Franklin Covey (FC) 10-Q 8 Jul 24 2024 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	May 31, 2024	Jun. 30, 2024
Document And Entity Information [Abstract]
Document Type	10-Q
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--08-31
Document Fiscal Year Focus	2024
Document Quarterly Report	true
Document Period End Date	May 31, 2024
Document Transition Report	false
Entity File Number	001-11107
Entity Registrant Name	FRANKLIN COVEY CO.
Entity Incorporation, State or Country Code	UT
Entity Tax Identification Number	87-0401551
Entity Address, Address Line One	2200 West Parkway Boulevard
Entity Address, City or Town	Salt Lake City
Entity Address, State or Province	UT
Entity Address, Postal Zip Code	84119-2099
City Area Code	801
Local Phone Number	817-1776
Title of 12(b) Security	Common Stock, $0.05 Par Value
Trading Symbol	FC
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		13,094,424
Amendment Flag	false
Entity Central Index Key	0000886206

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	May 31, 2024	Aug. 31, 2023
Current assets:
Cash and cash equivalents	$ 36,574	$ 38,230
Accounts receivable, less allowance for doubtful accounts of $3,111 and $3,790	60,424	81,935
Inventories	4,644	4,213
Prepaid expenses and other current assets	18,389	20,639
Total current assets	120,031	145,017
Property and equipment, net	8,631	10,039
Intangible assets, net	38,808	40,511
Goodwill	31,220	31,220
Deferred income tax assets	1,636	1,661
Other long-term assets	20,645	17,471
Total assets	220,971	245,919
Current liabilities:
Current portion of notes payable	2,085	5,835
Current portion of financing obligation	3,810	3,538
Accounts payable	6,185	6,501
Deferred subscription revenue	80,092	95,386
Customer deposits	22,204	12,137
Accrued liabilities	22,215	28,252
Total current liabilities	136,591	151,649
Notes payable, less current portion	761	1,535
Financing obligation, less current portion	1,533	4,424
Other liabilities	8,076	7,617
Deferred income tax liabilities	1,847	2,040
Total liabilities	148,808	167,265
Shareholders’ equity:
Common stock, $0.05 par value; 40,000 shares authorized, 27,056 shares issued	1,353	1,353
Additional paid-in capital	228,612	232,373
Retained earnings	111,248	99,802
Accumulated other comprehensive loss	(1,250)	(987)
Treasury stock at cost, 13,969 shares and 13,974 shares	(267,800)	(253,887)
Total shareholders’ equity	72,163	78,654
Total liabilities and shareholders' equity	$ 220,971	$ 245,919

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	May 31, 2024	Aug. 31, 2023
Condensed Consolidated Balance Sheets [Abstract]
Allowance for doubtful accounts	$ 3,111	$ 3,790
Common stock, par value	$ 0.05	$ 0.05
Common stock, shares authorized	40,000	40,000
Common stock, shares issued	27,056	27,056
Treasury stock, shares	13,969	13,974

Condensed Consolidated Income S

Condensed Consolidated Income Statements And Statements Of Comprehensive Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2024	May 31, 2023	May 31, 2024	May 31, 2023
Condensed Consolidated Income Statements And Statements Of Comprehensive Income [Abstract]
Revenue	$ 73,373	$ 71,441	$ 203,109	$ 202,565
Cost of revenue	17,167	17,208	47,773	48,380
Gross profit	56,206	54,233	155,336	154,185
Selling, general, and administrative	45,110	45,641	130,088	131,991
Restructuring costs	701		3,008
Impairment of asset			928
Depreciation	990	934	2,994	3,131
Amortization	1,062	1,086	3,204	3,270
Income from operations	8,343	6,572	15,114	15,793
Interest income	268	362	857	804
Interest expense	(247)	(354)	(916)	(1,173)
Income before income taxes	8,364	6,580	15,055	15,424
Income tax provision	(2,643)	(2,017)	(3,609)	(4,455)
Net income	$ 5,721	$ 4,563	$ 11,446	$ 10,969
Net income per share:
Basic	$ 0.43	$ 0.33	$ 0.87	$ 0.79
Diluted	$ 0.43	$ 0.32	$ 0.85	$ 0.76
Weighted average number of common shares:
Basic	13,160	13,621	13,222	13,799
Diluted	13,378	14,273	13,499	14,437
COMPREHENSIVE INCOME
Net income	$ 5,721	$ 4,563	$ 11,446	$ 10,969
Foreign currency translation adjustments, net of income taxes of $0, $0, $0, and $0	(175)	(139)	(263)	(123)
Comprehensive income	$ 5,546	$ 4,424	$ 11,183	$ 10,846

Condensed Consolidated Income_2

Condensed Consolidated Income Statements And Statements Of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2024	May 31, 2023	May 31, 2024	May 31, 2023
Condensed Consolidated Income Statements And Statements Of Comprehensive Income [Abstract]
Foreign currency translation adjustments, income taxes	$ 0	$ 0	$ 0	$ 0

Condensed Consolidated Statemen

Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	May 31, 2024	May 31, 2023
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 11,446	$ 10,969
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	6,198	6,401
Amortization of capitalized curriculum costs	2,340	2,385
Impairment of asset	928
Stock-based compensation	7,092	9,357
Deferred income taxes	(169)	2,399
Change in fair value of contingent consideration liabilities		7
Amortization of right-of-use operating lease assets	596	633
Changes in assets and liabilities:
Decrease in accounts receivable, net	21,436	17,071
Increase in inventories	(434)	(1,050)
Decrease in prepaid expenses and other assets	2,032	3,415
Decrease in accounts payable and accrued liabilities	(8,305)	(12,615)
Decrease in deferred revenue and customer deposits	(5,154)	(11,901)
Increase (decrease) in income taxes payable	628	(621)
Decrease in other long-term liabilities	(249)	(503)
Net cash provided by operating activities	38,385	25,947
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property and equipment	(2,618)	(3,545)
Curriculum development costs	(5,195)	(6,841)
Net cash used for investing activities	(7,813)	(10,386)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from term notes payable financing		7,500
Principal payments on notes payable	(4,585)	(12,085)
Principal payments on financing obligation	(2,618)	(2,366)
Purchases of common stock for treasury	(25,844)	(29,672)
Payment of contingent consideration liabilities		(736)
Cash paid to obtain new credit agreement		(393)
Proceeds from sales of common stock held in treasury	1,077	1,162
Net cash used for financing activities	(31,970)	(36,590)
Effect of foreign currency exchange rates on cash and cash equivalents	(258)	(159)
Net decrease in cash and cash equivalents	(1,656)	(21,188)
Cash and cash equivalents at the beginning of the period	38,230	60,517
Cash and cash equivalents at the end of the period	36,574	39,329
Supplemental disclosure of cash flow information:
Cash paid for income taxes	2,962	2,452
Cash paid for interest	931	1,158
Non-cash investing and financing activities:
Purchases of property and equipment financed by accounts payable	111	21
Acquisition of right-of-use operating lease assets for operating lease liabilities	1,042	$ 504
Acquisition of content rights financed by accrued liabilities	$ 1,500

