Total Revenue

+4.5% (from $545.95M to $570.66M)

Revenue growth was driven by increased demand in key client segments and a stronger recurring revenue mix, which built on the previous period’s momentum. The current quarter’s revenue increase, though modest, reflects the continued organic expansion noted previously. " "

Operating Income

+2.0% (from $181.94M to $185.49M)

Operating income improved due to higher total revenue and disciplined cost management, despite increases in both cost of services and operating expenses. The margin expansion partly builds upon prior period efficiency gains while offsetting higher fixed and variable costs. " "

Net Income

+2.8% (from $140.94M to $144.86M)

Net income increased modestly as revenue gains outweighed the incremental cost pressures. This improvement, following similar trends in previous quarters, reflects a balanced outcome where modest improvements in operating performance and lower interest expenses contributed to profitability. " "

Cost of Services

+5.7% (from $255.14M to $269.60M)

Cost of Services rose as a result of increased variable costs such as employee compensation and input expenses, continuing the pattern seen in earlier periods. Although revenue growth was healthy, the higher cost of services indicates pressure on margins that managers have been addressing over time. " "

Operating Expenses

+5.8% (reaching $385.17M; SG&A increased from $108.81M to $115.56M)

The increase in operating expenses was driven partly by higher SG&A costs and technology investments. This trend, which follows recent periods, suggests that while FactSet continues to invest strategically in key areas, these investments have increased expense pressure relative to revenue. " "

Interest Expense

-16% (from $16.60M to $13.92M)

A dramatic decline in interest expense likely reflects lower debt levels or improved financing terms, building on previous adjustments in the capital structure. This reduction helped boost overall profitability despite other cost increases. " "

Earnings Per Share

Basic EPS at $3.81 and Diluted EPS at $3.77 (modest improvements)

EPS improvements were a consequence of the combined effect of revenue growth, cost efficiencies, and lower interest expense, even as increased operating and service costs applied downward pressure. The modest EPS increases indicate that the company is managing its cost structure effectively while continuing to grow revenues compared to the previous quarter. " "

Organic ASV Growth

FY 2025

No specific numerical range; expected to be second‑half weighted "

$100M to $130M (4.4%‑5.8%), with a reaffirmed 5% midpoint "

no prior guidance

Revenue

FY 2025

$2.285B to $2.305B "

$2.305B to $2.325B "

raised

Adjusted Operating Margin

FY 2025

No specific numerical range disclosed " "

36%‑37% "

no prior guidance

Adjusted Diluted EPS

FY 2025

No specific numerical range disclosed " "

$16.80 to $17.40 "

no prior guidance

GAAP Operating Margin

FY 2025

No prior guidance " "

32%‑33% "

no prior guidance

GAAP EPS

FY 2025

$15.10 to $15.70 (inferred from a $0.30 higher prior guidance) "

$14.80 to $15.40 "

lowered

Effective Tax Rate

FY 2025

No specific numerical range disclosed " "

17%‑18% "

no prior guidance

Robust Sales Pipeline

In Q1 2025, FactSet described a healthy sales pipeline with increased trials and RFPs. " " In Q4 2024, there was steady pipeline building driven by new product launches. " " In Q3 2024, the pipeline was discussed as robust with added momentum from AI tools and strategic wins. " "

Q2 2025 executives emphasized a robust sales pipeline with increasing visibility, optimism for an ASV inflection point, and strong product‐led innovation. " "

Consistent and positive – The narrative remains upbeat, with an increased focus on product-led innovation and stronger second‐half expectations.

Client Engagement

Q1 2025 commentary highlighted active client dialogues and improved engagement across sectors. " " Q4 2024 stressed enterprise-level engagement, especially in wealth management and banking. " Q3 2024 noted active engagement with various client segments. "

Q2 2025 stressed constructive dialogue with clients and deeper enterprise-level engagement, particularly to lower cancellation risk. " "

Sustained positivity – The engagement outlook is consistent, with enhanced enterprise focus and more constructive client interactions.

Wealth Management Growth

Q1 2025 noted strong seat growth and double-digit growth potential. " " Q4 2024 reported wealth management as the largest contributor to ASV growth with notable desktop additions and renewals. " Q3 2024 recognized modest growth bolstered by AI-enhanced workflows. " "

Q2 2025 identified wealth management as a key growth engine, highlighting market share gains (e.g. UBS win) and further expansion of workflows. " "

Very positive and sustained – Wealth management remains a major driver, with consistent wins and strategic investments fueling future growth.

