Franklin Covey Co. provides training and consulting services in the areas of execution, sales performance, productivity, customer loyalty, and educational improvement for organizations and individuals worldwide. The company operates through Direct Offices, International Licensees, and Education Practice segments. It also provides a suite of individual-effectiveness and leadership-development training and products. In addition, the company operates Strive platform, a learning deployment platform; Impact platform that helps automate implementation of learning initiatives; All Access Pass, a subscription platform that enables improved deployment of content, services, technology, and metrics to deliver behavioral impact at scale; and Leader in Me, which provides access to digital versions of student leadership guides, leadership lessons, illustrated leadership stories, and other resources. Franklin Covey Co. was incorporated in 1983 and is headquartered in Salt Lake City, Utah.

Franklin Covey Company

The following companies are expected to report earnings after hours on 04/02/2025. Visit our Earnings Calendar for a full list of expected earnings releases.
RH (RH)is reporting for the quarter ending January 31, 2025. The consumer company's consensus earnings per share forecast from the 10 analysts that follow the stock is $1.91. This value represents a 165.28% increase compared to the same quarter last year. Zacks Investment Research reports that the 2025 Price to Earnings ratio for RH is 54.33 vs. an industry ratio of 17.50, implying that they will have a higher earnings growth than their competitors in the same industry.
Penguin Solutions, Inc. (PENG)is reporting for the quarter ending February 28, 2025. The internet software company's consensus earnings per share forecast from the 1 analyst that follows the stock is $0.20. This value represents a 122.22% increase compared to the same quarter last year. Zacks Investment Research reports that the 2025 Price to Earnings ratio for PENG is 16.45 vs. an industry ratio of -49.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Franklin Covey Company (FC)is reporting for the quarter ending February 28, 2025. The consulting company's consensus earnings per share forecast from the 3 analysts that follow the stock is $-0.11. This value represents a 283.33% decrease compared to the same quarter last year. FC missed the consensus earnings per share in the 4th calendar quarter of 2024 by -59.09%. Zacks Investment Research reports that the 2025 Price to Earnings ratio for FC is 28.87 vs. an industry ratio of 23.70, implying that they will have a higher earnings growth than their competitors in the same industry.
Resources Connection, Inc. (RGP)is reporting for the quarter ending February 28, 2025. The staffing company's consensus earnings per share forecast from the 3 analysts that follow the stock is $-0.13. This value represents a 176.47% decrease compared to the same quarter last year. RGP missed the consensus earnings per share in the 3rd calendar quarter of 2024 by -142.86%. Bassett Furniture Industries, Incorporated (BSET)is reporting for the quarter ending February 28, 2025. The furniture company's consensus earnings per share forecast from the 1 analyst that follows the stock is $0.02. This value represents a 114.29% increase compared to the same quarter last year. Zacks Investment Research reports that the 2025 Price to Earnings ratio for BSET is 21.66 vs. an industry ratio of 4.70, implying that they will have a higher earnings growth than their competitors in the same industry.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

