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Editas Medicine Names Meeta Chatterjee, Ph.D., to Board of Directors

CAMBRIDGE, Mass., Dec. 17, 2020 (GLOBE NEWSWIRE) — Editas Medicine, Inc. (NASDAQ: EDIT), a leading genome editing company, today announced that it has appointed Meeta Chatterjee, Ph.D., to its Board of Directors.

Dr. Chatterjee is an accomplished biopharmaceutical executive with more than 30 years of broad strategic and operational experience in research and development, mergers and acquisition evaluation, in-licensing, and externalization activities. She currently serves as Senior Vice President of Global Business Development at Legend Biotech where she provides oversight for all business development activities including prioritizing opportunities, managing evaluations, and executing transactions. She also leads Alliance Management activities at Legend. Prior to joining Legend, Dr. Chatterjee was Head of Strategy, Transactions, and Operations in the Business Development and Licensing (BD&L) group at Merck Research Labs. In that role, Dr. Chatterjee oversaw all discovery and late-stage transactions worldwide and early-stage transactions in key geographies. She was also responsible for Merck Research Labs BD&L governance as well as out-licensing efforts.

“I am very pleased to welcome Meeta to our Board of Directors. She is an accomplished biopharmaceutical executive with extensive strategic and operational experience and achievements in business development activities. Her work has led to several business transactions and collaborations that brought important, new medicines to patients,” said James C. Mullen, Chairman of the Board of Directors, Editas Medicine.

“I am thrilled to join Editas Medicine’s Board of Directors at this exciting time when the company is bringing important programs to the clinic. I look forward to being part of this exceptional team and applying my experience to help advance Editas’ innovative CRISPR technology to develop impactful medicines for people living with serious diseases of unmet medical need,” said Dr. Chatterjee.

Dr. Chatterjee holds a B.A. in Physics from St. Xavier’s University in Ahmedabad, India, and Rutgers University, and a Ph.D. in Physiology from Rutgers University. She completed her post-doctoral fellowship in the Department of Physiology at the University of Virginia School of Medicine.

About
 Editas Medicine

As a leading genome editing company, Editas Medicine is focused on translating the power and potential of the CRISPR/Cas9 and CRISPR/Cpf1 (also known as Cas12a) genome editing systems into a robust pipeline of treatments for people living with serious diseases around the world. Editas Medicine aims to discover, develop, manufacture, and commercialize transformative, durable, precision genomic medicines for a broad class of diseases. For the latest information and scientific presentations, please visit www.editasmedicine.com.

Forward-Looking Statements

This press release contains forward-looking statements and information within the meaning of The Private Securities Litigation Reform Act of 1995. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “target,” “should,” “would,” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. The Company may not actually achieve the plans, intentions, or expectations disclosed in these forward-looking statements, and you should not place undue reliance on these forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in these forward-looking statements as a result of various factors, including: uncertainties inherent in the initiation and completion of preclinical studies and clinical trials and clinical development of the Company’s product candidates; availability and timing of results from preclinical studies and clinical trials; whether interim results from a clinical trial will be predictive of the final results of the trial or the results of future trials; expectations for regulatory approvals to conduct trials or to market products and availability of funding sufficient for the Company’s foreseeable and unforeseeable operating expenses and capital expenditure requirements. These and other risks are described in greater detail under the caption “Risk Factors” included in the Company’s most recent Quarterly Report on Form 10-Q, which is on file with the Securities and Exchange Commission, and in other filings that the Company may make with the Securities and Exchange Commission in the future. Any forward-looking statements contained in this press release speak only as of the date hereof, and the Company expressly disclaims any obligation to update any forward-looking statements, whether because of new information, future events or otherwise.



Contacts:
Media
Cristi Barnett
(617) 401-0113 
[email protected]

Investors
Editas Medicine Investor Relations
(617) 401-9052
[email protected]

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Silk Road Medical to Present at the 39th Annual J.P. Morgan Healthcare Conference

SUNNYVALE, Calif., Dec. 17, 2020 (GLOBE NEWSWIRE) — Silk Road Medical, Inc. (Nasdaq: SILK), a company focused on reducing the risk of stroke and its devastating impact, today announced the company will be participating in the upcoming 39th Annual J.P. Morgan Healthcare Conference.

Silk Road Medical’s management is scheduled to present on Tuesday, January 12, 2021 at 11:40 a.m. Eastern Time. Interested parties may access a live and archived webcast of the presentation on the “Investors” section of the company’s website at: https://investors.silkroadmed.com/.

About Silk Road Medical

Silk Road Medical, Inc. (NASDAQ: SILK), is a medical device company located in Sunnyvale, California, that is focused on reducing the risk of stroke and its devastating impact. The company’s flagship procedure, TransCarotid Artery Revascularization (TCAR), is clinically proven to treat blockages in the carotid artery at risk of causing a stroke. For more information on how Silk Road Medical is delivering brighter patient outcomes through brighter clinical thinking, visit www.silkroadmed.com and connect on Twitter, LinkedIn and Facebook.

Investor Contact:

Lynn Lewis or Caroline Paul
Gilmartin Group
[email protected]



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Chembio Diagnostics Appoints David Acheson, M.D. to its Board of Directors

HAUPPAUGE, N.Y., Dec. 17, 2020 (GLOBE NEWSWIRE) — Chembio Diagnostics, Inc. (Nasdaq: CEMI), a leading point-of-care diagnostic company focused on infectious diseases, today announced the appointment of David Acheson, M.D. to the Company’s Board of Directors.

“We are pleased to welcome David to our Board of Directors. He adds directly applicable expertise in public health and infectious disease management to our leadership team, and we are confident his perspective will contribute meaningfully to our long-term value creation strategy,” said Katherine L. Davis, Chair of Chembio’s Board of Directors. “We look forward to his leadership and insights as we enter the next phase of growth for Chembio.”

Dr. David Acheson has served as the President and Chief Executive Officer of The Acheson Group since founding the global food safety consulting group in 2013. Previously he served as a Partner and Managing Director of Leavitt Partners, where he founded and managed the firm’s food safety services business. Prior to his industry roles, Dr. Acheson served at the U.S. Food and Drug Administration for eight years in various positions, progressing from Chief Medical Officer of the Center for Food Safety and Applied Nutrition to Associate Commissioner for Foods. Dr. Acheson began his career practicing medicine in the United Kingdom and later at the New England Medical Center, where he also served as an Associate Professor for Tufts University while researching foodborne pathogens.

Dr. Acheson received his Medical Doctor degree from the University of London Medical School. He is a Fellow of the Royal College of Physicians (London) and the Infectious Disease Society of America.

“The unique features and versatility of Chembio’s proprietary DPP technology platform make it uniquely suited for use across the entire healthcare landscape. This is a transformational time for the diagnostics industry as the global COVID-19 pandemic sheds light on the true value of point-of-care testing,” said Dr. Acheson. “I believe the DPP platform can not only make an impact as a COVID-19 testing solution but also be leveraged to offer innovative diagnostic tests for the future. I am excited about the opportunity ahead for Chembio and to work with this team to drive the adoption of the technology in the US and around the world.”

About the DPP Rapid Test Platform

Chembio’s proprietary DPP technology platform provides high-quality, rapid diagnostic results in 15 to 20 minutes using a small drop of blood from the fingertip or alternative samples. Through advanced multiplexing, the DPP platform can detect up to eight, distinct test results from a single patient sample, delivering greater clinical value than other rapid tests. For certain applications, Chembio’s easy-to-use, highly portable, battery-operated DPP Micro Reader optical analyzer then reports accurate results in approximately 15 seconds, making it well-suited for decentralized testing where real-time results enable patients to be clinically assessed while they are still on-site. Objective results produced by the DPP Micro Reader reduce the possibility of the types of human error that can be experienced in the visual interpretations required by many rapid tests.

Chembio’s portfolio of DPP-based point-of-care tests with FDA regulatory approvals include the DPP HIV-Syphilis System (PMA approved), DPP HIV 1/2 Assay (PMA approved and CLIA waived), DPP Zika IgM System (510(k)), and DPP Ebola Antigen System (EUA). Additionally, DPP-based tests have received regulatory approvals from the World Health Organization, CE-Mark, Agência Nacional de Vigilância Sanitária (ANVISA), and other global organizations, where they aid in the detection and diagnosis of several other critical diseases and conditions.

All DPP tests are developed and manufactured in the United States and are the subject of a range of domestic and global patents and patents pending.

About Chembio Diagnostics

Chembio is a leading point-of-care diagnostics company focused on detecting and diagnosing infectious diseases, including COVID-19, sexually transmitted disease, and fever and tropical disease. Coupled with Chembio’s extensive scientific expertise, its novel DPP technology offers broad market applications beyond infectious disease. Chembio’s products are sold globally, directly and through distributors, to hospitals and clinics, physician offices, clinical laboratories, public health organizations, government agencies, and consumers. Learn more at www.chembio.com.

DPP is Chembio’s registered trademark, and the Chembio logo is Chembio’s trademark. For convenience, these trademarks appear in this release without ® or ™ symbols, but that practice does not mean that Chembio will not assert, to the fullest extent under applicable law, its rights to the trademark.

Contact:  
Philip Taylor
Gilmartin Group
(415) 937-5406
[email protected]



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All American Equity Fund Merges with Global Luxury Goods Fund (USLUX)

San Antonio, TX, Dec. 17, 2020 (GLOBE NEWSWIRE) — U.S. Global Investors, Inc. (NASDAQ: GROW) (the “Company”), a boutique registered investment advisory firm with longstanding experience in global markets and specialized sectors, is pleased to announce that its All American Equity Fund will merge with the Global Luxury Goods Fund (USLUX). Shareholders approved the merger, which is expected to be reorganized on December 22, 2020.

USLUX became the only U.S.-based mutual fund that focuses on the global luxury industry when it made its debut on July 1, 2020. The fund provides investors access to companies around the world that are involved in the design, manufacture and sale of products and services that are not considered to be essential but are highly desirable within a culture or society.

“No doubt many people thought it inadvisable to put out a luxury goods fund in the middle of a pandemic and economic pullback, but I’m thrilled to say that USLUX has so far exceeded all of our expectations,” commented Frank Holmes, the Company’s CEO and chief investment officer. “Many of the fund’s stocks have performed well since its July debut, including Tesla, the fund’s largest holding; Apple; Prada; and giant luxury conglomerate LVMH.”

From its inception to December 14, the fund has increased 29.49%, beating its benchmark, the S&P 1500 Composite Index, which rose 18.82% over the same period.    

####

About U.S. Global Investors, Inc.

The story of U.S. Global Investors goes back more than 50 years when it began as an investment club. Today, U.S. Global Investors, Inc. (www.usfunds.com) is a registered investment adviser that focuses on niche markets around the world. Headquartered in San Antonio, Texas, the Company provides money management and other services to U.S. Global Investors Funds and U.S. Global ETFs.

