Wiley delivered a strong Q3 FY2026 with adjusted EPS of $0.97, beating the $0.84 consensus by 15.5%. Revenue of $410 million edged past estimates of $407.5 million. Net income swung to $29.7 million from a year-ago loss of $23 million. Shares surged roughly 14% in the two trading sessions following the March 5, 2026 release, reflecting broad investor confidence in Wiley’s margin expansion and AI revenue trajectory.
About John Wiley & Sons
John Wiley & Sons, Inc. (NYSE: WLY) is a global leader in research publishing, academic content, and data-driven intelligence for scientific discovery and learning. Founded in 1807 by Charles Wiley as a small printing shop in New York City, the company has operated for over two centuries and is today headquartered in Hoboken, New Jersey.
Wiley operates through two primary segments: Research (scientific journal publishing, open access, AI licensing, and research solutions) and Learning (academic and professional book publishing, digital courseware, and licensing). The company publishes more than 1,700 peer-reviewed journals and maintains partnerships with hundreds of academic societies worldwide.
As of early March 2026, Wiley carries a market capitalization of approximately $1.97 billion, a trailing P/E ratio of 13.05, and a dividend yield of 3.78% ($1.42 annualized). The company employs roughly 5,200 people globally and generates trailing twelve-month revenue of approximately $1.67 billion. Institutional investors hold about 82% of outstanding shares, while insiders hold approximately 6.4%.
Top Financial Highlights
- Total revenue of $410.0 million, up 1% year over year on a reported basis (flat at constant currency)
- GAAP net income of $29.7 million, compared to a net loss of $23.0 million in Q3 FY2025
- GAAP diluted EPS of $0.56, a full reversal from a loss of ($0.43) in the prior year quarter
- Adjusted EPS of $0.97, up 19% at constant currency versus $0.84 in Q3 FY2025
- GAAP operating income of $62.8 million, up 21% year over year
- Adjusted operating income of $69.8 million, up 22% with margin of 17.0% (up 280 basis points)
- Adjusted EBITDA of $105.4 million, up 12%, with margin of 25.7% (up 250 basis points)
- Research segment revenue of $274 million (+2% reported), with Research Publishing at $233.4 million (+3%)
- Learning segment revenue of $136 million (-1% reported), with Academic at $80.1 million (+2%) and Professional at $55.8 million (-4%)
- Year-to-date operating cash flow of $103 million, nearly double the $52 million in the prior year period
- Free cash flow of $56 million year-to-date, up from a use of ($1 million) in the prior year
- AI revenue of $7 million in Q3 and $42 million year-to-date, already surpassing FY2025 full-year total of $40 million
- Net debt-to-EBITDA of 1.7x, improved from 2.0x a year ago
- Returned $126 million to shareholders through dividends ($56 million) and share repurchases ($70 million) in nine months, up 37% year over year
- Guidance raised to the high end of range for adjusted EBITDA margin (25.5%-26.5%) and adjusted EPS ($3.90–$4.35); free cash flow outlook of approximately $200 million reaffirmed
Beat or Miss
Wiley’s Q3 FY2026 results exceeded Wall Street expectations on both the top and bottom lines.
| Metric | Reported | Consensus Estimate | Difference |
| Adjusted EPS | $0.97 | $0.84 | +$0.13 (beat by 15.5%) |
| Revenue | $410.0M | $407.5M | +$2.5M (beat by 0.6%) |
| GAAP EPS | $0.56 | ($0.43) prior year | Swing to profit |
| Adj. EBITDA Margin | 25.70% | N/A | +250 bps YoY |
| Adj. Operating Margin | 17.00% | N/A | +280 bps YoY |
The adjusted EPS beat of 15.5% was the headline figure that drove the post-earnings stock rally. Revenue came in slightly above consensus, while profit metrics across the board reflected the impact of Wiley’s ongoing restructuring and cost-saving initiatives.
What Leadership Is Saying?
