Filing Flows › Educational Development (EDUC) › Q2 FY27
Educational Development (EDUC) Q2 FY27 earnings results (second quarter fiscal 2027)
10-Q filed Oct 14, 2026
Educational Development (EDUC) reported revenue of $4.1M for the second quarter fiscal 2027 (Q2 FY27), -12% from a year earlier and -14% from the quarter before. Operating margin was -38.4%, net loss $1.6M (38.8% of revenue).
Educational Development, Q2 FY27: revenue $4.1M (-12% year over year), operating margin -38.4%, net loss $1.6M, operating cash flow −$510K. The chart follows the revenue to costs, profit and cash.
| Q2 FY27 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $4.1M | -14% | -12% |
| Operating profit | −$1.6M | — | — |
| Net earnings | −$1.6M | — | — |
| Operating cash flow | −$510K | -190% | -908% |
What changed
Revenue was $4.1M in Q2 FY27, down 12% year over year and down 14% from the previous quarter. Product was the largest line at 96% of revenue. Product lost $505K year over year (down 11%), 92% of the total change.
Gross margin was 59.7%, up 1.6 points from Q2 FY26. Operating costs exceeded revenue by $1.6M, an operating margin of -38.4%. Operating expenses fell 10% while revenue fell 12%. The quarter ended with a net loss of $1.6M, wider than the previous quarter's $1.4M loss.
Operating cash flow was −$510K. Non-cash charges added back $268K of depreciation and amortization. Working capital and other items added $800K. Capital expenditures of $93K exceeded it, leaving free cash flow of −$603K.
Questions
What was Educational Development's revenue in the second quarter fiscal 2027?
Educational Development (EDUC) reported revenue of $4.1M for the second quarter fiscal 2027 (Q2 FY27), -12% from a year earlier and -14% from the quarter before.
Was Educational Development profitable in the second quarter fiscal 2027?
Operating loss was $1.6M (-38.4% of revenue) and net loss $1.6M.