Barnes & Noble Education Files Q2 FY25 10-Q

TL;DR

**BNED Q2 FY25 10-Q filed. Financials and ops update.**

AI Summary

Barnes & Noble Education, Inc. filed its 10-Q for the period ending October 26, 2024. The filing details financial performance and operational updates for the second quarter of fiscal year 2025. Key financial figures and business segment information are presented, along with disclosures regarding the company's financial condition and future outlook.

Why It Matters

This filing provides investors with the latest financial performance data for Barnes & Noble Education, crucial for understanding the company's current health and future prospects.

Risk Assessment

Risk Level: medium — The company operates in a competitive retail environment and its financial performance can be sensitive to shifts in consumer spending and educational trends.

Key Players & Entities

• Barnes & Noble Education, Inc. (company) — Filer of the 10-Q
• 20241026 (date) — End of the reporting period
• 20241209 (date) — Filing date

FAQ

Key Financial Figures

• $0.01 — ange on which registered Common Stock, $0.01 par value per share BNED New York Stock
• $265,522 — ion of our tax attributes including our $265,522 NOL carryforward; changes in applicabl

Filing Documents

• bned-20241026.htm (10-Q) — 1548KB
• ex311-20241026xq225.htm (EX-31.1) — 12KB
• ex312-20241026xq225.htm (EX-31.2) — 12KB
• ex321-20241026xq225.htm (EX-32.1) — 6KB
• ex322-20241026xq225.htm (EX-32.2) — 7KB
• 0001634117-24-000130.txt ( ) — 6993KB
• bned-20241026.xsd (EX-101.SCH) — 36KB
• bned-20241026_cal.xml (EX-101.CAL) — 26KB
• bned-20241026_def.xml (EX-101.DEF) — 339KB
• bned-20241026_lab.xml (EX-101.LAB) — 563KB
• bned-20241026_pre.xml (EX-101.PRE) — 456KB
• bned-20241026_htm.xml (XML) — 879KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) Condensed Consolidated Statements of Operations – For the 13 and 26 weeks ended October 26, 2024 and October 28, 2023 5 Condensed Consolidated Balance Sheets – As of October 26, 2024, October 28, 2023, and April 27, 2024 6 Condensed Consolidated Statements of Cash Flows – For the 26 weeks ended October 26, 2024 and October 28, 2023 7 Condensed Consolidated Statements of Equity – As of October 26, 2024 and October 28, 2023 9 Notes to Condensed Consolidated Financial Statements 10 Note 1. Organization 10 Note 2. Summary of Significant Accounting Policies 10 Note 3. Revenue 14 Note 4. Segment Reporting 15 Note 5. Equity and Earnings Per Share 15 Note 6. Fair Value Measurements 19 Note 7. Debt 19 Note 8. Leases 22 Note 9. Supplementary Information 23 Note 10. Long-Term Incentive Plan Compensation Expense 23 Note 11. Employee Benefit Plans 24 Note 12. Income Taxes 24 Note 13.

Legal Proceedings

Legal Proceedings 25 N ote 14. S ubsequent Event 25 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 26 Overview 26 Results of Operations 30 Non-GAAP Measures 39 Liquidity and Capital Resources 41 Item 4.

Controls and Procedures

Controls and Procedures 44 PART II - OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 45 Item 1A.

Risk Factors

Risk Factors 45 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 45 Item 5. Other Information 45 Item 6. Exhibits 46

SIGNATURES

SIGNATURES 47 2 Table of Contents DISCLOSURE REGARDING FORWARD-LOOKING STATEMENTS This quarterly report on Form 10-Q contains certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and information relating to us and our business that are based on the beliefs of our management as well as assumptions made by and information currently available to our management. When used in this communication, the words "anticipate," "believe," "estimate," "expect," "intend," "plan," "will," "forecasts," "projections," and similar expressions, as they relate to us or our management, identify forward-looking statements. Moreover, we operate in a very competitive and rapidly changing environment. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the future events and trends discussed in this Form 10-Q may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. Such statements reflect our current views with respect to future events, the outcome of which is subject to certain risks, including, among others: our ability to satisfy future capital and liquidity requirements; our ability to access the credit and capital markets at the times and in the amounts needed and on acceptable terms, including pursuant to our At-the-Market ("ATM") program; our ability to maintain adequate liquidity levels to support ongoing inventory purchases and related vendor payments in a timely manner; the pace of affordable textbook access adoption in the marketplace is slower than anticipated and our ability to successfully convert

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

: Financial Statements

Item 1: Financial Statements BARNES & NOBLE EDUCATION, INC. AND SUBSIDIARIES Condensed Consolidated Statements of Operations (In thousands, except per share data) (unaudited) 13 weeks ended 26 weeks ended October 26, 2024 October 28, 2023 October 26, 2024 October 28, 2023 Sales: Product sales and other $ 559,674 $ 569,698 $ 810,600 $ 822,348 Rental income 42,448 40,681 54,953 52,192 Total sales 602,122 610,379 865,553 874,540 Cost of sales (exclusive of depreciation and amortization expense): Product and other cost of sales 442,092 451,953 651,517 658,967 Rental cost of sales 22,387 22,184 29,187 28,697 Total cost of sales 464,479 474,137 680,704 687,664 Gross profit 137,643 136,242 184,849 186,876 Selling and administrative expenses 72,940 85,961 139,963 163,437 Depreciation and amortization expense 8,530 10,175 21,587 20,428 Loss on extinguishment of debt — — 55,233 — Restructuring and other charges ( 150 ) 4,274 3,468 8,907 Operating income (loss) 56,323 35,832 ( 35,402 ) ( 5,896 ) Interest expense, net 5,463 10,664 13,081 18,918 Income (loss) from continuing operations before income taxes 50,860 25,168 ( 48,483 ) ( 24,814 ) Income tax expense 1,125 314 1,261 303 Income (loss) from continuing operations $ 49,735 $ 24,854 $ ( 49,744 ) $ ( 25,117 ) Loss from discontinued operations, net of tax of $ 0 , $ 0 , $ 0 , and $ 20 , respectively $ — $ ( 674 ) $ — $ ( 1,091 ) Net income (loss) $ 49,735 $ 24,180 $ ( 49,744 ) $ ( 26,208 ) Earnings (Loss) per share of Common Stock: Basic: Continuing operations $ 1.87 $ 9.36 $ ( 2.48 ) $ ( 9.47 ) Discontinued operations $ — $ ( 0.25 ) $ — $ ( 0.41 ) Total Basic Earnings per share $ 1.87 $ 9.11 $ ( 2.48 ) $ ( 9.88 ) Weighted average common shares outstanding - Basic 26,527 2,655 20,019 2,651 Diluted: Continuing operations $ 1.87 $ 9.36 $ ( 2.48 ) $ ( 9.47 ) Discontinued operations $ — $ ( 0.25 ) $ — $ ( 0.41 ) Total Diluted Earnings per share $ 1.87 $ 9.11 $ ( 2.48 ) $ ( 9.88 ) Weighte

View Full Filing

View this 10-Q filing on SEC EDGAR