Factset Research Systems Inc. · NYSE:FDS

Factset Research Systems — Q1 2024 Earnings Presentation

22 slides from Factset Research Systems's earnings presentation, Sep 19, 2024

  1. Slide 1: FactSet Earnings Call First Quarter Fiscal 2024

    Tuesday December 19, 2023 FactSet Earnings Call First Quarter Fiscal 2024 Copyright © 2023 2022 FactSet Research Systems Inc. All rights reserved. FactSet Confidential: Business Do not Useforward. Only

  2. Slide 2: Forward-Looking Statements and Non-GAAP Measures

    Forward-Looking Statements and Non-GAAP Measures This presentation, and other statements that FactSet may make in connection with this presentation, contains forward-looking statements based on management's current expectations, assumptions, estimates, forecasts and projections about future events a

  3. Slide 3: Agenda

    Agenda • Welcome • Business Update • Financial Overview • Questions and Answers • Appendix Copyright © 2023 FactSet Research Systems Inc. All rights reserved. FactSet Business Use Only 3

  4. Slide 4: Key Metrics - First Quarter 2024

    Key Metrics - First Quarter 2024 1 2 2 7.1% 37.6% $4.12 ORGANIC ASV + ADJUSTED ADJUSTED PROFESSIONAL SERVICES + OPERATING + DILUTED GROWTH MARGIN EPS Driven by higher Wealth Decreased by ~70 bps YoY due Increased by 3.3% YoY due sales and increased sales to higher technology expenses, to revenue gro

  5. Slide 5: Key Operational Metrics

    Key Operational Metrics >95% 207,083 ASV RETENTION USER COUNT ASV retained from clients over the last twelve Number of individuals accessing FactSet’s months. solutions. No change versus 2023 | Q1 14% change since 2023 | Q1 90% CLIENT RETENTION 7,945 CLIENT COUNT Percentage of clients retained over

  6. Slide 6: ASV + Professional Services Growth Rates by Global Segments

    ASV + Professional Services Growth Rates* – By Global Segments $2,185 Million Organic ASV + Professional Services 7.1% + $552M $216M $453M $176M EMEA ASIAPAC EMEA $596M $600M +5% +8% $22M +7% +14% ANALYTICS ANALYTICS Pro Svcs $813M RESEARCH (4)% +6% $1,048M $1,395M +6% AMERICAS AMERICAS $218M $181M

  7. Slide 7: We continued to deliver on our strategy

    We continued to deliver on our strategy: To build the leading open content and analytics platform that delivers differentiated advantage for our clients’ success Next Scale Up Generation Client Our Content Workflow Obsession Refinery Solutions Industry leading analytics and middle office solutions d

  8. Slide 8: Financial Overview

    Financial Overview Copyright © 2022 FactSet Research Systems Inc. All rights reserved. Confidential: Do not forward. 8

  9. Slide 9: First Quarter 2024 Financial Results

    First Quarter 2024 Financial Results* (in thousands, except per share data) 7.4% 7.2% 10.0% 5.5% 80bps (70bps) Revenues Organic Revenues Operating Income Adjusted Operating Operating Margin Adjusted Operating 11/30/23 $542,216 11/30/23 $541,393 11/30/23 $189,040 Income 11/30/23 34.9% Margin 11/30/22

  10. Slide 10: We remain focused on returning capital to shareholders

    We remain focused on returning capital to shareholders FactSet continued share repurchases in the first fiscal quarter of 2024 Figures in millions accept share price $440.67 $410.64 $403.44 $330.26 $270.10 $241.08 $197.06 $162.62 $177 $304 $220 $201 $265 $19 $261 136K $118 $126 $139 $59 $89 $100 $11

  11. Slide 11: Fiscal 2024 Outlook

    At the midpoint, guidance for fiscal 2024 reflects ASV growth of 6% and adjusted operating margin of 36.5%, yielding expansion of 30bps over fiscal 2023. Adjusted EPS midpoint is $15.80, for 7.8% growth FISCAL 2024 OUTLOOK As of December 19, 2023 Organic ASV + Professional Services Growth1 $110 - $1

  12. Slide 12: Questions & Answers

    Questions & Answers Copyright © 2022 FactSet Research Systems Inc. All rights reserved. Confidential: Do not forward.

