Latest news with #D2LLumi
Malaysian Reserve
a day ago
- Business
- Malaysian Reserve
New Research Data Reveals that Faculty Workload can Drop with Daily AI Use
Latest Tyton Partners report, in collaboration with D2L, examines the role of AI in higher education TORONTO, June 11, 2025 /CNW/ – D2L, a global learning technology company, and Tyton Partners have collaborated to release the annual Time for Class survey, which gathered insights from over 3,000 respondents on the current state and impact of Artificial Intelligence (AI) and digital technology in higher education. The Time for Class 2025 report finds that the more instructors use AI, the more they can see the benefits. Over a third (36%) of those surveyed who use generative AI daily report a marked decrease in their workload. At the same time, instructors and administrators reported that trying to monitor student use of AI has created more work for them. Additionally, the survey reveals that most higher education institutions do not have a generative AI policy, which can leave both instructors and students to navigate challenges in AI adoption without standardized guidance or tools. 'This survey offers a snapshot of AI's ongoing impact in higher education. It also reveals opportunities that can help make the learning experience more engaging, like adopting AI that is designed to better enhance the learning experience alongside sensible rules for AI that provide clarity about its role in learning,' said Dr. Cristi Ford, Chief Learning Officer at D2L. 'With the right AI tools in place, faculty can save more valuable time on specific tasks, creating more bandwidth to engage with students one-on-one.' The report reveals that, of the respondents: 36% of instructors who use generative AI daily have experienced a decrease in workload by using the technology to streamline course development, compared to 26% who have noticed an increase and 39% who have experienced no change. Instructors are open to using generative AI to help students solve in-class challenges, especially academic support (66%) and improving study habits (63%). 84% of students say they turn to people – an instructor or their peers, for example – when they are struggling in a course. More instructors (29%) than students (17%) think that students turn to a generative AI tool when they are struggling. Only 28% of institutions have an active generative AI policy and 58% are in the development stages of rolling out AI policies. Instructors identified academic integrity (46%) and student attendance (44%) as the top instructional challenges at their institutions and are open to using AI to address these concerns. 75% of administrators and 58% of faculty agree that it is their responsibility, or that of their institution, to teach students how to effectively apply AI to their studies. Embedded AI tools, like D2L Lumi, can be aligned to institutional policies and act as a guardrail for students and help increase learner engagement while assisting to reduce educator workloads. D2L Lumi is an AI-native offering within D2L Brightspace designed to help empower educators and learners with more personalized recommendations after quiz completion, instant feedback and grades, and practice questions aligned to course content. To understand the challenges and opportunities technology presents in higher education, Tyton Partners surveyed approximately 1,500 instructors across 700 institutions, 300 administrators over 250 institutions and over 1,500 students in the United States. 'Our research with D2L reveals a pivotal moment for higher education institutions as they navigate the integration of AI into teaching and learning,' said Catherine Shaw, Managing Director at Tyton Partners. 'While there is strong alignment around the importance of preparing students to use AI, institutions need clearer strategies and tools to do so effectively.' Read more about Tyton's findings, and what they mean for higher education, from D2L experts here. See more of Tyton's Time for Class results at About Tyton Partners Tyton Partners is the leading provider of strategy consulting and investment banking services to the global knowledge and information services sector. With offices in Boston and New York City, the firm has an experienced team of bankers and consultants who deliver a unique spectrum of services from mergers and acquisitions and capital markets access to strategy development that helps companies, organizations, and investors navigate the complexities of the education, media, and information markets. Tyton Partners leverages a deep foundation of transactional and advisory experience and an unparalleled level of global relationships to make its clients' aspirations a reality and to catalyze innovation in the sector. Learn more at About D2L D2L is transforming the way the world learns, helping learners achieve more than they dreamed possible. Working closely with customers all over the world, D2L is on a mission to make learning more inspiring, engaging and human. Find out how D2L helps transform lives and delivers outstanding learning outcomes in K-12, higher education and business at X: @D2L © 2025 D2L Corporation. The D2L family of companies includes D2L Inc., D2L Corporation, D2L Ltd, D2L Australia Pty Ltd, D2L Europe Ltd, D2L Asia Pte Ltd, D2L India Pvt Ltd, D2L Brasil Soluções de Tecnologia para Educação Ltda and D2L Sistemas de Aprendizaje Innovadores, S. D2 R.L de C.V. All D2L marks are trademarks of D2L Corporation. Please visit for a list of D2L marks. All other trademarks are the property of their respective owners.