Condensed Consolidated Statem_2

Condensed Consolidated Statements Of Changes In Shareholders' Equity - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-In Capital [Member]	Retained Earnings [Member]	Accumulated Other Comprehensive Loss [Member]	Treasury Stock [Member]	Total
Beginning balance, shares at Aug. 31, 2022	27,056,000
Beginning balance at Aug. 31, 2022	$ 1,353	$ 220,246	$ 82,021	$ (542)
Beginning balance, shares, Treasury at Aug. 31, 2022					(13,203,000)
Beginning balance, Treasury at Aug. 31, 2022					$ (220,264)
Issuance of common stock from treasury, shares					56,000
Issuance of common stock from treasury		(568)			$ 935
Purchases of common shares for treasury, shares					(18,000)
Purchases of common shares for treasury					$ (835)
Stock-based compensation		2,735
Cumulative translation adjustments				(130)
Net income			4,667
Ending balance, shares at Nov. 30, 2022	27,056,000
Ending balance at Nov. 30, 2022	$ 1,353	222,413	86,688	(672)
Ending balance, shares, Treasury at Nov. 30, 2022					(13,165,000)
Ending balance, Treasury at Nov. 30, 2022					$ (220,164)
Beginning balance, shares at Aug. 31, 2022	27,056,000
Beginning balance at Aug. 31, 2022	$ 1,353	220,246	82,021	(542)
Beginning balance, shares, Treasury at Aug. 31, 2022					(13,203,000)
Beginning balance, Treasury at Aug. 31, 2022					$ (220,264)
Cumulative translation adjustments						$ (123)
Net income						10,969
Ending balance, shares at May. 31, 2023	27,056,000
Ending balance at May. 31, 2023	$ 1,353	229,134	92,990	(665)
Ending balance, shares, Treasury at May. 31, 2023					(13,866,000)
Ending balance, Treasury at May. 31, 2023					$ (248,305)
Beginning balance, shares at Nov. 30, 2022	27,056,000
Beginning balance at Nov. 30, 2022	$ 1,353	222,413	86,688	(672)
Beginning balance, shares, Treasury at Nov. 30, 2022					(13,165,000)
Beginning balance, Treasury at Nov. 30, 2022					$ (220,164)
Issuance of common stock from treasury, shares					12,000
Issuance of common stock from treasury		181			$ 192
Purchases of common shares for treasury, shares					(79,000)
Purchases of common shares for treasury					$ (3,830)
Stock-based compensation		3,315
Unvested share award, shares					16,000
Unvested share award		(266)			$ 266
Cumulative translation adjustments				146
Net income			1,739
Ending balance, shares at Feb. 28, 2023	27,056,000
Ending balance at Feb. 28, 2023	$ 1,353	225,643	88,427	(526)
Ending balance, shares, Treasury at Feb. 28, 2023					(13,216,000)
Ending balance, Treasury at Feb. 28, 2023					$ (223,536)
Issuance of common stock from treasury, shares					14,000
Issuance of common stock from treasury		184			$ 238
Purchases of common shares for treasury, shares					(664,000)
Purchases of common shares for treasury					$ (25,007)
Stock-based compensation		3,307
Cumulative translation adjustments				(139)		(139)
Net income			4,563			4,563
Ending balance, shares at May. 31, 2023	27,056,000
Ending balance at May. 31, 2023	$ 1,353	229,134	92,990	(665)
Ending balance, shares, Treasury at May. 31, 2023					(13,866,000)
Ending balance, Treasury at May. 31, 2023					$ (248,305)
Beginning balance, shares at Aug. 31, 2023	27,056,000
Beginning balance at Aug. 31, 2023	$ 1,353	232,373	99,802	(987)		$ 78,654
Beginning balance, shares, Treasury at Aug. 31, 2023					(13,974,000)	(13,974,000)
Beginning balance, Treasury at Aug. 31, 2023					$ (253,887)
Issuance of common stock from treasury, shares					601,000
Issuance of common stock from treasury		(10,569)			$ 10,925
Purchases of common shares for treasury, shares					(409,000)
Purchases of common shares for treasury					$ (16,308)
Stock-based compensation		2,897
Cumulative translation adjustments				51
Net income			4,851
Ending balance, shares at Nov. 30, 2023	27,056,000
Ending balance at Nov. 30, 2023	$ 1,353	224,701	104,653	(936)
Ending balance, shares, Treasury at Nov. 30, 2023					(13,782,000)
Ending balance, Treasury at Nov. 30, 2023					$ (259,270)
Beginning balance, shares at Aug. 31, 2023	27,056,000
Beginning balance at Aug. 31, 2023	$ 1,353	232,373	99,802	(987)		$ 78,654
Beginning balance, shares, Treasury at Aug. 31, 2023					(13,974,000)	(13,974,000)
Beginning balance, Treasury at Aug. 31, 2023					$ (253,887)
Issuance of common stock from treasury, shares						654,030
Purchases of common shares for treasury, shares						(649,000)
Purchases of common shares for treasury						$ (25,844)
Cumulative translation adjustments						(263)
Net income						11,446
Ending balance, shares at May. 31, 2024	27,056,000
Ending balance at May. 31, 2024	$ 1,353	228,612	111,248	(1,250)		$ 72,163
Ending balance, shares, Treasury at May. 31, 2024					(13,969,000)	(13,969,000)
Ending balance, Treasury at May. 31, 2024					$ (267,800)
Beginning balance, shares at Nov. 30, 2023	27,056,000
Beginning balance at Nov. 30, 2023	$ 1,353	224,701	104,653	(936)
Beginning balance, shares, Treasury at Nov. 30, 2023					(13,782,000)
Beginning balance, Treasury at Nov. 30, 2023					$ (259,270)
Issuance of common stock from treasury, shares					10,000
Issuance of common stock from treasury		143			$ 185
Purchases of common shares for treasury, shares					(52,000)
Purchases of common shares for treasury					$ (2,105)
Stock-based compensation		1,368
Unvested share award, shares					23,000
Unvested share award		(436)			$ 436
Cumulative translation adjustments				(139)
Net income			874
Ending balance, shares at Feb. 29, 2024	27,056,000
Ending balance at Feb. 29, 2024	$ 1,353	225,776	105,527	(1,075)
Ending balance, shares, Treasury at Feb. 29, 2024					(13,801,000)
Ending balance, Treasury at Feb. 29, 2024					$ (260,754)
Issuance of common stock from treasury, shares					20,000	20,346
Issuance of common stock from treasury		8			$ 385
Purchases of common shares for treasury, shares					(188,000)
Purchases of common shares for treasury					$ (7,431)
Stock-based compensation		2,828
Cumulative translation adjustments				(175)		$ (175)
Net income			5,721			5,721
Ending balance, shares at May. 31, 2024	27,056,000
Ending balance at May. 31, 2024	$ 1,353	$ 228,612	$ 111,248	$ (1,250)		$ 72,163
Ending balance, shares, Treasury at May. 31, 2024					(13,969,000)	(13,969,000)
Ending balance, Treasury at May. 31, 2024					$ (267,800)