  13. Slide 13: Appendix

    Appendix

  14. Slide 14: First Quarter 2024 Adjusted Operating Income Walk

    First Quarter 2024 Adjusted Operating Income Walk US$ millions 542 220 26 48 17 27 204 Revenue People Third Party Technology Real Estate Other Adjusted Operating Content Income Figures as of November 30, 2023 Copyright © 2023 FactSet Research Systems Inc. All rights reserved. FactSet Business Use On

  15. Slide 15: Non-GAAP Reconciliations: Organic Revenues

    Non-GAAP Reconciliations Organic Revenues (in thousands) FOR THE THREE MONTHS ENDED NOVEMBER 30 (Unaudited) 2023 2022 % Change GAAP Revenues $542,216 $504,815 7.4% Acquired Revenues (174) - Currency Impact (649) - Organic Revenues $541,393 $504,815 7.2% Copyright©©2022 Copyright 2023FactSet FactSetR

  16. Slide 16: Non-GAAP Reconciliations: Adjusted Operating Income, Margin, Net Income

    Non-GAAP Reconciliations Adjusted Operating Income, Margin, Net Income (in thousands, except per share data) FOR THE THREE MONTHS ENDED NOVEMBER 30 (Unaudited) 2023 2022 % Change GAAP Operating Income $189,040 $171,895 10.0% Intangible Asset Amortization 17,344 18,008 Restructuring/ Severance (2,419

  17. Slide 17: Non-GAAP Reconciliations: EBITDA

    Non-GAAP Reconciliations EBITDA (in thousands) FOR THE THREE MONTHS ENDED NOVEMBER 30 (Unaudited) 2023 2022 % Change Net Income $148,555 $136,798 8.6% Interest Expense, net 16,738 16,537 Income taxes 26,641 21,087 Depreciation and amortization expense 27,068 25,997 EBITDA $219,002 $200,419 9.3% Copy

  18. Slide 18: Non-GAAP Reconciliations: Adjusted Diluted EPS

    Non-GAAP Reconciliations Adjusted Diluted EPS (in thousands, except per share data) FOR THE THREE MONTHS ENDED NOVEMBER 30 (Unaudited) 2023 2022 % Change GAAP Diluted Earnings per Common Share $3.84 $3.52 9.1% Intangible Asset Amortization 0.32 0.40 Restructuring/ Severance (0.04) - Business Acquisi

  19. Slide 19: Non-GAAP Reconciliations: Free Cash Flow

    Non-GAAP Reconciliations Free Cash Flow (in thousands) FOR THE THREE MONTHS ENDED NOVEMBER 30 (Unaudited) 2023 2022 % Change Net Cash Provided by Operating Activities $155,144 $106,636 Capital Expenditures (16,466) (17,960) Free Cash Flow $138,678 $88,676 56.4% Copyright Copyright©©2023 2022FactSet

  20. Slide 20: Non-GAAP Reconciliations: Business Outlook Operating Margin, Net Income

    Non-GAAP Reconciliations Business Outlook Operating Margin, Net Income (in millions, except per share data) Fiscal 2024 (Forward Looking) Low End of Range High End of Range Revenues $2,200 $2,210 Operating Income $ 715 $729 Operating Margin 32.5% 33.0% Intangible Asset Amortization 84 82 Adjusted Op

  21. Slide 21: Non-GAAP Reconciliations: Business Outlook Diluted EPS

    Non-GAAP Reconciliations Business Outlook Diluted EPS (in millions, except per share data) Low End of Range High End of Range Diluted Earnings per Common Share $13.95 $14.35 Intangible Asset Amortization 1.81 1.75 Discrete Tax Items (0.16) (0.13) Adjusted Diluted Earnings per Common Share $15.60 $16

  22. Slide 22: Thank you

    Thank you Copyright © 2022 FactSet Research Systems Inc. All rights reserved. Confidential: Do not forward.

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