Cision Canada
a day ago
- Business
- Cision Canada
New Research Data Reveals that Faculty Workload can Drop with Daily AI Use
Latest Tyton Partners report, in collaboration with D2L, examines the role of AI in higher education TORONTO, /CNW/ - D2L, a global learning technology company, and Tyton Partners have collaborated to release the annual Time for Class survey, which gathered insights from over 3,000 respondents on the current state and impact of Artificial Intelligence (AI) and digital technology in higher education. The Time for Class 2025 report finds that the more instructors use AI, the more they can see the benefits. Over a third (36%) of those surveyed who use generative AI daily report a marked decrease in their workload. At the same time, instructors and administrators reported that trying to monitor student use of AI has created more work for them. Additionally, the survey reveals that most higher education institutions do not have a generative AI policy, which can leave both instructors and students to navigate challenges in AI adoption without standardized guidance or tools. "This survey offers a snapshot of AI's ongoing impact in higher education. It also reveals opportunities that can help make the learning experience more engaging, like adopting AI that is designed to better enhance the learning experience alongside sensible rules for AI that provide clarity about its role in learning," said Dr. Cristi Ford, Chief Learning Officer at D2L. "With the right AI tools in place, faculty can save more valuable time on specific tasks, creating more bandwidth to engage with students one-on-one." The report reveals that, of the respondents: 36% of instructors who use generative AI daily have experienced a decrease in workload by using the technology to streamline course development, compared to 26% who have noticed an increase and 39% who have experienced no change. Instructors are open to using generative AI to help students solve in-class challenges, especially academic support (66%) and improving study habits (63%). 84% of students say they turn to people – an instructor or their peers, for example – when they are struggling in a course. More instructors (29%) than students (17%) think that students turn to a generative AI tool when they are struggling. Only 28% of institutions have an active generative AI policy and 58% are in the development stages of rolling out AI policies. Instructors identified academic integrity (46%) and student attendance (44%) as the top instructional challenges at their institutions and are open to using AI to address these concerns. 75% of administrators and 58% of faculty agree that it is their responsibility, or that of their institution, to teach students how to effectively apply AI to their studies. Embedded AI tools, like D2L Lumi, can be aligned to institutional policies and act as a guardrail for students and help increase learner engagement while assisting to reduce educator workloads. D2L Lumi is an AI-native offering within D2L Brightspace designed to help empower educators and learners with more personalized recommendations after quiz completion, instant feedback and grades, and practice questions aligned to course content. To understand the challenges and opportunities technology presents in higher education, Tyton Partners surveyed approximately 1,500 instructors across 700 institutions, 300 administrators over 250 institutions and over 1,500 students in the United States. "Our research with D2L reveals a pivotal moment for higher education institutions as they navigate the integration of AI into teaching and learning," said Catherine Shaw, Managing Director at Tyton Partners. "While there is strong alignment around the importance of preparing students to use AI, institutions need clearer strategies and tools to do so effectively." See more of Tyton's Time for Class results at About Tyton Partners Tyton Partners is the leading provider of strategy consulting and investment banking services to the global knowledge and information services sector. With offices in Boston and New York City, the firm has an experienced team of bankers and consultants who deliver a unique spectrum of services from mergers and acquisitions and capital markets access to strategy development that helps companies, organizations, and investors navigate the complexities of the education, media, and information markets. Tyton Partners leverages a deep foundation of transactional and advisory experience and an unparalleled level of global relationships to make its clients' aspirations a reality and to catalyze innovation in the sector. Learn more at About D2L D2L is transforming the way the world learns, helping learners achieve more than they dreamed possible. Working closely with customers all over the world, D2L is on a mission to make learning more inspiring, engaging and human. Find out how D2L helps transform lives and delivers outstanding learning outcomes in K-12, higher education and business at X: @D2L © 2025 D2L Corporation. The D2L family of companies includes D2L Inc., D2L Corporation, D2L Ltd, D2L Australia Pty Ltd, D2L Europe Ltd, D2L Asia Pte Ltd, D2L India Pvt Ltd, D2L Brasil Soluções de Tecnologia para Educação Ltda and D2L Sistemas de Aprendizaje Innovadores, S. D2 R.L de C.V. All D2L marks are trademarks of D2L Corporation. Please visit for a list of D2L marks. All other trademarks are the property of their respective owners.
Yahoo
a day ago
- Business
- Yahoo
New Research Data Reveals that Faculty Workload can Drop with Daily AI Use
Latest Tyton Partners report, in collaboration with D2L, examines the role of AI in higher education TORONTO, June 11, 2025 /CNW/ - D2L, a global learning technology company, and Tyton Partners have collaborated to release the annual Time for Class survey, which gathered insights from over 3,000 respondents on the current state and impact of Artificial Intelligence (AI) and digital technology in higher education. The Time for Class 2025 report finds that the more instructors use AI, the more they can see the benefits. Over a third (36%) of those surveyed who use generative AI daily report a marked decrease in their workload. At the same time, instructors and administrators reported that trying to monitor student use of AI has created more work for them. Additionally, the survey reveals that most higher education institutions do not have a generative AI policy, which can leave both instructors and students to navigate challenges in AI adoption without standardized guidance or tools. "This survey offers a snapshot of AI's ongoing impact in higher education. It also reveals opportunities that can help make the learning experience more engaging, like adopting AI that is designed to better enhance the learning experience alongside sensible rules for AI that provide clarity about its role in learning," said Dr. Cristi Ford, Chief Learning Officer at D2L. "With the right AI tools in place, faculty can save more valuable time on specific tasks, creating more bandwidth to engage with students one-on-one." The report reveals that, of the respondents: 36% of instructors who use generative AI daily have experienced a decrease in workload by using the technology to streamline course development, compared to 26% who have noticed an increase and 39% who have experienced no change. Instructors are open to using generative AI to help students solve in-class challenges, especially academic support (66%) and improving study habits (63%). 