Forward-Looking Statements and Disclosure

Please consider carefully a fund’s investment objectives, risks, charges and expenses. For this and other important information, obtain a fund prospectus
by clicking here or by calling 1-800-US-FUNDS (1-800-873-8637). Read it carefully before investing. Foreside Fund Services, LLC, Distributor. U.S. Global Investors is the investment adviser.

Total Annualized Returns as of 9/30/2020:

Fund One-Year Five-Year Ten-Year Gross Expense Ratio
Global Luxury Goods Fund 1.59% 6.59% 6.56% 1.70%
S&P 1500 Composite Index 13.42% 13.59% 13.46% n/a

Expense ratios as stated in the most recent prospectus.
Performance data quoted above is historical. Past performance is no guarantee of future results. Results reflect the reinvestment of dividends and other earnings. For a portion of periods, the fund had expense limitations, without which returns would have been lower. Current performance may be higher or lower than the performance data quoted. The principal value and investment return of an investment will fluctuate so that your shares, when redeemed, may be worth more or less than their original cost. Performance does not include the effect of any direct fees described in the fund’s prospectus which, if applicable, would lower your total returns. Performance quoted for periods of one year or less is cumulative and not annualized. Obtain performance data current to the most recent month-end at www.usfunds.com or 1-800-US-FUNDS.

This news release and other statements by U.S. Global Investors may include certain “forward-looking statements,” including statements relating to revenues, expenses and expectations regarding market conditions. You can identify these forward-looking statements by the use of words such as “outlook,” “believes,” “expects,” “potential,” “opportunity,” “seeks,” “anticipates” or other comparable words. Such statements involve certain risks and uncertainties and should be read with corporate filings and other important information on the Company’s website, www.usfunds.com, or the Securities and Exchange Commission’s website at www.sec.gov.

These filings, such as the Company’s annual report and Form 10-Q, should be read in conjunction with the other cautionary statements that are included in this release. Future events could differ materially from those anticipated in such statements and there can be no assurance that such statements will prove accurate and actual results may vary. The Company undertakes no obligation to publicly update or review any forward-looking statements, whether as a result of new information, future developments or otherwise.

Investing involves risk, including the possible loss of principal. Companies in the consumer discretionary sector are subject to risks associated with fluctuations in the performance of domestic and international economies, interest rate changes, increased competition and consumer confidence. The performance of such companies may also be affected by factors relating to levels of disposable household income, reduced consumer spending, changing demographics and consumer tastes, among others.

The S&P 1500 Composite Index is a broad-based capitalization-weighted index of 1,500 U.S. companies and is comprised of the S&P 400, S&P 500 and the S&P 600. One cannot invest directly in an index.

Fund portfolios are actively managed, and holdings may change daily. Holdings are reported as of the most recent quarter-end. Fund holdings should not be considered a recommendation to buy or sell any security. Holdings in the Global Luxury Goods Fund as a percentage of net assets as of 9/30/2020: Tesla Inc. 8.23%, LVMH Moet Hennessy Louis Vuitton 4.30%, Apple Inc. 3.46%, Prada SpA 2.74%.



Holly Schoenfeldt
U.S. Global Investors, Inc.
210.308.1268
[email protected]

Posted on

FedEx Corp. Reports Strong Second Quarter Results

FedEx Corp. Reports Strong Second Quarter Results

MEMPHIS, Tenn.–(BUSINESS WIRE)–
FedEx Corp. (NYSE: FDX) today reported the following consolidated results for the quarter ended November 30 (adjusted measures exclude the items listed below for the applicable fiscal year):

 

 

 

Fiscal 2021

 

Fiscal 2020

 

 

As Reported

(GAAP)

 

Adjusted

(non-GAAP)

 

As Reported

(GAAP)

 

Adjusted

(non-GAAP)

Revenue

 

$20.6 billion

 

$20.6 billion

 

$17.3 billion

 

$17.3 billion

Operating income

 

$1.47 billion

 

$1.51 billion

 

$554 million

 

$684 million

Operating margin

 

7.1%

 

7.4%

 

3.2%

 

3.9%

Net income

 

$1.23 billion

 

$1.30 billion

 

$560 million

 

$660 million

Diluted EPS

 

$4.55

 

$4.83

 

$2.13

 

$2.51

This year’s and last year’s quarterly consolidated results have been adjusted for:

Impact per diluted share

 

 

Fiscal 2021

 

 

Fiscal 2020

 

Mark-to-market TNT Express retirement plan accounting adjustment

$0.15

—

TNT Express integration expenses

 

 

 

0.13

 

 

 

0.19

 

Aircraft impairment charges

 

 

 

—

 

 

 

0.19

 

 

“My sincere appreciation goes out to our nearly 600,000 team members around the world who go above and beyond to keep the world moving during this ongoing pandemic and unprecedented peak season. Our strong revenue and earnings growth during the quarter is a reflection of their continued hard work and commitment to our customers,” said Frederick W. Smith, FedEx Corp. chairman and chief executive officer. “These results demonstrate the unparalleled strength of our global express network, the breadth of our e-commerce capabilities, and the dedication of our people.”

Operating results increased due to volume growth in FedEx International Priority and U.S. domestic residential package services and pricing initiatives across all transportation segments. These factors were partially offset by costs to support strong demand and to expand services, variable compensation expense, and COVID-19-related costs, including expenses incurred to ensure the safety of FedEx team members and customers as well as the costs of network contingencies, including additional personnel to support operations through the pandemic.

Net income includes a pretax noncash loss of $52 million ($41 million, net of tax, or $0.15 per diluted share) associated with amending a TNT Express European pension plan to harmonize retirement benefits. Net income also includes a tax benefit of $191 million ($0.71 per diluted share) primarily related to favorable guidance issued by the Internal Revenue Service during the quarter. Last year’s results included a tax benefit of $133 million ($0.51 per diluted share) from the recognition of certain foreign tax loss carryforwards.

Outlook

FedEx is not providing an earnings forecast for fiscal 2021. The capital spending forecast for the year remains $5.1 billion.

“The benefits of the investments across our business over the past several years are reflected in our strong second quarter results,” said Michael C. Lenz, FedEx Corp. executive vice president and chief financial officer. “While the overall environment remains uncertain, we expect earnings growth in the second half of fiscal 2021 driven by the anticipated heightened demand for our services as we continue to execute on our strategic priorities.”

Corporate Overview

FedEx Corp. (NYSE: FDX) provides customers and businesses worldwide with a broad portfolio of transportation, e-commerce and business services. With annual revenue of $75 billion, the company offers integrated business solutions through operating companies competing collectively, operating collaboratively and innovating digitally under the respected FedEx brand. Consistently ranked among the world’s most admired and trusted employers, FedEx inspires its nearly 600,000 team members to remain focused on safety, the highest ethical and professional standards and the needs of their customers and communities. To learn more about how FedEx connects people and possibilities around the world, please visit about.fedex.com.

Additional information and operating data are contained in the company’s annual report, Form 10-K, Form 10-Qs, Form 8-Ks and Statistical Books. These materials, as well as a webcast of the earnings release conference call to be held at 5:30 p.m. EST on December 17, are available on the company’s website at investors.fedex.com. A replay of the conference call webcast will be posted on our website following the call.

The Investor Relations page of our website, investors.fedex.com, contains a significant amount of information about FedEx, including our Securities and Exchange Commission (SEC) filings and financial and other information for investors. The information that we post on our Investor Relations website could be deemed to be material information. We encourage investors, the media and others interested in the company to visit this website from time to time, as information is updated and new information is posted.

Certain statements in this press release may be considered forward-looking statements, such as statements relating to management’s views with respect to future events and financial performance and underlying assumptions. Forward-looking statements include those preceded by, followed by or that include the words “will,” “may,” “could,” “would,” “should,” “believes,” “expects,” “anticipates,” “plans,” “estimates,” “targets,” “projects,” “intends” or similar expressions. Such forward-looking statements are subject to risks, uncertainties and other factors which could cause actual results to differ materially from historical experience or from future results expressed or implied by such forward-looking statements. Potential risks and uncertainties include, but are not limited to, the negative impacts of the COVID-19 pandemic; economic conditions in the global markets in which we operate; anti-trade measures and additional changes in international trade policies and relations; a significant data breach or other disruption to our technology infrastructure; our ability to successfully integrate the businesses and operations of FedEx Express and TNT Express in the expected time frame and at the expected cost and to achieve the expected benefits from the combined businesses; our ability to continue to transform and optimize the FedEx Express international business, particularly in Europe; our ability to successfully implement our business strategy, effectively respond to changes in market dynamics and achieve the anticipated benefits and associated cost savings of such strategies and actions; damage to our reputation or loss of brand equity; the impact of the United Kingdom’s withdrawal from the European Union and the terms of their future trading relationship beyond December 31, 2020; the timeline for recovery of passenger airline air cargo capacity; changes in fuel prices or currency exchange rates; our ability to match capacity to shifting volume levels; the impact of intense competition; evolving or new U.S. domestic or international government regulation or regulatory actions; future guidance, regulations, interpretations, challenges or judicial decisions related to our tax positions; our ability to successfully complete the acquisition of ShopRunner, Inc.; our ability to effectively operate, integrate, leverage and grow acquired businesses; legal challenges or changes related to service providers engaged by FedEx Ground and the drivers providing services on their behalf; an increase in self-insurance accruals and expenses; disruptions or modifications in service by, or changes in the business or financial soundness of, the U.S. Postal Service; the impact of any international conflicts or terrorist activities; our ability to quickly and effectively restore operations following adverse weather or a localized disaster or disturbance in a key geography; and other factors which can be found in FedEx Corp.’s and its subsidiaries’ press releases and FedEx Corp.’s filings with the SEC. Any forward-looking statement speaks only as of the date on which it is made. We do not undertake or assume any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

The financial section of this release is provided on the company’s website at investors.fedex.com.

RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES

TO GAAP FINANCIAL MEASURES

Second Quarter Fiscal 2021 and Fiscal 2020 Results

The company reports its financial results in accordance with accounting principles generally accepted in the United States (“GAAP” or “reported”). We have supplemented the reporting of our financial information determined in accordance with GAAP with certain non-GAAP (or “adjusted”) financial measures, including our adjusted second quarter fiscal 2021 and 2020 consolidated operating income and margin, net income and diluted earnings per share, and adjusted second quarter fiscal 2021 and 2020 FedEx Express segment operating income and margin. These financial measures have been adjusted to exclude the impact of the following items (as applicable):

  • The second quarter fiscal 2021 mark-to-market (MTM) TNT Express retirement plan accounting adjustment;
  • TNT Express integration expenses incurred in fiscal 2021 and 2020; and
  • Fiscal 2020 aircraft impairment charges.

The MTM TNT Express retirement plan accounting adjustment and aircraft impairment charges are excluded from our second quarter fiscal 2021 and 2020 consolidated non-GAAP financial measures and FedEx Express segment non-GAAP financial measures, as applicable, because they are unrelated to our core operating performance and/or to assist investors with assessing trends in our underlying businesses.

