DENVER – June 10, 2024 – Skillsoft Corp., a leading platform for transformative learning experiences, today announced its financial results for the first quarter of fiscal 2025 ended April 30, 2024.
“Since rejoining Skillsoft in a full-time executive capacity in mid-April, I have gained greater confidence in Skillsoft’s market opportunity and our unique ability to deliver transformative talent development outcomes and value to our customers and learners,” said Ronald Hovsepian, Skillsoft’s Executive Chair. “We are moving quickly to strengthen our go-to-market execution, enhance our operational foundation, and extend our early lead in generative AI-based solutions and interactive learning experiences. I am encouraged by the energy of our people – including proven and experienced leaders who have recently joined Skillsoft – and the commitment of the entire team for the journey ahead as we seek to build a profitably growing and more valuable organization.”
Fiscal 2025 First Quarter Business Highlights
- Delivered first quarter LTM Content & Platform Dollar Retention Rate of approximately 99%, compared to approximately 101% in the prior year period.
- Achieved Workday Certified Integration Status, connecting Skillsoft’s Percipio platform with Workday Human Capital Management (HCM) and Workday Skills Cloud to give joint customers a new skills-based approach to talent development.
- Launched AI-powered Interactive Skill Benchmarks to provide a dynamic, hands-on approach to skill assessments that accelerate learner proficiency through interactive virtual environments, outcome-oriented assessments, and personalized results and feedback.
- Recognized as a customer-centric leader in enterprise learning by industry analyst firms Constellation Research, Aragon Research, and Fosway Group, based on the Company’s track record of pioneering innovation, depth and breadth of learning offerings, and customer satisfaction.
Fiscal 2025 First Quarter Select Metrics and Financials from Continuing Operations (1)(2)
- Content & Platform segment GAAP Revenue of $98 million was approximately flat with prior year. Total GAAP Revenue of $128 million declined 6%, primarily due to a 20% decline in Instructor-Led Training segment GAAP Revenue to $30 million.
- GAAP net loss of $28 million improved from a GAAP net loss of $44 million in the prior year. GAAP net loss per share of $3.42 improved from a GAAP net loss per share of $5.42 in the prior year. Adjusted Net Loss of $27 million improved from Adjusted Net Loss of $30 million in the prior year. Adjusted Net Loss per share of $3.37 improved from Adjusted Net Loss per share of $3.68 in the prior year.
- Adjusted EBITDA from continuing operations of $19 million, reflecting a margin of 15% of GAAP Revenue, compared to $22 million and a margin of 16% of GAAP Revenue in the prior year.
- Free Cash Flow of positive $10 million, compared to positive $17 million in the prior year.
- Ended the quarter with $150 million of cash, cash equivalents, and restricted cash.
Full-Year Fiscal 2025 Financial Outlook
The following table reflects Skillsoft’s reaffirmed financial outlook for the fiscal year ending January 31, 2025, based on current market conditions, expectations, and assumptions:
|
GAAP Revenue |
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$530 million – $550 million |
|
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Adjusted EBITDA |
|
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$105 million – $110 million |
|
(1) |
Growth calculated relative to the comparable prior year period unless otherwise noted. |
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(2) |
See “Non-GAAP Financial Measures and Key Performance Metrics” below for the definitions of our key operational and non-GAAP metrics and how they are calculated and more information regarding the fact that the Company is unable to reconcile forward-looking non-GAAP measures without unreasonable efforts. We have provided at the back of this release reconciliations of our historical non-GAAP financial measures to the comparable GAAP measures. |
