FactSet Research Q3 Net Profit Down, EPS Edges Up; Phil Snow Named President

(RTTNews) - FactSet Research Systems Inc. (FDS) posted third-quarter net income of $51.53 million, or $1.21 a share, compared with $53.37 million, or $1.20 a share, a year before.

On the other hand, three-month adjusted net profit went up 6% to $53.095 million, excluding the after-tax stock-based compensation charge of $1.0 million, the after-tax legal charge of $1.1 million and $0.6 million in income tax benefits from finalizing last years' tax returns. The prior-year quarter's adjusted net income excludes income tax benefits of $3.3 million on the U.S. Federal R&D tax credit and finalizing prior years' tax returns.

Adjusted per-share earnings amounted to $1.25 for the fiscal 2014 third quarter, which excludes $0.02 from stock-based compensation, $0.03 from a legal charge mainly to settle a claim and $0.01 in income tax benefits. On average, 15 analysts polled by Thomson Reuters expected earnings per share of $1.25 for the quarter. Analysts' estimates typically exclude one-time items.

Quarterly operating income totaled $73.0 million, versus $71.6 million in the year-ago period.

For the recent quarter, revenues advanced by 8% to $231.8 million, from the prior year's $214.61 million. Analysts estimated revenues of $230.66 million for the quarter. Included in this total was $3.7 million from acquisitions completed since June 2013, the company noted.

Looking ahead to the fourth quarter, the company sees earnings to range between $1.30 and $1.32 a share, and revenues between $235 million and $240 million. Analysts project fourth-quarter earnings of $1.29 a share, on $235.60 million in revenues.

In addition, FactSet announced the appointment of Phil Snow as President, effective July 1, 2014, who would report to Chairman and CEO, Philip Hadley. Snow joined the company in 1996 and is currently Senior Vice President, Director of U.S. Investment Management Sales.