Scholastic’s QQ2 2025 results reflect a mixed but constructive positioning as the company navigates timing-driven publishing schedules and ongoing investments in growth initiatives. Revenue totaled $544.6 million, down 3% year-over-year primarily due to timing factors in Trade Publishing and School Reading events, yet delivery improved meaningfully quarter-over-quarter after a lighter prior-year comparator, underscoring the second-half cadence supported by key releases and fair-value initiatives. Gross margin remained strong at 58.0%, with an operating margin of 13.7% and EBITDA of $94.4 million (margin ~17.3%), delivering a net income of $48.8 million and diluted EPS of $1.71–$1.73. The quarter featured a meaningful contribution from Scholastic Entertainment post 9 Story acquisition, a substantial uplift in Book Fairs activity, and ongoing progress in Education Solutions with two new digital literacy programs in final development for 2025–26. Management reaffirmed fiscal 2025 guidance, signaling a disciplined path to growth through cost actions, balance-sheet strength, and selective capital deployment. The company also outlined strategic priorities—expanding direct-to-consumer channels, strengthening state and community partnerships, and accelerating IP-driven content across book and screen—to build durable franchises. Overall, the QQ2 performance supports a constructive investment narrative anchored in content-driven growth, monetization of new platforms (YouTube and digital distribution), and leverageable synergies from the 9 Story integration, with a cautious but favorable view on the trajectory into 2025–26.