Basis Of Presentation

Basis Of Presentation	9 Months Ended
	May 31, 2024
Basis Of Presentation [Abstract]
Basis Of Presentation	NOTE 1 – BASIS OF PRESENTATION Franklin Covey Co. (hereafter referred to as us, we, our, or the Company) is a global company focused on organizational performance improvement. Our mission is to “enable greatness in people and organizations everywhere,” and our global structure is designed to help individuals and organizations achieve sustained superior performance through changes in human behavior. We are fundamentally a content and solutions company, and we believe that our offerings and services create the connection between capabilities and results. We have a wide range of content delivery options, including: the All Access Pass (AAP) subscription, the Leader in Me membership, and other intellectual property licenses; digital online learning; onsite training; training led through certified facilitators; blended learning; and organization-wide transformational processes, including consulting and coaching. We believe our investments in digital delivery modalities over the past few years have enabled us to deliver our content to clients in a high-quality learning environment whether those clients are working remotely or meeting in a centralized location. We believe that our clients are able to utilize our content to create cultures which produce high-performing, collaborative individuals, led by effective, trust-building leaders who execute with excellence and deliver measurably improved results for all of their key stakeholders. We have some of the best-known offerings in the training industry, including a suite of individual-effectiveness and leadership-development training content based on the best-selling books, The 7 Habits of Highly Effective People , The Speed of Trust , The Leader in Me , The 4 Disciplines of Execution , and Multipliers , and proprietary content in the areas of Leadership, Execution, Productivity, Educational Improvement, and Sales Performance. Our offerings are described in further detail at www.franklincovey.com . The information posted on our website is not incorporated into this report. The accompanying unaudited condensed consolidated financial statements reflect, in the opinion of management, all adjustments (consisting of normal recurring accruals) necessary to present fairly the financial position and results of operations of the Company as of the dates and for the periods indicated. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) have been condensed or omitted pursuant to Securities and Exchange Commission (SEC) rules and regulations. The information included in this quarterly report on Form 10-Q should be read in conjunction with the consolidated financial statements and related notes included in our Annual Report on Form 10-K for the fiscal year ended August 31, 2023. The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. The results of operations for the quarter and three quarters ended May 31, 2024 are not necessarily indicative of results expected for the entire fiscal year ending August 31, 2024, or for any future periods. Accounting Pronouncement Issued and Not Adopted In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures . This ASU is intended to improve reportable segment disclosure primarily by requiring entities to provide more disaggregated expense information about their reportable segments. The new guidance also improves interim disclosure requirements, clarifies circumstances in which an entity can disclose multiple segment measures of profit or loss, provides new segment disclosure requirements for entities with a single reportable segment, and contains other disclosure requirements. ASU 2023-07 is effective for public entities in fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. We have not yet completed our analysis of the requirements of ASU 2023-07, but we expect to be able to comply with the new disclosure and other guidelines within the required time frame. On December 14, 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures . ASU 2023-09 provides guidance to enhance transparency about income tax information through improvements to income tax disclosures primarily related to the effective income tax rate reconciliation and income taxes paid. This new guidance also includes certain other amendments to improve the effectiveness of income tax disclosures. For public companies, the guidance in ASU 2023-09 is effective for annual periods beginning after December 15, 2024. While we have not yet completed our full analysis of the new income tax guidance, we do not currently expect significant challenges in adopting its provisions, which primarily focus on income tax disclosures .

Inventories

Inventories	9 Months Ended
	May 31, 2024
Inventories [Abstract]
Inventories	NOTE 2 – INVENTORIES Inventories are stated at the lower of cost or net realizable value, cost being determined using the first-in, first-out method, and were comprised of the following (in thousands): May 31, August 31, 2024 2023 Finished goods $ 4,644 $ 4,204 Raw materials - 9 $ 4,644 $ 4,213

Purchases Of Common Stock For T

Purchases Of Common Stock For Treasury	9 Months Ended
	May 31, 2024
Purchases Of Common Stock For Treasury [Abstract]
Purchases Of Common Stock For Treasury	NOTE 3 – PURCHASES OF COMMON STOCK FOR TREASURY Our purchases of common stock during the first three quarters of fiscal 2024 were comprised of shares purchased on the open market and shares withheld for income taxes on stock-based compensation awards. Our stock-based compensation plans allow shares to be withheld to cover statutory income taxes if so elected by the award recipient. These shares are valued at the market price on the date the shares are withheld. Shares purchased in fiscal 2024 through May 31, 2024 consisted of the following (in thousands): Shares Cost Shares withheld for taxes on stock- based compensation awards 252 $ 10,333 Open market purchases 397 15,511 649 $ 25,844 On April 18, 2024, our Board of Directors approved a new plan to purchase up to $ 50.0 million of our outstanding common stock. The previously existing common stock purchase plan was canceled, and the new common share purchase plan does not have an expiration date. The actual timing, number, and value of common shares purchased under the new board-approved plan will be determined at our discretion and will depend on a number of factors, including, among others, general market and business conditions, the trading price of our common shares, and applicable legal requirements. We have no obligation to purchase any common shares under the authorization, and the purchase plan may be suspended, discontinued, or modified at any time for any reason. All shares purchased during the three quarters ended May 31, 2024, were made under the previously existing purchase plan.

Revenue Recognition

Revenue Recognition	9 Months Ended
	May 31, 2024
Revenue Recognition [Abstract]
Revenue Recognition	NOTE 4 – REVENUE RECOGNITION Contract Balances Our deferred subscription revenue and customer deposits totaled $ 106.0 million at May 31, 2024 and $ 111.2 million at August 31, 2023, of which $ 3.7 million was classified as components of other long-term liabilities at each of May 31, 2024, and August 31, 2023. The amount of deferred revenue that was generated from subscription offerings totaled $ 83.8 million at May 31, 2024 and $ 99.0 million at August 31, 2023. During the quarter and three quarters ended May 31, 2024, we recognized $ 36.7 million and $ 108.9 million of previously deferred subscription revenue, respectively. Deferred subscription revenue primarily consists of billings or payments received in advance of revenue being recognized from subscription services. Deferred revenue is recognized in sales as the applicable revenue recognition criteria are met. We generally invoice customers in annual installments upon execution of a contract. Our Leader in Me membership offering is bifurcated into a portal membership obligation and a coaching delivery obligation. We have determined that it is appropriate to recognize revenue related to the portal membership over the term of the underlying contract and to recognize revenue from coaching as those services are performed. The combined contract amount is recorded in deferred subscription revenue until the performance obligations are satisfied. Any additional coaching or training days which are contracted independent of a Leader in Me membership are recorded as revenue in accordance with our general policy for services and products as described in our annual report on Form 10-K for the fiscal year ended August 31, 2023. Remaining Performance Obligations Whenever possible, we enter into multi-year non-cancellable contracts which are invoiced either upon execution of the contract or at the beginning of each annual contract period. Remaining transaction price represents contracted revenue that has not yet been recognized, including unearned revenue and unbilled amounts that will be recognized as revenue in future periods. Transaction price is influenced by factors such as inflation, the average length of the contract term, and the ability of the Company to continue to enter into multi-year non-cancellable contracts. At May 31, 2024, we had $ 153.2 million of remaining performance obligations, including our deferred subscription revenue. The remaining performance obligation does not include customer deposits, as these amounts are generally refundable at the client’s request prior to the satisfaction of the obligation. Disaggregated Revenue Information Refer to Note 9, Segment Information , to these condensed consolidated financial statements for our disaggregated revenue information.