After-Hours Earnings Report for April 2, 2025 : RH, PENG, FC, RGP, BSET

Simulations Plus, Inc SLP is slated to release second-quarter fiscal 2025 after the closing bell on April 3, 2025.
Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.
The Zacks Consensus Estimate for fiscal second-quarter revenues is pegged at $21.76 million, which indicates growth of 18.8% from the year-ago quarter’s reported figure.
The consensus mark for earnings is pegged at 25 cents per share, indicating a 25% increase from the prior-year level. The company’s earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters while missing in one, with the average earnings surprise being 18.6%.
The company reported adjusted earnings (excluding the impact of acquisition costs) of 17 cents per share, which declined 5.5% year over year in the last reported quarter. The figure also missed the Zacks Consensus Estimate of 18 cents per share. Revenues jumped 31% year over year to $18.9 million due to higher software revenues in the Clinical Pharmacology & Pharmacometrics (CPP), Cheminformatics business units and the Quantitative Systems Pharmacology (QSP) unit.
Factors at Play
Steady momentum in the software business unit driven by the widespread adoption of GastroPlus, MonolixSuite and ADMet Predictor is likely to have cushioned Simulations Plus’ performance in the fiscal second quarter.
Synergies from acquisition act as a key catalyst for the company’s prospects. The Adaptive Learning & Insights (ALI) and Medical Communications (MC) divisions, which were obtained through the acquisition of Pro-ficiency in June 2024, generated $3.7 million in revenues during the first fiscal quarter. SLP remains on track to combine both business units, unlocking growth opportunities with enhanced product and service offerings.
With global health challenges surging, SLP is working relentlessly to provide solutions that enhance life-saving treatments and improve patient outcomes. During the quarter under discussion, it supported the development of a majority of the drugs approved by the U.S. Food and Drug Administration (“FDA”) in 2024. The company continues to expand the business pipeline activities for its flagship GastroPlus platform. It has partnered with the Enabling Technologies Consortium (“ETC”) to improve IVIVC methods for oral drug delivery and enhance the cutting-edge platform.
While services revenues increased 19% in first-quarter fiscal 2025, the segment faced temporary challenges due to client-driven data delays that postponed the initiation of certain projects. However, bookings were particularly strong in the CPP and MC business units, suggesting potential revenue realization in the to-be-reported quarter.
Simulations Plus, Inc. Price and EPS Surprise
Simulations Plus, Inc. price-eps-surprise | Simulations Plus, Inc. Quote
The Zacks Consensus Estimate for Software and Services revenues in the fiscal second quarter is pegged at $12.78 million and $9.03 million, respectively.
Nonetheless, soft client funding and budget cycles, especially for biotech and pharmaceutical customers, remain concerning amid an uncertain macroeconomic environment. Despite these challenges, Simulations Plus remains optimistic on initial budget discussions with clients for the calendar year 2025, indicating potential improvements in client spending.
What Our Model Says About SLP
Our proven model does not conclusively predict an earnings beat for SLP this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That’s not the case here.
Simulations Plus has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell). You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks With Favorable Combination
Here are a few stocks that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this season.
RH RH currently has an Earnings ESP of +0.94% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
RH is scheduled to report quarterly earnings on April 2. The Zacks Consensus Estimate for RH’s to-be-reported quarter’s earnings and revenues is pegged at $1.91 per share and $827 million, respectively. Shares of RH have declined 24.5% in the past year.
Franklin Covey FC has an Earnings ESP of +20.59% and a Zacks Rank #3 at present. FC is scheduled to report quarterly figures on April 2. The Zacks Consensus Estimate for FC’s to-be-reported quarter’s earnings and revenues is pegged at a loss of 11 cents per share and $62.7 million, respectively. Shares of FC have declined 25.8% in the past year.
JPMorgan Chase & Co. JPM has an Earnings ESP of +1.19% and a Zacks Rank #3 at present. JPM is set to report quarterly results on April 11. The Zacks Consensus Estimate for JPM’s to-be-reported quarter’s earnings and revenues is pegged at $4.57 per share and $42.9 billion, respectively. JPM shares have gained 23.4% in the trailing 12 months.
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JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report
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Franklin Covey Company (FC) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Simulations Plus Gears Up for Q2 Earnings: What's in the Offing?

