Slide 1: FactSet Earnings Call Fourth Quarter Fiscal 2020
FactSet Earnings Call September 24, 2020 Fourth Quarter Fiscal 2020 Copyright © 2020 FactSet Research Systems Inc. All rights reserved.
Slide 2: Forward-Looking Statements and Non-GAAP Measures
Forward-Looking Statements and Non-GAAP Measures This presentation may contain forward looking statements reflecting management’s current expectations based on currently available information. Actual results may differ materially from what is expressed or forecast in such forward-looking statements.
Slide 3: Agenda
Agenda 01 Welcome / Introductions 02 Business Update 03 Financial Overview 04 Questions and Answers 05 Appendix Copyright © 2020 FactSet Research Systems Inc. All rights reserved. 3
Slide 4: Business Update
Business Update Copyright © 2020 FactSet Research Systems Inc. All rights reserved.
Slide 5: 2020 Accomplishments
2020 Accomplishments 40 years of 24 years of Q4 highest reported 5k+ 133k+ 99% diversified users increased employees working consecutive consecutive quarterly ASV in client base by by 5% remotely revenue growth adjusted diluted the history of the expanding into Successful rollout of WFH EPS growth c
Slide 6: Areas of Accelerated Investment
Areas of Accelerated Investment CONTENT TECHNOLOGY PEOPLE Expand Existing Content & Develop Open & Flexible Develop and Hire Talent Collect New Data Technology to Grow and Scale • Deep Sector – Multiple • Content Automation • Add experts in technology Industries & automation • Digitized Workflows –
Slide 7: Key Metrics - Fourth Quarter 2020
Key Metrics1 - Fourth Quarter 2020 5.3% 33.2% $2.88 ORGANIC ASV2 + ADJUSTED ADJUSTED PROFESSIONAL + OPERATING + DILUTED SERVICES MARGIN EPS Driven by higher sales 70 basis points 10% growth YoY from from Wealth and lower YoY due to lower tax rate and Analytics investment spend higher operating resul
Slide 8: ASV + Professional Services Growth Rates by Global Segments & Businesses
ASV + Professional Services Growth Rates* – By Global Segments & Businesses $1.56B Organic ASV + Professional Services + 5% $422M $156M EMEA ASIAPAC $25M +5% +8% Pro Svcs +9% $957M AMERICAS +5% * LTM Organic ASV Growth Rate is based on last twelve months as of August 31, 2020 Copyright © 2020 FactSe
Slide 9: Financial Overview
Financial Overview Copyright © 2020 FactSet Research Systems Inc. All rights reserved.
Slide 10: Fiscal 2020 Results versus Guidance
Fiscal 2020 Results versus Guidance FY 2020 Guidance1 FY 2020 Results Organic ASV Growth Rate $60m - $75m $78.4m + GAAP Revenues $1.485b - $1.490b $1.494b + GAAP Operating Margin 30.0% - 30.5% 29.4% - Adjusted Operating Margin2 33.0% - 33.5% 33.6% + Annual Effective Tax Rate3 15.5% - 16.5% 12.7% + G
Slide 11: Fourth Quarter 2020 Financial Results
Fourth Quarter 2020 Financial Results* (in thousands, except per share data) 5.3% 4.9% 11.6% 2.8% 490bps 70bps GAAP Organic GAAP Adjusted GAAP Adjusted Revenues Revenues Operating Operating Operating Operating 8/31/20 $383,590 8/31/20 $383,373 Income Income Margin Margin1 8/31/19 $364,283 8/31/19 $3
Slide 12: Key Operational Metrics
Key Operational Metrics >95% ASV RETENTION 133,051 USER COUNT ASV retained from clients over the last twelve Number of individuals accessing FactSet’s months. workstations. No change versus 2019 | Q4 4.9% change since 2019 | Q4 90% CLIENT RETENTION 5,875 CLIENT COUNT Percentage of clients retained o
Slide 13: Returning Capital to Shareholders
Returning Capital to Shareholders (in millions except share price) $270.10 $157.16 $241.08 $197.06 $162.62 $304 $357 $261 $220 $200 $89 $100 $110 $74 $81 '16 '17 '18 '19 '20 Cash Dividends Share Repurchases* Avg. Price * Includes shares repurchased from employee stock options Copyright © 2020 FactSe
Slide 14: Business Outlook – Fiscal 2021
Business Outlook – Fiscal 20211 Fiscal 2021 Outlook Organic ASV + Professional Services Growth2 $55 - $85 million The Business Outlook - Fiscal 2021 shown here is a forward-looking statement. Given the GAAP Revenues $1,570 - $1,585 million risk factors, uncertainties and assumptions, particularly th
Slide 15: Questions & Answers
Questions & Answers Copyright © 2020 FactSet Research Systems Inc. All rights reserved.
Slide 16: Appendix
Appendix Copyright © 2020 FactSet Research Systems Inc. All rights reserved.
Slide 17: Non-GAAP Reconciliations: Organic Revenues
Non-GAAP Reconciliations Organic Revenues (in thousands) FOR THE THREE MONTHS ENDED AUGUST 31 FOR THE YEAR ENDED AUGUST 31 (Unaudited) 2020 2019 % Change 2020 2019 % Change GAAP Revenues $ 383,580 $ 364,283 5.3% $ 1,494,111 $ 1,435,351 4.1% Deferred revenue fair 619 1,262 4,192 5,185 value adjustmen
Slide 18: Non-GAAP Reconciliations: Adjusted Operating Income, Net Income, EPS
Non-GAAP Reconciliations Adjusted Operating Income, Margin, Net Income and Diluted EPS (in thousands, except per share data) FOR THE THREE MONTHS ENDED AUGUST 31 FOR THE YEAR ENDED AUGUST 31 (Unaudited) 2020 2019 % Change 2020 2019 % Change GAAP Operating Income $ 98,577 $ 111,568 (11.6)% $ 439,660
Slide 19: Non-GAAP Reconciliations: Free Cash Flow
Non-GAAP Reconciliations Free Cash Flow (in thousands) FOR THE THREE MONTHS ENDED AUGUST 31 FOR THE YEAR ENDED AUGUST 31 (Unaudited) 2020 2019 % Change 2020 2019 % Change Net Cash Provided by Operating Activities $ 159,427 $ 121,811 $ 505,840 $ 427,136 Capital Expenditures $ (14,732) (26,464) (77,64
Slide 20: Non-GAAP Reconciliations: Business Outlook
Non-GAAP Reconciliations Business Outlook Operating Margin, Net Income and Diluted EPS (in millions, except per share data) FISCAL 2021 (FULL YEAR) Low End of Range High End of Range GAAP operating income $ 468 $479 GAAP operating margin 29.5% 30.5% Intangible asset amortization 25 25 Other non-recu
Slide 21: Thank you.
Thank you. Copyright © 2020 FactSet Research Systems Inc. All rights reserved.