0001628280-26-028607
SEC filingGraham Holdings delivered a strong quarter with revenue growth of 6% and operating income up 22%, driven by education and healthcare gains, though investment-stage businesses continued to weigh on profitability.
Net income increased 21.8% to $29.1 million, or $6.62 per diluted share, compared to $23.9 million, or $5.45 per diluted share, in the first quarter of 2025. The growth in net income was driven by higher operating income, partially offset by fluctuations in non-operating items. The Company maintains investments in a portfolio of marketable equity securities, which introduces volatility to net income. Changes in operating assets and liabilities were driven by higher purchases of inventory and a significant decrease in interest expense related to the mandatorily redeemable noncontrolling interest, offset by an increase in customer collections.
Looking ahead, Framebridge plans to open additional stores in 2026 and continues to actively explore further store and manufacturing expansion. The Company will continue to assess the fee it records from Purdue Global on a quarterly basis, which may affect future Higher Education results. Management remains focused on investing in growth opportunities while maintaining financial discipline.