Geographic Expansion

Q1 2025 focused on expanding in Switzerland, U.K., and Asia with positive regional revenue trends. " " Q4 2024 and Q3 2024 discussed organic growth in Americas, EMEA, and Asia with targeted initiatives. " "

Q2 2025 continues this trajectory by emphasizing expansion outside North America, with near-term targets in Switzerland, the U.K., and Asia. " "

Consistent global focus – The company maintains its strategic emphasis on international growth, replicating its domestic success abroad.

Data Expansion and High-Quality Data Feed Demand

Q1 2025 had modest mentions of data solution wins. " Q4 2024 focused on the largest content expansion in history and growing high-quality data feeds. " " Q3 2024 improved its offering with deep sector reports and AI-integrated solutions. " "

Q2 2025 underscored a strong demand for high-quality data feeds, real-time and exchange data, and innovative data management services that drive growth. " "

Increased emphasis and innovation – There is a clear progression toward integrating data quality and AI, with a more upbeat and strategic narrative.

Margin Pressure and Operational Efficiency Challenges

Q1 2025 noted flat margins with disciplined cost management despite rising tech expenses. " Q4 2024 discussed margin pressure from higher tech and content costs offset by expense reductions. " " Q3 2024 reported an improvement in adjusted margins driven by bonus accrual reductions and careful expense management. " "

Q2 2025 reported margin dilution due to a 31% increase in technology spend and acquisition-related costs, while noting active cost management efforts. " "

Ongoing challenge with cautious management – While investments are increasing pressure, proactive cost discipline remains a focus, sustaining cautious sentiment.

Pricing Strategy Constraints and ASV Growth Challenges

Q1 2025 highlighted lower CPI impacts and competitive pressures leading to lower price realization. " " " Q4 2024 referenced rate card adjustments and a cautious outlook on annual price increases. " Q3 2024 noted that delayed deal decisions and elongated sales cycles impacted organic ASV growth. " "

Q2 2025 described how a lower inflation environment impacted annual price increases, creating a nearly $7 million headwind for ASV growth despite a healthy pipeline. " "

Persistent headwinds – Challenges in pricing remain, with ongoing pressures on ASV growth; there is cautious optimism for a turn in the second half.

Underperformance in Banking and Traditional Asset Management

Q1 2025 mentioned pressures in banking (e.g. seasonal hiring issues) and asset management facing vendor consolidation and budget compression. " " Q4 2024 described client cancellations and fee compression affecting asset management along with modest banking improvements. " " Q3 2024 continued to highlight significant challenges and erosion in both sectors. " "

Q2 2025 reiterated that banking remains a drag on growth and noted ongoing challenges in traditional asset management marked by cancellations and cost rationalization. " "

Persistent caution – Underperformance in these sectors remains a consistent headwind, with limited signs of turnaround across periods.

Investments in Technology, Generative AI, and Infrastructure

Q1 2025 reported an 18% increase in tech spending with a focus on new GenAI products. " " Q4 2024 emphasized significant investments, with about half the incremental spend directed to generative AI and infrastructure improvements. " " Q3 2024 noted robust launches of GenAI products and infrastructure enhancements. " " "

Q2 2025 noted a 31% increase in technology spending and aggressive investment in GenAI solutions (e.g. Pitch Creator, conversational API) along with planned infrastructure projects to boost pipeline quality. " "

Highly positive and aggressive – There is a consistent upward trend in tech investments; the sentiment is bullish as FactSet leverages AI and infrastructure to drive future growth.

Strategic Partnerships, M&A, and Competitive Displacement

Q1 2025 featured strategic partnerships (e.g. with JPMorgan), a strong appetite for M&A, and competitive displacement wins in the asset management space. " " Q4 2024 discussed targeted acquisitions (CUSIP) and several competitive displacements, especially in wealth management. " Q3 2024 highlighted partnership initiatives and notable displacement wins in banking and asset management. " " "

Q2 2025 emphasized robust strategic partnerships (e.g. enterprise-level engagements), completed acquisitions (Irwin, LiquidityBook, LogoIntern) and further competitive displacements across sectors. " " "

Consistently proactive and growth-driving – Strategic partnerships and M&A remain a key lever, with increased momentum in execution and competitive displacement that is expected to greatly impact future growth.

Delayed Sales Cycles and Client Erosion

Q1 2025 noted delayed timing for large deals (seasonal lows) and client erosion in asset management due to budget scrutiny. " " Q4 2024 cited slower deal closures and notable client cancellations driven by macro uncertainty. " " Q3 2024 reported longer decision cycles and erosion due to cost rationalization. " " "

Q2 2025 acknowledged erosion headwinds—especially in the EMEA region—and delayed cycles, yet emphasized confidence in the underlying pipeline and product-led innovation to counter these issues. "

Persistent risk factor – Delays and client erosion have been a constant challenge; sentiment remains cautious with hope for improvement later in the year.