable restricted stock which are exclude from table above (in shares) | 999 | 1,211 |
Restructuring and Related Cha_3
Restructuring and Related Charges - Narrative (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | |
May 31, 2022 | Jul. 31, 2023 USD ($) | Jul. 31, 2022 USD ($) | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | $ 12,123 | $ 22,441 | |
Restructuring liability, current | 6,800 | ||
Restructuring reserve, noncurrent | $ 500 | ||
Global Restructuring Program | |||
Restructuring Cost and Reserve [Line Items] | |||
Reduction to square footage occupancy (as a percent) | 0.22 | ||
Percentage of real estate property reduction | 0.06 | ||
Restructuring and related charges | $ 11,780 | 21,741 | |
Fair value of operating lease ROU assets | 900 | 2,400 | |
Global Restructuring Program | Impairment of operating lease ROU assets and property and equipment | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | 1,575 | 6,106 | |
Global Restructuring Program | Impairment of operating lease right of use assets, certain leases | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | 1,200 | 2,900 | |
Global Restructuring Program | Impairment of property and equipment | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | 400 | 3,200 | |
Global Restructuring Program | Acceleration of expense related to operating lease ROU assets and property and equipment | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | 364 | 1,840 | |
Global Restructuring Program | Acceleration of expense of operating lease right of use assets, certain leases | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | 300 | 900 | |
Global Restructuring Program | Acceleration of depreciation and amortization of property and equipment | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | 100 | 900 | |
Global Restructuring Program | Facility related charges, net | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | 829 | 1,698 | |
Global Restructuring Program | Consulting costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | 1,823 | 0 | |
Global Restructuring Program | Other activities | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related charges | $ 1,245 | $ 0 |
Restructuring and Related Cha_4
Restructuring and Related Charges - Pretax Restructuring Charges (Credits) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | $ 12,123 | $ 22,441 |
Global Restructuring Program | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 11,780 | 21,741 |
Restructuring and related charges, total | 60,662 | |
Global Restructuring Program | Corporate, Non-Segment | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 6,992 | 14,916 |
Restructuring and related charges, total | 39,871 | |
Global Restructuring Program | Severance and termination benefits | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 5,944 | 12,097 |
Restructuring and related charges, total | 31,771 | |
Global Restructuring Program | Impairment of operating lease ROU assets and property and equipment | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 1,575 | 6,106 |
Restructuring and related charges, total | 14,271 | |
Global Restructuring Program | Acceleration of expense related to operating lease ROU assets and property and equipment | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 364 | 1,840 |
Restructuring and related charges, total | 2,504 | |
Global Restructuring Program | Facility related charges, net | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 829 | 1,698 |
Restructuring and related charges, total | 4,979 | |
Global Restructuring Program | Consulting costs | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 1,823 | 0 |
Restructuring and related charges, total | 4,108 | |
Global Restructuring Program | Other activities | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 1,245 | 0 |
Restructuring and related charges, total | 3,029 | |
Global Restructuring Program | Research | Operating Segments | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 1,947 | 81 |
Restructuring and related charges, total | 4,360 | |
