Skillsoft Reports Q2 Earnings with Revenue Decline, Revised Guidance
Skillsoft (SKIL) reported a 3% year-over-year revenue decline in the second quarter of fiscal 2027 to $98.2 million, primarily due to weakness in its consumer segment driven by AI impacting coding-related learning demand. The company posted an improved net loss from continuing operations at $15.0 million compared to $18.0 million a year ago and reported adjusted EBITDA of $33.4 million with a 7% increase, maintaining strong margins at 34%. Free cash flow remained negative but slightly better than the prior year's -$22.6 million. Skillsoft revised its full-year revenue guidance downward to between $380 million and $390 million from an earlier range of $388 million to $406 million, while maintaining adjusted EBITDA and free cash flow targets at $108–$116 million and $14–$22 million respectively. The company is focusing on its AI-native platform capabilities with CAISY learner growth up 23% and a bookings target of $5 million by year-end. Management also highlighted the need to address upcoming debt maturities as their top financial priority.
Tickers: $SKIL
Topics: ebitda free_cash_flow guidance net_loss revenue