The following are today's upgrades for Validea's Earnings Yield Investor model based on the published strategy of Joel Greenblatt. This value model looks for companies with high return on capital and earnings yields.
FRANKLIN COVEY CO (FC) is a small-cap growth stock in the Schools industry. The rating according to our strategy based on Joel Greenblatt changed from 60% to 80% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Franklin Covey Co. is a global company focused on performance improvement. The Company's sales are primarily comprised of training and consulting services and its internal reporting and operating structure, which are organized around two divisions: Enterprise Division and Education Division. The Enterprise Division, which consists of its Direct Office and International Licensee segments. The Education Division, which is comprised of its Education practice. Its Direct Office segment includes its sales personnel that serve the United States and Canada; its international sales offices located in Japan, China, the United Kingdom, Australia, Germany, Switzerland, and Austria; its government services sales channel; and its book and audio sales. Its International Licensees segments consists of its international licensees. Its Education Practice segment includes its domestic and international Education practice operations. It is also focused on leasing operations, shipping and handling.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
EARNINGS YIELD:
NEUTRAL
RETURN ON TANGIBLE CAPITAL:
NEUTRAL
FINAL RANKING:
FAIL
Detailed Analysis of FRANKLIN COVEY CO
FC Guru Analysis
FC Fundamental Analysis
VALEO SE - ADR (VLEEY) is a mid-cap value stock in the Auto & Truck Parts industry. The rating according to our strategy based on Joel Greenblatt changed from 70% to 80% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Valeo SE is a France-based global automotive supplier. The Company is a technology company, which is focused on the design, production, and sale of components, integrated systems, modules, and services for the automotive sector. Its segments include Comfort & Driving Assistance Systems, Powertrain Systems, Thermal Systems, and Visibility Systems. The Comfort & Driving Assistance Systems segment includes three product groups including driving assistance, interior controls and connected cars. It offers smart sensors and features that improve vehicle safety and an automated driving system. The Powertrain Systems segment includes four product groups including electrical systems, transmission systems, combustion engine systems and electronics. The Thermal Systems segment has five product groups including Thermal Climate Control, Thermal Powertrain, Thermal Compressors, Thermal Front End and Thermal Bus Systems. The Visibility Systems segment includes lighting systems and wiper systems.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
EARNINGS YIELD:
NEUTRAL
RETURN ON TANGIBLE CAPITAL:
NEUTRAL
FINAL RANKING:
FAIL
Detailed Analysis of VALEO SE - ADR
VLEEY Guru Analysis
VLEEY Fundamental Analysis
UNITED PARKS & RESORTS INC (PRKS) is a mid-cap value stock in the Recreational Activities industry. The rating according to our strategy based on Joel Greenblatt changed from 70% to 90% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: United Parks & Resorts Inc. is a theme park and entertainment company. The Company owns or licenses a portfolio of recognized brands, including SeaWorld, Busch Gardens, Aquatica, Discovery Cove, Water Country USA, Adventure Island and Sesame Place. It has developed a portfolio of approximately 13 differentiated theme parks that are grouped in markets across the United States and Abu Dhabi. Many of its theme parks showcase the Company's zoological collection and feature a diverse array of both thrill and family-friendly rides, educational presentations, shows and/or other attractions with demographic appeal. SeaWorld owns and operates various theme parks, including SeaWorld San Diego, SeaWorld Orlando, SeaWorld Abu Dhabi and SeaWorld San Antonio. It owns and operates Busch Gardens theme parks, including Busch Gardens Tampa Bay and Busch Gardens Williamsburg. SeaWorld theme parks owns and operates the separately gated Aquatica branded theme parks.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
EARNINGS YIELD:
NEUTRAL
RETURN ON TANGIBLE CAPITAL:
NEUTRAL
FINAL RANKING:
PASS
Detailed Analysis of UNITED PARKS & RESORTS INC
PRKS Guru Analysis
PRKS Fundamental Analysis
Joel Greenblatt Portfolio
Top Joel Greenblatt Stocks
About Joel Greenblatt: In his 2005 bestseller The Little Book That Beats The Market, hedge fund manager Joel Greenblatt laid out a stunningly simple way to beat the market using two -- and only two -- fundamental variables. The "Magic Formula," as he called it, produced back-tested returns of 30.8 percent per year from 1988 through 2004, more than doubling the S&P 500's 12.4 percent return during that time. Greenblatt also produced exceptional returns as managing partner at Gotham Capital, a New York City-based hedge fund he founded. The firm averaged a remarkable 40 percent annualized return over more than two decades.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Validea Joel Greenblatt Strategy Daily Upgrade Report - 11/8/2024

