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Benzinga
Benzinga
Business
Anusuya Lahiri

FactSet Sees Sales Growth Ahead As CEO Highlights AI Shift

Konskie,,Poland,-,January,31,,2024:,Factset,Company,Logo,Displayed

FactSet Research Systems (NYSE:FDS) released its fourth-quarter results on Thursday.

The company reported quarterly sales of $596.9 million, surpassing analyst expectations of $593.5 million and representing a 6.2% year-over-year gain.

The company reported quarterly adjusted earnings per share of $4.05, missing the street view of $4.13.

Also Read: FactSet Reports Q3 Revenue Beat, Client Growth, Leadership Shift With JPMorgan Hire

Organic revenues grew 4.5% to $587.3 million during the quarter. 

As of August 31, 2025, the client count was 8,996, a net increase of 185 clients in the past three months, driven by corporate and wealth management clients.

Annual Subscription Value was $2.406 billion at August 31, 2025, compared with $2.255 billion a year ago. FactSet said organic ASV increased $81.8 million over the last three months.  

The company reported a quarterly adjusted operating margin of 33.8%, down 200 bps due to higher technology expenses.

A quarterly dividend of $41.4 million, or $1.10 per share, was paid on September 18, 2025, to holders of record on August 29, 2025.

FactSet exited the quarter with cash and equivalents worth $355.1 million. The company’s long-term debt expanded to $1.37 billion as of August 31, 2025, from $1.24 billion as of August 31, 2024.

As of August 31, 2025, the employee headcount was 12,800, up 3.2% over the last 12 months, primarily due to the increase in the sales and technology groups.

FactSet CEO Sanoke Viswanathan emphasized that FactSet is at a strategic inflection point as AI and data-driven innovation transform financial market workflows.

Outlook

FactSet expects revenues of $2.423 billion-$2.448 billion versus the analyst consensus estimate of $2.320 billion.

The company projected adjusted diluted EPS of $16.90-$17.60 versus $17.06 analyst consensus estimate.

It expects an adjusted operating margin of 34.0%-35.5%.

The stock plunged over 30% year-to-date, failing to reach the adjusted EPS consensus estimates in at least two out of the last three quarters.

Price Action: FDS stock was trading lower by 0.90% to $333.00 premarket at last check Thursday.

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