84% of students say they turn to people – an instructor or their peers, for example – when they are struggling in a course. More instructors (29%) than students (17%) think that students turn to a generative AI tool when they are struggling. Only 28% of institutions have an active generative AI policy and 58% are in the development stages of rolling out AI policies. Instructors identified academic integrity (46%) and student attendance (44%) as the top instructional challenges at their institutions and are open to using AI to address these concerns. 75% of administrators and 58% of faculty agree that it is their responsibility, or that of their institution, to teach students how to effectively apply AI to their studies. Embedded AI tools, like D2L Lumi, can be aligned to institutional policies and act as a guardrail for students and help increase learner engagement while assisting to reduce educator workloads. D2L Lumi is an AI-native offering within D2L Brightspace designed to help empower educators and learners with more personalized recommendations after quiz completion, instant feedback and grades, and practice questions aligned to course content. To understand the challenges and opportunities technology presents in higher education, Tyton Partners surveyed approximately 1,500 instructors across 700 institutions, 300 administrators over 250 institutions and over 1,500 students in the United States. "Our research with D2L reveals a pivotal moment for higher education institutions as they navigate the integration of AI into teaching and learning," said Catherine Shaw, Managing Director at Tyton Partners. "While there is strong alignment around the importance of preparing students to use AI, institutions need clearer strategies and tools to do so effectively." Read more about Tyton's findings, and what they mean for higher education, from D2L experts here. See more of Tyton's Time for Class results at About Tyton Partners Tyton Partners is the leading provider of strategy consulting and investment banking services to the global knowledge and information services sector. With offices in Boston and New York City, the firm has an experienced team of bankers and consultants who deliver a unique spectrum of services from mergers and acquisitions and capital markets access to strategy development that helps companies, organizations, and investors navigate the complexities of the education, media, and information markets. Tyton Partners leverages a deep foundation of transactional and advisory experience and an unparalleled level of global relationships to make its clients' aspirations a reality and to catalyze innovation in the sector. Learn more at About D2L D2L is transforming the way the world learns, helping learners achieve more than they dreamed possible. Working closely with customers all over the world, D2L is on a mission to make learning more inspiring, engaging and human. Find out how D2L helps transform lives and delivers outstanding learning outcomes in K-12, higher education and business at X: @D2L © 2025 D2L Corporation. The D2L family of companies includes D2L Inc., D2L Corporation, D2L Ltd, D2L Australia Pty Ltd, D2L Europe Ltd, D2L Asia Pte Ltd, D2L India Pvt Ltd, D2L Brasil Soluções de Tecnologia para Educação Ltda and D2L Sistemas de Aprendizaje Innovadores, S. D2 R.L de C.V. All D2L marks are trademarks of D2L Corporation. Please visit for a list of D2L marks. All other trademarks are the property of their respective owners. View original content to download multimedia: SOURCE D2L View original content to download multimedia: Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Globe and Mail
02-04-2025
- Business
- Globe and Mail
D2L Inc. Announces Fourth Quarter and Fiscal 2025 Financial Results
Total revenue in Q4 increased 12% year-over-year to US$53.3 million ; full-year revenue grew 13% to US$205.3 million Q4 subscription and support revenue grew 11% year-over-year to US$46.8 million ; full-year subscription and support revenue grew 11% to US$180.6 million Constant Currency Annual Recurring Revenue 1 reached US$205.3 million at year-end, up 9% over the prior year-end Cash flow from operating activities of US$27.9 million in Fiscal 2025, an increase of US$12.2 million from the prior year Q4 Adjusted EBITDA 2 of US$9.4 million (17.7% Adjusted EBITDA Margin), versus US$3.5 million (7.3% Adjusted EBITDA Margin) in the prior year TORONTO , April 2, 2025 /CNW/ - D2L Inc. (TSX: DTOL) ("D2L" or the "Company"), a leading global learning technology company, today announced financial results for its Fiscal 2025 fourth quarter and full year ended January 31, 2025 . All amounts are in U.S. dollars and all figures are prepared in accordance with International Financial Reporting Standards ("IFRS") unless otherwise indicated. "We reported a strong fourth quarter that underscores our effective execution in Fiscal 2025, with revenue and Adjusted EBITDA exceeding guidance," said John Baker , CEO of D2L. "We have strengthened our core learning platform and meaningfully broadened our product portfolio. Our investments in AI capabilities with D2L Lumi and improving the learning experience with Creator+ are hitting the mark and helping customers improve learning outcomes. As organizations navigate the near-term macroeconomic conditions, we are competitively well positioned as a strategic partner to help them implement a modern learning platform that is increasingly mission-critical." Fourth Quarter and Fiscal 2025 Financial Highlights Total revenue of $53.3 million increased by 12% over the same period in the prior year and Constant Currency Revenue 1 increased by 14% to $54.3 million . Subscription and support revenue was $46.8 million , an increase of 11% over the same period of the prior year, reflecting growth from new customers and strong revenue retention and expansion from existing customers. Annual Recurring Revenue 1 as at January 31, 2025 increased by 6% year-over-year to $200.2 million and Constant Currency Annual Recurring Revenue 1 grew by 9% over the prior year to $205.3 million , with approximately $4.0 million of this $4.9 million foreign exchange impact happening in Q4 2025. Adjusted Gross Profit 2 increased by 15% to $37.1 million (69.6% Adjusted Gross Margin 2) from $32.2 million (67.7% Adjusted Gross Margin) in the same period of the prior year. Adjusted EBITDA 2 of $9.4 million , up from Adjusted EBITDA of $3.5 million for the comparative period in the prior year. Income for the period was $19.9 million , compared with $0.6 million for the comparative period of the prior year. Cash flow used in operating activities improved to $0.1 million , versus cash flow used in operating activities of $5.5 million in the same period in the prior year. Free Cash Flow 2 was negative $0.6 million , compared to Free Cash Flow of negative $6.1 million in the same period in the prior year. Full-year Free Cash Flow grew to $27.0 million , up from $9.9 million in Fiscal 2024. Constant Currency Net Revenue Retention Rate 1 was 102.7% for Fiscal 2025, up from 102.1% for Fiscal 2024. Strong balance sheet at quarter end, with cash and cash equivalents of $99.2 million and no debt. During Fiscal 2025, the Company repurchased and canceled 401,480 Subordinate Voting Shares under its Normal Course Issuer Bid ("NCIB"). Fourth Quarter and Full Year Fiscal 2025 Financial Results – Selected Financial Measures (in thousands of U.S. dollars, except for percentages) Three months ended January 31 Year ended January 31 $ $ $ % $ $ $ % Subscription & Support Revenue 46,846 42,187 4,659 11.0 % 180,569 162,232 18,337 11.3 % Professional Services & Other Revenue 6,467 5,382 1,085 20.2 % 24,707 20,148 4,559 22.6 % Total Revenue 53,313 47,569 5,744 12.1 % 205,276 182,380 22,896 