EXHIBIT 99.1
Educational Development Corporation Announces Second Quarter Fiscal 2011 Results
TULSA, Okla., Oct. 15, 2010 (GLOBE NEWSWIRE) -- Educational Development Corporation (Nasdaq:EDUC) (http://www.edcpub.com) today reported results for the second quarter of fiscal 2011, ended August 31, 2010.
Results
EDUC reports net revenue of $5,750,400 for the quarter ended August 31, 2010 of compared to $6,005,900 and net earnings of $190,200 compared to $225,400 for the same period last year.
Our Publishing Division posted a net revenue gain of 2.5% for the quarter and 4.0% for the six months ended August 31, 2010 over the same period in 2009. This is especially encouraging as the publishing industry reports Juvenile Hardbacks down 16% for the year and Juvenile Paperbacks down 6% for the year.
The Home Business experienced a 9.6% net revenue decline for the quarter which is primarily due to decreases in home party sales, direct sales and internet sales. For the six months ended August 31, 2010, net revenues declined 6.9% over the same period last year. This division has been impacted more by the economic conditions and consumer reductions in spending levels than our retail division; consequently, we are creating more incentives for our field sales force to support their business.
Despite the small decline in sales and earnings, we continue a strong cash position while maintaining a $.12 quarterly dividend.
| EDUCATIONAL DEVELOPMENT CORPORATION |
| SELECTED FINANCIAL DATA |
| | Three Months Ended August 31, | Six Months Ended August 31, |
| | 2010 | 2009 | 2010 | 2009 |
| | | | | |
| NET REVENUES | $ 5,750,400 | $ 6,005,900 | $ 12,045,800 | $ 12,396,500 |
| EARNINGS BEFORE INCOME TAXES | $ 303,100 | $ 359,200 | $ 603,400 | $ 1,025,200 |
| INCOME TAXES | 112,900 | 133,800 | 225,000 | 384,400 |
| NET EARNINGS | $ 190,200 | $ 225,400 | $ 378,400 | $ 640,800 |
| | | | | |
| BASIC AND DILUTED EARNINGS PER SHARE: | | | |
| Basic | $ 0.05 | $ 0.06 | $ 0.10 | $ 0.17 |
| Diluted | $ 0.05 | $ 0.06 | $ 0.10 | $ 0.17 |
| | | | | |
| WEIGHTED AVERAGE SHARES: | | | | |
| Basic | 3,882,593 | 3,867,023 | 3,879,598 | 3,855,435 |
| Diluted | 3,883,505 | 3,868,155 | 3,881,818 | 3,856,507 |
About Educational Development Corporation
Educational Development Corporation sells children's books, including Usborne Books and the Kane Miller line of international children's titles through a multi-level sales organization of independent consultants, through 5,000 retail stores and over the Internet. More than 1,500 different titles are available for children of all ages, with periodic new additions.
The Educational Development logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=5083
CONTACT: Educational Development Corporation
Randall White
(918) 622-4522