FactSet Research Systems Inc. reported net income above Wall Street’s expectations for the second quarter. FactSet Research Systems is a provider of integrated global financial and economic information, including fundamental financial data on tens of thousands of companies worldwide.
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FactSet Research Systems Earnings Cheat Sheet for the Second Quarter
Results: Net income for FactSet Research Systems Inc. rose to $46.7 million ($1.02 per share) vs. $45.3 million (95 cents per share) in the same quarter a year earlier. This marks a rise of 3.3% from the year-earlier quarter.
Revenue: Rose 12.2% to $199.4 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: FactSet Research Systems Inc. reported adjusted net income of $1.14 per share. By that measure, the company beat the mean estimate of $1.01 per share. Analysts were expecting revenue of $198.3 million.
Quoting Management: Philip Hadley, Chairman and CEO said, “We’re pleased with our second quarter results as today we announced robust top and bottom-line growth. We grew ASV by $22 million, revenues by 12%, and non-GAAP EPS by 16%. FactSet added 53 net new clients in the quarter, our highest number since 2006 and sequentially we added 400 net new users during the quarter.”
The company has seen double-digit year-over-year percentage revenue growth for the past five quarters. Over that span, the company has averaged growth of 13.4%, with the biggest boost coming in the third quarter of the last fiscal year when revenue rose 14.6% from the year earlier quarter.
The company has now seen net income rise in three straight quarters. In the first quarter, net income rose 9.5% and in the fourth quarter of the last fiscal year, the figure rose 4%.
The company has now beaten estimates the last two quarters. In the first quarter, it topped expectations with net income of $1.02 versus a mean estimate of net income of $1 per share.
Looking Forward: Analysts appear increasingly negative about the company’s results for the next quarter. The average estimate for the third quarter has moved down from $1.05 a share to $1.03 over the last ninety days. At $4.09 per share, the average estimate for the fiscal year has fallen from $4.17 ninety days ago.
(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
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- FactSet Research Systems