Income statement, balance sheet and cash flow statement for the last 3 fiscal years, taken from the XBRL data McGraw Hill, Inc. files with the SEC in its annual reports.
In USD millions, except per-share amounts. Outflows in the cash flow statement are negative.
Income statement
FY2024
FY2026
FY2026
Revenue
1,960
2,101
2,103
Cost of revenue
420
422
401
Gross profit
1,540
1,679
1,702
Research and development
263
284
276
Selling and marketing
374
380
379
General and administrative
332
345
369
Operating expenses
1,385
1,372
1,425
Operating income
155
307
277
Pre-tax income
-168
10.6
43.8
Income tax
25.3
96.5
8.47
Net income
-193
-85.8
35.3
EBITDA
522
669
639
EPS, basic
-1.16
-0.52
0.19
EPS, diluted
-1.16
-0.52
0.19
Shares, basic (weighted)
167
167
183
Shares, diluted (weighted)
167
167
184
Balance sheet
FY2024
FY2026
FY2026
Cash and equivalents
204
390
254
Receivables
338
362
Inventory
174
195
Other current assets
42.7
42.6
Total current assets
1,053
974
Property, plant and equipment
95.2
90.4
Lease right-of-use assets
49.7
44.8
Goodwill
2,558
2,558
2,523
Other non-current assets
318
332
Total assets
5,758
5,486
Accounts payable
147
127
Accrued liabilities
125
108
Deferred revenue
794
835
Short-term debt
13.2
13.2
Total current liabilities
1,330
1,267
Long-term debt
3,165
2,561
Lease liabilities
64.7
57.3
Other non-current liabilities
20
23.5
Total liabilities
5,478
4,759
Total debt
3,165
2,561
Paid-in capital
1,562
1,973
Retained earnings
-1,281
-1,246
Other comprehensive income
-2.43
-2.52
Shareholders' equity
369
280
726
Total equity
369
280
726
Total liabilities and equity
5,758
5,486
Shares outstanding
0
191
Cash flow statement
FY2024
FY2026
FY2026
Net income
-193
-85.8
35.3
Depreciation and amortization
366
362
362
Stock-based compensation
0
0
33.7
Deferred income tax
-30.4
-1.47
-1.06
Change in receivables
-42.8
-12.5
-22.9
Change in inventory
-0.78
26.3
-29.5
Change in payables
-46.8
85.5
-21.3
Cash from operations
236
646
331
Capital expenditures
-82
-71.1
-84.9
Cash from investing
-136
-167
-204
Stock issued
0
0
1.5
Cash from financing
-77.2
-295
-265
Net change in cash
22.1
186
-136
Free cash flow
154
575
246
Interest paid
333
275
208
Income taxes paid
43.8
46.9
76.6
Key metrics
Worked out from the statements above. Latest values use the trailing twelve months to September 30, 2026; growth uses fiscal years. Valuation uses the share price of $10.76 on November 10, 2026.
Profitability
Metric
Value
How it is calculated
Gross margin
81.7%
Gross profit / revenue.
Operating margin
13.4%
Operating income / revenue.
EBITDA margin
30.9%
EBITDA (operating income + depreciation and amortization) / revenue.
Pre-tax margin
4.0%
Pre-tax income / revenue.
Net margin
3.5%
Net income / revenue.
FCF margin
12.3%
Free cash flow (cash from operations - capital expenditures) / revenue.
Operating cash flow margin
17.0%
Cash from operations / revenue.
Effective tax rate
11.8%
Income tax / pre-tax income, when pre-tax income is positive.
Return on equity (ROE)
8.4%
Net income / average shareholders' equity (opening and closing). Not shown when equity is negative.
Return on assets (ROA)
1.3%
Net income / average total assets.
Return on invested capital (ROIC)
7.8%
Approximation: operating income x (1 - tax rate) / average (total debt + equity - cash). Tax rate is the effective rate when between 0% and 50%, else 21%.
R&D / revenue
13.0%
Research and development expense / revenue.
Stock-based pay / revenue
0.4%
Stock-based compensation (from the cash flow statement) / revenue.
