Skillsoft (NYSE:SKIL) Issues Earnings Results

Skillsoft (NYSE:SKIL) issued its earnings results on Tuesday. The company reported $1.26 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.27 by ($0.01), FiscalAI reports. Skillsoft had a negative net margin of 26.02% and a positive return on equity of 40.31%. The company had revenue of $130.65 million during the quarter, compared to analysts’ expectations of $130.15 million. During the same period last year, the business posted ($3.75) earnings per share.

Here are the key takeaways from Skillsoft’s conference call:

• Skillsoft says it has completed a strategic shift to an AI‑native skills platform, cutting roughly $45M of costs and reinvesting about half into go‑to‑market and AI product work; the new Percipio platform is generally available (Feb) and has 15 paying customers plus an upgraded CAISY simulation product.
• Management highlighted improved profitability and cash generation — Q4 adjusted EBITDA was $31.2M (23.9% margin) and Q4 free cash flow was $26.5M, with FY26 free cash flow slightly above expectations at $6.5M.
• Revenue and GAAP results were mixed — total Q4 revenue declined 2.3% to $130.7M, Global Knowledge revenue fell ~9.4% to $28M, and GAAP net loss widened to $36.7M mainly from an intangible impairment and restructuring charges.
• FY27 guidance for the TDS segment is $388M–$406M revenue and $108M–$116M adjusted EBITDA (~28%), with $14M–$22M free cash flow excluding GK; management says the guide is conservative given geopolitical/Middle East risks and ongoing weakness in the consumer business while a strategic review of Global Knowledge continues.

Skillsoft Trading Down 14.1%

Shares of SKIL opened at $3.79 on Thursday. The company has a debt-to-equity ratio of 142.97, a current ratio of 0.84 and a quick ratio of 0.84. The firm has a 50 day simple moving average of $5.14 and a 200-day simple moving average of $8.81. Skillsoft has a 1-year low of $3.43 and a 1-year high of $24.01. The stock has a market cap of $33.17 million, a price-to-earnings ratio of -0.24, a price-to-earnings-growth ratio of 0.13 and a beta of 1.74.

Analyst Ratings Changes

A number of research analysts have recently weighed in on SKIL shares. Wall Street Zen cut shares of Skillsoft from a “buy” rating to a “hold” rating in a research note on Saturday, December 13th. Weiss Ratings reissued a “sell (e+)” rating on shares of Skillsoft in a research note on Friday, March 27th. Finally, Zacks Research cut shares of Skillsoft from a “strong-buy” rating to a “hold” rating in a research note on Monday, February 9th. One analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Skillsoft has an average rating of “Reduce”.

Institutional Trading of Skillsoft

A number of hedge funds have recently bought and sold shares of the company. NewEdge Advisors LLC boosted its position in Skillsoft by 374.2% during the fourth quarter. NewEdge Advisors LLC now owns 7,331 shares of the company’s stock worth $68,000 after acquiring an additional 5,785 shares during the last quarter. XTX Topco Ltd acquired a new stake in Skillsoft during the fourth quarter worth approximately $100,000. Engineers Gate Manager LP acquired a new stake in Skillsoft during the fourth quarter worth approximately $125,000. Jump Financial LLC acquired a new stake in Skillsoft during the fourth quarter worth approximately $97,000. Finally, Public Employees Retirement System of Ohio boosted its position in Skillsoft by 330.2% during the fourth quarter. Public Employees Retirement System of Ohio now owns 6,130 shares of the company’s stock worth $57,000 after acquiring an additional 4,705 shares during the last quarter. Institutional investors and hedge funds own 87.00% of the company’s stock.

About Skillsoft

Skillsoft (NYSE: SKIL) is a leading provider of corporate digital learning solutions designed to help organizations develop skills and drive performance. The company offers a range of cloud-based learning platforms and content libraries that cover technical training, leadership development, compliance, and productivity applications. Skillsoft’s flagship platform, Percipio, delivers micro-learning modules, video tutorials, books and audiobooks, hands-on labs and simulations, and practice assessments within a unified interface that can be accessed on desktop or mobile devices.

Skillsoft’s content spans IT certification preparation, software development, cloud computing, cybersecurity, project management, and a variety of professional skills such as communication, management and sales.