We have incurred and expect to incur significant expenses through fiscal 2022 in connection with our integration of TNT Express. We have adjusted our second quarter fiscal 2021 and 2020 consolidated and FedEx Express segment financial measures to exclude TNT Express integration expenses because we generally would not incur such expenses as part of our continuing operations. The integration expenses are predominantly incremental costs directly associated with the integration of TNT Express, including professional and legal fees, salaries and employee benefits, travel and advertising expenses. Internal salaries and employee benefits are included only to the extent the individuals are assigned full-time to integration activities.

We believe these adjusted financial measures facilitate analysis and comparisons of our ongoing business operations because they exclude items that may not be indicative of, or are unrelated to, the company’s and our business segments’ core operating performance, and may assist investors with comparisons to prior periods and assessing trends in our underlying businesses. These adjustments are consistent with how management views our businesses. Management uses these non-GAAP financial measures in making financial, operating and planning decisions and evaluating the company’s and each business segment’s ongoing performance.

Our non-GAAP financial measures are intended to supplement and should be read together with, and are not an alternative or substitute for, and should not be considered superior to, our reported financial results. Accordingly, users of our financial statements should not place undue reliance on these non-GAAP financial measures. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names. As required by Securities and Exchange Commission rules, the tables below present a reconciliation of our presented non-GAAP financial measures to the most directly comparable GAAP measures.

Second Quarter Fiscal 2021

FedEx Corporation

 

 

Operating

 

Income

 

Net

 

Diluted

Earnings

Dollars in millions, except EPS

 

Income

 

Margin1

 

Taxes2

 

Income3

 

Per Share

GAAP measure

 

$1,465

 

7.1%

 

$180

 

$1,226

 

$4.55

Mark-to-market TNT Express retirement plan accounting adjustment4

 

—

 

—

 

11

 

41

 

0.15

TNT Express integration expenses5

 

48

 

0.2%

 

12

 

36

 

0.13

Non-GAAP measure

 

$1,513

 

7.4%

 

$203

 

$1,303

 

$4.83

 

FedEx Express Segment

 

 

Operating

Dollars in millions

 

Income

 

Margin

GAAP measure

 

$900

 

8.7%

TNT Express integration expenses

 

43

 

0.4%

Non-GAAP measure

 

$943

 

9.1%

 

Second Quarter Fiscal 2020

FedEx Corporation

 

 

Operating

 

Income

 

Net

 

Diluted

Earnings

Dollars in millions, except EPS

 

Income

 

Margin1

 

Taxes2

 

Income3

 

Per Share

GAAP measure

 

$554

 

3.2%

 

$12

 

$560

 

$2.13

TNT Express integration expenses5

 

64

 

0.4%

 

14

 

50

 

0.19

Aircraft impairment charges

 

66

 

0.4%

 

16

 

50

 

0.19

Non-GAAP measure

 

$684

 

3.9%

 

$42

 

$660

 

$2.51

 

FedEx Express Segment

 

 

Operating

Dollars in millions

 

Income

 

Margin1

GAAP measure

 

$236

 

2.6%

TNT Express integration expenses

 

49

 

0.5%

Aircraft impairment charges

 

66

 

0.7%

Non-GAAP measure

 

$351

 

3.9%

 

Notes:

 

1 –

Does not sum to total due to rounding.

2 –

Income taxes are based on the company’s approximate statutory tax rates applicable to each transaction.

3 –

Effect of “total other (expense) income” on net income amount not shown.

4 –

The MTM TNT Express retirement plan accounting adjustment reflects a noncash loss associated with amending a TNT Express European pension plan to harmonize retirement benefits.

5 –

These expenses were recognized at FedEx Corporate and FedEx Express.

 

Media Contact: Jenny Robertson 901-434-4829

Investor Contact: Mickey Foster 901-818-7468

Home Page: fedex.com

KEYWORDS: Tennessee United States North America

INDUSTRY KEYWORDS: Trucking Air Transport Logistics/Supply Chain Management

MEDIA:

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Virgin Pulse Expands Homebase for Health™ With Recent Addition of 16 Health and Wellbeing Partners

Streamlining Access to Third-Party Partner Programs through Virgin Pulse’s Homebase for Health™ Unlocks Significant Value, Increases Benefits Utilization and Drives Health Outcomes that Matter for Clients and Members; Allows Members to Manage their Health and Wellbeing in One Place

PROVIDENCE, R.I., Dec. 17, 2020 (GLOBE NEWSWIRE) — Virgin Pulse, the leading global provider of digital health and wellbeing solutions, today announced the addition of 16 new partners across 11 critical health and wellbeing areas to its Adaptive Partner Network. All new partners can be deployed as individual, third-party offerings, and four can also be deployed as part of VP+, Virgin Pulse’s  partner solution, announced at THRIVEx earlier this year, that enables a connected health experience through a collection of seven integrated partners in a one-contract buying solution at considerable cost savings. 

With the heightened and urgent focus COVID has placed on health and wellbeing, employers are embracing digital tools to support employees in maintaining their health as they adapt to a new normal, specifically in the areas of mental health, addiction, sleep, physical activity, financial wellbeing, musculoskeletal care as well as high risk conditions like hypertension and heart disease. As employers add partner solutions to address the specific needs of their organizations, Virgin Pulse’s Homebase for Health provides a seamless, personalized way for employees to engage with those programs directly form the Virgin Pulse platform.

Critical to Virgin Pulse’s Homebase for Health™ ecosystem, these partner offerings have passed rigorous security reviews to integrate with Virgin Pulse, and provide a unified user experience that allows members to easily incorporate new wellbeing activities into their daily routines, directly from their Virgin Pulse app. Homebase for Health™ unifies, simplifies and personalizes member health and wellbeing while providing Virgin Pulse clients with a one-stop shop for managing and orchestrating partner health and wellbeing benefits and solutions and streamlining complex contracting, procurement, eligibility, reporting and billing. Virgin Pulse’s Homebase for Health™ makes whole-person health and wellbeing more accessible for members and more streamlined for clients.

The following health and wellbeing solution providers have joined Virgin Pulse’s growing partner network with innovative, pre-configured integrations that address a range of urgent issues:

  • Biometrics with Quest Diagnostics
  • Heart Health and Hypertension Management with Hello Heart
  • Conditions Management with Helpsy Health
  • Family and women’s health with Ovia Health
  • Financial wellbeing with Enrich™ and myFiTage
  • Fitness with Aaptiv and Zeamo
  • Health Quality and Cost Transparency with Healthcare Bluebook
  • Mental wellbeing with Headspace and SilverCloudHealth
  • Musculoskeletal care with Hinge Health and Kaia Health
  • Smoking and addiction cessation with EX Program by Truth Initiative and Quit Genius
  • Sleep management with dayzz

“Wellbeing, conditions management, digital therapeutics, and more make up a complex and disconnected ecosystem of point solutions for health and wellbeing. Complexity and friction prevent members from engaging with resources to manage their own holistic wellbeing journeys and makes it harder for employers to understand and manage total population health and its associated costs,” said David Osborne, CEO of Virgin Pulse. “Virgin Pulse is simplifying the way employers, health plans, and healthcare consumers engage with their wellbeing, health, and healthcare by providing members with their own Homebase for Health™, with direct access to partner solutions and services.”

Achieve Holistic Wellbeing with Virgin Pulse and Partners:

All partners are integrated through Virgin Pulse’s native API and /or single sign-on capabilities that allow members to access the partner’s features and capabilities directly from within Virgin Pulse. This provides a more personalized experience and allows members to track and record engagements toward goals, progress, and rewards, and, as they engage with partners, each member’s Virgin Pulse record expands to reflect full ecosystem engagement, progress, and program completion – all in one place.


  • For members
    : accessing all tools for health and wellbeing in one place facilitates a more seamless experience. Unified data-tracking allows members to set, track, and manage their progress against goals as they improve lifestyle habits, facilitates the day-to-day management of conditions, and improves overall behavioral health.

  • For clients:
     Virgin Pulse provides flexibility and configurability to meet the specific needs of client organizations. Virgin Pulse’s partner ecosystem unlocks the value of client investments in point solutions by driving member engagement and utilization of those third-party benefits and programs. Virgin Pulse’s artificial intelligence (AI)-based recommendations span all available benefits when driving members to the resources that will facilitate their goals, respond to health risks, and promote healthy habits. Centralizing member engagement data allows clients to see and react to health and wellbeing trends and cost drivers across the organization.

  • For Partners:
    Virgin Pulse’s rewards and AI-guided recommendations drive targeted engagement in partner health and wellbeing solutions, unlocking more value for clients while increasing awareness of partner offerings among the client’s member population. As members complete their health assessments in and begin engaging with Virgin Pulse, they are pointed to curated tools, cards, programs, journeys, apps, coaching, and other resources, some of which are provided directly from partners, that support them in building healthy habits and lifestyles. Virgin Pulse’s advanced analytics and micro-targeting capabilities ensure the right partner content and recommendations are delivered to the right members at the right time.

About Virgin Pulse

Virgin Pulse is the global leader and premier provider of digital health and wellbeing SaaS solutions and services focused on driving health outcomes and reducing healthcare costs. Featuring the industry’s only true Homebase for Health™ that unifies and simplifies the health journey, Virgin Pulse fuses high-tech, high-touch, AI and data to support clients and members across the entire health, wellbeing and benefits lifecycle—from screening and assessment to activation, behavior change and the adoption of sustainable, healthy habits to benefits navigation, condition management, gaps in care closure and digital therapeutics. Today, 12 million+ users in more than 190 countries rely on Virgin Pulse’s digital and live solutions to change their lives—and businesses—for good. To learn more, visit VirginPulse.com and follow us on Twitter or LinkedIn

More information about Virgin Pulse’s Newest 2020 Homebase for Health™
 Partners:

Biometrics:


  • Quest Diagnostics
     provides laboratory-based insights through biometric screenings to help identify gaps in care and connect participants to employer population health solutions that enable healthier choices and reduce healthcare spending. Virgin Pulse clients can secure biometric screening and connect-to-care solutions and work with dedicated account teams to personalize screening and population health programs to meet client needs. Clients also have access to biometric screening services internationally via Quest’s Global Markets.

Conditions Management:


  • Helpsy Health
     is the first virtual, whole-health nurse for symptom management and navigation (SAN). Guided by artificial intelligence (AI), Helpsy’s solutions prepare employees and family members diagnosed with complex diseases to take control of their situation and drive the best outcomes possible. Helpsy Health provides continuous, compassionate support and engagement through proactive assessment of needs, treatments and side effects education, and more than 10,000 community programs.

