Financial Performance - Revenues for the third quarter of fiscal 2025 were $585.5 million, a 5.9% increase from the prior year, driven by a 4.4% increase in organic revenues [185]. - Revenues for the three months ended May 31, 2025 were $585.5 million, an increase of 5.9% compared to $552.7 million in the same period of 2024 [207]. - For the nine months ended May 31, 2025, revenues were $1,724.8 million, an increase of 5.1% compared to $1,640.9 million in the same period of 2024 [208]. - Organic revenues increased by 4.4% to $577.2 million for the three months ended May 31, 2025, with acquisition-related revenues contributing an additional 1.4% [207]. - Net income for the three months ended May 31, 2025 was $148.5 million, a decrease of 6.1% from $158.1 million in the same period of 2024 [206]. - Diluted earnings per share (EPS) for the third quarter were $3.87, a decrease of 5.4% from the prior year, primarily due to lower operating income [188]. Client Metrics - The client count increased by 9.7% to 8,811 as of May 31, 2025, with a net addition of 782 clients, mainly due to the acquisition of Platform Group Limited [201]. - Annual ASV retention was greater than 95% as of May 31, 2025, with client retention at 91%, up from 90% the previous year [202]. - The Americas accounted for 65% of total ASV, amounting to $1,513.1 million, with a 5.0% increase in Organic ASV from the prior year [195]. Operating Performance - Operating margin decreased to 33.2% from 36.6% in the prior year, attributed to higher employee compensation costs and amortization of intangible assets [188]. - Operating income decreased by 4.1% to $194.2 million for the three months ended May 31, 2025, compared to $202.5 million in the prior year [229]. - Total operating income decreased 4.1% to $194.2 million for the three months ended May 31, 2025, compared to $202.5 million in the same period a year ago [235]. Expenses and Costs - Cost of services rose by 13.7% to $280.7 million for the three months ended May 31, 2025, primarily due to increased employee compensation costs [221]. - SG&A expenses increased by 7.1% to $110.6 million for the three months ended May 31, 2025, driven by higher employee compensation costs [226]. - Cost of services as a percentage of revenues was 47.9% for the three months ended May 31, 2025, an increase of 330 basis points year-over-year [222]. Acquisitions - The acquisition of LiquidityBook was completed for a purchase price of $243.2 million, including contingent consideration of $11.9 million [280]. - The acquisition of Irwin was completed for a purchase price of $120.2 million, including contingent consideration of $9.6 million [282]. - The acquisition date fair value of goodwill from LiquidityBook is $161.995 million, representing the excess of the purchase price over the fair value of net assets acquired [88]. - The acquisition date fair value of goodwill from Irwin is $91.376 million, reflecting future economic benefits expected from the acquisition [93]. Cash Flow and Capital Management - Net cash provided by operating activities for the nine months ended May 31, 2025, was $514.2 million, a decrease of $23.0 million from $537.2 million in the same period last year [288]. - Free cash flow for the nine months ended May 31, 2025, was $439.3 million, a decrease of $38.1 million compared to $477.5 million in the prior year [295]. - The company returned $312.2 million to stockholders in the form of share repurchases and dividends during the nine months ended May 31, 2025 [273]. - During the three months ended May 31, 2025, the company repurchased 184,050 shares for $80.7 million [275]. Debt and Financing - The total debt as of May 31, 2025, was $1,430,197 thousand, an increase from $1,365,973 thousand as of August 31, 2024 [112]. - The company entered into a new credit agreement on April 8, 2025, borrowing $500,000 thousand under a senior unsecured term loan credit facility [115]. - Interest expense on outstanding debt for the three months ended May 31, 2025, was $15.1 million, down from $16.6 million in the same period of 2024 [131]. Tax and Compliance - The provision for income taxes for the three months ended May 31, 2025, was $31,406 thousand, with an effective tax rate of 17.5%, up from 17.0% in the same period of 2024 [101]. - The company was in compliance with all covenants and requirements of the 2025 Credit Agreement as of May 31, 2025 [123].