12.6 % Constant Currency Revenue 1 54,277 47,569 6,708 14.1 % 206,403 182,380 24,023 13.2 % Gross Profit 36,523 32,035 4,488 14.0 % 139,964 122,196 17,768 14.5 % Adjusted Gross Profit 1 37,121 32,185 4,936 15.3 % 141,560 122,807 18,753 15.3 % Adjusted Gross Margin 1 69.6 % 67.7 % 69.0 % 67.3 % Income (Loss) for the period 19,865 563 19,302 3,428.4 % 25,722 (3,542) 29,264 826.2 % Adjusted EBITDA 1 9,428 3,463 5,965 172.2 % 28,080 7,862 20,218 257.2 % Cash Flows from (used in) Operating Activities (135) (5,512) 5,377 97.6 % 27,902 15,659 12,243 78.2 % Free Cash Flow 1 (588) (6,077) 5,489 90.3 % 26,979 9,932 17,047 171.6 % 1 A non-IFRS financial measure or non-IFRS ratio. Refer to the "Non-IFRS Financial Measures and Reconciliation of Non-IFRS Financial Measures" section of this press release for more details. Fourth Quarter Business & Operating Highlights D2L's learning platform had more than 20 million users at year end, up from 18 million at the beginning of the year. D2L's customer list grew to more than 1,430 as at January 31, 2025 (up from over 1,310 as at January 31, 2024 ), representing a broad cross-section of colleges, universities, K-12 school districts and companies in more than 40 countries. D2L continued to grow its customer base in global education, adding Roger Williams University, Salta Group, and Desh Bhagat University. D2L expanded its corporate customer portfolio, adding Buesa Energy LLC, Alberta Law Enforcement Response Teams Ltd., and Sheppard & Company. In January, D2L appointed Andrew Datars as its Chief Technology Officer. D2L Brightspace received numerous accolades, including being named a top Learning Management System ("LMS") by both Training Industry and the Craig Weiss Group, and as a winner in the Best Enterprise LMS by Talented Learning. D2L Brightspace also won four Brandon Hall Awards, including gold for best advancement in content authoring technology for the All-New Creator+ tool. D2L was selected as one of the winners for its newest artificial intelligence (AI)-powered tool, D2L Lumi, in the Primary, Secondary and Higher Education categories in the Tech & Learning Awards of Excellence: Best of 2024. D2L was named on Forbes 2025 list of Canada's best employers. In addition, the Company announced that Stephen Laster , President, is departing D2L on May 9 th, 2025. Stephen is taking on a new opportunity as CEO of a private company that does not compete with D2L. Financial Outlook D2L is initiating financial guidance for the year ended January 31, 2026 ("Fiscal 2026"). D2L plans to continue making measured investments for growth in Fiscal 2026 while scaling its operations towards increasing levels of profitability. Specifically, for Fiscal 2026 the Company is issuing the following guidance: Subscription and support revenue in the range of $194 million to $196 million , implying growth of 7-9% over Fiscal 2025, and 9-10% growth on a constant currency basis; Total revenue in the range of $219 million to $221 million , implying growth of 7-8% over Fiscal 2025, and 8-9% growth on a constant currency basis; and Adjusted EBITDA in the range of $32 million to $34 million , implying an Adjusted EBITDA Margin of 15%. "For this fiscal year, our expected growth rates reflect the impact of foreign exchange rates and the current macroeconomic environment, which we view as transitory in nature," said Josh Huff , Chief Financial Officer. "We continue to see robust growth drivers for the company over the medium term, which we expect will lead to higher revenue growth along with further Adjusted EBITDA Margin expansion as we increase NRR 1, continue to grow our customer base and market share, and consider additional strategic acquisitions." These targets demonstrate the Company's continued emphasis on balancing growth and profitability, including increased revenue and Adjusted EBITDA in Fiscal 2026 relative to Fiscal 2025. Further, these targets are based upon the current operations of the Company and do not include the impact of any future incremental acquisition transactions, which, if any occur, would be expected to be additive to the revenue and profits earned by D2L in the period. The achievement of the Adjusted EBITDA guidance is based upon continued efficiencies and scale in our operations as we grow our revenue. The anticipated revenue growth rates in Fiscal 2026 are informed in part by the levels of sales activity that occurred during Fiscal 2025, and the resulting impact of such activity on the corresponding revenue recognition in Fiscal 2026. The anticipated revenue growth rates in Fiscal 2026 are also informed by the current macroeconomic environment and its impact on foreign exchange rates and our selling activities. Medium-Term Outlook and Target Operating Model In September 2022 , management presented an updated target operating model to evolve the business toward balanced growth and profitability, based upon the Company's outlook at that time and which reflected the operating levels that the Company expected to achieve by Fiscal 2025. Overall, our Fiscal 2025 performance was consistent with this previously presented target operating model. Since our original presentation of this model during Fiscal 2023, we have delivered meaningful top-line and bottom-line growth, with an Adjusted EBITDA improvement of approximately $31 million comparing Fiscal 2023 to Fiscal 2025 (using actual Fiscal 2025 Adjusted EBITDA of $28.1 million to actual Adjusted EBITDA of negative $2.9 million in Fiscal 2023). Our progress in Fiscal 2025 should position us well to continue to deliver top-line and bottom-line growth as we look out over the medium term. With the previously presented multi-year target operating model concluding with the Fiscal 2025 results, management is presenting an updated Medium Term Target Operating Model, which reflects the year-over-year revenue growth and Adjusted EBITDA Margin the Company expects to achieve by Fiscal 2028 (the year ending January 31 , 2028). Over the medium term, the Company will continue to balance growth and profitability, including making measured investments in growth opportunities and optimizing the operations for increased profitability. Our target operating model is based on assumptions and factors that we believe are reasonable in the circumstances, given the applicable time periods, our current and past growth rates, current and past foreign exchange rates and the impact on our results, our current customer contractual commitments and renewal experience and historic results, as well as our view of the drivers of our growth, estimated growth in our target addressable market, and our expectations for our growth strategies. For additional details on the Company's outlook, refer to the "Financial Outlook" section of the Company's Management's Discussion and Analysis ("MD&A") for the years ended January 31, 2025 and 2024. The principal assumptions and factors underlying this are discussed below. See also the assumptions and factors noted at " Forward-Looking Information". The foregoing information has been prepared by management of the Company and has been outlined assuming accounting policies that are generally consistent with our current accounting policies. This information is based on underlying assumptions and factors that management believes are reasonable in the circumstances, given the applicable time periods, as well as the Company's capabilities and business plans, current and past growth rates, current customer contractual commitments, customer purchasing history, renewal experience and historic results, management's assessment of market dynamics and views of