VALU earnings analysis
What we found in VALU's 10-K: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Value Line produced higher FY2026 earnings despite continued erosion in its core Publishing segment: total publishing revenue fell 4.7% to $33.447 million and operating income fell 32.6% to $4.031 million. Higher EAM interest income, nearly doubled investment gains, and a rising dividend supported net income growth to $21.630 million, but a 20.4% decline in Value Line Fund AUM and sustained subscriber/copyright pressure temper the outlook. Strategy remains centered on proprietary investment research, digital products, institutional/professional distribution, and licensing the Value Line ranks and trademarks.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Net income and EPS reached three-year highs
- FY2026 net income increased 4.6% to $21.630 million and diluted EPS increased 4.8% to $2.30, extending growth from $19.016 million and $2.02 in FY2024. The gain was supported by investment gains of $6.428 million, up 98.5%.
- EAM cash-flow interests remained resilient
- EAM-derived income grew 3.6% to $18.970 million in FY2026, after increasing 37.9% in FY2025. Value Line is contractually entitled to 41%-55% of EAM revenue excluding distribution revenue and 50% of residual profits.
- Digital strategy focuses on professional mix
- Digital circulation rose 0.8% in FY2026, with professional customers offsetting retail weakness; management says higher-price, higher-profit publications remained strong. The product roadmap emphasizes competitive digital products marketed through traditional and digital channels.
- Strong liquidity and no planned borrowing
- Cash and short-term securities increased to $86.466 million from $77.391 million, while working capital rose to $66.389 million from $56.230 million. Management does not anticipate borrowings in the next 12 months.
- Dividend raised and repurchase capacity renewed
- Shareholder returns increased: FY2026 dividends paid were $12.226 million versus $11.303 million in FY2025, and the quarterly dividend was raised to $0.35 per share. The board also restored buyback capacity to $2.0 million on July 17, 2026.
- Buybacks accelerated in FY2026
- Value Line repurchased 24,810 shares for $928,000 in FY2026, versus 11,480 shares for $453,000 in FY2025; average shares outstanding declined to 9.399 million from 9.417 million.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Core publishing and copyright revenue still contracting
- Publishing revenue declined for a second consecutive year, falling 4.7% to $33.447 million in FY2026 after a 6.4% decline in FY2025. Copyright fees fell 7.8% to $9.590 million, following a 13.8% decline in FY2025, while unearned subscription revenue declined 5.6% to $21.039 million.
- AUM outflows threaten future EAM-linked income
- Value Line Fund AUM dropped 20.4% to $3.723 billion from $4.676 billion, as equity-fund redemptions reached $1.908 billion versus $662 million of sales/inflows. The Core Bond Fund was liquidated on November 24, 2025, leaving equity and hybrid funds at 100% of AUM.
- Material single-customer concentration persists
- A single customer represented 28.7% of FY2026 publishing revenue, or roughly $9.6 million of the $33.447 million total. Although down from 29.6% in FY2025, loss or reduced spending by this customer could materially reduce cash flow.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $2.3
- Gross margin
- 100.0%
- Operating margin
- 12.1%
- Segment
- Publishing (sole reportable segment): $33.447 million revenue in FY2026, down 4.7%
- Segment
- Investment periodicals and related publications: $23.857 million, down 3.3%
- Segment
- Copyright fees: $9.590 million, down 7.8%
- Segment
- EAM non-voting revenue and profit interests (unconsolidated/non-operating): $18.970 million, up 3.6%
What they said about what is next.
The 10-K provides no company-specific quantitative FY2027 revenue or EPS outlook. Management cites a midpoint consensus forecast for U.S. real GDP growth of 2.5%-3.1% in calendar 2026, but this is macro commentary rather than company guidance.
The filing reads about the same as the one before it.
What came before.
- 10-Q · March 17, 2026
- Value Line, Inc. reported a solid performance in its Q3 2026 results with a 14.5% increase in net income to $5.91 million and earnings per share rising to $0.63. While overall revenues experienced a decline of 7.7% in…
- 10-Q · December 15, 2025
- In Q2 2025, Value Line, Inc. reported total revenues of $8.556 million, a decrease of 3.2% year-over-year, while net income remained stable at $5.682 million and earnings per share (EPS) was $0.60. Although operating…
- 10-Q · September 15, 2025
- Value Line, Inc. reported a YoY net income increase of 9.7% to $6.46 million, with EPS rising to $0.69. Revenue decreased by 3.1% compared to the same period last year, driven by a decline in publishing revenues,…
- 10-K · July 29, 2025
- Value Line's 2025 10-K highlights a challenging year impacted by declining revenues and increased competition in the publishing sector. Net income increased by 8.8% to $20.7 million, with total revenues at $35.08…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
Read the next one first.
We read every filing VALU makes the day it lands, and put it next to what the options market did about it. Members get both, and an alert when a filing arrives.
Cancel anytime · Month to month · Switch tiers whenever