S&p Global Inc. · NYSE:SPGI
S&p Global — McGraw Hill Financial — Wells Fargo Securities 2014 Tech, Media & Telecom Conference
14 slides from S&p Global's conference presentation, Nov 13, 2014
Slide 1: Wells Fargo Securities 2014 Tech, Media & Telecom Conference
WELLS FARGO SECURITIES 2014 TECH, MEDIA & TELECOM CONFERENCE Chip Merritt ‐ Vice President, Investor Relations November 13, 2014 McGraw Hill Financial Comparison of Adjusted Information to U.S. GAAP Information This presentation includes adjusted financial measures that are derived from the Company’
Slide 2: Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
“Safe Harbor” Statement Under the Private Securities Litigation Reform Act of 1995 This presentation contains “forward‐looking statements,” as defined in the Private Securities Litigation Reform Act of 1995. These statements, which express management’s current views concerning future events or resul
Slide 3: A Leading Provider of Ratings, Benchmarks, Analytics & Research
A Leading Provider of Ratings, Benchmarks, Analytics & Research Leading rating agency Premier provider of high quality data, analytical tools and ratings information The leading index provider Principal provider of commodity price assessments and information Primary quality benchmark provider with d
Slide 4: MHFI: A Proven Track Record of Growth
MHFI: A Proven Track Record of Growth Annual Revenue Growth Adjusted Operating Margin Mid to high ~ 200 bps +9% CAGR 33%* single‐digit 31% $4,702* $4,450 28% $3,954 2011 2012 2013 2014 2011 2012 2013 2014 Guidance Guidance * McGraw Hill Construction reclassified to discontinued operations McGraw Hil
Slide 5: A Truly Global Company
A Truly Global Company North America Headcount 6,000 Revenue $ 3.1B EMEA Headcount 2,000 Revenue $ 1.2B Asia Pacific Headcount 9,500 Revenue $ 0.5B Latin America Headcount 500 Revenue $ 0.1B ~18,000 Employees 30 Countries 95 Global Offices Revenue by Region as of 12/31/2013; Other totals as of Aug 2
Slide 6: MHFI: Double-Digit Earnings Growth
MHFI: Double‐Digit Earnings Growth Annual Adjusted Diluted EPS $3.78 ‐ $3.83* +24% CAGR $3.22* $2.75 *McGraw Hill Construction $2.09 reclassified as a discontinued operation 2011(1) 2012 2013 2014 Guidance Anticipate free cash flow of approximately $1 billion in 2014 (1) 2011 adjusted EPS excludes g
Slide 7: 3Q YTD 2014 Results by Line of Business
3Q YTD 2014 Results by Line of Business Revenue: $3,761M Adj. Segment Op. Profit: $1,482M ($ in millions) ($ in millions) Commodities Commodities & Commercial & Commercial $657 $230 S&P DJ Indices $412 S&P DJ $1,837 (1) Indices $264 $813 $919 $176 S&P Capital IQ S&P S&P S&P Capital IQ Ratings Rating
Slide 8: Standard & Poor's Ratings Services
Standard & Poor’s Ratings Services • Well positioned to capitalize on opportunities provided by structural changes in capital markets: – Developing capital markets – Bank deleveraging in developed markets – Recovery in structured finance • YTD 2014 results driven primarily by – Strength in frequent
Slide 9: S&P Dow Jones Indices
S&P Dow Jones Indices • Revenue generated from: – ETF and mutual fund contracts – Licensing of indices for derivative trading – Profit sharing with exchange partner – Data subscriptions • YTD 2014 results driven by: – Assets under management in ETFs which increased 25% to a record $733 billion at en
Slide 10: S&P Capital IQ
S&P Capital IQ • Revenue generated from: S&P Capital IQ Desktop S&P Credit S&P Capital IQ & Enterprise Solutions Solutions Markets Intelligence • S&P Capital IQ Desktop • RatingsDirect® • Global Markets • Compustat • RatingsXpress® Intelligence (GMI) • Consolidated Feeds • Leveraged Commentary & Dat
Slide 11: Commodities & Commercial (C&C) Markets
Commodities & Commercial (C&C) Markets Premier source of benchmarks, high‐value information, data, and analytic services • Revenue generated from • Revenue generated from subscriptions and licensing for proprietary research and brand derivative trading licensing • Thousands of daily price • J.D. Pow
Slide 12: Enhanced Balance Sheet Strength
Enhanced Balance Sheet Strength Year‐End Debt & Cash Positions $1,937M $1,560M $1,198M $1,265M $864M $799M $799M $761M Debt Cash 2011 2012 2013 3Q 2014 Debt / EBITDA 1.0x 0.8x 0.5X McGraw Hill Financial 22 Investing to Expand Portfolio: 2011–2014 MHFI Transactions S&P Dow Jones Indices S&P Capital I
Slide 13: Returning Substantial Cash to Shareowners
Returning Substantial Cash to Shareowners ($ in millions) Announced 50 million share repurchase authorization in $1,796 December, 2013 $1,279 $1,297 $548 $607 2010 2011 2012 2013 3Q YTD 2014 Share Repurchase Dividend McGraw Hill Financial 24 McGraw Hill Financial • A new company with a 125‐year heri
Slide 14: Intelligence
Intelligence 14
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