The NASDAQ 100 After Hours Indicator is up 70.93 to 19,103.32. The total After hours volume is currently 116,807,691 shares traded.
The following are the most active stocks for the after hours session:
Ford Motor Company (F) is -1.49 at $12.18, with 7,299,051 shares traded. Smarter Analyst Reports: Ford Plans Reorganization into EV and ICE Business Units – Report
Intel Corporation (INTC) is +0.11 at $31.81, with 7,057,368 shares traded. INTC's current last sale is 85.97% of the target price of $37.
AT&T Inc. (T) is -0.02 at $19.14, with 6,900,160 shares traded. Smarter Analyst Reports: AT&T Posts Strong Q3 Results on Customer Growth
NVIDIA Corporation (NVDA) is +0.7 at $114.95, with 5,583,653 shares traded. As reported by Zacks, the current mean recommendation for NVDA is in the "buy range".
Chipotle Mexican Grill, Inc. (CMG) is +6.69 at $58.47, with 5,179,353 shares traded. Over the last four weeks they have had 9 up revisions for the earnings forecast, for the fiscal quarter ending Jun 2024. The consensus EPS forecast is $0.31. Smarter Analyst Reports: Chipotle Mexican Grill Q3 Results Top Estimates; Street Says Buy
Coupang, Inc. (CPNG) is unchanged at $19.92, with 3,891,623 shares traded. As reported by Zacks, the current mean recommendation for CPNG is in the "buy range".
Invesco QQQ Trust, Series 1 (QQQ) is +1.32 at $464.70, with 3,635,462 shares traded. This represents a 35.74% increase from its 52 Week Low.
Tesla, Inc. (TSLA) is +0.06 at $216.05, with 3,398,743 shares traded. TSLA's current last sale is 107.49% of the target price of $201.
Johnson Controls International plc (JCI) is unchanged at $67.54, with 2,949,962 shares traded.JCI is scheduled to provide an earnings report on 7/31/2024, for the fiscal quarter ending Jun2024. The consensus earnings per share forecast is 1.08 per share, which represents a 103 percent increase over the EPS one Year Ago
Apple Inc. (AAPL) is -0.13 at $218.41, with 2,932,646 shares traded. As reported by Zacks, the current mean recommendation for AAPL is in the "buy range".
Broadcom Inc. (AVGO) is +0.5085 at $151.85, with 2,889,552 shares traded. Over the last four weeks they have had 4 up revisions for the earnings forecast, for the fiscal quarter ending Jul 2024. The consensus EPS forecast is $0.95. As reported by Zacks, the current mean recommendation for AVGO is in the "buy range".
Freeport-McMoran, Inc. (FCX) is unchanged at $44.18, with 2,243,167 shares traded. Over the last four weeks they have had 3 up revisions for the earnings forecast, for the fiscal quarter ending Dec 2024. The consensus EPS forecast is $0.49. As reported by Zacks, the current mean recommendation for FCX is in the "buy range".
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

After Hours Most Active for Jul 24, 2024 : F, INTC, T, NVDA, CMG, CPNG, QQQ, TSLA, JCI, AAPL, AVGO, FCX

Consumer stocks were leaning lower premarket Friday with the Consumer Staples Select Sector SPDR Fund (XLP) down 0.3% and the Consumer Discretionary Select Sector SPDR Fund (XLY) marginally declining recently.
Procter & Gamble (PG) shares were down more than 2% even after the company reported higher fiscal Q3 core earnings and net sales.
Universal Technical Institute (UTI) shares were up 0.2% after the company said it has renewed its contract for supply of batteries from Interstate Batteries by another five years.
Franklin Covey (FC) shares were 0.6% higher after the company said its board has approved a new plan to purchase up to $50 million of its shares.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Consumer Sector Update for 04/19/2024: PG, UTI, FC, XLP, XLY

