FactSet Reports Results for Third Quarter 2025

Core Insights - FactSet reported third quarter fiscal 2025 GAAP revenues of $585.5 million, reflecting a 5.9% increase from the prior year, driven by growth in wealth and institutional buy-side clients [4][5] - Organic Annual Subscription Value (ASV) reached $2,296.9 million, up 4.5% year over year, indicating a strong demand for subscription services [4][7] - The company announced a leadership transition with Sanoke Viswanathan set to become CEO in September 2025, succeeding Phil Snow [4][15] Financial Performance - GAAP revenues increased by $32.8 million compared to the same period last year, while organic revenues grew by 4.4% to $577.2 million [4][5] - GAAP diluted EPS decreased by 5.4% to $3.87, and adjusted diluted EPS decreased by 2.3% to $4.27, primarily due to higher operating expenses [4][5][30] - Net cash provided by operating activities was $253.8 million, a 6.5% increase year over year, with free cash flow rising to $228.6 million, up 5.4% [4][5][37] Subscription Metrics - Total ASV was $2,335.1 million as of May 31, 2025, compared to $2,199.1 million a year earlier, with organic ASV growth of $98.5 million [4][7] - The buy-side clients accounted for 82% of organic ASV, with both buy-side and sell-side organic ASV growth rates at 4.0% [8][9] - ASV from the Americas increased by 5.0% to $1,486.0 million, while EMEA and Asia Pacific saw organic ASV growth rates of 2.1% and 7.1%, respectively [9][10][11] Operational Highlights - FactSet repurchased 184,050 shares for $80.7 million during the quarter, with $106.2 million remaining for future repurchases [12] - The company reaffirmed its fiscal 2025 guidance, expecting organic ASV growth between $100 million to $130 million [13][20] - Client count increased to 8,811, with a net addition of 166 clients, and user count rose to 220,496, reflecting growth in wealth management [15][22] Strategic Developments - FactSet was named Databricks' Financial Services Data Partner of the Year, enhancing its data integration capabilities [15] - The company entered a new credit agreement with a term loan of $500 million and a revolving credit facility of $1.0 billion, which remains undrawn [15]