Pearson Backs Full Year Guidance; 1Q Underlying Revenue +2%

By Anthony O. Goriainoff

Pearson PLC (PSON.LN) on Friday backed its full-year guidance and said that first quarter underlying revenue grew 2% and that its operating performance was on track.

The FTSE 100 education company said it expects to report adjusted operating profit--its preferred metric which strips out exceptional and other one-off items--of between 590 million pounds ($760.8 million) and GBP640 million for 2019 and adjusted earnings per share of 53.5 pence to 59.0 pence based on the exchange rates at Dec 31. This compares with adjusted operating profit of GBP546 million and adjusted EPS of 70.3 pence in 2018.

Pearson had guided for adjusted operating profit of GBP590 million to GBP640 million and adjusted EPS of 56.5 pence to 62.0 pence for 2019.

The company said its net debt at March 31 fell to GBP0.5 billion from GBP0.6 billion the year prior on a pre IFRS 16 basis. On a post IFRS 16 basis, net debt for the first quarter was around GBP1.2 billion.

Chief Executive John Fallon said the board expects sales to stabilize this year and to increase the company's underlying profit further.

Write to Anthony O. Goriainoff at [e-mail]

(END) Dow Jones Newswires

April 26, 2019 02:38 ET (06:38 GMT)

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