Group 1 - The article emphasizes a fundamentals-based approach to value investing, focusing on companies with long-term durability and robust balance sheets rather than just low multiples [1] - It highlights the misconception that low multiple stocks are inherently cheap, advocating for a focus on steady long-term growth and minimal cyclicality [1] - The author acknowledges the risks associated with investing in successful companies, particularly the potential to overpay, but suggests that in certain situations, the growth potential outweighs immediate price concerns [1]

FactSet Research Systems FDS posted mixed results for the third quarter on Monday.The company reported quarterly sales of $585.52 million, surpassing analyst expectations of $580.50 million and representing a 5.9% year-over-year gain. The company reported quarterly adjusted earnings per share of $4.27, missing the street view of $4.29.“We are pleased with our third quarter performance, which reflects the execution of our enterprise solution strategy. With a healthy pipeline and increased momentum, we are we ...

FactSet Research Systems' (NYSE: FDS ) Q3 FY2025 results have just been released, and the share price is up nearly 4%. The company has once again proven to be extremely resilient, with predictable andHi there, welcome to my profile. My name is Eugenio Catone, I live in Italy and I am 27 years old.In 2023 I graduated in Business Administration and I completed CFA level 1 in 2024. I am currently a Popular Investor on the investing platform eToro, you can see there my public portfolio. My interest in financial ...

Core Insights - FactSet (FDS) reported third-quarter fiscal 2025 results with earnings per share of $4.27, missing the Zacks Consensus Estimate, while revenues of $585.5 million exceeded expectations [1][9] - The company experienced a 2.3% year-over-year decline in earnings, but revenues increased by 5.9% compared to the previous year [1][9] Revenue Performance - Organic revenues rose 4.4% year-over-year to $577.2 million, with regional growth of 5% in the Americas, 2.3% in EMEA, and 6.4% in Asia Pacific [3] - Revenues from the Americas segment were $380.5 million, up 6.7% year-over-year, while EMEA revenues were $145.7 million, a 3.1% increase, and Asia Pacific revenues reached $59.3 million, marking 7.8% growth [4] Annual Subscription Value (ASV) and Client Metrics - FactSet's Annual Subscription Value plus professional services totaled $2.3 billion, reflecting a 4.5% year-over-year increase, with 82% generated by buy-side firms [5] - The company added 166 clients in the third quarter, bringing the total to 8,811, with a client retention rate of 91% [6] Operating Results - Adjusted operating income was $194.2 million, a decrease of 4.1% year-over-year, but exceeded estimates [7] - The adjusted operating margin was 36.8%, down 260 basis points from the previous year [7] Balance Sheet and Cash Flow - FactSet ended the quarter with cash and cash equivalents of $356.4 million, up from $278.5 million in the previous quarter, and long-term debt decreased to $1.4 billion [8] - The company generated $253.8 million in cash from operating activities, with capital expenditures of $25.2 million, resulting in a free cash flow utilization of $228.6 million [8] Fiscal Year 2025 Guidance - For fiscal 2025, FactSet anticipates revenues between $2.305 billion and $2.325 billion, with the midpoint slightly above the Zacks Consensus Estimate [10] - Earnings per share guidance is set at $16.8 to $17.4, with the midpoint aligning with consensus estimates, and an adjusted operating margin projected at 36-37% [10]

FactSet Research (FDS) reported $585.52 million in revenue for the quarter ended May 2025, representing a year-over-year increase of 5.9%. EPS of $4.27 for the same period compares to $4.37 a year ago.The reported revenue represents a surprise of +0.72% over the Zacks Consensus Estimate of $581.34 million. With the consensus EPS estimate being $4.31, the EPS surprise was -0.93%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall St ...

FactSet (FDS) Q3 2025 Earnings Call June 23, 2025 09:00 AM ET Company Participants Kevin Toomey - Head - IRPhilip Snow - CEOHelen Shan - EVP & CFOShlomo Rosenbaum - Managing DirectorGoran Skoko - EVP & Chief Revenue OfficerFaiza Alwy - MD - US Company ResearchRyan Griffin - Senior Equity Research AssociateBrendan Popson - Vice President - Business, Information & Professional Services Equity ResearchScott Wurtzel - SVP - Equity ResearchRussell Quelch - Managing Director Conference Call Participants Alex Kram ...