the drivers of growth, estimated growth in the target addressable market, expectations concerning growth strategies and opportunities, and ability to scale operations and realize cost efficiencies as the Company grows revenues. The foregoing is also based on assumptions relating to external factors that may be beyond our control, including general economic conditions remaining stable, the industry trends described in the " Industry Overview and Trends" section of the Company's Annual Information Form ("AIF"), the outcome of our international expansion, offering expansion, and partner ecosystem expansion initiatives, and cost savings from efficiency improvements and operating leverage. However, there can be no assurance that we will be successful in achieving the increases in performance set out above. Nor can any assurances be given regarding the realization of our expectations and drivers that anticipated growth and margin improvements are based on. The purpose of disclosing our medium-term outlook is to provide investors with additional information concerning the Company's operating focus and expected performance over the medium term. However, there can be no assurance that we will be successful in achieving that which is set out above. For example, our strategy may evolve in response to changes in external factors outside our control such as changes in the markets that our customers operate in or general economic conditions, and these factors may affect our ability to achieve these increases in performance over the medium term. Our views on the medium-term outlook is also forward-looking information for the purposes of applicable securities laws in Canada and readers are therefore cautioned that actual results may vary materially from that discussed above. See also " Summary of Factors Affecting our Performance" and " Forward-Looking Information" set out in the Company's MD&A and " Risk Factors" in the Company's AIF for a description of other assumptions underlying the forward-looking information and of the risks and uncertainties that generally impact our business and that could cause actual results to vary materially. Conference Call & Webcast D2L management will host a conference call on Thursday, April 3, 2025 at 8:30 am ET to discuss its fourth quarter and full-year Fiscal 2025 financial results. Forward-Looking Information This press release includes statements containing "forward-looking information" within the meaning of applicable securities laws. In some cases, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", "budget", "scheduled", "estimates", "outlook", "target", "forecasts", "projection", "potential", "prospects", "strategy", "intends", "anticipates", "seek", "believes", "opportunity", "guidance", "aim", "goal" or variations of such words and phrases or statements that certain future conditions, actions, events or results "may", "could", "would", "should", "might", "will", "can", or negative versions thereof, "be taken", "occur", "continue" or "be achieved", and other similar expressions. Statements containing forward-looking information are not historical facts, but instead represent management's expectations, estimates and projections regarding future events or circumstances. This forward-looking information relates to the Company's future financial outlook and anticipated events or results and includes, but is not limited to, statements under the heading "Financial Outlook" and information regarding: the Company's financial position, financial results, business strategy, performance, achievements, prospects, objectives, opportunities, business plans and growth strategies; the Company's budgets, operations and taxes; judgments and estimates impacting the financial statements; the markets in which the Company operates; industry trends and the Company's competitive position; expansion of the Company's product offerings; the anticipated impacts of future acquisitions; and expectations regarding the growth of the Company's customer base, revenue, and revenue generation potential and expectations regarding costs, including as a percentage of revenue. Forward-looking information is based on certain assumptions, expectations and projections, and analyses made by the Company in light of management's experience and perception of historical trends, current conditions and expected future developments and other factors it believes are appropriate, including the following: the Company's ability to win business from new customers and expand business from existing customers; the timing of new customer wins and expansion decisions by existing customers; the Company's ability to generate revenue and expand its business while controlling costs and expenses; the Company's ability to manage growth effectively; the Company's assumptions regarding the principal competitive factors in our markets; the Company's ability to hire and retain personnel effectively; the effects of foreign currency exchange rate fluctuations on our operations; the ability to seek out, enter into and successfully integrate acquisitions, including the acquisition of H5P Group AS ("H5P"); business and industry trends, including the success of current and future product development initiatives; positive social development and attitudes toward the pursuit of higher education; the Company's ability to maintain positive relationships with its customer base and strategic partners; the Company's ability to adapt and develop solutions that keep pace with continuing changes in technology, education and customer needs; the Company's ability to predict future learning trends and technology; the ability to patent new technologies and protect intellectual property rights; the Company's ability to comply with security, cybersecurity and accessibility laws, regulations and standards; the assumptions underlying the judgments and estimates impacting on financial statements; certain accounting matters, including the impact of changes in or the adoption of new accounting standards; the Company's ability to retain key personnel; the factors and assumptions discussed under the " Financial Outlook" section above; and that the list of factors referenced in the following paragraph, collectively, do not have a material impact on the Company. Although the Company believes that the assumptions underlying such forward-looking information were reasonable when made, they are inherently uncertain and are subject to significant risks and uncertainties and may prove to be incorrect. The Company cautions investors that forward-looking information is not a guarantee of the future and that actual results may differ materially from those made in or suggested by the forward-looking information contained in this press release. Whether actual results, performance or achievements will conform to the Company's expectations and predictions is subject to a number of known and unknown risks, uncertainties and other factors, including but not limited to the risks identified herein, including " Summary of Factors Affecting Our Performance" of the Company's MD&A for the years ended January 31, 2025 and 2024, or in the " Risk Factors" section of the Company's most recently filed AIF, in each case filed under the Company's profile on SEDAR+ at If any of these risks or uncertainties materialize, or if assumptions underlying the forward-looking information prove incorrect, actual results might vary materially from those anticipated in the forward-looking information. Given these risks and uncertainties, investors are cautioned not to place undue reliance on forward-looking information, including any