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	May 31, 2024
Stock-Based Compensation [Abstract]
Stock-Based Compensation	NOTE 5 – STOCK-BASED COMPENSATION Our stock-based compensation was comprised of the following for the periods presented (in thousands): Quarter Ended Three Quarters Ended May 31, May 31, May 31, May 31, 2024 2023 2024 2023 Long-term incentive awards $ 2,355 $ 2,871 $ 5,707 $ 8,074 Strive acquisition compensation 165 190 550 556 Unvested stock awards 240 180 640 520 Employee stock purchase plan 68 66 195 207 $ 2,828 $ 3,307 $ 7,092 $ 9,357 During the quarter and three quarters ended May 31, 2024, we issued 20,346 shares and 654,030 shares of our common stock under various stock-based compensation arrangements, including our employee stock purchase plan (ESPP). At each reporting date, we reassess the probable number of shares that are expected to vest under the terms of our long-term incentive plan (LTIP) awards. At the end of the second quarter of fiscal 2024, our reassessment resulted in a $ 1.6 million cumulative reduction to stock-based compensation expense for long-term incentive awards primarily from changes in the number of shares expected to vest to participants in the fiscal 2024 and fiscal 2023 LTIP awards. Fiscal 2024 Long-Term Incentive Plan Award On October 6, 2023, the Organization and Compensation Committee granted a new Long-Term Incentive Plan (the 2024 LTIP) award to our executive officers and members of senior management. The fiscal 2024 LTIP award has two tranches, one with a time-based vesting condition and one with a performance-based vesting condition as described below:  Time-Based Award Shares – Twenty-five percent of the 2024 LTIP award shares vest to participants on August 31, 2026. The number of shares that may be earned by participants at the end of the service period totals 26,749 shares (adjusted for forfeitures). The number of shares awarded in this tranche does not fluctuate based on the achievement of financial measures.  Performance-Based Award Shares – The remaining shares of the fiscal 2024 LTIP award are earned based on the highest rolling four-quarter level of qualified Adjusted EBITDA achieved in the three-year measurement period ending on August 31, 2026. The number of shares that will vest to participants for this tranche is variable and may be 50 % of the award (minimum award threshold) or up to 200 % of the participant’s award (maximum threshold) depending on the level of qualified Adjusted EBITDA achieved. The number of shares that may be earned for achieving 100 % of the performance-based objective totals 80,217 shares (adjusted for forfeitures). The maximum number of shares that may be awarded in connection with the performance-based tranche of the 2024 LTIP totals 160,434 shares. Annual Long-Term Incentive Performance and Retention Plan In fiscal 2023, we introduced a new long-term equity incentive plan for client partners, managing directors, and certain other associates that we believe are critical to our long-term success. These awards are generally based on the achievement of specified sales goals, are granted following the completion of the fiscal year, and one-third of the shares vest on August 31 of each year following the grant. We granted a total of 48,740 unvested share units in the first quarter of fiscal 2024 to participants in this long-term incentive plan for achievements in fiscal 2023, which will vest over the next three years . The compensation cost of these awards is included in the long-term incentive awards category in the preceding table. Fiscal 2024 Board of Director Unvested Share Award Our annual unvested stock award granted to non-employee members of the Board of Directors is administered under the terms of our omnibus incentive plans, and is designed to provide our non-employee directors, who are not eligible to participate in our employee stock purchase plan, an opportunity to obtain an interest in the Company through the acquisition of shares of our common stock as part of their compensation. The annual award is normally granted in January of each year on the same day as our annual shareholders’ meeting. For the fiscal 2024 award, each eligible director received a whole-share grant equal to $ 120,000 with a one year vesting period. Our Board of Director unvested stock award activity during the three quarters ended May 31, 2024 consisted of the following: Weighted-Average Grant Date Number of Fair Value Shares Per Share Unvested stock awards at August 31, 2023 15,882 $ 45.34 Granted 23,136 41.50 Forfeited - - Vested ( 15,882 ) 45.34 Unvested stock awards at May 31, 2024 23,136 $ 41.50 Employee Stock Purchase Plan We have an ESPP that offers qualified employees the opportunity to purchase shares of our common stock at a price equal to 85 % of the average fair market value of our common stock on the last trading day of each fiscal quarter. During the quarter and three quarters ended May 31, 2024, we issued 12,102 shares and 31,630 shares of our common stock to participants in the ESPP.

Restructuring

Restructuring	9 Months Ended
	May 31, 2024
Restructuring Abstract]
Restructuring	NOTE 6 – RESTRUCTURING During the second quarter of fiscal 2024, we commenced a plan to restructure certain areas of our operations to sharpen the focus of our efforts and resources on plans and initiatives to drive additional growth in the future. As a result of this restructuring plan, we reduced our workforce by approximately 50 associates and incurred severance charges totaling $ 1.7 million. During the quarter ended May 31, 2024, we incurred an additional $ 0.7 million of severance and legal expense to complete the plan initiated in the second quarter. Approximately $ 1.9 million of the restructuring expense is attributable to the Direct Office segment, $ 0.4 million is attributable to the Education segment, and $ 0.1 million is attributable to corporate functions. We intend to invest the resources from this restructuring in initiatives to drive growth in both divisions. The restructuring liability of $ 0.6 million is included in accrued liabilities in our condensed consolidated balance sheet at May 31, 2024 and accrued amounts are expected to be paid through the second quarter of fiscal 2024. During the first quarter of fiscal 2024, we also restructured certain areas of our operations in the Direct Offices segment. We incurred a $ 0.6 million charge for these restructured operations. All accrued costs related to this restructuring activity were paid in the second quarter of fiscal 2024.

Impaired Asset

Impaired Asset	9 Months Ended
	May 31, 2024
Impaired Asset [Abstract]
Impaired Asset	NOTE 7 – IMPAIRED ASSET In a prior period, we initiated the development of a student leadership assessment. However, due to societal changes in perception regarding the collection of student information and potential legal challenges, during the second quarter of fiscal 2024 we determined that it was in the best interest of the Company to suspend further development of the student leadership assessment and impair the associated asset. Approximately $ 0.6 million of the capitalized costs were for software and were previously included in property and equipment, and $ 0.3 million was included in capitalized development, which is included in our other long-term assets. The student leadership assessment was being developed solely for use in our Education Division.

Earnings Per Share

Earnings Per Share	9 Months Ended
	May 31, 2024
Earnings Per Share [Abstract]
Earnings Per Share	NOTE 8 – EARNINGS PER SHARE The following schedule shows the calculation of net income per share for the periods presented (in thousands, except per-share amounts). Quarter Ended Three Quarters Ended May 31, May 31, May 31, May 31, 2024 2023 2024 2023 Numerator for basic and diluted income per share: Net income $ 5,721 $ 4,563 $ 11,446 $ 10,969 Denominator for basic and diluted income per share: Basic weighted average shares outstanding 13,160 13,621 13,222 13,799 Effect of dilutive securities: Stock-based compensation awards 218 652 277 638 Diluted weighted average shares outstanding 13,378 14,273 13,499 14,437 EPS Calculations: Net income per share: Basic $ 0.43 $ 0.33 $ 0.87 $ 0.79 Diluted 0.43 0.32 0.85 0.76