Global Restructuring Program | Learning | Operating Segments | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 218 | 3,131 |
Restructuring and related charges, total | 8,022 | |
Global Restructuring Program | Held for Sale or Sold | Operating Segments | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and related charges | 2,623 | $ 3,613 |
Restructuring and related charges, total | $ 8,409 |
Restructuring and Related Cha_5
Restructuring and Related Charges - Activity for Business Optimization Program (Details) - Global Restructuring Program $ in Thousands | 3 Months Ended |
Jul. 31, 2023 USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring liability, beginning of period | $ 4,581 |
Charges | 9,012 |
Payments | (5,291) |
Foreign Translation & Other Adjustments | 23 |
Restructuring liability, end of period | 8,325 |
Severance and termination benefits | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring liability, beginning of period | 4,572 |
Charges | 5,944 |
Payments | (3,271) |
Foreign Translation & Other Adjustments | 24 |
Restructuring liability, end of period | 7,269 |
Consulting costs | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring liability, beginning of period | 0 |
Charges | 1,823 |
Payments | (1,425) |
Foreign Translation & Other Adjustments | 0 |
Restructuring liability, end of period | 398 |
Other activities | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring liability, beginning of period | 9 |
Charges | 1,245 |
Payments | (595) |
Foreign Translation & Other Adjustments | (1) |
Restructuring liability, end of period | $ 658 |
Segment Information (Details)
Segment Information (Details) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 USD ($) Segment | Jul. 31, 2022 USD ($) | |
Segment Reporting [Abstract] | ||
Number of reportable segments | Segment | 3 | |
Segment Reporting Information [Line Items] | ||
Revenue, net | $ 451,013 | $ 487,569 |
Adjusted contribution to profit | 19,379 | 24,178 |
Depreciation and amortization | 43,728 | 58,279 |
Amortization of intangible assets | 4,600 | |
Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Adjusted contribution to profit | 64,237 | 58,737 |
Depreciation and amortization | 40,201 | 54,123 |
Operating Segments | Research | ||
Segment Reporting Information [Line Items] | ||
Revenue, net | 257,804 | 274,913 |
Adjusted contribution to profit | 53,527 | 69,104 |
Depreciation and amortization | 23,212 | 23,801 |
Operating Segments | Learning | ||
Segment Reporting Information [Line Items] | ||
Revenue, net | 109,320 | 119,647 |
Adjusted contribution to profit | 7,626 | 3,741 |
Depreciation and amortization | 13,552 | 14,055 |
Operating Segments | Held for Sale or Sold | ||
Segment Reporting Information [Line Items] | ||
Revenue, net | 83,889 | 93,009 |
Adjusted contribution to profit | 3,084 | (14,108) |
Depreciation and amortization | 3,437 | 16,267 |
Corporate, Non-Segment | ||
Segment Reporting Information [Line Items] | ||
Adjusted contribution to profit | (41,774) | (48,667) |
Depreciation and amortization | $ 3,527 | $ 4,156 |
Segment Information - Reconcili
Segment Information - Reconciliation of Consolidated US GAAP Operating Income to Non-GAAP Adjusted Contribution to Profit (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Segment Reporting Information [Line Items] | ||
US GAAP Operating Loss | $ (16,355) | $ (16,965) |
Adjustments: | ||
Restructuring and related charges | 12,123 | 22,441 |
Impairment of goodwill | 26,695 | 0 |
Accelerated Amortization Of Intangible Assets | 0 | 4,594 |
Non-GAAP Adjusted Operating Income | 19,379 | 24,178 |
Held for Sale or Sold | ||
Adjustments: | ||
Impairment of goodwill | 26,695 | |
Operating Segments | ||
Adjustments: | ||
Non-GAAP Adjusted Operating Income | 64,237 | 58,737 |
Operating Segments | Held for Sale or Sold | ||
Adjustments: | ||
Non-GAAP Adjusted Operating Income | $ 3,084 | $ (14,108) |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Apr. 30, 2023 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 28,178 | $ 29,339 |
