Filing Flows › Educational Development (EDUC) › Q3 FY26
Educational Development (EDUC) Q3 FY26 earnings results (third quarter fiscal 2026)
10-Q filed Jan 13, 2026
Educational Development (EDUC) reported revenue of $7.0M for the third quarter fiscal 2026 (Q3 FY26), -37% from a year earlier and +52% from the quarter before. Operating margin was 151.9%, net earnings $7.8M (111.3% of revenue).
Educational Development, Q3 FY26: revenue $7.0M (-37% year over year), operating margin 151.9%, net earnings $7.8M, operating cash flow $2.5M. The chart follows the revenue to costs, profit and cash.
| Q3 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $7.0M | +52% | -37% |
| Gross profit | $4.3M | +60% | -38% |
| Operating profit | $10.6M | — | — |
| Net earnings | $7.8M | — | — |
| Operating cash flow | $2.5M | 40× | -43% |
| Free cash flow | $2.4M | — | -44% |
What changed
Revenue was $7.0M in Q3 FY26, down 37% year over year and up 52% from the previous quarter. Product was the largest line at 95% of revenue. Product lost $3.9M year over year (down 37%), 96% of the total change.
Gross margin was 61.5%, down 1.0 points from a year earlier. Operating profit was $10.6M, a 151.9% margin (up 161.9 points year over year). Net earnings were $7.8M. The effective tax rate was 26.7%.
Operating cash flow was $2.5M (down 43% year over year), 33% of net earnings. Non-cash charges added back $356K of depreciation and amortization. Working capital and other items used $5.6M. Capital expenditures of $138K left free cash flow of $2.4M.
Questions
What was Educational Development's revenue in the third quarter fiscal 2026?
Educational Development (EDUC) reported revenue of $7.0M for the third quarter fiscal 2026 (Q3 FY26), -37% from a year earlier and +52% from the quarter before.
Was Educational Development profitable in the third quarter fiscal 2026?
Operating profit was $10.6M (151.9% of revenue) and net earnings $7.8M.