Segment Information

Segment Information	9 Months Ended
	May 31, 2024
Segment Information [Abstract]
Segment Information	NOTE 9 – SEGMENT INFORMATION Segment Information Our sales are primarily comprised of training and consulting services and our internal reporting and operating structure is currently organized around two divisions: the Enterprise Division, which consists of our Direct Office and International Licensee segments and the Education Division, which is comprised of our Education practice. Based on the applicable guidance, our operations consist of three reportable segments and one corporate services group. The following is a brief description of our reportable segments:  Direct Offices – Our Direct Office segment has a depth of expertise in helping organizations solve problems that require changes in human behavior, including leadership, productivity, execution, trust, and sales performance. We have a variety of principle-based offerings that help build winning and profitable cultures. This segment includes our sales personnel that serve the United States and Canada; our international direct sales offices; our government services sales channel; and our book and audio sales.  International Licensees – Our independently owned international licensees provide our offerings and services in countries where we do not have a directly-owned office. These licensee partners allow us to expand the reach of our services to large multinational organizations as well as smaller organizations in their countries. This segment’s sales are primarily comprised of royalty revenues received from these licensees.  Education Practice – Centered around the principles found in The Leader in Me , the Education practice is dedicated to helping educational institutions build a culture that will produce great results. We believe these results are manifested by increases in student performance, improved school culture, decreased disciplinary issues, and increased teacher engagement and parental involvement. This segment includes our domestic and international Education practice operations, which are focused on sales to educational institutions such as elementary schools, high schools, and colleges and universities .  Corporate and Other – Our corporate and other information includes leasing operations, shipping and handling revenues, royalty revenues from Franklin Planner Corp., and the cost of certain administrative functions. We have determined that the Company’s chief operating decision maker is the Chief Executive Officer, and the primary measurement tool used in business unit performance analysis is Adjusted EBITDA, which may not be calculated as similarly titled amounts disclosed by other companies. Adjusted EBITDA is a non-GAAP financial measure. For reporting purposes, our consolidated Adjusted EBITDA may be calculated as net income excluding interest, income taxes, depreciation expense, intangible asset amortization expense, stock-based compensation, and certain other charges such as restructuring costs and impaired asset charges. We reference this non-GAAP financial measure in our decision making because it provides supplemental information that facilitates consistent internal comparisons to the historical operating performance of prior periods and we believe it provides investors with greater transparency to evaluate operational activities and financial results. Our operations are not capital intensive and we do not own any manufacturing facilities or equipment. Accordingly, we do not allocate assets to the reportable segments for analysis purposes. Interest expense and interest income are primarily generated at the corporate level and are not allocated. Income taxes are likewise calculated and paid on a corporate level (except for entities that operate in foreign jurisdictions) and are not allocated for analysis purposes. We account for the following segment information on the same basis as the accompanying condensed consolidated financial statements (in thousands). Revenue From Quarter Ended External Adjusted May 31, 2024 Customers Gross Profit EBITDA Enterprise Division: Direct offices $ 49,334 $ 40,172 $ 12,170 International licensees 2,701 2,435 1,334 52,035 42,607 13,504 Education practice 20,079 13,179 3,080 Corporate and eliminations 1,259 420 ( 2,660 ) Consolidated $ 73,373 $ 56,206 $ 13,924 Quarter Ended May 31, 2023 Enterprise Division: Direct offices $ 50,382 $ 40,425 $ 11,322 International licensees 2,835 2,549 1,415 53,217 42,974 12,737 Education practice 17,082 10,929 1,649 Corporate and eliminations 1,142 330 ( 2,487 ) Consolidated $ 71,441 $ 54,233 $ 11,899 Three Quarters Ended May 31, 2024 Enterprise Division: Direct offices $ 141,509 $ 115,186 $ 32,978 International licensees 8,826 7,861 4,571 150,335 123,047 37,549 Education practice 49,402 31,157 2,593 Corporate and eliminations 3,372 1,132 ( 7,802 ) Consolidated $ 203,109 $ 155,336 $ 32,340 Three Quarters Ended May 31, 2023 Enterprise Division: Direct offices $ 144,194 $ 116,199 $ 32,212 International licensees 9,048 8,184 4,787 153,242 124,383 36,999 Education practice 45,631 28,497 1,309 Corporate and eliminations 3,692 1,305 ( 6,750 ) Consolidated $ 202,565 $ 154,185 $ 31,558 A reconciliation of our consolidated Adjusted EBITDA to consolidated net income is provided below (in thousands). Quarter Ended Three Quarters Ended May 31, May 31, May 31, May 31, 2024 2023 2024 2023 Segment Adjusted EBITDA $ 16,584 $ 14,386 $ 40,142 $ 38,308 Corporate expenses ( 2,660 ) ( 2,487 ) ( 7,802 ) ( 6,750 ) Consolidated Adjusted EBITDA 13,924 11,899 32,340 31,558 Stock-based compensation ( 2,828 ) ( 3,307 ) ( 7,092 ) ( 9,357 ) Restructuring costs ( 701 ) - ( 3,008 ) - Impaired asset - - ( 928 ) - Increase in the fair value of contingent consideration liabilities - - - ( 7 ) Depreciation ( 990 ) ( 934 ) ( 2,994 ) ( 3,131 ) Amortization ( 1,062 ) ( 1,086 ) ( 3,204 ) ( 3,270 ) Income from operations 8,343 6,572 15,114 15,793 Interest income 268 362 857 804 Interest expense ( 247 ) ( 354 ) ( 916 ) ( 1,173 ) Income before income taxes 8,364 6,580 15,055 15,424 Income tax provision ( 2,643 ) ( 2,017 ) ( 3,609 ) ( 4,455 ) Net income $ 5,721 $ 4,563 $ 11,446 $ 10,969 Revenue by Category The following table presents our revenue disaggregated by geographic region (in thousands). Quarter Ended Three Quarters Ended May 31, May 31, May 31, May 31, 2024 2023 2024 2023 Americas $ 62,084 $ 59,456 $ 169,840 $ 167,835 Asia Pacific 6,460 7,418 19,438 20,801 Europe/Middle East/Africa 4,829 4,567 13,831 13,929 $ 73,373 $ 71,441 $ 203,109 $ 202,565 The following table presents our revenue disaggregated by type of service (in thousands). Quarter Ended Services and Leases and May 31, 2024 Products Subscriptions Royalties Other Consolidated Enterprise Division: Direct offices $ 22,682 $ 26,028 $ 624 $ - $ 49,334 International licensees 58 303 2,340 - 2,701 22,740 26,331 2,964 - 52,035 Education practice 9,117 10,397 565 - 20,079 Corporate and eliminations - - 313 946 1,259 Consolidated $ 31,857 $ 36,728 $ 3,842 $ 946 $ 73,373 Quarter Ended May 31, 2023 Enterprise Division: Direct offices $ 24,808 $ 25,033 $ 541 $ - $ 50,382 International licensees 89 321 2,425 - 2,835 24,897 25,354 2,966 - 53,217 Education practice 6,456 9,971 655 - 17,082 Corporate and eliminations - - 313 829 1,142 Consolidated $ 31,353 $ 35,325 $ 3,934 $ 829 $ 71,441 Three Quarters Ended May 31, 2024 Enterprise Division: Direct offices $ 61,398 $ 78,457 $ 1,654 $ - $ 141,509 International licensees 374 959 7,493 - 8,826 61,772 79,416 9,147 - 150,335 Education practice 16,783 29,662 2,957 - 49,402 Corporate and eliminations - - 939 2,433 3,372 Consolidated $ 78,555 $ 109,078 $ 13,043 $ 2,433 $ 203,109 Three Quarters Ended May 31, 2023 Enterprise Division: Direct offices $ 70,112 $ 72,233 $ 1,849 $ - $ 144,194 International licensees 276 1,016 7,756 - 9,048 70,388 73,249 9,605 - 153,242 Education practice 15,065 28,015 2,551 - 45,631 Corporate and eliminations - - 936 2,756 3,692 Consolidated $ 85,453 $ 101,264 $ 13,092 $ 2,756 $ 202,565

Basis Of Presentation (Policy)

Basis Of Presentation (Policy)	9 Months Ended
	May 31, 2024
Basis Of Presentation [Abstract]
General	Franklin Covey Co. (hereafter referred to as us, we, our, or the Company) is a global company focused on organizational performance improvement. Our mission is to “enable greatness in people and organizations everywhere,” and our global structure is designed to help individuals and organizations achieve sustained superior performance through changes in human behavior. We are fundamentally a content and solutions company, and we believe that our offerings and services create the connection between capabilities and results. We have a wide range of content delivery options, including: the All Access Pass (AAP) subscription, the Leader in Me membership, and other intellectual property licenses; digital online learning; onsite training; training led through certified facilitators; blended learning; and organization-wide transformational processes, including consulting and coaching. We believe our investments in digital delivery modalities over the past few years have enabled us to deliver our content to clients in a high-quality learning environment whether those clients are working remotely or meeting in a centralized location. We believe that our clients are able to utilize our content to create cultures which produce high-performing, collaborative individuals, led by effective, trust-building leaders who execute with excellence and deliver measurably improved results for all of their key stakeholders. We have some of the best-known offerings in the training industry, including a suite of individual-effectiveness and leadership-development training content based on the best-selling books, The 7 Habits of Highly Effective People , The Speed of Trust , The Leader in Me , The 4 Disciplines of Execution , and Multipliers , and proprietary content in the areas of Leadership, Execution, Productivity, Educational Improvement, and Sales Performance. Our offerings are described in further detail at www.franklincovey.com . The information posted on our website is not incorporated into this report. The accompanying unaudited condensed consolidated financial statements reflect, in the opinion of management, all adjustments (consisting of normal recurring accruals) necessary to present fairly the financial position and results of operations of the Company as of the dates and for the periods indicated. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) have been condensed or omitted pursuant to Securities and Exchange Commission (SEC) rules and regulations. The information included in this quarterly report on Form 10-Q should be read in conjunction with the consolidated financial statements and related notes included in our Annual Report on Form 10-K for the fiscal year ended August 31, 2023. The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the dates of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. The results of operations for the quarter and three quarters ended May 31, 2024 are not necessarily indicative of results expected for the entire fiscal year ending August 31, 2024, or for any future periods.
Accounting Pronouncement Issued and Not Adopted	Accounting Pronouncement Issued and Not Adopted In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures . This ASU is intended to improve reportable segment disclosure primarily by requiring entities to provide more disaggregated expense information about their reportable segments. The new guidance also improves interim disclosure requirements, clarifies circumstances in which an entity can disclose multiple segment measures of profit or loss, provides new segment disclosure requirements for entities with a single reportable segment, and contains other disclosure requirements. ASU 2023-07 is effective for public entities in fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. We have not yet completed our analysis of the requirements of ASU 2023-07, but we expect to be able to comply with the new disclosure and other guidelines within the required time frame. On December 14, 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures . ASU 2023-09 provides guidance to enhance transparency about income tax information through improvements to income tax disclosures primarily related to the effective income tax rate reconciliation and income taxes paid. This new guidance also includes certain other amendments to improve the effectiveness of income tax disclosures. For public companies, the guidance in ASU 2023-09 is effective for annual periods beginning after December 15, 2024. While we have not yet completed our full analysis of the new income tax guidance, we do not currently expect significant challenges in adopting its provisions, which primarily focus on income tax disclosures

