Other                                               (7,298)     (7,338) 
                                                   ---------   --------- 
       Net cash provided by financing activities     113,083     129,702 
 
Effects of exchange rate changes on cash, cash 
 equivalents and restricted cash                       1,441     (1,943) 
                                                   ---------   --------- 
 
Change in cash, cash equivalents and restricted 
 cash for period                                    (23,957)     (7,644) 
                                                   ---------   --------- 
 
Cash, cash equivalents and restricted cash - 
 beginning                                            99,543     107,262 
                                                   ---------   --------- 
Cash, cash equivalents and restricted cash - 
 ending                                           $   75,586  $   99,618 
                                                   =========   ========= 
 
CALCULATION OF NON-GAAP FREE CASH FLOW LESS PRODUCT DEVELOPMENT SPENDING 
                                  (2) 
------------------------------------------------------------------------ 
 
                                                     Six Months Ended 
                                                       October 31, 
                                                  ---------------------- 
                                                     2024        2023 
                                                   ---------   --------- 
Net cash used in operating activities             $ (93,992)  $ (83,486) 
        Additions to technology, property, and 
Less:    equipment                                  (29,030)    (40,321) 
Less:   Product development spending                 (7,127)     (8,168) 
                                                   ---------   --------- 
Free cash flow less product development spending  $(130,149)  $(131,975) 
                                                   =========   ========= 
 
Notes: 
------------------------------------------------   ---------   --------- 
(1) The supplementary information included in this press release for the 
six months ended October 31, 2024 is preliminary and subject to change 
prior to the filing of our upcoming Quarterly Report on Form 10-Q with 
the Securities and Exchange Commission. 
 
(2) See Explanation of Usage of Non-GAAP Performance Measures included 
in this supplemental information. 
 

JOHN WILEY & SONS, INC.

EXPLANATION OF USAGE OF NON-GAAP PERFORMANCE MEASURES

In this earnings release and supplemental information, management may present the following non-GAAP performance measures:

   -- 
 Adjusted Earnings Per Share (Adjusted EPS); 
 
 
   -- 
 Free Cash Flow less Product Development Spending; 
 
 
   -- 
 Adjusted Revenue; 
 
 
   -- 
 Adjusted Operating Income and margin; 
 
 
   -- 
 Adjusted Income Before Taxes; 
 
 
   -- 
 Adjusted Income Tax Provision; 
 
 
   -- 
 Adjusted Effective Tax Rate; 
 
 
   -- 
 EBITDA, Adjusted EBITDA and margin; 
 
 
   -- 
 Organic revenue; and 
 
 
   -- 
 Results on a constant currency basis. 
 

Management uses these non-GAAP performance measures as supplemental indicators of our operating performance and financial position as well as for internal reporting and forecasting purposes, when publicly providing our outlook, to evaluate our performance and calculate incentive compensation.

We present these non-GAAP performance measures in addition to US GAAP financial results because we believe that these non-GAAP performance measures provide useful information to certain investors and financial analysts for operational trends and comparisons over time. The use of these non-GAAP performance measures may also provide a consistent basis to evaluate operating profitability and performance trends by excluding items that we do not consider to be controllable activities for this purpose.

The performance metric used by our chief operating decision maker to evaluate performance of our reportable segments is Adjusted Operating Income. We present both Adjusted Operating Income and Adjusted EBITDA for each of our reportable segments as we believe Adjusted EBITDA provides additional useful information to certain investors and financial analysts for operational trends and comparisons over time. It removes the impact of depreciation and amortization expense, as well as presents a consistent basis to evaluate operating profitability and compare our financial performance to that of our peer companies and competitors.

For example:

   -- 
 Adjusted EPS, Adjusted Revenue, Adjusted Operating Income, Adjusted 
      Income Before Taxes, Adjusted Income Tax Provision, Adjusted Effective 
      Tax Rate, Adjusted EBITDA, and organic revenue (excluding acquisitions) 
      provide a more comparable basis to analyze operating results and earnings 
      and are measures commonly used by shareholders to measure our 
      performance. 
 
 
   -- 
 Free Cash Flow less Product Development Spending helps assess our 
      ability, over the long term, to create value for our shareholders as it 
      represents cash available to repay debt, pay common stock dividends, and 
      fund share repurchases and acquisitions. 
 
 
   -- 
 Results on a constant currency basis remove distortion from the effects 
      of foreign currency movements to provide better comparability of our 
      business trends from period to period. We measure our performance 
      excluding the impact of foreign currency (or at constant currency), which 
      means that we apply the same foreign currency exchange rates for the 
      current and equivalent prior period. 
 

In addition, we have historically provided these or similar non-GAAP performance measures and understand that some investors and financial analysts find this information helpful in analyzing our operating margins and net income, and in comparing our financial performance to that of our peer companies and competitors. Based on interactions with investors, we also believe that our non-GAAP performance measures are regarded as useful to our investors as supplemental to our US GAAP financial results, and that there is no confusion regarding the adjustments or our operating performance to our investors due to the comprehensive nature of our disclosures.

We have not provided our 2025 outlook for the most directly comparable US GAAP financial measures, as they are not available without unreasonable effort due to the high variability, complexity, and low visibility with respect to certain items, including restructuring charges and credits, gains and losses on foreign currency, and other gains and losses. These items are uncertain, depend on various factors, and could be material to our consolidated results computed in accordance with US GAAP.

Non-GAAP performance measures do not have standardized meanings prescribed by US GAAP and therefore may not be comparable to the calculation of similar measures used by other companies and should not be viewed as alternatives to measures of financial results under US GAAP. The adjusted metrics have limitations as analytical tools, and should not be considered in isolation from, or as a substitute for, US GAAP information. It does not purport to represent any similarly titled US GAAP information and is not an indicator of our performance under US GAAP. Non-GAAP financial metrics that we present may not be comparable with similarly titled measures used by others. Investors are cautioned against placing undue reliance on these non-GAAP measures.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241205382986/en/

 
    CONTACT:    Brian Campbell 

Investor Relations

201.748.6874

brian.campbell@wiley.com

(END) Dow Jones Newswires

December 05, 2024 08:00 ET (13:00 GMT)