Filing Flows › Educational Development (EDUC) › Q2 FY26
Educational Development (EDUC) Q2 FY26 earnings results (second quarter fiscal 2026)
10-Q filed Oct 9, 2025
Educational Development (EDUC) reported revenue of $4.6M for the second quarter fiscal 2026 (Q2 FY26), -29% from a year earlier and -35% from the quarter before. Operating margin was -37.9%, net loss $1.3M (28.0% of revenue).
Educational Development, Q2 FY26: revenue $4.6M (-29% year over year), operating margin -37.9%, net loss $1.3M, operating cash flow $63K. The chart follows the revenue to costs, profit and cash.
| Q2 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $4.6M | -35% | -29% |
| Operating profit | −$1.8M | — | — |
| Net earnings | −$1.3M | — | — |
| Operating cash flow | $63K | -95% | — |
What changed
Revenue was $4.6M in Q2 FY26, down 29% year over year and down 35% from the previous quarter. Product was the largest line at 95% of revenue. Product lost $1.7M year over year (down 28%), 91% of the total change.
Gross margin was 58.2%, up 2.1 points from a year earlier. Operating costs exceeded revenue by $1.8M, an operating margin of -37.9%. Operating expenses fell 27% while revenue fell 29%. The quarter ended with a net loss of $1.3M, wider than the previous quarter's $1.1M loss.
Operating cash flow was $63K. Non-cash charges added back $364K of depreciation and amortization. Working capital and other items added $1.0M. Capital expenditures of $102K exceeded it, leaving free cash flow of −$38K.
Questions
What was Educational Development's revenue in the second quarter fiscal 2026?
Educational Development (EDUC) reported revenue of $4.6M for the second quarter fiscal 2026 (Q2 FY26), -29% from a year earlier and -35% from the quarter before.
Was Educational Development profitable in the second quarter fiscal 2026?
Operating loss was $1.8M (-37.9% of revenue) and net loss $1.3M.