Family Health:


  • Ovia Health
     delivers an inclusive family benefit platform that supports all parents and expecting families at home and at work. Ovia’s solution helps families navigate reproductive health and parenting journeys from preconception through pregnancy, postpartum and parenthood. Ovia provides users with customized virtual support that includes personalized health coaching, improving mental and maternal health outcomes and helping organizations save money while attracting and retaining diverse talent. Ovia Health provides Virgin Pulse members with access to on-demand, unlimited one-on-one coaching with registered nurses trained in practices backed by American College of Obstetricians and Gynecologists (ACOG) guidelines and offers outbound coaching and return-to-work programs and reporting.
    *Clients can deploy Ovia Health as part of VP+ or as an individual third-party partner.

Financial Wellbeing:


  • Enrich


    ™
     is an award-winning financial wellness program which makes finances fun! Enrich personalizes the experience for each user based on their current goals and has been shown to lower financial stress over time. Enrich provides personalized financial management education, increasing employee productivity, reduce employee financial stress and measure financial literacy efficacy. A suite of student loan tools aggregating loans and providing repayment analysis with access to financial aid coach. A rewards framework allows employers to promote and members to track activity with Enrich, creating an end-to-end financial wellbeing experience.


  • WTW myFiTage
     offers employees simple and powerful personal financial health monitoring and goal-setting for short-term, long-term, or lifetime financial goals. myFiTage offers privacy protection, customization to present employer benefits and partners, and expertise backed by Willis Towers Watson (WTW). Virgin Pulse’s AI-based recommendations promote myFiTage to members interested in financial wellbeing resources, including those who are building financial wellbeing habits. myFiTage is promoted through partner cards on the Virgin Pulse homepage and offers members opportunities to earn rewards in Virgin Pulse for myFiTage engagements.

Fitness:


  • Aaptiv
     offers on-demand access to over 1,000 classes across 13 categories, including strength training, running, walking, sleep, meditation, and more. Aaptiv’s classes pair expert guidance with a perfect playlist to give users the best experience possible. Aaptiv can be deployed as part of VP+ or as a standalone Virgin Pulse partner. Virgin Pulse offers a secure Aaptiv App branded for Virgin Pulse that offers over 1,000 fitness and wellness audio and video classes on demand. Aaptiv integrates with Virgin Pulse’s healthy habit tracker to create daily success routines. Members are rewarded in Virgin Pulse for daily habits and success measures and Virgin Pulse reports on Aaptiv performance and member use for clients.
    *Clients can deploy Aaptiv as part of VP+ or as an individual third-party partner.


  • Zeamo
     blends digital and in-person fitness and wellbeing experiences to allow employees to build a personal wellness program that inspires them to make healthy choices and rewards them. Virgin Pulse members can access the Zeamo Fitness Passport and choose from a curated library of on-demand workouts and live-stream classes from top fitness professionals. Gym goers can access a robust network of gyms and studios as part of a subscription program. With Zeamo, activity is rewarded no matter where it happens. Employees earn rewards in the Virgin Pulse app for on-demand video views, live-stream check-ins, gym, and studio check-ins, and other activities facilitated through Zeamo.

Health Transparency:


  • Healthcare Bluebook
     uses industry-leading objective price and quality data and claims-driven ROI reporting to provide 5,000+ employers and members with an easy-to-use benefits solution that promotes high-value care, drives savings and rapid ROI, and increases price predictability. When combined with a proven engagement methodology, Bluebook’s innovative services empower employees to become smarter healthcare shoppers while decreasing costs and improving healthcare outcomes. Promoted Healthcare Bluebook cards are served up through a member’s Virgin Pulse homepage and on their relevant program pages. Healthcare Bluebook activities and engagements are rewarded in Virgin Pulse.

Heart Health and Hypertension Management:


  • Hello Heart
     is a clinically-based solution that allows employers to track their blood pressure at home using a BLE monitor and improve their cardiovascular health in real time with an easy-to-use smartphone application. Hello Heart integrates with Virgin Pulse via single-sign-on and expands members’ Homebase for Health™ to specifically target hypertension. Hello Heart offers biometric tracking and personalized explanations and digital coaching and content facilitated directly to member home pages and program pages in Virgin Pulse. Members can also earn rewards in Virgin Pulse for tracked interactions in Hello Heart.   

Mental Wellbeing:


  • Headspace
     for Work is an employee mental health solution that provides science-backed mindfulness products and professional services to help companies build healthier, more productive cultures. As one of the first meditation apps in the world, Headspace provides mindfulness and mental training through its app and online content that covers everything from stress, movement, sleep, focus and more. Headspace is GDPR compliant and available in English, European French, LATAM Spanish, Brazilian Portuguese and German. Virgin Pulse promotes Headspace via partner cards on members’ Virgin Pulse homepages, and members can earn rewards for accessing and completing Headspace content.


  • SilverCloud
    Health
     develops digital therapeutics and innovative virtual care delivery models informed by 18 years of scientific research and spanning 30 program areas in wellbeing, mental health and chronic conditions. The SilverCloud Health platform is HIPAA and GDPR compliant and enables organizations to quickly scale access to effective mental and behavioral health care with outcomes on par with traditional face-to-face therapy. Partner cards in Virgin Pulse promote SilverCloud Health and members are rewarded in the Virgin Pulse platform for SilverCloud Health engagements.

Musculoskeletal Care:


  • Hinge Health
     offers the most comprehensive digital musculoskeletal (MSK) clinic. Hinge Health provides a clinical care model that surrounds members with access to doctors, physical therapists, health coaches and technology for back and joint pain. Hinge Health is proven to reduce pain and opioid use, to improve mental health and to avoid two out of every three surgeries. Members who are at risk for MSK issues, are recovering from an injury, are in need of support with chronic MSK pain, or are pre- or post-surgery are directed to Hinge Health based on their health assessment, behavior tracking and member data in Virgin Pulse. As members engage in Hinge Health, they earn rewards in Virgin Pulse.


  • Kaia Health
     creates accessible, evidence-based treatments for a range of disorders including musculoskeletal (MSK) pain and chronic obstructive pulmonary disease. Kaia Health works with experts in various medical fields and uses machine learning to deliver individualized, app-based digital interventions that help patients take control of and self-manage specific conditions from their homes using devices they already own. Kaia’s content is directly integrated into Virgin Pulse members’ homepages and members are rewarded in Virgin Pulse for engaging and completing sessions in Kaia Health. *Clients can deploy Kaia as part of VP+ or as an individual third-party partner. Members can access Kaia Health’s MSK content and schedule coaching sessions directly from the Virgin Pulse app.

Addiction Cessation:


  • EX Program by Truth Initiative


    ®
     is a digital tobacco cessation program that personalizes the quitting journey for each participant. The program’s interactive, self-paced, guided quit plan provides the specialized support tobacco users need for the behavioral, social, and physical aspects of tobacco addiction. Virgin Pulse members access the EX Program via single-sign-on and members get access to partner promoted cards on the Virgin Pulse home screen while having access to the EX Program in the programs and benefits directory. Virgin Pulse members are also rewarded in Virgin Pulse for engagements involving the EX Program®.
    * The EX Program by Truth Initiative® can be deployed as part of VP+ or as an individual partner.

  • Quit Genius
     is a digital clinic for treating nicotine addiction that is built on the evidence-based principle of Medication-Assisted Treatment (MAT) that combines virtual behavioral therapy with approved medication and connected devices to help members conquer their smoking addiction. Quit Genius quit coaches guide users through the challenging process of quitting smoking by providing emotional support and education throughout the journey delivered through the Quit Genius mobile app. The company integrates with health plans and pharmacy benefit managers to deliver a turnkey implementation experience. Virgin Pulse members engaging Quit Genius receive SMS, push, and email notification from Quit Genius, partner promoted cards on the Virgin Pulse homepage and recommendations, benefits information and topic-based healthy habit cards in their program pages in Virgin Pulse. Virgin Pulse members will also be able to earn rewards in Virgin Pulse and complete health screenings toward stage-based progress.

Sleep Management:


  • d
    ayzz
     provides personalized sleep training plans to individuals across the US. facilitated by clinically validated machine learning algorithms that assess common sleep problems. The app constantly adjusts users’ training plans based on big data analysis to fit users’ needs and reflect their progress while offering the right intervention at the right time with continuous support and unique motivational strategies. dayzz offers its sleep solution to US employers and payers to increase productivity, enhance wellbeing, optimize usage of the healthcare system and reduce associated costs. Employers receive periodic overview reports based on the vast amounts of data gathered, presenting aggregated data about their employees’ sleep status to help them better understand how to improve employee experience and performance. Virgin Pulse members can access dayzz via daily cards in Virgin Pulse as well as through the programs and benefits directory in the Virgin Pulse app. Members can also earn rewards in Virgin Pulse for completed engagements in dayzz.

For Additional Information, please contact [email protected]



Posted on

Investor Alert: Kaplan Fox Investigates Potential Securities Fraud Penumbra, Inc.

PR Newswire

NEW YORK, Dec. 17, 2020 /PRNewswire/ — Kaplan Fox & Kilsheimer LLP (www.kaplanfox.com) is investigating claims on behalf of investors of Penumbra, Inc (“Penumbra” or the “Company”) (NYSE: PEN).

On Nov. 9, 2020, Quintessential Capital Management (“QCM”) published a report entitled “Penumbra and its ‘Killer Catheter.'” QCM stated, among other things that “Penumbra’s flagship ‘Jet 7’ device is linked to 18 recorded deaths, 39 injuries” and that “this might be only the ‘tip of the iceberg. . . .'”

On November 9, 2020, Penumbra’s shares fell $8.76 per share, about 3.5%, to close at $242.46 per share. 

On December 8, 2020, QCM published another report accusing Penumbra of having engaged in a multi-year scheme to fraudulently produce a substantial portion of scientific literature using a fake character to support its product marketing to healthcare providers.   

On December 8, 2020, Penumbra’s shares fell $19.95 per share, about 8.9%, to close at $204.07 per share.

Then, on December 15, 2020, after the market closed, Penumbra announced it is voluntarily recalling all configurations of its JET 7 Xtra Flex device “because the catheter may become susceptible to distal tip damage during use” and “[d]istal tip damage in conjunction with pressurization or contrast injection may result in potential vessel damage, and subsequent patient injury or death.”

Following this news, Penumbra’s shares fell $13.84 per share, about 7.3%, to close at $174.98 per share on December 16, 2020.

If you purchased or otherwise acquired Penumbra securities and would like to discuss our investigation, please contact us by emailing [email protected] or by calling (646) 315-9003. 

