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Pearson (Pearson) Retained Earnings : $943 Mil (As of Dec. 2023)


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What is Pearson Retained Earnings?

Retained earnings is the accumulated portion of net income that is not distributed to shareholders. Pearson's retained earnings for the quarter that ended in Dec. 2023 was $943 Mil.

Pearson's quarterly retained earnings declined from Dec. 2022 ($1,073 Mil) to Jun. 2023 ($0 Mil) but then increased from Jun. 2023 ($0 Mil) to Dec. 2023 ($943 Mil).

Pearson's annual retained earnings declined from Dec. 2021 ($1,419 Mil) to Dec. 2022 ($1,073 Mil) and declined from Dec. 2022 ($1,073 Mil) to Dec. 2023 ($943 Mil).


Pearson Retained Earnings Historical Data

The historical data trend for Pearson's Retained Earnings can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Pearson Retained Earnings Chart

Pearson Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Retained Earnings
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1,193.97 - 1,418.88 1,073.08 943.04

Pearson Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Retained Earnings Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1,418.88 1,139.16 1,073.08 - 943.04

Pearson Retained Earnings Calculation

Retained Earnings is the accumulated portion of net income that is not distributed to shareholders. Because the net income was not distributed to shareholders, shareholders' equity is increased by the same amount.

Of course, if a company loses, it is called retained losses, or accumulated losses.


Pearson  (NYSE:PSO) Retained Earnings Explanation

Historically profitable companies sometimes have negative retained earnings. This is because they have cumulatively paid out more to shareholders than they reported in profits.

For example, in 2011, Microsoft had negative retained earnings. This does not mean the company lost more money than it made over the years. It just means it paid out more money than it earned.

If a company has negative retained earnings, investors should check the 10-year financial results. They should not assume that negative retained earnings prove a company has generally lost money in the past.

Of course, many companies with negative retained earnings have indeed lost money in the past.

Retained Earnings: Warren Buffett's Secret.

One of the most important indicators of durable competitive advantage. Net earnings can be paid out as dividends, used to buy back shares or retained for growth.

If the company loses more than it has accumulated, retained earnings is negative.

If a company isn't adding to its retained earnings, it isn't growing its net worth.

Rate of growth of retained earnings is good indicator whether it's benefiting from a competitive advantage.

Microsoft is negative because it chose to buyback stock and pay dividends.

The more earnings retained, the faster it grows and increases growth rate for future earnings.


Pearson (Pearson) Business Description

Address
80 Strand, London, GBR, WC2R 0RL
U.K.-listed Pearson is the world's largest educational provider. The company has been disposing of noncore businesses such as the Financial Times, The Economist, and publishing house Penguin, and is now focused on being an educational resource and testing provider. While Pearson's primary activity centres on higher-level education, the firm also has significant operations in providing clinical assessments, professional certification and testing.