Franklin Covey (FC) came out with quarterly earnings of $0.06 per share, beating the Zacks Consensus Estimate of $0.05 per share. This compares to earnings of $0.12 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of 20%. A quarter ago, it was expected that this corporate training and consultanting company would post earnings of $0.19 per share when it actually produced earnings of $0.36, delivering a surprise of 89.47%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Franklin Covey, which belongs to the Zacks Consulting Services industry, posted revenues of $61.34 million for the quarter ended February 2024, missing the Zacks Consensus Estimate by 1.11%. This compares to year-ago revenues of $61.76 million. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Franklin Covey shares have lost about 10.4% since the beginning of the year versus the S&P 500's gain of 9.1%.
What's Next for Franklin Covey?
While Franklin Covey has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Franklin Covey: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $0.47 on $79.7 million in revenues for the coming quarter and $1.69 on $299.55 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Consulting Services is currently in the bottom 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Exponent (EXPO), has yet to report results for the quarter ended March 2024.
This engineering and scientific consulting company is expected to post quarterly earnings of $0.46 per share in its upcoming report, which represents a year-over-year change of -17.9%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Exponent's revenues are expected to be $125.59 million, down 2.4% from the year-ago quarter.
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Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.2% per year. So be sure to give these hand-picked 7 your immediate attention.
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To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Franklin Covey (FC) Beats Q2 Earnings Estimates

