FactSet Reports Steady Growth in Q2 2025 Earnings

Factset Research ( (FDS) ) has released its Q2 earnings. Here is a breakdown of the information Factset Research presented to its investors.

FactSet Research Systems Inc. is a global financial digital platform and enterprise solutions provider, known for delivering financial data, analytics, and open technology to over 8,600 clients worldwide, including buy-side and sell-side financial professionals.

In its second quarter of fiscal 2025, FactSet reported a 4.5% increase in GAAP revenues, reaching $570.7 million, and a 3.0% rise in GAAP diluted earnings per share to $3.76. The company’s organic Annual Subscription Value (ASV) also saw a 4.1% year-over-year growth, driven by wealth and institutional buy-side clients.

Key financial metrics for the quarter include a GAAP operating margin of 32.5%, which saw a slight decrease due to increased acquisition-related fees and technology expenses. Despite these costs, FactSet’s free cash flow improved significantly by 23.3% to $150.2 million, reflecting strong cash generation capabilities. The company also made strategic acquisitions, including LiquidityBook and LogoIntern, to enhance its product offerings and client services.

Looking ahead, FactSet has updated its fiscal 2025 guidance, anticipating organic ASV growth between $100 million and $130 million and GAAP revenues ranging from $2,305 million to $2,325 million. The company remains focused on maintaining its adjusted operating margin and EPS guidance, while continuing to invest in strategic priorities to support future growth.

FactSet’s management is optimistic about the company’s growth prospects, citing a strong pipeline and positive client engagements as key factors for potential acceleration in the latter half of the fiscal year.