On this page of StockholderLetter.com we present the latest annual shareholder letter from Graham Holdings Co — ticker symbol GHC. Reading current and past GHC letters to shareholders can bring important insights into the investment thesis.

 •  3/24/2026 Letter Continued (Full PDF)
 •  3/23/2023 GHC Stockholder Letter
 •  3/26/2024 GHC Stockholder Letter
 •  3/26/2025 GHC Stockholder Letter
 •  More "Education & Training Services" Category Stockholder Letters
 •  GHC Benford's Law Stock Score = 79

GHC Shareholder/Stockholder Letter Transcript:

2025 ANNUAL REPORT

REVENUE BY PRINCIPAL OPERATIONS
EDUCATION
OTHER BUSINESSES
35%
23%
AUTOMOTIVE
7%
17%
HEALTHCARE
MANUFACTURING
9%
9%
BROADCASTING

FINANCIAL HIGHLIGHTS
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
2025
2024
CHANGE
Operating revenues
$4,911,563
$4,790,904
3%
Income from operations
$ 234,947

9%
Net income attributable to common shares
$ 292,291
$ 724,634
(60%)
Diluted earnings per common share

66.47

163.40
(59%)
Dividends per common share

7.20

6.88
5%
Common stockholders    equity per share
$ 1,099.31

982.54
12%
4,405
(1%)
Diluted average number of common shares outstanding
OPERATING REVENUES ($ in millions)
2025
4,373
215,504
INCOME FROM OPERATIONS ($ in millions)
4,912
2025
235
2024
4,791
2024
216
2023
4,415
2023
69
2022
3,924
2022
84
2021
3,186
2021
77
ADJUSTED OPERATING CASH FLOW (1) ($ in millions)
NET INCOME ATTRIBUTABLE TO COMMON SHARES ($ in millions)
2025
407
2025
2024
447
2024
725
2023
338
2023
205
2022
378
2022
67
2021
263
2021
352
292
RETURN ON AVERAGE COMMON STOCKHOLDERS    EQUITY
DILUTED EARNINGS PER COMMON SHARE ($)
2025
6.5%
2025
66.47
2024
17.6%
2024
163.40
2023
5.3%
2023
43.82
2022
1.7%
2022
13. 79
2021
8.6%
2021
70.45
(1)
Adjusted Operating Cash Flow (non-GAAP)
(IN THOUSANDS)
Operating Income
$234,947
2024
2023
2022
2021
$215,504 $ 69,393
$ 83,898
$ 77,375
90,810
Add: Amortization of Intangible Assets and Impairment
of Goodwill and Other Long-Lived Assets
44,375
86,94 1
149,105
187,841
Add: Depreciation Expense
80,366
87,046
86,064
73,297
71,415
Add: Pension Service Cost
47,400
57,538
33,787
32,567
22,991
$447,029 $338,349
$377,603
$262,591
Adjusted Operating Cash Flow (non-GAAP)
(1)
2025
$407,088
Adjusted Operating Cash Flow (non-GAAP) is calculated as Operating Income excluding Amortization of Intangible Assets and
Impairment of Goodwill and Other Long-Lived Assets plus Depreciation Expense and Pension Service Cost.

TO OUR SHAREHOLDERS
2025
Q 
We hired Dee Grein as the new CEO of
Graham Healthcare Group, our home health
and hospice business.
Q 
We opened 13 new Framebridge stores, a
new Framebridge production studio, and
expanded the plant at Joyce/Dayton, our
U.S.-based linear motion manufacturer.
Q 
We generated $407 million in adjusted
operating cash    ow and spent $80 million
on capital expenditures.
As the great Jim Lehrer once said,    There are
very few really stark black and white stories.   
So goes the narrative to describe the operations
of a holding company. In a world that sometimes requests or even demands explanation
in pithy soundbites or 140 characters, this is a
challenge. At a company like Graham Holdings,
it   s impossible to neatly sum up a year; our
diversity in business model and sector virtually
guarantees our businesses will have different
degrees of success in any given year.
Thankfully, if most things go well most of the
time, particularly at our larger operations, the
end results can be quite good, which was the
case in 2025.
So what did we do this year?
Q 
In Q1, we acquired a large chunk of CSI
Pharmacy for $205 million. At the end of
2025, our ownership stood at 87.5%.
Q 
We re   nanced $400 million of bonds due in
Q2 of 2026 with $500 million of new bonds.
The Company also extended and increased
its revolving credit facility.
Q 
We acquired the now renamed Hoover
Architectural Solutions from Arconic. As
part of the transaction, we assumed $108
million of pension liabilities from the seller.
Q 
In Q4, we acquired a Honda dealership and
associated property in Woodbridge, Virginia.
This dealership is contiguous to two existing
rooftops we previously owned in Woodbridge.
Perhaps most importantly, we continued to
evaluate opportunities with the same approach
and care that we have applied for decades.
Last year, we found very few places to spend
capital outside of our current operations. When
compared to internal initiatives driven by our
managers, very little won. Instead, we grew
value by letting our managers continue to
spend their time improving the operating and
   nancial results of our businesses.
Our adjusted operating cash    ow generation
was down from 2024 to 2025, decreasing
from $447 million to $407 million. This was
anticipated, as we went from an election year
to a non-election year, with the corresponding decline in political advertising spend. The
$90 million decline at Graham Media Group
was partially offset by improved results at
most of our other businesses. Let   s look at this
more closely. The table below shows Adjusted
Operating Cash Flow for the last    ve years for
Graham Media Group, the operating businesses
excluding Graham Media Group, corporate
expenses, and the Company in total.
(1)
Adjusted Operating Cash Flow (non-GAAP)
(IN MILLIONS)
2021
2022
2023
2024
Graham Media Group
Ex-GMG and Corporate
Corporate Office
$ 172.5
$ 142.1
$ (51.9)
$223.2
$204.1
$ (49.7)
$154.9
$234.6
$ (51.2)
$223.8
$277.7
$ (54.5)
$ 1 33.9
$ 336.8
$ (63.6)
(6. 1 %)
24. 1 %
5.2%
Total
$262.6
$377.6
$338.3
$447.0
$407.1
11.6%
(1)
2025
4-Year CAGR
Adjusted Operating Cash Flow (non-GAAP) is calculated as Operating Income excluding Amortization of Intangible Assets and
Impairment of Goodwill and Other Long-Lived Assets plus Depreciation Expense and Pension Service Cost. Refer to the non-GAAP
reconciliation on page 5. Totals may not foot due to rounding.
2 | GRAHAM HOLDINGS

