Factset Research Systems Inc. · NYSE:FDS
Factset Research Systems — Q4 2019 Earnings Presentation
22 slides from Factset Research Systems's earnings presentation, Sep 26, 2019
Slide 1: FactSet Earnings Call Fourth Quarter Fiscal 2019
SEE THE ADVANTAGE FactSet Earnings Call September 26, 2019 Fourth Quarter Fiscal 2019 ‘Copyright ©2018 FactSet Research Systems In. Allights 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 forecasted in such forward-looking statement
Slide 3: Agenda
Agenda Welcome’ Introductions Business Update Financial Overview Questions and Answers Appendix FACTSET ) SEE THE ADVANTAGE
Slide 4: Business Update
SEE THE ADVANTAGE ) FACTSET Business Update
Slide 5: Key Metrics - Fourth Quarter 2019
Key Metrics’ - Fourth Quarter 2019 ORGANIC ASV2 + PROFESSIONAL SERVICES 5.1% Driven by higher sales from analytics and CTS SEE THE ADVANTAGE 7am DN Oo a) OPERATING MARGIN 33.9% 260 bps higher than Q4 2018
Slide 6: Organic ASV + Professional Services — Fourth Quarter 2019
Organic ASV + Professional Services — Fourth Quarter 2019 10% cts Growth Rate”: 1 Bete Bieedigr: ge 15% i $522M ORGANIC GROWTH RATE 5.1% - = $1.48B TOTAL ASV#PROF S¥CsS Research Growth Rate’: FACTSET ) SEE THE ADVANTAGE
Slide 7: Areas of Accelerated Investment
Areas of Accelerated Investment Content Technology People Deep Sector - Multiple Industries Wealth Advisors data Private Market Complete suite of APIs Smarter, personalized content Shift to Public Cloud > o fe} = ie} Zz x= Oo Tt = FACTSET ) SEE THE ADVANTAGE
Slide 8: Financial Overview
SEE THE ADVANTAGE ) FACTSET Financial Overview
Slide 9: Fiscal 2019 Results versus Guidance
Fiscal 2019 Results versus Guidance FY 2019 Guidance} FY 2019 Results Organic ASV Growth Rate $70m - $75m $71.6m Adjusted Diluted EPS" | Please see Appendix forareconcilation of these non-GAAP metrics to GAAP metrics. 2 The guidance for annual effective taxrate provided for fscal2019 di not include
Slide 10: Key Financial & Operational Metrics
Key Financial & Operational Metrics ORGANIC REVENUES Organi ever positions, foreign curency. 4 2019 USER COUNT Number of ny ASV + PROFESSIONAL SERVICES ic ASV excludes theeffecso <Sspositons and foreign ourency. Pro feverues derived fom project-based consulting implementation ADJUSTED OPERATING INCO
Slide 11: Organic ASV + Professional Services — By Regions
Organic ASV + Professional Services — Fourth Quarter 2019 By Regions — ORGANIC GROWTH RATE 5.1% = $1.48B TOTAL ASV#PROF S¥CsS FACTSET ) SEE THE ADVANTAGE
Slide 12: Fourth Quarter 2019 Financial Results
Fourth Quarter 2019 Financial Results* (in thousands, except per share data) For the Three Months Ended Aug 31 2019 2019 GAAP Revenues $ 364,283 Organic Revenues $365,628 Operating Income $111,568 Adjusted Operating Income $ 123,881 Operating Margin 30.6% Adjusted Operating Margin 33.9% Net Income $
Slide 13: Returning Capital to Shareholders
Returning Capital to Shareholders (in millions) $500 $400 $300 $304 $200 $100 $100 45 47 = Cash Dividends m Share Repurchases FACTSET ) SEE THE ADVANTAGE
Slide 14: Projected Growth Rates for 2022
Projected Growth Rates for 20221 33%+ Adjusted Operating Margin a (ers Low 208 react en . _ Technology = High Single Digit People WEALTH iin) Pens TOTAL ASV+PROF S RESEARCH Low Single Digit 10%+ Adjusted Diluted EPS Growth | FactSet's expectations as of September 26, 2019, Actualresutts may differ m
Slide 15: Business Outlook — Fiscal 2020
Business Outlook — Fiscal 2020! Organic ASV + Professional Services Growth? GAAP Diluted EPS $8.70 - $9.00 Adjusted Diluted EPS* $9.85 - $10.15 The Business Outlook - Fiscal 2020 shown above is a forward-looking statement. Investors should review the Company's cautionary statements and risk factors
Slide 16: Questions and Answers
SEE THE ADVANTAGE ) FACTSET Questions and Answers
Slide 17: Appendix
SEE THE ADVANTAGE ) FACTSET Appendix
Slide 18: Non-GAAP Reconciliations: Organic Revenues
Non-GAAP Reconciliations Organic Revenues (in thousands) FOR THE THREE MONTHS ENDED FOR THE YEAR ENDED AUGUST 31, AUGUST 31, (Unaudited) 019 % Change 019 01: hange (GAAP Revenues $264,283, 3.345.861 5.3% 31,495,281 $1,380,145 63% Deferred revenue fair value adjustment 41,262 1,397 5185 7.691 Currenc
Slide 19: Non-GAAP Reconciliations: Adjusted Operating Income, Net Income and EPS
Non-GAAP Reconciliations Adjusted Operating Income, Margin, Net Income and Diluted EPS (in thousands, except per share data) FOR THE THREE MONTHS ENDED FOR THE YEAR ENDED ‘AUGUST 31, AUGUST 31, (Unaudited) ‘GAAP Operating Income $111,568 $88,356 26.3% $438,035 $265,204 196% Intangible asset amortiza
Slide 20: Non-GAAP Reconciliations: Free Cash Flow
Non-GAAP Reconciliations Free Cash Flow (in thousands) FOR THE THREE MONTHS ENDED FOR THE YEAR ENDED AUGUST 31, AUGUST 31 (Unaudited) 9 Change 19 01: hange Net Cash Provided by Operating Activities sian $106,324 $427,136 $385,668 Capital Expenditures (28,484) (15,145) (9,370) (33,520) Free Cash Flow
Slide 21: Non-GAAP Reconciliations: Business Outlook
Non-GAAP Reconciliations Business Outlook Operating Margin, Net Income and Diluted EPS (in thousands, except per share data) FISCAL 2020 (FULL YEAR) Low End of Range High End of Range ‘GAAP operating margin 285% 295% Intangible assetamortization 16% 18% Deferred revenue far value adjustment 0.3% 0.3
Slide 22: Thank you.
SEE THE ADVANTAGE Thank you.
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