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S&P Global forecasts annual profit above estimates on strong demand for its offerings
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S&P Global forecasts annual profit above estimates on strong demand for its offerings
Feb 11, 2025 5:22 AM

(Reuters) - S&P Global ( SPGI ) on Tuesday forecast 2025 adjusted earnings per share above Wall Street estimates, as the financial information company anticipated increasing demand for its data and analytics offerings amid macroeconomic uncertainty.

Demand for market analytical tools has risen as investors try to capture alpha in a post-U.S. election market rally over anticipation of deregulation and tax cuts under the Trump administration.

The New York-based company, which is the largest credit ratings agency in the U.S., also announced a $650 million accelerated share repurchase program.

Shares of S&P Global ( SPGI ) rose 3.4% in premarket trading.

The company forecast an annual profit of $17.00 to $17.25 per share, above analysts' estimate of $16.92, according to data compiled by LSEG.

Revenue from S&P's Ratings segment, which provides credit ratings, research and analytics to investors, jumped 27% to $1.06 billion in the three months ending December 31.

Revenue from the Market Intelligence unit - S&P Global's ( SPGI ) biggest segment that provides data and analytics to investment professionals, corporations and government agencies - rose 5% to $1.19 billion.

Total quarterly revenue jumped 14% to $3.59 billion.

The company reported an adjusted profit of $3.77 per share, surpassing analysts' expectation of $3.48 per share.

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