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	May 31, 2024
Inventories [Abstract]
Components Of Inventories	May 31, August 31, 2024 2023 Finished goods $ 4,644 $ 4,204 Raw materials - 9 $ 4,644 $ 4,213

Purchases Of Common Stock For_2

Purchases Of Common Stock For Treasury (Tables)	9 Months Ended
	May 31, 2024
Purchases Of Common Stock For Treasury [Abstract]
Summary Of Purchases Of Common Stock	Shares Cost Shares withheld for taxes on stock- based compensation awards 252 $ 10,333 Open market purchases 397 15,511 649 $ 25,844

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	9 Months Ended
	May 31, 2024
Stock-Based Compensation [Abstract]
Total Cost Of Stock-Based Compensation	Quarter Ended Three Quarters Ended May 31, May 31, May 31, May 31, 2024 2023 2024 2023 Long-term incentive awards $ 2,355 $ 2,871 $ 5,707 $ 8,074 Strive acquisition compensation 165 190 550 556 Unvested stock awards 240 180 640 520 Employee stock purchase plan 68 66 195 207 $ 2,828 $ 3,307 $ 7,092 $ 9,357
Unvested Stock Awards	Weighted-Average Grant Date Number of Fair Value Shares Per Share Unvested stock awards at August 31, 2023 15,882 $ 45.34 Granted 23,136 41.50 Forfeited - - Vested ( 15,882 ) 45.34 Unvested stock awards at May 31, 2024 23,136 $ 41.50

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	May 31, 2024
Earnings Per Share [Abstract]
Computation Of Net Income Per Share	Quarter Ended Three Quarters Ended May 31, May 31, May 31, May 31, 2024 2023 2024 2023 Numerator for basic and diluted income per share: Net income $ 5,721 $ 4,563 $ 11,446 $ 10,969 Denominator for basic and diluted income per share: Basic weighted average shares outstanding 13,160 13,621 13,222 13,799 Effect of dilutive securities: Stock-based compensation awards 218 652 277 638 Diluted weighted average shares outstanding 13,378 14,273 13,499 14,437 EPS Calculations: Net income per share: Basic $ 0.43 $ 0.33 $ 0.87 $ 0.79 Diluted 0.43 0.32 0.85 0.76

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	May 31, 2024
Segment Information [Abstract]
Schedule Of Segment Operations	Revenue From Quarter Ended External Adjusted May 31, 2024 Customers Gross Profit EBITDA Enterprise Division: Direct offices $ 49,334 $ 40,172 $ 12,170 International licensees 2,701 2,435 1,334 52,035 42,607 13,504 Education practice 20,079 13,179 3,080 Corporate and eliminations 1,259 420 ( 2,660 ) Consolidated $ 73,373 $ 56,206 $ 13,924 Quarter Ended May 31, 2023 Enterprise Division: Direct offices $ 50,382 $ 40,425 $ 11,322 International licensees 2,835 2,549 1,415 53,217 42,974 12,737 Education practice 17,082 10,929 1,649 Corporate and eliminations 1,142 330 ( 2,487 ) Consolidated $ 71,441 $ 54,233 $ 11,899 Three Quarters Ended May 31, 2024 Enterprise Division: Direct offices $ 141,509 $ 115,186 $ 32,978 International licensees 8,826 7,861 4,571 150,335 123,047 37,549 Education practice 49,402 31,157 2,593 Corporate and eliminations 3,372 1,132 ( 7,802 ) Consolidated $ 203,109 $ 155,336 $ 32,340 Three Quarters Ended May 31, 2023 Enterprise Division: Direct offices $ 144,194 $ 116,199 $ 32,212 International licensees 9,048 8,184 4,787 153,242 124,383 36,999 Education practice 45,631 28,497 1,309 Corporate and eliminations 3,692 1,305 ( 6,750 ) Consolidated $ 202,565 $ 154,185 $ 31,558
Reconciliation Of Adjusted EBITDA	Quarter Ended Three Quarters Ended May 31, May 31, May 31, May 31, 2024 2023 2024 2023 Segment Adjusted EBITDA $ 16,584 $ 14,386 $ 40,142 $ 38,308 Corporate expenses ( 2,660 ) ( 2,487 ) ( 7,802 ) ( 6,750 ) Consolidated Adjusted EBITDA 13,924 11,899 32,340 31,558 Stock-based compensation ( 2,828 ) ( 3,307 ) ( 7,092 ) ( 9,357 ) Restructuring costs ( 701 ) - ( 3,008 ) - Impaired asset - - ( 928 ) - Increase in the fair value of contingent consideration liabilities - - - ( 7 ) Depreciation ( 990 ) ( 934 ) ( 2,994 ) ( 3,131 ) Amortization ( 1,062 ) ( 1,086 ) ( 3,204 ) ( 3,270 ) Income from operations 8,343 6,572 15,114 15,793 Interest income 268 362 857 804 Interest expense ( 247 ) ( 354 ) ( 916 ) ( 1,173 ) Income before income taxes 8,364 6,580 15,055 15,424 Income tax provision ( 2,643 ) ( 2,017 ) ( 3,609 ) ( 4,455 ) Net income $ 5,721 $ 4,563 $ 11,446 $ 10,969
Schedule Of Revenue Disaggregated By Category	The following table presents our revenue disaggregated by geographic region (in thousands). Quarter Ended Three Quarters Ended May 31, May 31, May 31, May 31, 2024 2023 2024 2023 Americas $ 62,084 $ 59,456 $ 169,840 $ 167,835 Asia Pacific 6,460 7,418 19,438 20,801 Europe/Middle East/Africa 4,829 4,567 13,831 13,929 $ 73,373 $ 71,441 $ 203,109 $ 202,565 The following table presents our revenue disaggregated by type of service (in thousands). Quarter Ended Services and Leases and May 31, 2024 Products Subscriptions Royalties Other Consolidated Enterprise Division: Direct offices $ 22,682 $ 26,028 $ 624 $ - $ 49,334 International licensees 58 303 2,340 - 2,701 22,740 26,331 2,964 - 52,035 Education practice 9,117 10,397 565 - 20,079 Corporate and eliminations - - 313 946 1,259 Consolidated $ 31,857 $ 36,728 $ 3,842 $ 946 $ 73,373 Quarter Ended May 31, 2023 Enterprise Division: Direct offices $ 24,808 $ 25,033 $ 541 $ - $ 50,382 International licensees 89 321 2,425 - 2,835 24,897 25,354 2,966 - 53,217 Education practice 6,456 9,971 655 - 17,082 Corporate and eliminations - - 313 829 1,142 Consolidated $ 31,353 $ 35,325 $ 3,934 $ 829 $ 71,441 Three Quarters Ended May 31, 2024 Enterprise Division: Direct offices $ 61,398 $ 78,457 $ 1,654 $ - $ 141,509 International licensees 374 959 7,493 - 8,826 61,772 79,416 9,147 - 150,335 Education practice 16,783 29,662 2,957 - 49,402 Corporate and eliminations - - 939 2,433 3,372 Consolidated $ 78,555 $ 109,078 $ 13,043 $ 2,433 $ 203,109 Three Quarters Ended May 31, 2023 Enterprise Division: Direct offices $ 70,112 $ 72,233 $ 1,849 $ - $ 144,194 International licensees 276 1,016 7,756 - 9,048 70,388 73,249 9,605 - 153,242 Education practice 15,065 28,015 2,551 - 45,631 Corporate and eliminations - - 936 2,756 3,692 Consolidated $ 85,453 $ 101,264 $ 13,092 $ 2,756 $ 202,565