financial outlook. Any forward-looking information that is contained in this press release speaks only as of the date of such statement, and the Company undertakes no obligation to update any forward-looking information or to publicly announce the results of any revisions to any of those statements to reflect future events or developments, except as required by applicable securities laws. Comparisons of results for current and any prior periods are not intended to express any future trends or indications of future performance, unless specifically expressed as such, and should only be viewed as historical data. About D2L Inc. (TSX: DTOL) D2L is transforming the way the world learns, helping learners achieve more than they dreamed possible. Working closely with customers all over the world, D2L is on a mission to make learning more inspiring, engaging and human. Find out how D2L helps transform lives and delivers outstanding learning outcomes in K-12, higher education and business at As at January 31, 2025 and January 31, 2024 2025 2024 Assets Current assets: Cash and cash equivalents $ 99,184,514 $ 116,943,499 Trade and other receivables 26,430,586 23,025,690 Uninvoiced revenue 2,756,998 3,971,861 Prepaid expenses 7,564,837 10,517,226 Deferred commissions 5,106,976 5,334,864 141,043,911 159,793,140 Non-current assets: Other receivables 422,589 537,056 Prepaid expenses 308,235 119,872 Deferred income taxes 18,115,730 529,674 Right-of-use assets 7,450,545 8,774,960 Property and equipment 7,125,272 8,427,734 Deferred commissions 6,909,439 7,730,724 Loan receivable from associate 9,123,399 — Intangible assets 17,135,529 770,707 Goodwill 25,286,222 10,440,091 Total assets $ 232,920,871 $ 197,123,958 Liabilities and Shareholders' Equity Current liabilities: Accounts payable and accrued liabilities $ 30,504,085 $ 32,635,926 Deferred revenue 97,454,306 93,727,368 Lease liabilities 1,201,604 1,002,464 Contingent consideration 4,927,193 271,479 134,087,188 127,637,237 Non-current liabilities: Deferred income taxes 4,110,030 587,075 Lease liabilities 9,977,941 11,707,534 Contingent consideration — 311,839 14,087,971 12,606,448 148,175,159 140,243,685 Shareholders' equity: Share capital: 367,487,956 364,830,884 Additional paid-in capital 48,263,266 47,485,107 Accumulated other comprehensive loss (7,456,599) (4,998,317) Deficit (323,548,911) (350,437,401) 84,745,712 56,880,273 Commitments and contingencies Total liabilities and shareholders' equity $ 232,920,871 $ 197,123,958 D2L INC. Consolidated Statements of Comprehensive Income (Loss) (In U.S. dollars) Years ended January 31, 2025 and 2024 2025 2024 Revenue: Subscription and support $ 180,568,575 $ 162,231,829 Professional services and other 24,707,667 20,148,646 205,276,242 182,380,475 Cost of revenue: Subscription and support 49,185,184 45,351,420 Professional services and other 16,126,816 14,832,600 65,312,000 60,184,020 Gross profit 139,964,242 122,196,455 Expenses: Sales and marketing 53,943,306 52,914,495 Research and development 46,647,575 48,320,129 General and administrative 33,175,359 28,074,111 133,766,240 129,308,735 Income (loss) from operations 6,198,002 (7,112,280) Interest and other income (expenses): Interest expense (823,099) (619,860) Interest income 3,765,500 4,225,939 Other (expense) income (425,452) 230,947 Gain on SkillsWave disposal transaction 917,395 — Foreign exchange (loss) gain (145,798) 79,689 3,288,546 3,916,715 Income (loss) before income taxes 9,486,548 (3,195,565) Income taxes (recovery) expense: Current 1,219,741 636,726 Deferred (17,454,876) (290,202) (16,235,135) 346,524 Income (loss) for the year 25,721,683 (3,542,089) Other comprehensive (loss) gain: Foreign currency translation (loss) gain (2,458,282) 3,488 Comprehensive income (loss) $ 23,263,401 $ (3,538,601) Earnings (loss) per share – basic $ 0.47 $ (0.07) Earnings (loss) per share – diluted 0.46 (0.07) Weighted average number of common shares – basic 54,347,672 53,554,686 Weighted average number of common shares – diluted 55,814,610 53,554,686 D2L INC. Consolidated Statements of Shareholders' Equity (In U.S. dollars) Years ended January 31, 2025 and 2024 Balance, January 31, 2023 53,146,530 $ 357,639,824 $ 46,084,161 $ (5,001,805) $ (344,630,902) $ 54,091,278 Issuance of Subordinate Voting Shares on exercise of options 497,386 4,581,368 (2,226,913) — — 2,354,455 Issuance of Subordinate Voting Shares on settlement of restricted share units 375,369 2,932,606 (5,659,029) — — (2,726,423) Stock-based compensation — — 9,286,888 — — 9,286,888 Repurchase of share capital for cancellation under NCIB (41,200) (322,914) — — — (322,914) Share repurchase commitment under the ASPP — — — — (2,264,410) (2,264,410) Other comprehensive income — — — 3,488 — 3,488 Loss for the year — — — — (3,542,089) (3,542,089) Balance, January 31, 2024 53,978,085 364,830,884 47,485,107 (4,998,317) (350,437,401) 56,880,273 Issuance of Subordinate Voting Shares on exercise of options 527,429 4,326,926 (2,151,550) — — 2,175,376 Issuance of Subordinate Voting Shares on settlement of restricted share units and deferred share units 549,140 1,894,582 (7,516,087) — — (5,621,505) Stock-based compensation — — 9,695,275 — — 9,695,275 Excess tax benefit on stock-based compensation — — 750,521 — — 750,521 Repurchase of share capital for cancellation under NCIB (401,480) (3,564,436) — — — (3,564,436) Share repurchase commitment under the ASPP — — — — 1,166,807 1,166,807 Other comprehensive loss — — — (2,458,282) — (2,458,282) Income for the year — — — — 25,721,683 25,721,683 Balance, January 31, 2025 54,653,174 $ 367,487,956 $ 48,263,266 $ (7,456,599) $ (323,548,911) $ 84,745,712 D2L INC. Consolidated Statements of Cash Flows (In U.S. dollars) Years ended January 31, 2025 and 2024 2025 2024 Operating activities: Income (loss) for the year $ 25,721,683 $ (3,542,089) Items not involving cash: Depreciation of property and equipment 1,702,907 1,598,200 Depreciation of right-of-use assets 1,273,607 1,184,848 Amortization of intangible assets 1,285,534 88,097 Stock-based compensation 9,695,275 9,286,888 Net interest income (2,942,401) (3,606,079) Income tax expense (16,235,135) 346,524 Gain on SkillsWave disposal transaction (917,395) — Loss from equity accounted investee 438,098 — Fair value loss on loan receivable from associate 376,601 — Changes in operating assets and liabilities: Trade and other receivables (2,333,645) (1,064,604) Uninvoiced revenue 1,016,319 (1,841,656) Prepaid expenses 2,197,263 (2,293,679) Deferred commissions 507,805 (1,661,350) Accounts payable and accrued liabilities (1,221,599) 5,499,539 Deferred revenue 4,737,086 8,041,852 Right-of-use assets and lease liabilities (65,884) — Interest received 3,738,473 4,223,677 Interest paid (72,207) (28,577) Income taxes paid (1,000,818) (572,592) Cash flows from operating activities 27,901,567 15,658,999 Financing activities: Payment of lease liabilities (1,657,536) (1,015,760) Lease incentive received 99,080 961,920 Proceeds from exercise of stock options 2,175,376 2,354,455 Taxes paid on settlement of restricted share units (5,621,505) (2,726,423) Repurchase of share capital for cancellation under NCIB (3,564,436) (322,914) Cash flows used in financing activities (8,569,021) (748,722) Investing activities: Purchase of property and equipment (923,034) (5,727,243) Acquisition of business, net of cash acquired (22,982,226) (2,793,180) Payment of contingent consideration (249,436) — Transfer of cash on disposal of SkillsWave (1,483,357) — Proceeds from sale of majority ownership stake in SkillsWave 809,038 — Issuance of loan to SkillsWave (9,500,000) — Cash flows used in investing activities (34,329,015) (8,520,423) Effect of exchange rate changes on cash and cash equivalents (2,762,516) (178,591) (Decrease) increase in cash and cash equivalents (17,758,985) 6,211,263 Cash and cash equivalents, beginning of year 116,943,499 110,732,236 Cash and cash equivalents, end of year $ 99,184,514 $ 116,943,499 Non-IFRS Financial Measures and Reconciliation of Non-IFRS Financial Measures The information presented within this press release refers to certain non-IFRS financial measures (including non-IFRS ratios) including Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit, Adjusted Gross Margin, Free Cash Flow, Free Cash Flow Margin, and Constant Currency Revenue. These measures are not recognized measures under IFRS and do not have a standardized meaning prescribed by IFRS. Non-IFRS financial measures should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS and are unlikely to be comparable to similar measures presented by other issuers. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of the Company's results of operations, financial performance and liquidity from management's perspective and thus highlight trends in its core business that may not otherwise be apparent when relying solely on IFRS measures. The Company believes that securities analysts, investors and other interested parties frequently use non-IFRS financial measures in the evaluation of the Company. The Company's management also uses non-IFRS financial measures to facilitate operating performance comparisons from period to period, to prepare annual operating budgets and forecasts, and to assess our ability to meet our capital expenditures and working capital requirements. Adjusted EBITDA and Adjusted EBITDA Margin Adjusted EBITDA is defined as net income (loss), excluding interest, taxes, depreciation and amortization (or EBITDA), adjusted for stock-based compensation, foreign exchange gains and losses, non-recurring expenses, transaction-related costs, fair value adjustment of acquired deferred revenue, income (loss) from equity accounted investee, change in fair value on the loan receivable from associate, impairment charges and other income and losses. Adjusted EBITDA Margin is calculated as Adjusted EBITDA expressed as a percentage of total revenue. For an explanation of recent changes to and management's use of Adjusted EBITDA and Adjusted EBITDA Margin see " Non-IFRS and Other Financial Measures – Non-IFRS Financial Measures and Non-IFRS Financial Ratios – Adjusted EBITDA and Adjusted EBITDA Margin" section in the Company's MD&A for the years ended January 31, 2025 and 2024, which section is incorporated by reference herein. The following table reconciles Adjusted EBITDA to income (loss) for the period, and discloses Adjusted EBITDA Margin, for the periods indicated: (in thousands of U.S. dollars, except for percentages) Three months ended January 31 Fiscal year ended January 31 2025 2024 2025 2024 Income (loss) for the period 19,865 563 25,722 (3,542) Stock-based compensation 2,583 2,050 9,695 9,287 Foreign exchange loss (gain) 454 300 146 (80) Non-recurring expenses (1) 784 1,021 2,954 1,978 Transaction-related costs (2) 614 88 2,686 809 Fair value adjustment of acquired deferred revenue (3) 379 — 1,018 — Change in fair value of loan receivable from associate (4) 496 — 376 — Loss from equity accounted investee 21 — 438 — Net interest income (594) (1,124) (2,942) (3,606) Income tax (recovery) expense (16,442) 43 (16,235) 347 Other income (5) (40) (202) (40) (202) Depreciation and amortization 1,308 724 4,262 2,871 Adjusted EBITDA 9,428 3,463 28,080 7,862 Adjusted EBITDA Margin 17.7 % 7.3 % 13.7 % 4.3 % Notes: (1) These expenses relate to non-recurring activities, such as certain legal fees incurred that are not indicative of continuing operations, and changes of workforce or technology whereby certain functions were realigned to optimize operations. (2) These expenses include certain legal and professional fees that were incurred in connection with acquisition and other strategic transactions, including the disposal of our majority ownership stake in SkillsWave Corporation ("SkillsWave") and our acquisition of H5P. These expenses also include post-combination compensation costs from the acquisition of H5P. These year-to-date expenses are net of a gain of $0.9 million recognized for the disposal of our majority ownership stake in SkillsWave. In the prior periods, these expenses included post-combination compensation, legal and other fees related to the acquisition activities of Connected Shopping Ltd. These expenses would not have been incurred if not for these transactions and are not considered to be indicative of expenses associated with the Company's continuing operations. (3) During Fiscal 2025, the Company recognized a fair value adjustment on the opening deferred revenue balance acquired as part of the H5P acquisition as required under IFRS 3, Business Combinations. This adjustment is not reflective of ordinary operations and is expected to be substantially completed by the end of Fiscal 2026. (4) On a quarterly basis, the Company determines the fair value of the loan advanced to SkillsWave. The adjustments to the fair value of the loan are not reflective of the Company's main business operations and will not impact the Company's future results beyond the maturity date of the loan on June 28, 2029. (5) Represents gains recognized from subleasing activities and are considered non-recurring and not reflective of continuing operations. During the three months ended January 31, 2025 , the Company recognized professional services revenue of $0.9 million from re-evaluating the completion progress of certain professional services engagements. Excluding this increase, the Company's Adjusted EBITDA and Adjusted EBITDA Margin would have been $8.5 million and 16.2%, respectively, for the three months ended January 31, 2025 . During Fiscal 2025, the Company recognized professional services revenue of $0.8 million from re-evaluating the completion progress of certain professional services engagements performed in Fiscal 2024. Excluding this increase, the Company's Adjusted EBITDA and Adjusted EBITDA Margin would have been $27.3 million and 13.3%, respectively, for Fiscal 2025. Adjusted Gross Profit and Adjusted Gross Margin Adjusted Gross Profit is defined as gross profit excluding related stock-based compensation expenses and amortization from acquired intangible assets, specifically acquired technology. Adjusted Gross Margin is calculated as Adjusted Gross Profit expressed as a percentage of total revenue. For an explanation of management's use of Adjusted Gross Profit and Adjusted Gross Margin see " Non-IFRS and Other Financial Measures – Non-IFRS Financial Measures and Non-IFRS Financial Ratios – Adjusted Gross Profit and Adjusted Gross Margin" section in the Company's MD&A for the years ended January 31, 2025 and 2024, which section is incorporated by reference herein. The following table reconciles Adjusted Gross Margin to gross profit expressed as a percentage of revenue, for the periods indicated: (in thousands of U.S. dollars, except for percentages) Three months ended January 31 Fiscal year ended January 31 2025 2024 2025 2024 Gross profit for the period 36,523 32,035 139,964 122,196 Stock based compensation 154 134 596 564 Amortization from acquired intangible assets 444 16 1,000 47 Adjusted Gross Profit 37,121 32,185 141,560 122,807 Adjusted Gross Margin 69.6 % 67.7 % 69.0 % 67.3 % Free Cash Flow and Free Cash Flow Margin Free Cash Flow is defined as cash flows from (used in) operating activities less net additions