Adjusted Cash Revenue grew 5% to $1.54 billion in Fiscal 2024
Adjusted Cash EBITDA up 10% to $461 million in Fiscal 2024
Strong momentum underpins positive outlook for Fiscal 25 – expect robust top line growth and accelerating adjusted cash EBITDA margin expansion
BOSTON, June 6, 2024 /PRNewswire/ — Cengage Group, a leading global education and technology company, announced its financial results for the fourth quarter and full year ended March 31, 2024. Adjusted Cash Revenue for fiscal year 2024 was $1.54 billion, a 5% increase over the prior fiscal year. Adjusted Cash EBITDA was $461 million, a 10% increase over fiscal year 2023, with EBITDA margin expanding by over 120 basis points to 30%.
“We had a strong fourth quarter, accelerating our growth and successfully closing out fiscal 24 with full year financial results just ahead of the top end of our guidance range,” said Michael Hansen, Chief Executive Officer, Cengage Group. Hansen continued, “All three business units contributed to this strong performance, with Academic revenues growing 2% underpinned by US Higher Education’s return to growth, 19% growth from Work and 8% growth from Select, propelled by another excellent year for our English Language Teaching business. These results mark the third consecutive year of increased revenue and profitability, underlining the strength of our portfolio of businesses.”
Hansen added, “In our Q3 results, we shared a strategic initiative to implement a new operating model to support future growth and improve profitability. We have now executed these plans and expect to achieve incremental cost savings of $60M in fiscal 25, accelerating our profit growth and margin expansion. Over fiscal 25 and 26, we expect to generate total incremental savings of $90-100 million. We have good sales and profit momentum coming into the new fiscal year and are excited about the growth opportunities we see across our global business.”
Cengage Group Fiscal 2024 Financial Results
$ millions
FY 23
FY 24
Delta
Adjusted Cash
Revenue
$1,461
$1,535
5 %
Digital Net Sales
$1,048
$1,145
9 %
Adjusted Cash
EBITDA
$421
$461