Franklin Covey Co. (FC) Q1 2024 Earnings Call Transcript
Franklin Covey Co. (FC)
Q1 2024 Earnings Conference Call
Company Participants
Derek Hatch - Corporate Controller
Paul Walker - President and Chief Executive Officer
Steve Young - Chief Financial Officer
Sean Covey - President, Education Division
Jennifer Colosimo - President, Enterprise Division
Conference Call Participants
Dave Storms - Stonegate
Nehal Chokshi - Northland Capital Markets
Jeff Martin - ROTH MKM
Alex Paris - Barrington Research
Presentation
Operator
Hello, and thank you for standing by. Welcome to Franklin Covey Q1 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instructions]
I would now like to hand the conference over to Derek Hatch. Sir, you may begin.
Derek Hatch
Thank you. Hello everyone. On behalf of Franklin Covey, I would like to wish everyone a Happy New Year and hope for a peaceful and prosperous 2024.
Before we begin today's call festivities, I would like to remind everybody that this presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based upon management's current expectations and are subject to various risks and uncertainties, including but not limited to the ability of the company to grow revenues, the acceptance of and renewal rates for our subscription offerings, including the All Access Pass and Leader In Me memberships, the ability of the company to hire productive sales and other client-facing professionals, general economic conditions, competition in the company's targeted marketplace, market acceptance of new offerings or services and marketing strategies, changes in the company's market share, changes in the size of the overall market for the company's products, changes in the training and spending policies of the company's clients and other factors identified and discussed in the company's most recent Annual Report on Form 10-K and other periodic reports filed with the Securities and Exchange Commission.
Many of these conditions are beyond our control or influence, any one of which may cause future results to differ materially from the company's current expectations and there can be no assurance the company's actual future performance will meet management's expectations. These forward-looking statements are based on management's current expectations and we undertake no obligation to update or revise these forward-looking statements to reflect events or circumstances after the date of today's presentation except as required by law.
With that out of the way, we'd like to turn the time over to Mr. Paul Walker, our CEO and President.
Paul Walker
Thank you, Derek. Hello, everyone. Happy New Year. Thanks for joining us today. We're glad to have the opportunity to talk to you and we just want to start out by expressing our appreciation to you and we're grateful to be with you today.
Joining me on the call are Steve Young, our CFO; Jennifer Colosimo, President of the Enterprise Division; Sean Covey, President of the Education Division; as well as other members of our executive team.
We're pleased that though the results in the first quarter were essentially even with last year's first quarter, both revenue and adjusted EBITDA came in stronger than forecasted. Even though we also expect the second quarter revenue to again be about even with or slightly above prior year, we expect to achieve a significant growth in revenue in the back half of the year with a high flow-through of this revenue driving growth in adjusted EBITDA to our target of between $54.5 million and $58 million. We expect this growth in the back half to be driven by several key factors including the following:
First, we're entering the back half of the year with a lot more billed and unbilled deferred revenue on our balance sheet than a year before. At the end of the first quarter, the sum of our billed and unbilled deferred revenue was $169.7 million, a level $18 million higher than at the same time last year. A meaningful portion of this will flow through into revenue in the back half of fiscal '24 and into fiscal '25.
Second is that our invoice subscription revenue is increasing. After flattish All Access Pass invoiced subscription growth in the second and third quarters last year, which is I remind you was flattish on top of significant double-digit growth the prior year, our invoiced All Access Pass subscription revenue grew significantly in the fourth quarter and again in Q1 this year. We expect this growth will continue in Q2 and for the remainder of this year and beyond, resulting in additional amounts of deferred revenue going on to the balance sheet and flowing through to revenue in fiscal '24 and beyond.
Third is that we expect our subscription services attach rate to improve. We expect our subscription services attach rate, which declined from 66.5% to 61.5% in the back half of last year and through the first quarter of this year, we expect that it will return to its historic rate of around 66.5% in Q3 and Q4 of this year, driven by a combination of services delivered to new schools that were brought on late in last year's fourth quarter and by the impact of the launch of the 3.0 and 5.0 versions of the Speed of Trust and 7 Habits, two of our historic blockbuster solutions, as well as the launch of our new solution on Difficult Conversations.
I'd like to now provide a little bit of additional context about the first quarter itself. As shown on Slide 4, our total revenue for the quarter came in at a higher-than-expected $68.4 million. Revenue for the latest 12 months grew $8.6 million or 3% to $279.6 million, and our rolling two-year growth is a very strong $42.4 million or 18%.
Adjusted EBITDA also came in at a higher-than-expected $11 million. With this, adjusted EBITDA for the latest 12 months through this year's first quarter grew $3.8 million or 9% to $47.6 million. And again our rolling two-year growth in adjusted EBITDA is $13.4 million or 39%.
Our subscription and subscription services sales in the first quarter reached $54.8 million, a level 4% higher than prior year. Subscription and subscription services sales were $224.7 million for the latest 12 months ended Q1, which is $13.6 million or 6% higher than the same period of the prior year. And again, our rolling two-year growth was an extraordinarily strong $56.7 million or 34%.
And finally, our balance of billed and unbilled deferred revenue increased $18 million or 12% to $169.7 million from the end of the first quarter last year, and grew $48.5 million or 40% over the last two-year period.
Stepping up a level, our results in the first quarter put an exclamation point on three key strengths we've been building for years. As you can see shown on Slide 5, the first of these is the strength of our unique strategic position in the marketplace. We focus on the most important strategic and durable position in our space, specifically that of helping organizations achieve results that require the collective action of their people. And we help organizations achieve these results with a combination of best-in-class content delivered through a broad range of delivery modalities and world-class coaching and facilitation that's very difficult to replicate. The most important thing on the minds and priority list of CEOs is achieving the type of results that require the collective action of their entire organization. It's a point I'd like to come back to in just a minute.
Our second key strength [Technical Difficulty] as you can see shown there on the slide is the power of our revenue-generating engine. As previously noted, despite being up against some extremely strong post-pandemic accelerated comps over the past four quarters, which have impacted our reported year-over-year percentage growth in those quarters, the continued strength of our underlying revenue-generating engine is reflected in the following four key metrics: first, growth in revenue on a rolling two-year basis, again to normalize; second, growth of revenue compared to our pre-pandemic high; third, growth of our strategically important subscription and subscription services revenue; and fourth, growth in our balances of deferred subscription revenue both billed and unbilled.
