Nov 4 (Reuters) - Thomson Reuters ( TMSOF ) reported
higher third-quarter revenue on Tuesday, boosted by investments
in artificial intelligence products in its legal and tax and
accounting divisions.
The Toronto-based content and technology company also
reaffirmed its full-year 2025 guidance of a 7% to 7.5% rise in
organic revenue, which tracks income from existing businesses on
a constant currency basis.
"Our third-quarter results reflect continued momentum and
the ongoing execution of our AI-driven innovation strategy,"
Thomson Reuters ( TMSOF ) CEO Steve Hasker said in a statement.
The owner of Westlaw legal database, Reuters news agency and
the Checkpoint tax and accounting service reported third-quarter
adjusted earnings per share of 85 cents, slightly exceeding Wall
Street expectations, according to LSEG data.
Thomson Reuters ( TMSOF ) revenue rose 3% to $1.78 billion, meeting
expectations for the third quarter, during which it launched new
AI features in products in its legal and tax and accounting
divisions. It also purchased Additive AI, an artificial
intelligence-powered tax document processing specialist.
Revenue at its "Big 3" businesses - legal, tax and
accounting and corporates - rose 9% on an organic basis, while
Reuters News revenue rose 3% and global print revenue fell 4%.
Thomson Reuters ( TMSOF ) said it now expects an adjusted EBITDA
(earnings before interest, taxes, depreciation and amortization)
margin expansion of about 100 basis points, up from a prior
expectation of 50 basis points.
It also said it had completed a previously announced $1
billion share repurchase plan.
Up to Monday's market close, Thomson Reuters ( TMSOF ) shares have
fallen about 5.4% this year, underperforming the 16.5% rise in
the S&P 500 index, which has been boosted by increases in
AI-heavy big tech stocks.