NYSE$FDS

Factset Research Systems Inc. · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

FactSet reported solid growth in the fourth quarter and full year 2020, marking the 40th consecutive year of revenue growth.

FactSet's Q4 2020 results showed a 5.3% increase in GAAP revenues to $383.6 million, with organic revenues growing 4.9% to $383.4 million. Diluted EPS decreased slightly by 2.1% to $2.29, but adjusted diluted EPS rose 10.3% to $2.88. The company's ASV plus professional services reached $1.56 billion, with organic growth of 5.3%.

  • GAAP revenues increased 5.3% to $383.6 million.
  • Organic revenues grew 4.9% to $383.4 million.
  • Diluted EPS decreased 2.1% to $2.29.
  • Adjusted diluted EPS rose 10.3% to $2.88.

Headline financials

Total Revenue

$384M

Previous: $364M+5.3%
EPS (adj)

$2.88

Previous: $2.61+10.3%
Reported ASV

$1.56B

No prior period
Organic ASV

$1.56B

Previous: $1.48B+5.4%
Total users

133.1K

No prior period
Capital Expenditures

$14.7M

Previous: $26.5M-44.3%
Free Cash Flow

$145M

Previous: $95.3M+51.8%
Net Income

$89.1M

Previous: $91.5M-2.7%
Operating Income

$98.6M

Previous: $112M-11.6%
Gross Profit

$200M

Previous: $197M+1.8%
Cash & Equivalents

$586M

Previous: $360M+62.8%
Total Assets

$2.08B

Previous: $1.56B+33.5%
Stock-Based Comp

$8.21M

Previous: $8.27M-0.7%

Revenue & EPS history

FactSet · Revenue · Quarterly

$384M

Q4 2020+5.3%vs Q4 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Forward guidance

FactSet provided its outlook for fiscal year 2021, anticipating organic ASV plus professional services to increase between $55 million and $85 million. GAAP revenue is projected to be in the range of $1.570 billion and $1.585 billion. GAAP operating margin is expected to be between 29.5% and 30.5%, while adjusted operating margin is anticipated to be between 32.0% and 33.0%. The annual effective tax rate is expected to be in the range of 15.0% and 16.5%. GAAP diluted EPS is forecasted to be between $10.05 and $10.45, and adjusted diluted EPS is expected to be between $10.75 and $11.15.

Tailwinds

  • Organic ASV plus professional services is expected to increase in the range of $55 million and $85 million over fiscal 2020.
  • GAAP revenue is expected to be in the range of $1,570 million and $1,585 million.
  • GAAP operating margin is expected to be in the range of 29.5% and 30.5%.
  • Adjusted operating margin is expected to be in the range of 32.0% and 33.0%.
  • GAAP diluted EPS is expected to be in the range of $10.05 and $10.45.

Headwinds

  • The ongoing uncertainty surrounding the duration, magnitude, and impact of the novel coronavirus pandemic.
  • Actual results may differ materially due to risk factors, uncertainties, and assumptions.
  • The ability to integrate newly acquired companies, clients and businesses.
  • Strains on resources as a result of growth, the volatility and stability of global securities markets.
  • The ability to hire and retain qualified personnel.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

-1.6%

Avg return

Earnings day

-1.1%

Avg return

5 days after

+0.4%

Avg return

30 days after

33%

22 / 67 earnings

Positive

+10.6%

Q3 2020

Best reaction

-11.5%

Q3 2012

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026
Q2 2026+3.3%+2.9%
Q1 2026-7.8%-1.8%-2.5%
Q4 2025-10.3%-14.2%-14.7%
Q3 2025-1.3%-1.7%-14.8%
Q2 2025-1.7%+0.2%-2.6%
Q1 2025+2.2%+3.9%-2.1%
Q4 2024+4.3%+3.8%+5.5%
Q3 2024+4.1%+1.8%+3.9%
Q2 2024-8.3%-9.0%-11.0%
Q1 2024-1.3%+2.3%+0.6%
Q4 2023+2.8%+2.0%+1.5%
Q3 2023-6.9%-5.4%+2.0%
Q2 2023-4.0%-3.4%+1.4%
Q1 2023-3.7%-5.2%+0.4%
Q4 2022-8.8%-9.1%-5.4%
Q3 2022+9.1%+4.5%+13.4%
Q2 2022-3.0%+2.5%+0.1%
Q1 2022+1.4%+1.8%-9.6%
Q4 2021+6.9%+6.8%+18.9%
Q3 2021-0.4%+0.4%+3.6%
Q2 2021-4.7%-2.1%+5.3%
Q1 2021-4.6%-5.6%-5.6%
Q4 2020-0.7%+1.0%-0.7%
Q3 2020+10.6%+10.5%+17.1%
Q2 2020+9.4%+12.0%+17.9%
Q1 2020-1.5%-0.8%+2.5%
Q4 2019-10.7%-11.4%-6.2%
Q3 2019-1.4%-2.3%-5.3%
Q2 2019+4.1%+6.3%+14.4%
Q1 2019-7.6%-10.6%-3.0%
Q4 2018-2.6%-3.4%-6.9%
Q3 2018-3.7%-4.7%-1.4%
Q2 2018-5.5%-5.0%-7.6%
Q1 2018-4.8%-6.2%-2.7%
Q4 2017+4.8%+5.4%+10.9%
Q3 2017+2.2%+0.1%-0.8%
Q2 2017-5.8%-5.5%-6.1%
Q1 2017-0.1%-1.3%+2.3%
Q4 2016-7.8%-8.0%-12.5%
Q3 2016+4.0%+6.6%+14.5%
Q2 2016-3.1%
Q1 2016-4.4%
Q4 2015-1.7%
Q3 2015-0.8%
Q2 2015+2.2%
Q1 2015+3.6%
Q4 2014-2.6%
Q3 2014+1.2%
Q2 2014+5.0%
Q1 2014-6.1%
Q4 2013-1.1%
Q3 2013-4.1%
Q2 2013-5.6%
Q1 2013-6.0%
Q3 2010-0.3%
Q4 2012-5.3%
Q3 2012-11.5%
Q2 2012+7.7%
Q1 2012-7.3%
Q4 2009-5.8%
Q4 2011-5.8%
Q3 2011-2.9%
Q2 2010-0.7%
Q2 2011-0.7%
Q1 2011+0.5%
Q4 2010+0.5%
Q1 2010+0.5%

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