Company: GHC
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0000104889-25-000032
Chunk: 26

Company: Graham Holdings Co
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 1
Chunk 26
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 proceedings and are defendants in various civil lawsuits that have arisen in the ordinary course of their businesses, including contract disputes; actions alleging negligence, libel, defamation and invasion of privacy; trademark, copyright and patent infringement; real estate lease and sublease disputes; violations of employment laws and applicable wage and hour laws; and statutory or common law claims involving current and former students and employees. Although the outcomes of the legal claims and proceedings against the Company cannot be predicted with certainty, based on currently available information, management believes that there are no existing claims or proceedings that are likely to have a material effect on the Company’s business, financial condition, results of operations or cash flows. However, based on currently available information, management believes it is reasonably possible that future losses from existing and threatened legal, regulatory and other proceedings in excess of the amounts recorded could reach approximately $10 million.

15.    BUSINESS SEGMENTS

The Company has seven reportable segments: Kaplan International, Kaplan Higher Education, Kaplan Supplemental Education, Television Broadcasting, Manufacturing, Healthcare and Automotive.As of March 31, 2025, Kaplan had a total outstanding accounts receivable balance of $104.0 million from Purdue Global related to amounts due for reimbursements for services, fees earned and a deferred fee. Included in this total, Kaplan has a $19.7 million long-term receivable balance due from Purdue Global at March 31, 2025, related to the advance of $20.0 million during the initial KU Transaction.

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Company information broken down by operating segment and education division:Three Months Ended March 31, 2025(in thousands)EducationTelevision BroadcastingManufacturingHealthcareAutomotiveTotal SegmentsOperating Revenues$424,731 $103,554 $98,005 $173,741 $280,991 $1,081,022 Reconciliation of RevenueOther Businesses and Corporate Office Revenues (1)85,517 Intersegment Elimination(624)Total Consolidated Revenues$1,165,915 Less: Significant Expenses (2)Cost of Revenue (3)166,087 69,737 100,115 240,307 576,246 Payroll and Fringe Benefits Expense (4)113,320 27,764 19,429 160,513 Occupancy Expense27,922 1,871 29,793 Advertising and Marketing Expense19,220 19,220 Networking and Programming Expense31,357 31,357