| Metric | Value ($ M) | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Revenue | 59.65 | 6.9% | 0.1% |
| Total Income | 59.65 | 6.9% | 0.1% |
| Expenditure | 61.65 | 8.9% | 0.9% |
| PBT | -2.06 | 43.3% | 52.6% |
| Net Profit | -1.98 | 39.8% | 83.3% |
| OPM | -3.35% | 2.35pp | 0.91pp |
| NPM | -3.32% | 1.81pp | 1.52pp |
| EPS | -0.17 | 37.0% | 112.5% |
Franklin Covey Reports Q2 FY2026 Revenue of $59.6 Million
03 May 2026 · 3 May, 7:22 pm
Summary
Franklin Covey Co. reported flat consolidated revenue of $59.6 million for Q2 FY2026 compared to the prior year, while consolidated invoiced amounts grew by 5%. The Education Division saw a revenue increase of 16%, reaching $17.5 million. The company experienced a net loss of $(2.0) million, or $(0.17) per share, but adjusted EBITDA increased significantly by 99% to $4.1 million. The company reaffirms its FY2026 guidance of total revenue of $265 to $275 million and Adjusted EBITDA of $28 to $33 million, in constant currency.
Key Highlights
- 1
Franklin Covey's consolidated revenue for Q2 FY2026 was $59.6 million, remaining flat compared to Q2 FY2025.
- 2
Consolidated invoiced amounts for Q2 FY2026 increased by 5% over the prior year.
- 3
Education Division revenue in Q2 FY2026 increased by $2.4 million, or 16%, to $17.5 million compared to the prior year.
- 4
The company realized a net loss for Q2 FY2026 of $(2.0) million, or $(0.17) per share.
- 5
Adjusted EBITDA for Q2 FY2026 increased 99% to $4.1 million compared with $2.1 million in the prior year.
- 6
Consolidated deferred revenue at February 28, 2026, increased 7% to $101.5 million compared with $94.4 million at February 28, 2025.
- 7
During Q2 FY2026, the Company purchased approximately 947,000 shares of its common stock for $17.0 million.
Management Comments
Paul Walker
Our second quarter results reflect the importance of what we do and the traction of our go-to-market transformation. We delivered our second consecutive quarter of 7% invoiced growth in Enterprise North America as strong execution on our go‑to‑market strategy continues to gain traction. We believe we are at an inflection point where the return on investment from our transformation is becoming evident. This momentum comes as AI is reshaping how work gets done, and we are seeing increased demand for FranklinCovey's expertise in helping organizations strengthen the human side of execution—leadership, trust, change management, sales performance, collaboration, and disciplined execution. FranklinCovey is uniquely positioned as a long-term performance partner, helping organizations navigate AI‑driven opportunities and complexities to deliver sustained performance.
Jessi Betjemann
In the second quarter, we translated operational momentum into improved profitability and strong cash generation. Adjusted EBITDA increased to $4.1 million, operating cash flow was $16.3 million, and free cash flow improved to $13.2 million. We also returned $17.0 million to shareholders through the repurchase of approximately 947,000 shares, while maintaining $76 million of liquidity. We are reaffirming our FY2026 guidance of total revenue of $265 to $275 million and Adjusted EBITDA of $28 to $33 million, in constant currency.
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