MSCI Inc ( (MSCI) ) has released its Q1 earnings. Here is a breakdown of the information MSCI Inc presented to its investors.
MSCI Inc. is a prominent provider of critical decision support tools and services for the global investment community, specializing in research, data, and technology to enhance investment decisions across various sectors.
MSCI Inc. has reported a robust financial performance for the first quarter of 2025, showcasing significant growth in operating revenues and earnings per share. The company continues to demonstrate strong retention rates and asset-based fee revenue growth, reflecting its strategic focus on expanding its market presence and product offerings.
Key highlights from the earnings report include a 9.7% increase in operating revenues to $745.8 million and a 15.2% rise in diluted earnings per share to $3.71. The company’s recurring subscription revenues grew by 7.7%, while asset-based fees surged by 18.1%. MSCI’s operating margin improved to 50.6%, and its adjusted EBITDA margin reached 57.1%. Additionally, the company maintained a high retention rate of 95.3% and repurchased $275.4 million worth of shares.
Segment-wise, the Index segment saw a 12.8% increase in operating revenues, driven by higher asset-based fees and subscription revenues. The Analytics segment experienced a 5.0% growth in revenues, while the Sustainability and Climate segment reported an 8.6% increase, reflecting the growing demand for ESG-related products. The Private Assets segment also showed a 4.7% rise in revenues, primarily from recurring subscriptions.
Looking ahead, MSCI remains confident in its resilient business model and strong client relationships, which position it well to navigate global market challenges. The company aims to continue delivering durable financial results by leveraging its comprehensive data, models, and technology solutions to support clients across various market cycles.