Financial Data and Key Metrics Changes - Organic ASV grew by $22.6 million in Q3 2025, representing a 4.5% year-over-year increase [25] - GAAP revenues increased by 5.9% year-over-year, reaching $586 million [25] - Adjusted diluted EPS decreased by $0.10 or 2.3% to $4.27 [30] - GAAP operating margin was 33.2%, a decrease of 350 basis points compared to the previous year [29] - Free cash flow grew to $229 million in Q3, up 5% over the same period last year [31] Business Line Data and Key Metrics Changes - Wealth organic ASV maintained double-digit growth, with new business sales nearly doubling compared to the previous year [12] - Dealmaker banking gains were driven by improved retention and several multiyear deals [14] - Private equity and venture capital (PEVC) saw its fourth consecutive quarter of accelerating growth [16] - Hedge funds experienced growth due to new fund launches and increased adoption of data products [19] Market Data and Key Metrics Changes - In the Americas, organic ASV increased by 5%, driven by higher banking and asset manager retention [11] - EMEA saw organic ASV growth of 2%, impacted by lower contributions from annual price increases [11] - Asia Pacific experienced a 7% increase in organic ASV, primarily due to higher retention in the banking sector [11] Company Strategy and Development Direction - The company is focused on driving top-line growth and expanding its footprint in wealth management and institutional buy-side solutions [20][22] - Investments in technology, particularly in generative AI, are prioritized to enhance product offerings and operational efficiency [27][33] - The leadership transition to Sanoq Viswanathan is expected to guide the company through its next growth phase [7] Management's Comments on Operating Environment and Future Outlook - Management noted that while there are no significant macroeconomic changes, client demand for technology and data solutions remains strong [38] - The company is optimistic about Q4 performance, reaffirming its FY 2025 guidance based on a healthy pipeline and growing momentum [9][33] - Management highlighted the importance of executing on a diverse portfolio of opportunities to achieve projected results [95] Other Important Information - The company repurchased approximately 184,000 shares for around $81 million during the quarter [31] - A new share repurchase authorization of up to $400 million was approved, effective September 1, 2025 [31] - The company has returned $415 million to shareholders over the past twelve months through dividends and share repurchases [32] Q&A Session Summary Question: Changes in macro environment and ASP growth - Management indicated that there hasn't been a significant change in the macro environment, attributing ASP growth to better execution and product traction [37][38] Question: Q4 outlook and comparisons to last year - Management noted that both The Americas and EMEA regions look strong, with growth driven by enterprise solutions and improved retention [47][49] Question: Thoughts on fiscal 2026 - Management stated that they are focused on Q4 and will discuss fiscal 2026 in the September call [55] Question: Headwinds from asset owners optimizing costs - Management acknowledged competitive pressures but expressed optimism for improvement in the future [58][60] Question: Adjusted operating margin expectations for Q4 - Management confirmed that they expect to remain within the adjusted margin guidance range of 36% to 37% [65] Question: Internal efficiency initiatives related to GenAI - Management is focused on applying GenAI internally to improve productivity and reduce administrative tasks [72][76] Question: Demand for data solutions and momentum - Management highlighted a return to historical levels of demand for data solutions, driven by a broader suite of offerings [99][101]

FactSet Earnings Call Monday, June 23, 2025 FactSet reports its financial results in accordance with U.S. GAAP. This presentation and oral statements made in connection with this presentation reference non-GAAP financial measures, including organic revenues, adjusted operating income, adjusted operating margin, EBITDA, adjusted net income, adjusted diluted EPS, and free cash flow. The presentation of this non-GAAP financial information should not be considered in isolation from, or as a substitute for, the ...

FactSet Reports Results for Third Quarter 2025 NORWALK, Conn., June 23, 2025 - FactSet ("FactSet" or the "Company") (NYSE:FDS) (NASDAQ:FDS), a global financial digital platform and enterprise solutions provider, today announced results for its third quarter fiscal 2025 ended May 31, 2025. Third Quarter Fiscal 2025 Highlights (1) References to "organic" figures in this press release exclude the current year impact of acquisitions and dispositions completed within the past 12 months and the current year impac ...