McGraw Hill Reaffirms FY2027 Revenue of $2.115 billion-$2.175 billion After Q2 Sales Fell 5.5%

McGraw Hill reaffirmed fiscal 2027 revenue guidance of $2.115 billion to $2.175 billion and adjusted EBITDA of $750 million to $790 million on November 6, after second quarter revenue fell 5.5% year-over-year to $632 million. The guidance was restated on the company's earnings call, Seeking Alpha reported.

McGraw Hill's Q2 Results And FY2028 Targets

McGraw Hill is a digital learning company serving PreK-12 schools, higher education institutions and medical students across more than 100 countries through curriculum, adaptive learning platforms and AI tutoring tools. Chief financial officer Robert Sallmann said first half revenue was $1.2 billion, a decline of 1.9% from the prior year, and that recurring revenue was $414 million in the quarter. Adjusted EBITDA for the quarter was $251 million, which TradingView put at a 12.5% decline.

Sallmann said the company expects recurring revenue of $1.587 billion to $1.627 billion for fiscal 2027 and about $400 million of unlevered free cash flow. Higher education revenue was $213 million in the quarter, while K-12 revenue was $325 million. McGraw Hill executed another $50 million of voluntary term loan paydown, and Sallmann said net leverage stands at 3.2x.

Chief executive Philip Moyer said the company is among the first major education companies with a Copilot plugin and among the first major K-12 core curriculum providers to make proprietary content available through Anthropic's Claude for Teachers. "Anyone that uses our MCP interface, first and foremost, must have a license to our content," Moyer said. He said the goal is to have fully formed business models with each scenario by fiscal 2028.

McGraw Hill's AI And K-12 Partnership Record

According to akta.pro company records, McGraw Hill launched the Learning Coach conversational AI tutor and a 38-language translation tool within its Connect Higher Education platform in April 2026. In March 2026, McGraw Hill and Renaissance launched a nationwide K-12 data integration linking Renaissance Star Assessments with McGraw Hill math and literacy curricula for back-to-school 2026. The same records show McGraw Hill and T-Mobile announced a collaboration to provide school districts with 5G-enabled devices preloaded with McGraw Hill personalized learning platforms.

McGraw Hill's California And Fiscal 2028 Timeline

Moyer said California's list publication was expected in the January time period, after the company scored 211 out of 212 on Colorado's rubric. Sallmann said leading indicators in K-12 reinforce expectations of meaningful acceleration in fiscal 2028, supported by the upcoming ELA super-cycle.