FactSet Research Systems Inc. ( FDS ) reported first-quarter sales of $607.6 million, surpassing analyst expectations of $600.5 million and representing a 6.9% year-over-year (Y/Y) gain.

The company reported quarterly adjusted earnings per share of $4.51, exceeding the street view of $4.37.

Key Metrics

Organic revenues grew 6.0% Y/Y to $600.0 million during the quarter. 

Also Read: Top Wall Street Forecasters Revamp FactSet Research Expectations Ahead Of Q1 Earnings

As of November 30, 2025, the client count was 9,003, a net increase of 7 clients in the past three months, led by corporate and wealth management clients.

Annual Subscription Value (ASV) was $2.41 billion at November 30, 2025, compared with $2.266 billion a year ago.

FactSet said organic ASV increased $6.6 million over the last three months.  

The company reported a quarterly adjusted operating margin of 36.2%, down from 37.6% due to higher technology and third-party content expenses.

Dividend & Liquidity

FactSet paid a quarterly dividend of $41.0 million, or $1.10 per share, on December 18, 2025, to shareholders of record as of November 28, 2025.

In the first quarter, the company repurchased 478,100 shares for $139.9 million under its existing buyback program.

As of November 30, 2025, $260.1 million remained available, and on December 16, the Board approved an additional $600 million to $1 billion in repurchase authority, effective immediately.

FactSet exited the quarter with cash and equivalents worth $275.5 million and long-term debt of $1.37 billion as of November 30, 2025.

FactSet CEO Sanoke Viswanathan said, “FactSet’s strong start to the year underscores the quality of our data and products and the strategic role our platform and analytical services play across the financial ecosystem.”

On the earnings call, Viswanathan said AI is enhancing, not replacing, FactSet’s core offerings, while pointing to broad-based positive sentiment across markets. “AI doesn’t replace what makes FactSet essential. It amplifies it,” he said.

He added that AI is not expected to drive major headcount cuts, emphasizing continued investment in content and AI to support long-term growth.

Outlook

FactSet reaffirmed its fiscal 2026 guidance, projecting adjusted EPS of $16.90–$17.60 (versus $17.38 consensus) and sales of $2.423 billion–$2.448 billion (versus $2.442 billion consensus).

The company sees organic ASV of $100 million-$150 million and adjusted operating margin of 34.0% to 35.5%.

FDS Price Action: FactSet Research Systems ( FDS ) shares were down 7.71% at $273.29 at the time of publication on Thursday, according to Benzinga Pro data.

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