to property and equipment. Free Cash Flow Margin is calculated as Free Cash Flow expressed as a percentage of total revenue. For an explanation of management's use of Free Cash Flow and Free Cash Flow Margin see " Non-IFRS and Other Financial Measures – Non-IFRS Financial Measures and Non-IFRS Financial Ratios – Free Cash Flow and Free Cash Flow Margin" section in the Company's MD&A for the years ended January 31, 2025 and 2024, which section is incorporated by reference herein. The following table reconciles Free Cash Flow to cash flow (used in) from operating activities, and discloses Free Cash Flow Margin, for the periods indicated: (in thousands of U.S. dollars, except for percentages) Three months ended January 31 Fiscal year ended January 31 2025 2024 2025 2024 Cash flows (used in) from operating activities (135) (5,512) 27,902 15,659 Net additions to property and equipment (453) (565) (923) (5,727) Free Cash Flow (588) (6,077) 26,979 9,932 Free Cash Flow Margin -1.1 % -12.8 % 13.1 % 5.4 % Constant Currency Revenue Constant Currency Revenue is defined as foreign-currency-denominated revenues translated at the historical exchange rates from the comparable prior period into our U.S. dollar functional currency. For an explanation of management's use of Constant Currency Revenue see " Non-IFRS and Other Financial Measures – Non-IFRS Financial Measures and Non-IFRS Financial Ratios – Constant Currency Revenue" section in the Company's MD&A for the years ended January 31, 2025 and 2024, which section is incorporated by reference herein. The following table reconciles our Constant Currency Revenue to revenue, for the periods indicated: Three months ended January 31 Fiscal year ended January 31 (in thousands of U.S. dollars) 2025 2024 2025 2024 Total revenue for the period 53,313 47,569 205,276 182,380 Negative impact of foreign exchange rate changes over the prior period 964 — 1,127 — Constant Currency Revenue 54,277 47,569 206,403 182,380 Key Performance Indicators Management uses a number of metrics, including the key performance indicators identified below, to help us evaluate our business, measure our performance, identify trends affecting our business, formulate business plans and make strategic decisions. Our key performance indicators may be calculated in a manner different than similar key performance indicators used by other issuers. These metrics are estimated operating metrics and not projections, nor actual financial results, and are not indicative of current or future performance. Annual Recurring Revenue and Constant Currency Annual Recurring Revenue: We define Annual Recurring Revenue ("ARR") as the annualized equivalent value of subscription revenue from all existing customer contracts as at the date being measured, exclusive of the implementation period. Our calculation of ARR assumes that customers will renew their contractual commitments as those commitments come up for renewal. We believe ARR provides a reasonable, real-time measure of performance in a subscription-based environment and provides us with visibility for potential growth in our cash flows. We believe that increasing ARR indicates the continued strength in the expansion of our business, and will continue to be our focus on a go-forward basis. We define Constant Currency Annual Recurring Revenue as foreign-currency-denominated ARR translated at the historical exchange rates from the comparable prior period into our U.S. dollar functional currency. Net Revenue Retention Rate and Constant Currency Net Revenue Retention Rate: We calculate Net Revenue Retention Rate ("NRR") for a fiscal year by considering all customers at the beginning of a fiscal year, and dividing our annual subscription revenue attributable to this group of customers at the end of the fiscal year, by the annual subscription revenue attributable to this group of customers in the prior fiscal year. By implication, this ratio, expressed as a percentage, excludes any sales from new customers acquired during the fiscal year, but does include incremental sales from the existing base of customers during the fiscal year being measured. This calculation contemplates all changes to ARR for the designated group of customers, which includes customer terminations and non-renewals, customer consolidations, changes in quantities of users, changes in pricing, additional applications purchased or applications no longer used. We believe that measuring the ability to retain and expand revenue generated from the existing customer base is a key indicator of the long-term value we provide to customers. NRR for the fiscal year ended January 31, 2025 was 100.0% (102.2% for the fiscal year ended January 31, 2024 ), representing a year-over-year decrease of 220 basis points, primarily due to the impact of period-over-period changes in foreign currency exchange rate fluctuations. The impact of foreign exchange rates is further addressed in the next key performance indicator, Constant Currency NRR. We have also introduced Constant Currency NRR which is defined as foreign-currency-denominated NRR translated at the historical exchange rates from the comparable prior period into our U.S. dollar functional currency. Management believes that Constant Currency NRR is a useful measure of operating performance to review and assess the Company's ability to retain and expand revenue generated from the existing customer base by removing the impact of period-over-period changes in foreign currency exchange rate fluctuations. The exclusion of this impact allows for greater comparability between reporting periods. Constant Currency NRR for the fiscal year ended January 31, 2025 was 102.7% (102.1% for the fiscal year ended January 31, 2024 ), representing a year-over-year increase of 60 basis points. During Fiscal 2025, the Company retired a services subscription offering relating to curriculum design and now provides this type of service through one-time professional services engagements to customers. Excluding the $2.6 million impact of this subscription retirement, Constant Currency NRR would have been 104.1% in Fiscal 2025, which would represent a year-over-year increase of 200 basis points. Gross Revenue Retention Rate: We calculate Gross Revenue Retention Rate for a fiscal year by subtracting downgrades, cancellations and terminations over the fiscal year from ARR at the beginning of the year, and dividing the result by the ARR from the beginning of the year. For clarity, the Gross Revenue Retention Rate calculation does not include incremental sales from the existing base of customers during the fiscal year being measured. As we continue to increase our product and service offerings, we are providing more visibility into underlying customer and revenue retention rates, in addition to our ability to grow revenue from our existing customers. As a result, Gross Revenue Retention Rate is a key measure to provide insight into the Company's success retaining existing customers and a key indicator of the long-term value we provide to customers. Gross Revenue Retention Rate for the fiscal year ended January 31, 2025 was 93.5% (93.7% for the fiscal year ended January 31 , 2024), down by 20 basis points year-over-year. During Fiscal 2025, the Company retired a services subscription offering relating to curriculum design and now provides this type of service through one-time professional services engagements to customers. Excluding the $2.6 million impact of this subscription retirement, Gross Revenue Retention Rate would have been 94.9% in Fiscal 2025, which would represent a year-over-year increase of 120 basis points.
