Moody’s ( (MCO) ) has released its Q4 earnings. Here is a breakdown of the information Moody’s presented to its investors.
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Moody’s Corporation is a global integrated risk assessment firm, providing credit ratings, research, tools, and analysis that contribute to transparent and integrated financial markets. The company operates primarily through two segments: Moody’s Investors Service (MIS) and Moody’s Analytics (MA).
Moody’s recently announced its fourth-quarter and full-year 2024 financial results, highlighting significant revenue growth and strategic achievements. The company also provided an optimistic outlook for the fiscal year 2025.
In 2024, Moody’s Corporation reported a revenue increase of 20% year-over-year, reaching $7.1 billion. The MIS segment saw a substantial 33% revenue growth, driven by heightened debt issuance and favorable market conditions. The MA segment grew by 8%, with strong recurring revenue and increased demand for decision solutions. The company’s diluted earnings per share (EPS) rose by 29% to $11.26, with adjusted diluted EPS at $12.47, marking a 26% increase.
Looking ahead, Moody’s projects continued growth in 2025, with revenue expected to rise in the high-single-digit percent range. The company targets adjusted diluted EPS between $14.00 and $14.50, indicating low-to-mid-teens percentage growth. Operating expenses are forecasted to increase slightly, driven by strategic investments and restructuring efforts aimed at enhancing operational efficiency.
Moody’s management remains optimistic about leveraging its investments in data and technology to capitalize on market opportunities. The forward-looking guidance suggests a focus on maintaining robust financial performance while adapting to evolving economic conditions.
