On the surface, January’s Q3 statement had plenty to cheer. Due to its aggressive cost saving plans, Pearson confirmed it was set to deliver adjusted operating profit of £540 million to £545 million, at the mid-to-upper end of its previous £520 million to £560 million guidance. However, total underlying revenues fell 1%, the main issue being a 5% drop in its US Higher Education Courseware division, a worry given it makes up just shy of a quarter of the company’s overall sales.

In terms of Friday’s full year results, investors will be on the lookout for any change in its full year forecasts. Pearson is expecting adjusted operating profit of between £590 million to £640 million, alongside a 0% to 5% drop in US HECW revenue. Read what analysts at Spreadex have to say, or watch a 60 second preview, here: https://spreadex.com/?tid=387272

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