Capex / revenue
4.6%
Capital expenditures / revenue.
D&A / revenue
17.5%
Depreciation and amortization / revenue.
Growth
Metric
Value
How it is calculated
Revenue growth, 1y
0.1%
Revenue vs the same period a year earlier. Only from a positive base.
Gross profit growth, 1y
1.3%
Gross profit vs the same period a year earlier. Only from a positive base.
Operating income growth, 1y
-9.8%
Operating income vs the same period a year earlier. Only from a positive base.
EBITDA growth, 1y
-4.6%
EBITDA vs the same period a year earlier. Only from a positive base.
Operating cash flow growth, 1y
-48.8%
Operating cash flow vs the same period a year earlier. Only from a positive base.
Free cash flow growth, 1y
-57.2%
Free cash flow vs the same period a year earlier. Only from a positive base.
Book value growth, 1y
159.1%
Book value vs the same period a year earlier. Only from a positive base.
Total assets growth, 1y
-4.7%
Total assets vs the same period a year earlier. Only from a positive base.
Share count change, 1y
10.2%
Change in diluted weighted shares vs a year earlier. Negative means buybacks shrank the share count; positive means dilution.
Balance sheet health
Metric
Value
How it is calculated
Current ratio
0.86x
Current assets / current liabilities.
Quick ratio
0.62x
(Cash + short-term investments + receivables) / current liabilities.
Cash ratio
0.17x
(Cash + short-term investments) / current liabilities.
Debt / equity
2.87x
Total debt / shareholders' equity. Not shown when equity is negative.
Debt / assets
44.0%
Total debt / total assets.
Liabilities / assets
84.6%
Total liabilities / total assets.
Net debt
$2.28B
Total debt - cash - short-term investments. Negative means more cash than debt.
Net debt / EBITDA
3.55x
Net debt / EBITDA (twelve months), when EBITDA is positive.
Days inventory + days sales outstanding - days payables.
FCF conversion
347.3%
Free cash flow / net income, when net income is positive.
Capex / operating cash flow
27.4%
Capital expenditures / cash from operations, when that is positive.
Per share
Metric
Value
How it is calculated
EPS, diluted
$0.39
Net income per diluted share, as reported (split-adjusted). Over the last twelve months: the four quarters summed, or net income / latest diluted shares when a quarter has no reported EPS.
Revenue per share
$10.86
Revenue / diluted weighted shares.
FCF per share
$1.34
Free cash flow / diluted weighted shares.
Operating cash flow per share
$1.84
Cash from operations / diluted weighted shares.
Book value per share
$4.58
Shareholders' equity / shares outstanding (diluted weighted shares when not reported).
Market cap + total debt - cash - short-term investments.
P/E
27.9x
Market cap / net income. Only when net income is positive.
P/S
0.99x
Market cap / revenue.
P/B
2.35x
Market cap / shareholders' equity. Only when equity is positive.
P/FCF
8.03x
Market cap / free cash flow. Only when free cash flow is positive.
P/OCF
5.83x
Market cap / cash from operations, when positive.
EV/Sales
2.09x
Enterprise value / revenue.
EV/EBIT
15.5x
Enterprise value / operating income, when both are positive.
EV/EBITDA
6.75x
Enterprise value / EBITDA, when both are positive.
EV/FCF
16.9x
Enterprise value / free cash flow, when both are positive.
FCF yield
12.4%
Free cash flow / market cap.
Earnings yield
3.6%
Net income / market cap (the inverse of P/E).
What was McGraw Hill, Inc.'s revenue in fiscal 2026?
McGraw Hill, Inc. reported revenue of $2.10B for fiscal 2026, 0.1% higher than the year before.
Was McGraw Hill, Inc. profitable in fiscal 2026?
Yes. Net income was $35.3M, a net margin of 1.7%.
How much free cash flow did McGraw Hill, Inc. generate in fiscal 2026?
Cash from operations of $331.2M minus capital expenditures of $84.9M left free cash flow of $246.3M.
Source: SEC EDGAR XBRL company facts. Where a company tags only year-to-date figures, quarters are worked out as differences. Where a line is not tagged it is left empty, never estimated.