FactSet Research Systems Inc. (NYSE:FDS) had first-quarter revenue of $607.6 million, beating analyst estimates of $605 million and increasing 6.9% year-over-year (Y/Y).
The company reported quarterly adjusted earnings per share of $4.51, compared to Street View’s $4.37.
Key indicators
Organic revenue for the quarter was $600 million, an increase of 6.0% year over year.
Also read: Wall Street’s top forecasters revamp their FactSet survey forecasts ahead of first-quarter earnings
As of November 30, 2025, we had 9,003 clients, with a net increase of 7 clients over the past three months, primarily corporate and wealth management clients.
Annual subscription value (ASV) was $2.41 billion as of November 30, 2025, compared to $2.266 billion a year ago.
Organic ASV increased by $6.6 million in the past three months, according to FactSet.
The company reported quarterly adjusted operating margin of 36.2%. This was down from 37.6% due to advanced technology and third-party content costs.
Dividends and liquidity
FactSet paid a quarterly dividend of $41 million, or $1.10 per share, on December 18, 2025 to shareholders of record as of November 28, 2025.
During the first quarter, the company repurchased 478,100 shares under its existing stock repurchase program for $139.9 million.
As of November 30, 2025, $260.1 million was available, and on December 16, the Board of Directors approved an additional $600 million to $1 billion repurchase authority, effective immediately.
FactSet ended the quarter with cash and equivalents valued at $275.5 million and long-term debt of $1.37 billion as of November 30, 2025.
“FactSet’s strong start to the year underscores the quality of our data and products, and the strategic role our platform and analytics services play across the financial ecosystem,” said Sanoke Viswanathan, CEO of FactSet.
Viswanathan said on the earnings call that AI enhances, not replaces, FactSet’s core services, noting widespread positive sentiment across the market. “AI doesn’t replace FactSet as essential; it amplifies it,” he said.
He added that AI is not expected to cause significant headcount reductions and emphasized continued investment in content and AI to support long-term growth.
outlook
FactSet reaffirms its 2026 guidance, projecting adjusted EPS of $16.90 to $17.60 ($17.38 consensus) and revenue of $2.423 billion to $2.448 billion (consensus $2.442 billion).
The company expects organic ASV of $100 million to $150 million and adjusted operating margin of 34.0% to 35.5%.
FDS Price Movement: FactSet Research Systems shares fell 7.71% to $273.29 as of Thursday’s release, according to data from Benzinga Pro.
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