Graham Holdings (NYSE:GHC) reported on Wednesday a fourth-quarter net profit of $108.7 million, or $24.69 per share, a sharp decline from the $548.8 million recorded in the same period last year.
The Arlington, Virginia-based conglomerate’s results were heavily impacted by the absence of prior-period pension gains and a $47.6 million drop in operating income due to rising costs and segment-specific weaknesses.
On an adjusted basis, excluding non-recurring gains and asset impairments, Graham Holdings earned $11.45 per share.
Total revenue for the quarter edged up slightly to $1.25 billion, compared to $1.24 billion in the fourth quarter of 2024.
The modest top-line growth reflects a balancing act between the company's surging healthcare division and continued structural pressures in its traditional media and automotive businesses.
The healthcare segment remained the primary growth engine, posting a 28% increase in revenue and a 77% jump in operating income for the quarter.
Similarly, the Kaplan education division showed signs of a successful multi-year turnaround; Kaplan reported operating income of $24.6 million, a massive improvement from the $0.1 million break-even results seen in the prior-year period, driven by growth in supplemental education and international programs.
These gains were partially offset by a downturn in television broadcasting, where retransmission revenue continued to soften due to cord-cutting, and the automotive segment, which faced higher inventory costs.
For the full year 2025, Graham Holdings reported total revenue of $4.91 billion and a net profit of $292.3 million, or $66.47 per share.