“We continue to accelerate our progress in major areas of focus, from driving Research and AI growth to delivering materially higher margins and cash flow. In Research Publishing, we’re leveraging our scale and competitive moat to grow market share and drive record publishing output, with AI as a further accelerator. In AI and data services, we’re leveraging our proprietary content and unparalleled partner ecosystem to execute strategic multi-year agreements with corporations in life sciences and other verticals. We recently surpassed $100 million in lifetime AI revenue and secured our first LLM customer outside the US. Finally, margin expansion remains our company-wide ethos as evidenced by our 280 basis point improvement in our Adjusted Operating Margin.” – Matthew Kissner, President and CEO
“Research Publishing is growing at the high end of the market’s long-term rate. AI revenue is tracking ahead of expectations. And importantly, we’re beginning to see leading indicators of recurring revenue growth in new partnerships, pilots and pipeline, which is where the real value gets built. And our balance sheet is very strong, giving us the capacity to invest in high-return growth opportunities. … All year-over-year metrics are favorable with our leverage down to 1.7 from 2.0, CapEx down by 11%, operating cash flow up $51 million and free cash flow up $57 million. We’re tracking very well to our free cash flow outlook of approximately $200 million.“– Craig Albright, Executive VP and CFO
Historical Performance
Q3 FY2026 vs. Q3 FY2025
| Category | Q3 FY2026 (Jan 31, 2026) | Q3 FY2025 (Jan 31, 2025) | Change (%) |
| Revenue | $410.0M | $404.6M | 1.30% |
| Operating Income | $62.8M | $51.8M | +21.1% |
| Net Income (Loss) | $29.7M | ($23.0M) | N/M (swing to profit) |
| GAAP Diluted EPS | $0.56 | ($0.43) | N/M (swing to profit) |
| Adjusted EPS | $0.97 | $0.84 | 15.50% |
| Adjusted EBITDA | $105.4M | $94.1M (est.) | +12.0% |
| Cost of Sales | $107.8M | $104.2M | +3.4% |
| Operating & Admin Expenses | $219.1M | $230.0M | -4.7% |
| Operating Cash Flow (YTD) | $103.3M | $52.3M | 97.50% |
Competitor Historical Performance
The academic and professional publishing sector’s largest players all delivered growth in their most recent reported periods. However, the comparisons below reflect different fiscal year-ends and reporting currencies, so they should be viewed directionally rather than as exact apples-to-apples benchmarks.
RELX (Elsevier Parent, FY2025 vs. FY2024)
| Category | FY2025 | FY2024 | Change (%) |
| Revenue | £9,590M | £9,434M | +2% headline, +7% underlying |
| Adj. Operating Profit | £3,342M | £3,199M | +4% headline, +9% underlying |
| Adj. Operating Margin | 34.80% | 33.90% | +0.9 ppts |
| Adj. EPS | 128.5p | 120.1p | +10% constant currency |
Pearson (FY2025 vs. FY2024)
| Category | FY2025 | FY2024 | Change (%) |
| Sales | £3,577M | £3,552M | +1% headline, +4% underlying |
| Adj. Operating Profit | £614M | £600M | +2% headline, +6% underlying |
| Adj. Operating Margin | 17.20% | 16.90% | +0.3 ppts |
| Adj. EPS | 64.5p | N/A | +4% headline, +9% constant currency |
Springer Nature (9 Months 2025 vs. Prior Year)
| Category | 9M 2025 | Prior Year | Change (%) |
| Revenue | EUR 1,428.7M | EUR 1,349M (est.) | +5.9% underlying |
| Adj. Operating Profit | EUR 408.3M | EUR 371M (est.) | +9.9% underlying |
| FY2025 Guidance (Rev.) | EUR 1,930M–1,960M | – | – |
| FY2025 Guidance (AOP) | EUR 540M–560M | – | – |
All four major publishers are reporting margin expansion. RELX leads with the highest operating margins at 34.8%, while Wiley’s adjusted EBITDA margin of 25.7% continues to improve at a faster rate than peers on a year-over-year basis.
How the Market Reacted?
Wiley’s stock experienced a strong rally following the Q3 FY2026 earnings release on March 5, 2026. Shares initially surged 8.87% in pre-market trading, reaching $32.60, after the adjusted EPS beat of 15.5% and a revenue beat. On March 6, the stock closed at $34.73, up 5.5% from the prior close of $30.45. By March 7, shares climbed further to $37.46, representing an additional 7.86% gain for the day and a cumulative increase of roughly 23% from the $30.45 close on earnings day.
The positive reaction reflected several factors: the double-digit earnings beat, management’s decision to guide toward the high end of FY2026 ranges for both EBITDA margin and EPS, the disclosure that AI revenue of $42 million year-to-date had already surpassed the prior full-year total, and the announcement of new strategic partnerships with IQVIA and OpenEvidence. Wall Street Zen upgraded WLY to a “strong-buy” rating, while Zacks raised the stock to “hold.”
