Pearson Not Looking at Acquisitions as Streamlining Continues -CFO
July 26 2019 - 10:43AM
Dow Jones News
By Adria Calatayud
Pearson PLC (PSON.LN) still has work do to streamline its
operations and isn't at a stage of considering acquisitions, Chief
Financial Officer Coram Williams said Friday in an interview with
Dow Jones Newswires.
Mr. Williams's comments came after the London-based education
company posted a set of first-half results that topped analysts'
expectations and raised its adjusted earnings per share guidance
for the full year, sending Pearson shares up nearly 6% in afternoon
trade.
The company's simplification program, which targets cost savings
of 330 million pounds ($411.6 million) by the end of 2019, is
coming to an end, Mr. Williams said. The plan has allowed Pearson
to invest in its digital operations, he said.
Pearson last week said it will shift toward a "digital first"
model, and away from print, in its U.S. higher-education publishing
operations. This will result in further savings in the short term
as it will reduce the cost of developing content, Mr. Williams
said.
Mr. Williams said Friday the company will also launch a
consumer-facing app called Aida for mathematics learning in the
fourth quarter.
Pearson's CFO said the company feels confident as it enters the
second half of the year, as its areas of structural growth--virtual
universities, virtual schools, professional certification and
English tests--are gaining momentum while pressures on the rest of
the business are abating.
Write to Adria Calatayud at
adria.calatayudvaello@dowjones.com
(END) Dow Jones Newswires
July 26, 2019 10:28 ET (14:28 GMT)
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