Inventories (Components Of Inve

Inventories (Components Of Inventories) (Details) - USD ($) $ in Thousands	May 31, 2024	Aug. 31, 2023
Inventories [Abstract]
Finished goods	$ 4,644	$ 4,204
Raw materials		9
Inventories	$ 4,644	$ 4,213

Purchases Of Common Stock For_3

Purchases Of Common Stock For Treasury (Narrative) (Details) $ in Millions	Apr. 18, 2024 USD ($)
Maximum [Member]
Equity [Line Items]
Authorized amount approved for repurchase	$ 50

Purchases Of Common Stock For_4

Purchases Of Common Stock For Treasury (Summary Of Purchases Of Common Stock) (Details) shares in Thousands, $ in Thousands	9 Months Ended
	May 31, 2024 USD ($) shares
Purchases Of Common Stock For Treasury [Abstract]
Shares withheld for taxes on stock-based compensation awards, Shares | shares	252
Open market purchases, shares | shares	397
Purchase of treasury shares, shares | shares	649
Shares withheld for taxes on stock-based compensation awards, Cost | $	$ 10,333
Open market purchases, Cost | $	15,511
Purchase of treasury shares, Cost | $	$ 25,844

Revenue Recognition (Narrative)

Revenue Recognition (Narrative) (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	May 31, 2024	May 31, 2024	Aug. 31, 2023
Deferred revenue	$ 106	$ 106	$ 111.2
Other long-term liabilities	3.7	3.7	3.7
Remaining performance obligations	153.2	153.2
Subscription Offerings [Member]
Deferred revenue	83.8	83.8	$ 99
Subscription [Member]
Deferred revenue recognized	$ 36.7	$ 108.9

Stock-Based Compensation (Narra

Stock-Based Compensation (Narrative) (Details)	3 Months Ended			9 Months Ended
	May 31, 2024 shares	Feb. 29, 2024 USD ($)	Nov. 30, 2023 shares	May 31, 2024 USD ($) item shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock issued from treasury stock	20,346			654,030
Fiscal 2024, Long-Term Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of tranches | item				2
Cumulative adjustment reduction to stock-based compensation expense | $		$ 1,600,000
Annual Long-Term Incentive Performance And Retention Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period of awards				3 years
Shares issued under terms of the award			48,740
Time-Based Award [Member] | Fiscal 2024, Long-Term Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of performance award to be granted				25%
Shares may be awarded				26,749
Number of tranches | item				1
Performance Award [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares issued under terms of the award				80,217
Performance Award [Member] | Fiscal 2024, Long-Term Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of tranches | item				1
Vesting period of awards				3 years
Percent of performance-based objectives	100%			100%
Employee Stock Purchase Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Price of common stock as a percent of the average fair market value				85%
Shares issued to employee stock purchase plan participants	12,102			31,630
Unvested Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period of awards				1 year
Whole-share grant per eligible director | $				$ 120,000
Vest August 31 Of Each Year Following Grant [Member] | Annual Long-Term Incentive Performance And Retention Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of award shares vest				33.30%
Tranche One and Two [Member] | Performance Award [Member] | Fiscal 2024, Long-Term Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares may be awarded				160,434
Tranche One and Two [Member] | Performance Award [Member] | Minimum [Member] | Fiscal 2024, Long-Term Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of performance award to be granted				50%
Tranche One and Two [Member] | Performance Award [Member] | Maximum [Member] | Fiscal 2024, Long-Term Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percent of performance award to be granted				200%

Stock-Based Compensation (Total

Stock-Based Compensation (Total Cost Of Stock-Based Compensation) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2024	May 31, 2023	May 31, 2024	May 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost	$ 2,828	$ 3,307	$ 7,092	$ 9,357
Long-Term Incentive Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost	2,355	2,871	5,707	8,074
Strive Acquisition Compensation [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost	165	190	550	556
Unvested Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost	240	180	640	520
Employee Stock Purchase Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation cost	$ 68	$ 66	$ 195	$ 207

Stock-Based Compensation Plans

Stock-Based Compensation Plans (Unvested Stock Award) (Details) - Unvested Stock Awards [Member]	9 Months Ended
	May 31, 2024 $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unvested stock awards, Number of Shares | shares	15,882
Granted, Number of Shares | shares	23,136
Vested, Number of Shares | shares	(15,882)
Unvested stock awards, Number of Shares | shares	23,136
Restricted stock awards, Weighted-Average Grant Date Fair Value Per Share | $ / shares	$ 45.34
Granted, Weighted-Average Grant Date Fair Value Per Share | $ / shares	41.50
Vested, Weighted-Average Grant Date Fair Value Per Share | $ / shares	45.34
Restricted stock awards, Weighted-Average Grant Date Fair Value Per Share | $ / shares	$ 41.50

Restructuring (Narrative) (Deta

Restructuring (Narrative) (Details) $ in Thousands	3 Months Ended			9 Months Ended
	May 31, 2024 USD ($)	Feb. 29, 2024 USD ($) item	Nov. 30, 2023 USD ($)	May 31, 2024 USD ($)
Restructuring Cost and Reserve [Line Items]
Severance charges	$ 701			$ 3,008
Restructuring liability	600			$ 600
Number of workforce reduced | item		50
Severance [Member]
Restructuring Cost and Reserve [Line Items]
Severance charges		$ 1,700
Additional Severance And Legal Expense [Member]
Restructuring Cost and Reserve [Line Items]
Severance charges	700
Education Practice [Member]
Restructuring Cost and Reserve [Line Items]
Severance charges	400
Corporate [Member]
Restructuring Cost and Reserve [Line Items]
Severance charges	100
Direct Offices [Member]
Restructuring Cost and Reserve [Line Items]
Severance charges	$ 1,900		$ 600

Impaired Asset (Narrative) (Det

Impaired Asset (Narrative) (Details) $ in Millions	May 31, 2024 USD ($)
Property And Equipment [Member]
Capitalized software cost	$ 0.6
Other Long-Term Assets [Member]
Capitalized software cost	$ 0.3

Earnings Per Share (Computation

Earnings Per Share (Computation Of Net Income Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2024	May 31, 2023	May 31, 2024	May 31, 2023
Numerator for basic and diluted income per share:
Net income	$ 5,721	$ 4,563	$ 11,446	$ 10,969
Denominator for basic and diluted income per share:
Basic weighted average shares outstanding	13,160	13,621	13,222	13,799
Effect of dilutive securities:
Stock-based compensation awards	218	652	277	638
Diluted weighted average shares outstanding	13,378	14,273	13,499	14,437
EPS Calculations:
Net income per share: Basic	$ 0.43	$ 0.33	$ 0.87	$ 0.79
Net income per share: Diluted	$ 0.43	$ 0.32	$ 0.85	$ 0.76

