S&P Global on Thursday (Apr 25) beat Street estimates for its first-quarter profit, as hopes of a “soft landing” spurred investors to spend more on data and analytics products
With growing expectations of the US Federal Reserve avoiding a recession, investors are increasingly spending more on analytics and data-related products. This trend bodes well for companies like S&P Global who provide such offerings.
Revenue from S&P’s Ratings segment, which provides credit ratings, research and analytics to investors, jumped 29 per cent to US$1.06 billion in the quarter from a year earlier. It helped the company post its record quarterly revenue of US$3.49 billion.
The company reported an adjusted diluted profit of US$4.01 per share for the three months ended Mar 31, compared with analysts’ expectations of US$3.66 per share.
The New York-based firm also raised its full-year revenue growth as well as adjusted profit forecast on growing optimism of a rebound in the economy and increased confidence in strong demand for its services.
The company now forecasts a full-year adjusted profit of US$13.85 to US$14.10 per share, compared with its earlier expectations of US$13.75 to US$14.00 per share.
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
It expects its revenue growth for 2024 to be between 6 to 8 per cent, compared with 5.5 to 7.5 per cent it forecast earlier. REUTERS
