Monitor the next quarter for continued Brand Partner growth and whether the cost savings materialize to narrow losses. The sequential improvement in active partners is the only positive signal, but revenue must stabilize before the stock can find a floor.
Price Chart
Executive Summary
Educational Development Corp reported fiscal Q2 2027 results with net revenues declining 11.9% YoY to $4.1M and a net loss of $(1.6)M, wider than the prior year's $(1.3)M loss. The company continues to lose money on shrinking revenue, though management highlighted a 19% sequential increase in active Brand Partners and a cost reduction plan expected to save $1.2M annually.
Key Financial Metrics
Key Facts
- Q2 net revenues fell to $4.1M from $4.6M YoY, an 11.9% decline
- Net loss widened to $(1.6)M from $(1.3)M YoY
- Loss per share was $(0.19) vs $(0.15) in the prior year quarter
- Average active PaperPie Brand Partners declined to 5,100 from 5,800 YoY, but up 19% sequentially from 4,300
- Cash position decreased slightly to $1.2M from $1.3M at fiscal year-end
- Cost reduction plan expected to reduce G&A by over $1.2M for the fiscal year
- Deferred tax asset of ~$0.28 per share not yet realizable
Financial Impact
Net loss of $(1.6)M on $4.1M revenue; revenue down ~$0.5M YoY
Risk Factors
- Revenue continues to decline YoY with no clear inflection point
- Cash burn persists with only $1.2M on hand, raising going-concern risk if losses don't narrow
- Deferred tax asset realization depends on return to profitability, which is uncertain
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001185185-26-004750 |
| Document: educ8k101426.htm | 0001185185-26-004750 |
| Document: 0001185185-26-004750-index-headers.html | 0001185185-26-004750 |
| Document: 0001185185-26-004750-index.html | 0001185185-26-004750 |
| Document: 0001185185-26-004750.txt | 0001185185-26-004750 |
| 8-K Data (Synthetic) | 0001185185-26-004750 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 14, 2026 12d ago | 8-K | $1.09 $1.04 | ▲ +4.59% | ▲ +3.48% | $1.02 (+6.42%) |
Sep 9, 2026 6w ago | 8-K | $1.31 $1.31 | · 0.00% | ▼ −0.85% | $1.02 (−22.14%) |
Jul 9, 2026 15w ago | 8-K | $1.52 $1.48 | ▲ +2.63% | ▲ +1.87% | $1.02 (+32.89%) |
Jun 16, 2026 18w ago | 8-K | $1.45 $1.49 | ▲ +2.76% | ▲ +1.98% | $1.02 (−29.66%) |
May 28, 2026 21w ago | DEFA14A | $1.46 $1.46 | · 0.00% | ▼ −0.28% | $1.02 (−30.14%) |
May 19, 2026 22w ago | 8-K | $1.44 $1.41 | ▲ +2.08% | ▲ +2.28% | $1.02 (+29.17%) |
US Market Status
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