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Kaplan Fox & Kilsheimer LLP, with offices in New York, San Francisco, Los Angeles, Chicago and New Jersey, has many years of experience in prosecuting investor class actions. For more information about Kaplan Fox & Kilsheimer LLP, you may visit our website at www.kaplanfox.com.  If you have any questions about this investigation, your rights, or your interests, please contact:

Jeffrey P. Campisi

KAPLAN FOX & KILSHEIMER LLP
850 Third Avenue, 14th Floor
New York, New York 10022
(212) 329-8571
E-mail: [email protected] 

Laurence D. King

KAPLAN FOX & KILSHEIMER LLP
1999 Harrison Street, Suite 1560
Oakland, California 94612
(415) 772-4704
Fax:  (415) 772-4707
E-mail: [email protected] 

Cision View original content:http://www.prnewswire.com/news-releases/investor-alert-kaplan-fox-investigates-potential-securities-fraud-penumbra-inc-301195589.html

SOURCE Kaplan Fox & Kilsheimer LLP

Posted on

PRA Health Sciences collaborates with PWNHealth and Fulgent Genetics to provide at-home COVID-19 test capabilities

PRA’s remote patient monitoring (RPM) solution now offers a suite of COVID-19 tools – diagnostic testing, clinical monitoring, and symptom reporting and management functionality

RALEIGH, N.C., Dec. 17, 2020 (GLOBE NEWSWIRE) — PRA Health Sciences (NASDAQ: PRAH) announced today the enhancement of its COVID-19 Monitoring Program with the addition of at-home COVID-19 testing capabilities. Enabled through a collaboration with PWNHealth and Fulgent Genetics (NASDAQ: FLGT), the testing capabilities expand PRA’s existing COVID-19 clinical monitoring, symptom reporting and management services that are available on the patient-facing Health HarmonyTM mobile app. Patients are supported throughout their COVID-19 journey – from education, exposure, testing and monitoring through recovery.

“Getting accurate diagnostic information into the hands of patients and their care teams strengthens patient relationships with their physician at a time when they need it most,” said Randy Swanson, President of Care Innovations, a PRA Health Sciences company. “Our remote patient monitoring platform and mobile health app, Health Harmony, creates an innovative connection to the most important part of any organization – its people.”

Available today, Health Harmony app enables employers, schools, payers, providers, and healthcare systems to help their constituents manage their health and well-being. Users can connect medical devices to their mobile devices to capture vital signs and other medical data, participate in video sessions with their physicians, and receive educational content. The Health Harmony app collects the data electronically and presents it to PRA’s monitoring center, staffed with trained nurses. Clinicians can then monitor patients’ health and recommend and coordinate appropriate interventions remotely. If clinicians recommend a COVID-19 test, patients can order an at-home testing kit from Picture by Fulgent Genetics directly through the mobile app. This end-to-end model enables patients to receive continuous COVID-19 care – all from the convenience and comfort of their home. Employers, health plan payers, health systems, and other organizations can be up and running with this cloud-based system in two to three weeks.

Critical to the test ordering capability are PWNHealth, a national clinician network that provides safe and easy access to diagnostic testing, and Fulgent Genetics, a provider of genetic testing solutions including at-home COVID-19 test kits through its Picture platform. PWNHealth supports more than 3,000 test types through its partnerships with over 80 CLIA-certified laboratories. For this initiative, PWNHealth will support Fulgent Genetics, which will supply the at-home COVID-19 diagnostic tests, process the samples, and return the results to patients within 24 to 48 hours of sample receipt.

Picture by Fulgent is an emergency use authorization-approved at-home test built on RT-PCR based technology, which provides the highest level of sensitivity and specificity for COVID-19 testing. PWNHealth’s diagnostic testing infrastructure and its extensive network with laboratories like Fulgent Genetics makes consumer-friendly testing safe, accessible, and clinically actionable.

“We’re pleased to increase access to safe, effective, and easy-to-use COVID-19 diagnostic testing kits from Fulgent Genetics through PWNHealth’s network,” said Bob MacMillan, Vice President of Life Sciences, PWNHealth. “Coordinating care through PRA’s remote patient monitoring solution furthers our mission to empower people with important diagnostic information and enhance their engagement with their health and wellness journey.”

For almost a decade, PRA has been working to connect people to their health through their devices, in their space, and on their time. The COVID-19 pandemic has expedited the industry’s transition to new models of healthcare and PRA continues to develop novel digital health solutions to provide access to appropriate level of care, whether this is in the clinical care setting or a clinical trial.

“We are excited to be at the forefront of innovation that enables our clients to adapt to evolving healthcare demands and help patients receive life-saving treatments,” said Kent Thoelke, Executive Vice President and Chief Scientific Officer at PRA Health Sciences. “Our connected health solutions represent the future of patient care and the greatest opportunity to advance patients’ health.”

For more information about PRA’s COVID-19 monitoring program, please visit workforce health and safety page from Care Innovations.

About PRA Health Sciences

PRA Health Sciences is one of the world’s leading global contract research organizations by revenue, providing outsourced clinical development and data solution services to the biotechnology and pharmaceutical industries. PRA’s global clinical development platform includes more than 75 offices across North America, Europe, Asia, Latin America, Africa, Australia and the Middle East and more than 17,500 employees worldwide. Since 2000, PRA has participated in approximately 4,000 clinical trials worldwide. In addition, PRA has participated in the pivotal or supportive trials that led to U.S. Food and Drug Administration or international regulatory approval of more than 95 drugs. To learn more about PRA, please visit www.prahs.com.

INVESTOR INQUIRIES: [email protected]

MEDIA INQUIRIES: Laurie Hurst, Sr. Director, Communications and Public Relations
[email protected] | +1 (919) 786-8435

About PWNHealth

PWNHealth is a national clinician network working to improve early detection and prevention of disease using advanced diagnostics and telehealth. Our solutions provide the clinical, legal, and technological framework to facilitate population-scale testing across key healthcare markets in all 50 states and Puerto Rico. PWN is supporting over 45 national COVID-19 testing programs and have managed more than 10 million COVID-19 tests through our platform. We believe that empowering people with convenient access to clinically actionable testing has the power to change lives, improve outcomes, and create a healthier world. PWN is backed by leading growth equity firms Spectrum Equity and the Blue Venture Fund (BVF). To learn more about PWNHealth, visit www.pwnhealth.com. Follow us on Twitter, LinkedIn and Medium.

About Fulgent Genetics

Fulgent Genetics’ proprietary technology platform has created a broad, flexible test menu and the ability to continually expand and improve its proprietary genetic reference library while maintaining accessible pricing, high accuracy and competitive turnaround times. Combining next generation sequencing (“NGS”) with its technology platform, the company performs full-gene sequencing with deletion/duplication analysis in an array of panels that can be tailored to meet specific customer needs. Since March 2020, the company has commercially launched several tests for the detection of SARS-CoV-2, the virus that causes the novel coronavirus (“COVID-19”), including NGS and reverse transcription polymerase chain reaction (“RT-PCR”) – based tests. A cornerstone of the company’s business is its ability to provide expansive options and flexibility for all clients’ unique testing needs through a comprehensive technology offering including cloud computing, pipeline services, record management, web portal services, clinical workflow, sequencing as a service and automated lab services.



Posted on

Scholastic Reports Fiscal 2021 Second Quarter Results

PR Newswire

NEW YORK, Dec. 17, 2020 /PRNewswire/ — Scholastic Corporation (NASDAQ: SCHL), the global children’s publishing, education and media company, today reported financial results for the Company’s fiscal second quarter ended November 30, 2020. Scholastic’s school-based distribution channels, particularly its book fairs businesses in the U.S., U.K. and Canada, continued to see significant pressure on revenues due to COVID-impacted delays in school openings and disruptions in school instruction patterns and schedules in the Company’s important back-to-school second quarter. Scholastic’s other major businesses performed well and showed significant improvements in operating income year-over-year. 

Fiscal Second Quarter 2021 Review
(In $ Millions)


In $ millions


Second Quarter


Variance


FY 2021


FY 2020


$


%

Revenues

$406.2

$597.2

($191.0)

(32%)

Operating income (loss)

48.8

105.1

(56.3)

(54%)

   One-time items

5.5

1.9

3.6

–

Operating income (loss), excluding one-time items*

54.3

107.0

(52.7)

(49%)


* Please refer to the non-GAAP financial tables attached

Chairman’s Commentary

“While fiscal second quarter book fairs’ revenues were adversely impacted by COVID, all of Scholastic’s other major businesses, in the U.S. and internationally, showed major improvements in operating income, year-over-year.  These gains, along with a reduction in overhead expense, helped to lessen the impact of the lower fairs’ revenues on Scholastic’s profitability and cash position. Trade’s strong fall frontlist, including the NY Times #1 Bestseller, The Ickabog® by J.K. Rowling, helped propel a 21% increase in trade sales and we ended the quarter with an impressive showing of 10 of our children’s titles on the incredibly competitive AmazonBest Books of 2020 list,” said Richard Robinson, Chairman, President and Chief Executive Officer.  We continued to take major steps to reduce our operating costs, right-size our employee base, and match our inventory purchases to customer demand. If school operations stabilize and business conditions improve in the second half, as expected, the Company’s new lower cost structure should result in higher profit margins and increased cash flow.”

Mr. Robinson continued, “During the quarter, both the economy and our educational systems continued to be upended by the devastating pandemic and schools faced daily challenges in meeting the needs of their students with only one-third of all schools open for in-person learning. As a trusted partner to educators and families all over the world, the passion and commitment of our employees has provided innovative, practical literacy solutions to these partners struggling to keep their children learning and safe. With increased interest in our take-home reading packs, easy-to-use digital programs, including our new “digital-only” classroom magazines, virtual book fairs and ship-to-home options for clubs and fairs, we were able to help teachers and schools to overcome these obstacles, even as our own top line was significantly impacted by the absence of traditional school-based in-person book fairs, here and abroad.”

Mr. Robinson concluded, “Getting all children back into the classroom in the new calendar year, especially for grades K-5, is a top priority of educators across the country and, as they do, Scholastic will be there with our best-selling content, our safe and easy book fairs, and our breakthrough print and digital literacy programs, along with our unyielding commitment to teachers and parents to turn around learning loss and the potential impact on student achievement from months spent away from the classroom.”

Revenues

Second quarter revenue was $406.2 million, a decrease of 32% compared to $597.2 million in the second quarter of 2020, predominantly due to lower sales in the Company’s book fairs operations as schools were unable to host premium in-person book fairs as a result of coronavirus concerns and restrictions. Although book clubs missed its September targets as school opening dates were delayed due to COVID, sales grew stronger in subsequent months as teacher and student engagement increased significantly over the course of the quarter.  Trade publishing revenues remained very strong in the period, driven by bestsellers like Dav Pilkey’sDog Man: Grime and Punishment and J. K. Rowling’s The Ickabog, as well as best-selling series and a growing evergreen backlist of cherished titles, while Education saw increased district sales of its Grab and Go reading packs, mass market gains for workbooks, and improved digital subscription revenues, including sales of Scholastic Literacy Pro®, the Company’s classroom management tool for independent reading. 

Income

Operating income in the second quarter was $48.8 million, compared to operating income of $105.1 million a year ago.  During the quarter, the Company continued to take aggressive actions to pare its operating costs resulting in a $69.5 million reduction in selling, general and administrative expenses, or 33% below the prior year period.  Excluding one-time items in both periods, operating income in the second quarter was $54.3 million, as compared to $107.0 million in the second quarter of the prior fiscal year.