The third key strength is that of our powerful business model, a model where a combination of increasing revenue per client, high revenue and client retention, high contribution margins, upfront invoicing, low capital intensity, and disciplined reinvestment for growth, all combined to drive significant growth in both adjusted EBITDA and free cash. I'd like to address each of these three key strengths in just a bit more detail and with some data.
The first is shown on Slide 6, the strength of our strategic position. As I just noted, the most important strategic and durable position in our space is that of helping organizations achieve the kind of seismic results, that can result from mobilizing the large-scale collective action of their people. Why is this so strategically powerful? Because almost all of the key strategic and operational results on which CEOs are focused require just that kind of collective action.
As shown on Slide 7, each year the Conference Board, the Advisory Board McKenzie and others conduct surveys to identify the most important things on CEOs' minds and priority lists. Excluding macroeconomic and geopolitical issues, the vast majority of CEOs' top priorities are those areas that require the collective action of the entire organization. I'd like to give you just three examples of this where we're working with clients to support them today.
The first is we're working with the CEO of a large and rapidly growing manufacturing company to develop their top 500 global leaders. They're partnering with us to help them build a high trust and agile culture that can support the rapid growth they've achieved in which they expect to continue to achieve in the future. They recognize that culture is established by the collective behavior of leaders and they've chosen Franklin Covey as their sole leadership development partner. They've done this in large part due to the impact of our powerful principle-based content, its direct relevance to building the type of winning culture they desire, and our ability to scale our solutions across their global population.
The second example is where we're partnering with the Chief Human Resource Officer of a large 100,000-person firm to deploy multiple Franklin Covey solutions across the entire organization. They've chosen us as their partner because of the powerful way in which our content shifts mindsets and behaviors versus simply teaching people to check off to-dos from a checklist. They want us to develop common -- they want to develop with our help common mindset, skillsets, and a consistent language across the entire organization or what we refer to as "collective action" and we're their partner in doing this.
And the third example is where we're partnering with a large transportation company that has a very clear strategy for winning in their chosen market. However, like so many organizations, they've had a difficult time translating that strategy from the boardroom to the actions of those in the front line of the organization. This client is engaging us to equip their leaders with the skills and tools to create a culture of execution where people at the front line are engaged to execute the critical priorities that will translate strategy into results.
As shown on Slide 8, being our clients' partner of choice for addressing opportunities and challenges like those just noted, translates into a number of powerful outcomes for Franklin Covey, including consistently winning new logos or new clients, achieving a strong attachment of subscription services to help clients achieve performance breakthroughs, retaining substantially all of our subscription revenue, increasing our average contract size, increasing the percentage of logos and revenue under multiyear contracts, and achieving a high and growing lifetime customer value.
For the latest 12-month period through this year's first quarter, we're really pleased to have continued to achieve strong results on each of these key outcomes. In the sales of All Access Pass to new logos in the Enterprise Division and Leader in Me subscriptions to new schools in the Education Division remained strong in the first quarter and for the latest 12-month period. Our revenue retention levels remained very high in the first quarter and for the latest 12 months. In the Enterprise Division in North America in the first quarter, we achieved All Access Pass subscription revenue retention levels greater than 90%. And in the Education Division, we continue to achieve high levels of school retention.
An increasing percentage of clients are also entering into multiyear contracts. As you can see shown on Slide 9, the percentage of clients -- All Access Pass clients entering into multiyear contracts increased even further from its already high levels. In the first quarter, 54% of All Access Pass clients entered into multiyear contracts of at least two years, up from 48% at the end of Q1 fiscal '23. Importantly, an even higher 60% of All Access Pass subscription revenue is now under multiyear contracts of at least two years, up from 55% at the end of the first quarter last year.
Our clients commit to these multiyear agreements because of the importance and the ongoing nature of the opportunities and challenges they face that require the collective action of their people, and because of the value they're receiving from a long-term partnership with Franklin Covey. These long-term contracts provide a tremendous foundation for both the predictability and acceleration of future revenue growth.
As shown on Slide 10, the second key strength I'd like to focus on today is the power of our revenue-generating engine. As noted, the strength of our underlying revenue-generating engine is reflected in four key metrics, which we've summarized on Slide 11.
First, the tremendous growth in revenue achieved over the past two years. This two-year look helps to normalize for periods which benefited from comping to pandemic-impacted quarters. As shown over the past two years, our latest 12 months revenue has grown a very strong $42.4 million or 18%.
Second is the significant growth of our revenue compared to our pre-pandemic high. Our latest 12-months revenue through this year's first quarter increased to $279.6 million, which represents growth of $54.2 million or 24% compared to our pre-pandemic high in fiscal 2019.
Third is the even more rapid growth of our strategically important subscription and subscription services revenue. For the latest 12-month period through this year's first quarter, our subscription and subscription services revenue grew $13.6 million or 6%, and importantly, our two-year growth was $56.7 million or 34%. And subscription and subscription services growth remarkably is more than $100 million or 81% compared to our pre-pandemic high.
And fourth is the tremendous growth in our balances of deferred subscription revenue both billed and unbilled. In this year's first quarter, our balance of deferred subscription revenue billed and unbilled increased to $169.7 million, reflecting year-over-year growth of $18 million or 12%. Our two-year growth of $48.5 million was 40% and our balance of deferred subscription revenue billed and unbilled has grown by $81.5 million or 92.5% compared to our pre-pandemic level. This dramatic growth in deferred subscription revenue on both a dollar and percentage basis establishes a very strong foundation for continued strong revenue growth in the coming quarters and years.
And finally, the third point, you can see as shown on Slide 12, the third key strength is the strength of our business model. As you know, our business model results in a significant portion of incremental revenue flowing through to increases in adjusted EBITDA and free cash flow. I'd like to briefly review the key elements of our business model to drive this.
As shown on Slide 13, these factors include increasing revenue per client, high revenue retention, high contribution margins, upfront invoicing, low capital intensity, and disciplined reinvestment for growth. I'll briefly touch on each of these drivers to show how their interplay drives high and increasing adjusted EBITDA and cash flow....
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Franklin Covey Co. (FC) Q1 2024 Earnings Call Transcript