Work-in-process | 991 | 1,031 |
Paper and other materials | 300 | 248 |
Total inventories before estimated sales returns and LIFO reserve | 29,469 | 30,618 |
Inventory value of estimated sales returns | (7,628) | (6,923) |
LIFO reserve | (6,808) | (6,808) |
Inventories, net | $ 30,289 | $ 30,733 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Goodwill (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jul. 31, 2023 | Jul. 31, 2022 | Apr. 30, 2023 | |
Goodwill [Roll Forward] | |||
Balance, beginning of period | $ 1,204,050 | ||
Impairment | (26,695) | $ 0 | |
Balance, end of period | 1,102,499 | ||
Cumulative pretax noncash goodwill impairment | $ 209,800 | ||
Continuing Operations and Disposal Group, Held-for-Sale | |||
Goodwill [Roll Forward] | |||
Impairment | (26,695) | ||
Foreign translation adjustment | 7,084 | ||
Balance, end of period | 1,184,439 | ||
Research and Learning | |||
Goodwill [Roll Forward] | |||
Balance, beginning of period | 1,095,754 | ||
Foreign translation adjustment | 6,745 | ||
Research | |||
Goodwill [Roll Forward] | |||
Balance, beginning of period | 609,729 | ||
Foreign translation adjustment | 9,393 | ||
Balance, end of period | 619,122 | ||
Learning | |||
Goodwill [Roll Forward] | |||
Balance, beginning of period | 486,025 | ||
Foreign translation adjustment | (2,648) | ||
Balance, end of period | 483,377 | ||
Held for Sale or Sold | |||
Goodwill [Roll Forward] | |||
Balance, beginning of period | 108,296 | ||
Impairment | (26,695) | ||
Foreign translation adjustment | 339 | ||
Balance, end of period | $ 81,940 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Narrative (Details) $ in Thousands | 3 Months Ended | ||
Jul. 31, 2023 USD ($) Segment | Jul. 31, 2022 USD ($) | Apr. 30, 2023 USD ($) | |
Goodwill [Line Items] | |||
Number of reportable segments | Segment | 3 | ||
Impairment of goodwill | $ 26,695 | $ 0 | |
Learning | |||
Goodwill [Line Items] | |||
Number of reporting units | Segment | 2 | ||
Held for Sale or Sold | |||
Goodwill [Line Items] | |||
Number of reporting units | Segment | 3 | ||
Impairment of goodwill | $ 26,695 | ||
University Services | |||
Goodwill [Line Items] | |||
Impairment of goodwill | 11,400 | ||
Long-lived assets | $ 231,000 | ||
Cross Knowledge | |||
Goodwill [Line Items] | |||
Impairment of goodwill | $ 15,300 | ||
Long-lived assets | $ 50,200 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands | Jul. 31, 2023 | Apr. 30, 2023 |
Intangible assets with definite lives, net [Abstract] | ||
Intangible assets with definite lives, net | $ 535,206 | $ 732,890 |
Intangible assets with indefinite lives | 121,887 | 121,904 |
Total intangible assets, net | 657,093 | 854,794 |
Brands and trademarks | ||
Intangible assets with definite lives, net [Abstract] | ||
Intangible assets with indefinite lives | 37,000 | 37,000 |
Indefinite assets, accumulated impairment | 93,100 | |
Content and publishing rights | ||
Intangible assets with definite lives, net [Abstract] | ||
Intangible assets with indefinite lives | 84,887 | 84,904 |
Content and publishing rights | ||
Intangible assets with definite lives, net [Abstract] | ||
Intangible assets with definite lives, net | 457,827 | 462,463 |
Customer relationships | ||
Intangible assets with definite lives, net [Abstract] | ||
Intangible assets with definite lives, net | 46,185 | 217,346 |
Developed technology | ||
Intangible assets with definite lives, net [Abstract] | ||
Intangible assets with definite lives, net | 24,625 | 45,500 |
Finite assets, accumulated impairment | 2,800 | |
Brands and trademarks | ||
Intangible assets with definite lives, net [Abstract] | ||
Intangible assets with definite lives, net | 6,513 | 7,281 |
Covenants not to compete | ||
Intangible assets with definite lives, net [Abstract] | ||
Intangible assets with definite lives, net | $ 56 | $ 300 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Income Tax Disclosure [Line Items] | ||
Effective tax rate reconciliation (as a percent) | 13.50% | 23.70% |
Tax benefit, impairment of goodwill | $ 2.7 | |
