On Oct. 19, McGraw-Hill (NYSE:MHP) released third-quarter earnings for the period ended Sept. 30, 2006.

  • Revenues missed analyst estimates by 1.7%, but EPS exceeded analyst estimates by 5.6%.
  • Improved performance by financial services segment, partially offset by lower revenue in the education segment, led to 0.8% growth in revenues.
  • EPS increased by 6 pennies, primarily because of decrease in diluted shares count.

(Figures in millions, except per-share data)

Income Statement Highlights

Avg. Est.

Q3 2006

Q3 2005

Change

Sales

$2,028

$1,993

$1,977

0.8%

Net Profit

--

$382

$381

0.3%

EPS

$1.00

$1.06

$1.00

6%

Diluted Shares

--

361

381

(5.3%)



Get back to basics with a look at the income statement.

Margin Checkup

Q3 2006

Q3 2005

Change*

Operating Margin

30.93%

30.85%

0.08

Net Margin

19.18%

19.29%

(0.11)

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Data not provided.

Learn the ways of the balance sheet.

Cash Flow Highlights

Data not provided.

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Related Companies:

  • Pearson (NYSE:PSO)
  • John Wiley and Sons (NYSE:JW-A)
  • Scholastic (NASDAQ:SCHL)
  • Moody's (NYSE:MCO)
  • FactSet: (NYSE:FDS)

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