Franklin Covey (FC) came out with quarterly earnings of $0.36 per share, beating the Zacks Consensus Estimate of $0.19 per share. This compares to earnings of $0.32 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of 89.47%. A quarter ago, it was expected that this corporate training and consultanting company would post earnings of $0.49 per share when it actually produced earnings of $0.49, delivering no surprise.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Franklin Covey, which belongs to the Zacks Consulting Services industry, posted revenues of $68.4 million for the quarter ended November 2023, surpassing the Zacks Consensus Estimate by 3.83%. This compares to year-ago revenues of $69.37 million. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Franklin Covey shares have lost about 8.4% since the beginning of the year versus the S&P 500's decline of -1.4%.
What's Next for Franklin Covey?
While Franklin Covey has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Franklin Covey: unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #5 (Strong Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $0.21 on $65.4 million in revenues for the coming quarter and $1.70 on $300.03 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Consulting Services is currently in the bottom 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Exponent (EXPO), is yet to report results for the quarter ended December 2023.
This engineering and scientific consulting company is expected to post quarterly earnings of $0.45 per share in its upcoming report, which represents a year-over-year change of +2.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Exponent's revenues are expected to be $118.81 million, up 5.5% from the year-ago quarter.
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Indicator	TTM Median
P/E	18.79 21.58
Price/Sales	1.29 1.29
P/B	4.52 2.25
P/FCF	6.92 17.83

Indicator	TTM Median
ROE	26.06 15.71
ROA	8.47 6.45
ROI	25.24 9.56
Net Worth	0.37 1.27
Quick Ratio	0.94 1.16
Current Ratio	0.97 1.57

Indicator	TTM Median
Net Profit Margin	6.97 7.31
Operating Margin	9.76 10.18
Gross Margin	77.35 32.50
Return on tangible equity	275.86 25.81

Indicator	TTM Median
EPS	0.08 0.49
EPS Forecast	0.11 0.53
Revenue	69.00M 194.00M
Gross Profit	53.00M —
EBITDA	5.00M —

Franklin Covey Company

TTM metrics for the latest quarter under IFRS and their historical dynamics

Valuation

Debts

Efficiency

Other ratios

Revenue