Net income for the current period was $35.1 million, compared to net income in the prior year period of $71.0 million, a reduction of 51%.  Earnings per diluted share in the second fiscal quarter was $1.02 compared to earnings per diluted share of $2.02 in the prior year period. Excluding one-time items, second quarter 2021 earnings per diluted share was $1.15, compared to earnings per diluted share of $2.06 in the second quarter of 2020.

Capital Position and Liquidity

Net cash provided by operating activities was $46.1 million in the current fiscal quarter compared to net cash provided by operating activities of $111.9 million in the second quarter of fiscal 2020. The Company had free cash flow (a non-GAAP liquidity measure defined in the accompanying tables and reconciled to net cash provided) of $30.9 million in the current quarter, compared to free cash flow of $87.7 million a year ago.  The Company’s cost savings initiatives continued to drive overall lower net spending levels as the Company re-aligned its operations and staffing levels to adapt to lower COVID-related customer demand in its book fairs channel in the current quarter.

At quarter-end, the Company’s cash and cash equivalents exceeded total debt by $161.8 million, compared to $261.7 million a year ago. Net cash balances increased by $26.2 million from prior quarter-end. The Company continues to believe that it has sufficient cash reserves to support its FY2021 business plan and has successfully amended its committed credit facility to ensure continued access to necessary liquidity, if needed, throughout the on-going COVID crisis.

Capital expenditures in the second quarter were $10.2 million, significantly below the current period’s depreciation and amortization expense and prior year period outlays of $17.2 million. Capital expenditures in the period were concentrated on targeted enhancements to the Company’s technology platforms and digital services, as well for the relocation and consolidation of certain distribution, warehousing and back-office operations. A number of these investments will serve to lower the Company’s fixed costs of operations in future periods.

The Company also distributed $5.1 million in dividends in the second quarter.

Overall Results
(In $ Millions)

Second Quarter FY2021

As Reported

One-Time Items

Ex. One-Times

Earnings (loss) before taxes

$47.6

($5.5)

$53.1

  Interest (income) expense

1.2

–

1.2

  Depreciation and amortization

17.0

–

17.0

  Amortization of prepublication costs

6.4

–

6.4

Adjusted EBITDA

$72.2

($5.5)

$77.7

Earnings before taxes for the quarter ended November 30, 2020 was $47.6 million compared to earnings before taxes of $104.9 million in the second quarter of the prior fiscal year. Adjusted EBITDA (a non-GAAP performance measure defined in the accompanying tables and reconciled to earnings (loss) before taxes) for the second fiscal quarter of 2021 was a gain of $77.7 million, compared to a gain of $129.3 million in the second quarter of 2020.

Fiscal 2021 Outlook

Scholastic believes that returning all children to the classroom will be a top priority for school districts in the new calendar year, setting the stage for higher levels of engagement and providing motivation for schools to host in-person book fairs and increase their purchases of classroom book collections and other instructional resources.  The Company is cautiously optimistic that, after a ramp-up period in the third fiscal quarter, it should see improved results, especially in its book fairs operations, in the fourth quarter of the fiscal year as schools successfully re-adjust to in-person learning.  And, for those districts continuing to operate in some form of remote learning or hybrid model, the Company’s expanded offering of digital subscription programs should continue to see higher sales.

A strong second half pipeline of new releases will continue to position the trade business for growth, and Scholastic’s growing media and entertainment business, through its production partnerships and the licensing of Scholastic’s content and characters, should continue to complement the Company’s book sales.  The Company has met its previously announced $100 million cost savings target and has identified opportunities for additional savings in the second half of the fiscal year. These cost-cutting actions, along with continued strong performance in the Company’s trade and education businesses, in the U.S. and internationally, should help mitigate the impact of lower expected book fairs revenues in the third quarter. 

Although the Company remains optimistic about the prospects of returning children to classrooms and the passage of a COVID stimulus package for schools, given the on-going variability in school instruction patterns and schedules and the possibility of new COVID outbreaks and their potential impact on schools, Scholastic is not providing a financial outlook for fiscal year 2021.

Segment Results

All comparisons detailed in this section refer to operating results for the second quarter ended November 30, 2020 versus the second quarter ended November 30, 2019.

Children’s Book Publishing and Distribution

In $ millions

Second Quarter

2021

2020

$ Change

% Change

Revenue

 Book Clubs

$     66.9

$     85.9

$     (19.0)

(22%)

 Book Fairs

47.7

224.1

(176.4)

(79%)

 Trade

125.7

103.6

22.1

21%

Total revenue

240.3

413.6

(173.3)

(42%)

Operating income / (loss)

37.7

109.6

(71.9)

(66%)

Operating income / (loss), before one-time items*

37.7

109.6

(71.9)

(66%)


* Please refer to the non-GAAP financial tables attached

Second quarter segment revenues fell $173.3 million, or 42%, to $240.3 million, driven by a decline in book fairs held as schools hosted a much reduced number of in-person fairs on-site due to COVID, even as many school customers converted their cancelled fairs to the Company’s new on-line book fair model. Book club’s revenues finished the quarter strong with direct ship-to-home order fulfillment after a slow start in the early back-to-school period. Trade enjoyed a very strong quarter with improved sales levels across all categories – frontlist, backlist, digital, audio, co-editions, and its Klutz® line of book-based activity kits. Major revenue drivers in the period included Dog Man: Grime and Punishment, J.K. Rowling’s The Ickabog, a NY Times #1 Bestseller, and All Because You Matter by Tami Charles, as well as new title releases in best-selling series including The Bad Guys in The One?! (The Bad Guys™ #12), Pig the Slob (Pig the Pug), and Logan Likes Mary Anne! (The Baby-Sitters Club Graphic Novel #8). Segment operating income was $37.7 million, $71.9 million, or 66%, below the prior year period’s level, reflecting the sharp decline in book fair revenues, partially offset by cost savings and other restructuring activities that helped to reduce the Segment’s cost of operations in the current quarter.

Education

In $ millions

Second Quarter

2021

2020

$ Change

% Change

Revenue

$   67.5

$    69.9

$    (2.4)

(3%)

Operating income / (loss)

11.9

6.2

5.7

92%

Operating income / (loss), before one-time items*

11.9

6.2

5.7

92%


* Please refer to the non-GAAP financial tables attached

For the current fiscal quarter, segment revenue was $67.5 million, compared to $69.9 million a year ago, a 3% decrease, predominantly due to lower custom publishing revenues, as expected, as the Company winds down that line of business. While the segment also saw lower sales of its traditional classroom book collections and magazines as many school districts chose to operate remotely, full or part-time, sales of the Company’s Grab and Go take-home book packs to school districts and community-based services were robust in the current quarter.  Additionally, the Company’s line of workbooks and early readers saw increased sales in all channels, with a strong pipeline of orders for the second half of the fiscal year, and digital subscription products, including Scholastic Literacy Pro, F.I.R.S.T.® and BookFlix®, realized a 30% increase in revenues in the aggregate and a 43% increase in bookings, where additional revenue will be recognized in future periods as product is delivered.  Segment operating income was $11.9 million, a $5.7 million, or 92%, improvement versus the prior year period due to product mix and lower operating costs in the current quarter.

International

In $ millions

Second Quarter

2021

2020

$ Change

% Change

Revenue

$   98.4

$   113.7

$   (15.3)

(13%)

Operating income / (loss)

19.2

11.7

7.5

64%

Operating income / (loss), before one-time items*

20.8

11.7

9.1

78%


* Please refer to the non-GAAP financial tables attached

Second quarter segment revenues were $98.4 million, down $15.3 million, or 13%, as compared to the second quarter of fiscal 2020, mainly due to lower book fair events held as a result of COVID restrictions in Canada and the U.K., as well as lower direct-to-home sales in Asia.  The Company’s operations in Australia/New Zealand outperformed the prior year period and the trade publishing business in all of the Company’s international major markets saw increased sales. During the fiscal second quarter, foreign exchange benefited the top line by $2.5 million as a result of the weakening U.S. dollar. International recorded operating income of $19.2 million, a $7.5 million, or 64%, improvement as compared to $11.7 million in the prior period driven by reduced costs and COVID-related wage subsidies in Australia, Canada, and the U.K.  Excluding one-time severance and branch consolidation restructuring charges taken in the current quarter, the segment’s adjusted operating income was $20.8 million, or a $9.1 million improvement versus the prior year period.

Overhead

In $ millions

Second Quarter

2021

2020

$ Change

% Change

Overhead expense

$    20.0

$    22.4

$   2.4

11%

Overhead expense, excluding one-time items*

16.1

20.5

4.4

21%


* Please refer to the non-GAAP financial tables attached

Corporate overhead for the second fiscal quarter was $16.1 million, excluding one-time items of $3.9 million, pre-tax, which compared favorably with the $20.5 million recorded in the prior year period, after excluding $1.9 million in one-time items. The lower overhead expense in the current fiscal quarter was due to favorable staffing levels and lower contracted services, as planned.  Non-recurring items reflected in overhead in the current period included $3.9 million in pre-tax severance associated with the Company’s previously announced cost savings and restructuring programs.

Year-to-Date Results

For the first six months of fiscal 2021, revenue was $621.4 million, compared to $829.8 million in the prior year period, a decrease of $208.4 million, or 25%. The Company reported a net loss per diluted share in the first six months of the fiscal year of $0.14, compared to earnings per diluted share of $0.35 a year ago. Excluding one-time items of $0.39 and $0.13 per diluted share, respectively, the Company’s earnings per diluted share was $0.25 in the first six months of fiscal 2021 versus earnings per diluted share of $0.48 in the prior year period. The unfavorable current period’s results are mainly attributable to lower demand in the Company’s book fairs channels in the U.S., Canada and the U.K. in the first six months of fiscal 2021, due to the global pandemic, partially offset by better operating margins resulting from the Company’s cost savings and restructuring initiatives in the current fiscal year.

Adjusted EBITDA (as defined) for the first six months of fiscal 2021 was a gain of $61.8 million, compared to a gain of $68.3 million in the first six months of fiscal 2020, a decrease of $6.5 million, or 10%.

Net cash provided by operating activities was $20.1 million in the first six months of the current fiscal year compared to net cash provided by operating activities of $14.3 million in the same period last year. The Company had a free cash use (as defined) of $4.0 million in the current fiscal year-to-date, compared to a free cash use of $30.8 million in the prior year period. The current year-to-date’s free cash use includes $26.2 million in capital expenditures and $10.2 million in net prepublication spend.

Dividend

As previously announced, the Company’s Board of Directors declared a quarterly cash dividend of $0.15 per share on the Company’s Class A and Common Stock for the third quarter of fiscal 2021. The dividend is payable on March 15, 2021 to shareholders of record as of the close of business on January 29, 2021.