Held-for-Sale | ||
Income Tax Disclosure [Line Items] | ||
Tax benefit, impairment of goodwill | $ 10.7 |
Retirement Plans (Details)
Retirement Plans (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||
Service cost | $ 134 | $ 200 |
Interest cost | 6,947 | 6,189 |
Expected return on plan assets | (7,491) | (8,384) |
Amortization of prior service cost | (23) | (23) |
Amortization of net actuarial loss | 2,026 | 1,524 |
Net pension expense (income) | 1,593 | (494) |
Employer defined benefit pension plan contributions | 4,100 | 3,900 |
Defined contribution plan expense | $ 7,700 | $ 8,800 |
Debt and Available Credit Fac_3
Debt and Available Credit Facilities (Details) - USD ($) $ in Thousands | 3 Months Ended | ||||
Nov. 30, 2022 | Jul. 31, 2023 | Jan. 31, 2023 | Jul. 31, 2022 | Apr. 30, 2023 | |
Long-term Debt, by Current and Noncurrent [Abstract] | |||||
Short-term portion of long-term debt | $ 5,000 | $ 5,000 | |||
Long-term debt, less current portion | 890,917 | 743,292 | |||
Total debt | 895,917 | 748,292 | |||
Unamortized debt issuance costs | $ 700 | 700 | |||
Amended and Restated RCA | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Term of credit facility | 5 years | ||||
Amortization of debt issuance costs | $ 300 | $ 300 | |||
Revolving Credit Facility Through November 2027 | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Term of credit facility | 18 months | ||||
Revolving Credit Facility | Amended and Restated RCA | |||||
Long-term Debt, by Current and Noncurrent [Abstract] | |||||
Long-term debt, less current portion | $ 700,370 | 551,535 | |||
Debt and Available Credit Facilities [Abstract] | |||||
Term of credit facility | 5 years | ||||
Amount of financing available under credit facilities | $ 1,115,000 | ||||
Payments of debt issuance costs | $ 4,500 | ||||
Costs related to agreements, net | 5,800 | ||||
Write off of deferred costs | (200) | ||||
Existing credit commitments | 600,600 | ||||
Revolving Credit Facility | Amended and Restated RCA | Syndicate Bank Group led by Bank of America | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Optional credit limit increase available on request | 500,000 | ||||
Value of minimum increments | $ 50,000 | ||||
Revolving Credit Facility | Amended and Restated RCA | Minimum | Syndicate Bank Group led by Bank of America | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Line of credit facility fee percentage | 0.15% | ||||
Revolving Credit Facility | Amended and Restated RCA | Maximum | Syndicate Bank Group led by Bank of America | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Line of credit facility fee percentage | 0.25% | ||||
Revolving Credit Facility | SOFR, SONIA, and EURIBOR-Based Rates | Amended and Restated RCA | Minimum | Syndicate Bank Group led by Bank of America | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Applicable margin | 0.98% | ||||
Revolving Credit Facility | SOFR, SONIA, and EURIBOR-Based Rates | Amended and Restated RCA | Maximum | Syndicate Bank Group led by Bank of America | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Applicable margin | 1.50% | ||||
Revolving Credit Facility | Base Rate | Amended and Restated RCA | Syndicate Bank Group led by Bank of America | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Margin rate over reference rate used in determining base rate | 0.50% | ||||
Revolving Credit Facility | Base Rate | Amended and Restated RCA | Minimum | Syndicate Bank Group led by Bank of America | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Applicable margin | 0% | ||||
Revolving Credit Facility | Secured Overnight Financing Rate (SOFR) | Amended and Restated RCA | Minimum | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Margin rate (as a percent) | 0.10% | ||||
Revolving Credit Facility | Secured Overnight Financing Rate (SOFR) | Amended and Restated RCA | Maximum | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Margin rate (as a percent) | 0.25% | ||||
