Graham Holdings Company Reports 2025 Financial Results

In 2025, Graham Holdings reported revenue of $4.91 billion, marking a 3% increase from $4.79 billion in 2024. The growth was primarily driven by its education, healthcare, and manufacturing divisions, which partially offset declines in television broadcasting and automotive segments. Operating income rose to $234.9 million from $215.5 million in 2024, although adjusted operating cash flow fell to $407.1 million from $447.0 million.

For the fourth quarter of 2025, revenue stood at $1.25 billion, a slight increase from $1.25 billion in the same period of 2024. However, operating income fell sharply to $47.6 million, down from $72.5 million in the previous year. Excluding impairment charges, the adjusted operating cash flow also saw a decline, dropping to $97.6 million from $139.6 million year-over-year.

The company reported a net income attributable to common shares for 2025 of $292.3 million, translating to $66.47 per share, a notable decrease from $724.6 million, or $163.40 per share, in 2024. For the fourth quarter, net income attributable to common shares was $108.7 million, or $24.69 per share, down sharply from $548.8 million, or $125.55 per share, in the same quarter of the previous year.

The education segment generated $410.1 million in revenue for the fourth quarter, a slight increase from $408.2 million in 2024. Kaplan reported a significant jump in operating income to $24.6 million from just $0.1 million a year ago, driven by improvements in higher education programs. The segment’s overall performance benefited from increased fees from Purdue Global and growth in supplemental education offerings.

In stark contrast, the television broadcasting division saw a revenue decline of 32% to $110.5 million, primarily due to a drop in political advertising and retransmission revenues. Operating income fell 58% to $33.2 million, reflecting the pressures faced by broadcast media in a changing advertising landscape.

The healthcare division, however, reported a robust performance with revenues soaring by 28% to $230.7 million. Operating income surged by 77%, driven by substantial growth in CSI Pharmacy and home health services. Adjusted operating cash flow for healthcare also showed significant improvement, climbing to $36.1 million.

The manufacturing segment reported a 24% revenue increase, largely attributed to the Hoover acquisition. However, operating results were adversely affected by declining performance at Hoover's core business. Conversely, the automotive division faced headwinds with a revenue decrease of 6%, attributed to dealership closures and a slowdown in vehicle sales.

Overall, revenues from other businesses dropped by 2%, influenced by declines in specialty and media segments, while retail revenues experienced modest growth.

In October 2025, Graham Holdings acquired a Honda automotive dealership in Woodbridge, Virginia, which included the real estate for dealership operations. This acquisition is expected to contribute positively to the automotive segment's future performance.

As of December 31, 2025, the company had outstanding borrowings of $880.8 million at an average interest rate of 5.7%, an increase from $748.2 million in 2024. Graham Holdings also reported a pension surplus of $2.77 billion, up from $2.51 billion a year prior.

In 2025, the company repurchased a total of 3,978 shares of its Class B common stock at a cost of $3.5 million. The Board of Directors had previously authorized the acquisition of up to 500,000 shares, with remaining authorization available for 462,482 shares as of the end of 2025.

Graham Holdings Company's financial results for 2025 reflect a complex environment, with some segments thriving while others struggle. The diversification of its business portfolio has provided resilience, though significant challenges remain in broadcasting and automotive. Investors will be keen to observe how the company navigates these challenges in 2026 and beyond.