Pearson Reports Fiscal 2024 Profit, Dividend Increase Planned

Pearson Plc sees profit growth in fiscal 2024 with earnings per share rising positively. The company has also announced a dividend increase, signaling confidence despite a slight drop in revenue.

Date: 28-02-2025

AI Rating: 7

Earnings Per Share (EPS)
Pearson reported an earnings per share of 63.5 pence, an increase from 52.7 pence the previous year. Adjusted earnings per share also rose to 61.1 pence from 57.7 pence, indicating strong profitability and effective cost management.

Revenue Growth
The total sales for Pearson decreased to 3.55 billion pounds from 3.67 billion pounds, reflecting a slight revenue decline. However, the underlying Group sales growth stood at 3% when excluding certain business segments.

Dividends and Share Buybacks
In terms of shareholder returns, Pearson proposed a final dividend of 16.6 pence, resulting in a total annual dividend of 24.0 pence, marking a 6% increase. Additionally, the company has initiated a share buyback program worth 350 million pounds, showcasing confidence in future performance.

Outlook
Looking ahead, Pearson has projected a positive outlook for fiscal 2025, with expectations for underlying Group sales growth and adjusted operating profit aligning with market expectations. The medium-term guidance suggests mid-single-digit sales growth and sustained margin improvements, indicating proactive measures for long-term stability.

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