Revolving Credit Facility | Federal Funds Effective Rate | Amended and Restated RCA | Maximum | Syndicate Bank Group led by Bank of America | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Applicable margin | 0.50% | ||||
Revolving Credit Facility | Daily Secured Overnight Financing Rate (SOFR) | Amended and Restated RCA | Syndicate Bank Group led by Bank of America | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Margin rate over reference rate used in determining base rate | 1% | ||||
Term Loan A Facility | Amended and Restated RCA | |||||
Long-term Debt, by Current and Noncurrent [Abstract] | |||||
Long-term debt, less current portion | 190,547 | $ 191,757 | |||
Debt and Available Credit Facilities [Abstract] | |||||
Term of credit facility | 5 years | ||||
Debt instrument, face amount | $ 200,000 | ||||
Costs related to agreements, net | 800 | ||||
Lender fees | 800 | ||||
Non-lender fees | $ 100 | ||||
Revolving Credit Facility Through May 2024 | Amended and Restated RCA | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Amount of financing available under credit facilities | $ 185,000 | ||||
Costs related to agreements, net | 200 | ||||
Revolving Credit Facility Through November 2027 | Amended and Restated RCA | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Costs related to agreements, net | $ 4,800 | ||||
Line of Credit | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Average interest rates on total debt outstanding | 5.32% | 2.83% | |||
Weighted average interest rates | 5.48% | 4.76% |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities (Details) - USD ($) $ in Thousands | 3 Months Ended | |||||||||
Mar. 15, 2023 | Mar. 14, 2023 | Mar. 13, 2023 | Dec. 13, 2022 | Jun. 16, 2022 | Apr. 06, 2022 | Apr. 12, 2021 | Jul. 31, 2023 | Jul. 31, 2022 | Apr. 30, 2023 | |
Derivative [Line Items] | ||||||||||
Long term debt | $ 895,917 | $ 748,292 | ||||||||
Unamortized debt issuance costs | 700 | 700 | ||||||||
Long term debt, percentage bearing variable interest | 896,600 | |||||||||
December 2022 Interest Rate Swap Variable Rate Loans | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, notional amount | 50,000 | 50,000 | ||||||||
Fixed rate on interest rate swap agreement | 3.772% | |||||||||
Derivative, term of contract (in years) | 3 years | |||||||||
June 2022 Interest Rate Swap Variable Rate Loans | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, notional amount | 100,000 | 100,000 | ||||||||
Fixed rate on interest rate swap agreement | 3.467% | |||||||||
Derivative, term of contract (in years) | 2 years | |||||||||
April 2022 Interest Rate Swap Variable Rate Loans | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, notional amount | 100,000 | 100,000 | ||||||||
Fixed rate on interest rate swap agreement | 2.588% | |||||||||
Derivative, term of contract (in years) | 2 years | |||||||||
April 2021 Interest Rate Swap Variable Rate Loans | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, notional amount | 100,000 | 100,000 | ||||||||
Fixed rate on interest rate swap agreement | 0.465% | |||||||||
Derivative, term of contract (in years) | 3 years | |||||||||
Interest Rate Swap | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, notional amount | 500,000 | 500,000 | ||||||||
Interest Rate Swap | Designated as Hedging Instrument | Cash Flow Hedging | ||||||||||
Derivative [Line Items] | ||||||||||
Net gains (losses) reclassified from accumulated other comprehensive loss | 2,900 | $ (400) | ||||||||
Interest Rate Swap | Fair Value, Recurring | Fair Value, Inputs, Level 2 | Designated as Hedging Instrument | Cash Flow Hedging | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative asset | 10,600 | 7,800 | ||||||||
Derivative liability | (600) | |||||||||
Interest Rate Swap | Fair Value, Recurring | Fair Value, Inputs, Level 2 | Designated as Hedging Instrument | Cash Flow Hedging | Other Non-current Assets | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative asset | 3,400 | 1,400 | ||||||||
Interest Rate Swap | Fair Value, Recurring | Fair Value, Inputs, Level 2 | Designated as Hedging Instrument | Cash Flow Hedging | Prepaid Expenses and Other Current Assets | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative asset | 7,200 | 6,400 | ||||||||
