Scholastic Corporation (SCHL)
Return on equity (ROE)
| May 31, 2025 | Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | -1,900 | 18,600 | -4,300 | 23,800 | 12,100 | 51,900 | 59,100 | 57,500 | 86,300 | 62,700 | 66,700 | 59,700 | 80,700 | 36,300 | 37,700 | 4,500 | -10,900 | -31,600 | -61,000 | -25,100 |
| Total stockholders’ equity | US$ in thousands | 946,500 | 941,300 | 986,000 | 957,300 | 1,018,100 | 997,600 | 1,079,100 | 1,054,600 | 1,164,500 | 1,149,900 | 1,216,500 | 1,166,300 | 1,218,400 | 1,185,300 | 1,210,000 | 1,148,300 | 1,182,300 | 1,176,800 | 1,187,900 | 1,147,400 |
| ROE | -0.20% | 1.98% | -0.44% | 2.49% | 1.19% | 5.20% | 5.48% | 5.45% | 7.41% | 5.45% | 5.48% | 5.12% | 6.62% | 3.06% | 3.12% | 0.39% | -0.92% | -2.69% | -5.14% | -2.19% |
May 31, 2025 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $-1,900K ÷ $946,500K
= -0.20%
Scholastic Corporation's return on equity (ROE) has demonstrated notable fluctuations over the period from August 2020 through May 2025. Initially, the company's ROE was negative during the late 2020 period, with values of -2.19% in August 2020, -5.14% in November 2020, and -2.69% in February 2021, indicating that the company was not generating sufficient earnings relative to shareholder equity during this time.
Progressing through 2021, the ROE showed gradual improvement, moving from a marginally negative -0.92% in May to a positive 0.39% in August 2021, and further increasing to 3.12% in November 2021. This upward trend persisted into early 2022, with ROE reaching approximately 3.06% in February and rising significantly to 6.62% in May 2022, suggesting improved profitability and/or more efficient use of equity.
During the latter half of 2022, the ROE maintained a relatively stable positive trajectory, fluctuating mildly between 5.12% and 5.48%. These levels indicate that the company was generating a consistent return on shareholders' equity during this period, reflecting healthier financial performance.
In early 2023, the ROE remained relatively stable at around 5.45%, continuing the trend of moderate profitability. However, by May 2023, the ROE increased notably to 7.41%, marking the highest level within the observed timeframe and indicating an enhancement in profitability or efficiency.
Post-May 2023, the ROE experienced a slight decline to 5.45% in August and remained close to this level through November 2023 at 5.48%. The data show a modest decline to 5.20% in February 2024, followed by a sharp decrease to 1.19% in May 2024. The ROE then temporarily rebounded to 2.49% in August 2024 but reverted to negative territory at -0.44% in November 2024.
In the subsequent months, the ROE fluctuated around near-zero levels, registering 1.98% in February 2025, dipping marginally to -0.20% in May 2025. These recent figures suggest periods of diminished or negative profitability relative to shareholder equity, indicating increased financial challenges or lower earnings efficiency.
Overall, Scholastic Corporation experienced a period of negative ROE in the early part of 2021, followed by a steady improvement into 2022 and early 2023, where the company generated solid returns on equity. However, starting mid-2023, the ROE declined and showed signs of volatility, with recent data indicating a potential weakening in profitability or increased stress on shareholder returns.
Peer comparison
May 31, 2025