Credit Agreement Amendment

The Company has entered into an amendment to its existing credit agreement, including adjustments to, and suspension of, certain covenant thresholds. The revised terms of the amended agreement include temporary covenant relief made available by the Company’s lenders that provides the Company with financial assurance and flexibility as it navigates through the COVID-19 pandemic. Key highlights of the amended terms include the suspension of an interest coverage covenant until after the end of the Company’s fiscal fourth quarter ending May 31, 2021, the addition of a minimum liquidity covenant, the securitization of the Company’s inventory and accounts receivable, and changes in the interest rate and fees during the remaining term of the existing facility, which expires on January 5, 2022, unless terminated earlier by the Company.  In addition, the lenders’ aggregate maximum commitments under the credit agreement have been reduced to $250 million, of which a maximum of $225 million is available until the Company satisfies its original financial covenants and the minimum liquidity covenant that has been added by the amendment. With approximately $357 million of cash on the balance sheet as of November 30, 2020, the Company believes the amended credit agreement provides it with the appropriate level of flexibility to strategically manage the business through this global pandemic.

Additional Information

To supplement our financial statements presented in accordance with GAAP, we include certain non-GAAP calculations and presentations including, as noted above, “Adjusted EBITDA” and “Free Cash Use”. Please refer to the non-GAAP financial tables attached to this press release for supporting details on one-time items and the use of non-GAAP financial measures included in this release. This information should be considered as supplemental in nature and not as a substitute for the related financial information prepared in accordance with GAAP.

Investor Conference Call

The Company will hold a conference call to discuss its results at 4:30 p.m. ET today, December 17, 2020. Scholastic’s Chairman, President and CEO, Richard Robinson, and Kenneth Cleary, the Company’s Chief Financial Officer, will moderate the call.

The conference call and accompanying slides will be webcast and accessible through the Investor Relations section of Scholastic’s website, www.scholastic.com. Participation by telephone will be available by dialing (877) 654-5161 from within the U.S. or +1 (678) 894-3064 internationally. Shortly following the call, an archived webcast and accompanying slides from the conference call will also be posted to the Company’s investor relations webpage at www.investor.scholastic.com. An audio-only replay of the call will be available by dialing (855) 859-2056 from within the U.S. or +1 (404) 537-3406 internationally, and entering access code 4347558. The recording will be available through Thursday, December 24, 2020.

About Scholastic

For 100 years, Scholastic Corporation (NASDAQ: SCHL) has been encouraging the personal and intellectual growth of all children, beginning with literacy. Having earned a reputation as a trusted partner to educators and families, Scholastic is the world’s largest publisher and distributor of children’s books, a leading provider of literacy curriculum, professional services, and classroom magazines, and a producer of educational and entertaining children’s media. The Company creates and distributes bestselling books and e-books, print and technology-based learning programs for pre-K to grade 12, and other products and services that support children’s learning and literacy, both in school and at home. With 15 international operations and exports to 165 countries, Scholastic makes quality, affordable books available to all children around the world through school-based book clubs and book fairs, classroom libraries, school and public libraries, retail, and online. Learn more at www.scholastic.com.

Forward-Looking Statements

This news release contains certain forward-looking statements relating to future periods. Such forward-looking statements are subject to various risks and uncertainties, including those arising from the continuing impact of COVID-19 related measures taken by governmental authorities, school administrators, or suppliers or customers which may curtail or otherwise adversely affect certain of the Company’s business operations, and the conditions of the children’s book and educational materials markets generally and acceptance of the Company’s products within those markets, and other risks and factors identified from time to time in the Company’s filings with the Securities and Exchange Commission. Actual results could differ materially from those currently anticipated.

SCHL: Financial

 

Table 1


 Scholastic Corporation 


 Consolidated Statements of Operations 


(Unaudited)


 (In $ Millions, except per share data) 

THREE MONTHS ENDED

SIX MONTHS ENDED

11/30/20

11/30/19

11/30/20

11/30/19

Revenues

$406.2

$597.2

$621.4

$829.8

Operating costs and expenses:

Cost of goods sold

199.3

264.3

322.5

401.4

Selling, general and administrative expenses  (1)

140.2

209.7

272.3

375.6

Bad debt expense

2.1

2.7

3.5

4.3

Depreciation and amortization

15.8

15.4

31.3

30.8

Total operating costs and expenses

357.4

492.1

629.6

812.1

Operating income (loss)

48.8

105.1

(8.2)

17.7

Interest income (expense), net

(1.2)

0.0

(2.4)

0.7

Other components of net periodic benefit (cost) 

(0.0)

(0.2)

(0.2)

(0.6)

Gain (loss) on sale of assets and other (2)

(0.0)

–

6.6

–

Earnings (loss) before income taxes

47.6

104.9

(4.2)

17.8

Provision (benefit) for income taxes (3)

12.4

33.8

0.4

5.2

Net income (loss)

35.2

71.1

(4.6)

12.6

Less: Net income (loss) attributable to noncontrolling interest

0.1

0.1

0.1

0.1

Net income (loss) attributable to Scholastic Corporation

$35.1

$71.0

($4.7)

$12.5

Basic and diluted earnings (loss) per share of Class A and Common Stock (4)

Basic

$1.02

$2.04

($0.14)

$0.36

Diluted

$1.02

$2.02

($0.14)

$0.35

Basic weighted average shares outstanding

34,345

34,774

34,315

34,849

Diluted weighted average shares outstanding

34,407

35,112

34,438

35,151


(1)

In the three and six months ended November 30, 2020, the Company recognized pretax severance of $5.2 and $17.2, respectively, and pretax branch consolidation costs of $0.3. In the three and six months ended November 30, 2019, the Company recognized  pretax severance of $0.9 and $3.7, respectively, and pretax settlement charges of $1.0 and $2.5, respectively.


(2)

In the six months ended November 30, 2020, the Company recognized pretax gain on the sale of its Danbury facility of $6.6. 


(3)

In the three and six months ended November 30, 2020, the Company recognized a benefit for income taxes in respect to one-time pretax charges of $1.2 and $4.3, respectively. In the three and six months ended November 30, 2019, the Company recognized a benefit for income taxes in respect to one-time pretax charges of $0.5 and $1.7, respectively.


(4)

Earnings (loss) per share are calculated on non-rounded net income (loss) and shares outstanding. Recalculating earnings per share based on numbers rounded to millions may not yield the results as presented.

 

 

Table 2


 Scholastic Corporation 


 Segment Results 


(Unaudited)


 (In $ Millions) 

THREE MONTHS ENDED

SIX MONTHS ENDED

11/30/20

11/30/19

Change

11/30/20

11/30/19

Change

Children’s Book Publishing and Distribution

Revenues

     Book Clubs

$66.9

$85.9

($19.0)

(22%)

$72.7

$93.9

($21.2)

(23%)

     Book Fairs

47.7

224.1

(176.4)

(79%)

60.9

251.6

(190.7)

(76%)

     Consolidated Trade

125.7

103.6

22.1

21%

197.6

177.7

19.9

11%

Total revenues

240.3

413.6

(173.3)

(42%)

331.2

523.2

(192.0)

(37%)

Operating income (loss)

37.7

109.6

(71.9)

(66%)

8.5

67.9

(59.4)

(87%)

Operating margin

15.7%

26.5%

2.6%

13.0%

Education

Revenues

67.5

69.9

(2.4)

(3%)

121.1

118.3

2.8

2%

Operating income (loss)

11.9

6.2

5.7

92%

9.7

(7.2)

16.9

Operating margin

17.6%

8.9%

8.0%

–

International 

Revenues

98.4

113.7

(15.3)

(13%)

169.1

188.3

(19.2)

(10%)

Operating income (loss)

19.2

11.7

7.5

64%

24.4

8.0

16.4

Operating margin

19.5%

10.3%

14.4%

4.2%

Overhead expense 

20.0

22.4

2.4

11%

50.8

51.0

0.2

0%

Operating income (loss) 

$48.8

$105.1

($56.3)

(54%)

($8.2)

$17.7

($25.9)

 

 

Table 3


 Scholastic Corporation 


 Supplemental Information 


 (Unaudited) 


 (In $ Millions) 


 Selected Balance Sheet Items 

11/30/20

11/30/19

Continuing Operations

Cash and cash equivalents

$356.6

$277.8

Accounts receivable, net

304.7

325.1

Inventories, net

306.5

357.8

Accounts payable

165.5

188.9

Accrued royalties

60.1

54.7

Lines of credit and current portion of long-term debt

19.8

13.5

Long-term debt

175.0

2.6

Total debt

194.8

16.1

Total finance lease liabilities

12.0

11.8

Net debt (cash) (1)

(161.8)

(261.7)

Total stockholders’ equity

1,187.9

1,261.3


 Selected Cash Flow Items 

THREE MONTHS ENDED

SIX MONTHS ENDED

11/30/20

11/30/19

11/30/20

11/30/19

Net cash provided by (used in) operating activities

$46.1

$111.9

$20.1

$14.3

Add:

Net proceeds from sale of assets

0.0

0.0

12.3

0.0

Less:

Additions to property, plant and equipment

10.2

17.2

26.2

30.7

Pre-publication expenditures

5.0

7.0

10.2

14.4

Free cash flow (use) (2)

$30.9

$87.7

($4.0)

($30.8)


(1)

Net debt (cash) is defined by the Company as lines of credit and short-term debt plus long-term-debt, net of cash and cash equivalents. The Company utilizes this non-GAAP financial measure, and believes it is useful to investors, as an indicator of the Company’s effective leverage and financing needs.


(2)

Free cash flow (use) is defined by the Company as net cash provided by or used in operating activities (which includes royalty advances) and cash acquired through acquisitions and from sale of assets, reduced by spending on property, plant and equipment and prepublication costs. The Company believes that this non-GAAP financial measure is useful to investors as an indicator of cash flow available for debt repayment and other investing activities, such as acquisitions. The Company utilizes free cash flow as a further indicator of operating performance and for planning investing activities.