grew value by letting our managers continue to spend
    We
their time improving the operating and    nancial results of
our businesses.

perseverance of Andy Rosen, Matt Seelye,
Melissa Mack, David Jones, Greg Marino, and
all of the Kaplan leadership who stuck out a
tumultuous time period, turned around the
operations of the business, and showed what
it means to lead in both good times and bad.
Kaplan sits here with a bright future thanks to
their efforts.
Obviously, the Company has grown its nonGMG businesses at a mouth-watering rate.
Don   t get used to it. (Although I would enjoy
2030   s non-GMG adjusted operating cash
   ow if these trends were to continue. If you   re
looking to get your heart racing, I   d recommend doing the math.) It would be highly
improbable to sustain that rate of growth
over any extended period of time, although
we are working to build out the Company
for continued growth. One may reasonably
deduce that even if current trends abate
somewhat, we may soon see an even to odd
year increase in adjusted operating cash    ow.
In 2025, both Kaplan International and Kaplan
North America had good results. At Kaplan
International, visa and immigration challenges
persist, but the business continues to bene   t
from the core value proposition of helping a
rising global middle class access further educational opportunity. This is a powerful societal
motivator and, when coupled with our ability
to adapt, has allowed the business to continue
to produce good results. We expect this more
complex immigration period may persist for
The results were led by Kaplan, which reclaimed
the throne as the largest generator of adjusted
free cash    ow (includes capital expenditures)
for the business for the    rst time since 2011.
This is a real testament to the hard work and
(1)
Adjusted Operating Cash Flow (non-GAAP)
(IN THOUSANDS)
Other
Total
Healthcare Healthcare
Supplemental
Higher
Education Education
$53,234
$ 42,735
$95,969
$56,4 10
44,375
80,366
47,400
150
829

1,305
6,474
9,984
1,455
7,303
9,984

1,425
7,394
$407,088
$54,213
$60,498
$114,711
$215,504
$39,090
$11,795
86,94 1
87,046
57,538
133
586

$447,029
$39,809
Total
Company
CSI
$234,947
Total
Kaplan
North
America
Kaplan
International
2025
Operating Income
Add: Amortization of Intangible Assets and
Impairment of Goodwill and Other LongLived Assets
Add: Depreciation Expense
Add: Pension Service Cost
Adjusted Operating
Cash Flow (non-GAAP)
$33,392 $ 89,802

2,87 1
7,7 1 8
$113,402

4,296
15, 1 1 2

25,154
571
$65,229
$43,98 1 $109,210
$139,127
$50,885
$40,750
$26,934 $ 67,684
$101,699
1,378
6,273
19,303
1,511
6,859
19,303

2,825
7,620
$38,749
$78,558
$5 1 ,195
2024
Operating Income
Add: Amortization of Intangible Assets and
Impairment of Goodwill and Other LongLived Assets
Add: Depreciation Expense
Add: Pension Service Cost
Adjusted Operating
Cash Flow (non-GAAP)

3,487
7,848

6,3 1 2
15,468

28,683
704
$38,269 $ 89,464
$131,086
(1)
Adjusted Operating Cash Flow (non-GAAP) is calculated as Operating Income excluding Amortization of Intangible Assets and
Impairment of Goodwill and Other Long-Lived Assets plus Depreciation Expense and Pension Service Cost.
2025 ANNUAL REPORT | 3

3/24/2026 Letter Continued (Full PDF)

 

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