March 2023 Interest Rate Swap Variable Rate Loans | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, notional amount | 50,000 | 50,000 | ||||||||
Fixed rate on interest rate swap agreement | 3.565% | |||||||||
Derivative, term of contract (in years) | 3 years | |||||||||
March 2023 Interest Rate Swap Variable Rate Loans 2 | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, notional amount | 50,000 | 50,000 | ||||||||
Fixed rate on interest rate swap agreement | 4.053% | |||||||||
Derivative, term of contract (in years) | 3 years | |||||||||
March 2023 Interest Rate Swap Variable Rate Loans 3 | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative, notional amount | $ 50,000 | $ 50,000 | ||||||||
Fixed rate on interest rate swap agreement | 3.72% | |||||||||
Derivative, term of contract (in years) | 3 years |
Capital Stock and Changes in _3
Capital Stock and Changes in Capital Accounts - Share Repurchases (Details) - $ / shares shares in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Class A common stock | ||
Equity, Class of Treasury Stock [Line Items] | ||
Shares repurchased (in shares) | 301 | 212 |
Treasury stock acquired (in dollars per share) | $ 33.25 | $ 47.12 |
Class B common stock | ||
Equity, Class of Treasury Stock [Line Items] | ||
Shares repurchased (in shares) | 0 | 0 |
Treasury stock acquired (in dollars per share) | $ 33.25 | $ 47.12 |
Capital Stock and Changes in _4
Capital Stock and Changes in Capital Accounts - Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Jul. 20, 2023 | Jul. 31, 2023 | Jul. 31, 2022 | |
Dividends Payable [Line Items] | |||
Total dividend | $ 19,382 | $ 19,468 | |
Class A common stock | |||
Dividends Payable [Line Items] | |||
Quarterly cash dividend (in dollars per share) | $ 0.3500 | $ 0.3475 | |
Class B common stock | |||
Dividends Payable [Line Items] | |||
Quarterly cash dividend (in dollars per share) | $ 0.3500 | $ 0.3475 | |
Dividend Declared in Q2 2021 | Class A common stock | |||
Dividends Payable [Line Items] | |||
Quarterly cash dividend (in dollars per share) | $ 0.3500 | ||
Total dividend | $ 19,400 | ||
Dividend Declared in Q2 2021 | Class B common stock | |||
Dividends Payable [Line Items] | |||
Quarterly cash dividend (in dollars per share) | $ 0.3500 | ||
Total dividend | $ 19,400 |
Capital Stock and Changes in _5
Capital Stock and Changes in Capital Accounts - Changes in Common Stock (Details) - shares shares in Thousands | 3 Months Ended | |
Jul. 31, 2023 | Jul. 31, 2022 | |
Class A common stock | ||
Changes in Common Stock [Abstract] | ||
Number of shares, beginning of year (in shares) | 70,231 | 70,226 |
Number of shares issued, end of period (in shares) | 70,231 | 70,226 |
Changes in Common Stock in Treasury [Abstract] | ||
Number of shares held, beginning of year (in shares) | 23,983 | 23,515 |
Purchases of treasury shares (in shares) | 301 | 212 |
Shares withheld for taxes (in shares) | 126 | 98 |
Number of shares held, end of period (in shares) | 24,049 | 23,557 |
Common stock, shares outstanding (in shares) | 46,182 | 46,669 |
Class A common stock | Non-PSU Awards | ||
Changes in Common Stock in Treasury [Abstract] | ||
Restricted shares issued under stock-based compensation plans (in shares) | (128) | (119) |
Class A common stock | PSU Awards | ||
Changes in Common Stock in Treasury [Abstract] | ||
Restricted shares issued under stock-based compensation plans (in shares) | (233) | (149) |
Class B common stock | ||
Changes in Common Stock [Abstract] | ||
Number of shares, beginning of year (in shares) | 12,951 | 12,956 |
Number of shares issued, end of period (in shares) | 12,951 | 12,956 |
Changes in Common Stock in Treasury [Abstract] | ||
Number of shares held, beginning of year (in shares) | 3,925 | 3,924 |
Purchases of treasury shares (in shares) | 0 | 0 |
Number of shares held, end of period (in shares) | 3,925 | 3,924 |
Common stock, shares outstanding (in shares) | 9,026 | 9,032 |