# Pearson Narrows 2026 Adjusted Operating Profit Range to £650 Million to £675 Million

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/38254
Published: 2026-10-22T19:21:37.000Z
Updated: 2026-10-22T19:21:37.000Z
Section: Business

> Underlying revenue grew 5% in the nine months ended Sept. 30, while Pearson kept its full-year growth and free cash flow conversion outlook unchanged.

Pearson narrowed its 2026 adjusted operating profit range after third-quarter underlying revenue growth accelerated to 6%, while keeping its full-year growth and cash-conversion targets unchanged.

Underlying revenue advanced 5% in the nine months ended Sept. 30, 2026, compared with the same span in 2025. Third-quarter growth was 6% year over year. Pearson’s underlying measure excludes currency movements and portfolio changes. The revised adjusted operating profit range is £650 million to £675 million, compared with £640 million to £685 million previously, using end-2025 exchange rates of £1 to $1.35. The new range is £25 million wide, versus £45 million before, while its calculated midpoint remains £662.5 million.

Assessment & Qualifications revenue grew 4% over nine months and 10% in the third quarter. Virtual Learning increased 17% for the nine-month period and 13% in the quarter. Higher Education rose 2% in both periods. Enterprise Learning & Skills gained 7% over nine months and 6% in the quarter, while English Language Learning declined 4% and 5%, respectively. Each rate compares with the equivalent period a year earlier.

New contracts and demand for verification of AI skills supported the acceleration in Assessment & Qualifications. Fall enrollment in Virtual Learning for the 2026-27 academic year was up 8%. Among the listed segments, Virtual Learning had the strongest nine-month growth, while English Language Learning contracted in both periods.

Pearson maintained its full-year outlook for mid-single-digit underlying revenue growth and free cash flow conversion of 90% to 100%. The adjusted operating profit forecast includes lower 2026 amortization following a £87 million noncash impairment of legacy product-development assets in 2025.

Pearson also agreed to acquire Workera, with the transaction expected to close before year-end. Its new operating structure, organized into four customer-focused business units, is scheduled to take effect Jan. 1, 2027. The company expects about £50 million in one-time reorganization costs across 2026 and 2027; those costs are excluded from adjusted operating profit.