 

 

Table 4


 Scholastic Corporation 


 Consolidated Statements of Operations – Supplemental 


 Excluding One-Time Items 


(Unaudited)


 (In $ Millions, except per share data) 

THREE MONTHS ENDED

Reported

One-time

Excluding

Reported

One-time

Excluding

11/30/20

items

One-time items

11/30/19

items

One-time items

Revenues

$406.2

$0.0

$406.2

$597.2

$0.0

$597.2

Operating costs and expenses:

Cost of goods sold

199.3

–

199.3

264.3

–

264.3

Selling, general and administrative expenses (1)

140.2

(5.5)

134.7

209.7

(1.9)

207.8

Bad debt expense

2.1

–

2.1

2.7

–

2.7

Depreciation and amortization

15.8

–

15.8

15.4

–

15.4

Total operating costs and expenses

357.4

(5.5)

351.9

492.1

(1.9)

490.2

Operating income (loss)

48.8

5.5

54.3

105.1

1.9

107.0

Interest income (expense), net

(1.2)

–

(1.2)

0.0

–

0.0

Other components of net periodic benefit (cost) 

(0.0)

–

(0.0)

(0.2)

–

(0.2)

Gain (loss) on sale of assets and other (2)

(0.0)

–

(0.0)

–

–

–

Earnings (loss) before income taxes

47.6

5.5

53.1

104.9

1.9

106.8

Provision (benefit) for income taxes (3)

12.4

1.2

13.6

33.8

0.5

34.3

Net income (loss)

35.2

4.3

39.5

71.1

1.4

72.5

Less: Net income (loss) attributable to noncontrolling interest

0.1

–

0.1

0.1

–

0.1

Net income (loss) attributable to Scholastic Corporation

$35.1

$4.3

$39.4

$71.0

$1.4

$72.4

Diluted earnings (loss) per share

$1.02

$0.13

$1.15

$2.02

$0.04

$2.06

SIX MONTHS ENDED

Reported

One-time

Excluding

Reported

One-time

Excluding

11/30/20

items

One-time items

11/30/19

items

One-time items

Revenues

$621.4

$0.0

$621.4

$829.8

$0.0

$829.8

Operating costs and expenses:

Cost of goods sold 

322.5

–

322.5

401.4

–

401.4

Selling, general and administrative expenses (1)

272.3

(17.5)

254.8

375.6

(6.2)

369.4

Bad debt expense

3.5

–

3.5

4.3

–

4.3

Depreciation and amortization

31.3

–

31.3

30.8

–

30.8

Total operating costs and expenses

629.6

(17.5)

612.1

812.1

(6.2)

805.9

Operating income (loss)

(8.2)

17.5

9.3

17.7

6.2

23.9

Interest income (expense), net

(2.4)

–

(2.4)

0.7

–

0.7

Other components of net periodic benefit (cost) 

(0.2)

–

(0.2)

(0.6)

–

(0.6)

Gain (loss) on sale of assets and other (2)

6.6

–

6.6

–

–

–

Earnings (loss) before income taxes

(4.2)

17.5

13.3

17.8

6.2

24.0

Provision (benefit) for income taxes (3)

0.4

4.3

4.7

5.2

1.7

6.9

Net income (loss)

(4.6)

13.2

8.6

12.6

4.5

17.1

Less: Net income (loss) attributable to noncontrolling interest

0.1

–

0.1

0.1

–

0.1

Net income (loss) attributable to Scholastic Corporation

($4.7)

$13.2

$8.5

$12.5

$4.5

$17.0

Diluted earnings (loss) per share

($0.14)

$0.39

$0.25

$0.35

$0.13

$0.48


(1)

In the three and six months ended November 30, 2020, the Company recognized pretax severance of $5.2 and $17.2, respectively, and pretax branch consolidation costs of $0.3. In the three and six months ended November 30, 2019, the Company recognized  pretax severance of $0.9 and $3.7, respectively, and pretax settlement charges of $1.0 and $2.5, respectively.


(2)

In the six months ended November 30, 2020, the Company recognized pretax gain on the sale of its Danbury facility of $6.6. 


(3)

In the three and six months ended November 30, 2020, the Company recognized a benefit for income taxes in respect to one-time pretax charges of $1.2 and $4.3, respectively. In the three and six months ended November 30, 2019, the Company recognized a benefit for income taxes in respect to one-time pretax charges of $0.5 and $1.7, respectively.

 

 

Table 5


 Scholastic Corporation 


 Consolidated Statements of Operations – Supplemental 


 Adjusted EBITDA 


(Unaudited)


 (In $ Millions) 

THREE MONTHS ENDED

11/30/20

11/30/19

Earnings (loss) before income taxes as reported

$47.6

$104.9

One-time items before income taxes

5.5

1.9

Earnings (loss) before income taxes excluding one-time items

53.1

106.8

Interest (income) expense

1.2

(0.0)

Depreciation and amortization(1)

17.0

15.9

Amortization of prepublication costs

6.4

6.6

Adjusted EBITDA(2)

$77.7

$129.3

SIX MONTHS ENDED

11/30/20

11/30/19

Earnings (loss) before income taxes as reported

($4.2)

$17.8

One-time items before income taxes

17.5

6.2

Earnings (loss) before income taxes excluding one-time items

13.3

24.0

Interest (income) expense

2.4

(0.7)

Depreciation and amortization(1)

33.4

32.0

Amortization of prepublication costs

12.7

13.0

Adjusted EBITDA(2)

$61.8

$68.3


(1)

For the three and six months ended November 30, 2020, amounts include depreciation of $0.8 and $1.6, respectively, recognized in cost of goods sold, amortization of deferred financing costs of $0.1 and $0.2, respectively, and amortization of capitalized cloud software of $0.3 and $0.3, respectively, recognized in selling, general and administrative expenses. For the three and six months ended November 30, 2019, amounts include depreciation of $0.5 and $1.1, respectively, recognized in cost of goods sold, amortization of deferred financing costs of $0.0 and $0.1, respectively, and amortization of capitalized cloud software of $0.0 and $0.0, respectively, recognized in selling, general and administrative expenses. 


(2)

Adjusted EBITDA is defined by the Company as earnings (loss), excluding one-time items, before interest, taxes, depreciation and amortization. The Company believes that Adjusted EBITDA is a meaningful measure of operating profitability and useful for measuring returns on capital investments over time as it is not distorted by unusual gains, losses, or other items.

 

 

Table 6


 Scholastic Corporation 


 Segment Results – Supplemental 


 Excluding One-Time Items 


(Unaudited)


 (In $ Millions) 

THREE MONTHS ENDED

Reported

One-time

Excluding

Reported

One-time

Excluding

11/30/20

items

One-time items

11/30/19

items

One-time items

Children’s Book Publishing and Distribution

Revenues

Book Clubs

$66.9

$66.9

$85.9

$85.9

Book Fairs

47.7

47.7

224.1

224.1

Consolidated Trade

125.7

125.7

103.6

103.6

Total Revenues

240.3

240.3

413.6

413.6

Operating income (loss)

37.7

–

37.7

109.6

–

109.6

Operating margin

15.7%

15.7%

26.5%

26.5%

Education

Revenues

67.5

67.5

69.9

69.9

Operating income (loss)

11.9

–

11.9

6.2

–

6.2

Operating margin

17.6%

17.6%

8.9%

8.9%

International 

Revenues

98.4

98.4

113.7

113.7

Operating income (loss) (1)

19.2

1.6

20.8

11.7

–

11.7

Operating margin

19.5%

21.1%

10.3%

10.3%

Overhead expense  (2)

20.0

(3.9)

16.1

22.4

(1.9)

20.5

Operating income (loss) 

$48.8

$5.5

$54.3

$105.1

$1.9

$107.0

SIX MONTHS ENDED

Reported

One-time

Excluding

Reported

One-time

Excluding

11/30/20

items

One-time items

11/30/19

items

One-time items

Children’s Book Publishing and Distribution

Revenues

Book Clubs

$72.7

$72.7

$93.9

$93.9

Book Fairs

60.9

60.9

251.6

251.6

Consolidated Trade

197.6

197.6

177.7

177.7

Total Revenues

331.2

331.2

523.2

523.2

Operating income (loss)

8.5

–

8.5

67.9

–

67.9

Operating margin

2.6%

2.6%

13.0%

13.0%

Education

Revenues

121.1

121.1

118.3

118.3

Operating income (loss)

9.7

–

9.7

(7.2)

–

(7.2)

Operating margin

8.0%

8.0%

–

–

International 

Revenues

169.1

169.1

188.3

188.3

Operating income (loss) (1)

24.4

2.6

27.0

8.0

–

8.0

Operating margin

14.4%

16.0%

4.2%

4.2%

Overhead expense  (2)

50.8

(14.9)

35.9

51.0

(6.2)

44.8

Operating income (loss) 

($8.2)

$17.5

$9.3

$17.7

$6.2

$23.9


(1)

In the three and six months ended November 30, 2020, the Company recognized pretax severance of $1.3 and $2.3, respectively, and branch consolidation costs of $0.3.


(2)

In the three and six months ended November 30, 2020, the Company recognized pretax severance of $3.9 and $14.9, respectively. In the three and six months ended November 30, 2019, the Company recognized pretax severance of $0.9 and $3.7, respectively, and pretax settlement charges of $1.0 and $2.5, respectively.

 

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SOURCE Scholastic Corporation

Posted on

National Storage Affiliates Trust Announces Addition of New PRO

National Storage Affiliates Trust Announces Addition of New PRO

GREENWOOD VILLAGE, Colo.–(BUSINESS WIRE)–
National Storage Affiliates Trust (NYSE: NSA), today announced that it has entered into definitive agreements to add Blue Sky Self Storage (“Blue Sky”), a strategic partnership between Argus Professional Storage Management and GYS Development LLC, as a Participating Regional Operator (PRO). Blue Sky and its affiliates own and/or manage over 150 self storage facilities, primarily located across the western and southern United States. Management expects that Blue Sky’s initial managed portfolio will consist of seven properties that will be acquired by NSA by the end of the first quarter 2021, following the satisfaction of customary closing conditions. The remaining properties in the Blue Sky portfolio will become part of NSA’s growing captive pipeline as candidates for future acquisition.

Tamara Fischer, President and Chief Executive Officer, commented, “We’re very excited to add Blue Sky to the NSA platform, which will return the number of active PROs to ten after the 2020 retirement of our SecurCare PRO and its integration into NSA’s corporate management team. Blue Sky’s large owned and third-party managed portfolio, which is predominantly in secondary markets, will significantly enhance our already robust acquisition pipeline. Further, Blue Sky brings an extensive network of industry relationships that will be beneficial to our growth going forward.”

Blue Sky is led by Lee Fredrick, Ben Vestal and Michael Perry, who have extensive experience in acquisition, development and management of self storage properties. Mr. Fredrick and Mr. Vestal have both been active in the self storage and broader real estate industry for more than 20 years, and Mr. Perry previously served as the Vice President of Acquisitions for NSA, playing a key role in NSA’s rapid external growth during the early years after NSA’s initial public offering.

Upcoming Industry Conference

NSA management is scheduled to participate in the KeyBanc Virtual Self Storage Investor Forum on January 7, 2021.

About National Storage Affiliates Trust

National Storage Affiliates Trust is a real estate investment trust headquartered in Denver, Colorado, focused on the ownership, operation and acquisition of self storage properties located within the top 100 metropolitan statistical areas throughout the United States. As of September 30, 2020, the Company held ownership interests in and operated 788 self storage properties located in 35 states and Puerto Rico with approximately 49.5 million rentable square feet. NSA is one of the largest owners and operators of self storage properties among public and private companies in the United States. For more information, please visit the Company’s website at www.nationalstorageaffiliates.com. NSA is included in the MSCI US REIT Index (RMS/RMZ), the Russell 2000 Index of Companies and the S&P SmallCap 600 Index.

National Storage Affiliates Trust

Investor/Media Relations

George Hoglund, CFA

Vice President – Investor Relations

720.630.2160

[email protected]

KEYWORDS: United States North America Colorado

INDUSTRY KEYWORDS: Other Construction & Property Commercial Building & Real Estate Construction & Property REIT

MEDIA: