John Wiley & Sons, Inc., Reports Solid Revenue and EPS Growth for the Third Quarter.Business Editors HOBOKEN, N.J.--(BUSINESS WIRE)--March 2, 2004 John Wiley John Wiley may refer to:
See: New York Stock Exchange :JWa) (NYSE:JWb), announced today that revenue for the third quarter increased 10%, or 5% excluding foreign exchange translation gains, to $242.4 million from $221.2 million in the prior year. Earnings per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share of $0.45 and net income of $28.3 million for the third quarter of fiscal year 2004 increased over prior year by 16% and 17%, respectively, excluding a net tax benefit recognized in the current period. Earnings per diluted share for the third quarter of fiscal year 2004, including the net tax benefit, was $0.50 as compared to $0.39 in the prior year period. Third quarter results were driven by Scientific, Technical and Medical journals, Professional/Trade books, and Higher Education higher education Study beyond the level of secondary education. Institutions of higher education include not only colleges and universities but also professional schools in such fields as law, theology, medicine, business, music, and art. textbooks and educational materials. Net income and earnings per share for the third quarter reflected the positive effects of operations, the resolution of certain tax matters and foreign exchange. For the first nine months of fiscal year 2004, revenue advanced 6%, or 3% excluding foreign currency translation gains, to $690.9 million from $650.6 million in the prior year. Earnings per diluted share and net income for the nine-month period increased 11%, excluding charges reported in the prior year related to the Company's relocation RELOCATION, Scotch law, contracts. To let again to renew a lease, is called a relocation. 2. When a tenant holds over after the expiration of his lease, with the consent of his landlord, this will amount to a relocation. to Hoboken, New Jersey Hoboken is a city in Hudson County, New Jersey, United States. Geography Hoboken is located at 40°44'41" North, 74°1'59" West (40.744851, -74.032941).GR1 and certain tax benefits. Including these items, earnings per diluted share for the nine-month period of fiscal year 2004 and 2003 was $1.25. "Wiley's third quarter results were strong across our core businesses. Professional/Trade experienced a good holiday season. Scientific, Technical and Medical generated solid growth in our journal business globally and reported healthy renewals of Enhanced Access Licenses for Wiley InterScience. Our Higher Education business outpaced the industry in the third quarter and for the nine-months," said William J. Pesce, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . He concluded, "Based on year-to-date results and expectations for the fourth quarter, which is seasonally Wiley's least significant quarter in financial terms, we anticipate full-year revenue growth near the high end of our 4-6% guidance and EPS (Encapsulated PostScript) A PostScript file format used to transfer a graphic image between applications and platforms. EPS files contain PostScript code as well as an optional preview image in TIFF, WMF, PICT or EPSI, the latter being an ASCII-only format. growth at the high end of our mid to high single digits guidance, excluding the unusual items reported in fiscal year 2003 and the tax benefit recorded in this year's third quarter." Professional/Trade (P/T P/T Part Time P/T Pass-Through P/T Powertrain (automotive) P/T Province/Territory P/T Pressure Transmitter P/T Paris/Torres (Star Trek characters) P/T Peak & Trough P/T Press to Talk P/T Precision over Tolerance ) Wiley's P/T business grew 3% during the third quarter, with the business, architecture, culinary cu·li·nar·y adj. Of or relating to a kitchen or to cookery. [Latin cul  n , education, and consumer programs
exhibiting strength throughout the holiday season. Year-to-date revenue
was up 2% over the prior year.P/T's business program rebounded nicely in a slowly improving market, building momentum throughout the quarter with solid performances from a wide range of titles. Several Wiley business titles appeared on major bestseller lists, including J.K. Lasser's Income Tax 2004; Bonner/Financial Reckoning Day (#1 on The New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Times Hardcover Business Bestseller List in December); Scheinfeld and Allen/The 11th Element; Lencioni/Five Dysfunctions of a Team; George/Authentic Leadership (on The Economist "Best Books of 2003" list); Gitomer/The Sales Bible; and Kouzes and Posner/The Leadership Challenge. Notable recent publications include How to Make Money in Stocks Desk Diary 2004 by Investors Business Daily founder William O'Neil
In December, the Company signed an agreement with Mergent, Inc. (formerly Moody's financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. division) to publish Mergent's Dividend Achievers, Handbook of Common Stocks, and Handbook of NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on Stocks. Although market conditions continue to be challenging, Wiley's computer books See how to find a good computer book. program gained some momentum during the quarter. Key titles that published recently include Collier/eBay For Dummies; LeVitus/Mac OS Panther panther, name commonly applied to the leopard, especially to a black leopard. It is also used locally to designate various other cats including the jaguar and the puma. For Dummies, and MaranGraphics/Teach Yourself VISUALLY(TM) Mac OS Panther v.10.3. Frommer's, Wiley's market-leading travel program, experienced significant reordering re·or·der v. re·or·dered, re·or·der·ing, re·or·ders v.tr. 1. To order (the same goods) again. 2. To straighten out or put in order again. 3. To rearrange. v. by major U.S. accounts and strong sales of European travel titles. Frommers.com hit a record high of 16 million page views in January. The company's CliffsNotes and For Dummies lines and the culinary category also exhibited strength. P/T capitalized on the success of The Lord of the Rings by promoting The Origins of Tolkien's Middle-earth For Dummies at movie theaters in targeted cities. In addition, P/T benefited from the publication of its new biography, Ravina/The Last Samurai samurai (sä'm  rī`), knights of feudal Japan, retainers of the daimyo. This aristocratic warrior class arose during the 12th-century wars between the Taira and Minamoto clans and was , which
coincided with the release of the movie with the same title. Alan
Dershowitz's, The Case for Israel, reached the top of The New York
Times Expanded Hardcover Bestseller list. All the Shah's Men by
Stephen Kinzer Stephen Kinzer is an American author and newspaper reporter. He is a veteran New York Times correspondent who has reported from more than fifty countries on four continents. During the 1980s he covered revolution and social upheaval in Central America. was the History selection on The Economist "Best
Books of 2003" list.An unprecedented number of the Company's cookbooks The following is a list of cookbooks, sorted alphabetically by author's surname. This is not a list of external links to commercial sites; please list only cookbooks here. This literature-related list is incomplete; you can help by [ expanding it]. were honored in holiday round-ups of the best cookbooks of 2003, notably Wolfert/Slow Mediterranean Kitchen; Delouvrier/Mastering Simplicity; and Revsin/Come for Dinner. The paperback edition of Eades/30 Day Low Carb Diet Solution released successfully during the quarter, as did the third edition of National Restaurant Association Educational Foundation's flagship books on food sanitation sanitation: see plumbing; sanitary science. , ServSafe. Civitello/Cuisine and Culture was awarded the Gourmand World Cookbook (programming) cookbook - (From amateur electronics and radio) A book of small code segments that the reader can use to do various magic things in programs. One current example is the "PostScript Language Tutorial and Cookbook" by Adobe Systems, Inc (Addison-Wesley, ISBN Award and was also named as one of the top three culinary books by Sante magazine. At the Association of American Publishers (body, publication) Association of American Publishers - (AAP) A group engaged in standardisation efforts in document preparation. - Professional and Scholarly Publishing Annual Awards program, McGowan and Kruse/Interior Graphic Standards won the Architecture & Urban Studies category and Weiner/Handbook of Psychology won the Multi-Volume Reference/Humanities category. During the quarter, the Company announced a partnership with VantageMed Corporation, a leading provider of healthcare information systems, to jointly develop a software interface that will allow Therascribe 4.0 and VantageMed's Therapist Helper to work together as a seamless practice management solution for mental health providers. Scientific, Technical, and Medical (STM (Scanning Tunneling Microscope) A microscope that can image down to the atomic level. An STM uses a piezoelectric tube with a tiny sharp tip at the end that is moved within nanometers of the object being sampled. ) Wiley's U.S. STM revenue advanced 7% during the third quarter. Contributing to this growth were new society journals (such as Hepatology and Liver Transplantation Liver Transplantation Definition Liver transplantation is a surgery that removes a diseased liver and replace it with a healthy donor liver. Purpose The liver is the body's principle chemical factory. ), the Polymer Backfile Collection, ArticleSelect, and online books in electronics and electrical engineering electrical engineering: see engineering. electrical engineering Branch of engineering concerned with the practical applications of electricity in all its forms, including those of electronics. . Revenue for the first nine months increased 2%, reflecting, in part, the adverse effect of the Rowecom bankruptcy and lower-than-anticipated advertising revenue. Globally, STM journal revenue increased approximately 13% in the quarter and 8% for the nine months. The Wiley InterScience annual license renewal process is well underway and proceeding as anticipated. During the third quarter, two important license renewals were completed with the California Digital Library The California Digital Library, or CDL, is the University of California's 11th University Library. The CDL assists the ten University of California libraries in sharing their resources and holdings more effectively, in part through negotiating and acquiring consortial licenses on and NESLI NESLI National Electronic Site Licensing Initiative (UK) (UK Academic Consortium). Several new licenses were also signed, including the Universidad Nacional Autonoma de Mexico, Alerta al Conociemeiento Consortium in Chile, University of South Florida • • [ , University of Kansas The University of Kansas (often referred to as KU or just Kansas) is an institution of higher learning in Lawrence, Kansas. The main campus resides atop Mount Oread. , University of Tampa The University of Tampa, or UT, is a private, co-educational university in downtown Tampa, Florida. It is accredited by the Southern Association of Colleges and Schools. In 2006, the University celebrated its 75th anniversary. , Procter & Gamble, BUGALICIA BUGALICIA Consorcio de Bibliotecas Universitarias de Galicia (Spain) (Galician Academic Consortium), University of Innsbruck It is currently the largest education facility in the Austrian Bundesland of Tirol and third largest in Austria according to student population, behind Vienna University and Graz University. , Halle University, Technical University of Berlin, Korea Institute of Science & Technology, and the National Defense University in Taiwan. Wiley's STM digital access business, which utilizes the Wiley InterScience platform, continued to add content and functionality for customers to meet their information needs. Wiley InterScience customer usage statistics are compliant with COUNTER (Continuing Online Usage of Networked Electronic Resources--www.projectcounter.org), an international initiative designed to serve librarians, publishers, and information intermediaries by facilitating the recording and exchange of online usage statistics. By adopting this new industry standard, Wiley InterScience will enable customers to make direct comparison between the usage of its journals and those of other publishers. Wiley InterScience extended its Pay Per View and Article Select options to include access to its extensive range of online reference works. Previously available only for access to online books and journal content, these services allow librarians, scientists, and other researchers to obtain individual articles and chapters from publications for which they do not hold subscriptions. Providing a wide range of access options is part of the company's strategy to offer customers greater flexibility and choice. Wiley continues to extend its publishing services to learned societies and their members by forming new partnerships with numerous prominent national, regional, and international societies. The Company formed a publishing partnership with the Society of Plastics Engineers (SPE SPE - Software Practice and Experience ) to provide all publishing services for its technical journals -Polymer Engineering & Science, Polymer Composites, and Journal of Vinyl & Additive additive In foods, any of various chemical substances added to produce desirable effects. Additives include such substances as artificial or natural colourings and flavourings; stabilizers, emulsifiers, and thickeners; preservatives and humectants (moisture-retainers); and Technology. During the quarter, the Company also renewed its agreement with the Society for Bioelectromagnetics to publish its journal Bioelectromagnetics. Although the STM book market continues to be soft, there were some bright spots. Sales of online major reference works and OnlineBooks were strong. Early in the fourth quarter, Wiley signed an agreement to distribute Merck's four professional manuals in the U.S. - The Merck Manual, The Merck Veterinary Manual The Merck Veterinary Manual is a reference manual of animal health care. It is published by Merck & Co., Inc. and Merial Limited. The Merck Veterinary Manual is available as a reference manual or as an online resource for veterinarians, veterinary students, and others involved in , The Merck Manual of Geriatrics geriatrics (jĕrēă`trĭks), the branch of medicine concerned with conditions and diseases of the aged. Many disabilities in old age are caused by or related to the deterioration of the circulatory system (see arteriosclerosis), e.g. , and The Merck Index. Widely considered to be among the most trusted resources for medical and scientific information, these highly regarded titles will be excellent additions to Wiley's comprehensive offerings. At the Association of American Publishers - Professional and Scholarly Publishing Annual Awards program, four STM publications were recognized, including the Potter and Colman/Handbook of Weather, Climate, and Water (Geology and Earth Science category); Huurdeman/The Worldwide History of Telecommunications The history of telecommunication began with the use of smoke signals and drums in Africa, the Americas and parts of Asia. In the 1790s the first fixed semaphore systems emerged in Europe however it was not until the 1830s that electrical telecommunication systems started to appear. (History of Science category); Horvath/Encyclopedia of Catalysis catalysis Modification (usually acceleration) of a chemical reaction rate by addition of a catalyst, which combines with the reactants but is ultimately regenerated so that its amount remains unchanged and the chemical equilibrium of the conditions of the reaction is not (Multi-Volume Reference/Sciences category); and Organic Synthesis Organic synthesis is the construction of organic molecules via chemical processes. Organic molecules can often contain a higher level of complexity compared to purely inorganic compounds, so the synthesis of organic compounds has developed into one of the most important aspects of (Electronic Product/Science category). In January, the Wiley Foundation announced that the third annual Wiley Prize in the Biomedical Sciences Noun 1. biomedical science - the application of the principles of the natural sciences to medicine bioscience, life science - any of the branches of natural science dealing with the structure and behavior of living organisms was awarded to C. David Allis, Ph.D., the newly appointed Professor, Laboratory of Chromatin chromatin: see chromosome. Biology and Epigenetics at the Rockefeller University Rockefeller University, philanthropic organization in New York City, founded 1901 as the Rockefeller Institute for Medical Research by John D. Rockefeller for furthering medical science and its allied subjects and to make knowledge of these subjects available to the in New York. Dr. Allis was recognized for his significant discovery on gene activity. His work has already led to advances in the treatment of leukemia leukemia (l kē`mēə), cancerous disorder of the blood-forming tissues (bone marrow, lymphatics, liver, spleen) characterized by excessive production of immature or mature .Higher Education Growth in Wiley's Higher Education business was 7% for the third quarter and 6% for the nine months, outpacing the industry for both periods. Programs in business, the sciences and social sciences drove these results. Sales of P/T and STM publications into the higher education market exceeded expectations, as well. Top selling titles during the quarter included Tortora/Anatomy and Physiology physiology (fĭzēŏl`əjē), study of the normal functioning of animals and plants during life and of the activities by which life is maintained and transmitted. It is based fundamentally on the activities of protoplasm. ; Kieso/Intermediate Accounting; Weygandt/Principles of Financial Accounting; Solomons/Organic Chemistry; Huffman/Psychology; DeBlij/Regions and Halliday/Fundamentals of Physics, which published its 7th edition during the quarter. During the quarter, Wiley signed a strategically important contract with Paul M. Romer
A Romer or Roamer is a simple device for accurately plotting a grid reference on a map. of Stanford University's Graduate School of Business. Dr. Romer is one of the nation's leading economists and a primary developer of New Growth Theory, a body of work that provides a fresh foundation for thinking about wealth creation. He was the recipient of Stanford's Distinguished Teaching Award in 1999. He will author a new textbook in intermediate macroeconomics macroeconomics Study of the entire economy in terms of the total amount of goods and services produced, total income earned, level of employment of productive resources, and general behaviour of prices. , which will serve as a catalyst for growth in Higher Education's economics program. As important as the textbook, Wiley also signed an agreement with Aplia, the educational software company that Dr. Romer founded. Aplia uses Web technology to create educational tools for students that will afford them the opportunity to increase productivity and success. Intermediate Macroeconomics will be the first Wiley offering to be integrated with Aplia courseware Educational software. See CBT and OpenCourseWare. (application) courseware - Programs and data used in Computer-Based Training. . At the end of the quarter, Higher Education announced a collaborative agreement with the Society of Manufacturing Engineers The Society of Manufacturing Engineers [1] (SME) is dedicated to bringing people and information together to advance manufacturing knowledge. SME is internationally recognized by manufacturing practitioners, companies and other organizations as a source for information, (SME (1) (Small and Medium-sized Enterprise) See SMB. (2) (Subject Matter Expert) An individual who is well-versed in the policies and procedures of a particular department or division. ), a leading professional society supporting manufacturing education, to develop content that brings real world manufacturing into the academic classroom. Through this exclusive agreement, Wiley and SME have adapted material from the highly acclaimed SME Fundamental Manufacturing Processes video series and are distributing it on DVD DVD: see digital versatile disc. DVD in full digital video disc or digital versatile disc Type of optical disc. The DVD represents the second generation of compact-disc (CD) technology. with Wiley engineering texts. Europe Third quarter revenue for Wiley's European operations was up 18% over prior year, or 9% excluding foreign currency translation gains. For the first nine months of the year, Wiley Europe's revenue was up 11%, or 3% excluding foreign currency translation gains. Strong performance from Wiley's worldwide journals continued to mitigate the combined effects of the sluggish book and advertising markets. In spite of the impact of the Rowecom bankruptcy, Wiley Europe's STM journals program exhibited strong growth throughout the U.K. and Europe. Wiley-VCH reported solid performances from Angewandte Chemie, Helvetica Chimica Acta Helvetica Chimica Acta is a scientific journal founded by the Swiss Chemical Society. It is published by John Wiley & Sons, both in print and online. It publishes papers in all areas of chemistry. The impact factor of this journal is 1.65 (2005). , the Macro journals and the Advanced Materials Advanced Materials is a leading peer-reviewed materials science journal published every two weeks. Advanced Materials includes Communications, Reviews, and Feature Articles from the cutting edge of materials science, including topics in chemistry, physics, and Advanced Functional Materials Advanced Functional Materials is a leading peer-reviewed materials science journal published eighteen times per year. Advanced Functional Materials is the sister journal to Advanced Materials journals. In addition, journal revenue began to benefit from the contribution of new businesses such as the Cochrane Library The Cochrane Library is a collection of databases in medicine and other healthcare specialties provided by the Cochrane Collaboration. At its core is a database of systematic reviews and meta-analyses which summarise and interpret the results of high-quality medical research. database, the British Journal of Surgery The BJS (British Journal of Surgery) is a monthly peer reviewed publication targeting general surgeons and the associated sub specialities. At 3.722 it has the highest impact factor of any surgical journal published in the UK. , and the journal of Ultrasound ultrasound or sonography, in medicine, technique that uses sound waves to study and treat hard-to-reach body areas. In scanning with ultrasound, high-frequency sound waves are transmitted to the area of interest and the returning echoes recorded in Obstetrics and Gynecology obstetrics and gynecology Medical and surgical specialty concerned with the management of pregnancy and childbirth and with the health of the female reproductive system. . In addition to the aforementioned a·fore·men·tioned adj. Mentioned previously. n. The one or ones mentioned previously. aforementioned Adjective mentioned before Adj. 1. new Wiley InterScience licenses, during the quarter Wiley Europe signed two major Enhanced Access Licenses, one with an Italian Consortium and the other with the Friedrich-Althoff Konsortium in Germany. Building on the success of the release of The Polymer Backfile Collection, Wiley Europe released the Angewandte Chemie Backfile Collection late in the third quarter. The early market response is very encouraging. The STM and P/T book programs showed good performance against prior year, driven primarily by improvements in the U.K., Benelux, Eastern Europe Eastern Europe The countries of eastern Europe, especially those that were allied with the USSR in the Warsaw Pact, which was established in 1955 and dissolved in 1991. , and Greece and through online booksellers. The For Dummies list in the U.K. got off to a good start with the successful release of British History For Dummies and CVs For Dummies. England's success as Rugby World Cup For the rugby league competition, see . The Rugby World Cup is the premier international rugby union competition. The event is organised by the sport's governing body, the International Rugby Board (IRB), and is contested by the men's national teams. winner fueled sales of Rugby For Dummies. For Dummies titles developed in the U.S., especially consumer technology titles such as Windows XP The previous client version of Windows. XP was a major upgrade to the client version of Windows 2000 with numerous changes to the user interface. XP improved support for gaming, digital photography, instant messaging, wireless networking and sharing connections to the Internet. For Dummies, Internet For Dummies, and PC For Dummies, also sold well. Wiley Europe experienced a pick up in sales of STM books, with the release of such titles as Alberts/Moleckularbiologie der Zelle and Brown/ Encyclopedia encyclopedia, compendium of knowledge, either general (attempting to cover all fields) or specialized (aiming to be comprehensive in a particular field). Encyclopedias and Other Reference Books of Optics, as well as a number of major reference works, including Schreiber and Harvard/Handbook of Clinical Biology and Handbook of RNA RNA: see nucleic acid. RNA in full ribonucleic acid One of the two main types of nucleic acid (the other being DNA), which functions in cellular protein synthesis in all living cells and replaces DNA as the carrier of genetic Biochemistry biochemistry, science concerned chiefly with the chemistry of biological processes; it attempts to utilize the tools and concepts of chemistry, particularly organic and physical chemistry, for elucidation of the living system. . The third quarter saw a number of key adoptions of higher education learning materials in the UK and continental Europe Continental Europe, also referred to as mainland Europe or simply the Continent, is the continent of Europe, explicitly excluding European islands and, at times, peninsulas. . Tortora/Anatomy and Physiology was the top-selling title in these regions during this period. Asia, Australia, and Canada Wiley's revenue in Asia, Australia, and Canada advanced 16% in the third quarter and 14% for the first nine months. Excluding the benefit of foreign currency translation, revenue was essentially flat for the quarter and year-to-date period. Solid indigenous publishing results in Australia were offset by a soft holiday season for P/T in Canada and a weak retail market in Asia. Sales in India continued to perform above expectations, as reflected in the year-on-year revenue growth of 24%. Several important Wiley InterScience licenses were signed in India during the quarter. Wiley Asia formed an alliance with Citibank to develop personal finance books for Asia. The first title, Growing Your Money, will publish next year with Citibank already committed to purchase a substantial number of copies. Revenue from Wiley Asia's translation business continued to grow at a rapid rate. In Australia, Higher Education, School, and P/T performed well during the third quarter. In November, Wiley Australia again won Tertiary tertiary (tûr`shēârē), in the Roman Catholic Church, member of a third order. The third orders are chiefly supplements of the friars—Franciscans (the most numerous), Dominicans, and Carmelites. Publisher of the Year, a prestigious award given by the Australian Campus Booksellers Association each year for excellence in service to the higher education market. Wiley has won this award consistently during the past several years. In addition, Wiley Australia was awarded the Employer of Choice citation for the third consecutive year. Wiley Canada's performance during the quarter was somewhat disappointing, as growth in Higher Education could not compensate for slow P/T sales. There was good news in the quarter, however, including robust sales of Dreyden/The Game, 20th Anniversary Edition and solid backlist back·list n. A publisher's list of older titles kept in print. tr.v. back·list·ed, back·list·ing, back·lists To place (a title) on a backlist. sales of business and international titles. Special Items During the second quarter of fiscal year 2003, the Company merged several of its European subsidiaries into a new entity, which enabled the Company to increase the tax-deductible asset basis of the merged subsidiaries to the fair value of the business at the date of merger. Under U.S. accounting principles, the tax benefit attributable to the increase in tax basis was immediately included in income, although the cash benefit of this change will be recognized pro-rata over a 15-year period. Wiley completed the relocation of the Company's headquarters to Hoboken, New Jersey in the first quarter of fiscal year 2003 and reported an unusual charge for costs associated with the relocation of approximately $1.5 million after-tax, or $.02 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. . "Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. " Statement under the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995 This report contains certain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. concerning the Company's operations, performance, and financial condition. Reliance should not be placed on forward-looking statements, as actual results may differ materially from those in any forward-looking statements. Any such forward-looking statements are based upon a number of assumptions and estimates that are inherently subject to uncertainties and contingencies, many of which are beyond the control of the Company, and are subject to change based on many important factors. Such factors include, but are not limited to (i) the level of investment in new technologies and products; (ii) subscriber renewal rates for the Company's journals; (iii) the financial stability and liquidity of journal subscription agents; (iv) the consolidation of book wholesalers and retail accounts; (v) the market position and financial stability of key online retailers; (vi) the seasonal nature of the Company's educational business and the impact of the used book market; (vii) worldwide economic and political conditions; and (viii) other factors detailed from time to time in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any such forward-looking statements to reflect subsequent events or circumstances. Conference Call John Wiley & Sons, Inc. (NYSE:JWa) (NYSE:JWb), will hold a conference call on March 2, at 10:30 a.m. (ET) to discuss its financial results for the third quarter of fiscal year 2004. The call will include a brief management presentation followed by a question and answer session. To participate in the conference call, please dial the following number approximately ten minutes prior to the scheduled starting time Noun 1. starting time - the time at which something is supposed to begin; "they got an early start"; "she knew from the get-go that he was the man for her" commencement, get-go, offset, outset, showtime, start, kickoff, beginning, first :
(800) 500-3792
International callers may participate by dialing: (719) 457-2734 A replay of the call will be available from 1:30 p.m. (ET) on Tuesday, March 2 through midnight (ET) on Monday, March 8 by dialing (888) 203-1112 or (719) 457-0820 and entering Passcode 730504. A live audio Webcast will be accessible at http://www.wiley.com/go/communications. A replay of the Webcast will be accessible for 14 days afterwards af·ter·ward also af·ter·wards adv. At a later time; subsequently. afterwards or afterward Adverb later [Old English æfterweard] Adv. 1. . About Wiley Founded in 1807, John Wiley & Sons, Inc., provides must-have content and services to customers worldwide. Its core businesses include scientific, technical, and medical journals, encyclopedias This article contains a list of encyclopedias, including projects to create new works. Because the number of works that can be considered encyclopedias is very large, this list does not attempt to be comprehensive. , books, and online products and services; professional and consumer books and subscription services; and educational materials for undergraduate and graduate students and lifelong learners. Wiley has publishing, marketing, and distribution centers in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , Canada, Europe, Asia, and Australia. The Company is listed on the New York Stock Exchange New York Stock Exchange (NYSE) World's largest marketplace for securities. The exchange began as an informal meeting of 24 men in 1792 on what is now Wall Street in New York City. under the symbols JWa and JWb. Wiley's Internet site can be accessed at http://www.wiley.com.
JOHN WILEY & SONS, INC.
SUMMARY OF OPERATIONS
FOR THE THIRD QUARTER AND NINE MONTHS ENDED
JANUARY 31, 2004 AND 2003
(in thousands, except per share amounts)
Third Quarter Ended Nine Months Ended
January 31, January 31,
------------------------- ---------------------------
2004 2003 % Change 2004 2003 % Change
-------- -------- ------- -------- -------- ---------
Revenue $242,357 221,196 10% 690,897 650,641 6%
Costs and
Expenses
Cost of
Sales 81,979 72,674 13% 232,270 218,646 6%
Operating
and Admin-
istrative
Expenses 114,011 109,122 4% 337,350 318,860 6%
Amortization
of
Intangibles 2,517 2,548 -1% 7,382 7,259 2%
Unusual Item
- Relocation
Expenses(A) - - - 2,465
-------- -------- -------- --------
Total Costs
and
Expenses 198,507 184,344 8% 577,002 547,230 5%
-------- -------- -------- --------
Operating
Income 43,850 36,852 19% 113,895 103,411 10%
Operating
Margin 18.1% 16.7% 16.5% 15.9%
Interest
Expense and
Other, Net 1,220 1,373 3,092 5,234
-------- -------- -------- --------
Income Before
Taxes 42,630 35,479 20% 110,803 98,177 13%
Provision for
Income Taxes(B) 11,286 11,259 32,011 19,196
-------- -------- -------- --------
Net Income $ 31,344 24,220 29% 78,792 78,981 0%
======== ======== ======== ========
Income Per
Share
Diluted $ 0.50 0.39 28% 1.25 1.25 0%
Basic $ 0.51 0.39 1.27 1.28
Reconciliation
of Non-GAAP
Pro Forma
Financial
Disclosure
------------
Net Income as
Reported $ 31,344 24,220 78,792 78,981
Relocation
Expense, Net
of Tax (A) - - - 1,479
Tax Benefit (B) (3,019) - (3,019) (12,025)
-------- -------- -------- --------
Pro Forma
Net Income $ 28,325 24,220 17% 75,773 68,435 11%
======== ======== ======== ========
Income Per
Share-Diluted
as Reported $ 0.50 0.39 1.25 1.25
Relocation
Expense, Net
of Tax (A) - - - 0.02
Tax Benefit (B) (0.05) - (0.05) (0.19)
Pro Forma
Income Per
Share
-Diluted $ 0.45 0.39 16% 1.20 1.08 11%
======== ======== ======== ========
Average Shares
Diluted 63,086 62,575 63,069 63,202
Basic 61,823 61,447 61,800 61,505
(A) The Company completed the relocation of its headquarters to
Hoboken, N.J. in the first quarter of fiscal year 2003. An
unusual charge for costs associated with the relocation of
approximately $1.5 million after tax, or $.02 per share, was
reported.
(B) Fiscal year 2003 includes a tax benefit of $12.0 million equal to
$0.19 per diluted share, relating to the step up in the tax basis
of a European subsidiary's assets. The third quarter of fiscal
year 2004 includes a net tax benefit of $3.0 million or $0.05 per
diluted share related to the resolution of certain state and
federal tax matters and an adjustment to accrued foreign taxes.
Note: Management believes the above non-GAAP financial measures,
which exclude the relocation charge and the tax benefits, provide a
meaningful comparison of the Company's year-over-year results. These
measures improve investors' ability to understand the Company's
performance and future expectations. As required by the SEC, the
Company provides the above reconciliation.
JOHN WILEY & SONS, INC.
SEGMENT RESULTS
FOR THE THIRD QUARTER AND NINE MONTHS ENDED
JANUARY 31, 2004 AND 2003
(in thousands, except per share amounts)
Third Quarter Ended
January 31,
---------------------------
2004 2003 % Change
-------- -------- ---------
Revenue
------------------------------------------
US Segment
Professional/Trade $ 84,607 81,808 3%
Scientific, Technical and Medical 42,484 39,680 7%
Higher Education 46,822 43,605 7%
-------- --------
Total US 173,913 165,093 5%
European Segment 58,865 49,794 18%
Asia, Australia & Canada Segment 32,276 27,859 16%
Intersegment Sales Eliminations (22,697) (21,550) 5%
-------- --------
Total Revenue $242,357 221,196 10%
======== ========
Direct Contribution to Profit
------------------------------------------
US Segment
Professional/Trade $ 23,372 24,220 -4%
Scientific, Technical and Medical 19,633 17,188 14%
Higher Education 17,835 15,318 16%
-------- --------
Total US 60,840 56,726 7%
European Segment 18,078 14,996 21%
Asia, Australia & Canada Segment 10,420 7,063 48%
-------- --------
Total Direct Contribution to Profit 89,338 78,785 13%
Shared Services and Administrative Costs
------------------------------------------
Distribution (11,578) (11,651) -1%
Information Technology & Development (12,259) (10,898) 12%
Finance (6,480) (6,799) -5%
Other Administration (15,171) (12,585) 21%
-------- --------
Total Shared Services and Admin. Costs (45,488) (41,933) 8%
Unusual Item - Relocation Expenses (A) - -
-------- --------
Operating Income $ 43,850 36,852 19%
======== ========
Nine Months Ended
January 31,
-----------------------------
2004 2003 % Change
--------- --------- ---------
Revenue
----------------------------------------
US Segment
Professional/Trade 247,282 241,648 2%
Scientific, Technical and Medical 126,885 124,553 2%
Higher Education 132,264 125,095 6%
--------- ---------
Total US 506,431 491,296 3%
European Segment 169,466 152,763 11%
Asia, Australia & Canada Segment 80,749 70,954 14%
Intersegment Sales Eliminations (65,749) (64,372) 2%
--------- ---------
Total Revenue 690,897 650,641 6%
========= =========
Direct Contribution to Profit
----------------------------------------
US Segment
Professional/Trade 66,942 66,004 1%
Scientific, Technical and Medical 60,852 57,905 5%
Higher Education 46,454 42,101 10%
--------- ---------
Total US 174,248 166,010 5%
European Segment 52,730 48,071 10%
Asia, Australia & Canada Segment 20,043 14,725 36%
--------- ---------
Total Direct Contribution to Profit 247,021 228,806 8%
Shared Services and Administrative Costs
----------------------------------------
Distribution (34,430) (34,115) 1%
Information Technology & Development (36,488) (30,085) 21%
Finance (20,720) (20,910) -1%
Other Administration (41,488) (37,820) 10%
--------- ---------
Total Shared Services and Admin. Costs (133,126) (122,930) 8%
Unusual Item - Relocation Expenses (A) - (2,465)
--------- ---------
Operating Income 113,895 103,411 10%
========= =========
(A) The Company completed the relocation of its headquarters to
Hoboken, N.J. in the first quarter of fiscal year 2003. An
unusual charge for costs associated with the relocation of
approximately $1.5 million after tax, or $.02 per share, was
reported.
JOHN WILEY & SONS, INC.
CONDENSED STATEMENTS OF FINANCIAL
POSITION
(in thousands)
January 31,
---------- --------- April 30,
2004 2003 2003
---------- -------- --------
Current Assets
Cash & cash equivalents $ 93,051 31,941 33,241
Accounts receivable 153,818 135,816 110,038
Inventories 81,288 80,545 83,337
Deferred income tax benefit 25,971 33,331 26,028
Other current assets 9,753 14,804 21,181
---------- -------- --------
Total Current Assets 363,881 296,437 273,825
Product Development Assets 60,115 62,107 60,842
Property and Equipment 119,313 109,756 114,870
Goodwill 195,705 193,392 192,186
Intangible Assets 280,714 280,142 280,872
Deferred Income Taxes 3,552 11,410 2,800
Other Assets 22,259 20,459 20,558
---------- -------- --------
Total Assets 1,045,539 973,703 945,953
========== ======== ========
Current Liabilities
Notes Payable & Current portion of
long-term debt - 35,000 35,000
Accounts and royalties payable 100,397 99,106 71,296
Deferred subscription revenues 138,170 126,642 121,373
Accrued income taxes 20,120 21,753 7,953
Accrued pension liability 12,780 1,788 8,271
Other accrued liabilities 58,918 62,395 69,353
---------- -------- --------
Total Current Liabilities 330,385 346,684 313,246
Long-Term Debt 200,000 200,000 200,000
Accrued Pension Liability 51,444 31,488 54,909
Other Long-Term Liabilities 30,631 28,503 28,190
Deferred Income Taxes 6,085 15,004 5,604
Shareholders' Equity 426,994 352,024 344,004
---------- -------- --------
Total Liabilities & Shareholders'
Equity $1,045,539 973,703 945,953
========== ======== ========
Nine Months Ended
January 31,
-----------------
2004 2003
-------- --------
Operating Activities
Net income $ 78,792 78,981
Amortization of intangibles 7,382 7,259
Amortization of composition costs 23,386 22,019
Depreciation of property and equipment 21,072 17,903
Other non-cash items 45,552 27,906
Change in deferred subscription revenue 12,146 2,413
Net change in operating assets and liabilities (14,345) (18,207)
-------- --------
Cash Provided By Operating Activities 173,985 138,274
Investing Activities
Additions to product development assets (41,366) (36,452)
Additions to property and equipment (20,852) (51,476)
Acquisition of publishing assets, net of cash
acquired (3,066) (7,835)
-------- --------
Cash Used for Investing Activities (65,284) (95,763)
Financing Activities
Repayment of long-term debt (35,000) (30,000)
Purchase of treasury shares (7,013) (10,380)
Cash dividends (12,126) (9,259)
Proceeds from exercise of stock options 4,012 1,990
-------- --------
Cash Used for Financing Activities (50,127) (47,649)
Effects of Exchange Rate Changes on Cash 1,236 (2,626)
-------- --------
Increase (Decrease) in Cash and Cash Equivalents for
Period $ 59,810 (7,764)
======== ========
Note: Subscriber receivables for January 31, 2004, January 31, 2003
and April 30, 2003 of $24.6 million; $21.9 million; and $10.0
million, respectively, are netted against Deferred Subscription
Revenue in the Statement of Changes in Financial Position above.
Prior period amounts have been reclassified to conform to the current
period presentation.
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