Segment Information (Narrative)

Segment Information (Narrative) (Details)	9 Months Ended
	May 31, 2024 item segment
Segment Information [Abstract]
Number of divisions	2
Number of operating reportable segments | segment	3
Number of corporate services group	1

Segment Information (Schedule O

Segment Information (Schedule Of Segment Operations) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2024	May 31, 2023	May 31, 2024	May 31, 2023
Segment Reporting Information [Line Items]
Revenue From External Customers	$ 73,373	$ 71,441	$ 203,109	$ 202,565
Gross Profit	56,206	54,233	155,336	154,185
Adjusted EBITDA	13,924	11,899	32,340	31,558
Operating Segments [Member]
Segment Reporting Information [Line Items]
Adjusted EBITDA	16,584	14,386	40,142	38,308
Operating Segments [Member] | Enterprise Division [Member]
Segment Reporting Information [Line Items]
Revenue From External Customers	52,035	53,217	150,335	153,242
Gross Profit	42,607	42,974	123,047	124,383
Adjusted EBITDA	13,504	12,737	37,549	36,999
Operating Segments [Member] | Education Practice [Member]
Segment Reporting Information [Line Items]
Revenue From External Customers	20,079	17,082	49,402	45,631
Gross Profit	13,179	10,929	31,157	28,497
Adjusted EBITDA	3,080	1,649	2,593	1,309
Operating Segments [Member] | Direct Offices [Member] | Enterprise Division [Member]
Segment Reporting Information [Line Items]
Revenue From External Customers	49,334	50,382	141,509	144,194
Gross Profit	40,172	40,425	115,186	116,199
Adjusted EBITDA	12,170	11,322	32,978	32,212
Operating Segments [Member] | International Licensees [Member] | Enterprise Division [Member]
Segment Reporting Information [Line Items]
Revenue From External Customers	2,701	2,835	8,826	9,048
Gross Profit	2,435	2,549	7,861	8,184
Adjusted EBITDA	1,334	1,415	4,571	4,787
Corporate And Eliminations [Member]
Segment Reporting Information [Line Items]
Revenue From External Customers	1,259	1,142	3,372	3,692
Gross Profit	420	330	1,132	1,305
Adjusted EBITDA	$ (2,660)	$ (2,487)	$ (7,802)	$ (6,750)

Segment Information (Reconcilia

Segment Information (Reconciliation Of Adjusted EBITDA) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2024	May 31, 2023	May 31, 2024	May 31, 2023
Segment Reporting Information [Line Items]
Consolidated Adjusted EBITDA	$ 13,924	$ 11,899	$ 32,340	$ 31,558
Stock-based compensation	(2,828)	(3,307)	(7,092)	(9,357)
Restructuring costs	(701)		(3,008)
Impaired asset			(928)
Increase in the fair value of contingent consideration liabilities				(7)
Depreciation	(990)	(934)	(2,994)	(3,131)
Amortization	(1,062)	(1,086)	(3,204)	(3,270)
Income from operations	8,343	6,572	15,114	15,793
Interest income	268	362	857	804
Interest expense	(247)	(354)	(916)	(1,173)
Income before income taxes	8,364	6,580	15,055	15,424
Income tax provision	(2,643)	(2,017)	(3,609)	(4,455)
Net income	5,721	4,563	11,446	10,969
Operating Segments [Member]
Segment Reporting Information [Line Items]
Consolidated Adjusted EBITDA	16,584	14,386	40,142	38,308
Corporate And Eliminations [Member]
Segment Reporting Information [Line Items]
Consolidated Adjusted EBITDA	$ (2,660)	$ (2,487)	$ (7,802)	$ (6,750)

Segment Information (Schedule_2

Segment Information (Schedule Of Revenue Disaggregated By Geographic Region) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2024	May 31, 2023	May 31, 2024	May 31, 2023
Disaggregation of Revenue [Line Items]
Revenue	$ 73,373	$ 71,441	$ 203,109	$ 202,565
Americas [Member]
Disaggregation of Revenue [Line Items]
Revenue	62,084	59,456	169,840	167,835
Asia Pacific [Member]
Disaggregation of Revenue [Line Items]
Revenue	6,460	7,418	19,438	20,801
Europe/Middle East/Africa [Member]
Disaggregation of Revenue [Line Items]
Revenue	$ 4,829	$ 4,567	$ 13,831	$ 13,929

Segment Information (Schedule_3

Segment Information (Schedule Of Revenue Disaggregated By Type Of Service) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	May 31, 2024	May 31, 2023	May 31, 2024	May 31, 2023
Disaggregation of Revenue [Line Items]
Revenue	$ 73,373	$ 71,441	$ 203,109	$ 202,565
Services And Products [Member]
Disaggregation of Revenue [Line Items]
Revenue	31,857	31,353	78,555	85,453
Subscriptions [Member]
Disaggregation of Revenue [Line Items]
Revenue	36,728	35,325	109,078	101,264
Royalties [Member]
Disaggregation of Revenue [Line Items]
Revenue	3,842	3,934	13,043	13,092
Leases And Other [Member]
Disaggregation of Revenue [Line Items]
Revenue	946	829	2,433	2,756
Operating Segments [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	52,035	53,217	150,335	153,242
Operating Segments [Member] | Education Practice [Member]
Disaggregation of Revenue [Line Items]
Revenue	20,079	17,082	49,402	45,631
Operating Segments [Member] | Direct Offices [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	49,334	50,382	141,509	144,194
Operating Segments [Member] | International Licensees [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	2,701	2,835	8,826	9,048
Operating Segments [Member] | Services And Products [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	22,740	24,897	61,772	70,388
Operating Segments [Member] | Services And Products [Member] | Education Practice [Member]
Disaggregation of Revenue [Line Items]
Revenue	9,117	6,456	16,783	15,065
Operating Segments [Member] | Services And Products [Member] | Direct Offices [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	22,682	24,808	61,398	70,112
Operating Segments [Member] | Services And Products [Member] | International Licensees [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	58	89	374	276
Operating Segments [Member] | Subscriptions [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	26,331	25,354	79,416	73,249
Operating Segments [Member] | Subscriptions [Member] | Education Practice [Member]
Disaggregation of Revenue [Line Items]
Revenue	10,397	9,971	29,662	28,015
Operating Segments [Member] | Subscriptions [Member] | Direct Offices [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	26,028	25,033	78,457	72,233
Operating Segments [Member] | Subscriptions [Member] | International Licensees [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	303	321	959	1,016
Operating Segments [Member] | Royalties [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	2,964	2,966	9,147	9,605
Operating Segments [Member] | Royalties [Member] | Education Practice [Member]
Disaggregation of Revenue [Line Items]
Revenue	565	655	2,957	2,551
Operating Segments [Member] | Royalties [Member] | Direct Offices [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	624	541	1,654	1,849
Operating Segments [Member] | Royalties [Member] | International Licensees [Member] | Enterprise Division [Member]
Disaggregation of Revenue [Line Items]
Revenue	2,340	2,425	7,493	7,756
Corporate And Eliminations [Member]
Disaggregation of Revenue [Line Items]
Revenue	1,259	1,142	3,372	3,692
Corporate And Eliminations [Member] | Royalties [Member]
Disaggregation of Revenue [Line Items]
Revenue	313	313	939	936
Corporate And Eliminations [Member] | Leases And Other [Member]
Disaggregation of Revenue [Line Items]
Revenue	$ 946	$ 829	$ 2,433	$ 2,756

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	May 31, 2024
Insider Trading Arrangements [Line Items]
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